Walker Informed That Bill Targeting Unions May Cost State $46 Million In Federal Funds

Gov. Walker Informed That Bill Targeting Unions May Cost State $46 Million In Federal Funds
http://www.huffingtonpost.com/2011/02/22/walker-unions-wisconsin-protests_n_826908.html

Budget referees and transportation officials in Wisconsin have informed Gov. Scott Walker (R) that if he were to pass his controversial anti-union legislation into law, he could be forfeiting tens of millions of dollars in federal funds for transportation.

Under an obscure provision of federal labor law, states risk losing federal funds should they eliminate "collective bargaining rights" that existed at the time when federal assistance was first granted. The provision, known as "protective arrangements" or "Section 13C arrangements," is meant as a means of cushioning union (and even some non-union) members who, while working on local projects, are affected by federal grants.

It also could potentially hamstring governors like Walker who want dramatic changes to labor laws in their states. Wisconsin received $74 million in federal transit funds this fiscal year. Of that, $46.6 million would be put at risk should the collective-bargaining bill come to pass -- in the process creating an even more difficult fiscal situation than the one that, ostensibly, compelled Walker to push the legislation in the first place.

The governor is certainly aware of this. While the potential loss of funds may have escaped the attention of many observers, sources familiar with the state's transportation policy tell The Huffington Post that Walker's office has been informed of the relevant legal language. Moreover, in an a nearly unnoticed report filed by the state's Legislative Fiscal Bureau, the non-partisan budget scorekeeper, the stakes are laid fairly bare.