December 18, 2003  (Back to Job Creation Act)

Green Bay, WI --- Today, the Clean Water Action Council responded to the Ethics Board’s denial of their ethics complaint filed 3 weeks ago against Senator Cathy Stepp, chair of the Job Creation committee created by the Legislature. 

The complaint alleged that Stepp was using her position as chair to promote a bill which would have provided her with substantial personal financial gain; however, the Ethics Board agreed with Senator Stepp’s argument that homebuilders like herself would not benefit from the Job Creation Act.

“This is an obvious contradiction.  Does the Job Creation Act create jobs in the homebuilding industry or not?” asked Rebecca Katers, Executive Director of Clean Water Action Council.  “If streamlining Wisconsin’s shoreland regulations doesn’t reduce costs for builders, and spur new construction jobs in the homebuilding industry, then why does Senator Stepp call it a Job Creation Act?”

Stepp owns First Stepp Builders in Racine, a construction firm.  The Job Creation Act of 2003 proposed by Stepp and other Republicans in the Legislature would have dramatically weakened the standards and enforcement of Chapter 30 under the Wisconsin Statutes.   These changes would have deregulated many construction activities along Wisconsin’s lakes, rivers and streams, resulting in thousands of dollars in reduced permitting, oversight and consulting costs for builders. 

Essentially, the Job Creation Act would have changed the law to allow the builders themselves to interpret and self-impose weakened standards, with no government or public oversight.  Statewide general permits would have been created for blanket approval of activities along most Wisconsin waterways, such as bridge construction, grading of stream banks, placement of culverts, straightening waterways, and even diverting sections of streams.  The public could have commented on general permit activities only after the activity is approved and underway.   Builders themselves would have been allowed to judge whether their projects destroy scenic beauty along the waterfront.  The Act had broadranging impacts, with additional sections also benefiting builders like Stepp.

The Ethics Board ignored Clean Water Action Council’s complaint about Senator Stepp violating the portion of the Wisconsin Ethics Code which states that “No state public official may use ... her public position or office to obtain financial gain or anything of substantial value for the private benefit of ... herself --- or for an organization with which she is associated.”  The Job Creation Act clearly deregulates the building industry, resulting in clear financial gains for Stepp personally and the organizations with which she is associated.   According to the website for First Stepp Builders, Inc., Senator Stepp has been a member of the Board of Directors of the Wisconsin Builders Association since 1996, and a member of the Board of Directors with the National Association of Home Builders since 1999.  She is the past Secretary of the Racine-Kenosha Builders Association, and served as President of the Association in 1998 and 1999.   Her business is affiliated with the National Association of Home Builders, Racine/Kenosha Builder’s Association, Metropolitan Builders’ Association, Wisconsin Builders’ Association, and the Racine-Area Manufacturers and Commerce.  Most of these organizations are directly aided financially by the Job Creation Act. 

“We are deeply disturbed that the Ethics Board refuses to see the obvious conflict of interest that Senator Stepp has in regard to the Job Creation Act,” concluded Katers.  “The Board’s action raises serious concerns about the Ethics Board itself and whether it is strong enough to do the job we taxpayers pay it to do.”

See Cathy Stepp's Campaign Finance Profile for 2002 --- from the Wisconsin Democracy Campaign.

See website for First Stepp Builders

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