EXHIBIT 1

WISCONSIN DEPARTMENT OF VETERANS AFFAIRS

WDVA Briefing of February 21, 2006
Madison, Wisconsin
Board Members Present WDVA Staff Members Present
Walter Stenavich John A. Scocos, Secretary
Ken Wendt Bill Kloster, Deputy Secretary
Anthony Hardie, Executive Assistant
Legislative & Program Review Members Present Bill Crowley, Commandant, King
Russ Alsteen John Rosinski, Chief Legal Counsel
Kevin Kavanaugh Glen Brower, Commandant, Union Grove
Bill Hustad Ken Abrahamsen, Office of Policy & Budget
Vern Lovley Colleen Holtan, Budget Office
Bud Mautz Ken Black, Veterans Benefits
Duane Miskulin Ken Grant, Veterans Cemeteries
Tim Thiers Seth Perelman, Div. of Administration
Paul Weprinsky Tom Rhatican, Div. of Veterans Homes
Victor Vela Larry Kleinsteiber, Policy Advisor
Julie Van Metre, Executive Staff Assistant
Long Term Care Committee Members Present
Walter Stenavich, Board Member Council on Veterans Programs Present
Chuck Taylor Russ Alsteen, NCUSA
Chris Kornkven Paul Bialk, MCL
Jon LiDonne Pat Brown, USSVWWII
Arnold Miller Rick Cherone, MOPH
Ken Koon Walter Peterson, Am Ex-POWs
Jerry Rabetski Rick Gates, CVSOA
Vera Roddy Bill Hustad, WVV
David Gough Ken Kuehnl, DAV
Charles Allen Steve Lawrence, VFW
Bud Mautz, Am. Legion
Financial Committee Members Present Jerry Rabetski, PLAV
Connie Allord Vera Roddy, UWV
Mike Demske William Sims, NABV
Jim Gausmann Clif Sorenson, WACVO
Mary Meyer Jack Stone, PVA
John Solis Tim Thiers, AMVETS
Jim Endres Paul Weprinsky, JWV
Bob Morzenti Steve House, VA
Ron Rutkowski, VVAW
CVSO Advisory Council Members Present
Rick Gates, Polk CVSO Others Present
Holly Hoppe, Oconto CVSO Ellen Blissenbach, Gold Star Wives
John Solis, Rock CVSO Michael Borg, VFW Post 2778
John Margowski, Waukesha CVSO Ken Brown, Ozaukee CVSO
Ted Mynyk, Iowa CVSO Donna Chrzas, Columbia CVSO
Jim Young, Vernon CVSO Ted Duckworth, Am. Legion Commander
Mike Haley, Chippewa CVSO Roger Fetterly, Military Officers Association
Bob Wilson, Langlade CVSO Mike “Gunner” Furgal, VFW Adjutant
Don Lander, Clark CVSO John Glothe, American Legion
Mark Grams, Dodge CVSO
Walter Hahn, VFW Post 721
Rudolph Hartland, VFW Post 659
Annette Howards, Marine Corps League
Michael Jackson, Dane CVSO
Chris Johnson, Bayfield CVSO
“Twiggy” Johnson, VFW
Chris Jordan, Walworth CVSO
Fred Kaiser, Waushara CVSO

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 Others Present Continued from Page 1
Chris Kanos, VFW Post 2588
Al Kochenderfer, VFW
Mary Lex, Langlade CVSO Office
Kerry Metoxen, Oneida TVSO
Ken Nawrocki, Am Legion Post 355
Dar Schuff, LAMOPH President
Lee Schuff, MOPH Commander
Larry Smerling, Winnebago CVSO
Ann Stenavich
William Stiefvater, Cmdr 6th Dist Am. Legion
Tom Taber, Grant CVSO
Tony Tyczynski, Sauk CVSO

The briefing session by WDVA staff for Board, Council and Committee members
commenced at 12:30 pm. The Pledge of Allegiance was recited. It was noted that the
notice of meeting was posted in accordance with the open meetings law.

1. Certification of Notice of Meeting and Roll Call

Roll call of Board members: 2 members present; 5 members excused. Quorum not met.
Roll call of Legislative and Program Review Committee members: 9 members present, 3
members excused. Quorum present.
Roll call of Long-Term Care Committee members: 10 members present; 2 members
excused. Quorum present.
Roll call of Financial Committee members: 7 members present; 3 members excused.
Quorum present.
Roll call of Council on Veterans Programs members: 19 members present, 2 members
excused, 3 vacancies. Quorum present.
Roll call of CVSO Advisory Council members: All 9 members present.

2. Legislative Report—Anthony Hardie

Mr. Hardie said the post budget spring veterans package was introduced and is
moving through the legislative process as Assembly Bill 1034 and Senate Bill 613.
Assembly Bill 1034 had a public hearing February 21st with executive action expected in
the week. Senate Bill 613 will have a public hearing on February 22nd. The legislation
has several provisions:
• It allows DVA to transfer money from the appropriation account for the veterans’
homes to the Veterans Trust Fund, limiting the amount that may be transferred to
$16,000,000. The Department will take a very cautious and prudent approach to
any possible transfer. A final decision as to the amount will be made sometime
before the end of BY07.
• The second major provision proposes to restore 3.29 positions to our computer
and information technology division, and exempt us from the proposed server
consolidation. The consolidation would have cost the Department approximately
one million dollars over the next three years. There are privacy concerns
regarding the handling of health records as well as federal privacy act laws
dealing with military discharge papers. The current consolidation effort does not
adequately address the necessary support and coordination required to manage
large servers at the King and Union Grove Homes.
• The third major provision of AB 1034 and SB 613 expands the Wisconsin GI Bill
from 50% tuition remission for veterans to a full free 100% tuition program for
Wisconsin veterans. This bill also removes the eligibility requirement that the
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 veteran was a resident at the time that he or she incurred at least a 30 percent
service-connected disability rating. The bill expands the tuition remission
eligibility to include unremarried surviving spouses and children of veterans who
were residents of this state at the time of entry into service and who, while a
resident of this state, died as the result of a service-connected disability. The
current expansion of the Wisconsin GI Bill would save the Veterans Trust Fund
approximately $2.3 million in the first two years of its enactment.

Mr. Hardie highlighted other pieces of legislation that the Department is

monitoring:
• Assembly Bill 50 and Assembly Bill 88 of particular significance to the Council on
Veterans Programs.
• Assembly Bill 258 that would amend labeling of generic prescription drugs. This
would have an impact on the Wisconsin Veterans Homes.
• Assembly Bill 447 that dramatically expands the regulation of elevators in the
state, including both passenger and freight elevators at the Homes.
• Assembly Bill 383 that will mandate employee background checks for certain
state employees in positions of significance. We are in support of this for all of
state government.
• We are in support of Assembly Bill 683 and its companion, Senate Bill 354, which
would expand medical authority of advanced practice nurse prescribers to allow
for those direct care professionals to begin writing prescriptions for drugs to their
patients.
• We have weighed in on Assembly Bill 738, privacy issues with regards to social
security numbers and exempting military discharge papers.

The QVMB conference committee has been named and is currently reviewing
the tax relief extender package. The Texas Land Commission and the California
Department of Veterans Affairs have indicated that they are no longer supportive of the
legislation because it would have a negative impact on their states. At this point the
provision remains in the legislation and the conference committee is reviewing it.

On the federal side, we have seen the introduction of the latest federal budget.
The State Home Construction Grant Program is at $85 million, the same number
approved for FY06. The State Cemetery Program stays at $32 million. We are taking a
look at perhaps another state veteran’s cemetery in the Fox River Valley area and have
been exploring the possibility of a joint state veteran’s home in Superior with the State
of Minnesota.

3. Programs Report—Ken Black

Mr. Black gave an update on Bulletins sent out since the last briefing.
• #725 addresses the Department’s Primary Mortgage Loan interest rate change
from 5.99% to 6.3%
• #727 addresses the Retraining Grant’s period and lifetime limits, other available
assistance, as well as grant payment criteria.
• #728 addresses the Assistance to Needy Veterans’ income limit change from
100% to 130% of the federal poverty guideline.
• #729 makes another change to the Primary Mortgage Loan interest rate from
6.3% to 6.5%.

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 The Department continues to focus its efforts on filling the Veterans Assistance
Program beds at all three sites. Sixty-six of the seventy beds are filled. To date there is
a 12% increase over last year. We are receiving more veterans at the Milwaukee
Service Center. On the average, 205 veterans are served per month with November,
December and January coming in at 301, 255 and 345 respectively.

This semester was the first semester for the VetEd pre-application and to date
the Department has received 1,500 pre-applications. Additionally, 900 applications for
the Program have been processed.

As of February 1, 2006 the Assistance to Needy Veterans income poverty limit

went from 100% to 130%. There has been an 84% increase in the number of grants
coming to the Department within the last three weeks due in large part to the
administrative change to the poverty level income limits.

The distribution of loans is up. Currently, we are putting together a marketing

plan to increase the veterans’ awareness about our product, primarily in the areas of
Personal and Home Improvement Loans. The delinquency rate for the month of
January was 2.47%, up over the past two months by one-tenth of a point.

Transportation grants were recently distributed in the amount of $100,000 to 35

counties to assist in transporting veterans to medical appointments to the different VA
medical facilities across the state.

4. Veterans Homes Report

Commandant Crowley said 14 individuals are approved for admission into King,
and 28 other applications are in various other stages of review. The average length of
time from the date of application to the date of admission is 42 days. At the end of
January the census at King was 721 members. The special care unit at Ainsworth Hall
has the highest demand.

The Home Exchange reported a net loss of $403.93 for December and January.
Part of that is attributable to the inventory swell in the month of December.

Current projects at King:

• An alternate site for Well #2 has been tested and found to be of extremely high
quality. The actual well can be drilled in late spring or early summer of 2007.
Well #1 is ready to go on line as soon as the spring thaw arrives.
• Nurse call system upgrade hardware system has been completed. Total billed to
the federal VA is $401,356 and $400,500 has been received to date.
• MacArthur Hall ventilation system upgrade is up and running. There are some
final adjustments but the federal VA has been billed for $264,345 and to date
have received a little over $227,000.
• The steam condensate line replacement is on hold to resume again in March.
• Stordock Hall domestic piping replacement grant from the federal VA has been
awarded up to $724,000; the work is completed and the federal VA has been
billed for that full amount
• Projects submitted to the VA for FY2006 include window replacement at Olson
Hall and Well #2. They are on the list as Priority One Projects; however, no
funds have been set aside by the VA for this fiscal year.

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 • In FY2007 we will be submitting to the federal VA for funding of the ceiling
mounted patient lifts at King. The State Building Commission approved that last
week.
• The cook-chill went fully on-line on February 8th.

The unified fundraising effort for the buses for King and Union Grove is a good
news story. A $110,000 check from an individual who pledged that amount in matching
funds was received. Other money continues to come in and the fund has a current
balance of $226,550. At this point several checks were presented to Commandant
Crowley for the bus fund: $2,000 from AMVET Post 99, $100 from VFW Post 659, $100
from American Legion Post 88, $500 from Vietnam Veterans of America Chapter 731,
$1,000 from Disabled American Veterans Chapter 24. The generosity shown to add to
the quality of life for the veterans at the Veterans Homes is greatly appreciated.

Commandant Brower reported that the census at the Union Grove Home as of
the end of January was 106. There are 15 pending applications. The Home reflects a
positive $80,000 cash flow increase in operating income due to the VA per diem
payments periodically received. The Union Grove Home has 94 employees and
estimates having another 187 employees over the next year to year and a half.

Construction projects:
• The substantial completion date of the120-bed skilled nursing facility is now
projected to be March 15th. We will, at that time, be able to start moving furniture
into the building. There are a number of major issues that still have to be worked
out before that March 15th date. To date the federal VA has paid $9,000,000 of
the $13,000,000 granted for the construction of the skilled nursing facility.
• The chilled water project has been completed and to date, $1.1 million has been
received from the federal VA.
• The food service project, connected with King, continues to move along. A
substantial completion date is projected for 1 March.

Calendar year 2005 saw a total of 309 inquiries into the assisted living facilities at
Union Grove. Twenty-five percent of referrals were generated by the VA Medical
Center, particularly Zablocki, and eleven percent from families and friends, followed by
social workers, private hospitals, CVSOs, walk-ins and internet inquiries. Over 39
presentations were made in CY05 to an audience of almost 1,100 veterans, primarily in
southeastern Wisconsin. This summer the DVD marketing tool will be updated.

The Commandant recognized the Military Order of the Purple Heart, the VFW
and motorcycle guests who participated in the Christmas party. They contributed to the
event both financially and with manpower. On March 12th there will be a St. Patrick’s
Day party from 11 to 1. The dedication for the skilled nursing facility will be May 20th.

When a member is lost through death, the Commandant mails to the immediate
family a CD of military related songs softly played on a piano along with a sympathy
card. These have been very well received.

5. Financial Report—Ken Abrahamsen

Mr. Abrahamsen presented financials as of January 31, 2006. The King Home
had an operating income of $920,000. King’s cash balance increased by $777,000 but
is still $2.1 million less than it was at June 30, 2005. A retro payment of nearly $18
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million is expected within the next two to three months. The Union Grove Home had a
positive operating income for the month of January of $81,000. Cash uses have
exceeded cash receipts by $1.3 million through the end of January, resulting in a
negative $2.54 million cash balance.

The Veterans Trust Fund reports operating expenses exceeding revenues by

$934,661 during January. The year-to-date operating losses total $4.8 million. The
month end cash balance for January was $30.1 million, which is $80,000 higher than
was the June 30, 2005 year end cash balance.

The Mortgage Loan Repayment fund had a positive income of $787,000 in

January which helped to reduce the year-to-date net loss from $3.4 million to $2.6
million. The cash balance increased by $1.6 million in January to $114,999,538. On
March 1 there will be a call on prepayments totaling $13,520,000 and that will be used
to call both the tax exempt and taxable bonds.

The delinquency rates in the overall Veterans Trust Fund and the PLP have
remained very consistent over the last several months and are currently 2.47% and
2.43% respectively. The delinquency rate for the Primary Mortgage Loan Fund
increased slightly in December 2005 to eight-tenths of one percent.

During January 2006, the Department received 15 applications for primary

mortgage loans, which is three times the number received in January 2005.

6. Process Action Teams

Deputy Secretary Kloster talked about the Process Action Teams (PATs) that are
going on within the Department. Seth Perelman is chairing a PAT on eligibility to try
and better define an honorable discharge. The composition of that group includes
Department personnel, veterans service organization and CVSO representation. The
final report of that PAT will make recommendations for consideration at the upcoming
budget cycle. The Secretary also directed that a panel be formed on PTSD to
investigate what is currently being done and what can be done to help veterans who
suffer from PTSD. The composition of the panel includes Mr. Kloster as chair and
CVSOs, representatives from the USDVA hospitals, Vet Center personnel, counselors
and social workers. The panel is to produce a report that may include recommendation
for possible budget initiatives in the FY08-09 budget.

Mr. Black has pulled together three PATs with the intent to review some of the
Department programs and recommend improvements if necessary. The purpose of the
VedEd PAT was to streamline the existing VetEd Program to ensure it was user-friendly
to Wisconsin’s veterans and to ensure we served the maximum number of eligible
veterans. The team of ten members includes CVSOs, IT and Legal, university
personnel as well as subject matter experts. Another PAT is looking at the efficiency of
the Assistance to Needy Veterans Program. Two items were addressed, dental care
limits and disaster components-loss of income. The team of six members includes two
CVSOs, legal representative and the subject matter experts. Finally, a PAT for the
Transportation Grant Program is being formed to review the program in order to
determine if we could do a better job at ensuring the veterans’ needs are being met.
The team will consist of nine members.

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7. Recess/Adjournment
Board Chairman Wendt concluded the briefing session and announced that the
CVSO Advisory Council meeting would reconvene at 1:30 p.m.

The WDVA briefing concluded at 1:20 p.m.

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 MINUTES
CVSO ADVISORY COUNCIL
February 21, 2006
Madison, Wisconsin

Members Present Others Present

Holly Hoppe, Oconto Charles Allen
John Solis, Rock Connie Allord
John Margowski, Waukesha Russ Alsteen, Navy Club
Rick Gates, Polk Ellen Blissenbach, Gold Star Wives
Mike Haley, Chippewa Ken Brown, Ozaukee CVSO
Ted Mynyk, Iowa Cleon “Pat” Brown, USSVWWII
Jim Young, Vernon Donna Chrzas, Columbia CVSO
Bob Wilson, Langlade Mike Demske
Don Lander, Clark Jim Endres
Gunner Furgal, VFW Adjutant
Members Excused Jim Gausmann, LaCrosse CVSO
None—all were present David Gough
Mark Grams, Dodge CVSO
WDVA Present Walter Hahn, VFW Post 721
John A. Scocos, Secretary Annette Howards, Marine Corps League
William Kloster, Deputy Secretary Michael Jackson, Dane CVSO
Anthony Hardie, Executive Assistant Christine Jordan, Walworth CVSO
John Rosinski, Chief Legal Counsel Fred Kaiser, Waushara CVSO
Ken Black, Division of Veterans Benefits Kevin Kavanaugh
Bill Crowley, Commandant, WVH-King Ken Koon
Glen Brower, Commandant, WVH-Union Grove Chris Kornkven
Colleen Holtan, Budget Office Steve Lawrence, VFW
Julie Van Metre, Executive Staff Assistant Jon LiDonne, Waupaca CVSO
Vern Lovley, Jefferson CVSO
Bud Mautz, American Legion
Kerry Metoxen. Oneida TVSO
Mary Meyer
Arnold Miller
Duane Miskulin
Robert Morzenti, Iron CVSO
Walter Peterson, Am. ExPOWs
Jerry Rabetski, PLAV
Vera Roddy, UWV
Ron Rutkowski, VVAW
Dar Schuff, LAMOPH President
Lee Schuff, MOPH Commander
Larry Smerling, Winnebago CVSO
Clif Sorenson, Eau Claire CVSO
Walter & Ann Stenavich, Board Member
Jack Stone, PVA
Tom Taber, Grant CVSO
Chuck Taylor
Tim Thiers, Manitowoc CVSO
Tony Tyczynski, Sauk CVSO
Ken Wendt, Board Chairman

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1. Call to Order and Roll Call.
The meeting of the CVSO Advisory Council was called to order at 12:30 p.m. to hear a
WDVA briefing (see Exhibit 1). The Council stood in recess after the WDVA briefing. A
quorum was present at the WDVA briefing and upon reconvening at 1:30 p.m.

2. Certification of Notice of Meeting.

So noted.

3. Approval of Minutes of December 8, 2005.

It was moved by Mr. Wilson, seconded by Mr. Young and carried on a voice vote to
approve the minutes of the December 8th CVSO Advisory Council meeting.

4. Announcements and Introductions

Rick Gates, CVSO Association President said that two members of the CVSO Advisory
Council have terms that expire in April 2006, they are Bob Wilson, from the Northeast
Association and John Margowski from the Southeast Association. It is the responsibility of the
Association President to nominate CVSOs to fill these two four-year terms. He recommended
that the Board of Veterans Affairs favorably consider his nomination of Nick Benzinger to
represent the Northeast Association and Mark Grams to represent the Southeast Association on
the CVSO Advisory Council.

5. Public Input
Michael Jackson had an experience where he submitted two electronic applications for
the PLP. He faxed the supporting documents with the first application. The Department
acknowledged receiving the applications for two loans but only receiving supporting documents
for one loan. Mr. Jackson asked the Department to copy the documents faxed over for the first
loan because the applicant was using the same property for the second loan. That was done.
Recently, a veteran applied for a PLP and a HILP but Mr. Jackson did not submit them to the
Department at the same time. The PLP was submitted two weeks before the HILP. After
submitting the HILP Mr. Jackson asked the Department to copy the supporting documents that
were sent earlier with the PLP. The answer from the Department was that it could not do that
because we can make no assumption that everything is the same when a veteran applies for more
than one loan. One of the major reasons WDVA adheres to this policy is the fact that legal
descriptions can virtually change over night, another being that the responsibility has to be on
the veteran himself to provide these documents when applying for each loan program. That way
there is no debate when and if the question arises regarding a legal description or later when a
title company has discovered a different situation where additional fees may be incurred. Mr.
Jackson said the veteran already provided the information and wondered if it was necessary for
CVSOs, in situations like that, to recopy the same paperwork and send it again. Secretary
Scocos said he would have someone look into the matter.

Mr. Walter Peterson, Ex-POW, received a letter from Norway concerning an honorable
discharge. The veteran was stationed along the coast from Burma to China before the war; he
became ill and was in the Manila Hospital when WWII started. When he got well, he
volunteered his service in the Army Transportation Corps. The Japanese bombed and sank two
tugboats he was on, the Army surrendered to the Japanese and he was a POW throughout the
war. A year ago Mr. Peterson met the veteran in Norway and found out he did not have an
honorable discharge. A week ago he finally received his honorable discharge.

6. Secretary’s Matters
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 Secretary Scocos said the Salute to the Legislature is an important day for us to thank the
legislators for what they have done during this last budget. Assembly Bill 1034, the post budget
veterans package, was introduced and had a public hearing. Over 80 Senate and Assembly
members have co-authored this bill. The Department is preparing for the next budget and will be
conducting a stakeholders conference to assist in the budget development.

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

Mr. Margowski, on behalf of the Advisory Council, presented Julie Van Metre with a
bouquet of flowers to thank her for what she does for the Council and all the Committees of the
Board.

After a debate with WCTC, Waukesha County, Mr. Margowski learned that they were
not going to go back and give veterans a tuition remission. He emailed Secretary Scocos who
turned it over to Seth Perelman who called the school on behalf of 15 veterans. Twelve of those
have received their remission that they would otherwise not have gotten. Mr. Margowski
publicly thanked Seth for his intervention.

As outgoing chairman, Mr. Margowski passed on the tradition of the Jim Gausmann
award to Vice Chair, Holly Hoppe. He thanked Bob Wilson for his service on the Council and
Mr. Margowski was honored to serve and deeply honored to have served as chairman. Mr.
Wilson was thankful for the opportunity to experience serving on the Council and he learned a
lot about the legislative process during his term.

Ms. Hoppe said she was invited to a bill signing by the Governor but was unable to
attend. She took the time to write to her Representative and Senator to thank them for
supporting the funeral protection bill. Protestors cannot be at funerals an hour before or after a
funeral, procession or memorial. She thanked the support from the Department and CVSOs for
this piece of legislation.

8. Next Meeting Schedule

Thursday, April 27th at the CVSO Association Spring Conference in Waukesha.

9. Adjournment
It was moved by Ms. Hoppe, seconded by Mr. Wilson and carried on a voice vote to
adjourn the Council meeting; the time was 1:45 p.m.

John Margowski
Chairman

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 MINUTES
LEGISLATIVE AND PROGRAM REVIEW COMMITTEE
WISCONSIN DEPARTMENT OF VETERANS AFFAIRS
Meeting of February 21, 2006

Committee Present Others Present

Ken Wendt, Board Chairman Charles Allen
Russ Alsteen Connie Allord
Kevin Kavanaugh Ellen Blissenbach, Gold Star Wives
Victor Vela Cleon “Pat” Brown, USSVWWII
Vern Lovley Ken Brown, Ozaukee CVSO
Bud Mautz Rick Cherone
Duane Miskulin Donna Chrzas, Columbia CVSO
Tim Thiers Mike Demske
Paul Weprinsky Jim Endres
Rick Gates, Polk CVSO
Committee Absent Dave Gough
Don Heiliger Mark Grams, Dodge CVSO
Pete Moran Walter Hahn, VFW Post 721
Lewis Harned Mike Haley, Chippewa CVSO
Bill Hustad Holly Hoppe, Oconto CVSO
Annette Howards, Marine Corps League
WDVA Present Michael Jackson, Dane CVSO
John A. Scocos, Secretary Christine Jordan, Walworth CVSO
William Kloster, Deputy Secretary Fred Kaiser, Waushara CVSO
Anthony Hardie, Executive Assistant Ken Koon
John Rosinski, Chief Legal Counsel Chris Kornkven
Ken Black, Division of Veterans Benefits Don Lander, Clark CVSO
Bill Crowley, Commandant, WVH-King Steve Lawrence, VFW
Glen Brower, Commandant, WVH-Union Grove Jon LiDonne, Waupaca CVSO
Ken Abrahamsen, Budget Director Mary Meyer
Colleen Holtan, Budget Office Arnold Miller
Julie Van Metre, Executive Staff Assistant Robert Morzenti, Iron CVSO
Ted Mynyk, Iowa CVSO
Walter Peterson, Am. Ex-POWs
Jerry Rabetski, PLAV
Vera Roddy, UWV
Dar Schuff, LAMOPH President
Lee Schuff, MOPH Commander
Larry Smerling, Winnebago CVSO
John Solis, Rock CVSO
Clif Sorenson, Eau Claire CVSO
Walter & Ann Stenavich, Board Member
Jack Stone, PVA
Chuck Taylor
Tony Tyczynski, Sauk CVSO
Ken Wendt, Board Chairman
Jim Young, Vernon CVSO

1. Call to Order and Roll Call.

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 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 the
WDVA briefing. A quorum was present at the WDVA briefing and upon reconvening at 1:50
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. Alsteen, seconded by Mr. Thiers and carried on a voice vote to
approve the minutes of the December 8, 2005 meetings.

4. Proposed Administrative Rule Language for County Transportation Grant

Mr. Rosinski explained that the Board previously approved a Statement of Scope
authorizing the Department staff to develop permanent rule language for review by the
Committee and the Board. The amended language will allow a county to use actual mileage data
in determining the amount of the Transportation Grant. It will have no fiscal effect on the
Department’s budget. The rule is authorized under the authority of s.45.83(2), Stats. The
Department recognized that there might be counties that don’t have an existing Transportation
Program and might want to start one. There may be counties that want to significantly expand
an existing program. Section 7 was created to allow those counties to get into the system by
using estimates for the prospective grant year.

Mr. Lovley asked if this means that CVSOs would get a reduced grant for the first year if
this gets passed. It seems that some of the mileage is going to be an overlap from the grants that
were recently given out. Mr. Kloster said there would be an overlap but no reduction.

It was moved by Mr. Lovley, seconded by Mr. Mautz and carried unanimously on a voice
vote that the Committee approve the proposed order and request that the Board authorize the
Department to continue the permanent rule promulgation process.

5. Secretary’s Matters.
Secretary Scocos looks forward to seeing everyone at the Salute to the Legislature this
evening. Assembly Bill 1034 had a public hearing as was reported by Anthony Hardie. The
Secretary is still optimistic that we’re on the right track for the Qualified Veterans Mortgage
Bonding. Process Action Teams are meeting on budget issues for the Fall. Phase Two of the
Veterans Trust Fund Solvency Plan will look at administrative costs and the mortgage loan
repayment fund being funded out of general purpose revenue. This, along with other issues will
be discussed this summer at the Stakeholders Conference.

6. Public Input.
None.

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

Mr. Thiers said he paid off his loan through the Department and he was wondering if
there was a way to make that tax deductible off of Wisconsin state tax. If he wrote out a check
to the Trust Fund that would be tax deductible. Veterans could deduct that interest and it would
be more of an incentive to take out a home loan or personal loan through the Department. Mr.
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Scocos said he is willing to look at any and all ideas during the summer’s budgetary work. He is
on record saying that every veteran in the state should get a property tax credit.

8. Next Meeting Date.

The next meeting will be April 20, 2006 in Sturgeon Bay.

9. Adjournment.
It was moved by Mr. Lovley, seconded by Mr. Mautz and carried on a voice vote to
adjourn the meeting; the time was 2:03 p.m.

Ken Wendt
Board Chairman

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 MINUTES
LONG TERM CARE COMMITTEE
WISCONSIN DEPARTMENT OF VETERANS AFFAIRS
Meeting of February 21, 2006

Committee Present Others Present

Walter Stenavich, Chairman Connie Allord
Dave Gough Russ Alsteen, Navy Club
Ken Koon Ellen Blissenbach, Gold Star Wives
Chris Kornkven Cleon “Pat” Brown, USSVWWII
Jon LiDonne Rick Cherone
Arnold Miller Donna Chrzas, Columbia CVSO
Charles Allen Mike Demske
Vera Roddy Jim Endres
Jerry Rabetski Rick Gates, Polk CVSO
Chuck Taylor Jim Gausmann, LaCrosse
Mark Grams, Dodge CVSO
Committee Absent Walter Hahn, VFW Post 721
Mack Hughes Mike Haley, Chippewa CVSO
Jerry Polus, excused Annette Howards, Marine Corps League
Michael Jackson, Dane CVSO
WDVA Present Christine Jordan, Walworth CVSO
John A. Scocos, Secretary Fred Kaiser, Waushara CVSO
William Kloster, Deputy Secretary Kevin Kavanaugh
Anthony Hardie, Executive Assistant Don Lander, Clark CVSO
John Rosinski, Chief Legal Counsel Steve Lawrence, VFW
Ken Black, Division of Veterans Benefits Vern Lovley, Jefferson CVSO
Ken Abrahamsen, Budget Director Bud Mautz, American Legion
Bill Crowley, Commandant, WVH-King Kerry Metoxen, Oneida TVSO
Glen Brower, Commandant, WVH-Union Grove Mary Meyer
Colleen Holtan, Budget Office Duane Miskulin
Julie Van Metre, Executive Staff Assistant Ted Mynyk, Iowa CVSO
Dar Schuff, LAMOPH President
Lee Schuff, MOPH Commander
John Solis, Rock CVSO
Ann Stenavich
Tim Thiers, AMVETS
Tony Tyczynski, Sauk CVSO
Victor Vela
Ken Wendt, Board Chairman
Paul Weprinsky, JWV
Jim Young, Vernon CVSO

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 quorum
was present at the briefing and upon reconvening at 2:05 p.m.

1
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 by Mr. Miller and carried on a voice vote to
approve the minutes of the December 8, 2005 meeting.

4. Secretary’s Matters.
Secretary Scocos welcomed Colonel Koon back from service. He looks forward to
seeing him and others at the Salute to the Legislature later today.

Assembly Bill 1034 permits the transfer of funds from the King Home to the Veterans
Trust Fund. This is a one-time transfer of up to $16 million in program revenue from the
Wisconsin Veterans Home at King to the Veterans Trust Fund. The revenue can be used as
“seed money” for the revenue producing Personal Loan Program loans to veterans, contributing
to the continued self-sufficiency of the Trust Fund. The Secretary reiterated that no such transfer
would happen until the financial solvency of the King Home and Union Grove was determined.

The Department is on track for the May 20th dedication of the new 120-bed skilled
nursing facility at Union Grove. Both Commandants are doing a great job in keeping the beds
filled. Research is being undertaken to have some type of satellite Home in partnership with the
State of Minnesota in the Superior area.

On March 3rd there will be a check presentation by the federal VA at King for over
$450,000 for the steam condensate line project. Congressman Green is going to be presenting
the check to the Home.

The National Association of State Directors of Veterans Affairs is working hard to get
the burial plot allowance up to $800 or get an operational grant from the federal government.
The federal government would like to see us delete the residency requirement for burial in our
cemeteries. If we did that, we could not meet the demand. We are also looking at developing a
cemetery in the Fox Valley area based on the need in that area.

Q: Is there going to be a clinic at Spooner or Rice Lake?

A: It is in the CARES Commission for VISN 23. We believe the federal funding will
come through by this summer for a clinic somewhere in that area.

Q: Drilling on Well #2 is not to begin until 2007, is that pending VA grant approval?
A: We will be receiving a VA grant on that. It is a matter of scheduling. It is a very
major project and it has to go out for bids.

Q: In terms of quality assurance of Wells #1 and #2, will the DNR or someone in-house
be responsible for periodic testing of the water quality?
A: Our major concern is for the health and safety of our members. We have continuous
24-hour a day monitoring of our water treatment plant with equipment that has to be checked and
recalibrated periodically. Once we discontinue reliance on Rainbow Lake for our water supply,
we will not have to have 24 hour check of the system. We will have 24-hour automated

2
monitoring and we are confident with the quality of the water tests on Well #2 that we won’t
have a problem at all.

Q: The substantial completion date for the skilled nursing facility at Union Grove seems
to be continually moving back. Are the contractors paying a late penalty?
A: The actual construction project comes under DSF which is under the Wisconsin
Department of Administration. They are not paying a late penalty. The Secretary said cost over-
rides should not be put on WDVA and he is communicating that to DOA.

Q: What is the present status of the Burns Clemens building at King?

A: Burns Clemens Hall was one of the four residential halls in use at King prior to the
construction of Ainsworth Hall. The rehabilitation of Burns Clemens as some kind of assisted
living facility was deemed not economically feasible. Since the residents vacated the building to
move into Ainsworth Hall it has had other uses. There are office areas occupied by DSF,
computer training labs are located there along with a printing area and the ground level was
recently used as a temporary kitchen while the new kitchen was being reconstructed. In addition
to that, many of the areas in the building are being used for short-term warehousing of products
and supplies. At some point demolition of the building could be a consideration.

Q: The Armitage, a private homeless veterans assistance corporation, was talking about
getting a letter of support to renovate a part of Burns Clemens. Do you know anything about this
and how does that fit in with the goals of the Department?
A: The Armitage Foundation was started by Peter Olk and the first Armitage House was
dedicated in DePere about ten years. Mr. Olk is a local businessman from the Green Bay area
and very committed to assisting veterans in need. He has been on the King campus several times
in the last few months and there have been discussions along those lines.

Secretary Scocos added that the Department is looking at an outside vendor coming in
with a state or federal grant and remodel buildings at King at no cost to the Department.

5. Public Input.
Mr. Kornkven thanked everyone who came last month for the Gulf War Illness
Recognition Day.

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

7. Next Meeting Schedule.

April 20, 2006 in Sturgeon Bay.

8. Adjournment.
It was moved by Mr. Taylor, seconded by Mr. Rabetski and carried on a voice vote to
adjourn the meeting; the time was 2:25 p.m.

Walter Stenavich
Chairman

3
 MINUTES
FINANCIAL COMMITTEE
WISCONSIN DEPARTMENT OF VETERANS AFFAIRS
Meeting of February 21, 2006

Committee Present Others Present

Ken Wendt, Board Chairman Ellen Blissenbach, Gold Star Wives
Connie Allord Cleon “Pat” Brown, USSVWWII
Mike Demske Roger Fetterly, Military Officers Assoc.
Jim Endres Rick Gates, Polk CVSO
Mary Meyer Dave Gough
Jim Gausmann Mark Grams, Dodge CVSO
Bob Morzenti Holly Hoppe, Oconto CVSO
John Solis Annette Howards, Marine Corps League
Christine Jordan, Walworth CVSO
Committee Absent Fred Kaiser, Waushara CVSO
Marvin Freedman, excused Ken Koon
Kathy Marschman Chris Kornkven
John O’Brien Don Lander, Clark CVSO
Steve Lawrence, VFW
WDVA Present Jon LiDonne, Waupaca CVSO
John A. Scocos, Secretary Bud Mautz, American Legion
William Kloster, Deputy Secretary Arnold Miller
Anthony Hardie, Executive Assistant Duane Miskulin
John Rosinski, Chief Legal Counsel Ted Mynyk, Iowa CVSO
Bill Crowley, Commandant, WVH-King Jerry Rabetski, PLAV
Glen Brower, Commandant, WVH-Union Grove Dar Schuff, LAMOPH President
Ken Abrahamsen, Budget Director Lee Schuff, MOPH Commander
Colleen Holtan, Budget Office Walter & Ann Stenavich, Board Member
Julie Van Metre, Executive Staff Assistant Jack Stone, PVA
Chuck Taylor
Tony Tyczynski, Sauk CVSO

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 2:28 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 Ms. Meyers and carried on a voice vote to
approve the minutes of the December 8, 2005 meetings.

4. Secretary’s Matters.
1
 The Secretary is anticipating the passage of AB 1034 to include increasing the amount of
UW System and Technical College tuition remission from 50% to 100%. In addition to
benefiting qualified veterans, the expansion from 50% to 100% tuition remission will save the
Veterans Trust Fund approximately $33 million through the year 2019. Thus, less money will be
drawn from the Trust Fund as reimbursements to veterans via WDVA’s current VetEd grant
program.

5. Public Input.
None.

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

None.

7. Next Meeting Date.

April 20, 2006 in Sturgeon Bay.

8. Adjournment.
It was moved by Mr. Endres, seconded by Ms. Meyer and carried on a voice vote to
adjourn the meeting; the time was 2:32 p.m.

Ken Wendt
Board Chairman

2
 MINUTES
COUNCIL ON VETERANS PROGRAMS
WISCONSIN DEPARTMENT OF VETERANS AFFAIRS
Meeting of February 22, 2006

Members Present Others Present

Russ Alsteen, NCUSA Connie Allord
Paul Bialk, MCL Joe Anderson, DAV Commander
Pat Brown, USSVWWII Cliff Borden
Rick Cherone, MOPH Donna Chrzas, Columbia CVSO
Rick Gates, CVSOA Mike Demske
Steve House, VVA Jim Endres
Bill Hustad, WVV Mike “Gunner” Furgal, VFW Adjutant
Ken Kuehnl, DAV Jim Gausmann, LaCrosse CVSO
Steve Lawrence, VFW Mark Grams, Dodge CVSO
Bud Mautz, Am. Legion Mike Haley, Chippewa CVSO
Jerry Rabetski, PLAV Don Heiliger, Board Member
Ron Rutkowski, VVAW Holly Hoppe, Oconto CVSO
Vera Roddy, UWV Mack Hughes, Board Member
Clif Sorenson, WACVO Michael Jackson, Dane CVSO
Jack Stone, PVA Jim King, DAV
Tim Thiers, AMVETS Don Lander, Clark CVSO
Paul Weprinsky, JWV Mary Lex, Langlade Veterans Service
Office
Jon LiDonne, Waupaca CVSO
Members Excused John Margowski, Waukesha CVSO
Paul Fine, ANU Kathy Marschman, Board Member
Jesse Haro, CWV Rob McDivitt, VISN 23
Walter Peterson, Am. ExPOW Arnold Miller
William Sims, NABV (excused) Duane Miskulin
WWI vacancy Robert Morzenti, Iron CVSO
FCDV vacancy Ted Mynyk, Iowa CVSO
ARC vacancy Walter & Ann Stenavich, Board Member
Chuck Taylor
WDVA Present Victor Vela
John A. Scocos, Secretary Ken Wendt, Board Chairman
William Kloster, Deputy Secretary Owen Williams, USSVWWII Commander
Anthony Hardie, Executive Assistant Bob Wilson, Langlade CVSO
John Rosinski, Chief Legal Counsel Jim Young, Vernon CVSO
Ken Black, Division of Veterans Benefits
Seth Perelman, Division of Administration
Bill Crowley, Commandant, WVH-King
Glen Brower, Commandant, Union Grove
Ken Abrahamsen, Budget Director
Colleen Holtan, Budget Office
Larry Kleinsteiber, Policy Advisor
Andy Schuster, Communications Director
Charlie Piper, Veterans Assistance Program
Julie Van Metre, Executive Staff Assistant
1
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. The Pledge of Allegiance was recited.

2. Certification of Notice of Meeting.

It was certified that proper notice of the meeting occurred.

3. Introduction of Guests and Announcements.

The Chairman acknowledged the presence of several Board members; Owen Williams,
US Submarine Veterans Commander; Joe Anderson, DAV State Commander; and Jim King.

4. Approval of Minutes.
It was moved by Mr. Sorenson, seconded by Mr. Mautz and carried unanimously on a
voice vote to accept the minutes of the December 8-9 meetings.

5. Council Communications.
The Council received a Christmas card from the Home at Union Grove. The Chairman
received a letter from Senator Russ Feingold’s office responding to the Council’s
correspondence to him in support of funding for a new spinal cord injury center at the Zablocki
VA Medical Center. Dr. Lee thanked this Council for sending the letter to the Wisconsin
Congressional Delegation.

6. Museum Foundation Report.

Mr. Hustad reported that the Foundation met on February 21st. It set up a finance
committee to look at how to invest reserve funds. The Foundation is looking at updating its web
site. A letter went out to all the prospective sponsors for the Golf Tournament to be held July
17, 2006.

7. Discussion of Council Member Attendance at Briefing and Council Meeting if Claiming

Overnight Expense
Mr. Thiers initiated discussion about participation at the briefing and Council meetings.
It was moved by Mr. Thiers to recommend to the Board that overnight lodging expenses not be
paid to members who do not attend the briefing meetings the day before the Council meeting.
The motion was seconded by Mr. Mautz. Mr. Rosinski was asked to research DOA guidelines
regarding reimbursement of expenses incurred while attending Council meetings. Mr. Thiers
and Mr. Mautz withdrew the motion pending further study by the Department.

8. Secretary’s Matters.
Mr. Scocos thanked everyone for their support of the Salute to the Legislature. It was a
good event. He noted that the veterans post budget legislation, Senate Bill 613 was having a
hearing in the Senate this morning. The Assembly version of the bill, AB 1034 had a hearing
yesterday. The legislation permits the transfer of funds from the King Home to the Veterans
Trust Fund, increases the amount of UW System and Technical College tuition remission from
50% to 100% and simplifies and increases eligibility equity for the Wisconsin G.I. bill.

The dedication of the 120-bed skilled nursing facility is scheduled for May 20th, Armed
Forces Day. The next meeting of the Board will be in April in Sturgeon Bay.

2
 Two bronze plaques, their production funded by veterans, are completed and ready for
placement. One is dedicated to World War II veterans and the other is dedicated to all veterans.
A compromise is being worked on with the State Capitol and Executive Residence Board to have
these plaques installed at the Capitol sometime this year.

The QVMB is in conference committee. We believe it will go through Congress. The

Wisconsin delegation is in support of the bill.

Mr. Thiers said that in the past the UW System would not accept Tech school credits, or
only accept a small portion of the credits earned. Mr. Scocos said there has been difficulty and
we need to look at that as an issue for a process action team. Ms. Roddy said the level of credits
is critical; you can’t take level 101 at the technical college, you have to take level 201 and then
all credits will transfer. Mr. Gates said educational institutions are competitive for the dollar and
in the past there was an incentive for the educators not to accept transferring credits because they
want to enroll the student in their classes. Now, if we get the 100% tuition, it takes away the
incentive.

9. Old Business.
The Chairman asked for an update on the study of eligibility criteria and discharges. Mr.
Perelman is the chairman of a process action team to consider eligibility with respect to those
people discharged under honorable conditions in the general discharge category. Mr. Perelman
said the group is looking at all of the eligibility criteria with respect to discharges, including
under other than honorable conditions and bad conduct discharges. Meetings are still in progress
and he will give a final report with recommendations upon completion. Mr. Rosinski added that
any change would be statutory. Basically, the state has the right to define who’s eligible for its
benefit.

10. New Business.

Chairman Alsteen said the Council’s special committee to study the reorganization of the
Council met yesterday morning. The Special Committee is recommending that the Council take
action on a letter to be sent out indicating that any organization that misses three consecutive
meetings will be informed that action will be taken to eliminate them from the Council. It was
so moved by Mr. Thiers and seconded by Mr. Cherone to recommend that action to the Board.
Mr. Gates said the issue was to be brought up for discussion only, the Council could not vote to
take action since it was not previously noted on this agenda. Mr. Gates said the special
committee looked at the organizations that typically do not have representation and how to take
them off the roll. The special committee discussed adding organizations to the Council and the
procedure for making that happen. Mr. Thiers and Mr. Cherone withdrew their motion and
second. The Chairman asked that the special committee meet again in April and that the
Council’s agenda reflect that action will be taken on the special committee’s recommendations.

Chairman Alsteen asked for ideas and recommendations on how to best take notes and
compile all the information gained at these Council and Committee meetings in order to bring
that knowledge back to their respective organizations. It was suggested that organizations bring
to the Council any reports or newsletters they send to their organizations after attending these
Committee, Council and Board meetings. Mr. Gates said they have agendas, minutes, and they
can take notes—the onus should be of each of them to set up their notes. Mr. Kuehnl said the
DAV has made links on their web site to the WDVA web site.

3
 The Chairman offered to be the spokesperson for the Council and attend any
organization’s executive committee meeting and explain the role of the Council on Veterans
Programs.

Mr. Grams said Secretary Scocos invited and encouraged everyone to participate in the
legislative hearing today on Senate Bill 613. He challenged each organization to have at least
one person testify or register for every bill that would improve benefits for veterans.

11. Activities within the Veterans Community.

Commander Williams spoke about a Memorial Service for US Submarine Veterans who
lost their lives. The USS Lagarto was designated as Wisconsin’s lost submarine. Recently, a
diver in Thailand located the USS Lagarto, which was sunk 3 May 1945. Of the eighty-six men
who went down, thirty-six are represented by kinfolks who will be at the memorial service and
reception on May 5-6, 2006.

Mr. Sorenson said that Mission Welcome Home continues to be working on a local basis;
he gave a briefing to the 128th in Eau Claire. He made a personal trip to Georgia to welcome his
son home from Iraq.

Mr. Kuehnl said that DAV day at the ball park is May 20th. The game (Minnesota Twins
vs. the Milwaukee Brewers) starts at 6:05 p.m. Tickets through the DAV are $15. The DAV
State Convention will be at the Radisson in Green Bay on June 8-10. He thanked Andy
Schuster’s excellent help with the Salute as well as those organizations who helped defray some
of the costs. Mr. Kuehnl is going to become the new DAV Department Adjutant. The new
legislative director will become his replacement on the Council on Veterans Programs.

The Military Order of the Purple Heart was in Washington, DC last week to meet with
Senators and Representatives. Mr. Cherone said the Stolen Valor Act of 2005 is likely to pass.
The asbestos trust fund failed by one vote (Mr. Feingold voted against it) and there is some talk
of a revote. He has learned that the military cannot support concurrent receipt.

VVAW will have its 18th annual Milwaukee Beer Festival at Serb Hall in Milwaukee on
March 12th from noon to 4:30 p.m.

The American Legion spring meetings will be held at the state headquarters in Portage on
May 5 and 6th.
th

12. Next Meeting Date.

April 20-21 in Sturgeon Bay.

13. Adjournment.
It was moved by Mr. Kuehnl, seconded by Mr. Hustad and carried on a voice vote to
adjourn; the time was 9:20 a.m.

Russ Alsteen
Chairman

4
 BOARD MINUTES
WISCONSIN DEPARTMENT OF VETERANS AFFAIRS
Meeting of February 22, 2006
Madison, Wisconsin

Board Members Present Council on Veterans Programs Present

Ken Wendt Russ Alsteen, Navy Club USA
Pete Moran (via teleconference) Cleon “Pat” Brown, USSVWWII
Kathy Marschman Rick Cherone, MOPH
Don Heiliger Rick Gates, CVSOA
Mack Hughes Steve House, VVA
Walter Stenavich Bill Hustad, WVV
Steve Lawrence, VFW
Board Members Absent Bud Mautz, American Legion
Marv Freedman (excused) Walter Peterson, Ex POWs
Jerry Rabetski, PLAV
WDVA Present Vera Roddy, UWV
John A. Scocos, Secretary Clif Sorenson, WACVO
Bill Kloster, Deputy Secretary Tim Thiers, AMVETS
Anthony Hardie, Executive Assistant
John Rosinski, Chief Legal Counsel Others Present
Glen Brower, Commandant-Union Grove Connie Allord
Bill Crowley, Commandant-King Cliff Borden
Mel Brandl, Regional Coordinator Donna Chrzas, Columbia CVSO
Susan Mattix, Budget Office Mike Demske
Larry Kleinsteiber, Policy Advisor Jim Endres
Colleen Holtan, Financial Officer Mark Grams, Dodge CVSO
Ken Black, Division of Veterans Benefits Mike Haley, Chippewa CVSO
Ken Abrahamsen, Budget Director Holly Hoppe, Oconto CVSO
Charlie Piper, Veterans Assistance Program Michael Jackson, Dane CVSO
Richard Zeitlin, Museum Director Kevin Kavanaugh
Andy Schuster, Communications Director Don Lander, Clark CVSO
Jeff Johnson, Veterans Transition Assistance Mary Lex, Office of Langlade CVSO
Kathy Scholl, Office of Public Affairs Jon LiDonne, Waupaca CVSO
Tom Rhatican, Division of Veterans Homes John Margowski, Waukesha CVSO
Ken Grant, Bureau of Program Services Bruce Matthews
Julie Van Metre, Executive Staff Assistant Robert McDivitt, VISN 23
Arnold Miller
Duane Miskulin
Robert Morzenti, Iron CVSO
Ted Mynyk, Iron CVSO
Larry Smerling, Winnebago CVSO
Ann Stenavich
Chuck Taylor
Victor Vela
Owen Williams, USSVWWII Commander
Bob Wilson, Langlade CVSO
Jim Young, Vernon CVSO

1
1. Roll Call and Introductions
The meeting of the Board of Veterans Affairs was called to order at 9:30 a.m. A
quorum was present after roll call of members. Secretary Scocos took this time to present
certificates of appreciation and awards to WDVA employees: Susan Mattix, Larry
Kleinsteiber, John Rosinski, Jeff Johnson, Ken Black, and Andrew Schuster.

2. Certification of Notice of Meeting

It was certified that proper notification of the meeting occurred.

3. Approval of Minutes
It was moved by Mr. Stenavich, seconded by Mr. Moran and carried unanimously on
a voice vote to approve the minutes of the December 8-9 meetings.

4. Public Hearing on Proposed Administrative Rule for Veterans Assistance Program

The Chairman opened the public hearing. Mr. Rosinski explained that the hearing is
on a proposed order adopting administrative rules for the Veterans Assistance Program
(VAP). The language was approved by the Board at its last meeting and covers two issues
concerning the Veterans Assistance Program. The first issue is permitting the use of veterans
assistance funds for vocational assistance to residence of the VAP. The fiscal estimate is
unknown but the expectation is that it would be a very limited amount of money. The other
issue deals with increasing the monthly program fee from 25% of monthly gross income or
$250.00 whichever is less to 30% of monthly gross income or 350.00 whichever is less. That
charge is permissible under the federal regulations dealing with the Veterans Assistance
Program Per Diem Program. The fiscal estimate for this increase is approximately $126,000
in additional revenue annually.

The Chairman called for public testimony. Hearing none, the public hearing was
closed. It was moved by Mr. Heiliger, seconded by Ms. Marschman and carried on a voice
vote to authorize the Department to complete the promulgation process for the creation of
VA 13.04(4) and amendment of VA 13.05(2) relating to the Veterans Assistance Program.

5. Proposed Administrative Rule Language for County Transportation Grant

Mr. Rosinski said the Legislative and Program Review Committee unanimously
approved the County Transportation Grant Administrative Rule language and recommended
that the Board authorize the Department to proceed with the permanent rule promulgation
process. Mr. Rosinski explained that the Board directed the Department to develop an
amendment to the County Transportation Grant Program that would allow the use of actual
mileage data in determining the amount of the grant rather than requiring counties to use
estimated data.

It was moved by Mr. Moran, seconded by Mr. Heiliger and carried unanimously on a
voice vote to approve the proposed order and authorize the Department to continue the
permanent rule promulgation process for the County Transportation Grant.

Addendum to Agenda posted 2/21/06

Board will take action on Department’s proposal for naming of Department buildings.
Secretary Scocos said that the Department would like to honor several members of the
veterans community by naming certain WDVA facilities in their memory. All of these

2
individuals have been involved in veterans activities and helped further the goal of providing
the best possible benefits and services to the veterans of our state.
• The Northern Wisconsin Veterans Memorial Cemetery Administration Building is
proposed to be the “Italo Bensoni Administration Building”.
• The new Skilled Nursing Facility in Union Grove is proposed to be “Boland Hall”.
• The proposed Veterans Assistance Program site at the Northern Wisconsin Center,
currently Oak Grove Building 128 is proposed to be “Klein Hall”.
• The Southern Wisconsin Veterans Memorial Cemetery Administration Building is
proposed to be the “Edo Maccari Administration Building”.
• The new Activity and Administration Building, currently Cottage 17, at the Southern
Wisconsin Center is proposed to be “Maurer Hall”.
• The Central Services Building at King is proposed to be the “John Moses Central
Services Building”.

It was moved by Mr. Stenavich, seconded by Mr. Heiliger and carried unanimously
on a voice vote to authorize the Department to name the buildings as listed above.

6. Board Members’ Matters

Election of Board Officers—it was moved by Mr. Moran, seconded by Mr. Stenavich
and carried on a roll call vote of four to two to defer the election of officers to the April
meeting of the Board.

Assignment of Board Chairs and Vice Chairs to the Three Committees of the
Board—deferred to the April meeting of the Board. The same Board members will chair
their respective committee meetings at the April meeting.

Announcement of Citizen Members of the Board’s Committees. The following

membership was recommended by Chairman Wendt:

Legislative and Program Review Committee

Steve Lawrence to replace Victor Vela
Vera Roddy to replace Kevin Kavanaugh
Josh Sniegowski to replace Russ Alsteen
Jim Young to replace Vern Lovley
and the reappointment of Bill Hustad, Bud Mautz, Paul Weprinsky, Lewis Harned, Tim
Thiers and Duane Miskulin

Long Term Care Committee

Alan Walker to replace Chuck Taylor
Bob Morzenti to replace Vera Roddy
Mary Meyer to replace Dr. Charles Allen
Kevin Kavanaugh to replace Jon LiDonne
and the reappointment of Arnold Miller, Jerry Rabetski, Chris Kornkven, Ken Koon, Jerry
Polus and David Gough.

Financial Committee
Joe Campbell to replace Mary Meyer
Bill Bottoms to replace John Solis
3
Allen Kochenderfer to replace Bob Morzenti
and the reappointment of Connie Allord, Jim Endres, Jim Gausmann, Mike Demske and John
O’Brien

It was moved by Mr. Stenavich, seconded by Mr. Moran and carried unanimously on a
voice vote to approve the appointments to the Board’s committees as stated above.

Approval of CVSO Advisory Council Appointments.

CVSO Association President Rick Gates, recommended through Secretary Scocos the
following CVSOs to the CVSO Advisory Council to fill four-year terms ending April 2010
and asked for Board confirmation of Nick Benzinger, Shawano County (NE Association) and
Mark Grams, Dodge County (SE Association).

It was moved by Mr. Stenavich, seconded by Mr. Hughes and carried unanimously on
a voice vote to accept the recommendation and appoint Nick Benzinger and Mark Grams to
the CVSO Advisory Council.

7. Board Action from Committee and Council Meetings

CVSO Advisory Council meeting of February 21, 2006. Ms. Hoppe said the new
Council members will take their seats at the April 27th meeting. The election for Council
Chairman will take place at that time as well. Mr. Stenavich noted that John Weibel is
retiring as Racine County Veterans Service Officer and wanted to recognize his outstanding
service.
Legislative and Program Review Committee meeting of February 21, 2006. There
were no other motions to bring before the Board other than the approval of the
Transportation Grant Administrative Rule.
Long Term Care Committee meeting of February 21, 2006. There were no motions
to bring before the Board.
Financial Committee meeting of February 21, 2006: The Committee made no
motions to bring before the Board.
Council on Veterans Programs meeting of February 22, 2006: Mr. Alsteen said the
Council took no action for Board consideration. He said the Department and the DAV, VFW
and American Legion did an excellent job at the Salute to the Legislature. It was well
attended by the veterans community. The Council’s Special Committee to study the make up
of the Council will meet again in April.

It was moved by Mr. Moran, seconded by Mr. Hughes and carried unanimously on a
voice vote to accept the reports of the Committees and Councils.

8. VISN 12 and VISN 23 Reports

Robert McDivitt, Deputy Network Director of VISN 23 spoke on behalf of Dr. Petzel
and VISN 12 Director Jim Roseborough. Budgets for fiscal year 2006 in both Networks are
in relatively good shape. As the halfway point in the fiscal year approaches, they are looking
at challenges related to preservation of capital funds for their intended purpose. This year
there will be a separate appropriation for information technology. Congress set up a new
appropriation for the VA this year and all IT dollars are centralized at the Washington level.
The President has submitted the fiscal year 2007 budget proposal. The proposal for the
Veterans Health Administration anticipates increases between 8.2% and 9.6% in the three

4
main VHA accounts—Medical Services, Medical Administration and Medical Facilities.
The plan also proposes an annual enrollment fee for Priority Group 8 veterans of $250 and an
increase in the pharmacy co-pay from its current level of $7 to $15.

Outreach to combat veterans is a priority for both Networks. In VISN 12 nearly

3,000 combat veterans have been enrolled and in VISN 23, nearly 7,500 combat veterans
have been enrolled and treated at our facility. The Polytrauma Rehab Center in Minneapolis
specializing in the needs of severely wounded Iraqi and Afghanistan veterans is moving into
a consolidated space next month. There will be a ribbon cutting on March 2nd. The Center is
getting local and national recognition for its outstanding service to seriously ill veterans.

Both Networks continue to work hard on waiting lists. For VISN 12 there are 1,727
veterans waiting for their first primary care appointment. Veterans waiting for an
appointment at a Wisconsin facility comprise 76% of the VISN 12 wait list. In VISN 23 the
numbers are 2,698 veterans waiting for an appointment. Forty-eight percent of these patients
are waiting for a primary care appointment at a specific CBOC. All veterans who cannot be
seen within 30 days at a CBOC are offered an appointment at a parent VA medical center.

In VISN 23 the Spinal Cord Injury Unit project went through a final design review
and it is expected to be out for bid and awarded this summer and will open in about two
years. The major project to remodel the Spinal Cord Unit in the Milwaukee VA was also
included in the President’s Fiscal Year 2007 budget proposal. The business plan for the
North Central Wisconsin Community Based Outpatient Clinic proposed for multiple sites in
Barron and Sawyer Counties was again submitted. The first round of reviews is completed
and they are guardedly optimistic that it will be approved.

9. Proposed Lease of WDVA Building Pursuant to 45.03(5)(1) to Discuss Improvements in

an Existing Building
Secretary Scocos explained that the Department is seeking authority from the Board
to expand the scope of the Veterans Assistance Program in the establishment of a single
room occupancy component at the King and Union Grove sites to permit the VAP to retain
residents in need of housing beyond the 24 months allowed under the Homeless Provider
Grant. The central issue is assignment to an operational vendor of the control, repair, limited
renovation and maintenance of state property on the second floor of Ove Hall at the
Wisconsin Veterans Home at King, and the two upper end bays at Cottage 1, Southern
Wisconsin Center, at Union Grove pursuant to the establishment and operation of an SRO
program. Justification for authority to proceed in this manner is to permit the timely and cost
effective addition of needed single room occupancy units to the VAP as authorized under
Chapter VA 13 of the Wisconsin Administrative Code. In order to pursue a lease with a
nonprofit organization, the Board must authorize Department action.

It was moved by Mr. Moran, seconded by Ms. Marschman and carried unanimously
on a voice vote to authorize the Department to pursue a lease with a non profit organization
under sec.45.03(5).

10. Secretary’s Matters

Secretary Scocos gave an update on the Veterans Trust Fund solvency. The Veterans
Trust Fund cash balance is at $30.1 million, which is $80,000 more than the year-end cash

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balance for fiscal year 2005. Based on the first semester grant applications, the demand for
VetEd grants is estimated to be about $600,000 less than originally projected in fiscal year
2006. The main reason for the lower demand for VetEd grants is that the National Guard and
Reservists are using their own educational grant programs. The new Wisconsin G.I. Bill is
saving the Veterans Trust Fund about $1.2 million per fiscal year. If the tuition remission
rate is increased to 100%, as proposed in AB 1034, the annual savings will be in the range of
$2.4 million per fiscal year. The State of Wisconsin Investment Board’s interest rate has
increased to 4.2% as compared to 1% in May of 2004. The Veterans Trust Fund is earning
just over $1 million in additional interest income annually based on a $30 million cash
balance. Our projected central office Veterans Trust Fund administrative savings is about
$200,000 in salary and fringe benefits, nearly $100,000 in supplies and services. As of this
date, the Veterans Trust Fund should remain solvent until 2014 if these trends continue (the
100% tuition and any transfer from the Veterans Home to the Trust Fund is not included in
that assumption).

Phase Two of the solvency plan is having all of our administrative costs from Trust
Fund and Mortgage Repayment Fund dollars be the responsibility of general purpose dollars.
WDVA is the only agency in the state that pays for its employee salaries out of its own
revenue generating programs. The Department is currently working with various groups on
process action teams, and a Stakeholders’ conference will be scheduled for this summer. This
is all in preparation for the Fall submission to the Board of the Department’s budget.

The Secretary thanked everyone for attending the Salute. He is looking forward to
the May 20th dedication of the 120-bed skilled nursing facility in Union Grove. At the April
Board meeting, the Secretary will ask the Board to set some dates for ceremonies to name
various buildings.

The legislative session is coming to a close and the Secretary said there have been
some tremendous victories for our veterans.

11. Public Input.

Mr. Miskulin informed the Board that the former Secretary of Veterans Affairs,
Anthony Principi came to AMVETS and asked about putting on a Symposium for young
veterans of all the services (somewhat like Secretary Scocos’ Supermarkets). Many
dignitaries will serve on the steering committee, and Mr. Miskulin was chosen represent the
AMVETS for the United States. The Symposium will be held in Chicago on October 18-21.
It will cost AMVETS $1.8 million to host this event ($400,000 from AMVETS and $1.4
million from grants). More information will be available in April.

12. Other Matters (Not Subject to Adoption).

Waupaca CVSO Jon LiDonne presented an American Legion Waupaca County
Council check for the WDVA bus fund.

Mr. Perelman said the Department has been exploring private development sources
for some time now in order to realize the goal of a new building and a new museum for the
Department in Madison. WDVA has been aided immeasurably by Campbell and Company

6
in the person of Bruce Matthews who is here today to provide a report based upon his study
of our situation.

Mr. Matthews said the State of Wisconsin first proposed the idea of creating a
Wisconsin History Center on the square in the year 2000 that combined the Wisconsin
Historical Society and the Wisconsin Veterans Museum. For a variety of reasons, that
project was not pursued. In 2004 the State Department of Administration contacted both the
Historical Society and the Department of Veterans Affairs about revisiting the idea of this
project in conjunction with the Overture Foundation here in Madison. Because it was
assumed that a portion of the funding for this project would have to come from private
sources, the Foundations of both organizations decided to assess their current state of
readiness to pursue a possible capital campaign in the near future to aid in raising money for
this project.

An internal assessment was conducted by Campbell & Company. The objective was
to assess all current programs for which private gifts are solicited here, to review the
structure and function of the Museum Foundation, to assess the role of the Foundation Board
as well as other groups involved in fundraising and determine whether or not the Department
and the Foundation have sufficient staff in place to lead a major fundraising effort. In order
to prepare for a possible campaign to build a new Veterans Museum, Campbell & Company
recommended that the Wisconsin Department of Veterans Affairs begin immediately to
establish a comprehensive development program. Mr. Matthews said that hiring experienced
development staff is the best single investment that the Department could make at this time.
As the Department of Veterans Affairs begins to build a fundraising program it will also need
to develop a culture of philanthropy. Campbell & Company is confident that its
recommendations are achievable and they look forward to working with the Department to
implement the recommendations as it prepares for a major campaign.

13. Next Meeting Date and Location

April 20-21, 2006 in Sturgeon Bay.

14. Adjournment
It was moved by Mr. Moran, seconded by Mr. Stenavich and carried on a voice vote
to adjourn the meeting, the time was 10:50 a.m.

Kenneth Wendt
Chairman