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Trump to impose 10% base tariff on international imports, higher levies on some nations

U.S. President Donald Trump holds up a chart while speaking during a “Make America Wealthy Again” trade announcement event in the Rose Garden at the White House on April 2, 2025 in Washington, D.C.  (Photo by Chip Somodevilla/Getty Images)

U.S. President Donald Trump holds up a chart while speaking during a “Make America Wealthy Again” trade announcement event in the Rose Garden at the White House on April 2, 2025 in Washington, D.C.  (Photo by Chip Somodevilla/Getty Images)

This story was updated at 6:55 p.m. EDT.

WASHINGTON — President Donald Trump rolled out sweeping “reciprocal” tariffs Wednesday on trading partners and allies across the globe.

Declaring that foreign trade practices have created a “national emergency,” the president unveiled a baseline 10% levy on all international imports, plus what he described as additional “kind” and “discounted” tariff rates that will increase but not match the rates other countries apply to American imports.

The levies will hit U.S. industries from agriculture to manufacturing to fashion.

The 10% universal tariffs become effective April 5, with higher levies set for April 9, according to Trump’s executive order. Trump’s remarks Wednesday about the start dates varied from the order’s language.

Trump is the first president to enact tariffs under the International Emergency Economic Powers Act — something he already did in March when slapping levies on China, Canada and Mexico over the production and smuggling of illicit fentanyl.

According to a table distributed at Trump’s speech, U.S. tariffs will reach 34% on imports from China, 46% on products from Vietnam and 20% on European Union imports, among other increases.

Canada and Mexico will not see additional tariffs on top of the already imposed 25% on goods (10% on energy and potash) not compliant with the United States-Mexico-Canada Agreement, or USMCA. All compliant goods can continue to enter the U.S. levy-free.

The new 34% duties on China are set to stack on top of older 20% tariffs, according to some media reports, though Trump did not specify in his remarks or order.

Countries that levy a 10% tax on American goods — including Brazil and the United Kingdom — will only see a 10% match.

The increased levies come as 25% tariffs on foreign cars kick in at midnight.

Business owners who purchase goods from outside the U.S. will have to pay the increased duty rates to bring the products over the border, unless Trump carves out exceptions for certain industries.

The president did not mention carve-outs in his remarks, but language in his subsequent executive order details exceptions for steel, aluminum, cars and auto parts already subject to tariffs under Section 232 of the Trade Expansion Act. Any products designated in the future under Section 232 will also be exempt from the new levies announced Wednesday.

Other goods not subject to the “reciprocal” tariffs include copper, pharmaceuticals, semiconductors, lumber, and “energy and other certain minerals that are not available in the United States,” according to the order.

Trump introduced the taxes on imports with fanfare Wednesday in the White House Rose Garden, where he said, “This is Liberation Day.”

“April 2, 2025, will forever be remembered as the day American industry was reborn,” Trump said.

“For decades, our country has been looted, pillaged, raped and plundered by nations near and far, both friend and foe alike,” Trump said.

Republican lawmakers, including House Speaker Mike Johnson of Louisiana and Georgia U.S. Rep. Marjorie Taylor Greene, attended the event alongside several of Trump’s Cabinet members and representatives from the United Auto Workers.

Not all Republicans have signaled support for tariffs. Senate Majority Leader John Thune said at an event in his home state of South Dakota in August 2024 that Trump’s trade policy is a “recipe for increased inflation.”

The White House has circulated figures claiming the U.S. will raise up to $600 billion in revenue per year as a result of the tariffs. The figure was met with skepticism by economists because the amount of imports will likely change under higher levies.

The U.S. is the largest importer of goods in the world, according to the Office of the U.S. Trade Representative. The country’s top suppliers in 2022 included China, Mexico, Canada, Japan and Germany.

Economists: Americans will pay

Since Trump began campaigning on tariffs, economists have warned that increased costs for businesses will be passed onto consumers.

Rising prices under Trump’s “reciprocal” tariff scenario are likely to cost an extra $2,400 to $3,400 per family, according to the Yale Budget Lab, with most of the financial burden falling on the lowest-income households.

An analysis from the Peterson Institute on International Economics estimated the typical American household would lose over $1,200, just from the 25% tariffs already imposed on China, Canada and Mexico.

Several small business owners told States Newsroom Tuesday they’re worried about increasing production costs and whether higher prices will chase away customer demand.

Erica York, of the center-right Tax Foundation that advocates for lower taxes, said in an interview with States Newsroom Tuesday that the levies will be “the largest peacetime tax increase we’ve seen in history.”

State officials worry over impact

Democratic state officials sounded the alarm Wednesday over losses for key industries that drive their local economies.

New Mexico State Treasurer Laura Montoya said her state’s energy and agriculture sectors would be victims in a trade war.

“New Mexico is a key player in this conversation, because the non-negotiable reality is that New Mexico is, like the United States as a whole, dependent on trade with our international partners particularly Mexico,” Montoya said on a virtual press briefing hosted by the state economic advocacy group Americans for Responsible Growth.

Montoya said oil and gas production accounts for 35% of the state’s budget and that the industry relies on machinery imported from Mexico.

Additionally, New Mexico, a largely rural state, relies heavily on agricultural trade. It processes a third of the cattle coming across the southwest border, and Montoya said farmers and ranchers will “face blows as tariffs on cattle and produce will result in slow food production.”

Washington state, a top U.S. agricultural exporter, sources 90% of its fertilizer from Canada.

Treasurer Mike Pellicciotti said the state would be “completely squeezed” by “reckless economic decisions.”

“He is crushing the free exchange of goods, and making it much more difficult and much more burdensome on working families. So of course, he needs to call it ‘Liberation Day,’ because he knows he’s doing the complete opposite, and he is trying to frame it in a way that is completely the opposite of what is being accomplished today,” Pellicciotti said.

Dems predict consumer stress

Democrats on Capitol Hill seized on Trump’s new trade policy as a way to push their message that the president is abandoning middle and working class households.

Sen. Angela Alsobrooks of Maryland said the White House is “tone-deaf” in dubbing the tariff announcement as “Liberation Day.”

Trump has said in media interviews, “‘You know, there’s going to be a little pain, some minor pain and disruption.’ But the people that I represent don’t regard increasing costs of groceries, increasing costs of owning a home, increasing costs of owning an automobile, as a minor disruption,” Alsobrooks said.

In back-to-back Democratic press conferences Wednesday, Sen. Tim Kaine of Virginia slammed Trump’s use of emergency powers in March to justify a 10% duty on Canadian energy and 25% on all other imports.

Kaine warned about the effect on his state’s sizable shipbuilding industry. Approximately 35% of steel and aluminum used to build U.S. ships and submarines comes from Canada, he said.

Senators approved, 51-48, a joint resolution Wednesday evening on a bill, sponsored by Kaine, that would undo Trump’s tariffs on Canadian imports triggered by an emergency declaration targeting illicit fentanyl coming over the northern border.

Four Republicans joined the Democrats in passing the largely symbolic legislation, which will now head to the House. The GOP senators included: Susan Collins of Maine, Mitch McConnell and Rand Paul of Kentucky, and Lisa Murkowski of Alaska.

Earlier Wednesday, Kaine pointed to a report in Canadian news outlet The Globe and Mail that found the White House grossly overstated the amount of fentanyl smuggled through the northern border.

“Canada stood with us on 9/11, Canada has stood side-by-side with U.S. troops in every war we have been in. They have fought with our troops. They’ve bled with our troops. They’ve died with our troops in every war since the war of 1812, and yet we’re going to treat them like an enemy,” Kaine said.

Kaine’s bill, co-signed by eight Democratic and independent senators, drew one Republican co-sponsor, Paul of Kentucky.

The bill gained statements of support from the U.S. Chamber of Commerce and former Vice President Mike Pence’s advocacy group Advancing American Freedom, among numerous organizations across the political spectrum.

House Minority Leader Hakeem Jeffries criticized Trump’s anticipated tariff announcement Wednesday morning at his weekly press conference.

“We were told that grocery costs were going to go down on day one of the Trump presidency. Costs aren’t going down in America. They’re going up, and the Trump tariffs are going to make things more costly,” Jeffries, of New York, said.

Milwaukee Social Development Commission buildings face foreclosure risk

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The Social Development Commission’s property corporation faces a foreclosure lawsuit for owing nearly $3 million in mortgage payments on its North Avenue buildings in Milwaukee, according to court records.

SD Properties Inc. is the tax-exempt corporation that owns the buildings of the Social Development Commission, or SDC.

Forward Community Investments Inc., a community development financial institution with Madison and Milwaukee offices, filed a complaint March 27 against SD Properties and SDC with the Milwaukee County Circuit Court.

SD Properties owes Forward Community Investments approximately $2.3 million in principal and interest for a 2020 construction mortgage and about $679,000 for a 2023 mortgage, for a total of just under $2.98 million, according to the complaint.

“FCI would be thrilled to see the critical services provided by CR-SDC return to the community,” said Ryan Zerwer, president & CEO of Forward Community Investments, in a statement. “However, the past 12 months, communication from SD Properties, Inc. has failed to provide sufficient information on actionable plans to fully resume operations and start meeting their financial obligations.”

SDC has been in turmoil since last April after it abruptly stopped operations and laid off staff. The agency reopened in December and is now preparing for a public hearing on its community action agency status.

William Sulton, SDC’s attorney, confirmed that SD Properties is in default on its mortgage payments.

“SDC has been in discussions with FCI about what kind of remedies they intend to pursue, so I guess it’s not a complete surprise,” Sulton said.

“I think the impact of the foreclosure case is it puts the North Avenue building at risk, and if there is no North Avenue building, then that is the majority of programs that SDC had in ’23.”

SDC also is listed on the lawsuit as a defendant as a guarantor for SD Properties.

Background and timeline

Forward Community Investments has been a lender to SD Properties since 2015 through its Community Development Loan Fund, which provides “financing to nonprofit organizations and community organizations for mission-focused projects that will work to reduce racial and socioeconomic disparities across the state of Wisconsin,” according to the complaint.

SD Properties entered into a construction mortgage on Jan. 22, 2020, of approximately $1.98 million plus interest, and then modified the agreement on July 22, 2020, to increase the total amount to $2.36 million.

In March 2023, SD Properties entered into a separate agreement in which it would owe about $665,000 and interest for a mortgage of five property parcels, which include the main office at 1730 North Ave., a warehouse at 1810 North Ave. and parking lots, according to court documents.

SD Properties defaulted on a “significant loan” in April 2024, according to Zerwer.

SD Properties also defaulted because it did not pay the entire amount of debt and interest owed for 2020 mortgage by the end date, or maturity date, of Dec. 22, 2024, according to the complaint.

Forbearance action stalled

Before the legal filing, Forward Community Investments presented SD Properties in the fall with a forbearance agreement, in which it would refrain from immediately collecting the obligations due from SD Properties, and revised it several times. 

However, Zerwer said revisions on the agreement reached an impasse in March.

SDC board members discussed a “time-sensitive” resolution related to SD Properties at an emergency meeting on March 24 and decided to postpone taking action.

“We’ve been doing many strategic moves to prevent the foreclosure of this building and possibly a deficiency judgment against our Teutonia (location),” said Vincent Bobot, an SDC commissioner and chair of the SD Properties board, at the meeting.

“If there’s not a foreclosure, it means it’s still going to be drawn out and still take quite some time, but nevertheless, we want that time,” he said.

Board members planned to return to the item at a later meeting so they could discuss it directly with Sulton, who was not at the meeting.

The forbearance agreement would allow SD Properties to keep the North Avenue main office and the 18th Street warehouse, Sulton said, but SDC’s main issue now is having no funding.

“Even if we win the lawsuit, without any funding, we’ll just end up with another lawsuit down the road,” Sulton said.

Legal proceedings

SD Properties has retained attorneys from Kerkman & Dunn to represent it in the foreclosure case, Sulton said.

SDC and SD Properties have 20 days to respond to the summons and complaint before the case proceeds in court.

“We feel we have been patient and extended every opportunity to the leadership of SD Properties, Inc. to work in partnership with us to resolve the loan default,” Zerwer said. “In fact, we call upon SD Properties, Inc. to once again work with us on a forbearance plan.”

Public hearing Friday on SDC

The Wisconsin Department of Children and Families is hosting a public hearing on SDC’s designation as a community action agency from 11:30 a.m. to 1 p.m. on Friday, April 4.

The hearing will be held in the Milwaukee State Office Building, 819 N. 6th St., in Conference Rooms 40 and 45 on the first floor.

Milwaukee Social Development Commission buildings face foreclosure risk is a post from Wisconsin Watch, a non-profit investigative news site covering Wisconsin since 2009. Please consider making a contribution to support our journalism.

Head Start providers shocked as federal office serving Wisconsin shuts without notice

By: Erik Gunn

Children at The Playing Field, a Madison child care center that participates in the federal Head Start program. (Courtesy of The Playing Field)

Head Start child care providers in Wisconsin and five other Midwestern states were stunned Tuesday to learn that the federal agency’s Chicago regional office was closed and their administrators were placed on leave — throwing new uncertainty into the operation of the 60-year-old child care and early education program.

“The Regional Office is a critical link to maintaining program services and safety for children and families,” said Jennie Mauer, executive director of the Wisconsin Head Start Association, in a statement distributed to news organizations Tuesday afternoon.

The surprise shutdown of the federal agency’s Chicago office — and four others across the country — left Head Start program directors uncertain about where to turn, Mauer said.

“We have received calls throughout the day from panicked Head Start programs worried about impacts to approving their current grants, fiscal issues, and applications to make their programs more responsive to their local communities,” Mauer said.

The regional offices are part of the Office of Head Start in the Administration for Children and Families at the U.S. Department of Health and Human Services (HHS). 

In an interview, Mauer said there had been no official word to Head Start providers about the Chicago office closing. Some program leaders learned of the closing from private contacts with people in the office. 

“We have not seen official information come out” to local Head Start directors, who operate on the federal grants that fund the program, Mayer said. “It’s just really alarming. For an agency that is about serving families, I don’t understand how this can be.”

The National Head Start Association issued a press release Tuesday expressing “deep concern” about the regional office closings. 

“In order to avoid disrupting services for children and families, we urge the administration to reconsider these actions until a plan has been created and shared widely,” the association stated.

Katie Hamm, the deputy assistant secretary for early childhood development at HHS during the Biden administration, posted on LinkedIn shortly before 12 noon Tuesday that she had learned of reduction-in-force (RIF) notices to employees in the Administration for Children and Families earlier in the day. 

RIF notices appear to have gone to all employees of the Office of Head Start and the Office of Child Care in five regional offices, Hamm wrote, in Boston, New York, San Francisco and Seattle in addition to Chicago. 

“Staff are on paid leave effective immediately and no longer have access to their files,” Hamm wrote. “There does not appear to be a transition plan so that Head Start grantees, States, and Tribes are assigned to a new office. For Head Start, it is unclear who will administer grants going forward.”

Hamm left HHS at the end of the Biden administration in January, according to her LinkedIn profile. 

Mauer said regional office employees “are our key partners and colleagues,” and their departure has left Head Start operators “incredibly saddened and deeply concerned.” 

Regional employees work with providers “to ensure the safety and quality of services and to meet the mission of providing care for the most vulnerable families in the country,” Mauer said. 

The regional offices provide grant oversight, distribute funds, monitor Head Start programs and advise centers on complying with regulations, including for child safety, she said. They also provide training and technical assistance for local Head Start programs.

“The Regional Office is a critical link to maintaining program services and safety for children and families,” Mauer said. “These cuts will have a direct impact on programs, children, and families.”

In addition to Wisconsin, the Chicago regional office oversees programs in Ohio, Indiana, Illinois, Michigan and Minnesota. 

Head Start supervises about 284 grants across the six states in programs that  enroll about 115,000 children, according to Mauer. There are 39 Head Start providers in Wisconsin enrolling about 16,000 children and employing about 4,000 staff.

The federal government created Head Start in the mid-1960s to provide early education for children living in low-income households. Head Start operators report that the vast majority of the families they serve rely on the program to provide child care so they can hold jobs.

The regional office closings came two months after a sudden halt in Head Start funding. Head Start operators get a federal reimbursement after they incur expenses, and program directors have been accustomed to being able to submit their expenses and receive reimbursement payments through an online portal.

Over about two weeks in late January and early February, program leaders in Wisconsin and across the country reported that they were unable to log into the system or post their payment requests. The glitches persisted for some programs for several days, but were ultimately resolved by Feb. 10.

Mauer told the Wisconsin Examiner on Tuesday that so far, there have not been new payment delays. But there has also been no communication with Head Start operators about what happens now with the unexpected regional office closings, she said.

“No plan for who will provide support has been shared, and the still-existing regional offices are already understaffed,” Mauer said. “I’m very nervous to see what happens. With no transition plan this will be a disaster.”

In her statement, Mauer said the regional office closing was “another example of the Federal Administration’s continuing assault on Head Start” following the earlier funding freeze and stalled reimbursements.

She said closing regional offices was undermining the program’s ability to function.

“We call on Congress to immediately investigate this blatant effort to hamper Head Start’s ability to provide services,” Mauer stated, “and to hold the Administration accountable for their actions.”

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Consumers, business owners hold their breath waiting for the Trump tariffs

French wine on display in a District of Columbia shop on March 13, 2025, the day President Donald Trump threatened tariffs on European wine and French Champagne. (Photo by Ashley Murray/States Newsroom)

French wine on display in a District of Columbia shop on March 13, 2025, the day President Donald Trump threatened tariffs on European wine and French Champagne. (Photo by Ashley Murray/States Newsroom)

WASHINGTON — American business owners and consumers are bracing as President Donald Trump teases, with few details, the announcement of sweeping tariffs expected Wednesday afternoon.

Trump has dubbed April 2 “Liberation Day,” his self-imposed deadline to fulfill his campaign promise of taxing imported products from around the globe.

The White House confirmed Tuesday that Trump had made a decision on tariff levels but would not provide further details.

“He’s with his trade and tariff team right now perfecting it to make sure this is a perfect deal for the American people and the American worker, and you will all find out in about 24 hours from now,” press secretary Karoline Leavitt told reporters Tuesday afternoon at the daily briefing.

The new tariffs come as Trump already imposed 25% duties on imported steel and aluminum, as well as 25% levies on foreign cars and vehicle parts set to begin Thursday.

But the anticipation of more tariffs on numerous imported goods has stopped business owners in their tracks as uncertainty about costs and consumer reaction clouds day-to-day decisions.

Stockpiling coffee cups

Gabe Hagen, owner of Brick Road Coffee in Tempe, Arizona, said small business owners are feeling “whiplash.”

“Are we going to have a tariff? Are we not? It’s not easy for me to change my prices overnight. But at the same time, if all of the sudden I have my cost of goods going up, it’ll put me into a loss territory.”

Most disposable beverage cups are produced in China, so Hagen made the decision last year to purchase and store $26,000 worth of coffee cups in anticipation of tariffs.

He also had to pull back $50,000 in capital for development on a second shop location, he said.

“The main thing we’re asking for is stability,” said Hagen, who also sits on the Small Business for America’s Future advisory council.

Walt Rowen, owner and president of Susquehanna Glass Company in Columbia, Pennsylvania, said “there’s no clarity at this point at all.”

“Everybody is in a holding pattern. We’re stuck wondering what is going to happen,” Rowen said. “We can sort of know that we’re gonna have to increase prices if the tariffs come into effect. But what we don’t know is if we increase prices, how much does that affect demand?”

Rowen’s historic 1925 three-story production facility right in the middle of the southeastern Pennsylvania town employs anywhere from 35 to 65 workers, depending on the season.

Through a variety of decorating techniques, his employees engrave or imprint screened paint logos, names and other messages on wine glasses he sources from a manufacturer in Italy and mugs made in Vietnam.

Rowen’s production rooms buzz, especially in the months leading up to the holidays, when his employees laser engrave and hand paint personalized ornaments sourced from China for the Lenox Corporation.

“My Christmas ornament business is huge for us in the fourth quarter, and I would normally be planning to bring in 20 to 30 people to work in that category of business. But if those prices increase by 30, 40, 50%, I don’t know how many we’re going to sell this year. So I can’t even plan production. It’s frightening,” he said.

States to feel economic pain

Economists are warning the rollercoaster tariff policy coming from the Oval Office is undermining economic growth and trust in the U.S. as a stable trading partner.

Trump told reporters as recently as Sunday that he was planning to slap tariffs on “all countries.”

His administration’s mid-March levies on aluminum and steel imports sparked retaliation from the European Union and Canada, which beginning in mid-April will enforce taxes on hundreds of American products crossing their borders, including iconic Kentucky bourbon, Tennessee whiskey and Harley-Davidson motorcycles.

Unless Trump carves out exceptions on certain products, more states can expect to feel economic pain, said Mary Lovely, senior fellow at the Peterson Institute for International Economics.

“For example, a state like Washington state is very export dependent, not just obviously aircraft, but also apples and a wide variety of other manufacturing and agricultural (products). That state will be really hard hit if there are retaliatory tariffs, both from Canada, which is a market, but also from Asia,” Lovely said.

Trump’s tariffs on products from Canada, China and Mexico could cost the typical American family at least an extra $1,200 annually in price increases, according to a report Lovely co-authored. The dollar amount increases when calculating for universal tariffs on all imported goods, and when accounting for retaliation from other countries.

European Union President Ursula von der Leyen already made clear in a speech Monday that the bloc wants to negotiate with Trump but will apply more levies on American products given no other choice.

“Europe has not started this confrontation. We do not necessarily want to retaliate, but we have a strong plan to retaliate if necessary,” she said.

Tariffs on Canada

On Capitol Hill, Democratic Sens. Tim Kaine and Mark Warner of Virginia and Amy Klobuchar of Minnesota introduced a resolution to block the president’s tariffs on Canada, which he triggered under his emergency powers.

Trump’s use of the International Emergency Economic Power Act to slap 25% tariffs on products out of Canada and Mexico marked the first time a president had ever done so.  

“We think that the economic chaos that’s being caused and markets being roiled and consumer confidence dropping, and some predicting recession, together with a bipartisan vote might convince the White House — ‘Hey, look, there’s a better way to treat American citizens and customers,’” Kaine told reporters outside the U.S. Capitol Tuesday.

Kaine said his message to Republicans is “stand up for your constituents and say no tax increase on them.”

The Senate is expected to vote on the legislation late Tuesday or Wednesday.

Bill Butcher, founder of Port City Brewing in Alexandria, Virginia, spoke alongside the senators Tuesday, expressing concern about the price of Canadian Pilsner malt that he’s used for 14 years.

“It’s a very specific strain of high quality barley that grows in the cold climate of Canada, and there’s not a suitable U.S. substitute that we can get at the same quality to make our beer,” he said. “If there’s a 25% tariff on this basic ingredient, it’s going to slow our business down.

“By the time it goes from us to our distributor to the retailer to the consumer, this $12.99 six-pack of beer is going to end up at $18.99. How many people are still going to want to buy a six-pack of great-tasting beer but at $18.99? People are going to start looking for a different substitute,” Butcher said.

White House defends tariffs

In an emailed statement Tuesday to States Newsroom, White House spokesperson Kush Desai said Trump used tariffs “to deliver historic job, wage, and economic growth with no inflation in his first term, and he’s set to restore American Greatness in his second term.”

“Fearmongering by the media and Democrats about President Trump’s America First economic agenda isn’t going to change the fact that industry leaders have already made trillions in investment commitments to make in America, and that countries ranging from Vietnam to India to the UK have already begun to offer up trade concessions that would help level the playing field for American industries and workers,” Desai said.

Peter Navarro, Trump’s senior counselor on trade, told “Fox News Sunday with Shannon Bream” Trump’s new tariffs will raise $600 billion a year for the U.S., plus another $100 billion from the 25% duty on foreign cars that will launch this week.

The government would gain that revenue from U.S. businesses who will need to pay the duty rates to get their purchased goods through the U.S. border.

Erica York with the Tax Foundation, a center-right think tank that advocates for lower taxes, said Tuesday that number is “very, very wrong” because Navarro is basing the math on the current level of imports.

“If we put a 20% tax on imports, people are not going to buy as many imports, so that reduces how much revenue you get,” York said. “Also, mechanically, if firms are making all of these tariff payments, that reduces their revenue. They don’t have as much to pay workers (and) to return to shareholders.”

U.S. stocks showed their biggest losses since 2022, according to Monday’s report on the first quarter of 2025.

Both Moody’s Analytics and Goldman Sachs warned on Monday that they’ve raised their forecasts for an economic recession to 35%.

Journalists sign first union contract at nonprofit news outlet Wisconsin Watch

By: Erik Gunn

Jack Kelly of Wisconsin Watch waits with reporters outside the state Capitol for a press conference to begin in September 2023. (Wisconsin Examiner photo)

Journalists at Wisconsin Watch — a nonprofit news organization that includes the Milwaukee Neighborhood News Service — have ratified their first union contract.

The agreement, signed on Friday, March 28, includes minimum salary guarantees and annual cost-of-living increases along with layoff restrictions, severance pay and benefits as well as “just cause” protections against arbitrary terminations, according to the Wisconsin Watch Union. The contract also includes provisions for medical, parental, caregiver and bereavement leave.

The union is a subunit of Milwaukee NewsGuild Local 34051, which also represents newsroom employees at the Milwaukee Journal Sentinel.

“I’m really proud of the outcome,” said Jack Kelly, a Wisconsin Watch reporter and union bargaining team member. Staffers represented by the union were active in advocating for their priorities during contract negotiations, giving personal testimony about issues important to them, he said.

“They put some faces and names to the numbers we were asking for,” Kelly said in an interview Monday.  “I think the contract is going to make Wisconsin Watch and Neighborhood News Service better places to work.”

Kelly also commended Wisconsin Watch management’s handling of the bargaining process.

“We certainly had meetings that were long and stressful, but I think in general we were able to engage a collegial approach to bargaining,” Kelly said.

“We’ll continue to do great journalism knowing our workplace is more structured, secure and protected,” said Phoebe Petrovic, a Wisconsin Watch investigative reporter who was among those who initiated the union organizing effort, in a statement released by the union.

Wisconsin Watch journalists announced their union organizing campaign in October 2023, and the organization’s board subsequently agreed to voluntarily recognize the union. Protection against arbitrary firings was among the goals employees cited.

Wisconsin Watch was founded in 2009 as the Wisconsin Center for Investigative Journalism, still its legal name. The Milwaukee Neighborhood News Service became part of Wisconsin Watch in July 2024 and its employees became part of the bargaining unit.

Devin Blake, a Milwaukee Neighborhood News Service reporter who joined the bargaining team, said that in addition to tangible gains the union brought him closer to coworkers. “I have such a clearer sense of what matters to their lives and work,” Blake said in the union’s statement.

Digital news outlets and nonprofit news organizations have seen growing union representation in the last several years, with outlets including ProPublica and The Marshall Project joining the ranks of unionized newsrooms. 

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Wisconsin health care workforce under strain as population ages

By: Erik Gunn

A new Wisconsin Hospital Association report finds continued challenges for hospitals seeking health care workers. In this January 2024 photo, an information screen for visitors at Sauk Prairie Hospital displays a recruiting message directed at health care workers. (Photo by Erik Gunn/Wisconsin Examiner)

As more Wisconsinites need more hospital care, the supply of health care workers to provide that care remains slim — and to change that outlook will take concerted effort, according to a new report released Monday.

“Wisconsin’s health care workforce must grow faster,” says the 2025 Wisconsin Health Care Workforce Report, produced by the Wisconsin Hospital Association (WHA).

“Health care employers are working hard to retain current employees, re-recruit those who left for what they thought might be greener pastures and attract new talent to health care fields in Wisconsin,” the report states.

The report finds some glimmers of improvement and promising pathways for hospitals to further address their need for more trained staff. Over the last two years hospital job vacancies have fallen slightly and employment has increased.

But filling jobs remains a challenge and will remain that way for years, the report states. It suggests  a combination of strategies to overcome current trends.

Some of the strategies involve  how hospitals themselves structure jobs and hiring practices. But the report contends other sectors — government, educational institutions, and the insurance companies and government programs that pay the lion’s share of health care bills — will also need to shift their policies.

Reimbursement rates are not keeping up with increased costs as hospitals and other providers weather rising payroll and supply expenses, for example, the report finds.

By far the dominant contributor to the workforce challenges hospitals and health systems face, however, is demographic, according to the report. Wisconsinites continue to get collectively older.

“Only Wisconsin’s population over 65 has grown between the 2010 and 2020 census,” said Ann Zenk, senior vice president of workforce and clinical practice for the hospital association. The working-age population ages 18 to 65 decreased in that same period.

Those younger than 40 go to the hospital once a year on average. From ages 40 to 65 that ticks up to three times a year. After 65, “it doubles to six visits a year,” Zenk  said.

“As we age, we need more health care,” she said. “That is going to be a double challenge for hospitals because our available workers are a smaller pool and our demand is even greater.”

The population preparing to enter the workforce — people ages 19 and younger — “is not large enough to replace retiring baby boomers,” the report states. “Growing the health care workforce needed to respond to this demographic challenge will require increasing in-migration, ensuring access to career pathways and increasing interest in hospital careers.”

That starts with giving students in high school or even earlier “the opportunity to have exposure — you’re walking in the shoes of what it’s like to be a health care professional,” Zenk said.

Then there’s the education process itself — “making sure that educational pathways remain accessible,” Zenk said. The report urges policymakers not to add requirements to training programs that would make them longer, more complex or more expensive.

One promising training innovation, said Zenk, is the use of an apprenticeship program to prepare new registered nurses, pioneered in the last few years in Wisconsin by UW Health and the state Department of Workforce Development.

While the program stretches over four years for the equivalent of a two-year associate degree, she said, it also allows the participating students to “earn while you learn.” The concept is being expanded to prepare respiratory therapists.

The report also identifies generational shifts in what people expect from their jobs. Zenk said addressing demands for more flexible and family-friendly schedules can make it possible to hire and retain more successfully. But those changes may also mean demand for even more personnel.

“So where you need a roster of 10 nurses, you need 15 now to cover the exact same shift,” Zenk said.

The report also sees technology offering some relief.

Some of that might be replacing people for tasks such as registering at the front desk for a medical visit, Zenk said. But another example is monitoring equipment that could go home with a patient and be checked remotely, with nurses and clinicians visiting the patient at home every day, she observed.

Zenk said some regulations in health care can be reexamined and streamlined without endangering safety or the quality of care.

Physician assistants, for example, collaborate with and are overseen by a medical doctor. Zenk said in the past a physician could supervise no more than four PAs. That has since been relaxed, making it less burdensome for both doctor and PA alike, she said.

Zenk said another form of regulation has gotten worse, however: When health insurers interpose an increasing number of steps for them to sign off on the care a doctor or hospital provides.

“That requires staff to make those phone calls or enter that data, or requires physicians to document more and more and more to justify the care that they want to provide and that the patient needs,” she said.

She’s seen insurer-driven requirements increase in the last five years.

“That’s a major tug-of-war on clinicians’ time,” Zenk said, “and for patients also very frustrating.”

In the end, however, there’s no single silver bullet to resolve what is likely to be a persistent challenge for hospitals or their employees.

“There’s no one answer. We’re more than likely not going to be able to grow ourselves out of this one fast enough,” Zenk said. “But anything we can do to grow the workforce faster is going to help.”

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Trump adds 25% tariff on foreign-made autos, light trucks

President Donald Trump speaks at the Justice Department on March 14, 2025, in Washington, D.C. (Photo by Andrew Harnik/Getty Images)

President Donald Trump speaks at the Justice Department on March 14, 2025, in Washington, D.C. (Photo by Andrew Harnik/Getty Images)

President Donald Trump signed an executive order Wednesday to impose a 25% tariff on imported cars and light trucks.

Trump, who campaigned on bringing down consumer costs, said during an Oval Office signing event the additional tax on foreign goods would spur U.S. production.

Asked if, like other tariffs Trump’s threatened, trade partners could do anything to avoid the fee on cars and trucks, Trump answered no. This tariff will remain in place until he leaves office, he said, and was meant to protect the U.S. industry.

“I think our automobile business will flourish like it’s never flourished before,” he said.

The tariff will go into effect April 2, he said. It will add to – not replace – any other applicable existing tariffs, he said.

“We’re going to charge countries for doing business in our country and taking our jobs, taking our wealth, taking a lot of things they’ve been taking over the years,” he said. “They’ve taken so much out of our country, friend and foe alike. And frankly, friend has been oftentimes much worse than foe.”

The measure could bring in $100 billion in tax revenue, a White House aide said during the Oval Office event.

Trump said the administration would have “very strong policing” to enforce the tariffs.

Trump said he did not seek advice from White House adviser Elon Musk, the CEO of U.S. electric carmaker Tesla, because “he might have a conflict.”

Trump said the tariffs may be good or neutral for Tesla, which he noted had large plants in Texas and California.

“Anybody that has plants in the United States it’s going to be good for,” he said.

Looming X-date for U.S. default on the debt projected to arrive this summer

President Donald Trump and Congress have until August or September to reach agreement and act on the debt limit, the Congressional Budget Office forecast Wednesday.  (Stock photo/Getty Images Plus)

President Donald Trump and Congress have until August or September to reach agreement and act on the debt limit, the Congressional Budget Office forecast Wednesday.  (Stock photo/Getty Images Plus)

WASHINGTON — President Donald Trump and Congress have until August or September to reach agreement and act on the debt limit, the Congressional Budget Office forecast Wednesday.

Otherwise the United States would default for the first time in history, likely leading to a global financial crisis.

The nonpartisan CBO projection is similar to an estimate published earlier this week by the Bipartisan Policy Center think tank, which expects the X-date will occur between mid-July and early October.

The previous debt limit suspension expired in January, but the Treasury Department has been able to keep paying all the government’s bills through accounting maneuvers called extraordinary measures. When those run out, the country would hit the X-date and a default would begin.

The four-page CBO report says the default range “is uncertain” because how much money the federal government brings in as well as how much it spends at a given time is difficult to track. 

“If the government’s borrowing needs are significantly greater than CBO projects, the Treasury’s resources could be exhausted in late May or sometime in June, before tax payments due in mid-June are received or before additional extraordinary measures become available on June 30,” the report states. “Conversely, if borrowing needs fall short of the amounts in CBO’s projections, the extraordinary measures will permit the Treasury to continue financing government activities longer than expected.”

GOP bill on tap

Republicans in Congress are hoping to approve a massive bill in the months ahead that would extend the 2017 tax law, creating $4.5 trillion in new deficits. The package is also supposed to appropriate hundreds of billions of dollars to the Department of Defense and border security initiatives.

GOP lawmakers hope to pay for some of those increases in the deficit through spending cuts, but are far from agreement on how best to do that.

The debt limit allows the Treasury Department to borrow money to pay all of the country’s bills in full and on time. The federal government must borrow money to pay for spending that Congress has approved that isn’t funded by taxes or other fees.

During the last full fiscal year, that imbalance between revenue and spending, also called the deficit, totalled $1.8 trillion. Over decades, annual deficits have added up to a $36.2 trillion national debt.

Congress failing to raise or suspend the debt limit before the default date would limit the Treasury Department to spending only the cash it had on hand, a scenario with much broader implications than a partial government shutdown.

A default could lead the federal government to delay or simply never make payments on thousands of federal accounts, including Social Security, Medicare, Medicaid, troop pay, federal employee salaries and much more.

The Treasury Department writes on its website that not raising the debt limit by a specific dollar amount or suspending the debt limit through a future date “would have catastrophic economic consequences.”

A Government Accountability Office report lists off several negative repercussions of a default, including that it could trigger runs on banks and money market funds, that it would likely reduce lending to households and businesses, that it would lead to a substantial downgrade to the country’s sovereign credit rating and that it would likely lead to a significant and potentially long-lasting recession.

Treasury projection in May

Treasury Secretary Scott Bessent plans to send his department’s default date projection to Congress in May, though he wrote in a March letter that lawmakers should get to work sooner rather than later.

“The period of time that cash and extraordinary measures may last is subject to considerable uncertainty due to a variety of factors, including the unpredictability of tax receipts and the normal changes of forecasting the payments and receipts of the U.S. government months into the future,” Bessent wrote. “We expect to provide an update during the first half of May, after the majority of receipts from the April income tax filing season have been received.”

Bessent then urged lawmakers “to act promptly to protect the full faith and credit of the United States.”

Republican leaders in Congress and the Trump administration have just a few more months to decide how they want to handle this year’s debt limit debate.

House Republicans included a proposal in their budget resolution to raise the debt limit by $4 trillion later this year, when GOP lawmakers draft the bill to extend the 2017 tax cuts. But the Senate has yet to agree to that blueprint.

Republicans raising the debt limit through the complicated budget reconciliation process would require support from nearly every GOP lawmaker in Congress, since the party holds a paper-thin majority in the House and just 53 seats in the Senate.

Nearly two years ago, when Congress sent the last debt limit bill to the White House, 71 House Republicans and 31 GOP senators voted against approval.

The other option is for Republicans and Democrats to negotiate a bipartisan agreement on the debt limit that can get the support of at least 60 senators to move past the legislative filibuster.  

Members of Hispanic Federation ask Congress for focus on economy, not deportations

Frankie Miranda, the president of the Hispanic Federation, speaks at a press conference outside the U.S. Capitol on March 25, 2025, with representatives from 130 nonprofits that advocate for Latino communities. (Photo by Ariana Figueroa/States Newsroom)

Frankie Miranda, the president of the Hispanic Federation, speaks at a press conference outside the U.S. Capitol on March 25, 2025, with representatives from 130 nonprofits that advocate for Latino communities. (Photo by Ariana Figueroa/States Newsroom)

WASHINGTON — In a Tuesday press conference outside the U.S. Capitol, members of the Hispanic Federation detailed how the first three months of the Trump administration’s policies have harmed the Latino community rather than addressing economic concerns.

Frankie Miranda, the president of the federation, a nonprofit that focuses on civic engagement in the Latino community, said the president’s immigration crackdown has instilled fear and failed to tackle economic issues that influenced Latino voters in the 2024 presidential election, such as inflation and housing costs.

He said the revocation of legal status for hundreds of thousands of immigrants — many of them with work permits — will harm not only the Latino community but the economy overall.

“We want to ensure that our elected officials understand that this is going to have a negative impact on industries, on the economy,” he said. “This is going to have an impact on everyday Americans when you remove workers and people contributing and paying taxes to the economy.”

Grants yanked

Miranda, along with representatives from 130 nonprofits, will spend Wednesday meeting with lawmakers to talk to them about the economic contributions of Latinos and how President Donald Trump’s plans for mass deportations harm the community.

Miranda said the groups will also stress to lawmakers how the cancellations of federal grants, which were already approved by Congress, have led to staff layoffs and undercut services for the Latino community, from job training to legal aid.

Federation members were joined by Democratic Reps. Maxwell Alejandro Frost of Florida and Chuy Garcia of Illinois for Tuesday’s press conference.

“We saw that this election, the economy was the number one concern of voters across this entire country,” Frost said.

Some of the groups at the press conference included the Carolina Migrant Network of North Carolina and the Orlando Center for Justice, of Florida.

Stefanía Arteaga, who co-founded the Carolina Migrant Network, said the nonprofit is the only organization in North Carolina that provides free legal services for immigrants who are in immigration detention centers.

She said many of those people who have called her organization had their legal statuses revoked.

“This is part of a larger systematic failure and strategy by this administration to put people in deportation proceedings and use them as scapegoats,” Arteaga said.

Frost decried the Trump administration’s immigration crackdown and the revocation of the legal status of more than 530,000 immigrants from Cuba, Haiti, Nicaragua and Venezuela.

He said those immigrants, along with more than 350,000 Venezuelans who have lost Temporary Protected Status, “now will face deportation,” by April 2.

“These are our neighbors, our coworkers, our friends and our loved ones,” Frost said.

Garcia also slammed the Trump administration’s immigration crackdown. High-profile raids have taken place in his district in Chicago. 

“Raids are terrorizing our communities, and this is a show of the abuse of state power,” Garcia said.

Federation contracts in limbo

In an interview with States Newsroom, Miranda said the Hispanic Federation has about $105 million in federal contracts that were approved by Congress but are now pending or on hold under the Trump administration.

The Trump administration has cancelled many federal contracts, zeroing in on those that address diversity, equity and inclusion. The White House has also canceled contracts with nonprofits that provide services for refugees and immigrants, from resettlement to legal services for unaccompanied minors.

Miranda said some of the contracts from the Hispanic Federation that are now frozen would award $1 million for legal services, $58 million for solar panel projects in Puerto Rico and $16 million to help people obtain digital skills for the workforce.

He said he believes these programs were targeted because they either aim to provide equity or promote environmental justice.

“We want to ensure that elected officials understand that in these efforts of efficiency, what you are creating is more chaos, disruption of essential services and (losing) the opportunity for the country to continue moving forward in the right direction and avoid the effects of falling into a recession,” Miranda said.

Karina Ayala-Bermejo, president of the Instituto Del Progreso Latino in Chicago, said for decades the nonprofit has provided free legal services for lawful permanent residents seeking to become naturalized citizens.

She said U.S. Citizenship and Immigration Services cut her nonprofit’s federal contract worth $450,000.

“It is having us reconsider a fee-for-service model, that we know is going to create a substantial financial barrier on families who merely seek to be able to fully participate in the U.S. democracy,” Ayala-Bermejo said.

Trump, who has his own meme coin, promotes crypto at industry conference

President Donald Trump spoke Thursday, March 20, 2025, to a crypto industry conference. (Photo illustration by Namthip Muanthongthae / Getty Images)

President Donald Trump spoke Thursday, March 20, 2025, to a crypto industry conference. (Photo illustration by Namthip Muanthongthae / Getty Images)

President Donald Trump signaled his continued support for cryptocurrency, saying at an industry conference Thursday morning he wanted to see the United States lead the world in digital asset technology.

In a brief recorded video broadcast to the Digital Assets Summit in New York, Trump, who launched his own meme coin in January that held an overall market value of $2.3 billion Thursday, noted some steps his administration has taken to encourage crypto. He positioned himself as a leading advocate for the technology but was vague about future policy proposals.

“It’s an honor to speak with you about how the United States is going to dominate crypto and the next generation of financial technologies,” he said. “And it’s not going to be easy, but we’re way ahead.”

Trump noted he held the first ever White House digital assets summit this month, appointed a White House artificial intelligence and crypto czar and created a Strategic Bitcoin Reserve and Digital Asset Stockpile.

The reserves would allow the government to retain the value of digital currencies, he said, adding that was impossible under his predecessor, Joe Biden.

Reversing policy

Trump said his administration would seek to loosen regulations, in a reversal from Biden policy.

“We’re ending the last administration’s regulatory war on crypto and bitcoin,” he said. “Frankly, it was a disgrace. But as of Jan. 20, 2025, all of that is over.”

He also said he’d asked Congress to create “simple, commonsense rules for stable coins and market structure.”

Despite looser regulations, the framework would lead to “greater privacy, safety, security and wealth for American consumers and businesses alike,” he said, calling the decentralized finance system “one of the most exciting technological revolutions in modern history.”

Trump’s ties to industry

The decentralized nature of cryptocurrency allows anyone to launch a currency, which has led to a series of so-called meme coins fronted by celebrities or tied to internet trends that form a particularly volatile segment of the crypto market.

Trump has a vested interest in the success of the crypto market, with a reported 80% stake in his own token.

Trump’s coin peaked at a value of $14.5 billion the day before his inauguration but has since lost nearly 85% of its value. The financial news service Reuters reported last month that firms generated nearly $100 million in trading fees associated with the Trump coin, even as its market value plummeted.

Spirits of hostility: Trump trade war could hike prices of European alcohol

French wine on Washington, D.C., store shelves on Thursday, March 13, 2025. (Ashley Murray/States Newsroom) 

French wine on Washington, D.C., store shelves on Thursday, March 13, 2025. (Ashley Murray/States Newsroom) 

WASHINGTON — Wine and spirits are front and center in President Donald Trump’s escalating trade war with European allies.

Just after sunrise Thursday, Trump threatened in a social media post to slap a 200% tariff on all wine, Champagne and other alcohol products from France and other European Union countries.

“This will be great for the Wine and Champagne businesses in the U.S.,” Trump wrote on his platform Truth Social.

French Foreign Trade Minister Laurent Saint-Martin responded on X by saying Trump “is escalating the trade war he chose to unleash” and that France “will not give into threats,” according to a translation.

Alcoholic beverages ranked 11th on the list of top European products exported to the United States in 2024, according to the European Commission.

U.S. imports of European wine, vermouth, spirits and beer approached $13 billion last year, according to International Trade Centre data.

U.S. bourbon and whiskey

Trump said the U.S. would be imposing the tax “shortly” if the EU does not immediately drop its plans to impose levies next month on hundreds of American products, including a 50% tariff on the country’s iconic Kentucky bourbon and Tennessee whiskey.

The EU announced Wednesday forthcoming taxes on a lengthy list of American goods, also including beer, clothes, makeup and motorcycles, in response to Trump’s 25% tariffs on steel and aluminum that took effect the same day.

The latest round of tit-for-tat tariffs is not the first time American alcohol producers have been impacted by a trade war.

American whiskey exports and tariff effects. (Graphic courtesy of Tax Foundation)

A new analysis by the center-right Tax Foundation shows American distillers lost hundreds of millions after tariffs imposed during Trump’s first presidency sparked 25% retaliatory levies from the EU and the United Kingdom.

American whiskey imports to the EU and UK fell 27% from 2018 to 2019, and another 15% from 2019 to 2020, according to the analysis published Thursday. The foundation calculated that domestic distillers lost about $649 million in exports, assuming the imports would have remained flat at previous levels. The industry did not rebound until 2023.

Rebuilding spirits exports

Chris Swonger, CEO and president of the Distilled Spirits Council of the United States, said Wednesday the return of EU tariffs “will severely undercut the successful efforts to rebuild U.S. spirits exports in EU countries.”

“Many spirits products are recognized as ‘distinctive products’ by the U.S. and EU and can only be made in their designated countries. As a result, the production of these spirits products, including Bourbon, Tennessee Whiskey, Cognac and Irish Whiskey, cannot simply be moved to another country or region,” Swonger said in a statement.

“Reimposing these debilitating tariffs at a time when the spirits industry continues to face a slowdown in U.S. marketplace will further curtail growth and negatively impact distillers and farmers in states across the country,” Swonger continued.

The transatlantic spirits trade increased by nearly 450% from 1997 to 2018 when the U.S. and EU agreed to reciprocal zero-to-zero tariffs on alcohol beverages trade, according to the council.

Owner of a dozen Wisconsin newspapers settles suit for giving personal information to Facebook

A close up of a stack of folded newspapers on a table with bold headlines facing out.

Lee Enterprises, which owns newspapers across the country including in Wisconsin, is facing financial difficulties, a class action settlement for providing subscriber data to Facebook, and a threatened takeover. | Getty Images

More than 1.5 million subscribers could be part of a class-action settlement by the newspaper company Lee Enterprises, for sending personally-identifying information to the parent company of Facebook in order to target content, including advertising.

According to a settlement reached in a federal court in Iowa, where Lee Enterprises is headquartered, the company will pay $9.5 million for releasing personal information to Meta without customers’ consent.

In Wisconsin, Lee owns a dozen newspapers, including dailies in Chippewa Falls, Racine, Kenosha, La Crosse and the Wisconsin State Journal in Madison, among its 85 daily newspapers across the country.

In addition to the class-action lawsuit settlement, Lee has also reported that it will likely be financially impacted due to a recent cybersecurity ransomware attack. Also, a private investor who has recently been critical of the management team after it projected profits, but instead saw a loss of $17 million, says he wants to purchase the company.

Facebook settlement

As part of the court filing, the company says it doesn’t agree with all the conclusions, but is settling the class-action lawsuit, which could reach more than 1.5 million current or past subscribers. According to its most recent 10-K filing with the Securities and Exchange Commission, as of Sept. 29, 2024, Lee reported that had a combined 1.1 million print and digital subscribers.

It also reported that 51% of its revenue comes from digital advertising in February 2025.

The court filings say that Lee voluntarily installed an invisible online tracker from Meta/Facebook that allowed the disclosure of a “Facebook Identification Number” to the social media giant. That, the group of plaintiffs said, violated federal law that guarantees privacy protection. The goal of the software, according to the lawsuit, was to build profiles of the Lee subscribers or content users “with the hope of improving the effectiveness of advertising targeting those users.”

If the deal is approved by the court, former and current subscribers who were affected would be sent a class-action settlement notice and be eligible for a portion of the amount, which will be estimated to be around $5.7 million for the approximately 1.5 million people — or around $3.80 per person. For subscribers or customers with an invalid email address, postcards may be sent.

In court documents, Lee and a group of plaintiffs agreed to settle the dispute, saying that a protracted lawsuit could take years and millions to resolve. Furthermore, Lee maintains that it did nothing wrong, although other companies who used such tracking tools have been found liable for using the same technology that discloses personal information.

Ransomware attack

It is not the only piece of bad financial news for the newspaper company based in Davenport, Iowa. In SEC filings earlier this month, it announced that a ransomware attack on the company that shut down some printing and electronic edition publications, as well as threatened to release sensitive financial information, was likely to have a material impact on the company’s bottom line.

On March 6, Lee confirmed the attack, which began on Feb. 3. Hackers encrypted many of the “critical applications” the company used while “exfiltrating” or taking financial data. Lee said that many of the company’s functions have been restored, but that the business processes of the company have been delayed.

“Additionally, certain back-office functions remain delayed including billing our clients, collections, and payments to vendors. We anticipate the business processes to be fully restored in the coming weeks,” the company said.

Lee confirmed it had cybersecurity insurance, and also that its sole lender, Berkshire-Hathaway Finance, had waived an interest payment as well as lease payments, which the newspaper company said added $3.7 million of additional capital.

As of Friday, many of the Lee publications still had notices on their websites that warned customers of problems, delays or interruptions.

New owner?

Even as courts and cyberattacks were occupying headlines about Lee, on Thursday, the chain of newspapers also reported that a billionaire investor who had recently purchased a chunk of the publicly traded stock had submitted a letter to the company’s board of directors wanting to purchase the company outright.

Hoffmann Companies, which owns a diverse number of companies including dairies, investment properties and manufacturing facilities, says it wants to buy Lee Enterprises. The same company has recently purchased an interest in the Dallas Morning News, as well as purchasing former Lee-owned newspapers in California, including the Napa Register. In a letter to Lee’s board, David Hoffmann said that other hedge-fund investors have not been concerned with the journalism of the company, rather just squeezing profits from the newspapers.

“We believe this commitment represents a sharp contrast to other potential acquirors such as non-local hedge funds and investment firms primarily concerned with increasing profits over jobs, local concerns, and the power of quality journalism,” the letter said. The letter and a news story about the offer was published on Lee newspaper websites on Thursday.

Hoffmann is already Lee’s second-largest shareholder. Lee currently has nearly $450 million in debt, largely from the acquisitions of other newspapers that has more than doubled the company’s reach. In its most recent earnings report, Lee’s profits were down year-over-year, but it did note that digital revenue has now eclipsed print revenue, a sign that the Hoffmann interest letter noted.

After news of the potential deal broke, Lee stock shot up nearly $1 per share and as of Friday, the value of Lee stock hovered around $10.66 a share, a 6% increase in value.

Editor’s note: The reporter of this story was formerly a Lee employee from 2004 to 2020.

Erik Gunn of the Wisconsin Examiner contributed to this report

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Daily Montanan is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Daily Montanan maintains editorial independence. Contact Editor Darrell Ehrlick for questions: info@dailymontanan.com.

Wisconsin’s only Black-owned bank moves into new century

Exterior of Columbia Savings & Loan Association
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Columbia Savings & Loan Association spent 2024 celebrating its 100th anniversary as Wisconsin’s oldest and now only Black-owned bank.

As it moves forward, Columbia’s leadership wants to modernize while continuing to serve Milwaukee’s Black and underserved communities by helping more families own homes in their neighborhoods.

After Milwaukee native Sharon Adams moved back to her parents’ home in Lindsay Heights in 1997, she opened up an account at the nearby savings and loan association at 2020 W. Fond du Lac Ave. with her cousin when they learned its history.

“It’s a bit of a mystery to me that Columbia has survived without a merger throughout these years and it’s still, for me, the place to go and support and I would expect to be supported,” said Adams, who is a founder of Walnut Way Conservation Corp., a nonprofit focused on community-led development in Lindsay Heights.

The Halyards and Columbia’s history

Wilbur and Ardie Clark Halyard founded Columbia Savings & Loan Association in 1924 to help Black people secure home loans when redlining and racial covenants restricted housing options and banks discriminated against Black people.

The Halyards moved from the South to Beloit in 1920, then to Milwaukee in 1923, advocating for the rights of African Americans along the way, according to Clayborn Benson, director of the Wisconsin Black Historical Society, 2620 W. Center St., Milwaukee.

“People wanted to buy their homes, and the Halyards made it possible to be able to do that,” Benson said.

The Halyards worked hard (and without pay for many years) to establish the association, which survived through social, economic and political changes to Milwaukee and the country.

“It’s one of those things where you knew if you needed to get a loan, or you wanted to buy a house, they would work with you, whereas other more traditional institutions might overlook you,” said Steven DeVougas, chairman of the North Avenue Marketplace Business Improvement District 32.

The bank’s lasting impact on Milwaukee can especially be felt in Halyard Park, where the Halyards worked closely with real estate agent Beechie O. Brooks to finance homes in a new development after the construction of Interstate 43.

Modernizing the mission-focused bank

Ernest Jones, the chair/president and CEO of Columbia Savings & Loan Association since 2022, said the bank has stayed true to its mission but needs to modernize.

As a savings and loan association, Columbia offers savings accounts, loans, mortgages and certificates of deposit.

Jones said he understands the limitations of Columbia’s niche market and model — it has no checking or online banking, but has built relationships with customers and partner banks.

“We need money to advance our technology, and it’s going to be a significant investment,” he said.

In addition to pursuing technology updates, Columbia has added new staff and plans to add new board members.

Seeking new deposits

The Republican National Convention Host Committee, Horicon Bank and other banks and institutions have made deposits to Columbia, bringing in new funding to support the bank’s lending efforts to local homebuyers.

The Wisconsin Black Chamber of Commerce committed to depositing $1 million in Columbia Savings & Loan Association in 2023. Ruben Hopkins, the chamber’s chairman and CEO, said the amount is small compared to what other institutions could deposit to support the bank.

“I congratulate them on being around for 100 years, and I’d like for them to be around for 100 more,” Hopkins said. “But again, if they don’t get the resources they need, it’s just something for the history books.”

Still focused on homeownership

Columbia’s mission stays relevant because the ZIP codes around the bank, 53205 and 53206, have some of the highest rates of poverty in the state, and mortgage payments can be more affordable than rent, Jones said.

“​​A part of our mission is not only to put people in homes, but to educate our community on the value of homeownership,” Jones said. “It extends to everything else economically and financially for people’s lives.”

News414 is a service journalism collaboration between Wisconsin Watch and Milwaukee Neighborhood News Service that addresses the specific issues, interests, perspectives and information needs identified by residents of central city Milwaukee neighborhoods. Learn more at our website or sign up for our texting service here.

Wisconsin’s only Black-owned bank moves into new century is a post from Wisconsin Watch, a non-profit investigative news site covering Wisconsin since 2009. Please consider making a contribution to support our journalism.

Evers to Duffy: Stop sitting on transportation money owed to the states

By: Erik Gunn

The Blatnik Bridge under construction in 1958. (Minnesota Department of Transportation)

Gov. Tony Evers is leaning on U.S. Transportation Secretary Sean Duffy to release stalled federal highway money along with $78 million in promised funding to build out a network of electric vehicle charging stations in Wisconsin.

The governor’s office on Thursday released a letter Evers sent Duffy last week, urging the former Wisconsin congressman “to take immediate action to end the unlawful and harmful obstructions to federal approvals and federal funding for crucial transportation projects across the nation and here in your home state of Wisconsin.”

Federal delays will slow down projects across the state, Evers wrote, including a railroad bypass in Muskego, outside Milwaukee, that is planned for improved freight movement; a grant for highway improvement in Menominee County that will help forestry shippers; and numerous rural road and bridge projects in Wisconsin.

A pause in the National Electric Vehicle Infrastructure (NEVI) program — part of the bipartisan infrastructure law enacted during the Biden administration — is “threatening at least 15 already-approved electric vehicle infrastructure projects for private entities, utilizing approximately $7 million in NEVI funding, including multiple projects located in the congressional district you used to represent in the U.S. Congress,” Evers wrote.

Duffy represented Wisconsin’s 7th Congressional District, covering the northwestern part of the state, until he stepped down in late 2019.

“More than $56 million that Wisconsin has been allocated in future rounds of the NEVI program is also at risk due to the uncertainty caused by unnecessary delays at USDOT,” Evers wrote.

“These delays and obstructions hurt Wisconsinites and Wisconsin communities,” he added. “As a fellow Wisconsinite, I urge you to end these obstructions and support states in implementing lawful federal funding and needed approvals.”

Evers’ letter follows one written March 4 from the American Association of State Highway and Transportation Officials also calling for an end to the delays.

Federal dollars awarded to states according to established federal formulas are “legally binding obligations,” wrote the association’s president, Garrett T. Eucalitto.

The funds go to repay states for expenses they’ve already incurred under the terms set by the federal highway program. That letter demands reimbursement requests “be paid immediately for construction and related costs already incurred.”

After President Donald Trump took office Jan. 20, he issued executive orders halting the distribution of funds as well as other federal administrative actions across a wide range of federal programs. The orders have led to a raft of lawsuits challenging them.

Highway programs are among those caught up in the Trump administration’s freezes. In addition to financial payouts owed the states, the administration has also put a hold on issuing approvals, such as environmental reviews required by law, related to pending projects.

“These interruptions—whether directly or indirectly related to funding—have the effect of freezing essential construction and planning activities including those involving roadway and bridge projects,” wrote Eucalitto, who is also the Connecticut transportation commissioner. “Delays like these leave state DOTs at serious risk of losing the upcoming construction season for many projects. This will not only add to overall costs to the American people but also deprive communities from receiving those economic, safety, and quality of life benefits.”

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