News of the Day

A federal judge in Texas on Thursday ruled that President Joe Biden’s plan to cancel hundreds of billions of dollars in student loan debt was unlawful and must be vacated.

In his 26-page ruling, Judge Mark Pittman said it was irrelevant if Biden’s plan was good public policy because the program was “one of the largest exercises of legislative power without congressional authority in the history of the United States.”

Pittman wrote that the HEROES Act – a law that provides loan assistance to military personnel and that was relied upon by the Biden administration to enact the relief plan – did not authorize the $400 billion student loan forgiveness program.

“In this country, we are not ruled by an all-powerful executive with a pen and a phone,” Pittman wrote. “Instead, we are ruled by a Constitution that provides for three distinct and independent branches of government.”

The debt relief plan had already been temporarily blocked by the St. Louis-based 8th U.S. Circuit Court of Appeals while it considers a request by six Republican-led states to enjoin it while they appealed the dismissal of their own lawsuit.

The plan, announced in August, calls for forgiving up to $10,000 in student loan debt for borrowers making less than $125,000 per year, or $250,000 for married couples. Borrowers who received Pell Grants to benefit lower-income college students will have up to $20,000 of their debt canceled. About 26 million Americans have applied for student loan forgiveness, and the U.S. Department of Education has already approved requests from 16 million.

The consumer price index, a broad-based measure of goods and services costs, increased 0.4% for the month and 7.7% from a year ago, according to a Bureau of Labor Statistics release Thursday.

Excluding volatile food and energy costs, so-called core CPI increased 0.3% for the month and 6.3% on an annual basis, compared with respective estimates of 0.5% and 6.5%.

A 2.4% decline in used vehicle prices helped bring down the inflation figures. Apparel prices fell 0.7% and medical care services were lower by 0.6%.

Shelter costs, which make up about one-third of the CPI, rose 0.8% for the month, the largest monthly gain since 1990, and up 6.9% from a year ago, their highest annual level since 1982. Also, fuel oil prices exploded 19.8% higher for the month and are up 68.5% on a 12-month basis.

The food index rose 0.6% for the month and 10.9% annually, while energy was up 1.8% and 17.6%, respectively.

The latest inflation reading comes as Federal Reserve officials have been deploying a series of aggressive interest rate hikes in an effort to bring down inflation running around its highest levels since the early 1980s.

In early November, the central bank approved its fourth consecutive 0.75 percentage point increase, taking its benchmark rate to a range of 3.75%-4%, the highest level in 14 years. Markets expect the Fed to continue raising, though at a possibly slower pace ahead before the fed funds rate tops out around 5% early next year.

Election officials do not “call” elections on Election Night. Wisconsin has never had a statewide system for reporting unofficial results on Election Night, and there is no central official website where results will be reported. Most of the unofficial results the public sees on Election Night and in the following days come from the Associated Press (AP) and other media reports.

For decades, the AP has collected unofficial results from county clerks’ offices and distributed totals to its member newspapers and radio and TV stations.  In recent years, other news organizations have also begun collecting and reporting unofficial Wisconsin results.  Election Night declarations of victory by a candidate are never based on official results but instead rely on incomplete results that are available at the time.  Winners are not official until the results are certified, which by Wisconsin state law happens on December 1.

For members of the public and the media who want detailed unofficial results directly from county clerks’ offices, the WEC will provide links to the 72 county clerk websites at the following link: https://elections.wi.gov/clerks/directory/county-websites

The link will also be posted on the homepage of the WEC’s website once the polls have closed: https://elections.wi.gov.

Polls normally close at 8 p.m. unless there are still voters waiting in line at 8 p.m.  If there are still absentee ballots that have not yet been counted at 8 p.m., poll workers will continue processing them until they are finished.  State law does not permit them to stop working until all of the absentee ballots have been counted.

Once all ballots have been processed and the polls are officially closed, the poll workers will convene what is known as the board of local canvassers.  This is a public meeting, and the media and public are welcome to attend.  The voting equipment will print a results tape, which will be read aloud, announcing the vote totals for that polling place.

Municipal clerks provide unofficial results to their county clerks, who will post them to the county’s website.  Municipal clerks must report unofficial results to the county clerk within two hours of the results being tabulated, and county clerks must post the results within two hours of receiving them from the municipal clerk.

President Biden said Friday that all of the country’s coal plants should be closed because they’re too costly to operate and can’t be relied upon as a dependable energy source for future generations. “Wind and solar” will replace them, he said.

“I was in Massachusetts about a month ago on the site of the largest old coal plant in America,” Biden said during a speech at communications company ViaSat in San Diego County.  “Guess what? It cost them too much money. They can’t count. No one is building new coal plants because they can’t rely on it. Even if they have all the coal guaranteed for the rest of the existence of the plant.”

“So it’s going to become a wind generation. And all they’re doing is it’s going to save them a hell of a lot of money and using the same transmission line that they transmitted the coal-fired electric on,” he said. “We’re going to be shutting these plants down all across America and having wind and solar power, also providing tax credits to help families buy energy efficient appliances, whether it’s your refrigerator or your coffee maker, for solar panels on your home, weatherize your home, things that save an average, experts say, a minimum of $500 a year for the average family.”

The U.S. economy added 261,000 jobs in October and the unemployment rate rose to 3.7%, according to the latest monthly employment snapshot from the Bureau of Labor Statistics released Friday morning.

While the 261,000 jobs added for October is the the smallest monthly jobs gain for the U.S. economy since December 2020, it is also a solid gain by historical standards. The economy added an average of 183,000 jobs a month over the course of the decade before the pandemic.

The U.S. labor market has remained very strong despite growing fears by many economists that a recession looms, and efforts by the Federal Reserve to tamp down the pace of economic growth as a way of combating higher prices.

Fed Chair Jerome Powell has warned that the economy may need to shed jobs if price pressures are to be brought under control, but so far the Fed’s string of large interest rate hikes has not stopped employers from seeking more help. The continued strength in the labor market could leave the door open for the Fed to continue to hike rates at its upcoming meetings.

The Unemployment Insurance Advisory Council (UIAC) is welcoming suggestions to improve Wisconsin’s Unemployment Insurance (UI) program during two public hearings and a public comment period.

The Council represents employee and employer interests and submits recommendations for improving unemployment law to the Legislature.

The Council will hold two public hearings on Nov. 17, 2022. The hearings will be virtual, conducted by teleconference and WebEx web conferencing technology. The first hearing is from 2 to 4 p.m.; the second is from 5 to 6 p.m.

“The public hearing is a great opportunity for members of the public to provide input on the laws that govern Wisconsin’s UI system,” Department of Workforce Development (DWD) Secretary-designee Amy Pechacek said. “I encourage interested individuals to attend one of the two public hearings scheduled for Nov. 17 or submit written comments through the avenues outlined below.”

Advanced registration is required. Find the details at: https://dwd.wisconsin.gov/uibola/uiac/pubhearings/2022.htm

If unable to attend a hearing, the council is taking public comments on suggested changes to the state’s UI laws from November 9 to 18, 2022. The comments will help inform the council’s legislative agenda during the following year.

Submit written comments and suggestions to:

• Email: UILawChange@dwd.wisconsin.gov
  (Note: Emails will only be accepted from Nov. 9 to 18, 2022)
• Mail to: Janell Knutson, Chair
  Unemployment Insurance Advisory Council
  P.O. Box 8942
  Madison, WI 53708

The Consumer Financial Protection Bureau on Wednesday said it issued guidance to end two particular bank fees that can catch customers by surprise — and are “likely unfair and unlawful,” according to the agency’s release. The move is the latest in the CFPB’s ongoing initiative to scrutinize junk fees, which generally are fees that are unexpected or excessive.

The new guidance first targets surprise overdraft fees, which can be as much as $36 each, the CFPB said. These fees can happen when a customer had enough money in their account to cover a debit charge at the time the bank authorized it, but then is charged an overdraft fee due to the timing of other charges hitting their account.

The second fee the CFPB addresses can happen when a customer deposits a check that ends up bouncing — despite the overdraft being due to the check writer’s insufficient funds. The charge is typically $10 to $19 per instance, according to the CFPB.

Already this year, many banks have been eliminating overdraft and non-sufficient funds fees or making their policies more consumer-friendly. The CFPB estimates those changes translate into $3 billion in savings for consumers.

Beginning November 1 and running through January 15, consumers may select plans at HealthCare.gov for 2023. To be sure coverage is in place at the first of the year, shoppers must enroll or renew their insurance by December 15. For those who sign up for coverage between December 16 and January 15, coverage will not kick in until February.

Anyone who misses the January 15 deadline may only sign up for a plan during a Special Enrollment Period, offered in the instance of losing other coverage, moving, getting married or having a baby.

Whether an individual is looking for coverage for the first time or considering a switch, there are a number of changes this year to be aware of when weighing options.

A seriously low U.S. and global diesel supply is likely to drive up fuel costs and worsen inflation, raising concerns as the cold weather months approach.

Analysts say that a confluence of factors, long bubbling beneath the surface, are now coming to a head as colder temperatures bring more seasonal demand for diesel, a fuel that powers trucks and buses and is also used in heating.

“This is the start of heating oil season. This is when demand really starts picking up as we enter the winter months,” said Debnil Chowdhury, the head of North and Latin American refining and marketing research at S&P Global Commodity Insights.

A confluence of factors has also strained diesel markets.  These factors include reduced refining capacity due to the pandemic, increased demand amid COVID-19 recovery and Chinese export quotas, Chowdhury said.

“Diesel demand came back a lot faster than other products. There are refineries that shut down across the globe so the ability to supply was hindered,” he said. “And then finally, China, which is a larger diesel exporter … wasn’t able to export.”

In a recent interview with Bloomberg, National Economic Council Director Brian Deese called the inventory levels “unacceptably low” and called on industry to build up its inventory.

Energy Secretary Jennifer Granholm called on industry to cut back its exports of “refined products” which include diesel and gasoline, in recent weeks, arguing that the supply is needed stateside.

About two million people in Wisconsin and three other Midwestern states could have better access to specialty health care.

That’s if a merger between Marshfield Clinic Health System and Essentia Health moves forward. Marshfield Clinic operates hospitals and clinics throughout Wisconsin. This month, it announced a potential merger with the Minnesota-based Essentia Health. Both signed a written agreement on October 12 to explore the logistics of forming an integrated health system.

The health systems have complementary geographies and capabilities, officials said. If combined, the merged health system would include 3,500 providers, 150 care sites and 25 hospitals. Around 1,600 of those providers would come from Marshfield Clinic, along with 11 hospitals and 60 clinics. Essentia, meanwhile, has 70 clinics and 14 hospitals.

While the Marshfield Clinic and Essentia merger discussion is the most recent hospital merger dialogue in Wisconsin, it likely won’t be the last.

The hospital industry has consolidated substantially over the last two decades, and at a more rapid pace since 2010, according to a 2020 study by Harvard Medical School scientists.

The Harvard scientists examined patient outcomes from almost 250 hospital mergers between 2009 and 2013. They found that hospital mergers lead to higher prices for commercially insured patients and the quality of care at consolidated hospitals has either gotten worse or stayed the same.