The Milwaukee County pension scandal, which unfolded over two decades ago, continues to cast a long shadow over the region's political landscape. This article delves into the key players and the lasting impact of this scandal, offering a critical analysis of the events and their consequences.
A Political Earthquake
The scandal erupted in 2001, exposing a pension plan that would have significant repercussions for Milwaukee County. County Executive Tom Ament, elected in 1992, found himself at the center of this storm, unprepared for the political fallout that would ultimately end his career.
Ament's call for the resignation of key officials, including Gary Dobbert, the human resources director, was a desperate attempt to salvage his reputation. However, the damage was already done, and Ament resigned in 2002, paving the way for Scott Walker's political ascent.
The Recall Campaign
The public outrage over the pension scandal led to a recall campaign targeting seven county supervisors who had voted for the controversial 2000-2001 pension package. Among them were prominent figures like County Board Chair Karen Ordinans and Willie Johnson Jr., who managed to survive the political upheaval.
The recall efforts were a significant milestone in Wisconsin's political history, as they were led by Citizens for Responsible Government, a group that played a pivotal role in the rise of Scott Walker and the Tea Party movement in the state.
The Backdrop Scheme
At the heart of the scandal was Gary Dobbert's 'backdrop' scheme, a pension plan designed to avoid large salary increases for county employees. Dobbert, inspired by a pension conference in San Francisco, hoped to sweeten pension benefits without increasing salaries. However, this plan backfired spectacularly.
Dobbert's scheme cost him his career and led to his conviction on felony misconduct charges in 2004. He was the only official charged, despite the involvement of other key players like Robert Ott and Henry Zielinski. Dobbert's obituary, written by Ament, paints a picture of a 'fine public servant' whose legacy is marred by this scandal.
The Mercer Settlement
Milwaukee County's lawsuit against Mercer, Inc., the largest actuarial firm in the U.S. at the time, was a significant development in the aftermath of the scandal. The county alleged that Mercer had misled officials when advising on the pension package.
The 2009 settlement, worth $45 million, was a victory for the county but a small fraction of the estimated cost of the pension package. The county netted approximately $30 million after legal fees, a sum that Walker described as a 'victory for the taxpayers.'
Scott Walker's Rise
Scott Walker, a relatively unknown Republican in the state Assembly, seized the opportunity presented by the pension scandal. Fueled by conservative talk radio and the Citizens for Responsible Government, Walker's campaign gained momentum, leading to Ament's resignation and Walker's subsequent victory in the 2002 election.
As county executive, Walker's clashes with public employee unions and his austerity measures set the stage for his political future. His reelection in deep blue Milwaukee County, a rare feat for a Republican, propelled him to the governor's office in 2010.
Walker's time as county executive shaped his political agenda, leading to his landmark Act 10, which limited public employee unions' power. His survival of a recall election in 2012 solidified his status as a conservative icon, and his presidential run in 2016 further cemented his place in American politics.
Conclusion
The Milwaukee County pension scandal was a political earthquake that reshaped the region's political landscape. It exposed the vulnerabilities of a system and the consequences of ill-advised decisions. The scandal's legacy is a reminder of the importance of transparency and accountability in public office, and its impact continues to be felt in the political careers and policies that emerged from its aftermath.
