LRB-4311/1
MPG:emw&kjf
2017 - 2018 LEGISLATURE
November 28, 2017 - Introduced by Representatives Born, Katsma, Swearingen,
E. Brooks, Horlacher, Macco, Spiros, Steffen and Thiesfeldt, cosponsored
by Senators Moulton, Petrowski, Cowles, Harsdorf, Marklein and Olsen.
Referred to Committee on State Affairs.
AB675,1,6 1An Act to amend 13.48 (3), 13.48 (6), 13.48 (7), 13.48 (10) (a), 13.48 (10) (b) 5.,
213.48 (29), 13.488 (7) (a), 16.855 (14) (am), 16.855 (22), 16.87 (3), 20.924 (1) (a)
3and 20.924 (1) (b); and to create 16.855 (1g) (ec), 16.855 (1g) (em), 16.855 (14s)
4and 16.867 of the statutes; relating to: projects included in the Authorized
5State Building Program, project approvals by the Building Commission, and
6selection of project architects and engineers.
Analysis by the Legislative Reference Bureau
Under this bill, the Building Commission may authorize money from the state
building trust fund to be available for any project costing $1,000,000 or less, and the
Building Commission may authorize the design and construction of any building, the
acquisition of land, or the repair or improvement of any building, structure, or
facility that costs more than $1,000,000 only if the project is enumerated in the state
building program. Under current law, each of those thresholds is set at $760,000.
Subject to limited exceptions, the bill also prohibits the state from entering into
a contract for the construction of or addition to any building in connection with a
building project involving a cost that exceeds $300,000 without the approval of the
Building Commission. Current law sets that threshold at $185,000. The bill
includes a corresponding adjustment to certain thresholds for projects of the State
Fair Park Board.
The bill also raises from $185,000 to $300,000 the threshold for projects that are
subject to single prime contracting, and the bill creates an exception to single prime

contracting, including certain bidding requirements, for certain construction
projects. Specifically, under the bill, the Department of Administration may let any
construction project that exceeds $300,000 to a contractor whose primary business
is the performance of a trade (single trade contractor) for all work on the project if
at least 85 percent of the estimated construction cost of the project is for work that
involves the trade that is the primary business of the single trade contractor. For
purposes of the bill, “trade” means mechanical, electrical, plumbing, or fire
protection work. The current law requirements with respect to the solicitation of bids
or proposals for construction projects and the award of contracts to the lowest
responsible bidder apply to single trade contracts under the bill. The single prime
contracting process for certifying, selecting, and contracting with subcontractors
does not apply to single trade contractors under the bill.
Finally, under the bill, the secretary of administration is required to establish
a committee for each construction project under the department's supervision,
except certain emergency projects, for the purpose of selecting an architect or
engineer for the project. If the estimated cost of a construction project is $7,400,000
or more, the selection committee must use a request-for-proposal process
established by the department to select an architect or engineer for the project based
on qualifications.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB675,1 1Section 1. 13.48 (3) of the statutes is amended to read:
AB675,3,102 13.48 (3) State building trust fund. In the interest of the continuity of the
3program, the moneys appropriated to the state building trust fund under s. 20.867
4(2) (f) shall be retained as a nonlapsing building depreciation reserve. Such moneys
5shall be deposited into the state building trust fund. At such times as the building
6commission directs, or in emergency situations under s. 16.855 (16) (b), the governor
7shall authorize releases from this fund to become available for projects and shall
8direct the department of administration to allocate from this fund such amounts as
9are approved for these projects. In issuing such directions, the building commission
10shall consider the cash balance in the state building trust fund, the necessity and
11urgency of the proposed improvement, employment conditions and availability of

1materials in the locality in which the improvement is to be made. The building
2commission may authorize any project costing $760,000 $1,000,000 or less in
3accordance with priorities to be established by the building commission and may
4adjust the priorities by deleting, substituting or adding new projects as needed to
5reflect changing program needs and unforeseen circumstances. The building
6commission may enter into contracts for the construction of buildings for any state
7agency, except a project authorized under sub. (10) (c), and shall be responsible for
8accounting for all funds released to projects. The building commission may designate
9the department of administration or the agency for which the project is constructed
10to act as its representative in such accounting.
AB675,2 11Section 2. 13.48 (6) of the statutes is amended to read:
AB675,3,2312 13.48 (6) Review of projects. All reports submitted as provided by sub. (4)
13shall be reviewed by the building commission, which shall make its report as soon
14after November 20 as is possible. Such report shall include specific
15recommendations and establish priorities for the next 3 biennia from among all
16projects submitted which the building commission deems essential and shall
17recommend additional appropriations if necessary for the execution thereof. The
18building commission shall include in the report any projects proposed by the state
19fair park board involving a cost of not more than $250,000 $300,000, together with
20the method of financing proposed for those projects by the board, without
21recommendation. The building commission shall include in its report an appraisal
22and recommendation of available and alternative methods of financing buildings for
23the use of state agencies and shall file copies of its report with the governor-elect.
AB675,3 24Section 3. 13.48 (7) of the statutes is amended to read:
AB675,4,12
113.48 (7) Biennial recommendations. The building commission shall prepare
2and formally adopt recommendations for the long-range state building program on
3a biennial basis. The building commission shall include in its report any projects
4proposed by the state fair park board involving a cost of not more than $250,000
5$300,000, together with the method of financing those projects proposed by the
6board, without recommendation. Unless a later date is requested by the building
7commission and approved by the joint committee on finance, the building
8commission shall, no later than the first Tuesday in April of each odd-numbered
9year, transmit the report prepared by the department of administration under s.
1016.40 (20) and the commission's recommendations for the succeeding fiscal biennium
11that require legislative approval to the joint committee on finance in the form of
12proposed legislation prepared in proper form.
AB675,4 13Section 4. 13.48 (10) (a) of the statutes is amended to read:
AB675,4,2314 13.48 (10) (a) Except as provided in par. (c), no state board, agency, officer,
15department, commission, or body corporate may enter into a contract for the
16construction, reconstruction, remodeling of, or addition to any building, structure,
17or facility, in connection with any building project which involves a cost in excess of
18$185,000 $300,000 without completion of final plans and arrangement for
19supervision of construction and prior approval by the building commission. This
20section applies to the department of transportation only in respect to buildings,
21structures, and facilities to be used for administrative or operating functions,
22including buildings, land, and equipment to be used for the motor vehicle emission
23inspection and maintenance program under s. 110.20.
AB675,5 24Section 5. 13.48 (10) (b) 5. of the statutes is amended to read:
AB675,5,2
113.48 (10) (b) 5. Contracts for construction of any building, structure or facility
2for the state fair park board involving a cost of not more than $250,000 $300,000.
AB675,6 3Section 6. 13.48 (29) of the statutes is amended to read:
AB675,5,94 13.48 (29) Small Simplified policies and procedures for construction
5projects.
Except as otherwise required under s. 16.855 (10m), the building
6commission may prescribe simplified policies and procedures to be used in lieu of the
7procedures provided in s. 16.855 for any construction project that does not require
8prior approval of the building commission under sub. (10) (a)
involving a cost of not
9more than $300,000
, except projects specified in sub. (10) (c).
AB675,7 10Section 7. 13.488 (7) (a) of the statutes is amended to read:
AB675,5,1411 13.488 (7) (a) The building commission, with advice from the state fair park
12board, shall examine and review detailed design requirements for all state-owned
13facilities involving a cost of more than $250,000 $300,000 to be included in the
14development of state fair park.
AB675,8 15Section 8. 16.855 (1g) (ec) of the statutes is created to read:
AB675,5,1716 16.855 (1g) (ec) “Single trade contractor” means a contractor whose primary
17business is the performance of a trade.
AB675,9 18Section 9. 16.855 (1g) (em) of the statutes is created to read:
AB675,5,2019 16.855 (1g) (em) “Trade” means mechanical, electrical, plumbing, or fire
20protection work.
AB675,10 21Section 10. 16.855 (14) (am) of the statutes is amended to read:
AB675,5,2522 16.855 (14) (am) Except as provided in sub. (14s) and s. 13.48 (19), the
23department shall let all construction projects that exceed $185,000 $300,000 through
24single prime contracting. The department may not request or accept any alternate
25bids when letting a construction project through single prime contracting.
AB675,11
1Section 11. 16.855 (14s) of the statutes is created to read:
AB675,6,52 16.855 (14s) (a) The department may let any construction project that exceeds
3$300,000 to a single trade contractor for all work on the project if at least 85 percent
4of the estimated construction cost of the project is for work that involves the trade
5that is the primary business of the single trade contractor.
AB675,6,106 (b) The department and the Board of Regents shall each develop and
7implement an open and public bidding process for purposes of contracting with single
8trade contractors who have submitted the lowest bid on a project and who are
9qualified responsible bidders. For purposes of this paragraph, the department and
10the board shall follow the requirements and procedures under sub. (2).
AB675,6,1511 (c) Within 48 hours after the deadline for a single trade contractor to submit
12a bid, the department or the Board of Regents shall post on its Internet site the
13tabulations of all bids that identify the names of the single trade contractors that bid
14and the amount of each bid and shall make the tabulations and amounts available
15at the department or board if they are unavailable on the Internet site.
AB675,6,1916 (d) Except as provided in sub. (10m) (am), the department or the Board of
17Regents shall award all contracts under this subsection to the lowest bidder who is
18a qualified responsible bidder that results in the lowest total construction cost for the
19project.
AB675,6,2220 (e) Within 30 days after the deadline for a single trade contractor to submit a
21bid, the department or the Board of Regents shall notify the single trade contractor
22bidder that was awarded the contract.
AB675,6,2423 (f) A contract awarded under this subsection is not subject to subs. (13) and
24(14m).
AB675,12 25Section 12. 16.855 (22) of the statutes is amended to read:
AB675,7,10
116.855 (22) The provisions of this section, except sub. (10m), do not apply to
2construction work for any project that does not require the prior approval of the
3building commission under s. 13.48 (10) (a)
involving a cost of not more than
4$300,000
if the project is constructed in accordance with policies and procedures
5prescribed by the building commission under s. 13.48 (29). If the estimated
6construction cost of any project, other than a project exempted under sub. (12m) or
7(24), is at least $50,000, and the building commission elects to utilize the procedures
8prescribed under s. 13.48 (29) to construct the project, the department shall provide
9adequate public notice of the project and the procedures to be utilized to construct
10the project on a publicly accessible computer site.
AB675,13 11Section 13. 16.867 of the statutes is created to read:
AB675,7,15 1216.867 Selection of architects and engineers. (1) The secretary shall
13establish a committee under s. 15.04 (1) (c) for each construction project under the
14department's supervision, except an emergency project approved under s. 16.855
15(16) (b) 2., for the purpose of selecting an architect or engineer for the project.
AB675,7,19 16(2) If the estimated cost of a construction project under the department's
17supervision is $7,400,000 or more, the selection committee appointed under sub. (1)
18shall use a request-for-proposal process established by the department to select an
19architect or engineer for the project based on qualifications.
AB675,14 20Section 14. 16.87 (3) of the statutes is amended to read:
AB675,8,1121 16.87 (3) Except as provided in sub. (4), a contract under sub. (2) is not valid
22or effectual for any purpose until it is endorsed in writing and approved by the
23secretary or the secretary's designated assistant designee and, if the contract
24involves an expenditure over $60,000 $300,000, approved by the governor. The
25governor may delegate the authority to approve any contract requiring his or her

1approval under this subsection that involves an expenditure of less than $150,000

2to the secretary or the secretary's designee. Except as provided in sub. (4), no
3payment or compensation for work done under any contract involving $2,500 or
4more, except a highway contract, may be made unless the written claim is audited
5and approved by the secretary or the secretary's designee. Any change order to a
6contract requiring approval under this subsection requires the prior approval by the
7secretary or the secretary's designated assistant designee and, if the change order
8involves an expenditure over $60,000 $300,000, the approval of the governor or, if the
9governor delegates his or her authority to approve contracts under this subsection
10and the change order involves an expenditure of less than $150,000, the approval of
11the secretary or the secretary's designee
.
AB675,15 12Section 15. 20.924 (1) (a) of the statutes is amended to read:
AB675,8,1513 20.924 (1) (a) Shall authorize the design and construction of any building,
14structure or facility costing in excess of $760,000 $1,000,000 regardless of funding
15source, only if that project is enumerated in the authorized state building program.
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