Walker Touts Higher Ed, Health Insurance Agenda During State Of The State

​Gov. Scott Walker delivered his first State of the State address since ending his campaign for president last year, using Tuesday night’s speech to signal his support for a change in state employee health insurance and a plan to help people pay for higher education.

A year ago, Walker’s State of the State Speech was laced with national themes and hints of a presidential campaign that was right around the corner. On Tuesday night, that intrigue was gone, but the governor still hit many of the same notes that were mainstays of his presidential run.

“The ‘Wisconsin Comeback’ is real,” he said, addressing the lawmakers gathered in the Assembly chambers at the state Capitol.

As expected, Walker stressed Wisconsin’s low unemployment rate, sidestepping any mention of state-to-state comparisons that show Wisconsin lagging in job growth. Going forward, the governor said growing the economy would require a change in perspective.

“We must value our students who choose to be highly-skilled welders, IT technicians or certified nursing assistants, as much as we choose to honor those who choose to be doctors and lawyers,” he said.

Walker said some of the changes that he’d made as governor were already helping, specifically Wisconsin’s new law requiring job training for food stamp recipients. Walker mentioned anecdotes from people who had used the program to get jobs at a flooring mill, a warehouse and a Wal-Mart deli.

“For too long, government programs have entrapped individuals like this into extended dependency. Our reforms help people get the training they need to get back up on their feet again,” he said.

As Walker did all last week, he discussed his higher education plan that would allow for the full deduction of student loan interest on state income taxes and increase grants for technical colleges.

“Tonight, I call on lawmakers in both parties to pass this legislative package as soon as possible,” he said.

The governor also waded into the debate over whether to change Wisconsin’s state employee health insurance system, seemingly endorsing a switch to a self-insurance model.

“One area to consider for real reform is the way we administer health insurance for state employees, which some experts believe could save tens of millions of dollars,” he said.

Walker said any savings from a new insurance model should be spent on public education.

State Senate Democratic Minority Leader Jen Shilling said after Walker’s speech that the governor seemed to lack urgency and that his ideas were “weak tea.”

“I felt underwhelmed, honestly, by the governor’s remarks and comments and by his vision for the state,” she said.

Assembly Minority Leader Peter Barca cautioned against the change in health insurance, pointing out that independent consultants disagree on whether it’s a good idea.

“When the governor says that there’s going to be these savings, it could be the exact opposite. It could cost significantly more,” Barca said.

By tying potential savings to education, Shilling said, Walker seems to be, “pitting state workers and their health insurance benefits against schools.”

Majority Republicans also voiced concerns about moving to a self-insurance model. Assembly Speaker Robin Vos said he needed to know more.

“I want to make sure that it’s done, first of all, not in a way that’s going to disrupt the private insurance market. And the second thing I want to make sure of is that there are significant savings,” he said.

Vos said he did hope to pass the governor’s higher ed plan, but Senate Majority Leader Scott Fitzgerald was far more cautious, saying plainly that any change to the state health insurance system won’t happen this year and time is running out on other ideas.

“Yeah, anything that’s going to happen is going to have to happen quickly,” he said.

Fitzgerald told reporters that new budget projections due out this week could be a factor in what the Legislature passes. He said those projections would likely be worse than previously expected — a somber contrast to the upbeat message of the governor.