This initiative will enable the region to realize:
• eco-efficiency improvements for existing industries
• commercialization of clean technologies and eco-based ventures
• significant progress toward a bio-based economy
• improved energy security
• new industrial development and economic growth
• an “eco-brand identity”
• a leadership role for eco-industrial and sustainable development in the Great Lakes Basin

Background:  Interest in eco-industrial development has been gaining momentum in the region over the past ten years. A regional task force, with start-up support from the Knight Foundation, was established in late 2004 and has been putting the initial pieces in place to move eco-industrial development from concept to practice. These have included preliminary organizational work, some baseline research and data collection, and the identification of potential eco-industrial projects. Elkhorn Industries, at Connors Point in Superior, has emerged as a project that shows significant potential in this area. It is an evolving pilot effort and a timely example of eco-industrial development projects that an initiative of this type can help identify, support, and make happen.

Eco-industrial development integrates business successes, environmental excellence, and community/regional connections to create enhanced economic opportunities and improved ecosystems.

“Networks of businesses that work with each other and in conjunction with their communities to improve resource productivity, expand markets, eliminate pollution, and catalyze economic growth through enhanced profits, wages, and local investment.”

-- Eco-Industrial Development Council (2003)

Recent Momentum:  The task force was formed to explore the creation of an eco-industrial network. A number of important first steps have been taken:

• identifying and educating regional stakeholders—meetings and presentations, sponsoring the first in a series of regional “eco-industrial forums”
• initiating the development of key baseline information—real estate assessment, marketing approaches, regional industry and resource flow inventory, regional industrial site profiles, regional energy profile, preparation of GIS base map, inventory of eco-industries
• networking with related initiatives—local, county, regional, and national
• identifying specific project opportunities—including the Elkhorn Industries-Georgia Pacific Site at Connors Point in Superior
• providing assistance to emerging ventures—including market planning and site plan development for Elkhorn Industries as a demonstration or pilot project
• developing scenarios for a long-term eco-industrial development initiative—collaboratively forming an implementation process and plan

Next Steps:  The longer-term success of this eco-industrial initiative will require some near-term investments of time and resources. This will, out of necessity, be a collaborative effort with both public and private sector participation as well as a regional effort that will cut across city, county, and state boundaries. Partnering with the state of Wisconsin, through its various agencies and legislatively, will be a critical element in a successful eco-industrial strategy.

The strategic framework to develop regional capacity and fully implement an eco-industrial development initiative combines these key steps and components over the next five years:

• put in place a formal organizational structure capable of setting and realizing strategic priorities, building and maintaining partnerships, and supporting a regional network of businesses committed to eco-industrial development
• form a collaborative network of supporting financial contributors (state and local governments, academic institutions, private business, foundations, NGOs) and related service providers
• form collaborative alliances with other key local and regional organizations
• continue and expand regional baseline analyses
• provide an evolving array of resources and technical assistance to support eco-industrial activities and projects

During this start-up period, the initiative will require:
• funding and related support from a range of private and public sources
• professional staff to help facilitate and support the effort
• a temporary institutional home within an existing regional organization during the formalization of the eco-industrial effort

With this legislative issue for Superior Days 2006, we want to quickly raise awareness of our recent progress with and future intentions for a regional eco-industrial development initiative. We look forward to working closely and strategically with the state on this effort over the upcoming year.

The citizens of Northwest Wisconsin request that the Legislature make changes to the Technology Development Zone Program to allow businesses within the Superior Life Technology Zone to fully utilize the incentives offered by the Program.

The Superior Life Technology Zone was provided with $5 million in tax credits under the Wisconsin Technology Development Zone Program to award to companies in Northwest Wisconsin that develop new technology or introduce new technology in their operations. The Zone includes Ashland, Bayfield, Burnett, Douglas, Iron and Washburn Counties.

The purpose of the Wisconsin Technology Development Zone Program is to attract, promote and expand high technology in Wisconsin by providing tax credits to high-technology businesses. The amount of tax credits a business receives under the Program is based on the amount of Wisconsin corporate income tax, property tax and sales tax the business pays or expects to pay in the future. Since S Corporations, Limited Liability Companies and Partnerships do not pay Wisconsin corporate income tax (the owners of such entities pay income tax individually on their share of the businesses profits), the size of their tax credit is based only on their property tax and sales tax payments. The Program, as it was originally implemented, did not take into consideration the business-related income tax the individual business owners pay.

Act 72 (AB 520) which was passed by the legislature and signed by the Governor addressed this issue and changed the way the Department of Commerce will calculate the tax credits. We appreciate the legislature’s and the Governor’s support on this issue.

However, the ability of S Corporations, Limited Liability Companies and Partnerships in Northwest Wisconsin to fully benefit from the Technology Development Zone Program is impaired because of issues related to where the owners of these businesses reside. Many businesses in Douglas County (and other counties within the Superior Life Technology Zone) have owners who reside in Minnesota (or other states). Because of income tax reciprocity issues, Wisconsin tax credits awarded to an S Corporation, Limited Liability Company or Partnership under the Technology Development Zone Program are of no use to an owner who is domiciled in Minnesota. Thus the tax credits, in situations like this, fail to provide the incentive the Program intended.

Superior was founded over 150 years ago because of its transportation capabilities.  Superior is known for its robust trucking, rail, pipeline and waterborne transportation industry.  Today, waterborne transportation has a significant economic impact on Superior and Northwestern Wisconsin. 

In addition to domestic and Canadian trade which is conducted by “Lakers”, 131 ocean going vessels (“Salties”) visited the Port of Superior-Duluth in 2005.  Salties haul grain from the Twin Ports to ports around the globe.  Last year, these vessels carried over 2 million metric tons of wheat, oats, and flax from Superior alone. 

The annual shipping season and associated waterfront capital investments generate a total economic impact for the Superior-Duluth area that exceeds $210 million.  Waterfront facilities pay over $3 million in property taxes and Superior docks pay occupational taxes of approximately $1 million per annum.  

More than 2,000 jobs are directly and indirectly reliant on the annual shipping season and capital investments.  Oceangoing vessels visiting Superior mean employment for stevedores, longshoremen, vessel agents, grain testers, grain millers, tug boat operators, marine suppliers, railroad workers and truck drivers.  These vessels also attract tourists who travel to, shop and stay in our community. 

But Superior and other Wisconsin ports such as Milwaukee and Green Bay are not the only beneficiaries of waterborne transportation made possible by the Great Lakes - St. Lawrence Seaway System.  Waterborne transportation provides Wisconsin manufacturers a cost competitive way to receive raw materials from suppliers and to ship high valued finished goods to customers throughout the world. Wisconsin’s pulp and paper industry, which competes internationally, relies on Great Lakes-St. Lawrence Seaway shipping to move pulp and finished paper.  Grain farmers in southern Wisconsin depend heavily on the Midera Grain Elevator in Milwaukee. 

Members of the aforementioned industries have found shipping on the Great Lakes-St. Lawrence Seaway System to be an effective alternative to shipping by rail and truck.  Compared to these other transport modes, waterborne commerce is the most environmentally friendly.  It generates the least pollution, consumes the least amount of energy, causes the least number of industry related accidents and is responsible for less urban congestion, noise or social disruption than rail or truck.  During a time of rising truck and rail rates and a shortage of rail cars, waterborne transportation keeps Wisconsin’s economy competitive and moving forward. 

Not unlike other modes of transportation, waterborne transportation does have its issues.  Aquatic invasive species is one such issue.  Ballast water of ocean going vessels is one of many vectors for the introduction of invasive species into Wisconsin ports and inland waters.  Industry has taken steps to address this very complex issue.   

In the early 1990’s industry adopted a mid-ocean ballast water exchange program.  Although the program has been effective, industry leaders realize that it is an imperfect solution and have pushed for more research.  Recently, the University of Wisconsin- Superior received a total of $1 million in federal funding for a ballast water study which is being undertaken as part of the American Great Lakes Ports’ Association’s “Great Ships Initiative” to more aggressively confront the introduction of invasive species in the ballast water of ocean-going vessels that visit Great Lakes ports.  This effort is supported by port communities and vessel operators. 

One of the main goals of the effort is to accelerate the development, installation, testing and use of treatment tools to stop aquatic invasive species introductions by foreign vessels.  UWS is poised to be an international leader in ballast water/aquatic invasive species research. 

Even in light of these research efforts, some states have taken it upon themselves to pass ballast water regulation absent of a clear technological solution.  Michigan in 2005 was the first state to do so.  Other Great Lakes States, including Wisconsin, are considering similar legislation with the reasoning that if all states in the Great Lakes basin have uniform legislation, no state would be put at an economic disadvantage. 

What this “level playing field” argument fails to realize is that Superior’s real competition is not Detroit, Chicago, Toledo or Buffalo, but ports along the Mississippi River, the Gulf Coast and in Washington State - ports in states that, as of today, have not and are not likely to impose ballast water regulations.  

If Wisconsin rushes to pass legislation modeled after the Michigan law, Salties visiting Superior will have added regulation and costs while vessels visiting the competition will not.  Vessel operators and shippers will ultimately decide to utilize ports where regulations and costs are lowest.  Superior’s oceangoing vessel trade will be devastated.

University of Wisconsin-Superior students have high expectations for their education. It is the goal of the University to fulfill those expectations and to set a high standard of quality instruction for Wisconsin’s Public Liberal Arts College.

Wisconsin’s recent investment in UW-Superior through construction of a Health and Wellness Center is proof of the University’s and State’s commitment to quality education in the northland. UW-Superior is now preparing to meet its next major goal: construction of a new academic building.

This facility will replace two academic buildings, neither of which was initially intended for University instruction. Both aging buildings, McCaskill and Sundquist halls, have been deemed unsuitable by the state for further renovations to meet student needs. The new, approximately 160,000-square-foot building would be equipped with flexible classrooms to meet changing teaching and learning styles; faculty offices; and specialized laboratory and work space for student projects and student/faculty research. The infrastructure would support current and future technology access.

The project has been articulated as a high priority within the UW System and is a key component in UW-Superior’s “Campaign Superior: Higher Expectations.” This campaign partnership with the UW-Superior Foundation will raise $7 million in private contributions for the building. Already, more than $5 million has been pledged to the project. The overall project is estimated at $30 million.

This initiative will enable the region to realize:
• eco-efficiency improvements for existing industries
• commercialization of clean technologies and eco-based ventures
• significant progress toward a bio-based economy
• improved energy security
• new industrial development and economic growth
• an “eco-brand identity”
• a leadership role for eco-industrial and sustainable development in the Great Lakes Basin

Background:  Interest in eco-industrial development has been gaining momentum in the region over the past ten years. A regional task force, with start-up support from the Knight Foundation, was established in late 2004 and has been putting the initial pieces in place to move eco-industrial development from concept to practice. These have included preliminary organizational work, some baseline research and data collection, and the identification of potential eco-industrial projects. Elkhorn Industries, at Connors Point in Superior, has emerged as a project that shows significant potential in this area. It is an evolving pilot effort and a timely example of eco-industrial development projects that an initiative of this type can help identify, support, and make happen.

Eco-industrial development integrates business successes, environmental excellence, and community/regional connections to create enhanced economic opportunities and improved ecosystems.

“Networks of businesses that work with each other and in conjunction with their communities to improve resource productivity, expand markets, eliminate pollution, and catalyze economic growth through enhanced profits, wages, and local investment.”

-- Eco-Industrial Development Council (2003)

Recent Momentum:  The task force was formed to explore the creation of an eco-industrial network. A number of important first steps have been taken:

• identifying and educating regional stakeholders—meetings and presentations, sponsoring the first in a series of regional “eco-industrial forums”
• initiating the development of key baseline information—real estate assessment, marketing approaches, regional industry and resource flow inventory, regional industrial site profiles, regional energy profile, preparation of GIS base map, inventory of eco-industries
• networking with related initiatives—local, county, regional, and national
• identifying specific project opportunities—including the Elkhorn Industries-Georgia Pacific Site at Connors Point in Superior
• providing assistance to emerging ventures—including market planning and site plan development for Elkhorn Industries as a demonstration or pilot project
• developing scenarios for a long-term eco-industrial development initiative—collaboratively forming an implementation process and plan

Next Steps:  The longer-term success of this eco-industrial initiative will require some near-term investments of time and resources. This will, out of necessity, be a collaborative effort with both public and private sector participation as well as a regional effort that will cut across city, county, and state boundaries. Partnering with the state of Wisconsin, through its various agencies and legislatively, will be a critical element in a successful eco-industrial strategy.

The strategic framework to develop regional capacity and fully implement an eco-industrial development initiative combines these key steps and components over the next five years:

• put in place a formal organizational structure capable of setting and realizing strategic priorities, building and maintaining partnerships, and supporting a regional network of businesses committed to eco-industrial development
• form a collaborative network of supporting financial contributors (state and local governments, academic institutions, private business, foundations, NGOs) and related service providers
• form collaborative alliances with other key local and regional organizations
• continue and expand regional baseline analyses
• provide an evolving array of resources and technical assistance to support eco-industrial activities and projects

During this start-up period, the initiative will require:
• funding and related support from a range of private and public sources
• professional staff to help facilitate and support the effort
• a temporary institutional home within an existing regional organization during the formalization of the eco-industrial effort

With this legislative issue for Superior Days 2006, we want to quickly raise awareness of our recent progress with and future intentions for a regional eco-industrial development initiative. We look forward to working closely and strategically with the state on this effort over the upcoming year.

The citizens of Northwest Wisconsin request that the Legislature make changes to the Technology Development Zone Program to allow businesses within the Superior Life Technology Zone to fully utilize the incentives offered by the Program.

The Superior Life Technology Zone was provided with $5 million in tax credits under the Wisconsin Technology Development Zone Program to award to companies in Northwest Wisconsin that develop new technology or introduce new technology in their operations. The Zone includes Ashland, Bayfield, Burnett, Douglas, Iron and Washburn Counties.

The purpose of the Wisconsin Technology Development Zone Program is to attract, promote and expand high technology in Wisconsin by providing tax credits to high-technology businesses. The amount of tax credits a business receives under the Program is based on the amount of Wisconsin corporate income tax, property tax and sales tax the business pays or expects to pay in the future. Since S Corporations, Limited Liability Companies and Partnerships do not pay Wisconsin corporate income tax (the owners of such entities pay income tax individually on their share of the businesses profits), the size of their tax credit is based only on their property tax and sales tax payments. The Program, as it was originally implemented, did not take into consideration the business-related income tax the individual business owners pay.

Act 72 (AB 520) which was passed by the legislature and signed by the Governor addressed this issue and changed the way the Department of Commerce will calculate the tax credits. We appreciate the legislature’s and the Governor’s support on this issue.

However, the ability of S Corporations, Limited Liability Companies and Partnerships in Northwest Wisconsin to fully benefit from the Technology Development Zone Program is impaired because of issues related to where the owners of these businesses reside. Many businesses in Douglas County (and other counties within the Superior Life Technology Zone) have owners who reside in Minnesota (or other states). Because of income tax reciprocity issues, Wisconsin tax credits awarded to an S Corporation, Limited Liability Company or Partnership under the Technology Development Zone Program are of no use to an owner who is domiciled in Minnesota. Thus the tax credits, in situations like this, fail to provide the incentive the Program intended.

In order to attract and nurture high technology business within the Superior Life Technology Zone, we request that the tax credits, provided under the Program to certified technology businesses in the Zone, be refundable. We ask your support of SB 184 or similar legislation.

Superior was founded over 150 years ago because of its transportation capabilities.  Superior is known for its robust trucking, rail, pipeline and waterborne transportation industry.  Today, waterborne transportation has a significant economic impact on Superior and Northwestern Wisconsin. 

In addition to domestic and Canadian trade which is conducted by “Lakers”, 131 ocean going vessels (“Salties”) visited the Port of Superior-Duluth in 2005.  Salties haul grain from the Twin Ports to ports around the globe.  Last year, these vessels carried over 2 million metric tons of wheat, oats, and flax from Superior alone. 

The annual shipping season and associated waterfront capital investments generate a total economic impact for the Superior-Duluth area that exceeds $210 million.  Waterfront facilities pay over $3 million in property taxes and Superior docks pay occupational taxes of approximately $1 million per annum.  

More than 2,000 jobs are directly and indirectly reliant on the annual shipping season and capital investments.  Oceangoing vessels visiting Superior mean employment for stevedores, longshoremen, vessel agents, grain testers, grain millers, tug boat operators, marine suppliers, railroad workers and truck drivers.  These vessels also attract tourists who travel to, shop and stay in our community. 

But Superior and other Wisconsin ports such as Milwaukee and Green Bay are not the only beneficiaries of waterborne transportation made possible by the Great Lakes - St. Lawrence Seaway System.  Waterborne transportation provides Wisconsin manufacturers a cost competitive way to receive raw materials from suppliers and to ship high valued finished goods to customers throughout the world. Wisconsin’s pulp and paper industry, which competes internationally, relies on Great Lakes-St. Lawrence Seaway shipping to move pulp and finished paper.  Grain farmers in southern Wisconsin depend heavily on the Midera Grain Elevator in Milwaukee. 

Members of the aforementioned industries have found shipping on the Great Lakes-St. Lawrence Seaway System to be an effective alternative to shipping by rail and truck.  Compared to these other transport modes, waterborne commerce is the most environmentally friendly.  It generates the least pollution, consumes the least amount of energy, causes the least number of industry related accidents and is responsible for less urban congestion, noise or social disruption than rail or truck.  During a time of rising truck and rail rates and a shortage of rail cars, waterborne transportation keeps Wisconsin’s economy competitive and moving forward. 

Not unlike other modes of transportation, waterborne transportation does have its issues.  Aquatic invasive species is one such issue.  Ballast water of ocean going vessels is one of many vectors for the introduction of invasive species into Wisconsin ports and inland waters.  Industry has taken steps to address this very complex issue.   

In the early 1990’s industry adopted a mid-ocean ballast water exchange program.  Although the program has been effective, industry leaders realize that it is an imperfect solution and have pushed for more research.  Recently, the University of Wisconsin- Superior received a total of $1 million in federal funding for a ballast water study which is being undertaken as part of the American Great Lakes Ports’ Association’s “Great Ships Initiative” to more aggressively confront the introduction of invasive species in the ballast water of ocean-going vessels that visit Great Lakes ports.  This effort is supported by port communities and vessel operators. 

One of the main goals of the effort is to accelerate the development, installation, testing and use of treatment tools to stop aquatic invasive species introductions by foreign vessels.  UWS is poised to be an international leader in ballast water/aquatic invasive species research. 

Even in light of these research efforts, some states have taken it upon themselves to pass ballast water regulation absent of a clear technological solution.  Michigan in 2005 was the first state to do so.  Other Great Lakes States, including Wisconsin, are considering similar legislation with the reasoning that if all states in the Great Lakes basin have uniform legislation, no state would be put at an economic disadvantage. 

What this “level playing field” argument fails to realize is that Superior’s real competition is not Detroit, Chicago, Toledo or Buffalo, but ports along the Mississippi River, the Gulf Coast and in Washington State - ports in states that, as of today, have not and are not likely to impose ballast water regulations.  

If Wisconsin rushes to pass legislation modeled after the Michigan law, Salties visiting Superior will have added regulation and costs while vessels visiting the competition will not.  Vessel operators and shippers will ultimately decide to utilize ports where regulations and costs are lowest.  Superior’s oceangoing vessel trade will be devastated.

University of Wisconsin-Superior students have high expectations for their education. It is the goal of the University to fulfill those expectations and to set a high standard of quality instruction for Wisconsin’s Public Liberal Arts College.

Wisconsin’s recent investment in UW-Superior through construction of a Health and Wellness Center is proof of the University’s and State’s commitment to quality education in the northland. UW-Superior is now preparing to meet its next major goal: construction of a new academic building.

This facility will replace two academic buildings, neither of which was initially intended for University instruction. Both aging buildings, McCaskill and Sundquist halls, have been deemed unsuitable by the state for further renovations to meet student needs. The new, approximately 160,000-square-foot building would be equipped with flexible classrooms to meet changing teaching and learning styles; faculty offices; and specialized laboratory and work space for student projects and student/faculty research. The infrastructure would support current and future technology access.

The project has been articulated as a high priority within the UW System and is a key component in UW-Superior’s “Campaign Superior: Higher Expectations.” This campaign partnership with the UW-Superior Foundation will raise $7 million in private contributions for the building. Already, more than $5 million has been pledged to the project. The overall project is estimated at $30 million.

Background:  In 1910 and 1911 Ashland and Bayfield County Boards allocated funds for the purchase of 160 acres of agricultural land for a branch experiment farm in Bayfield County. Over the past 95 years the farm has played an important role in the local economy, fostering ideas and expertise for the region. With each generation the direction of the station changed. In the early part of the century the station was used for research on alfalfa, peas and other small grains. Later it was used for dairy and beef cattle research as well as further crop studies. In 1994 the dairy herd operation was sold and in 2001 the college consolidated its operations reducing staff and overall use of the site.

Today the College of Agriculture is proposing to close the site due to a lack of ongoing and future research potential.

Request:  As the State’s biobased economy develops, there will be an increased reliance and demand on agriculture and forestry for raw materials. Likewise, it will become increasingly important that such materials are produced with fewer inputs and less impact on soil and water quality. The proposed Chequamegon Institute will build on the agricultural and forest-based economies of northern Wisconsin and utilize the Ashland Agricultural Research Station for research, education, and demonstration in support of a sustainable biobased economy in Wisconsin and beyond.

Just as the direction and purpose of the station has changed in the past, residents of Northern Wisconsin strongly believe there is a continued need and purpose for Agricultural Experimentation in this section of the State. Existing and proposed projects at the research station include:

• Low input intensive grazing for meat and milk - proposed
• Hybrid hazelnuts for food and fuel - proposed
• Perennial plants for nutriceuticals, pharmaceuticals, and botanicals - proposed
• Community gardens - existing
• Stormwater management - existing
• Wetland restoration - existing
• Native plant propagation -existing
• Off-season berry production - proposed
• Value-added processing for food, fuel, industrials, and profit - proposed

Background:  Wisconsin is a leading state in agriculture, but continues to lose farmland to non-agricultural uses at a rapid rate. Some towns and counties in Wisconsin as part of their land use planning have moved forward to save the farmland that supports their local economy and protects the rural character of their community. Using every tool possible, like exclusive agricultural zoning and conservation programs, local governments have determined that in some situations the only way to permanently protect prime and unique farmland is to purchase the development rights.

The purchase of development rights is a voluntary farmland preservation tool that compensates the landowner at fair market value for permanently restricting the land from development to save it for agriculture or open space use. The restrictions are incorporated into an easement that is recorded at the courthouse and annually monitored by the local government or land trust. When farmland is protected by a permanent easement, its future will be secured for the benefit of the farmer and the community.

The Working Lands Initiative task force appointed by Secretary of Agriculture Nilsestuen, is taking up this discussion, and recommended in January 2006 that PDR be part of the state’s program to preserve farmland. We encourage the task force to:

• Fund local programs.
• Target critical agricultural areas, especially high value crops and tourism areas.
• Require the local program be based on comprehensive planning.
• Permit non-profit land trusts to be eligible grantees.
• Consider administering the PDR grant program through the Knowles-Nelson Stewardship Fund which provides grants for fee title and easement acquisition for natural areas, parks and trails in Wisconsin.

Reasons for the request:  Local governments and non-profit organizations can leverage the state’s investment with private and local dollars. Farmland protection efforts could be doubled by bringing a state funding component to match federal and local PDR dollars. Twenty-four states with PDR programs provide state funding. Available sources of federal money that could be leveraged against state PDR funding include the Farm and Ranch Lands Protection Program (FRPP) and the Conservation Reserve Enhancement Program (CREP).

Funding Options:  A state PDR grant program can be funded in many ways. Key funding mechanisms could include:

Background:  The eco-municipality movement in Chequamegon Bay began when representatives from Northland College and UW-Extension attended a May 2004 regional conference and learned about The Natural Step Initiative for Communities in Sweden and the United States. TNS is a scientific framework of easily understood principles that serves as a compass to guide society towards a just and sustainable future. Seventy “eco-municipalities” in Sweden have been applying these principles for over 20 years, and have been very successful in both expanding their economies while stemming the impacts of climate change.

Over a dozen presentations of this concept were made in the Fall of 2004 to over a thousand people in the Chequamegon Bay, leading to a major international conference in Ashland for 200 local attendees - citizens, government officials & employees from the cities of Ashland, Washburn, Bayfield, and LaPointe, as well as the Red Cliff and Bad River reservations. They generated priority lists of economically sustainable projects in the Spring of 2005. As a result, two municipalities (Washburn and subsequently Ashland) adopted eco-municipality resolutions based on TNS principles in July and September of this last year, becoming the first two eco-municipalities in the United States. Washburn received a commendation from the Governor.

Then, nine, two-month-long Study Circles in four communities drew over 90 participants to study The Natural Step in depth, concluding with very specific, realistic projects that should be implemented in the Chequamegon Bay. In 2005, the Chequamegon Bay also sponsored visits from the establisher of the Natural Step (Dr. Karl-Henrik Robèrt from Stockholm), and the establisher of the eco-municipality movement in Sweden (Torbjörn Lahti) to meet with and train local government leaders.

Reasons for the Request:  This request involves support for implementing specific set projects, and would provide funding for programs that are not only well-reasoned and prioritized by local citizens during the past year, but are also well-researched, revised, and substantiated by over twenty years of experience in Sweden, Europe, Canada, Africa, and Japan. Examples of projects include a Chequamegon Bay walk-in office to provide models and funding for local green initiatives; exploration of alternative energy models that can be readily adopted by residents, businesses, reservations, and municipalities; increased access to mass transit by 200% or more; and creation of a local agricultural/city network for distribution and marketing to public stores, schools, nursing homes, and other institutions; and revolving loan funds to promising green business proposals.

This proposal is unique to northwest Wisconsin because the Chequamegon Bay is a unique region with an archipelago on the biggest body of fresh water in the world (Lake Superior – the Apostle Islands National Lakeshore) that nearly mirrors the bioregions where Swedish eco-municipalities exist. The poverty level of this region also mirrors those in Sweden before their experience. This proposal includes in its vision (as well as this past year of organizing) participation from the two Chippewa reservations in the Chequamegon Bay, and has been a very positive way for the tribes and cities to work together. We retain many pristine qualities in our environment, which local residents wish to protect and chambers of commerce and our national park service plan to promote as eco-tourism.

We are in need of state assistance because we are in an economically deprived region with one of the highest unemployment rates in the state. Tight budgets, reduced shared revenues, increasing property taxes to sustain the most elemental services, and declining infrastructures in our towns limit any resources for capital to initiate these vital projects. Our rural isolation only adds to the expense of providing basic services, much less adding innovative sustainability projects.

It is an understatement to say that there is widespread enthusiasm for creating this new economic paradigm, and key leaders have done all they can so far to help provide for our initial education. Now, the region is ready to implement new projects, and is prepared to act as a model for the United States and the rest of the world that is seeking a model for rural sustainable economic development.

Funding for the facility has come mainly from Tribal Gaming Revenues to the State with support from Wisconsin Tribes. The project has had committee involvement from a variety of private, federal, tribal, and state agencies over the years. The project has received strong support from a variety of state senators, representatives and federal congressmen. Design and construction plans were completed and approved in 2003. Phase I, which included all the external water piping, outside fish rearing ponds and related structures, was completed in the summer of 2004. Phase II, The 8,600 sq. ft “state of the art” Aquatic Production Area and related buildings was completed and activated in 2005. To date, approximately $4.0 million has been spent on this complex and related equipment. The NADF is presently raising several species of fish, has garnered additional grant funding, employed local workers, worked with a local school to offer an aquaculture course, and has hosted many visitors interested in the facility(see attached update). Phase III, a 7,500 square foot Administration/Classroom Complex which will hold offices, classrooms, resource center, meeting room and other related support areas, needs an additional $1.2 million to complete construction. Design blueprints have already been completed and the building site was cleared during Phase I and II.

This initiative will enable the region to realize:
• eco-efficiency improvements for existing industries
• commercialization of clean technologies and eco-based ventures
• significant progress toward a bio-based economy
• improved energy security
• new industrial development and economic growth
• an “eco-brand identity”
• a leadership role for eco-industrial and sustainable development in the Great Lakes Basin

Background:  Interest in eco-industrial development has been gaining momentum in the region over the past ten years. A regional task force, with start-up support from the Knight Foundation, was established in late 2004 and has been putting the initial pieces in place to move eco-industrial development from concept to practice. These have included preliminary organizational work, some baseline research and data collection, and the identification of potential eco-industrial projects. Elkhorn Industries, at Connors Point in Superior, has emerged as a project that shows significant potential in this area. It is an evolving pilot effort and a timely example of eco-industrial development projects that an initiative of this type can help identify, support, and make happen.

Eco-industrial development integrates business successes, environmental excellence, and community/regional connections to create enhanced economic opportunities and improved ecosystems.

“Networks of businesses that work with each other and in conjunction with their communities to improve resource productivity, expand markets, eliminate pollution, and catalyze economic growth through enhanced profits, wages, and local investment.”

-- Eco-Industrial Development Council (2003)

Recent Momentum:  The task force was formed to explore the creation of an eco-industrial network. A number of important first steps have been taken:

• identifying and educating regional stakeholders—meetings and presentations, sponsoring the first in a series of regional “eco-industrial forums”
• initiating the development of key baseline information—real estate assessment, marketing approaches, regional industry and resource flow inventory, regional industrial site profiles, regional energy profile, preparation of GIS base map, inventory of eco-industries
• networking with related initiatives—local, county, regional, and national
• identifying specific project opportunities—including the Elkhorn Industries-Georgia Pacific Site at Connors Point in Superior
• providing assistance to emerging ventures—including market planning and site plan development for Elkhorn Industries as a demonstration or pilot project
• developing scenarios for a long-term eco-industrial development initiative—collaboratively forming an implementation process and plan

Next Steps:  The longer-term success of this eco-industrial initiative will require some near-term investments of time and resources. This will, out of necessity, be a collaborative effort with both public and private sector participation as well as a regional effort that will cut across city, county, and state boundaries. Partnering with the state of Wisconsin, through its various agencies and legislatively, will be a critical element in a successful eco-industrial strategy.

The strategic framework to develop regional capacity and fully implement an eco-industrial development initiative combines these key steps and components over the next five years:

• put in place a formal organizational structure capable of setting and realizing strategic priorities, building and maintaining partnerships, and supporting a regional network of businesses committed to eco-industrial development
• form a collaborative network of supporting financial contributors (state and local governments, academic institutions, private business, foundations, NGOs) and related service providers
• form collaborative alliances with other key local and regional organizations
• continue and expand regional baseline analyses
• provide an evolving array of resources and technical assistance to support eco-industrial activities and projects

During this start-up period, the initiative will require:
• funding and related support from a range of private and public sources
• professional staff to help facilitate and support the effort
• a temporary institutional home within an existing regional organization during the formalization of the eco-industrial effort

The citizens of Northwest Wisconsin request that the Legislature make changes to the Technology Development Zone Program to allow businesses within the Superior Life Technology Zone to fully utilize the incentives offered by the Program.

The Superior Life Technology Zone was provided with $5 million in tax credits under the Wisconsin Technology Development Zone Program to award to companies in Northwest Wisconsin that develop new technology or introduce new technology in their operations. The Zone includes Ashland, Bayfield, Burnett, Douglas, Iron and Washburn Counties.

The purpose of the Wisconsin Technology Development Zone Program is to attract, promote and expand high technology in Wisconsin by providing tax credits to high-technology businesses. The amount of tax credits a business receives under the Program is based on the amount of Wisconsin corporate income tax, property tax and sales tax the business pays or expects to pay in the future. Since S Corporations, Limited Liability Companies and Partnerships do not pay Wisconsin corporate income tax (the owners of such entities pay income tax individually on their share of the businesses profits), the size of their tax credit is based only on their property tax and sales tax payments. The Program, as it was originally implemented, did not take into consideration the business-related income tax the individual business owners pay.

Act 72 (AB 520) which was passed by the legislature and signed by the Governor addressed this issue and changed the way the Department of Commerce will calculate the tax credits. We appreciate the legislature’s and the Governor’s support on this issue.

However, the ability of S Corporations, Limited Liability Companies and Partnerships in Northwest Wisconsin to fully benefit from the Technology Development Zone Program is impaired because of issues related to where the owners of these businesses reside. Many businesses in Douglas County (and other counties within the Superior Life Technology Zone) have owners who reside in Minnesota (or other states). Because of income tax reciprocity issues, Wisconsin tax credits awarded to an S Corporation, Limited Liability Company or Partnership under the Technology Development Zone Program are of no use to an owner who is domiciled in Minnesota. Thus the tax credits, in situations like this, fail to provide the incentive the Program intended.

In order to attract and nurture high technology business within the Superior Life Technology Zone, we request that the tax credits, provided under the Program to certified technology businesses in the Zone, be refundable. We ask your support of SB 184 or similar legislation.

Background:  The eco-municipality movement in Chequamegon Bay began when representatives from Northland College and UW-Extension attended a May 2004 regional conference and learned about The Natural Step Initiative for Communities in Sweden and the United States. TNS is a scientific framework of easily understood principles that serves as a compass to guide society towards a just and sustainable future. Seventy “eco-municipalities” in Sweden have been applying these principles for over 20 years, and have been very successful in both expanding their economies while stemming the impacts of climate change.

Over a dozen presentations of this concept were made in the Fall of 2004 to over a thousand people in the Chequamegon Bay, leading to a major international conference in Ashland for 200 local attendees - citizens, government officials & employees from the cities of Ashland, Washburn, Bayfield, and LaPointe, as well as the Red Cliff and Bad River reservations. They generated priority lists of economically sustainable projects in the Spring of 2005. As a result, two municipalities (Washburn and subsequently Ashland) adopted eco-municipality resolutions based on TNS principles in July and September of this last year, becoming the first two eco-municipalities in the United States. Washburn received a commendation from the Governor.

Then, nine, two-month-long Study Circles in four communities drew over 90 participants to study The Natural Step in depth, concluding with very specific, realistic projects that should be implemented in the Chequamegon Bay. In 2005, the Chequamegon Bay also sponsored visits from the establisher of the Natural Step (Dr. Karl-Henrik Robèrt from Stockholm), and the establisher of the eco-municipality movement in Sweden (Torbjörn Lahti) to meet with and train local government leaders.

Reasons for the Request:  This request involves support for implementing specific set projects, and would provide funding for programs that are not only well-reasoned and prioritized by local citizens during the past year, but are also well-researched, revised, and substantiated by over twenty years of experience in Sweden, Europe, Canada, Africa, and Japan. Examples of projects include a Chequamegon Bay walk-in office to provide models and funding for local green initiatives; exploration of alternative energy models that can be readily adopted by residents, businesses, reservations, and municipalities; increased access to mass transit by 200% or more; and creation of a local agricultural/city network for distribution and marketing to public stores, schools, nursing homes, and other institutions; and revolving loan funds to promising green business proposals.

This proposal is unique to northwest Wisconsin because the Chequamegon Bay is a unique region with an archipelago on the biggest body of fresh water in the world (Lake Superior – the Apostle Islands National Lakeshore) that nearly mirrors the bioregions where Swedish eco-municipalities exist. The poverty level of this region also mirrors those in Sweden before their experience. This proposal includes in its vision (as well as this past year of organizing) participation from the two Chippewa reservations in the Chequamegon Bay, and has been a very positive way for the tribes and cities to work together. We retain many pristine qualities in our environment, which local residents wish to protect and chambers of commerce and our national park service plan to promote as eco-tourism.

We are in need of state assistance because we are in an economically deprived region with one of the highest unemployment rates in the state. Tight budgets, reduced shared revenues, increasing property taxes to sustain the most elemental services, and declining infrastructures in our towns limit any resources for capital to initiate these vital projects. Our rural isolation only adds to the expense of providing basic services, much less adding innovative sustainability projects.

Information from the Department of Corrections indicates four of the top five counties of offenders convicted of meth crimes are Burnett, Douglas, Washburn, and Barron. It’s estimated that 30-40% of probation & parole revocations are related to meth use, trafficking, or manufacturing. Twenty-eight percent of all lab tests alone indicate positive for meth in Washburn County, which doesn’t include offenders who admit use. Washburn County Sheriff’s Department estimates meth cost at $365,000 in addition to jail costs in 2004.

Rapid relapse is a significant issue in meth-amphetamine treatment. Approximately 60% relapse in 6 months. Health problems complicate treatment and recovery.

More funding is needed to cope with this epidemic in Northern Wisconsin. Expanded treatment services that will reduce relapse and reduce secondary symptoms such as depression or mania is needed. Additionally, low cost training to providers at all levels on evidence-based procedures to enhance successful treatment of meth addiction is needed.

Reasons for Request:  Many county government officials from northwest Wisconsin and around the state are struggling with how to get control over ever rising criminal justice costs. In recent years most have either built new larger jails or jail additions, or are planning to build new larger jails to address jail overcrowding. County expenditures on criminal justice-related expenses (jail, sheriff department, district attorney’s office, court system and associated social services) when added together constitute the largest county budget expenditure. Recidivism is one of the largest contributors to jail overcrowding. All too often released inmates re-offend and end up back in jail. New jails that are being built today will in all likelihood be full in the not too distant future, and the specter of having to build a new larger jail will again be facing county officials and taxpayers. If new and effective strategies are not developed, this cycle will continue to repeat itself.

How can local government officials obtain the knowledge and tools that will enable them to manage their criminal justice system more efficiently and effectively? What criminal justice management practices have proven to be most effective? How can future jail overcrowding be avoided? What alternatives to incarceration programs have proven to work and how do we go about instituting them? What programs for county jail inmates have been effective in addressing their substance abuse, life skills and employability needs? What strategies and intervention programs have proven effective in reducing the number of repeat offenders?

The citizens of Northwest Wisconsin request the Department of Health and Family Services continued support of Assistive Technology options that enhance the independence of People with Disabilities.

The citizens of Northwest Wisconsin recognize the importance of Assistive Technology in allowing citizens to gain and maintain independence and realize the American dream. A long time supporter of WisTech, Wisloan, Telework, Agrability and other initiatives; we implore the state to embrace the reauthorization of the Assistive Technology Act with zeal.

Possible Actions:
1. Include support of the Independent Living Assistive Technology Proposal in the State 3 year Assistive Technology Plan.
2. Add a consumer representative from Northwestern Wisconsin to the WisTech advisory committee.

Reason for the Request:  The citizens of Northwest Wisconsin recognize the importance of early intervention services and support the State’s need to meet federal requirements. However, the mandated nature of the Birth to Three Program, the limited funding available, limited access to licensed providers, and the requirement that the services be provided in natural environments make it a difficult and costly service to provide in rural Northwest Wisconsin. Since federal and state funding has not increased since 2001, the financial responsibility of increasing costs to run the Birth to Three Program has become a local burden funded with the very limited county levy dollars available due to the recent tax freeze. The mandated nature of the program requires that services be prioritized for children eligible for the Birth to Three Program at the expense of other target populations as well as other programs and services offered by county governments. Changes must be made to the program to provide financial relief to counties. It is our opinion that changes can be made while still maintaining the integrity of this valuable program.

A workgroup was established in the fall of 2004 to make recommendations to the Secretary to address concerns about the Birth to Three Program. A paper was issued in April of 2005, but many of the strategies recommended by the workgroup have yet to be implemented.

Some of the strategies to consider:
• Fully fund this important early intervention program.
• If additional funding cannot be appropriated, revise eligibility criteria to the level of funding available.
• Reduce program expectations to a level consistent with the funding.
• Increase cost share liability to families, particularly those in the upper income tax brackets.
• Reduce a family’s cost share for those families who allow access to private health insurance for services.
• Evaluate the potential benefit of mandating minimum insurance coverage for early intervention services.
• Streamline the program review process
• Develop clear and concise policy on discontinuing services for children who have attained normal developmental milestones.
• Develop clear and concise policy on failure to provide a parental cost share.

The citizens of Northwest Wisconsin recognize the importance of Medicaid-supported transportation in allowing citizens to gain basic access to services. HOWEVER, low reimbursement rates have eliminated provider choice in Northwest Wisconsin and, as a result, local transportation systems currently consists of many consumers who drive themselves and networks of volunteer driver programs. DHFS is changing the administration of this program by implementing a brokerage system called the Transportation Management Initiative or TMI. Since there is unlikely to be the same significant savings in rural Northwest Wisconsin as in other, more urban parts of the state, Citizens ask DHFS to carefully consider and, if needed, alter implementation plans for our region and consider other measures to better assure access to services.

Possible Actions:

1. DHFS must carefully analyze how a brokerage system would improve access to services and decrease cost in rural, Northwestern Wisconsin and may want to consider alternatives that are different than the brokerage offered in the balance of state. It is important that there be adequate providers, particularly SMV’s, available for individuals which a broker may be able to facilitate. However, contracting with a broker to coordinate consumers who drive themselves and volunteer drivers may incur more cost than the current system. Other alternatives may be more cost effective and provide better service to local consumers.

2. DHFS must be prepared to delineate alternative systems for provision of services in the event no bidder is matched with a particular region. Recognizing that the five present DHFS regions differ in their population characteristics, certain regions may offer a higher density of services and thus be more attractive to potential managers than others.

3. DHFS must carefully consider how to work with counties to improve access and coordinate transportation services in any new system. Currently counties have networks of volunteer drivers that provide transportation services to individuals. Although many of our consumers are Medicaid-eligible, many of them are not and thus making it necessary for counties to recruit and retain a contingency of volunteer drivers. Counties do not want to be in a position where they must compete with an independent regional broker for this valuable, but often limited resource.

4. DHFS must provide a reimbursement mechanism for costs incurred for new and continuing information requests. DHFS must recognize that transfer of information from counties and other operating entities to Managers will entail staff time and thus incur costs.

5. DHFS will make sure that those participants who have difficulty accessing a regional system will still be able to get the medical transportation that they need. County staff in rural Northwestern Wisconsin recognizes those needing medical transportation services as friends, neighbors, and relatives who need a hand. The staff makes every attempt to connect individuals with the resources that they need to get to their medical appointments. If this is not done, it not only threatens the provision of transportation services, it may not facilitate the provision of medical services to those individuals. If it is difficult for participants to access services that are preventative in nature, it will eventually begin to cost more in Medicaid dollars to address their more complex medical needs when medical intervention is necessary.

6. DHFS will work toward supporting coordinated transportation systems and coordinated funding mechanisms for transportation services. Medicaid is only one of many funding sources which supports the provision of transportation to low income families, the elderly and disabled. Funding for transportation services is also provided by such sources as the Department of Transportation and aging programs, rendering the funding streams and transportation systems fragmented and broken. A coordination of funding streams and public/private transportation systems would gain efficiencies and stretch limited resources. DHFS must make every effort to work actively with other agencies and organizations that provide support for transportation needs to facilitate effective coordination of services.

Information from the Department of Corrections indicates four of the top five counties of offenders convicted of meth crimes are Burnett, Douglas, Washburn, and Barron. It’s estimated that 30-40% of probation & parole revocations are related to meth use, trafficking, or manufacturing. Twenty-eight percent of all lab tests alone indicate positive for meth in Washburn County, which doesn’t include offenders who admit use. Washburn County Sheriff’s Department estimates meth cost at $365,000 in addition to jail costs in 2004.

Rapid relapse is a significant issue in meth-amphetamine treatment. Approximately 60% relapse in 6 months. Health problems complicate treatment and recovery.

Northwest Wisconsin begins its winter tourism season on December 1st of each year. With tourism being the number one industry in many of our communities, it is crucial to our economy to utilize each week of the winter season. The economic impact would be significant in many areas, because winter tourists are looking for that first snow to travel north and use their snowmobiles and skis. A late hunting season that could extend to December 14th would be a major conflict with those who use the trail systems in Northwest Wisconsin.

December hunting seasons have been tried in the north previously with little participation and poor results in managing the deer herd. Temperatures are colder and the snow is deeper making it more difficult to hunt. In addition, hunters have many times used up their time during the regular season. An alternative way to manage the deer herd could be much more successful earlier in the season; for example, a T Zone hunt during the second week in October. At this time the weather is milder and it would not interfere as much with the prime bow hunting season.

Summary of Economic Impact:
The City of Ashland has adopted a Waterfront Development Plan in 2002, which called for the redevelopment of the Ore Dock site as a cultural and historical attraction for the community. The plan calls for the site to be used as a museum focused upon Ashland’s historic role in the shipping and resource extraction industries. This plan was later codified in the City’s Comprehensive Plan, which designates Ashland’s lakefront as a special land use zone ensuring that the community’s lakefront is developed in a manner that will provide cultural amenities and serve as a tourist draw and economic engine for the community. The proposed use of Ashland’s Ore Dock by the Northeastern Maritime Historical Foundation “fits” perfectly with the community’s plans for redevelopment of the site.

Summary of Issues Challenging Reuse Opportunity:
The Ore Dock was last routinely utilized in 1965. Since that time, the condition of the structure has essentially been left unattended. Components of the structure are falling off, including large pieces of concrete, upper metal railings, wiring and wooden sections of the trestle. The property and structure (which includes the Ore Dock and the wooden approach) have been acquired from Wisconsin Soo Line, Ltd. by Canadian National. For forty years, the Ore Dock and the approach have been deteriorating and have resulting in serious concerns for public safety. Assistance from State Agencies is needed to put pressure on and/or to require Canadian National to be a responsible property owner, or to transfer the structure to an entity who has plans to remediate the structure.

To transfer the property and the Ore Dock structures to the above mentioned Foundation, CN is required to go through the abandonment process, where they will be required by Wisconsin State Statutes (190.08) to remove all railroad structures (i.e., the Ore Dock) from the lakebed of Lake Superior and restore the lakebed to the natural condition that existed before the structure was constructed. As an alternative to restoring the lake bed, the Wisconsin Department of Natural Resources (DNR) may issue a Chapter 30 Permit to allow the structure to remain. As a component of the Chapter 30.12 permitting process, the DNR will require that a bond (or some financial security) be issued, for the long term maintenance and potential removal of the Ore Dock and trestles structures. Such a Permit would allow the opportunity to reuse the Ore Dock as a maritime museum. Ashland has requested the State of Wisconsin for assistance with determining the amount of the financial security through a structural analysis with cost estimates.

In early December, the Wisconsin’s State Building Commission approved funding of a $150,000 Planning Grant/Feasibility Study to assist in determining the amount of this financial security. Currently the City of Ashland is working with the Department of Administration, who will oversee a Structural Analysis on the Ore Dock. The preliminary project scope includes:

Evaluation of the current condition of the Ore Dock Structure and the Wooden Trestle Approach, which are clearly in deteriorating condition. Cost estimates and a basic overview of the work required (a) to stabilize the structure and the approach; (b) to partially remove the structure, which may entail the remove of the Ore Dock’s superstructure and trestle; and (c) to remove the structure from the Lake Superior lakebed and remove the approach from the shoreline to the steel frame just north of Main Street.

The City of Ashland would like to thank the State of Wisconsin for their early assistance with this project. The approval of the funds to begin the Feasibility Study/Structural Analysis is a step in the direction of (1) cleaning up a public safety hazard and (2) supporting a plan for economic development in Ashland.

Planning is a very important first step, but continued support from the State of Wisconsin is needed on this project to make any physical progress occur to meet our safety concerns about the Ore Dock.

This initiative will enable the region to realize:
• eco-efficiency improvements for existing industries
• commercialization of clean technologies and eco-based ventures
• significant progress toward a bio-based economy
• improved energy security
• new industrial development and economic growth
• an “eco-brand identity”
• a leadership role for eco-industrial and sustainable development in the Great Lakes Basin

Background:  Interest in eco-industrial development has been gaining momentum in the region over the past ten years. A regional task force, with start-up support from the Knight Foundation, was established in late 2004 and has been putting the initial pieces in place to move eco-industrial development from concept to practice. These have included preliminary organizational work, some baseline research and data collection, and the identification of potential eco-industrial projects. Elkhorn Industries, at Connors Point in Superior, has emerged as a project that shows significant potential in this area. It is an evolving pilot effort and a timely example of eco-industrial development projects that an initiative of this type can help identify, support, and make happen.

Eco-industrial development integrates business successes, environmental excellence, and community/regional connections to create enhanced economic opportunities and improved ecosystems.

“Networks of businesses that work with each other and in conjunction with their communities to improve resource productivity, expand markets, eliminate pollution, and catalyze economic growth through enhanced profits, wages, and local investment.”

-- Eco-Industrial Development Council (2003)

Recent Momentum:  The task force was formed to explore the creation of an eco-industrial network. A number of important first steps have been taken:

• identifying and educating regional stakeholders—meetings and presentations, sponsoring the first in a series of regional “eco-industrial forums”
• initiating the development of key baseline information—real estate assessment, marketing approaches, regional industry and resource flow inventory, regional industrial site profiles, regional energy profile, preparation of GIS base map, inventory of eco-industries
• networking with related initiatives—local, county, regional, and national
• identifying specific project opportunities—including the Elkhorn Industries-Georgia Pacific Site at Connors Point in Superior
• providing assistance to emerging ventures—including market planning and site plan development for Elkhorn Industries as a demonstration or pilot project
• developing scenarios for a long-term eco-industrial development initiative—collaboratively forming an implementation process and plan

Next Steps:  The longer-term success of this eco-industrial initiative will require some near-term investments of time and resources. This will, out of necessity, be a collaborative effort with both public and private sector participation as well as a regional effort that will cut across city, county, and state boundaries. Partnering with the state of Wisconsin, through its various agencies and legislatively, will be a critical element in a successful eco-industrial strategy.

The strategic framework to develop regional capacity and fully implement an eco-industrial development initiative combines these key steps and components over the next five years:

• put in place a formal organizational structure capable of setting and realizing strategic priorities, building and maintaining partnerships, and supporting a regional network of businesses committed to eco-industrial development
• form a collaborative network of supporting financial contributors (state and local governments, academic institutions, private business, foundations, NGOs) and related service providers
• form collaborative alliances with other key local and regional organizations
• continue and expand regional baseline analyses
• provide an evolving array of resources and technical assistance to support eco-industrial activities and projects

During this start-up period, the initiative will require:
• funding and related support from a range of private and public sources
• professional staff to help facilitate and support the effort
• a temporary institutional home within an existing regional organization during the formalization of the eco-industrial effort

Northern Wisconsin counties hold significant acreage of lands enrolled in the County Forest Law program. These lands are valued by the citizens of Wisconsin as public lands that are open for use in the same manner as State and National Forests. These forests are a large part of what makes northern Wisconsin unique.

Under current State Statute (s. 28.11(8), Wis. Stats.), the Department of Natural Resources pays to each township $0.30 per acre for lands enrolled under the County Forest Law program. This payment began in 1929 with a payment of $0.10/acre and was increased to $0.20/acre in 1973 and to $0.30/acre in 1989. In addition to this payment, counties return 10% of gross timber sale revenue to the townships as a revenue share. In 2004, the average payment to townships was $0.90/acre plus the acreage share payment of $0.30/acre for a total of $1.20/acre.

The Department of Natural Resources makes a similar payment to townships containing State Forest Lands. This payment is $0.88/acre for lands acquired prior to 1969; $1.87/acre for lands acquired prior to 1992; and $2.41/acre for lands acquired after 1992.

In general, the public and the townships do not make a distinction between the uses, benefits, and economic impacts of a State Forest versus a County Forest and it should be appropriate to compensate the townships on a more equal basis for County Forest Lands. In light of changes to the shared revenue system, it is important to ensure that public lands do not become an economic burden to local governments.

An increased Acreage Share Payment from $0.30/acre to $1.00/acre for townships, coupled with the Severance Share Payment from the counties would make the relationship between State and County Forests more equitable. The requested funding source is the Forestry Mil Tax, which is the existing source of funds for this program.

The North Country National Scenic Trail was authorized by Congress in 1980 and is one of eight national scenic trails. It is a long distance hiking trail similar to the famed Appalachian Trail, but crossing the northern tier of states from New York to North Dakota. The trail will be 4,600 miles long when completed; 1,700 miles are currently certified by the National Park Service. The Park Service administers the seven state trail from an office in Madison, Wisconsin.

In Wisconsin, 114 miles of trail are complete out of a future total of 220 miles. The first section of the North Country Trail was completed in the Chequamegon National Forest in the 1960s. Trail development was dormant for many years, but was revived in the mid-90s through the efforts of the Park Service and the North Country Trail Association, the supporting citizen group. There are now North Country Trail Association chapters in the Hurley, Mellen, and Douglas County areas. Volunteers from these chapters have built 36 miles of trail over the past five years.

Wisconsin is home to two National Scenic Trails. The State of Wisconsin is currently supporting development and promotion of the Ice Age National Scenic Trail through an annual $75,000 allocation (Chapter 23.295, Wisconsin Statutes). We propose comparable funding for the North Country National Scenic Trail to benefit northern Wisconsin recreation, tourism, and conservation.

Construction projects which disturb one acre or more require a DNR Storm Water permit. The permit process is based on EPA mandated rules, which have been incorporated into Wis. Admin. Code NR151 & NR 216. The permit process and related construction costs have increased the cost for construction projects significantly. The plan preparation usually requires that a consultant be paid to develop the plans and the owner or developer must ensure the project is constructed according to the plans.

This is an impediment to economic development in small rural communities. Some projects are stopped due to the extra costs associated with the process.

The DNR has grant programs available in many of their programs. We request a grant program be initiated to help fund storm water permits and related construction projects.

Superior was founded over 150 years ago because of its transportation capabilities.  Superior is known for its robust trucking, rail, pipeline and waterborne transportation industry.  Today, waterborne transportation has a significant economic impact on Superior and Northwestern Wisconsin. 

In addition to domestic and Canadian trade which is conducted by “Lakers”, 131 ocean going vessels (“Salties”) visited the Port of Superior-Duluth in 2005.  Salties haul grain from the Twin Ports to ports around the globe.  Last year, these vessels carried over 2 million metric tons of wheat, oats, and flax from Superior alone. 

The annual shipping season and associated waterfront capital investments generate a total economic impact for the Superior-Duluth area that exceeds $210 million.  Waterfront facilities pay over $3 million in property taxes and Superior docks pay occupational taxes of approximately $1 million per annum.  

More than 2,000 jobs are directly and indirectly reliant on the annual shipping season and capital investments.  Oceangoing vessels visiting Superior mean employment for stevedores, longshoremen, vessel agents, grain testers, grain millers, tug boat operators, marine suppliers, railroad workers and truck drivers.  These vessels also attract tourists who travel to, shop and stay in our community. 

But Superior and other Wisconsin ports such as Milwaukee and Green Bay are not the only beneficiaries of waterborne transportation made possible by the Great Lakes - St. Lawrence Seaway System.  Waterborne transportation provides Wisconsin manufacturers a cost competitive way to receive raw materials from suppliers and to ship high valued finished goods to customers throughout the world. Wisconsin’s pulp and paper industry, which competes internationally, relies on Great Lakes-St. Lawrence Seaway shipping to move pulp and finished paper.  Grain farmers in southern Wisconsin depend heavily on the Midera Grain Elevator in Milwaukee. 

Members of the aforementioned industries have found shipping on the Great Lakes-St. Lawrence Seaway System to be an effective alternative to shipping by rail and truck.  Compared to these other transport modes, waterborne commerce is the most environmentally friendly.  It generates the least pollution, consumes the least amount of energy, causes the least number of industry related accidents and is responsible for less urban congestion, noise or social disruption than rail or truck.  During a time of rising truck and rail rates and a shortage of rail cars, waterborne transportation keeps Wisconsin’s economy competitive and moving forward. 

Not unlike other modes of transportation, waterborne transportation does have its issues.  Aquatic invasive species is one such issue.  Ballast water of ocean going vessels is one of many vectors for the introduction of invasive species into Wisconsin ports and inland waters.  Industry has taken steps to address this very complex issue.   

In the early 1990’s industry adopted a mid-ocean ballast water exchange program.  Although the program has been effective, industry leaders realize that it is an imperfect solution and have pushed for more research.  Recently, the University of Wisconsin- Superior received a total of $1 million in federal funding for a ballast water study which is being undertaken as part of the American Great Lakes Ports’ Association’s “Great Ships Initiative” to more aggressively confront the introduction of invasive species in the ballast water of ocean-going vessels that visit Great Lakes ports.  This effort is supported by port communities and vessel operators. 

One of the main goals of the effort is to accelerate the development, installation, testing and use of treatment tools to stop aquatic invasive species introductions by foreign vessels.  UWS is poised to be an international leader in ballast water/aquatic invasive species research. 

Even in light of these research efforts, some states have taken it upon themselves to pass ballast water regulation absent of a clear technological solution.  Michigan in 2005 was the first state to do so.  Other Great Lakes States, including Wisconsin, are considering similar legislation with the reasoning that if all states in the Great Lakes basin have uniform legislation, no state would be put at an economic disadvantage. 

What this “level playing field” argument fails to realize is that Superior’s real competition is not Detroit, Chicago, Toledo or Buffalo, but ports along the Mississippi River, the Gulf Coast and in Washington State - ports in states that, as of today, have not and are not likely to impose ballast water regulations.  

If Wisconsin rushes to pass legislation modeled after the Michigan law, Salties visiting Superior will have added regulation and costs while vessels visiting the competition will not.  Vessel operators and shippers will ultimately decide to utilize ports where regulations and costs are lowest.  Superior’s oceangoing vessel trade will be devastated.

Background:  The eco-municipality movement in Chequamegon Bay began when representatives from Northland College and UW-Extension attended a May 2004 regional conference and learned about The Natural Step Initiative for Communities in Sweden and the United States. TNS is a scientific framework of easily understood principles that serves as a compass to guide society towards a just and sustainable future. Seventy “eco-municipalities” in Sweden have been applying these principles for over 20 years, and have been very successful in both expanding their economies while stemming the impacts of climate change.

Over a dozen presentations of this concept were made in the Fall of 2004 to over a thousand people in the Chequamegon Bay, leading to a major international conference in Ashland for 200 local attendees - citizens, government officials & employees from the cities of Ashland, Washburn, Bayfield, and LaPointe, as well as the Red Cliff and Bad River reservations. They generated priority lists of economically sustainable projects in the Spring of 2005. As a result, two municipalities (Washburn and subsequently Ashland) adopted eco-municipality resolutions based on TNS principles in July and September of this last year, becoming the first two eco-municipalities in the United States. Washburn received a commendation from the Governor.

Then, nine, two-month-long Study Circles in four communities drew over 90 participants to study The Natural Step in depth, concluding with very specific, realistic projects that should be implemented in the Chequamegon Bay. In 2005, the Chequamegon Bay also sponsored visits from the establisher of the Natural Step (Dr. Karl-Henrik Robèrt from Stockholm), and the establisher of the eco-municipality movement in Sweden (Torbjörn Lahti) to meet with and train local government leaders.

Reasons for the Request:  This request involves support for implementing specific set projects, and would provide funding for programs that are not only well-reasoned and prioritized by local citizens during the past year, but are also well-researched, revised, and substantiated by over twenty years of experience in Sweden, Europe, Canada, Africa, and Japan. Examples of projects include a Chequamegon Bay walk-in office to provide models and funding for local green initiatives; exploration of alternative energy models that can be readily adopted by residents, businesses, reservations, and municipalities; increased access to mass transit by 200% or more; and creation of a local agricultural/city network for distribution and marketing to public stores, schools, nursing homes, and other institutions; and revolving loan funds to promising green business proposals.

This proposal is unique to northwest Wisconsin because the Chequamegon Bay is a unique region with an archipelago on the biggest body of fresh water in the world (Lake Superior – the Apostle Islands National Lakeshore) that nearly mirrors the bioregions where Swedish eco-municipalities exist. The poverty level of this region also mirrors those in Sweden before their experience. This proposal includes in its vision (as well as this past year of organizing) participation from the two Chippewa reservations in the Chequamegon Bay, and has been a very positive way for the tribes and cities to work together. We retain many pristine qualities in our environment, which local residents wish to protect and chambers of commerce and our national park service plan to promote as eco-tourism.

We are in need of state assistance because we are in an economically deprived region with one of the highest unemployment rates in the state. Tight budgets, reduced shared revenues, increasing property taxes to sustain the most elemental services, and declining infrastructures in our towns limit any resources for capital to initiate these vital projects. Our rural isolation only adds to the expense of providing basic services, much less adding innovative sustainability projects.

It is an understatement to say that there is widespread enthusiasm for creating this new economic paradigm, and key leaders have done all they can so far to help provide for our initial education. Now, the region is ready to implement new projects, and is prepared to act as a model for the United States and the rest of the world that is seeking a model for rural sustainable economic development.

Background:  In 1965 the Wisconsin State Legislature created the Wild Rivers program, stating “In order to afford the people of this state an opportunity to enjoy natural streams, to attract out-of-state visitors and assure the well-being of our tourist industry, it is in the interest of this state to preserve some of the rivers in a free flowing condition and to protect them from development…” (s.30.26, WIS.STATS).

In response to grass-roots requests from citizens and groups in northwest Wisconsin for a protective designation to help protect and preserve key local rivers, Governor Jim Doyle responded with a proposal for Wild River designation for the 8-mile St. Croix River headwaters segment (from Upper St. Croix Lake to the Gordon Flowage) and the Totogatic River as part of his “Conserve Wisconsin” agenda.

Following a series of public information meetings in November, Senator Robert Jauch hosted a public listening session in December to directly gauge public support.

Formal legislative approval of the Wild River designation for these two rivers:

• Is consistent with the Douglas County Land and Water Resource Management Plan approved by the County Board as resolution #18-05 on March 17, 2005 that advocates protective designations and highlights protective efforts for the headwaters of the St. Croix Basin.

• Is consistent with the Washburn County fifteen-year forestry plan approved by the Washburn County Board of Supervisors that designated the Totogatic River as a County Wild river.

• Includes “Outstanding Resource Water” classification to help protect water quality.

Background:  Tourism represents a highly significant component of the Northwest Wisconsin economy. However, concern continues about the narrow range of opportunities and hence the limits to growth of the tourism economy in this part of Wisconsin. A study commissioned by ITBEC (International Trade, Business, and Economic Development Council) identified several avenues for diversifying the tourism economy of NW Wisconsin.

Rational:  We believe that emphasis on Eco-Tourism will provide:
• Enhanced economic impact
• Expansion of the tourism base
• Support educational opportunities through experiential learning
• Build unique businesses such as tour operators and guides
• Provide opportunities for Northwest Wisconsin writers and photographers

The North Country National Scenic Trail was authorized by Congress in 1980 and is one of eight national scenic trails. It is a long distance hiking trail similar to the famed Appalachian Trail, but crossing the northern tier of states from New York to North Dakota. The trail will be 4,600 miles long when completed; 1,700 miles are currently certified by the National Park Service. The Park Service administers the seven state trail from an office in Madison, Wisconsin.

In Wisconsin, 114 miles of trail are complete out of a future total of 220 miles. The first section of the North Country Trail was completed in the Chequamegon National Forest in the 1960s. Trail development was dormant for many years, but was revived in the mid-90s through the efforts of the Park Service and the North Country Trail Association, the supporting citizen group. There are now North Country Trail Association chapters in the Hurley, Mellen, and Douglas County areas. Volunteers from these chapters have built 36 miles of trail over the past five years.

Wisconsin is home to two National Scenic Trails. The State of Wisconsin is currently supporting development and promotion of the Ice Age National Scenic Trail through an annual $75,000 allocation (Chapter 23.295, Wisconsin Statutes). We propose comparable funding for the North Country National Scenic Trail to benefit northern Wisconsin recreation, tourism, and conservation.

Background:  In 1965 the Wisconsin State Legislature created the Wild Rivers program, stating “In order to afford the people of this state an opportunity to enjoy natural streams, to attract out-of-state visitors and assure the well-being of our tourist industry, it is in the interest of this state to preserve some of the rivers in a free flowing condition and to protect them from development…” (s.30.26, WIS.STATS).

In response to grass-roots requests from citizens and groups in northwest Wisconsin for a protective designation to help protect and preserve key local rivers, Governor Jim Doyle responded with a proposal for Wild River designation for the 8-mile St. Croix River headwaters segment (from Upper St. Croix Lake to the Gordon Flowage) and the Totogatic River as part of his “Conserve Wisconsin” agenda.

Following a series of public information meetings in November, Senator Robert Jauch hosted a public listening session in December to directly gauge public support.

Formal legislative approval of the Wild River designation for these two rivers:

• Is consistent with the Douglas County Land and Water Resource Management Plan approved by the County Board as resolution #18-05 on March 17, 2005 that advocates protective designations and highlights protective efforts for the headwaters of the St. Croix Basin.

• Is consistent with the Washburn County fifteen-year forestry plan approved by the Washburn County Board of Supervisors that designated the Totogatic River as a County Wild river.

• Includes “Outstanding Resource Water” classification to help protect water quality.

The Department of Transportation 1999 Annual Average Daily Traffic estimate was 19,100 vehicles in this area. The estimate for year 2004 was 20,900 vehicles. The estimate for year 2024 is 25,000 vehicles.

The Department of Transportation had scheduled a project that included widening the area to a 4-lane facility and a traffic signal for the year 2004. The Department of Transportation has determined that the traffic is more than 40% local traffic and therefore according to their policy requires a 25% local contribution.

The Department of Transportation proposed two projects to the City of Spooner. The first would extend from STH 253 to the Yellow River Bridge (approximately ¾ mile). This Project has an estimated local share of $803,000.

The City of Spooner has met with the Department to discuss the project, which has been currently put on hold. WIS DOT finished an overlay project within the city limits in 2004; this project is expected to last 10 years. It is time to begin planning for the reconstruction project now. The City of Spooner simply cannot afford to pay this amount for a project that is desperately needed to improve the roadway level of service and safety. The roadway is used by many people from areas outside the city as well as outside the state.

The 2006 City of Spooner budget is $3.2 million, with a local levy of $960,000. A project of the magnitude described above is too large a burden for Spooner to handle on its own; we would have to almost double our local levy if this project is done in one year.

Background:  In 2003, a Highway Safety Committee met to study and recommend improvements to the “T” intersection of State Highway 13 and US Highway 2 near Ashland. As a result, a sign-bridge identifying turning lanes, a designated turning lane, improved radius for entry onto Westbound US Highway 2, and improved line painting were approved and implemented. Unfortunately, the improvements did not reduce the amount of accidents/fatalities at the intersection. In November of 2005, another fatal accident took place, in addition to five other non-fatal accidents since the time of the improvements. As a result of these accidents, additional safety improvements, including more rumble strips and a flashing stop sign were added.

This intersection is one of the busiest and most dangerous in both Ashland and Bayfield Counties. Senator Jauch and Representative Sherman have held a Public Hearing about this intersection. The majority of schools, cities and counties have submitted resolutions requesting improvement at this intersection. The common theme is that the intersection is dangerous, confusing and in need of more stringent safety processes.

Request:  We respectfully request that the Department of Transportation to commit to completing a study and design, which will identify options for improvements to the Highway 2 & 13 Intersection, provided that funding can be secured.

We propose that US Hwy 2, currently a two-lane non-divided highway, be converted to a four lane highway between Superior (Douglas County) Ashland (Ashland County) and Hurley (Iron County). This portion of highway encompasses approximately 100 miles of roadway, spanning the width of four counties and is the only major highway in the state that crosses both the east and west borders. US Hwy 2 forms the main transportation route for citizens, visitors and commerce through Northern Wisconsin.

US Hwy 2 is a major NAFTA artery, increasing every day. Canadian trucking finds it more economical to travel from eastern Canada to western Canada through the Northern US rather than north of Lake Superior. In addition, Interstate 75, which runs from Sioux St. Marie to Tampa, through major metros like Detroit, Cincinnati and Atlanta, ties into US 2 in the Upper Peninsula. Development of US 2 through Northern Wisconsin would encourage Michigan to do the same, which would ultimately develop into a major interstate, bringing increased federal transportation funding into the state as well as linking the northland to the major commerce grid throughout the US.

With regard to planning and economic development, infrastructure is the most pressing development need for the northern portion of the state. Responsible economic development is encouraged by each of the four counties and cities along the route. Each county faces their own unique infrastructure challenges, which provide barriers to economic development. Appropriate roadways, accessibility of electricity, as well as water and sewer systems, are the primary infrastructure concerns. Electricity, water and sewer must be addressed location by location; however, appropriate transportation routes are a broader concern, which impact collectively all of Northern Wisconsin. The planning goal is to control where issues like traffic develop. Traffic usually goes where the highways are.

In his last state of the state address, former Governor Thompson indicated that 95% of all manufacturing jobs during his 14 years in office were within 5 miles of the centerline of a backbone highway (meaning a 4-lane, 65 mph highway). By converting US Hwy 2 from a 2-lane highway to a 4-lane between Superior and Hurley, we would remove one of the primary barriers to economic development in the Northland.

A close look at the State, shows growth in the areas that have four lane highways. Examples include growth on the 94 Corridor from Hudson to Eau Claire, growth on Highway 10 in Stevens Point and Appleton areas, and growth around Highway 29 areas of Chippewa Falls and Wausau, to name a few.

US Hwy 2 connects with US Hwy 53, a 4-lane freeway, as well as US Hwy 35 at the Minnesota border, also a 4-lane freeway. These freeways are main arteries to the metropolitan areas of the Twin Cities and Eau Claire. The continued expansion of Hwy 51, north of Wausau to Hurley would also create a stronger transportation infrastructure in the future.

In Governor Jim Doyle’s GROW WISCONSIN 2005 AGENDA, under the topic of TRANSPORTATION, the Governor states that “With a safe, efficient and high-quality transportation system, Wisconsin can capitalize on economic opportunities and foster economic growth”. He also states that “businesses need good roads for the flow of supplies, goods and services”, and he recognizes that “investments in our infrastructure are vital to the state’s economy”.

The Wisconsin Department of Transportation District 8 Office formed the US Highway 53 Safety Team to study these intersections and determine what improvements can be made to improve their safety. It was determined by the Committee to look at solutions that could be cost effective and implement them in as short of a time period as possible.

The Committee’s three-tiered solution of Enforcement, Engineering and Education was implemented in 2001 and 2002. This solution has resulted in some reduction in accidents. The Committee has not meet since 2002. It was determined at that time to implement the chosen low cost solutions and study their effectiveness.

Accidents at these intersections continue to result in severe injuries or fatalities, given the speed of the traffic involved.

Background:  Current Department of Transportation signage regulations on State Highways are controlled by the Highway Beautification Act of 1967. Today, nearly 40 years after its establishment, this legislation is prohibiting both existing signs to be replaced and new signs from being considered.

Home based businesses throughout the state are on the upswing. In rural areas, off-road small businesses such as farms, orchards and value-added enterprises depend on pass through traffic. No advertising will result in fewer successful businesses and erosion of the economic base in Bayfield County.

The State does have an existing program to address this in part. The Tourism Oriented Display Sign program or TODS is available. However at a cost of over $2,000 and bi-annual renewal, many small and home based businesses cannot justify the time and monetary expense.

The impact of less signage is negative to the existing small businesses in rural areas where pass through traffic is critical to a business success. In addition, communities, lifestyles and traditions are negatively impacted through the regulations that are intended to protect these activities.

The State of Wisconsin offers one of the most generous Veteran’s education benefits programs in the country. These programs, which include the Wisconsin G. I. Bill and the Wisconsin Veteran’s Tuition Reimbursement Act, represent a profound commitment by the State to those Veteran’s that have sacrificed the time necessary to serve away from home.

While these benefits are a remarkable and necessary asset to this state’s veterans that have served on active duty, it is deficient in providing for those who choose to serve at home. It is erroneous to assume that the men and women that compose Wisconsin’s National Guard and Reserve branches are any less committed or vital to the security of our Country and State. This type of service represents a dual commitment; a commitment to both their country and their community or family. In other words, these men and women have not chosen service instead of civilian life but rather, service in addition to civilian life.

Under current statutes, a veteran or member of the Reserve or National Guard must serve two (2) years of active duty or ninety (90) days in a federally designated war zone, usually Iraq or Afghanistan, to qualify for full educational benefits. This means that if a young man or woman enrolls in a Wisconsin University after high school while serving in the Reserve or National Guard, he or she must wait to be called to duty before the State will afford them the benefits that are vital for an increasingly more expensive education.

Background:  Northwest Wisconsin Veterans are limited in their availability to use the Department of Veteran’s Affairs Health Care System. Much of Northwest Wisconsin is in the VISN 23 VA Midwest Health Care Network area. There is one community-based outpatient clinic located in Superior, Wisconsin that provides care to Veterans.

The VA Twin Ports Outpatient Clinic in Superior has had a backlog for the past three years. Veterans are prioritized in two ways. Those with “service connected” conditions and those with “non-service connected” conditions that also meet income requirements. Currently the Twin Ports Clinic is working to clear the backlog for all its “service connected” Veterans. This still leaves a backlog of over 100 Veterans that are “non-service” connected. 100 Veterans converts to approximately 3 months of waiting list time.

In an effort to ensure that Veterans receive primary care, the VA has assigned Northwest Wisconsin Veterans to the VA Medical Center in Minneapolis, Minnesota. This means that area elderly Veterans must travel 3-4 hours to get routine medical care. This is complicated by winter weather and elderly Veterans inability to transport themselves.

The creation of a clinic in Sawyer County would significantly reduce the strain on the Twin Ports Outpatient Clinic. A Sawyer County clinic would also reduce the transportation problems experienced by Bayfield, Sawyer and some Ashland County Veterans. In addition, a Hayward Clinic would benefit Superior and Douglas County residents by freeing up space for local veterans and improving health care for area residents.

On December 22, 2003 Secretary of Veterans Affairs, Anthony J. Principi approved the CARES Commission. The Commission’s objective was to “provide an external perspective to the CARES planning process, and make specific recommendations to the Secretary regarding the realignment and allocation of capital assets necessary to meet the demand for veteran’s health care services over the next 20 years.” The CARES Commission recommended a new clinic in the Hayward – Rice Lake area.

There are approximately 25,100 veterans currently residing in Northwest Wisconsin - Douglas, Ashland, Bayfield, Burnett, Washburn, Sawyer, Barron and Polk Counties. The closest state veterans nursing home is King Manor, near Waupaca, a six-hour drive for Northwest Wisconsin veterans and their families.

A Veterans Nursing Home in Douglas County would meet the needs of this region’s aging population of World War II, Korean War and Viet Nam conflict veterans, who increasingly require nursing home care. Veterans returning to Northwest Wisconsin from current conflicts would also have the nursing home services available close to home and their families.

Douglas County is committed to help identify potential nursing home sites, to include the former St. Francis Home South facility, and to diligently work to create partnerships with groups or organizations willing to help facilitate the creation of a Veterans Nursing Home in Douglas County.

Summary of Economic Impact:
The City of Ashland has adopted a Waterfront Development Plan in 2002, which called for the redevelopment of the Ore Dock site as a cultural and historical attraction for the community. The plan calls for the site to be used as a museum focused upon Ashland’s historic role in the shipping and resource extraction industries. This plan was later codified in the City’s Comprehensive Plan, which designates Ashland’s lakefront as a special land use zone ensuring that the community’s lakefront is developed in a manner that will provide cultural amenities and serve as a tourist draw and economic engine for the community. The proposed use of Ashland’s Ore Dock by the Northeastern Maritime Historical Foundation “fits” perfectly with the community’s plans for redevelopment of the site.

Summary of Issues Challenging Reuse Opportunity:
The Ore Dock was last routinely utilized in 1965. Since that time, the condition of the structure has essentially been left unattended. Components of the structure are falling off, including large pieces of concrete, upper metal railings, wiring and wooden sections of the trestle. The property and structure (which includes the Ore Dock and the wooden approach) have been acquired from Wisconsin Soo Line, Ltd. by Canadian National. For forty years, the Ore Dock and the approach have been deteriorating and have resulting in serious concerns for public safety. Assistance from State Agencies is needed to put pressure on and/or to require Canadian National to be a responsible property owner, or to transfer the structure to an entity who has plans to remediate the structure.

To transfer the property and the Ore Dock structures to the above mentioned Foundation, CN is required to go through the abandonment process, where they will be required by Wisconsin State Statutes (190.08) to remove all railroad structures (i.e., the Ore Dock) from the lakebed of Lake Superior and restore the lakebed to the natural condition that existed before the structure was constructed. As an alternative to restoring the lake bed, the Wisconsin Department of Natural Resources (DNR) may issue a Chapter 30 Permit to allow the structure to remain. As a component of the Chapter 30.12 permitting process, the DNR will require that a bond (or some financial security) be issued, for the long term maintenance and potential removal of the Ore Dock and trestles structures. Such a Permit would allow the opportunity to reuse the Ore Dock as a maritime museum. Ashland has requested the State of Wisconsin for assistance with determining the amount of the financial security through a structural analysis with cost estimates.

In early December, the Wisconsin’s State Building Commission approved funding of a $150,000 Planning Grant/Feasibility Study to assist in determining the amount of this financial security. Currently the City of Ashland is working with the Department of Administration, who will oversee a Structural Analysis on the Ore Dock. The preliminary project scope includes:

Evaluation of the current condition of the Ore Dock Structure and the Wooden Trestle Approach, which are clearly in deteriorating condition. Cost estimates and a basic overview of the work required (a) to stabilize the structure and the approach; (b) to partially remove the structure, which may entail the remove of the Ore Dock’s superstructure and trestle; and (c) to remove the structure from the Lake Superior lakebed and remove the approach from the shoreline to the steel frame just north of Main Street.

The City of Ashland would like to thank the State of Wisconsin for their early assistance with this project. The approval of the funds to begin the Feasibility Study/Structural Analysis is a step in the direction of (1) cleaning up a public safety hazard and (2) supporting a plan for economic development in Ashland.

Planning is a very important first step, but continued support from the State of Wisconsin is needed on this project to make any physical progress occur to meet our safety concerns about the Ore Dock.

Background:  In 1910 and 1911 Ashland and Bayfield County Boards allocated funds for the purchase of 160 acres of agricultural land for a branch experiment farm in Bayfield County. Over the past 95 years the farm has played an important role in the local economy, fostering ideas and expertise for the region. With each generation the direction of the station changed. In the early part of the century the station was used for research on alfalfa, peas and other small grains. Later it was used for dairy and beef cattle research as well as further crop studies. In 1994 the dairy herd operation was sold and in 2001 the college consolidated its operations reducing staff and overall use of the site.

Today the College of Agriculture is proposing to close the site due to a lack of ongoing and future research potential.

Request:  As the State’s biobased economy develops, there will be an increased reliance and demand on agriculture and forestry for raw materials. Likewise, it will become increasingly important that such materials are produced with fewer inputs and less impact on soil and water quality. The proposed Chequamegon Institute will build on the agricultural and forest-based economies of northern Wisconsin and utilize the Ashland Agricultural Research Station for research, education, and demonstration in support of a sustainable biobased economy in Wisconsin and beyond.

Just as the direction and purpose of the station has changed in the past, residents of Northern Wisconsin strongly believe there is a continued need and purpose for Agricultural Experimentation in this section of the State. Existing and proposed projects at the research station include:

• Low input intensive grazing for meat and milk - proposed
• Hybrid hazelnuts for food and fuel - proposed
• Perennial plants for nutriceuticals, pharmaceuticals, and botanicals - proposed
• Community gardens - existing
• Stormwater management - existing
• Wetland restoration - existing
• Native plant propagation -existing
• Off-season berry production - proposed
• Value-added processing for food, fuel, industrials, and profit - proposed

Funding for the facility has come mainly from Tribal Gaming Revenues to the State with support from Wisconsin Tribes. The project has had committee involvement from a variety of private, federal, tribal, and state agencies over the years. The project has received strong support from a variety of state senators, representatives and federal congressmen. Design and construction plans were completed and approved in 2003. Phase I, which included all the external water piping, outside fish rearing ponds and related structures, was completed in the summer of 2004. Phase II, The 8,600 sq. ft “state of the art” Aquatic Production Area and related buildings was completed and activated in 2005. To date, approximately $4.0 million has been spent on this complex and related equipment. The NADF is presently raising several species of fish, has garnered additional grant funding, employed local workers, worked with a local school to offer an aquaculture course, and has hosted many visitors interested in the facility(see attached update). Phase III, a 7,500 square foot Administration/Classroom Complex which will hold offices, classrooms, resource center, meeting room and other related support areas, needs an additional $1.2 million to complete construction. Design blueprints have already been completed and the building site was cleared during Phase I and II.

In addition, the present Aquatic Facility has electrical and plumbing “stubouts” ready for the Administrative/Classroom Complex. This increase is needed to offset additional materials cost and inflation. Without the Administrative/Classroom Complex the Northern Aquaculture Demonstration Facility will not be able to achieve it’s outreach mission and aquaculture will likely never achieve its’ potential in Wisconsin’s economic arena.

Reasons for Request:  Many county government officials from northwest Wisconsin and around the state are struggling with how to get control over ever rising criminal justice costs. In recent years most have either built new larger jails or jail additions, or are planning to build new larger jails to address jail overcrowding. County expenditures on criminal justice-related expenses (jail, sheriff department, district attorney’s office, court system and associated social services) when added together constitute the largest county budget expenditure. Recidivism is one of the largest contributors to jail overcrowding. All too often released inmates re-offend and end up back in jail. New jails that are being built today will in all likelihood be full in the not too distant future, and the specter of having to build a new larger jail will again be facing county officials and taxpayers. If new and effective strategies are not developed, this cycle will continue to repeat itself.

How can local government officials obtain the knowledge and tools that will enable them to manage their criminal justice system more efficiently and effectively? What criminal justice management practices have proven to be most effective? How can future jail overcrowding be avoided? What alternatives to incarceration programs have proven to work and how do we go about instituting them? What programs for county jail inmates have been effective in addressing their substance abuse, life skills and employability needs? What strategies and intervention programs have proven effective in reducing the number of repeat offenders?

The citizens Northwest Wisconsin  request that the Wisconsin Housing and Economic Development (WHEDA) award the County of Washburn $10,000 to support the Paint Washburn County Project.

The Paint Washburn County Project will be scheduled for early Fall 06. We are planning to paint 10 homes at locations yet to be decided. Volunteers will also assist non profit organizations with projects that they would otherwise not be able to accomplish. A task force is being organized to coordinate the project. Organizers are from Washburn County Human Services Department, Housing Coalition for Washburn County, and Inner Faith Care Givers of Washburn County.

In order to ensure the success of the project, we must obtain resources beyond what local donations can provide. Because of your organization’s dedication to providing and preserving affordable housing for all, we hope that you will consider making a contribution of $10,000 for this project.

Background:  The eco-municipality movement in Chequamegon Bay began when representatives from Northland College and UW-Extension attended a May 2004 regional conference and learned about The Natural Step Initiative for Communities in Sweden and the United States. TNS is a scientific framework of easily understood principles that serves as a compass to guide society towards a just and sustainable future. Seventy “eco-municipalities” in Sweden have been applying these principles for over 20 years, and have been very successful in both expanding their economies while stemming the impacts of climate change.

Over a dozen presentations of this concept were made in the Fall of 2004 to over a thousand people in the Chequamegon Bay, leading to a major international conference in Ashland for 200 local attendees - citizens, government officials & employees from the cities of Ashland, Washburn, Bayfield, and LaPointe, as well as the Red Cliff and Bad River reservations. They generated priority lists of economically sustainable projects in the Spring of 2005. As a result, two municipalities (Washburn and subsequently Ashland) adopted eco-municipality resolutions based on TNS principles in July and September of this last year, becoming the first two eco-municipalities in the United States. Washburn received a commendation from the Governor.

Then, nine, two-month-long Study Circles in four communities drew over 90 participants to study The Natural Step in depth, concluding with very specific, realistic projects that should be implemented in the Chequamegon Bay. In 2005, the Chequamegon Bay also sponsored visits from the establisher of the Natural Step (Dr. Karl-Henrik Robèrt from Stockholm), and the establisher of the eco-municipality movement in Sweden (Torbjörn Lahti) to meet with and train local government leaders.

Reasons for the Request:  This request involves support for implementing specific set projects, and would provide funding for programs that are not only well-reasoned and prioritized by local citizens during the past year, but are also well-researched, revised, and substantiated by over twenty years of experience in Sweden, Europe, Canada, Africa, and Japan. Examples of projects include a Chequamegon Bay walk-in office to provide models and funding for local green initiatives; exploration of alternative energy models that can be readily adopted by residents, businesses, reservations, and municipalities; increased access to mass transit by 200% or more; and creation of a local agricultural/city network for distribution and marketing to public stores, schools, nursing homes, and other institutions; and revolving loan funds to promising green business proposals.

This proposal is unique to northwest Wisconsin because the Chequamegon Bay is a unique region with an archipelago on the biggest body of fresh water in the world (Lake Superior – the Apostle Islands National Lakeshore) that nearly mirrors the bioregions where Swedish eco-municipalities exist. The poverty level of this region also mirrors those in Sweden before their experience. This proposal includes in its vision (as well as this past year of organizing) participation from the two Chippewa reservations in the Chequamegon Bay, and has been a very positive way for the tribes and cities to work together. We retain many pristine qualities in our environment, which local residents wish to protect and chambers of commerce and our national park service plan to promote as eco-tourism.

We are in need of state assistance because we are in an economically deprived region with one of the highest unemployment rates in the state. Tight budgets, reduced shared revenues, increasing property taxes to sustain the most elemental services, and declining infrastructures in our towns limit any resources for capital to initiate these vital projects. Our rural isolation only adds to the expense of providing basic services, much less adding innovative sustainability projects.