Announcer:

The following program is a PBS Wisconsin original production.

Mark Pocan:

The revised Respect…

Frederica Freyberg:

The Respect for Marriage Act clears its final hurdles in Congress and federal recognition of same-sex marriage heads to the president’s desk. And in Wisconsin, Democrats and Republicans gear up for 2023 and what to do with an historic budget surplus.

I’m Frederica Freyberg. Tonight on “Here & Now,” we return to Nelsonville to investigate where nitrate contamination is coming from and hear from the DNR about its role in water regulation. Research analyst Jason Stein on what he calls an astounding budget surplus and state party leadership foreshadow priorities for the coming year. It’s “Here & Now” for December 9.

Announcer:

Funding for “Here & Now” is provided by the Focus Fund for Journalism and Friends of PBS Wisconsin.

Frederica Freyberg:

On this program last week, we heard from a village whose private well water is contaminated with nitrate. This week, “Here & Now” reporter Nathan Denzin takes us back to Nelsonville to find out where the nitrate is coming from and what residents can do about their contaminated water.

Tarion O’Carroll:

It doesn’t taste any different. It doesn’t look any different. There’s no smell to it. It tastes great.

Nathan Denzin:

But what Tarion O’Carroll found out was his family’s private well water had unsafe nitrate levels, a problem residents in the small village of Nelsonville in Portage County learned about back in 2018. The two contributors under the microscope manure from farm animals or septic systems that leak human waste. Portage County water resource specialist Jen McNelly says scientific water testing showed nitrates are largely coming from agriculture.

Jen McNelly:

There’s some role that septic systems are playing but probably not a by and large the largest contributing source of it.

Nathan Denzin:

Enter Gordondale Farms, a concentrated animal feeding operation or CAFO of about 1,200 cows and 5,000 acres just outside of Nelsonville. Its owner, Kyle Gordon, and his family have been farming this land near Nelsonville since 1900.

Kyle Gordon:

I think we have to be really careful when we talk about the science shows. We would really like to see more research on that. They seem to have dismissed septic.

Nathan Denzin:

Gordon says he does accept farming can impact drinking water but he’s not convinced his own farm is.

Kyle Gordon:

Our take on the nitrates from our standpoint is our farm has always had a nutrient management plan since 1981. We followed every regulation that’s been put forth to us. So to be honest, it is quite a puzzle. Where is it coming from? Like, what is the deal?

Nathan Denzin:

By all accounts, Gordondale Farms has followed every DNR nitrate regulation and in recent years gone further. In most plots near the village, Gordon says his farm now plants alfalfa or Italian rye grass which soak up more nitrate in soil than corn. County water officials say despite Gordon’s efforts and abiding by nitrate regulations, agriculture remains the likely culprit, at least in part because DNR rules don’t account for the sandy soils in the region. Also water flow itself affects what kind of waste, agricultural or septic, is ending up in wells. Pete Arntsen is a hydrologist for a regional environmental group.

Pete Arntsen:

Because of the hydrogeology, that water from the septic system passes above all the wells and discharges to the Tomorrow River and really isn’t the issue.

Nathan Denzin:

Because wells draw from groundwater, contamination can come from miles away and take years to end up in the drinking water. Agricultural practices, like the ones Gordon has turned to, can reduce the nitrates in private wells. But according to scientist George Kraft, that can also take years, even decades.

George Kraft:

I think we’d be almost out of the woods, significantly in 8, 10 years and maybe mostly or entirely in 2025.

Nathan Denzin:

In August, the DNR told Gordondale Farms it had to install three monitoring wells on its property. Gordon is fighting that in court. For its part, the village also hopes to use a quarter million dollars in federal funds to install its own monitoring wells. So fights over the monitoring wells and who is at fault for the contamination is fracturing the community.

Lisa Anderson:

I would say that a lot of people are angry.

Nathan Denzin:

Lisa Anderson is a clean water advocate who lives in Nelsonville.

Lisa Anderson:

We have been accused of having an agenda. We’ve been targeted on social media.

Nathan Denzin:

Tempers are definitely high.

Kyle Gordon:

I’m sure everyone knows what the finger is, right?

We either get a plugged nose or we get a finger. The sad part, we’re busy fighting each other. I understand clean water is everyone’s right, but if you are going to live out here in paradise, it’s your responsibility to take care of your well and take care of your septic system.

Lisa Anderson:

To spend $10,000 on a well for most of us is a major expense and many can’t afford it. And I think many of us feel like why should we have to?

Nathan Denzin:

Gordon also says he can’t afford the monitoring wells he is ordered to dig and it could put him out of business. Village residents say they don’t want that. They just want clean water.

Tarion O’Carroll:

I’m not anti-ag. Let’s just get that out of the way. It’s not the farmer at all. They are working as hard as they can to make a good living and that’s fair.

Nathan Denzin:

Still, residents say the state should impose new regulations for the Central Sands region to protect the groundwater.

Tarion O’Carroll:

The rule is the problem. So the DNR needs to step up and fix this issue in my mind.

Nathan Denzin:

For “Here & Now,” I’m Nathan Denzin in Nelsonville.

Frederica Freyberg:

A decision whether Gordon should pay for construction of monitoring wells on his property is expected in court over the next few months. As we just heard, some private well owners in Nelsonville say the rules are the problem and call on the Wisconsin Department of Natural Resources for help in addressing nitrate contamination there and across the state. What has been done to help and what more remediation is in the offing? We turned to Jim Zellmer, deputy administrator in the DNR’s Environmental Management Division. Thanks for being here.

Jim Zellmer:

Good morning, thanks for having me.

Frederica Freyberg:

So we know the update to the DNR rules for water quality that were to address nitrates in areas susceptible to groundwater contamination did not happen. Yet that is what concerned people in places like Nelsonville are calling for. What can you tell them?

Jim Zellmer:

Sure. As you mentioned, you know, we had started the rulemaking a couple years back and brought stakeholders together to try to establish targeted performance standards for areas that are susceptible to groundwater contamination. Unfortunately we ran out of time. We have a 30-month window by law to complete our rulemaking and we just could not reach consensus with all of our stakeholders to move that rule forward. So we stopped that rulemaking. We continued the discussions working with our stakeholders on making progress, really for that shared goal of reducing nitrate contamination to the groundwater.

Frederica Freyberg:

Has that worked, working through it even in the absence of the enactment of those updated rules?

Jim Zellmer:

Yeah, we continue to work with our stakeholders and we have been very impressed. Obviously with work with our sister agency, Department of Ag, also with the University of Wisconsin on really providing the agri-business with the tools they need to properly manage, to apply their fertilizer, be it either in commercial purchased fertilizer or manure to make the maximum use of it, make it available for the crops but not to result in leaching to the groundwater. And we’ve seen some very good success with — we have our Department of Ag has producer-led watershed groups across the state. We have well over 40 of these groups that are — this is really farmers talking to farmers. Learning from each other what works, what doesn’t. We’re seeing some good success with that.

Frederica Freyberg:

Would it be important in your mind to have those updated rules to make sure that we attain and maintain clean drinking water? Or are we okay where we are with the status quo?

Jim Zellmer:

Yeah. We continue to evaluate that. We’re working — like I said right now with our partners to further that initiative. Also specifically to, you know, up in the Nelsonville area where your report has been focused on, we’re just in early stages of working with the Portage County Land and Water Conservation Department to develop a geographic plan for the watershed to look at the causes. We know some of the causes of the nitrate contamination and then look at what practices can be put in place to address those problems. In that plan will be milestones and then also a checking back and reporting to see what’s working and what’s not. And then moving forward to, you know, find proven technologies that we can again work together to reduce the nitrate contamination.

Frederica Freyberg:

Given experts declare nitrate contamination from ag sources is Wisconsin’s most common groundwater contaminant, are CAFOs or these concentrated animal feeding operations getting new scrutiny?

Jim Zellmer:

They continue to get scrutiny. They have been heavily scrutinized and they continue to be scrutinized. We’re very encouraged by a number of the CAFOs, now I believe we have eight of the CAFOs working on wastewater treatment facilities for their operation. We also have a new organic biodigester that has been put in operation in Brown County that, I believe, brings in manure from 14 nearby farmers that they then treat the manure and then they treat the — they generate gas that is put into our natural gas piping so we can use it to heat our homes. Also they concentrate the nitrogen, use it again for fertilizer and then the solids can be used for bedding and other purposes on the farm. So again, very encouraging some of the things going on.

Frederica Freyberg:

For people suffering with contaminated wells right now, I know there is a new well compensation and abandonment program funded with $10 million in ARPA money. How are will that go and how can people access that program?

Jim Zellmer:

Very good. Thank you for that question. So as you had said, Governor Evers allotted $10 million to expand that well compensation program that can be used for obviously drilling a new well deeper to find a safe source of water, installing treatment or connecting to a nearby, either another private well or a public water supply. We really encourage folks. So far, we’ve — there is enough money there to fund in excess of 1600 well replacements. So far, we’ve only had 40 applicants. So we really encourage people that are experiencing problems with their private wells, that they contact us. They can go on our website at DNR.wi.gov, type in well comp and the first thing that comes up will be this ARPA well compensation program. It talks about eligibility, application process pretty easy to fill out. We really encourage people to use that program.

Frederica Freyberg:

Good info. Jim Zellmer, DNR, thanks very much.

Jim Zellmer:

Thank you so much.

Frederica Freyberg:

Wisconsin is in the best financial situation in the history of the state according to state officials. We’re talking about a projected $6.5 billion state budget surplus. That’s 6.5 billion with a “b.” In this Fast Facts report “Here & Now” reporter Steven Potter explores how the state checking account ended up so far in the black and what might affect the state’s finances going forward.

Steven Potter:

This unexpected windfall is because the state will end the current fiscal year in July with more money than state agencies were allocated for their needs. Imagine it like your own household budget. You plan for the bills you have and make a schedule to pay them when they’re due. But then you get a surprise. A hefty lump sum payment right after you pay those bills. In the state’s case, that’s $6.5 billion. Analysts say the reason state coffers are overflowing is primarily due to three factors. There’s been an influx of federal funds from COVID relief bills that have offset state costs for expenses such as Medicaid. Also elected leaders have kept tight controls over state agency spending and there’s been a considerable increase in tax revenue, including not only sales tax but also investment and corporate taxes. Of course, inflation is playing a major part in this ballooning budget surplus. The more people spend, the more taxes are collected. Officials warn however the full projected surplus is not guaranteed and the end amount may be smaller. Factors affecting that include a possible recession next year as well as economic disruptions with the ongoing war in Ukraine. Volatility of business and the stock market could also lead to less corporate and investment taxes being taken in.

Woman:

2010-11, there was a $3.6 billion deficit.

Steven Potter:

This state budget surplus is in stark contrast to years past when elected leaders faced hundreds of millions of dollars in budget shortfalls and structural deficits. Regardless of exactly how much extra surplus the state ends up having, we can be sure of one thing: the state’s elected leaders will find numerous ways to argue over how to spend it. For “Here & Now,” I’m Steven Potter.

Frederica Freyberg:

In a new report titled, “The Astounding State Surplus,” the Wisconsin Policy Forum research director says the projections of a $6.5 billion surplus are useful but far from certain. We check in now with Jason Stein for more on the implications for state spending and taxing. Jason, nice to see you.

Jason Stein:

Nice to see you.

Frederica Freyberg:

You’ve covered and researched Wisconsin state budgets for a while. As you saw these projections grow, did it surprise you?

Jason Stein:

Absolutely. I think when we think about two years ago when we were at this point, things did not really look that good for the state but then we had two very large federal pieces of legislation, the Consolidated Appropriations Act and then the American Rescue Plan Act that really juiced the economy. They shot state tax collections upward and despite inflation, the state really hasn’t spent a ton of that money. So that we find ourselves here with this really remarkable surplus.

Frederica Freyberg:

Here we are. The astounding surplus. We detailed and you just expressed some of the reasons that the state coffers are so fat like those COVID funds and an increase in sales tax revenue. But what kind of choices, then, do legislative budget writers make with this money?

Jason Stein:

Well, I mean they really have an unprecedented level of choice. Clearly, you’ve seen the governor and lawmakers talk about some sort of tax cuts, both the personal property tax is something that’s been mentioned as well as income tax cuts. I would stay tuned for both of those things. And then we have had a world where it’s 8% inflation and yet local governments and schools have seen fairly tight limits on their state and local funding. Now they have gotten federal pandemic funding but it’s also running out. I think one key question is does the state try and look at some of those issues at the local level and try and step in and assist the local officials.

Frederica Freyberg:

For sure we know that municipalities have been crying out for more shared revenue. Would now be the time perhaps both with one-time and more sustainable funding going forward?

Jason Stein:

Right. I mean there’s always options that state officials have. One thing that local officials have sought is the ability to levy their own sales tax. Cities and villages would be able to do that. The legislature, at least Republicans in the legislature, have been pretty reluctant to take that on. So to them increasing state aid to municipalities may seem like a compromise position. When we talk about the multi-billion dollar surplus we have, in year one of the budget, increasing shared revenue by even 10% would be something like $80 million and $160 million in year two. In a normal world, that’s a lot of money. But in the present circumstance, it is not as much as it typically would be.

Frederica Freyberg:

They’ve also asked for again this kind of sustainable funding mechanism and that would be like the local sales tax.

Jason Stein:

Right. You know, the state would have the option of even lawmakers who are concerned about raising taxes could combine a local sales tax with, say, income tax cuts at the state level and leave taxpayers at least in the state as a whole better off or paying lower taxes. But of course a sales tax is going to have more impact on people at the lower end of the income scale. It is more regressive. So there will be a lot of discussion about that, I think.

Frederica Freyberg:

Stepping back a little bit, what do you regard as the biggest need areas?

Jason Stein:

Great question. Again, schools have been at their state and local revenue limits have been frozen for two years. And so that’s something that — their federal pandemic aid is running out. That’s a major issue. You see at — in terms of public safety, you see actually cities and villages going to referendum asking voters to approve raising their own property taxes to pay for public safety. And you see in some communities that that happened in November, which is pretty new. You see school referenda for many years but not the level of other local government referenda. Those are two things that step out. We also have higher education. We have turnover within state and local governments and then we have infrastructure needs as well.

Frederica Freyberg:

We need a lot of money to do a lot of things as always in a state budget. But as we have pointed out, it is not likely to be smooth sailing between the governor and the Republican budget writers. For example on things like Medicaid expansion or as we’ve discussed, school funding.

Jason Stein:

Absolutely. So one thing to understand is Medicaid, which is the second biggest expense for the state healthcare, just to keep current services the same would be about three quarters of a billion dollars over the next two years. At the same time there is this opportunity to expand the program and pull in additional federal money through the federal Affordable Care Act and through the American Rescue Plan Act, like a billion and a half over two years. That’s something that the Republicans have turned down in the past. But I think there is also an unprecedented opportunity for horse trading in this budget. So even though you wouldn’t expect that to be on the table, perhaps it might.

Frederica Freyberg:

I doubt it. Jason Stein, thanks very much.

Jason Stein:

Thank you.

Frederica Freyberg:

Democrats in the Wisconsin Legislature will head into the next session with even smaller minorities but the leaders of the party in the Senate and Assembly say they still represent the majority of the state. “Here & Now” senior political reporter Zac Schultz recently sat down with Senator Melissa Agard and Representative Greta Neubauer and has this story.

Zac Schultz:

Senator Melissa Agard is still getting used to her new office and her new position as the Democratic minority leader.

Melissa Agard:

It feels a bit like drinking from a fire hose but also, I’m really ready.

Zac Schultz:

With only 11 members, the Democrats are powerless to pass legislation but Agard points to the statewide win by Governor Tony Evers to show Democrats represent the values of the majority of Wisconsin.

Melissa Agard:

Ultimately, we may hold the minority of seats in the state of Wisconsin, but we know that we hold the majority of the hearts of the people of the state of Wisconsin in the work we are doing.

Zac Schultz:

Democrats blame gerrymandered redistricting maps for their minority status. Representative Greta Neubauer is the minority leader for the Democrats in the Assembly and says it was a challenge just to find candidates willing to run in some districts.

Greta Neubauer:

It was a real challenge to run for office. We are in incredibly polarized partisan times and it was hard to both recruit people to run, particularly women, because they knew that they and their family may face threats. And that unfortunately did bear out this cycle for candidates, for volunteers.

Zac Schultz:

Assembly Democrats won 35 seats just enough to prevent a Republican super majority that would allow the GOP to override any of Evers’ vetoes. But if two members are missing, the GOP would have enough.

Greta Neubauer:

Our caucus understands one of our top priorities for this session is being here in Madison to make sure that if Republicans are trying to override Governor Evers’ vetoes and move our state backwards, we’re here to protect those vetoes.

Zac Schultz:

Neubauer took over as leader part way through the last session. This will be her first full term in charge and she and Agard understand Democrats in the minority need to be more than the party of “no.”

Greta Neubauer:

We know that a lot of people are frustrated with politics right now and I think our responsibility is to pass policy in the Capitol that makes people’s lives better and shows that government can and must be a force for good.

Zac Schultz:

They hope the budget will create some spaces for compromise on things like increasing shared revenue.

Melissa Agard:

Supporting our local governments, I think, is at the top of the pile of things we can agree on. It is whether, you know, so we have the endpoint, how is it that we get there. What are the paths we use to move forward? To be continued.

Zac Schultz:

Agard also hopes to break the impasse in the Senate over confirming Governor Evers’ appointees. Over the past four years, Republicans have refused to hold final votes on some Evers’ selections for his cabinet and important governing bodies like the Natural Resources board.

Melissa Agard:

Based on what I’m hearing from colleagues on the other side of the aisle, they’re ready to start moving forward with them. Let’s have the tough conversations at the committee level. Let’s bring it to the floor. Let’s debate it and let’s vote up or down. If the governor needs to go back to work if the majority party does feel like that person is not the right fit. Holding them in this weird limbo isn’t going to help the state of Wisconsin.

Zac Schultz:

But there is one area where Democrats are not looking for common ground: abortion.

Melissa Agard:

There are some issues where there is no room for compromise. This is a personal healthcare decision. It is not a place where politicians belong and some of my colleagues on the other side of the aisle have suggested that we also include in the doctor’s office not just politicians but police officers.

Zac Schultz:

Republicans have talked about passing a bill that would modify the 1849 law banning abortions to provide exceptions for rape or incest.

Greta Neubauer:

As one of the roughly 50% of people in Wisconsin who lost a concrete right in the last year, I know how important it is and have heard from people across the state how important it is that we keep fighting for really comprehensive access to reproductive healthcare. Exceptions are not comprehensive and we know that.

Zac Schultz:

Democrats would rather keep the current law in place while they wait for legal challenges to make it to the Supreme Court, which leads to the other priority for Democrats: electing a liberal to the Supreme Court in April.

Greta Neubauer:

We are going to be actively engaged in making sure that we elect a justice who is willing to put the people of Wisconsin over their party.

Zac Schultz:

A liberal majority on the court could write new legislative maps in Wisconsin giving Democrats a chance to win more seats and hold more sway at the Capitol.

Melissa Agard:

Not only is it tied to redistricting, abortion rights, union rights, the list goes on and on.

Zac Schultz:

Reporting from Madison, I’m Zac Schultz for “Here & Now.”

Frederica Freyberg:

Next week we hear from Republican Senate Majority Leader Devin LeMahieu and coming up, look for Zac’s one-on-one with Republican Assembly Speaker Robin Vos, variably known as the most powerful voice in the legislature.

For more on this and other issues facing Wisconsin, visit our website at PBSwisconsin.org and then click on the news tab. That’s our program for tonight. I’m Frederica Freyberg. Have a good weekend.

Announcer:

Funding for “Here & Now” is provided by the Focus Fund for Journalism and Friends of PBS Wisconsin.