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‘Scott Holes’ Union Funded Group Financing Anti Kleefisch Ads Tied to Longtime Michels Friend/Volunteer

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Attack ads against Rebecca Kleefisch are funded by a group, Midwest Growth Inc., that recently received money from a WEAC-funded organization run by the union president behind the infamous Scott Holes campaign. That campaign may have cost Scott Walker the last election.

Midwest Growth Inc. has deep ties to an operative who is both connected to the Michels campaign and to union lobbyist John Gard. The funds were funneled to Sunrise for America, which ran the ads.

Are unions and union lobbyists trying to take out Scott Walker’s second-in-command? Is it the same union that helped take out Walker? What role does the Michels campaign play in all of this?

We connect the dots, and here’s how they lead back to Michels’ camp.

The funding source behind the “Sunrise for America Political Fund” group that sent out a recent barrage of negative direct mail pieces, television ads, and texts attacking Rebecca Kleefisch, her family, and former Republican Attorney General Brad Schimel, has been unmasked.

Campaign finance records show it’s Midwest Growth Inc., a group that has deep ties to Brandon Rosner, who is the former campaign manager to John Gard, the registered lobbyist for the International Union of Operating Engineers Local #139. That union was openly behind the infamous Scott Holes campaign. Scott Holes was a campaign against Walker by groups that were upset he would not fill the state transportation budget by raising the gas tax.

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Rosner was wearing Michels campaign garb at the Trump rally in Waukesha on Friday, August 5. He’s wearing the sunglasses and facing the camera:

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The reports filed August 1, 2022, by Sunrise in America Political Fund confirm that the group Midwest Growth Inc. gave it $350,000 in July, its sole funding source. It’s not possible to trace exactly where that $350,000 came from, at least not yet, because recent tax forms aren’t available. See the report here.

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Rosner used a Michels campaign email address ([email protected]) to send Wisconsin Right Now official Michels campaign headshots on April 22, 2022. Rosner is a self-described Michels family friend and unpaid volunteer for Michels’ campaign. Rosner pushed a column written by Gard to Wisconsin Right Now as recently as 2020, showing they maintain close ties.

Gard, the former Republican Assembly Speaker, was blistered on the Mark Belling show years ago over his support for increasing the gas tax and has spoken publicly against Scott Walker’s prevailing wage reforms. Michels told Belling that he had not talked to union lobbyist John Gard for years when he got into the governor’s race.

Furthermore, we’ve unearthed IRS tax forms for Wisconsin Infrastructure Investment Now, Inc., a non-profit whose principal officer is Terry McGowan. McGowan is the Operating Engineers union president who is tied to Scott Holes. Wisconsin Infrastructure Investment Now, Inc. gave $150,000 to Midwest Growth Inc., in 2019, the latest year for which tax records are available.

See that report here.

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McGowan publicly criticized Walker when the Scott Holes campaign to oust him was publicized during the 2018 election. WEAC, the teachers’ union that supports Democratic Gov. Tony Evers, gave Wisconsin Infrastructure Investment Now, Inc., $55,000 for operating expenses as recently as 2017, according to IRS tax forms.

John Gard is also the registered lobbyist for Wisconsin Infrastructure Investment Now, Inc. In 2021, its executive director was Robb Kahl.

As of April 2022, a Michels Corp. employee sat on the managerial board of another group called Construction Business Group. The Michels company is no longer listed on its website. At that time, Kahl, the former Democratic state assemblyman from Monona, was running CBG. He has repeatedly praised Gov. Evers’ efforts to raise the gas tax and criticized the Walker administration for holding the line on it. Kahl once said that a 10-cent increase in the gas tax wouldn’t “be enough.” CBG lists the union Operating Engineers 139 Local as a “partner organization.”

In 2019, the latest tax records available, McGowan’s Infrastructure group also funded a liberal organization, A Better Wisconsin Together, Inc., that has recently attacked all of the Republican candidates for governor.

We saw Brandon Rosner at the Michels’ campaign announcement event, which we covered. We asked him, for this story, to clarify his role in the Michels campaign. “My wife and I are longtime family friends with Tim and Barbara and unpaid volunteers,” he said in an August 2, 2022, text.

We asked Rosner questions about his role in the Sunrise group, including whether he is currently running it, and whether Gard has anything to do with it, and he said, “I am not involved nor have ever been involved with Sunrise in any way or form. I am not an officer as you indicated. I have no affiliation with the group.”

To be clear, Wisconsin Right Now has never identified Rosner as an officer of Sunrise. We are reporting that he was listed as the principal officer of Midwest Growth Inc. from 2016 through 2018 in tax records, and that group is listed in campaign finance records as the sole funder of Sunrise for the purpose of attacking Kleefisch in 2022.

As a follow-up question, we asked Rosner whether he is still running Midwest Growth Inc., and where the money it gave to Sunrise came from, and he declined to answer.

We asked the Michels’ campaign what Rosner’s role is with the campaign and for comment on Sunrise, including whether Michels repudiates its attacks. His campaign advisor, Chris Walker, responded, “For over a month, Tim has been the target of millions of dollars of 100% negative, false attack ads. These have come both from the Kleefisch campaign and outside groups affiliated with her. All we can control is our own campaign ads.” (One of those outside groups, Freedom Wisconsin, is run by Scott Walker’s former campaign manager Stephan Thompson.)

Walker then sent us another response that says of Rosner, “He is an unpaid volunteer, like the hundreds of volunteers who are a part of Team Michels all across the state.”

Tax forms from 2018, 2017, and 2016 filed with the IRS list Brandon Rosner as the principal officer of Midwest Growth Inc. for those years. See the latest tax form here. Bruce Barrette and Luke Thompson are the other names associated with the group in those tax records. The group’s address appears to be a PO Box in Appleton, Wisconsin. More recent tax forms are not immediately available.

The Midwest Growth Inc. group that is funding the anti-Kleefisch ads has had tax-exempt status since 2016 with the IRS. When you put its EIN number in the IRS website, it mentions Brandon Rosner, although it says the page was last updated in November 2020:

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Michels has insisted that he is not playing a role in negative campaigning, while criticizing negative ads the Kleefisch campaign has run against him. Kleefisch has tried to raise the fact that Michels and his company were involved for years, including in leadership positions, with groups that aggressively pushed to raise the gas tax in Wisconsin, as well as pushing against Scott Walker’s right-to-work and prevailing wage reforms. Michels has denied advocating for raising the gas tax and says he supports Walker’s reforms.

The Sunrise in America group has sent out some of the most scurrilous anti-Kleefisch advertising. “Sunrise in America is a state Super PAC that is working in opposition to Rebecca Kleefisch’s candidacy for Governor in Wisconsin,” its website says.

The group attacked her husband Joel Kleefisch and former Republican AG and DA Schimel, using as its source “One Wisconsin Now,” which is an extremely leftwing group that has made a cottage industry out of attacking Republicans. It declared that “Kleefisch is unfit to be our next governor. She is nothing but a Madison insider.”

Kleefisch’s campaign has run negative direct mail against Michels, including a piece showing Evers and Michels in a pea pod. They have also accused him of personally advocating for raising the gas tax, which he denies.

One Sunrise digital ad attacking Kleefisch has had almost 200,000 views.

Mark Belling wrote a column in late July referring to Sunrise as a “PAC backing Tim Michels.” Belling added, “Political action committees can take as much money as they want from donors, but by law, can not coordinate their activities with political campaigns.”

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The group has also sent out texts accusing Kleefisch of working for lobbyists.

Kleefisch recorded videos about trade jobs for ABC Wisconsin, which employes lobbyists. That group endorsed Walker and lobbied for several of his reforms. Her husband lobbied for pro-life causes, disabled and sportsman groups, state records show.

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Voters who receive the mailers or see the advertisements would think the Sunrise group is from Jacksonville, Florida. The only name listed in the report is a man named Adam Brandon, a failed U.S. House candidate in Florida.

However, buried in the report, you learn that the Rosner-affiliated group Midwest Growth Inc. of Appleton, Wisconsin, funneled $250,000 to Sunrise on July 13 and another $100,000 on July 22.

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Midwest Growth Inc. has also funded a PAC called Midwest Growth PAC, according to Open Secrets. Barrette, who is linked in the available tax forms to Midwest Growth Inc., is tied to a separate group called Midwest Growth Fund in campaign finance records. Midwest Growth Inc. has funneled money to Midwest Growth Fund as recently as 2020.

In 2018, Rosner placed ad buys targeting Republican legislator Andre Jacque and calling him a “career politician” for Midwest Growth Fund, according to the now-defunct conservative site Media Trackers. A 2016 article in the Milwaukee Journal Sentinel said that Barrette was a “retired dentist who is a longtime friend and contributor since 1993 to Gard’s past campaigns for the Assembly and Congress.”

Gard told the Journal Sentinel then that he and Barrette were “very good friends,” but he wasn’t involved in the Midwest Growth PAC. That Journal Sentinel article says that Gard was involved in a Republican Congressional primary, working against state Sen. Frank Lasee (R-De Pere), “whose legislative stances on unions conflict with those of Gard’s union client.”

Michels has denied involvement in Scott Holes and says he does not and has never supported efforts to raise the gas tax.

We asked Gard about his ties to Rosner and whether he has anything to do with Sunrise or its funding and did not hear back. Gard has a long history of working against Walker-era reforms. Kleefisch was Walker’s lieutenant governor.

Gard spoke out against Walker’s right to work reforms to prevent workers from being forced to pay union dues. “We just believe it’s an unnecessary intrusion,” he said.

The news outlet said in that video interview that Gard was affiliated with the Wisconsin Contractors Coalition. Wisconsin Public Radio reported that Michels Corporation “was a member of the Wisconsin Contractors Coalition, a group that organized in 2014 to fight the (right to work) proposal,” although candidate Michels, who co-owns Michels Corp., says he supports right to work. Gard was also involved in ads opposing right to work that were targeted at Republican legislators.

Rosner once ran unsuccessfully for a Waukesha County Assembly seat as a Republican. Tim and Barbara Michels held a fundraiser for Rosner during the Assembly race headlined by former Gov. Tommy Thompson, who is now supporting Michels in the governor’s race (and who, incidentally, “signed two gas tax increases into law.”) Michels also sent out an invitation along with Rosner and others inviting people to a fundraiser at Michels’ private home for U.S. Sen. Ron Johnson on April 21, 2022.

As recently as October 2020, Rosner asked Wisconsin Right Now if we would be willing to run an exclusive op-ed by Gard. We ran the piece for free, as we did all other submitted columns. That email exchange to us included a forward of an email between Gard and Rosner, showing they maintained recent ties.

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According to a 2014 Milwaukee Journal Sentinel article, Rosner “served as campaign manager for then-Assembly Speaker John Gard’s unsuccessful congressional bid in 2006.” A week after he lost that race, Gard “put Rosner on the state payroll as his administrative assistant,” the article stated.

According to that Milwaukee Journal Sentinel article, in 2008, Rosner hosted a fundraiser for Democratic Assembly Minority Leader Peter Barca and later gave him money. The Journal Sentinel reported that Barca later helped lead opposition to Scott Walker’s Act 10 reforms. Rosner, then defined as a 34-year-old health care consultant, told the Journal Sentinel he was personal friends with Barca.

VoteSmart says Rosner also worked as a “Healthcare Policy Business Consultant” for the Wisconsin Department of Health Services during Walker’s administration and belongs to the Republican Party. His LinkedIn page says he works for Humana.

 

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State and local law enforcement are being put in harm's way with Illinois’ migrant sanctuary policies, the Illinois Sheriffs Association says.

Association Executive Director Jim Kaitschuk said the National Sheriffs Association put out a note to their state partners that there are 700,000 Immigration and Customs Enforcement administrative arrest warrants that are active. But, that doesn’t matter in Illinois.

“Illinois law enforcement is precluded and prohibited from participating in any activity that is solely related to civil enforcement,” Kaitschuk told The Center Square.

Illinois law, through the TRUST Act and The Way Forward Act, prohibits state and local law enforcement from cooperating with federal immigration officials if a civil detention order is the only thing ICE has against someone.

While Kaitschuk said they can cooperate when there are criminal orders, law enforcement not being able to cooperate with civil warrants can still cause security concerns.

“Unfortunately things do go wrong, right, and then we’re in a situation where you may not know anything about what’s occurring,” Kaitschuk said. “So, we’re kind of blind in those cases.”

Daily immigration arrests nationwide haven’t been comprehensively published, but some estimates are more than 21,000 immigration detentions across the country since Jan. 20, when President Donald Trump took office.

Last week, state Sen. Omar Aquino, D-Chicago, told a group of immigration advocates that Illinois will stand strong.

“You are not going to come into our house and just try to take people and separate families in this state,” Aquino said. “People have rights. They are human rights.”

Illinois law also limits ICE from using local county detention facilities. Kaitschuk said the state’s sanctuary policies prohibit police from even knowing whether they have a suspected illegal immigrant in their jail.

“And [ICE] they’re having to go to people’s houses and at the point in time, the problem then is that you may be subjecting people then that weren’t involved in any other criminal activity other than being here … not legally and open them up to being subjected to ICE at that point in time in that residence, as opposed to if they were at the jail, where they wouldn’t have been,” Kaitschuk said.

Illinois and Chicago officials are on the other side of the U.S. Department of Justice in litigation over migrant sanctuary policies. Chicago Mayor Brandon Johnson is due in front of the U.S. House Oversight Committee Wednesday to discuss the city’s migrant sanctuary policies.

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Trump Gains More Ground in War Against DEI

A major shift is underway in the way large companies talk about and fund Diversity, Equity and Inclusion programs.

President Donald Trump began the transition when he signed an executive order last month eliminating DEI policies and staff at the federal government and extending the anti-DEI policy to federal contractors.

Private companies, some of which had already begun the transition before Trump took office, remarkably began backing off their DEI policies, even if only symbolically with little internal change.

Costco resisted, pushing back on the Trump administration, but other major brands like Amazon Wal-Mart, Target, and Meta announced a pullback from DEI. Media reports indicated DEI discussions on earnings calls has plummeted.

Others, such as Wisconsin-based financial services company Fiserv, have not yet made a change, at least not publicly.

A murky legal future awaits companies willing to take the risk to stick with DEI policies, particularly in hiring.

Fiserv receives hundreds of millions of dollars in government contracts.

According to Fiserv’s website’s Diversity & Inclusion page, the company is “committed to promoting diversity and inclusion (D&I) across all levels of the organization, in our communities and throughout our industry."

Fiserv says that it “partner[s] with people and organizations around the world to advance our D&I efforts and create opportunities for our employees, entrepreneurs around the world and the next generation of innovators.”

The company's diversity and inclusion page includes a careers section that discusses “engaging diverse talent” and events to connect with “diverse candidates.”

Critics of DEI initiatives and policies say they discriminate against white men and Asians and lead to hiring and promotion decisions based on factors such as race and sexual orientation rather than merit.

In its 2023 Corporate Social Responsibility Report, the company boasted that "60% of director nominees for the 2024 annual meeting reflect gender or racial/ethnic diversity."

According to an April 2024 report from Payments Dive, Fiserv was “buoyed by sales to government entities” in Q1 of 2024 and reported $500 million in revenue from those contracts. The U.S. Coast Guard contracted with Fiserv in 2024 to help with payroll, according to HigherGov, among other government contracts.

Fiserv did not respond to multiple requests for comment.

A watershed moment against DEI came when during the Biden administration, the U.S. Supreme Court ruled against longstanding affirmative action policies at American universities, one key example of white and Asian Americans being discriminated against.

Trump’s election has only solidified the new legal framework for what is permissible when considering race and gender in hiring, promotion, and workplace etiquette.

From Trump’s order:

In the private sector, many corporations and universities use DEI as an excuse for biased and unlawful employment practices and illegal admissions preferences, ignoring the fact that DEI’s foundational rhetoric and ideas foster intergroup hostility and authoritarianism.

Billions of dollars are spent annually on DEI, but rather than reducing bias and promoting inclusion, DEI creates and then amplifies prejudicial hostility and exacerbates interpersonal conflict.

DEI has become increasingly controversial as activists use the moniker to advance every liberal policy on race and gender, often at taxpayer expense. In the federal government, DEI had become widespread and infiltrated into every part of governance, from racial quotas for promotions at the Pentagon to driving healthcare research at the National Institutes of Health.

At private companies, DEI policies guided investment decisions via ESG (Environmental, Social Governance) as well as personnel decisions with racial quotas for company board rooms. Those ideas are out of favor with the Trump administration.

Some of the companies resisting the shift from DEI could face legal action.

A coalition of state attorneys general sent a letter to Costco alleging it is violating the law, as The Center Square previously reported.

“Although Costco’s motto is 'do the right thing,' it appears that the company is doing the wrong thing – clinging to DEI policies that courts and businesses have rejected as illegal,” the letter said.

This week, Missouri Attorney General Andrew Bailey filed a lawsuit against Starbucks for similar policies.

"By making employment decisions based on characteristics that have nothing to do with one’s ability to work well, Starbucks, for example, hires people by thumbing the scale based on at least one of Starbucks’ preferred immutable characteristics rather than an evaluation of an applicant’s merit and qualifications,” the lawsuit said. “Making hiring decision on non-merit considerations will skew the hiring pool towards people who are less qualified to perform their work, increasing costs for Missouri’s consumers."

A 2022 Starbucks document touts a DEI goal: “By 2025, our goal is to achieve BIPOC representation of at least 30% at all corporate levels and at least 40% at all retail and manufacturing roles.”

Bailey called the Starbucks policies discriminatory and illegal.

"With Starbucks’ discriminatory patterns, practices, and policies, Missouri’s consumers are required to pay higher prices and wait longer for goods and services that could be provided for less had Starbucks employed the most qualified workers, regardless of their race, color, sex, or national origin,” Bailey said. “As Attorney General, I have a moral and legal obligation to protect Missourians from a company that actively engages in systemic race and sex discrimination. Racism has no place in Missouri. We’re filing suit to halt this blatant violation of the Missouri Human Rights Act in its tracks."

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