Board Minutes June 2006

8/8/2019 Board Minutes June 2006

http://slidepdf.com/reader/full/board-minutes-june-2006 1/31



2

1. Certification of Notice of Meeting and Roll CallRoll call of Board members: 6 members present; 1 member excused. Quorum present.Roll call of CVSO Advisory Council members: 7 members present; 2 members excused.Quorum present.Roll call of Legislative and Program Review Committee members: 10 members present, 2members excused. Quorum present.Roll call of Long-Term Care Committee members: 9 members present; 3 membersexcused. Quorum present.

Roll call of Financial Committee members: 8 members present; 2 members absent.Quorum present.Roll call of Council on Veterans Programs members: 14 members present, 6 membersexcused, 4 vacancies. Quorum present.

2. Legislative Report—Anthony HardieThe state has concluded its legislative session. Mr. Hardie provided committee

members with a list of all the 2005-06 veterans bills that were signed into law.Wisconsin Act 468 (Senate Bill 613) was the veterans omnibus bill. Most of theprovisions in the bill become effective July 1st with the exception of the increase intuition remission which will be delayed for budgeting purposes until the fall semester of

the 2007 academic year. The WDVA on line publication BO105, the brochure forWisconsin Tuition Programs for Veterans and Dependents, has been updated to reflectthe changes as a result of Wisconsin Act 468.

The Qualified Veterans Mortgage Bond legislation at the federal level was signedinto law. There is a WDVA public hearing scheduled for June 19th to obtain testimonyand comments pertinent to the proposed issuance of state general obligation bonds tofinance veterans housing loans. The normal cycle is between 60 to 120 days from thetime we request a bond until we actually have the money to lend. This issuance shouldbe received by the end of August.

The Department has been actively involved in helping inform state veterans inregards to the veteran data theft. Secretary Scocos participated in a hearing of theSenate Committee on Veterans, Homeland Security, Military Affairs, Small Businessand Government Reform. He provided an overview of what we know about the dataloss from the federal VA. The information on how to report a fraud alert is on the WDVAweb site.

A Veterans Benefit Information Fair is scheduled for Friday, September 1st at Ft.McCoy in the Rumpel Fitness at 11:00 a.m. The Wisconsin State Fair is August 3-13with Veterans Day at the State Fair being on August 13. On June 17 there is aWomen’s Health Conference at the Madison VA Hospital from 8:30 a.m. to 2:30 p.m.

The Stakeholders Conference is June 28th

at WDVA headquarters in Madison.Milwaukee County Operation Freedom is being held at the Milwaukee Zoo on July 2nd.The Wisconsin Veterans Museum Foundation’s annual golf outing is on July 18 th. TheService Officer Training is being conducted by the WDVA on July 25-27 in Madison.

Q: What about the sales tax on veterans home exchanges? Do you have anystatus on that?

A: It did not make it through the legislative process this session.



3

Q: What is the fiscal year as it relates to the caps for the next five years onQVMB?

A: The final bill is a $25 million phase-in over five calendar years. $5 million for2006 and sunsetting in 2010. Texas and California were successful in being struck fromQVMB.

Q: Is there a way to go into a web site to find out for retired people if you happento be on that identify theft list?

A: There is a data base for active duty and air force. We are not aware of onefor retirees. It is recommended that you contact the fraud department of one of thethree major credit bureaus and ask for a 90 day restriction.

3. Programs Report—Ken BlackBulletin Update: On April 21st CVSO and Lender Bulletins 734 and 374

respectively were issued setting a new PML interest rate of 7.0%. On April 27th CVSOand Lender Bulletins 735 and 375 respectively were issued once again setting a newPML interest rate of 7.5%. On April 28th CVSO Bulletin 736 went out announcing thenew interest rate policy for HILP and PLP loans. On May 10th CVSO and LenderBulletins 737 and 377 respectively were issued announcing the fund outage for the PML

program.

Cemetery Report: There were 106 burials for the month of May. Constructionprojects at NWVMC for the columbarium and private vault garden are delayed pendingthe approval of the plans from the National Cemetery Grants Administration. MemorialDay Events at the cemeteries went very well. At Northern Wisconsin VeteransCemetery (NWVMC) about 800 attended and at Southern Wisconsin VeteransCemetery (SWVMC) 1,200 attended the service. As part of the Memorial DayCeremony at the Southern Cemetery, the administrative building was renamed anddedicated the Edo Maccari Administrative Building.

Veterans Assistance Program: We continue to focus our efforts on filling thebeds at all three sites (Union Grove, King and Ft McCoy), reducing our expenses aswell as increasing the number of veterans we are serving. Currently, we have 66 of the70 available beds filled, which gives us a 94% fill rate. WDVA has an agreement withthe Milwaukee VA to provide Alcohol & Drug testing supplies resulting in a cost savingsof $5,000 per year. At Union Grove we have started our own cooking on the weekendsversus receiving the cook-chill food from the state. That, in conjunction with donations,has resulted in a savings of just over $1,500 in just a few months. In other veteransassistance areas, we are servicing more veterans—65% increase in service provided toincarcerated veterans, 14% increase in assisting veterans in obtaining updates on theirmilitary medals and records, and a 350% increase over last year in assisting the veteran

in obtaining a discharge upgrade (608 verses 133).

VetEd Program: Currently processing grants for the spring semester andprocessing pre-applications for the summer session. About 100 grants and pre-applications are received a day, which should continue for two more weeks.

Assistance to Needy Veterans Report: To date we have received 601 ANVapplications with an average of 72% approval rate and 28% denial rate.



4

Loan Report: On May 10th a funding outage in the PML program was declaredand announced in CVSO and Lender Bulletins 737 and 376. Resources will be workedin order to acquire funds for the Primary Mortgage Loan Program. Currently marketingthe Personal Loan Program. Finally, the delinquency rates for the previous two monthswere 2.01% and 2.07% respectively, which is well below the established cap of 3.0%.

4. Veterans Homes ReportCommandant Crowley said that the average length of time for admission to the

Home is 33 days. There are 59 applications pending. The census at the end of Maywas 704 with a total of 45 vacancies (15 of those are in the cottages). The categories ofcare shows a high level of care needs for most of the members being admitted to theKing Home. For the month of May, the Home Exchange reported receipts of$17,985.93 and expenses of $18,127.38 for a net loss of $141.45. Cumulative saleswere $248,460 for a net gain of $20,716 over the course of the past 12 months. Thebalance in Gifts and Bequests funds is $47,158.

General Activities at King: Well #1 is in full operation with final approval from theDNR. It is being operated in conjunction with the water treatment plant which drawsfresh water from Rainbow Lake. The test results for Well #2 have come back and it will

become fully operational in mid to late summer of 2007. The grant application for Well#2 is on the federal VA priority list and we anticipate approval for 65% of the cost to putthat well into operation. The nurse call system upgrade is completed in all the nursingcare buildings and Marden Center. The VA has been billed for 65% of the cost and todate $400,514 has been received. The ventilation system upgrade at MacArthur Hallhas been completed. We can bill the federal VA for up to $264,000 and to date wehave received $249,000. The steam condensate line upgrade and replacement hasbeen underway since last fall and should be completed in the fall of this year. Additionalfunds will be requested at the State Building Commission meeting to locate the lineseither above or below an underground electrical conduit. The VA was billed $442,000and we have so far received over $300,000. Projects to be considered by the VA for

Fiscal Year 2007 will be replacement of the windows in Olson Hall and placement ofWell #2. New projects being considered for 2007 will be the ceiling lifts and the OlsonHall domestic water piping.

The annual open house was held on May 21st. The Memorial Day program sawa great turnout. The 51st Annual American Legion King Day Pilgrimage is this Father’sDay, June 18th; followed by the DAV King Day the next weekend. Member CouncilIndependence Day is celebrated on July 4th. The VFW King Day is July 16th and onAugust 12th the Green Bay AMVETS King Bicycle tour.

At this point, Mark Grams, Dodge County Veterans Service Officer presented a

check in the amount of $200 on behalf of the Watertown Marine Corps League for theBus Fund.

Commandant Brower reported that the census at Union Grove is 107 as of theend of May. An average daily census of 105 is the break-even point.

The new Deputy Commandant began June 12th. His name is PatrickShaughnessy. The Union Grove Home is presently at 110 employees or 45% of theanticipated end strength once skilled nursing facility is totally up and running. TheBoland Hall dedication on May 20th went very well. The anticipated opening date for the



5

new facility is July 10th. Mr. Scocos said WDVA is working with the DOA Secretary onthe construction punch lists.

The food service project in the activity center is substantially completed. About$1.3 million of the $1.6 million federal grant for that project has been received. TheFairchild and Shemanske remodeling project of converting 12 double rooms into singlerooms is still being worked. Construction on that project should begin this fall with acompletion date of summer of 2007.

Events: On July 4 some members of the Home will be involved in the UnionGrove parade. October 1st is the annual family picnic. November 11th Veterans DayProgram at the Home. December 10th is the member Christmas party sponsored byvarious veterans’ service organizations.

A check in the amount of $500 was presented on behalf of the Oregon/BrooklynVFW Post 10272 for the Bus Fund.

Q: How close are we to our goal in the Bus Fund?A: We have $320,000, about $50,000 short of the goal.

5. Financial Report—Colleen HoltanMs. Holtan presented financials as of May 31, 2006. King had an operating

income of $1,331,455. The cash increased to $19,412,554 at the end of May. Thecash balance includes approximately $9,150,000 of retrospective Medical Assistancepayments for fiscal years 2002 and 2003 that were received in error from DHFS as theresult of programming errors. King may be required to return the overpayments toDHFS before the end of the fiscal year even though it is approximately $14.5 million inretrospective payments for fiscal year 2004 and 2005. Those payments are beingdelayed while programming errors are resolved. If these adjustments were all finalizedtoday, DHFS would pay King an additional $5.4 million, which would increase the case

balance to $24.8 million and the fund equity at $38.3 million.

Union Grove had an operating loss for the month of May of $352,547. Marchand April revenue transactions of $289,859 and $305,813 had not been posted in thestate accounting system. Had they been posted the net loss would have been $56,704and the year to date operating loss would have been $2,610,000. Cash increases haveexceeded receipts by $8,774 for the month of May and approximately $2.5 million foryear to date.

The Veterans Trust Fund had an operating loss before transfer of $337,419 forthe month of May. The fund equity is $77,660,000, which is a decrease of $7.5 million

from the beginning of the fiscal year. Loan collections exceeded operatingdisbursements by $7,186 and investment income of $114,901 was received. Themonth-end cash balance was $29,664,759.

The mortgage loan repayment fund had a net income of $1,173,906 for May.The cash balance in the mortgage loan repayment fund exceeded $100 million at monthend, which was an increase of $3.3 million from the prior months. The increase in cashis attributed to loan collections exceeding operating disbursements by more than $2.9million and the receipt of almost $400,000 in investment income last month. TheDepartment is actively working with Capital Finance on two new financing sources for



6

new loans from the mortgage loan repayment fund. The first is a $2 million bond sale tothe Land Commission which would fund HILP loans. The second is replacementfunding for the $61 million commercial paper issued in 2005. With the passage ofQVMB last month, bond counsel is reviewing the law and is expected to provide anopinion as early as this week regarding our ability to use these funds to make loans toveterans to meet the new definition of qualified veteran.

The May reported delinquency rate for the personal loan program loans was

2.02% and for all Veterans Trust Fund loans it was 2.07%. The Primary Mortgage Loandelinquency rate for April 2006 was 0.26%.

6. Recess/AdjournmentIt was moved, seconded and carried on a voice vote to adjourn the Board

meeting.It was moved by Mr. Freedman, seconded and carried on a voice vote that the

Legislative and Program Review Committee stand in recess until 3:00 p.m.It was moved by Mr. Miller, seconded by Mr. Morzenti and carried on a voice vote

that the Long Term Care Committee stand in recess until the adjournment of theLegislative and Program Review Committee.

It was moved by Mr. Moran, seconded and carried on a voice vote that theFinancial Committee stand in recess until the adjournment of the Long Term CareCommittee.

It was moved by Mr. Alsteen, seconded and carried on a voice vote that theCouncil on Veterans Programs adjourn.

It was moved by Ms. Hoppe, seconded and carried on a voice vote that theCVSO Advisory Council stand in recess until 2:00 p.m.



1

M I N U T E S

CVSO ADVISORY COUNCIL

June 15, 2006King, Wisconsin

Members Present Others Present

Holly Hoppe, Oconto Rick Cherone, MOPHDon Lander, Clark John O’Brien, MOPH Adjutant

Nick Benzinger, Shawano Vera Roddy, UWVMike Haley, Chippewa Jim Endres, AMVETSTed Mynyk, Iowa Jim Gausmann, LaCrosse CVSOJim Young, Vernon Jon LiDonne, Waupaca CVSOMark Grams, Dodge Rock Larson, Wood CVSO

Ken Koon, Long Term Care CommitteeMembers Excused Cleon Brown, Sub-Vets WWIIJohn Solis, Rock Scott Berger, Marathon CVSORick Gates, Polk Larry Smerling, Winnebago CVSO

Jerome Rabetski, PLAVWDVA Present Russ Alsteen, Navy ClubsJohn A. Scocos, Secretary Fred Kaiser, Waushara CVSO

Bill Kloster, Deputy Secretary Robert Morzenti, Iron CVSOAnthony Hardie, Executive Assistant Mary Lex, Langlade CountyBill Crowley, Commandant, King Mike Demske, Finance CommitteeGlen Brower, Commandant, Union Grove Tim Tiers, Manitowoc CVSO

Colleen Holtan, Budget Office Steve House, VVA

Ken Abrahamsen, Budget Director Arnie Miller, AMVETSRich Calcut, PIO Ken Wendt, Board MemberShari McCann, WVH Exec. Staff Secretary Marvin Freedman, Board MemberVIA VIDEOCONFERENCE: Mary Meyer, Via VideoconferenceKen Black, Division AdministratorJohn Rosinski, Chief Legal CounselSeth Perelman, Division Administrator

Mike Sievert, Information TechnologyJulie Van Metre, Ex. Staff Assistant

1. Call to Order and Roll Call.The meeting of the CVSO Advisory Council was called to order at 2:00 p.m. A quorum

was present.

2. Certification of Notice of Meeting.So noted.

3. Approval of Minutes of April 27, 2006.It was moved by Mr. Young, seconded by Mr. Mynyk and carried on a voice vote to

approve the minutes of the April 27, 2006 CVSO Advisory Council meeting.

4. Announcements and IntroductionsMs. Hoppe attended the DAV State Convention where Secretary Scocos received an

award for supporting not only the DAV members but all veterans of Wisconsin.



2

5. WDVA Responses to Questions Asked at the CVSO Association ConferenceMr. Hardie said one of the questions had to do with veterans applying on line for benefits

and not having established eligibility. If a person tries to log on to one of our on lineapplications and they don’t have a password or ID, they are directed to the CVSO page whichinstructs them to visit their CVSO to establish eligibility. Mr. Mynyk said veterans read thebenefits book where it describes eligibility for benefits and from that they determine that they areeligible and don’t do anything more. They will walk into the CVSO office and say I’m an

eligible veteran and I want this benefit now. The brochures should say eligibility is determinedby filling out a form and getting an eligibility certificate even if you are a Wisconsin resident andhave done the proper amount of active duty.

The second question had to do with clarifying the requirement for the Wisconsin G.I. Billthat veterans need to apply to the schools directly but to request certification from WDVA. TheDepartment has been working closely with the UW System and there is now a Frequently AskedQuestions page on the UW Systems web page. This information is also going out in a CVSOBulletin. Additionally, there was some discussion about whether or not we could have a list of CVSOs in the BO105. We are currently doing that. Mr. Perelman added that he is meeting withboth the UW System and the Technical Colleges on June 20th in order to discuss this issue with

them and to include the CVSO listing with the need to contact the CVSO first to establisheligibility and fill out the form WDVA 001.

The third question had to do with property tax credit and the annual recertificationrequirement. That requirement came from the Department of Revenue in terms of needing to becertified on an annual basis. CVSOs concerns were that a veteran’s disability could change. Thelaw is very clear that a veteran must be 100% service-connected disabled and the survivingspouse must be unremarried.

The fourth question had to do with the history of veteran’s disability determinations withregard to the Wisconsin G. I. Bill. Mark Rutberg has been working with the federal VA

Regional Office in Milwaukee to develop form letters when the veteran requests a letterindicating a history of his or her disability determination. One letter is for the property tax creditdisability determination and another letter for the Wisconsin G.I. Bill. The USDVA accepted theletter that was proposed for the property tax credit disability history determination but they didnot accept the one relative to the Wisconsin G.I. Bill because they felt that those determinationswere too complex. They felt they were better off writing a letter unique to each individual.

The fifth question had to do with distinguishing in the Wisconsin G.I. Bill between atemporary and permanent disability. That is not relevant because individual unemployability canbe either permanent or temporary, either way it is very clear in the statutes that IU does notqualify.

Another concern was with the on-line VetEd application print screen button. Mr. Black said if you are filling out an application with your veteran, at the bottom of the application thereis the statement “create grant application” and if you hit that button it will bring up theapplication on the screen and at that point you will be able to print out the application.

Several questions dealt with Assistance to Needy Veterans and Military Families Grant.In the last budget the Joint Committee on Finance included a provision in the statutes thatdesignated that within the Assistance to Needy Veterans Grant Program would be specific



3

provisions to provide assistance to military families. The Department has received somedonations that are specifically for military families. The grant is available to families who haveeconomic emergency needs. Relatively few Assistance to Needy Veterans applications havebeen received. The CVSOs asked for a Bulletin explaining the procedure to apply for thosefunds.

With regard to Assistance to Needy Veterans, a question came up about whether or notthe Department could consider a partial loss of income. The Department is discussing how it

might go about doing that. With regards to a single $5,000 grant for dentures, we are currentlyconsidering that. It would require statutory change. The final question had to do with theRetraining Grant and Assistance to Needy Veterans Grant Programs and income limits. While asingle income limit might be easier administratively, the Department sees these two programs asbeing distinct.

The Department has spent many months developing recommendations for the budget.The Board will then approve and direct the Department to submit the budget to the Departmentof Administration in September. The Governor issues the Executive Budget based on therecommendations of each agency. In February the process continues with hearings before theJoint Committee on Finance and the budget will come before the Legislature in about April or

May with passage of the budget in July.

7. Secretary’s MattersThe Secretary said it has been an exciting year for veterans and their families in

Wisconsin. He is looking forward to the June 28th Stakeholders Conference to get more inputfrom the community on the Department’s upcoming budget goals. Education and health carewere of the highest priority for veterans. The Secretary said major advancements in those areaswere made with the Governor signing into law 100% tuition and fees and the recent dedicationof the 120-bed skilled nursing facility in Union Grove.

The Secretary has attended several public hearings across the state. The biggest issue

he’s hearing about is property tax credit for veterans. Mr. Scocos spoke at the VeteransCommittee hearing on the theft of veterans records on the federal level. On the state level, theDepartment’s headquarters office suffered water damage in the records area. Damaged files willbe restored. He is looking forward to the Service Organizations summer and fall conventions.

Mr. Kloster will provide additional information in regard to the three credit agencies andindividuals being able to get a credit report once every four months. It is his understanding thatthe reports of the three credit agencies are never merged unless a home mortgage loan is beingsought. Mr. Hardie said there is legislation pending in Congress to provide veterans with oneyear free monitoring. You can request a 90-day fraud alert more than once. In Wisconsin, Act40 provides authorization for Wisconsin consumers to put a freeze on their credit reports. Thislaw will become effective January 1, 2007.

8. Public InputQ: A veteran files a claim and dies—does the claim stop or go to completion?A: The claim will be processed if there is enough evidence already submitted. No

further evidence can be submitted on that claim but if there is enough information to render judgment, it will be done and the surviving spouse will get the benefit. The claim does stop if there is no surviving spouse or dependents.



4

Q: If that veteran applied for a service-connected claim and died due to that service-connected condition, what will happen?

A: If there was enough information and the claim was successfully granted to provebenefits were established and it was determined to be a service-connected cause of death, thesurviving spouse, attaining the age of 57, would be eligible for DIC.

Q: Can the spouse remarry and still claim the benefits?

A: There was a time period where the surviving spouse who had already remarried couldapply for the benefit; however, that window has passed. At this point, if the surviving spousedoes remarry after the age of 57 they will not lose the benefit.

9. Council Members’ Matters (Not Subject to Adoption)Ms. Hoppe said the WDVA puts out an RVSP notification to all the County Veterans

Service Officers of new veterans that includes their name, address, and social security number.CVSOs are worried about including the full social security number. Mr. Kloster said that issuewas under review and the lists you receive in the future will not have the social security numberon it.

Mr. Grams passed on a compliment from a funeral director in his county who said thatthe staff at the Union Grove cemetery is outstanding. From the groundskeepers, to the staff inthe office and the honor guards—thank you.

10. Next Meeting ScheduleAugust 17 in Spooner at the National Guard Armory in Spooner.

11. AdjournmentIt was moved by Mr. Grams, seconded, and carried on a voice vote to adjourn the

Council meeting; the time was 3:00 p.m.

Holly HoppeChair



1

M I N U T E SLEGISLATIVE AND PROGRAM REVIEW COMMITTEEWISCONSIN DEPARTMENT OF VETERANS AFFAIRS

Meeting of June 15, 2006

Committee Present WDVA Present

Marvin Freedman John A. Scocos, SecretaryLewis Harned William Kloster, Deputy Secretary

Vera Roddy Anthony Hardie, Executive AssistantJosh Sniegowski Bill Crowley, Commandant, KingDuane Miskulin Glen Brower, Commandant, Union GroveJim Young Colleen Holtan, Budget OfficeSteve Lawrence Ken Abrahamsen, Budget DirectorBill Hustad Shari McCann, Executive Staff SecretaryPaul Weprinsky Jackie Moore, AdjutantTim Thiers Colleen Roemer, Executive Staff Secretary

Chris Wrolstad, Deputy CommandantCommittee Excused Sandy Mosher, DON Olson HallKathy Marschman Beverly Przybylski, DON Ainsworth HallBud Mautz Sally Herek, DON MacArthur Hall

Nancy O’Connell, Materials ManagementOthers Present Shannon Hardel, DON Stordock HallKevin Kavanaugh Marge Maroney, Director of AdmissionsRick Cherone Steve Stead, Director of FinanceJohn O’Brien VIA VIDEOCONFERENCE:

Jim Endres Ken Black, Division AdministratorMike Haley, Chippewa CVSO John Rosinski, Chief Legal CounselTed Mynyk, Iowa CVSO Seth Perelman, Division AdministratorMark Grams, Dodge CVSO Mike Sievert, Information TechnologyRock Larson, Wood CVSO Julie Van Metre, Executive Staff AssistantJon LiDonne, Waupaca CVSOKen Koon

Jim Gausmann, La Crosse CVSOCleon Brown, WWII Sub VetsLarry Smerling, Winnebago CVSOJerome Rabetski, PLAVRuss Alsteen, Navy ClubsRoger Fetterly, MOAAFred Kaiser, Waushara CVSOWalter & Ann StenavichRobert Morzenti, Iron CVSOMary Lex, Langlade CountyMike DemskeKen Wendt, Board Member

Mary Meyer, via videoconference

1. Call to Order and Roll Call.The meeting of the Legislative and Program Review Committee was called to order at

12:30 p.m. to hear a WDVA briefing (see Exhibit 1). The Committee stood in recess after theWDVA briefing. A quorum was present at the WDVA briefing and upon reconvening at 3:10p.m.



2

2. Certification of Notice of Meeting.

It was certified that proper notice of the meeting occurred.

3. Approval of Minutes.It was moved by Mr. Lawrence, seconded by Mr. Miskulin and carried on a voice vote to

approve the minutes of the April 20, 2006 meetings.

4. Consideration of CVSO Association ResolutionsS06-001—Individual Income and Property Tax Benefits for Veterans. Mr. Freedman

explained that the CVSO Association is on record asking for a modification of current law thatrequires a rating of 100% in order to qualify for the property tax relief. They are asking toinclude veterans who are compensated 100% based on determination of unemployability.This resolution represents a good initial step in addressing the ways in which the currentproperty tax relief for veterans should be expanded.

It was moved by Mr. Hustad, seconded by Mr. Thiers and carried unanimously on a voicevote to go on record in support of S06-001 and forward it on to the Board with the understandingthat this is not definitive as far as the extensions that need to be addressed in the upcoming

budget process.

S06-002—Change to Wisconsin G.I. Bill. Mr. Freedman said the resolution asks that therequirement for full time student status be dropped for eligible dependent children to allow themto attend part time. Currently surviving spouses can attend part time but children cannot. Mr.Rosinski said that the definition of a student is a full time student up to the age of 26.

It was moved by Mr. Sniegowski, seconded by Mr. Weprinsky and carried unanimouslyon a voice vote to go on record in support of S06-002 and forward it on to the Board.

S06-003—Assistance to Needy Veteran Disaster Grant. Mr. Freedman said the

resolution recommends that the loss of income requirement for ANV disaster grant be removedfrom the statute. The CVSO Association points out that the predecessor program, theSubsistence Aid Grant Program, did not have the requirement in place.

It was moved by Mr. Lawrence, seconded by Mr. Young and carried unanimously on avoice vote to support this resolution and forward it to the Board of Veterans Affairs.

S06-004—VetEd Reimbursement Grants Pre-Application Requirement. The Resolutionasks for a change in the pre-application requirement so as to allow an applicant who has beendenied to have due process and/or realistic appeals to be able to pursue the benefit. Mr. Scocossaid the Department is looking at this issue and would like to come back to the Board in Augustwith a recommendation.

Mr. Freedman received concurrence from the Committee members to place ResolutionS06-004 on the agenda for the August Board meeting.

5. Secretary’s Matters.



3

Secretary Scocos said he would brief the Board tomorrow on budget issues. More andmore veterans are becoming involved in the successful acquisition of benefits. Some upcomingissues are taxation of veterans organizations, general purpose dollars to assist with administrativecosts, headquarters facility purchase, solvency at Union Grove, etc. Mr. Scocos is lookingforward to a good exchange of ideas as the Stakeholder Conference on June 28.

Q: Can the loan programs be tax deductible on state taxes?A: The Department is still researching that. It will be discussed at the June 28th

Stakeholder Conference.

Q: The $16 million transfer to the Veterans Trust Fund as a result of SB 613 enactment,is that part of the $25 million that didn’t lapse?

A: It was originally estimated to be $25 million but in reality became $16 million.

6. Public Input.Mr. Grams said it is imperative that we get the correct information out to the public. He

asked for the definition of the Wisconsin G.I. Bill for a dependent child because there might besome misunderstanding with that. Does the income of a dependent child have any ramificationson their eligibility for the Wisconsin G.I. Bill? The answer was no. If the dependent child has

moved out of the house, has a full time job, attends school full time and is under age 26, he orshe is still eligible for the Wisconsin G.I. Bill. The Department needs to know if someone isbeing denied based on dependency or marital status.

7. Committee Members’ Matters (Not Subject to Adoption).Mr. Thiers thanked everyone for their support throughout this past year after his accident.

8. Next Meeting Date.The next meeting will be August 17 at the National Guard Armory in Spooner.

9. Adjournment.

It was moved by Mr. Sniegowski, seconded by Mr. Miskulin and carried on a voice voteto adjourn the meeting.

Marvin FreedmanChairman



1

M I N U T E SLONG TERM CARE COMMITTEE

WISCONSIN DEPARTMENT OF VETERANS AFFAIRSMeeting of June 15, 2006


Ken Wendt John A. Scocos, SecretaryWalter Stenavich William Kloster, Deputy Secretary

Ken Koon Anthony Hardie, Executive AssistantKevin Kavanaugh Bill Crowley, Commandant, WVH-KingArnold Miller Glen Brower, Commandant, WVH-Union GroveJerry Rabetski Colleen Holtan, Budget OfficeRobert Morzenti Ken Abrahamsen, Budget DirectorAlan Walker Shari McCann, Executive Staff SecretaryMary Meyer (via videoconference) Doug Tindall, Dir. Engineering & Physical PlantJerry Polus Colleen Roemer, Ex. Staff Secretary

Jackie Moore, AdjutantCommittee Excused Chris Wrolstad, Deputy CommandantChris Kornkven Shannon Hardel, DON Stordock Hall

Dave Gough Sally Herek, DON MacArthur HallBev Przybylski, DON Ainsworth Hall

Others Present Sandy Mosher, DON Olson HallRick Cherone Rich Calcut, Public Information OfficerLarry Danielson Jim McGarvey, Information TechnologyBill Hustad Nancy O’Connell, Director of PurchasingCleon Brown, USSVWWII Steve Stead, Director, Bureau of FinanceRuss Alsteen, Navy Clubs Marge Maroney, Director, Bureau of AdmissionsAnn Stenavich Cathy Leaverton, Director, Bureau of ActivitiesOwen Williams, US Sub Vets VIA VIDEOCONFERENCE:

Mary Lex, Langlade County Ken Black, Division Administrator

Mary Meyer, via videoconference John Rosinski, Chief Legal CounselSeth Perelman, Division AdministratorMike Sievert, ITJulie Van Metre, Executive Staff Assistant

1. Call to Order and Roll Call.The meeting of the Long Term Care Committee was called to order at 12:30 p.m. to hear

a WDVA briefing (see Exhibit 1). The Committee stood in recess after the briefing. A quorumwas present at the briefing and upon reconvening at 3:45 p.m.

2. Certification of Notice of Meeting.It was certified that proper notice of the meeting occurred.

3. Approval of Minutes.It was moved by Mr. Rabetski, seconded, and carried on a voice vote to approve the

minutes of the April 20, 2006 meeting.Mr. Crowley took this time to introduce some of the King staff members in attendance.



2

Doug Tindall, Director of Engineering and Physical Plant; Colleen Roemer, Executive Staff Secretary; Jackie Moore, Adjutant; Chris Wrolstad, Deputy Commandant; Shannon Hardel,Director of Nursing in Stordock Hall; Sally Herek, Director of Nursing in MacArthur Hall; BevPrzybylski; Director of Nursing in Ainsworth Hall; Sandy Mosher, Director of Nursing in OlsonHall; Rich Calcut, Public Information Officer; Jim McGarvey, Information Technology; NancyO’Connell, Director of Materials Management; Steve Stead, Director of the Bureau of Finance;Marge Maroney, Director of the Bureau of Admissions and Discharges; Cathy Leaverton,Director of the Bureau of Activities; Shari McCann, Executive Staff Secretary, and former VFW

Adjutant, Larry Danielson, a new member of the Home.

4. Proposal to Increase Wages for Work Therapy Participants as well as Increase the MaximumAllowable Monthly Income.

The Work Therapy Program at King is certified by the US Department of Labor andauthorizes the payment of wages lower than the minimum wage under the Fair Labor StandardsAct for Workers with Disabilities. The Program is recertified every two years and was lastadjusted for both hourly wage and maximum earnings in 1997. Last year 268 members of theHome at King held jobs in one of 34 different job classifications such as tugger driver, laundryworker, office worker, activities helper, library aide, postal worker, etc. A member’s doctormust certify them as being able to work in a Work Therapy job and they are paid a range from

$2.20 per hour to $5.15 per hour up to a maximum of $1,500 a year or $2,100 a year dependenton the job and their ability to perform the job requirements. Last year’s payroll for the work therapy program was $275,000. On June 1, 2006 the Wisconsin minimum wage was increasedand the USDOL wants us to keep in compliance with the minimum wage. The cost of theproposed increase would amount to about $41,000 per year to the Veterans Home at King, whichwould come out of program revenue at the Home. The proposal is an across-the-board increaseof 15% in the work therapy reimbursement rate.

It was moved by Mr. Polus, seconded by Mr. Kavanaugh and carried unanimously toapprove the proposal and forward it to the Board of Veterans Affairs.

Committee members were provided with their own personal copy of a three-ringreference binder containing information about the Wisconsin Veterans Homes.

At the Committee’s last meeting in Sturgeon Bay a question was brought up about whythe WVH cannot accept veterans with a 70% or more service-connected disability and get theirentire cost of care paid for by the federal VA. The answer was given at that time and about threeweeks later, Robert Shaw, Administrator of the Colorado State Veterans Home, as nationallegislative chairman of the NASVH, gave testimony to the Senate Committee on VeteransAffairs and part of what he talked about was the above referenced subject. Copy of histestimony was provided to Long Term Care Committee members.

5. Secretary’s Matters.Secretary Scocos thanked the Committee for a wonderful Armed Forces Day at Union

Grove with the dedication of our 120-bed facility, Boland Hall. We are making major changesin how we are doing business at the Veterans Home in Union Grove. The Secretary has taskedboth Commandants, the Budget Director, and other staff to come up with a long term plan for thesolvency of both Homes.



3

It was announced that following the Board of Veterans Affairs meeting there will be abuilding dedication ceremony in honor of John Moses.

6. Public Input.There is a tour available for any member of the Long Term Care Committee to see the

new kitchen facility if anyone is interested.

7. Committee Members’ Matters (Not Subject to Adoption).

The CVSO Association, at its spring conference, voted unanimously to contribute $100toward the bus fund.

Mr. Wendt said there have been some complaints with the cook-chill meals at the KingHome. He has personally eaten these meals and finds them to be of good quality. He feels someof the problems come with not being comfortable with change. Mr. Wendt was also concernedwith the increase from $1.00 to $1.25 for a glass of beer.

8. Next Meeting Schedule.August 17th at the National Guard Armory in Spooner.

9 Adjournment.It was moved by Mr. Miller, seconded by Mr. Rabetski, and carried on a voice vote to

adjourn the meeting.

Ken WendtChairman



1

M I N U T E S

FINANCIAL COMMITTEE

WISCONSIN DEPARTMENT OF VETERANS AFFAIRS



Pete Moran John A. Scocos, Secretary

Don Heiliger William Kloster, Deputy Secretary

Connie Allord (via videoconference) Anthony Hardie, Executive AssistantMike Demske Bill Crowley, Commandant, WVH-King

John O’Brien Glen Brower, Commandant, WVH-Union Grove

Jim Endres Colleen Holtan, Budget Office

Jim Gausmann Ken Abrahamsen, Budget Director

Bill Bottoms Shari McCann, Executive Staff Secretary

Joe Campbell VIA VIDEOCONFERENCE

Ken Black, Division of Veterans Benefits

Committee Excused John Rosinski, Chief Legal Counsel

Al Kochenderfer Seth Perelman, Division Administrator

Mike Sievert, Information Technology

Others Present

Marvin Freedman, Board Member

Duane Miskulin

Josh Sniegowski

Cleon Brown, USSVWWII

Ron Rutkowski, VVAW

Judith Singer

Steve Lawrence, VFW

1. Call to Order and Roll Call.

The meeting of the Financial Committee was called to order at 12:30 p.m. to hear a

WDVA briefing (see Exhibit 1). The Committee stood in recess after the WDVA briefing. A

quorum was present at the briefing and upon reconvening at 4:15 p.m.

2. Certification of Notice of Meeting.

Notice of meeting was certified.

3. Approval of Minutes.

It was moved by Mr. Endres, seconded by Mr. Heiliger and carried on a voice vote to

approve the minutes of the April 20, 2006 meetings.

4. Secretary’s Matters.

Secretary Scocos said the budget brief will be presented to Board members tomorrow.

The new plan sets the solvency of the Trust Fund out to 2019. The Trust Fund needs to be built

up in terms of the mortgage loan repayment fund to continue a strong program. We are talking

about long and short term plans for the Veterans Homes. The veterans population is a major

factor for the future of our Veterans Homes. We will be looking at the headquarters building and

whether or not we can commit to a stronger and bigger museum.



2

Q: The Primary Mortgage Loan Applications received by month is zero. If we are not

lending money, how are we going to get additional money in?

A: That is the importance of the passage of the Qualified Veterans Mortgage Bond for

the future. We have been in a downward spiral for the last three years. We have to look

internally on freeing up additional funding.

5. Public Input.

None.

6. Committee Members’ Matters (Not Subject to Adoption).

None.

7. Next Meeting Date.

August 17 at the National Guard Armory in Spooner

8. Adjournment.

It was moved by Mr. Endres, seconded and carried on a voice vote to adjourn the

meeting.

Pete MoranChairman



1

M I N U T E S

COUNCIL ON VETERANS PROGRAMSWISCONSIN DEPARTMENT OF VETERANS AFFAIRS


Members Present WDVA Present

Russ Alsteen, NCUSA John A. Scocos, Secretary

Paul Bialk, MCL William Kloster, Deputy SecretaryPat Brown, USSVWWII Anthony Hardie, Executive AssistantRick Cherone, MOPH Bill Crowley, Commandant, WVH-KingPaul Fine, ANU Glen Brower, Commandant, WVH-Union GroveRick Gates, CVSOA Colleen Holtan, Budget OfficeBill Hustad, WVV Ken Abrahamsen, Budget DirectorSteve Lawrence, VFW Rich Calcut, PIOJerry Rabetski, PLAV Shari McCann, Executive Staff SecretaryRon Rutkowski, VVAW VIA VIDEOCONFERENCE

Vera Roddy, UWV Ken Black, Division of Veterans BenefitsWilliam Sims, NABV John Rosinski, Chief Legal Counsel

Tim Thiers, AMVETS Seth Perelman, Division AdministratorPaul Weprinsky, JWV Mike Sievert, ITSteve House, VVA Julie Van Metre, Executive Staff AssistantWalter Peterson, Am. ExPOW

Others Present

Members Excused John O’Brien, MOPHJesse Haro, CWV Holly Hoppe, Oconto CVSOBud Mautz, Am. Legion James Young, Vernon CSOClif Sorenson, WACVO Ted Mynyk, Iowa CVSOJack Stone, PVA Mark Grams, Dodge CVSOWWI vacancy Bob Wilson, Langlade CVSO

FCDV vacancy Walter & Ann Stenavich, Board MemberARC vacancy Mack Hughes, Board ChairmanDAV vacancy Robert Morzenti, Iron CVSO

Mary Lex, Langlade CountyMike DemskeKevin KavanaughChet KrauseJohn SniegowskiJoe CampbellJudith SingerBill Bottoms

1. Call to Order and Roll Call of Members.The meeting of the Council on Veterans Programs was called to order by Chairman

Alsteen at 8:00 a.m.

2. Certification of Notice of Meeting.It was certified that proper notice of the meeting occurred.



2

3. Introduction of Guests and Announcements.Chairman Alsteen acknowledged Board Member Wendt, Board Member Stenavich,

Board Member Moran, Board Chairman Hughes, and Tony Flanzer who is a resident at theWisconsin Veterans Home.

4. Approval of Minutes.

It was moved by Mr. Lawrence, seconded by Mr. Hustad and carried unanimously on avoice vote to accept the minutes of the April 20-21, 2006 meetings.

5. Council Communications.Mr. Alsteen said he received communication from MOAA and TREA organizations

stating that they proposed language for submission to the Legislature for their inclusion on theCouncil on Veterans Programs. Mr. Alsteen received a letter from Governor Doyle announcingthat he signed Senate Bill 613 into law. Another correspondence was received from RussFeingold in regard to the spinal cord injury center in Milwaukee.

6. Museum Foundation Report.

Mr. Hustad said the Museum Foundation is scheduled to have a meeting next week. Theannual Golf Outing is July 17th and they are still looking for sponsors or golfers.

7. Possible Action on CVSO Resolution S06-001—Individual Income and Property TaxBenefits for Veterans.

Initially, when the state came up with a benefit for exempting veterans from having topay state property tax, it was just for veterans with 100% service-connected disability. TheResolution includes veterans who are 100% disabled based on determination of unemployability.Mr. Gates added that sometime down the road we would like to address the residencyrequirement and the age 65 requirement.

It was moved by Mr. Hustad, seconded by Mr. House and carried unanimously on a voicevote to go on record in support of CVSO Resolution S06-001. Mr. Thiers would like copies of this Resolution available at the Stakeholders Conference so that it could be re-evaluated forresidency and age 65 requirement.

8. Report of Special Committee to Study the Reorganization of the Membership of the Councilon Veterans Programs.

The Committee met yesterday afternoon. Letters to MOAA and TREA supporting theirapplication to this Council have yet to be sent. Another letter is to be drafted and sent to anyorganization missing three consecutive Council meetings and/or failure to submit its biennialreport. Mr. Alsteen will draft those letters for mailing. There were no discussion items by theSpecial Committee that needed action by the full Council.

9. Secretary’s Matters.Mr. Scocos announced that there will be a John Moses Central Services Building

dedication ceremony immediately following the Board meeting today.

The Secretary will brief the Board today on the initial budget proposals. He looksforward to seeing everyone at the Stakeholders Conference on June 28th in Madison. This year



3

has been a great year for budget successes that culminated on Memorial Day with the signinginto law of Senate Bill 613. The 120-bed skilled nursing facility was dedicated on Armed ForcesDay.

The Department had a great Supermarket of Veterans Benefits event in Oshkosh and theSecretary has had the opportunity to attend listening sessions across the state with various

legislators. The Secretary is hearing that the property tax credit and the theft of veterans’ recordsare the most pressing issues out there. Mr. Scocos has attended and will continue to attend theveteran’s service organization conventions throughout the summer.

10. Old Business.Mr. Kloster reported that the Process Action Team to review the question of eligibility

has met and filed its report. The basic recommendation from the Committee was, in the cases of discharges that were not cut and dried honorable versus dishonorable but in a grey area, a Boardof various composition would be put together to review those cases and make a recommendation.Mr. Kloster felt that may be problematic in that any decision by that Board would be subject toan appeal and we would need to develop an appeal process. Since it would be subject to an

appeal, there would have to be definite rules by which the Board would use to determine whetheror not a person was eligible. If the rules are already in place, then the current system we haveshould be sufficient. The real question here is that we, as a veteran’s community need to cometo grips with the fact that either we’re going to continue to operate as we currently do with oureligibility, which is fairly liberal as far as character of discharge, or we’re going to have to take ahard stand and say this is what works and this is what doesn’t work. There is more discussionneeded in that matter and that is one of the topics we will address at the Stakeholders meeting onJune 28th.

It was moved, seconded and carried on a voice vote to table receiving a report regardingthe discharge matter until the next meeting.

Mr. Alsteen said that he was recently in Lancaster, Pennsylvania at a NationalConvention where a representative from the US Department of Veterans Affairs enlightenedthem on the theft of the 26 million veterans’ records. A Department employee illegallydownloaded information from the US DVA on a computer and took it to his home. They’veconcluded that it was a gang related incident because there were multiple break-ins in thecomplex where this employee lived. Each of the break-ins in this apartment complex resulted inthe theft of computers only. Their assumption is that the thieves took the computers, erasedthem so they could not be traced and then sold the computer.

Mr. Alsteen said the Council received a letter from WDVA Legal Counsel regarding theissue of reimbursement of expenses from the state for attending Council meetings. It basicallystates that under current law, members of the Council on Veterans Programs are entitled toreimbursement for transportation, lodging, meals, and expenses incurred while attending officialmeetings of the Council, limited by maximum reimbursement amounts. There is no clearlimitation as to whether lodging is necessary based upon the timing of the official meetings. TheCouncil had considered removing lodging eligibility for those people who don’t attend thebriefings the day before. It was moved by Mr. Rabetski, seconded by Mr. Thiers and carried ona voice vote to table the issue indefinitely.



4

11. New Business.None.

12. Activities within the Veterans Community.The CVSO Association recently had an executive committee meeting and selected two

Advocacy Award recipients for 2006. One was to Simon Katchke of Sheboygan and the other

was to Robert “Bud” Thiel of Crandon.

The US Department of Veterans Affairs and the Wisconsin Department of VeteransAffairs are sponsoring a Women Veterans Health Conference on Saturday, June 17th at theMadison VA Medical Center.

Military Order of the Purple Heart and VFW Day at Union Grove is 24 September. TheKing Day will be on 10 September. A new program initiated this year is to present Purple HeartPlaques to all the soldiers in the Iraq and Afghanistan War. Fifty-five plaques have beendistributed to date.

AMVETS State Convention, June 22-25 in Manitowoc. The local Manitowoc DAVChapter has instituted a year of free dues for returning service members who attend the Chaptermeetings. AMVETS and VVA are co-hosting a King Day. Mr. Thiers wished Mike Demskegood luck in his bid for VVA State President.

Stakeholder Conference, June 28, 1100 to 1600 in Madison. Mr. Alsteen encouragedeach Council member to attend the stakeholder meeting.

In conjunction with Ft. McCoy Retiree Days, the Department and the Ft. McCoyRetirement Center will do a joint veterans benefit information fair at the Rumpel Fitness Centeron September 1st.

The USS Edson is attempting to get moored in Sheboygan. Mr. Thiers recommendedthat the Board take into consideration approving this attempt. He would like a letter sent statingthat it is under review and a decision will be made at the next Board meeting. Mr. Thiers saidthe Woodshop at King makes the triangle flag display cases and they are for sale for $40 to $60in the gift shop. The point of contact for purchasing these cases is Rich Calcut.

Mr. Thiers said that WDVA Claims Representative Paul Frantz will be missed, he was atremendous resource for CVSOs and his death is a significant loss. Wilson, Langlade CVSO,echoed his admiration for Mr. Frantz. Mr. Wilson added that his office received a donation of apontoon boat that his county donated to Camp American Legion.

Mr. Hardie announced a public hearing at the Department headquarters on June 19th

at11:00 a.m. It is an annual requirement regarding bonding for the qualified veteran’s mortgagebonds. Written comments are encouraged in lieu of attendance.

August 7th is the Department sponsored Purple Heart Recognition Day event in SturgeonBay.



5

Mr. Cherone brought up a concern he has heard about veterans not being notified inadvance that they have been moved from one clinic to another. Ms. Oshinski asked him formorespecifics before she could respond. He also noted that the waiting lists for dental care is aboutfive or six months. Will that service be outsourced? Ms. Oshinski said they are trying to createadditional staffing for dental as well as attempting to outsource.

Q: What is the timeline for getting something to the legislature?A: You can be working now on legislative bill drafts to have them ready for introduction

in January. There is a window of opportunity between now and next May to put items into thebudget or draft individual pieces of legislation.

Mr. Campbell officially thanked John Scocos, the Department of Veterans Affairs andSteve House from VVA for their support in an organization called Being There, Reaching Out.

13. Next Meeting Date.August 17 and 18 at the National Guard Armory in Spooner.

14. Adjournment.It was moved by Mr. Gates, seconded by Mr. Thiers and carried on a voice vote to

adjourn.

Russ AlsteenChairman



B O A R D M I N U T E SWISCONSIN DEPARTMENT OF VETERANS AFFAIRS

Meeting of June 16, 2006King, Wisconsin

Board Members Present Others Present

Ken Wendt Larry DanielsonPete Moran Bill HustadMarv Freedman Bill BottomsMack Hughes Jerome Rabetski, PLAVWalter Stenavich Mark Grams, Dodge CVSO

Ted Mynyk, Iowa CVSOBoard Members Absent Jon LiDonne, Waupaca CVSOKathy Marschman James Young, Vernon CVSODon Heiliger (departed due to illness) Larry Smerling, Winnebago CVSO

Owen Williams, US Sub VetsWDVA Present Russ Alsteen, Navy ClubsJohn A. Scocos, Secretary Ann Stenavich

Bill Kloster, Deputy Secretary Rich Cherone, MOPH

Anthony Hardie, Executive Assistant Bob Wilson, Langlade CVSOGlen Brower, Commandant-Union Grove Robert Morzenti, Iron CVSOBill Crowley, Commandant-King Mary Lex, Langlade CountyColleen Holtan, Financial Officer Mike DemskeRich Caclut, Public Information Officer-King Rick Gates, CVSO Association/Polk CVSOShari McCann, Executive Staff Secretary Steve House, VVAChris Wrolstad, Deputy Commandant Arnie Miller, AMVETSColleen Roemer, Executive Staff Secretary Duane J. Miskulin, AMVETSJackie Moore, Adjutant Alan W. WalkerLinda Eskritt Vera Roddy, UWVSherry Kelly, Director of Social Services Renee Oshinski, VISN 12

Sandy Mosher, DON Olson Hall Robert McDivitt, VISN 23Beverly A. Przybylski, DON Ainsworth Hall Josh Sniegowski, DAVNancy O’Connell, Materials Management Jim Endres, AMVETSCathy Leaverton, Director of Activities Ron Rutkowski, VVAWSteve Stead, Director of Finance Kevin Kavanaugh, MOPHVIA VIDEOCONFERENCE Chet KrauseJohn Rosinski, Chief Legal CounselKen Black, Division of Veterans BenefitsSeth Perelman, Division AdministratorMike Sievert, Information TechnologyRich Zeitlin, Museum DirectorJulie Van Metre, Executive Staff Assistant

1. Roll Call and IntroductionsThe meeting of the Board of Veterans Affairs was called to order at 9:10 a.m. The

Pledge of Allegiance was recited. A quorum was present after roll call of members.

2. Certification of Notice of MeetingIt was certified that proper notification of the meeting occurred.

1



At this point Secretary Scocos introduced Chet Krause and thanked him for hissupport and contribution toward the bus fund. Mr. Crowley said Mr. Krause is a World WarII veteran who expanded his enterprises over the years and with his work ethic anddedication has been successful. He has been extremely generous to different organizationsand causes. His fellow veterans will benefit from his generosity with his contribution of $110,000 toward the cost of acquiring transportation services for the veterans at the Homes

in King and Union Grove. Mr. Krause was presented with the King of Hearts Plaque as atoken of appreciation.

The Secretary presented a plaque to Deputy Commandant Chris Wrolstad on behalf of the Board in recognition and appreciation of her outstanding achievements.

3. Approval of MinutesIt was moved by Mr. Moran, seconded by Mr. Wendt and carried unanimously on a

voice vote to approve the minutes of the April 20-21, 2006 Board meetings.

4. Board Members’ Matters

Mr. Moran congratulated Secretary Scocos on being the recipient of theDistinguished Service Award from the DAV. Mr. Moran attended the Boland Halldedication at Union Grove. He also had the opportunity to attend the Memorial Day servicesat the State Capitol and witnessed the signing of landmark legislation in the Governor’schambers after the service. Mr. Moran had the opportunity to donate his service memorabiliato the Veterans Museum.

Mr. Wendt attended the Governor’s presentation at the King Veterans Home in May.He was at the dedication of Boland Hall on May 20th and at King for the Open House onMay 21st.

Mr. Freedman attended the dedication of the Skilled Nursing Facility in Union Groveand also joined Mr. Moran at the Memorial Day services in Madison at the State Capitol andthe subsequent signing ceremony by the Governor for SB 613 and a number of other veteransand military affairs bills. He also attended the Helmets to Hard Hats ceremony inMilwaukee.

Mr. Hughes attended the stately Memorial Day ceremony at Wood Cemetery andparticipated in the parade in Milwaukee.

5. Board Action from Committee and Council MeetingsCVSO Advisory Council meeting of June 15, 2006. Ms. Hoppe, Chair of the

Council, reported that discussions covered issues on identity theft, education and health care,property tax credit issues, and aid to needy veterans. There were no motions for Boardaction.

Legislative and Program Review Committee meeting of June 15, 2006. Mr.Freedman said the committee discussed four resolutions from the CVSO Association. Thefirst three were supported by unanimous motions with the recommendation that the Board dolikewise. The fourth resolution was placed on the agenda for the August meeting and actionon it would be deferred until that time.

2



Long Term Care Committee meeting of June 15, 2006. Mr. Wendt said the

Committee recommended that the Board increase wages along with the maximum allowablemonthly income for Work Therapy participants. He reminded everyone to contribute to thebus fund and took the opportunity to contribute $50.00. Mr. Alsteen bested him by donating$100 to the bus fund. Mr. Wendt, not to be outdone, donated another $50.00.

Financial Committee meeting of June 15, 2006: Mr. Moran said the Committee hearda report by the Department. Positive cash flows are starting to materialize and we arestarting to see some of the rewards of the solvency plan. The Committee passed no motionsto bring before the Board.

Council on Veterans Programs meeting of June 16, 2006: Mr. Alsteen said theCouncil unanimously supported CVSO Resolution S06-001. They voted to permanentlytable any potential change in reimbursement for travel, meals and lodging expenses.

It was moved by Mr. Freedman, seconded by Mr. Stenavich and carried on a voice

vote that the Board go on record in support CVSO Resolutions S06-001, S06-002 and S06-003 relating to individual income and property tax benefits for veterans, the change to theWisconsin G.I. Bill and the Assistance to Needy Veterans Grants.

6. Proposal to Increase Wages for Work Therapy Participants as well as Increase theMaximum Allowable Monthly Income.

Based upon the April 2006 Work Therapy payroll, the suggestion to raise both therate and maximum earnings a year would increase the Work Therapy payroll by an estimated$41,500 a year. The hourly wage varies according to the specific job and the participant’sability to perform the job. The range is from $2.20 an hour to $5.15 an hour and an across-the-board increase of 15% to all the wages is requested. These positions are not covered by

the minimum wage law, which is $6.50 per hour. There is a provision by the US Departmentof Labor certifying the Home as being authorized to pay wages lower than the minimumunder the Fair Labor Standards Act for Workers with Disabilities. The program needs to berecertified every two years.

It was moved by Mr. Moran, seconded by Mr. Wendt and carried unanimously on aroll call vote to increase the hourly wage of Work Therapy jobs by 15% and increase themaximum income for a Work Therapy participant by $200 a month.

7. Clarification on HILP Policy.At the last Board meeting, the Department introduced a methodology by which it

would establish interest rates on the Home Improvement Loan and the Personal Loan. Therewere two concerns raised in regard to the minimum mark up that we would apply to theinterest rate and the difference between a loan with 10% equity versus more than 20% equity.We also heard a concern voiced by the CVSO Association on the setting of the interest rates.A modification to the policy was proposed.

Policy: On a quarterly basis, or more frequently if warranted by market conditions,

the Wisconsin Department of Veterans Affairs will set rates for its Home Improvement Loan

Program. Rates shall be no less than 25 basis points below an average of conventional

3



market rates offered in the State of Wisconsin and at least 12587.5 basis points above either

the State of Wisconsin Investment Board (SWIB) earnings rate for the last month reported or

the bond coupon rate when bond proceeds are being lent. Further, the rates offered for a

mortgage secured loan with a loan-to-value (LTV) ratio of greater than 80% and less than

90%, shall be at least no more than 50 basis points higher than those offered for an 80% or

lower LTV ratio loan, and the rate for a three-year guarantor secured loan shall be the same

as the rate offered for the Department of Veterans Affairs personal loan program three-year guarantor secured loan.

It was moved by Mr. Wendt, seconded by Mr. Freedman and carried unanimously ona voice vote to accept the revised HILP interest rate policy.

Mr. Kloster informed the Board that the Department is in the final stages of anagreement with the Land Commission to notify us that they will have $2 million availableearly next month for us to do a bond issue to fuel our Home Improvement Loan Program forat least a year.

8. VISN 12 and VISN 23 ReportsMr. Rob McDivitt began with greetings from Dr. Petzel, the VISN 23 Network Director. He reported on the following:

• VISN 23 has treated 242,000 veterans at this point in the year as opposed to 236,000a year ago.

• Budget: the Network will make it through the fiscal year with the funds available toit.

• Over 10,000 OIF/OEF veterans have enrolled in the Network, including over 2,000 inMinneapolis.

• The Network is participating in a pilot program called Post Deployment HealthReassessment Process. This is a mandatory health screening done by a private consultant.

If the veteran has a need for medical care, mental health care, social issues, etc., they arereferred to the VA. On average, if they screen 100 returning soldiers, about 30-40 will bereferred to the VA for follow up.

• Waiting lists have improved. There are now 157 veterans waiting for a firstappointment at Twin Ports. All have been offered appointments in Minneapolis. It has beenan ongoing and multi-year struggle to recruit providers in the Twin Ports area. ChippewaValley has no one on a waiting list.

• Outpatient Clinics: The western Wisconsin, Barron/Sawyer County communitybased outpatient clinic has not yet happened, although there has been movement at theWashington level. Proposals have gone through VA, they are out in the Congressionalcomment period.

• Security issues: There was a breach of security of 26 million veterans’ records. Nohealth care information was released as a part of that. Significant action is being taken inthe health care part of the VA. All employees are being retrained on privacy.

• The polytrauma center in Minneapolis continues to grow. They continue to receivepatients and provide for families in the Fisher House across the street.

Ms. Oshinski said the VISN 12 Network budget is on a fairly steady course. TheNetwork is challenged by the integration of the closure of the Naval Hospital at Great Lakesand bringing that workload into the VA Hospital. The workload has far outstretched the

4



estimates they received from the Navy. In the first week 600 patients were treated in theemergency department and of those about 75% were DOD people and 25% were VA people.VISN 12 has been trying to reduce waiting lists by implementing the advanced clinic accessprinciples to make sure people are seen as soon as they need to be seen. They have expandedsome contracts and also tried to bring on some additional staff. That has been helpful and thewaiting list is down from 3,000 to 800 veterans waiting for their first appointment.

The prostate biopsy equipment that was identified as having unclear cleaninginstructions and therefore the potential for transmitting disease is used at the MilwaukeeVAMC. Letters of explanation were sent to 2,054 patients who received their biopsy withthe BK Transducer equipment. As of yesterday 513 of the 2,054 contacted have been intouch with the VA; 458 have appointments scheduled, testing has been completed on 399 andfrom those results, none have been identified with medical complications.

Q: What diseases could have been transmitted with the BK Transducer problem?A: Former patients receiving the prostate test with the BK Transducer were tested for

HIV and Hepatitis B and C.

The Hines campus, working with Catholic Charities, just had a ribbon cutting forhomeless veterans housing. Another housing project is a living facility for 70 one bedroomapartments that provides priority placement for veterans. Another project with CatholicCharities is on the south side of Chicago for homeless veterans. The last one is theexploration of some enhanced use possibilities on the Milwaukee campus.

Security is a tremendous concern to all. VISN 12 is redoubling its efforts to educatestaff on how and where to use information. There will be a stand down for security acrossthe VA on June 26th. The telephone number that was set up nationally for any veteran whohas any questions or problems about their data being compromised is—1 800 FED-INFO.

The web site is www.firstgov.gov.

Q: Do we have a mental health provider at all our CBOCS?A: There is some sort of mental health presence—a social worker, a psychiatrist, a

psychologist, some of them may be contract.

Q: Are there waits for veterans to see mental health providers?A: Someone could get in for an initial assessment fairly quickly. There may be

longer waits for follow up appointments.

Mr. Freedman asked both Ms. Oshinski and Mr. McDivitt to give a briefing at the

next meeting as far as what type of mental health presence there is at each of the CBOCswithin the two VISNs and what the initial wait is and the follow up visit wait.

In other public comment, several people in attendance spoke about tinnitus andhearing loss. They felt that audiologists assume that hearing loss is either cumulative or itstarted because of something specific that had to be shown at discharge from service. Now,in Minneapolis veterans are being granted a 10% tinnitus due to documented noise exposurebut they are being denied hearing loss because it was not tested during or immediately afterservice. Decisions are being rendered at the comp and pension office. Audiologists are

5

http://www.firstgov.gov/

http://www.firstgov.gov/



being tasked of providing the exams. If the audiologist feels it is cumulative, you will getyour claim through, if he feels it is not a cumulative issue, it had to happen right then andthere, you are being denied. Ms. Oshinski said both Networks can look at this issue morefrom a system perspective rather than a case-by-case basis.

9. Secretary’s Matters

Deputy Secretary Kloster began by giving a brief update on the PTSD process actionteam. Secretary Scocos tasked Mr. Kloster to look at what is being done and what could bedone in the future for PTSD. There are eleven members on the process action team thatinclude individuals from New Jersey, the State of Washington, representatives from theCVSO community, Madison and Milwaukee VA medical centers, Women Veterans,Vietnam Veterans of America, the mental health community and our Mission WelcomeHome coordinator along with a Vet Center contracted counselor. At the first meeting inJanuary, New Jersey and Washington reported on what they are providing. Some key pointswere identified: first there is the negative stigma of a person suffering from PTSD as beingcrazy; secondly, returning service members need help in reintegrating back into society; thirdwas to make services much more accessible. In order to move forward on those points they

worked for several months to put together a brochure entitled, “Military Families inTransition”. The brochure provides information about mental condition, about PTSD andother stressors that service members might be experiencing and where to get help. Mr.Kloster is working on a web site that is specifically designed to add much more information.His goal is to try to break down that stigma and get the individual to seek help early on inthe process. Everyone on the committee agreed that if the person who is suffering seeksassistance early on, they can be cured or the severity of the systems will be lesseneddramatically.

Mr. Freedman said this request for a PTSD update was prompted by a conversationthat he and Ms. Marschman had in May. The GAO reported that of the veterans identified as

at-risk only 22% were being referred for treatment and 78% were not. Of all the returningmilitary who were evaluated, the conclusion was that only 5% were determined to be at-risk.A previous report by the VA itself and others estimated it at 20%, a very conservativenumber. Mr. Freedman said Post Traumatic Stress takes three forms—the acute variety,chronic variety and the delayed variety. The delayed variety is the most insidious because itis most likely to become chronic. Mr. Freedman encouraged looking beyond just thereturning military from Afghanistan and Iraq but include Persian Gulf veterans and otherssince Vietnam. The condition has been known throughout the years as Shell Shock, CombatFatigue and Post Traumatic Stress Disorder.

Secretary Scocos presented a briefing on the 2007-09 biennial budget. Unlike the

objective in the last biennial budget which was to implement the Veterans Trust FundSolvency Plan-Phase One, he intends to use this budget to start building a financialfoundation for the future. To accomplish that objective we must increase general purposerevenue funding in order to solidify the financial base of the Veterans Trust Fund in the shortterm. To insure the long term Veterans Trust Fund solvency we must rebuild the PrimaryMortgage Loan portfolio using a source of funding that is sufficient to meet demand andprovide a profit margin. These are two primary objectives to be achieved in the upcomingbiennial budget. This is the direction we’ll take to ensure the long term Veterans Trust Fund

6



solvency. The Secretary plans to involve stakeholders in the planning process, and build astrong legislative relationship to insure enactment of the plan.

The administrative savings for fiscal year 2006 is over and above $900,000 in theadministrative reduction taken in the 2005-06 biennial budget. Those savings, plus the 2006savings total over $1.4 million. We made a number of program and funding changes for

grants programs and personal loan programs as part of the Veterans Trust Fund solvencyplan. The demand for the personal loan program has been substantially less than projected.However, the financial impact is minimal since we are now earning nearly 5% on our cashinvested in the State of Wisconsin Investment Board as opposed to only 1% when we weredeveloping the solvency plan two years ago. We are about to implement a marketinginitiative within the next month that should increase the demand for the personal loans. TheVeterans Trust Fund ending cash balance for FY 06 is based on the solvency which isprojected to be $22 million. The actual ending cash balance for 2006 will be about $7million higher than that projected. The Trust Fund, Mortgage Loan Repayment Fund and theHomes all have substantial positive cash balances.

WDVA general budget guidance: limit administrative costs, reduce supply andservices expenditures, concentrate on cost neutral initiatives, develop long term plans for ourVeterans Homes, improve administrative and IT systems, and work for the future. TheGovernor’s budget guidance: agency budgets are due September 15th based on 100% fiscalyear 2006-07 adjusted base level. Areas needing additional staffing must be met with basereallocations.

Specific budget items: restore general purpose funding for the Veterans Museum,shift funding for certain administrative cost to general purpose, seek federal legislation toincrease the volume cap for QVMB and state legislation that will allow us to use commercialpaper for our Primary Mortgage Loan Program. We need to right size the King Home so that

we can provide our members with safe, quality care that can be supported by the labormarket in the area. For both the Veterans Trust Fund and the Mortgage Loan RepaymentFund we must continue to reduce administrative costs as well as reallocate resources whereneeded. Finally, we’ll follow up on those items that were not passed in the legislativesession.

Budget issues: Tax breaks for veterans of all eras. Continue the commitment togrowth at our Veterans Homes. Look to establish a new veterans state cemetery in the FoxValley area based on federal funding. Continue the legacy of the Veterans Museum and ourgoal to purchase or construct a building. Continue to memorialize the contributions of veterans in the community. Expand the property tax credit for disabled veterans to 30%

based on current state and federal law. Relook all programs and residency rules. Relook theissue of purchasing retirement credit for veterans. Assist veterans with a veteransorganization tax exemption. Assist the Council on Veterans Programs add more groups to itsmembership. Continue the long term project of establishing a Chippewa Falls Home.

The budget timeline is as follows: the budget will be presented to the Board of Veterans Affairs at its August meeting; final budget approval via Board member

7



teleconference in September, and 15 September budget submission to the Department of Administration.

10. Public Input.Mr. Crowley introduced King staff members: Linda Eskritt, a member of the group

of Directors of Nursing; and Sherry Kelly, Director of the Bureau of Social Services.

Board Chairman Hughes presented the Board of Veterans of Affairs gavel plaque tooutgoing Board Chairman Ken Wendt and thanked him for his year of leadership on theBoard.

Mr. Miskulin is on the Steering Committee for the National Symposium for YoungVeterans. He has had the opportunity to travel across the United States and ask veteransorganizations at state conventions if they could send a young veteran to the symposium inChicago, October 18-21. Major General Franks will be the guest speaker. There will be 55subcommittees manned by professionals to document the needs of the young veterans andthen present those needs to the Senate and House Veterans Affairs Committees in

Washington.

11. Other Matters (Not Subject to Adoption).Commandant Crowley said that Chet Krause has again offered a challenge for the

benefit of the bus fund. In addition to the $110,000 that he has already given, Mr. Krausesaid that if we can raise $25,000 between now and August 1st he will match that with another$25,000. Robert Morzenti donated $100 for the bus fund. Mr. Freedman presented a check from the Dane County VVA Chapter 220 in the amount of $500 for the bus fund. A KingVeterans Home employee donated $50 to the bus fund. Mack Hughes donated $100 to thebus fund. Pete Moran pledged $100 to the bus fund. Wally Stenavich said he just received aletter of thanks for his $100 donation.

12. Next Meeting Date and LocationAugust 17 and 18 at the National Guard Armory in Spooner

13. AdjournmentIt was moved by Mr. Moran, seconded by Mr. Freedman and carried on a voice vote

to adjourn the meeting at 11:15 a.m..

Mack HughesChairman

Documents

Board Minutes June 2006