AB774, s. 4 24Section 4. 76.28 (3) (e) of the statutes is created to read:
AB774,4,7
176.28 (3) (e) Beginning with calendar year 2006, a light, heat, and power
2company may claim as a credit against the fees imposed under sub. (2) an amount
3equal to the amount of property taxes imposed under ch. 70 on general structures and
4substations that the light, heat, and power company paid in the calendar year. A
5light, heat, and power company that claims the credit under this paragraph shall
6subtract the amount of the credit from the license fee payment that is due on or before
7May 10.
AB774, s. 5 8Section 5. 76.28 (9) of the statutes is repealed.
AB774, s. 6 9Section 6. 76.48 (1r) of the statutes is amended to read:
AB774,4,2210 76.48 (1r) Except as provided in s. 76.29, every electric cooperative shall pay,
11in lieu of other general property and income or franchise taxes, an annual license fee
12equal to its apportionment factor multiplied by its gross revenues; excluding for the
13tax period, as defined in s. 76.29 (1) (f), gross revenues that are subject to the license
14fee under s. 76.29; multiplied by 3.19%. Real Subject to s. 70.112 (4) (a) and (am), real
15estate and personal property not used primarily for the purpose of generating,
16transmitting or distributing electric energy are subject to general property taxes. If
17a general structure is used in part to generate, transmit or distribute electric energy
18and in part for nonoperating purposes, the license fee imposed by this section is in
19place of the percentage of all other general property taxes that fairly measures and
20represents the extent of the use in generating, transmitting or distributing electric
21energy, and the balance is subject to local assessment and taxation, except that the
22entire general structure is subject to special assessments for local improvements.
AB774, s. 7 23Section 7. 76.48 (3d) of the statutes is created to read:
AB774,5,424 76.48 (3d) Beginning with calendar year 2006, an electric cooperative may
25claim as a credit against the fees imposed under sub. (1r) an amount equal to the

1amount of property taxes imposed under ch. 70 on general structures and
2substations that the electric cooperative paid in the calendar year. An electric
3cooperative that claims the credit under this subsection shall subtract the amount
4of the credit from the license fee payment that is due on or before May 10.
AB774, s. 8 5Section 8. 79.005 (4) of the statutes, as created by 2003 Wisconsin Act 31, is
6repealed.
AB774, s. 9 7Section 9. 79.04 (1) (intro.) of the statutes, as affected by 2003 Wisconsin Act
831
, is amended to read:
AB774,5,199 79.04 (1) (intro.) Annually, except for production plants that begin operation
10after December 31, 2003, or begin operation as a repowered production plant after
11December 31, 2003,
the department of administration, upon certification by the
12department of revenue, shall distribute to a municipality having within its
13boundaries a hydroelectric production plant, general structure, or substation or wind
14farm
, used by a light, heat, or power company assessed under s. 76.28 (2) or 76.29 (2),
15except property described in s. 66.0813 unless the hydroelectric production plant or
16substation wind farm is owned or operated by a local governmental unit located
17outside of the municipality, or by an electric cooperative assessed under ss. 76.07 and
1876.48, respectively, or by a municipal electric company under s. 66.0825 the amount
19determined as follows:
AB774, s. 10 20Section 10. 79.04 (1) (a) of the statutes, as affected by 2003 Wisconsin Acts 31
21and 33, is amended to read:
AB774,6,2122 79.04 (1) (a) An amount from the shared revenue account or, for the
23distribution in 2003, from the appropriation under s. 20.835 (1) (t)
determined by
24multiplying by 3 mills in the case of a town, and 6 mills in the case of a city or village,
25the first $125,000,000 of the amount shown in the account attributable to a

1hydroelectric plant or wind farm
, plus leased property, of each public utility except
2qualified wholesale electric companies, as defined in s. 76.28 (1) (gm), on December
331 of the preceding year for "production plant, exclusive of land," "general
4structures," and "substations,"
in the case of light, heat and power companies,
5electric cooperatives or municipal electric companies, for all property within a
6municipality in accordance with the system of accounts established by the public
7service commission or rural electrification administration, less depreciation thereon
8as determined by the department of revenue and less the value of treatment plant
9and pollution abatement equipment, as defined under s. 70.11 (21) (a), as determined
10by the department of revenue plus an amount from the shared revenue account or,
11for the distribution in 2003, from the appropriation under s. 20.835 (1) (t)
determined
12by multiplying by 3 mills in the case of a town, and 6 mills in the case of a city or
13village, of the first $125,000,000 of the total original cost of a hydroelectric
14production plant, general structures, and substations or wind farm, less
15depreciation, land and approved waste treatment facilities of each qualified
16wholesale electric company, as defined in s. 76.28 (1) (gm), as reported to the
17department of revenue of all property within the municipality. The total of amounts,
18as depreciated, from the accounts of all public utilities for the same hydroelectric
19production plant or wind farm is also limited to not more than $125,000,000. The
20amount distributable to a municipality under this subsection and sub. (6) in any year
21shall not exceed $300 times the population of the municipality.
AB774, s. 11 22Section 11. 79.04 (1) (b) 2. of the statutes, as affected by 2003 Wisconsin Act
2331
, is amended to read:
AB774,7,524 79.04 (1) (b) 2. When a light, heat or power company no longer uses property
25described under par. (a) as a hydroelectric production plant, substation, or general

1structure
or wind farm in a municipality, the amount established under subd. 1. shall
2be reduced by the proportion that the property that is no longer used bears to the total
3value of all property described in par. (a) in the municipality. The proportion shall
4be determined according to the proportional value of the property when the light,
5heat or power company stops using the property.
AB774, s. 12 6Section 12. 79.04 (1) (c) 1. of the statutes, as affected by 2003 Wisconsin Act
731
, is amended to read:
AB774,7,138 79.04 (1) (c) 1. The payment for any municipality in which a hydroelectric
9production plant or wind farm is located, which the public service commission
10certifies to the department of revenue will produce a nominal rated capacity of 200
11megawatts or more, shall be no less than $75,000 annually, except that the amount
12distributable to a municipality in any year shall not exceed the per capita limit
13specified in par. (a).
AB774, s. 13 14Section 13. 79.04 (1) (c) 2. of the statutes is amended to read:
AB774,7,2415 79.04 (1) (c) 2. If a hydroelectric production plant or wind farm is located in
16more than one municipality, the total payment under subd. 1. shall be apportioned
17according to the amounts shown on the preceding December 31 for the hydroelectric
18production plant or wind farm in the account described in par. (a) for "production
19plant exclusive of land" within each municipality for all public utilities except
20qualified wholesale electric companies, as defined in s. 76.28 (1) (gm), or according
21to the value as reported to the department of revenue under par. (a) of the
22hydroelectric production plant or wind farm within each municipality for each
23qualified wholesale electric company. The payment to each municipality under this
24subdivision shall be no less than $15,000 annually.
AB774, s. 14
1Section 14. 79.04 (1) (c) 3. of the statutes, as affected by 2003 Wisconsin Act
231
, is amended to read:
AB774,8,113 79.04 (1) (c) 3. If a hydroelectric production plant or wind farm with a nominal
4rated capacity of 200 megawatts or more is decommissioned or becomes nonutility
5property, the $75,000 minimum guaranteed payment under subd. 1. shall continue
6but diminish by $7,500 annually, except that the minimum guaranteed payment
7under this subdivision shall cease in the year following the first year in which the
8property becomes taxable by the taxation district. In this subdivision, "nonutility
9property" has the meaning set forth in the uniform system of accounts established
10by the public service commission. This subdivision does not apply after the
11distributions in 2004.
AB774, s. 15 12Section 15. 79.04 (2) (a) of the statutes, as affected by 2003 Wisconsin Acts 31
13and 33, is amended to read:
AB774,9,2414 79.04 (2) (a) Annually, except for production plants that begin operation after
15December 31, 2003, or begin operation as a repowered production plant after
16December 31, 2003,
the department of administration, upon certification by the
17department of revenue, shall distribute from the shared revenue account or, for the
18distribution in 2003, from the appropriation under s. 20.835 (1) (t)
to any county
19having within its boundaries a hydroelectric production plant, general structure, or
20substation
or wind farm, used by a light, heat or power company assessed under s.
2176.28 (2) or 76.29 (2), except property described in s. 66.0813 unless the hydroelectric
22production plant or substation wind farm is owned or operated by a local
23governmental unit that is located outside of the municipality in which the
24hydroelectric production plant or substation wind farm is located, or by an electric
25cooperative assessed under ss. 76.07 and 76.48, respectively, or by a municipal

1electric company under s. 66.0825 an amount determined by multiplying by 6 mills
2in the case of property in a town, and by 3 mills in the case of property in a city or
3village, the first $125,000,000 of the amount shown in the account attributable to a
4hydroelectric production plant or wind farm
, plus leased property, of each public
5utility except qualified wholesale electric companies, as defined in s. 76.28 (1) (gm),
6on December 31 of the preceding year for "production plant, exclusive of land,"
7"general structures," and "substations," in the case of light, heat and power
8companies, electric cooperatives or municipal electric companies, for all property
9within the municipality in accordance with the system of accounts established by the
10public service commission or rural electrification administration, less depreciation
11thereon as determined by the department of revenue and less the value of treatment
12plant and pollution abatement equipment, as defined under s. 70.11 (21) (a), as
13determined by the department of revenue plus an amount from the shared revenue
14account or, for the distribution in 2003, from the appropriation under s. 20.835 (1)
15(t)
determined by multiplying by 6 mills in the case of property in a town, and 3 mills
16in the case of property in a city or village, of the total original cost of a hydroelectric
17production plant, general structures, and substations or wind farm, less
18depreciation, land and approved waste treatment facilities of each qualified
19wholesale electric company, as defined in s. 76.28 (1) (gm), as reported to the
20department of revenue of all property within the municipality. The total of amounts,
21as depreciated, from the accounts of all public utilities for the same hydroelectric
22production plant or wind farm is also limited to not more than $125,000,000. The
23amount distributable to a county under this subsection and sub. (6) in any year shall
24not exceed $100 times the population of the county.
AB774, s. 16
1Section 16. 79.04 (2) (am) 2. of the statutes, as affected by 2003 Wisconsin Act
231
, is amended to read:
AB774,10,93 79.04 (2) (am) 2. When a light, heat or power company no longer uses property
4described under par. (a) as a hydroelectric production plant, substation, or general
5structure
or wind farm in a county, the amount established under subd. 1. shall be
6reduced by the proportion that the property that is no longer used bears to the total
7value of all property described in par. (a) in the county. The proportion shall be
8determined according to the proportional value of the property when the light, heat
9or power company stops using the property.
AB774, s. 17 10Section 17. 79.04 (2) (b) of the statutes is amended to read:
AB774,10,1611 79.04 (2) (b) The payment under par. (a) for any county in which a hydroelectric
12production plant or wind farm is located, which the public service commission
13certifies to the department of revenue will produce a nominal rated capacity of 200
14megawatts or more, shall be not less than $75,000 annually, except that the amount
15distributable to a county in any year shall not exceed the per capita limit specified
16in par. (a).
AB774, s. 18 17Section 18. 79.04 (3m) of the statutes, as created by 2003 Wisconsin Act 31,
18is repealed.
AB774, s. 19 19Section 19. 79.04 (6) (a) of the statutes, as created by 2003 Wisconsin Act 31,
20is amended to read:
AB774,11,821 79.04 (6) (a) Annually, beginning in 2005, for production plants that begin
22operation after December 31, 2003, or begin operation as a repowered production
23plant after December 31, 2003
are not hydroelectric production plants or wind farms,
24the department of administration, upon certification by the department of revenue,
25shall distribute payments from the public utility account, as determined under par.

1(b), to each municipality and county in which a production plant is located, if the
2production plant has a name-plate capacity of at least one megawatt and is used by
3a light, heat, or power company assessed under s. 76.28 (2) or 76.29 (2), except
4property described in s. 66.0813, unless the production plant is owned or operated
5by a local governmental unit located outside of the municipality; by a qualified
6wholesale electric company, as defined in s. 76.28 (1) (gm); by a wholesale merchant
7plant, as defined in s. 196.491 (1) (w); by an electric cooperative assessed under ss.
876.07 and 76.48, respectively; or by a municipal electric company under s. 66.0825.
AB774, s. 20 9Section 20. 196.491 (3) (gm) of the statutes, as affected by 2003 Wisconsin Act
1089
, is amended to read:
AB774,11,2411 196.491 (3) (gm) The commission may not approve an application filed after
12October 29, 1999, under this subsection for a certificate of public convenience and
13necessity for a high-voltage transmission line that is designed for operation at a
14nominal voltage of 345 kilovolts or more unless the approval includes the condition
15that the applicant shall pay the fees specified in sub. (3g) (a). If the commission has
16approved an application under this subsection for a certificate of public convenience
17and necessity for a high-voltage transmission line that is designed for operation at
18a nominal voltage of 345 kilovolts or more that was filed after April 1, 1999, and
19before October 29, 1999, the commission shall require the applicant to pay the fees
20specified in sub. (3g) (a). For any application subject to this paragraph, the
21commission shall determine the cost net book value of the high-voltage transmission
22line, identify the counties, towns, villages and cities through which the high-voltage
23transmission line is routed and allocate the amount of investment associated with
24the high-voltage transmission line to each such county, town, village and city.
AB774, s. 21 25Section 21. Nonstatutory provisions.
AB774,12,8
1(1) Proposal to impose general local property taxes on utility property. No
2later than December 31, 2004, the department of revenue shall submit a proposal to
3the legislature under section 13.172 (2) of the statutes regarding imposing local
4general property taxes under chapter 70 of the statutes on the property of electric
5cooperatives and light, heat, and power companies beginning with the property tax
6assessments as of January 1, 2007. The proposal shall include distribution and
7transmission property and property included in the production plant account that
8does not directly generate electricity.
AB774, s. 22 9Section 22. Initial applicability.
AB774,12,1110 (1) The treatment of sections 76.28 (9) and 76.48 (1r) of the statutes first applies
11to the property tax assessments as of January 1, 2005.
AB774,12,1412 (2) The treatment of sections 79.005 (4) and 79.04 (1) (intro.), (a), (b) 2., and (c)
131., 2., and 3., (2) (a), (am) 2., and (b), and (6) (a) of the statutes first applies to
14distributions made on the 4th Monday of July, 2005.
AB774,12,1515 (End)
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