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1997 - 1998 LEGISLATURE
ASSEMBLY SUBSTITUTE AMENDMENT 1,
TO 1997 ASSEMBLY BILL 432
February 12, 1998 - Offered by Representative Huber.
AB432-ASA1,1,7 1An Act to renumber and amend 48.68 (4) and 50.03 (4) (g); to amend 48.68
2(1), 48.68 (3), 50.03 (4) (a) 1. b. and 50.03 (4) (a) 3.; to repeal and recreate 48.68
3(1); and to create 48.68 (1r), 48.68 (3m), 48.68 (4) (b), 48.68 (5), 50.03 (1g), 50.03
4(3) (cm), 50.03 (4) (a) 4., 50.03 (4) (g) 2. and 50.03 (4) (h) of the statutes; relating
5to:
licensing and community oversight of child welfare agencies, group homes
6and community-based residential facilities and granting rule-making
7authority.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB432-ASA1, s. 1 8Section 1. 48.68 (1) of the statutes is amended to read:
AB432-ASA1,2,189 48.68 (1) After receipt of an application for a license, the department shall
10investigate to determine if the applicant meets the minimum requirements for a
11license adopted by the department under s. 48.67. If the department receives an
12application for a license to operate a child welfare agency or a group home that is

1intended to serve primarily persons who are under court-ordered supervision or
2aftercare supervision as a result of a criminal violation or who require treatment for
3alcohol or other drug abuse, the department shall also investigate to determine if the
4applicant meets all applicable zoning ordinances and the requirements of s. 59.69
5(15) (b), 60.63 (1) and (2) or 62.23 (7) (i) 1. and 2., whichever is applicable.
In
6determining whether to issue or continue a license, the department may consider any
7action by the applicant, or by an employe of the applicant, that constitutes a
8substantial failure by the applicant or employe to protect and promote the health,
9safety and welfare of a child. Upon satisfactory completion of this investigation and
10payment of the fee required under s. 48.615 (1) (a) or (b), 48.625 (2) (a), 48.65 (3) (a)
11or 938.22 (7) (b), the department shall issue a license under s. 48.66 (1) or, if
12applicable, a probationary license under s. 48.69 or, if applicable, shall continue a
13license under s. 48.66 (5). At the time of initial licensure and license renewal, the
14department shall provide a foster home licensee with written information relating
15to the age-related monthly foster care rates and supplemental payments specified
16in s. 48.62 (4), including payment amounts, eligibility requirements for
17supplemental payments and the procedures for applying for supplemental
18payments.
AB432-ASA1, s. 2 19Section 2. 48.68 (1) of the statutes, as affected by 1997 Wisconsin Acts 27 and
20.... (this act), is repealed and recreated to read:
AB432-ASA1,3,1721 48.68 (1) After receipt of an application for a license, the department shall
22investigate to determine if the applicant meets the minimum requirements for a
23license adopted by the department under s. 48.67 and meets the requirements
24specified in s. 48.685, if applicable. If the department receives an application for a
25license to operate a child welfare agency or a group home that is intended to serve

1primarily persons who are under court-ordered supervision or aftercare supervision
2as a result of a criminal violation or who require treatment for alcohol or other drug
3abuse, the department shall also investigate to determine if the applicant meets all
4applicable zoning ordinances and the requirements of s. 59.69 (15) (b), 60.63 (1) and
5(2) or 62.23 (7) (i) 1. and 2., whichever is applicable. In determining whether to issue
6or continue a license, the department may consider any action by the applicant, or
7by an employe of the applicant, that constitutes a substantial failure by the applicant
8or employe to protect and promote the health, safety and welfare of a child. Upon
9satisfactory completion of this investigation and payment of the fee required under
10s. 48.615 (1) (a) or (b), 48.625 (2) (a), 48.65 (3) (a) or 938.22 (7) (b), the department
11shall issue a license under s. 48.66 (1) or, if applicable, a probationary license under
12s. 48.69 or, if applicable, shall continue a license under s. 48.66 (5). At the time of
13initial licensure and license renewal, the department shall provide a foster home
14licensee with written information relating to the age-related monthly foster care
15rates and supplemental payments specified in s. 48.62 (4), including payment
16amounts, eligibility requirements for supplemental payments and the procedures for
17applying for supplemental payments.
AB432-ASA1, s. 3 18Section 3. 48.68 (1r) of the statutes is created to read:
AB432-ASA1,3,2219 48.68 (1r) (a) An application for a license or for continuance of a license to
20operate a child welfare agency or group home shall identify the client group to be
21served. The department shall define "client group" by rule for purposes of this
22section.
AB432-ASA1,4,223 (b) A child welfare agency or group home may not provide care and
24maintenance for a person who is not a member of the client group identified under

1par. (a) unless the child welfare agency or group home complies with par. (c) or (d),
2whichever is applicable.
AB432-ASA1,4,53 (c) Except as provided in par. (d), a child welfare agency or group home may
4change the client group served by the child welfare agency or group home without
5the approval of the department.
AB432-ASA1,4,106 (d) Notwithstanding par. (c), but subject to par. (e), if any of the following
7applies a child welfare agency or group home may not change the client group served
8by the child welfare agency or group home unless the child welfare agency or group
9home submits to the department a written application for approval of the change and
10obtains the department's approval of the change:
AB432-ASA1,4,1611 1. The client group served consists primarily of persons who are not under
12court-ordered supervision or aftercare supervision as a result of a violation of a
13criminal law and the child welfare agency or group home proposes to change the
14client group served to one that consists primarily of persons who are under
15court-ordered supervision or aftercare supervision as a result of a violation of a
16criminal law.
AB432-ASA1,4,2017 2. The client group served consists primarily of persons who do not require
18treatment for alcohol or other drug abuse and the child welfare agency or group home
19proposes to change the client group served to one that consists primarily of persons
20who require treatment for alcohol or other drug abuse.
AB432-ASA1,4,2521 (e) Paragraph (d) does not apply to a proposed change in client group served
22if the initial client group served by the child welfare agency or group home consists
23primarily of persons who are under court-ordered supervision or aftercare
24supervision as a result of a violation of a criminal law or who require treatment for
25alcohol or other drug abuse.
AB432-ASA1, s. 4
1Section 4. 48.68 (3) of the statutes is amended to read:
AB432-ASA1,6,162 48.68 (3) Within 10 working days after receipt of an application applying for
3initial licensure of a child welfare agency or group home or within 10 working days
4after applying under sub. (1r) (d) for approval of a change in the client group served
,
5the department applicant shall notify the city, town or village planning commission,
6or other appropriate city, town or village agency if there is no planning commission,
7of receipt submission of the application. The department In the case of a child
8welfare agency or group home that intends to serve a client group consisting
9primarily of persons who are not under court-ordered supervision or aftercare
10supervision as a result of a violation of a criminal law or who do not require treatment
11for alcohol or other drug abuse, the
notification shall request state that the planning
12commission or agency may send to the department, within 30 days after the date of
13the notification
, a description of any specific hazards which that may affect the
14health and safety of the residents of the child welfare agency or group home. In the
15case of a child welfare agency or group home that intends to serve a client group
16consisting primarily of persons who are under court-ordered supervision or
17aftercare supervision as a result of a violation of a criminal law or who require
18treatment for alcohol or other drug abuse, the notification shall state that the
19planning commission or agency may send to the department, within 45 days after the
20date of the notification, a description of any specific hazards that may affect the
21health and safety of the residents of the child welfare agency or group home. The
22applicant shall send a copy of the notification to the department.
No license may be
23issued and no approval under sub. (1r) (d) of a change in the client group served may
24be granted
to a child welfare agency or group home until the 30-day or 45-day period,
25whichever is applicable,
has expired or until the department receives the response

1of the planning commission or agency, whichever is sooner. In issuing a license or
2granting approval under sub. (1r) (d) of a change in the client group served,
the
3department shall give full consideration to such hazards determined by the planning
4commission or agency. Prior to issuing a license for a child welfare agency or group
5home that will serve a client group consisting primarily of persons who are under
6court-ordered supervision or aftercare supervision as a result of a violation of a
7criminal law or who require treatment for alcohol or other drug abuse or granting
8approval under sub. (1r) (d) of a change in the client group served, the department
9shall work with the applicant to address each of the hazards described. If the
10department issues a license for a child welfare agency or group home that will serve
11a client group consisting primarily of persons who are under court-ordered
12supervision or aftercare supervision as a result of a violation of a criminal law or who
13require treatment for alcohol or other drug abuse or approves under sub. (1r) (d) a
14change in the client group served, the department shall respond in writing to the
15planning commission or agency addressing each of the hazards described and stating
16why the license was issued or approval granted despite the hazards.
AB432-ASA1, s. 5 17Section 5. 48.68 (3m) of the statutes is created to read:
AB432-ASA1,6,2218 48.68 (3m) Within 10 working days after submitting an application for
19approval by the department under sub. (1r) (d) of a change in the client group served,
20the applicant shall notify the community advisory committee established under sub.
21(4) (b) or, if there is no community advisory committee, shall establish one that
22conforms to the requirements of sub. (4) (b).
AB432-ASA1, s. 6 23Section 6. 48.68 (4) of the statutes is renumbered 48.68 (4) (a) and amended
24to read:
AB432-ASA1,7,9
148.68 (4) (a) Prior to initial licensure of a residential facility operated by a child
2welfare agency or of a group home, other than a residential facility or group home
3that will serve a client group consisting primarily of persons who are under
4court-ordered supervision or aftercare supervision as a result of a violation of a
5criminal law or who require treatment for alcohol or other drug abuse,
the applicant
6for licensure shall make a good faith effort to establish a community advisory
7committee consisting of representatives from the child welfare agency or proposed
8group home, the neighborhood in which the proposed residential facility or group
9home will be located and a local unit of government.
AB432-ASA1,7,16 10(c) The community advisory committee shall provide a forum for
11communication for those persons interested in the proposed residential facility or
12group home. Any committee established under this subsection shall continue in
13existence after licensure to make recommendations to the licensee regarding the
14impact of the residential facility or group home on the neighborhood. The
15department shall determine compliance with this subsection both prior to and after
16initial licensure.
AB432-ASA1, s. 7 17Section 7. 48.68 (4) (b) of the statutes is created to read:
AB432-ASA1,8,718 48.68 (4) (b) Prior to initial licensure of a residential facility operated by a child
19welfare agency, or of a group home, that will serve a client group consisting primarily
20of persons who are under court-ordered supervision or aftercare supervision as a
21result of a violation of a criminal law or who require treatment for alcohol or other
22drug abuse, the applicant for licensure shall establish a community advisory
23committee consisting of residents from the child welfare agency or proposed group
24home appointed by the child welfare agency or group home operator, representatives
25of the neighborhood in which the proposed residential facility or group home will be

1located appointed by the mayor or city manager, village president or town board
2chairperson or his or her designee and representatives of the city, village or town
3appointed by the mayor or city manager, village president or town board chairperson
4or his or her designee. A majority of the members of a community advisory committee
5established under this paragraph shall be representatives of the neighborhood, and
6representatives of the city, village or town, in which the proposed residential facility
7or group home will be located.
AB432-ASA1, s. 8 8Section 8. 48.68 (5) of the statutes is created to read:
AB432-ASA1,8,239 48.68 (5) (a) In the case of a child welfare agency or group home that will serve
10a client group consisting primarily of persons who are under court-ordered
11supervision or aftercare care supervision as a result of a violation of a criminal law
12or who require treatment for alcohol or other drug abuse, if the city, town or village
13planning commission, or other appropriate city, town or village agency if there is no
14planning commission, describes any specific hazards under sub. (3), if the
15community advisory committee expresses any concerns regarding the impact of the
16proposed child welfare agency or group home or proposed change in the client group
17served on the neighborhood or if the department, following its investigation under
18sub. (1), has any concerns regarding any specific hazards as described in sub. (3) or
19regarding the impact of the proposed child welfare agency or group home or proposed
20change in the client group served on the neighborhood, the department may issue the
21license or approve the proposed change in the client group served subject to any
22conditions that the department may impose to address those specific hazards or
23concerns.
AB432-ASA1,9,524 (b) After issuing a license or approving a change in the client group served, the
25department may not change any condition imposed under par. (a) to make that

1condition less stringent unless the department first provides to the city, town or
2village planning commission, or other appropriate city, town or village agency if there
3is no planning commission, notice of the proposed change and an explanation
4showing that the proposed change would not endanger the health or safety of the
5residents of the child welfare agency or group home.
AB432-ASA1, s. 9 6Section 9. 50.03 (1g) of the statutes is created to read:
AB432-ASA1,9,127 50.03 (1g) Unauthorized residents. No person operating or maintaining a
8community-based residential facility may permit any person who is not a member
9of the client group identified under sub. (3) (cm) 1. to become a resident of the
10community-based residential facility unless the person operating or maintaining
11the community-based residential facility complies with sub. (3) (cm) 2. or 3.,
12whichever is applicable.
AB432-ASA1, s. 10 13Section 10. 50.03 (3) (cm) of the statutes is created to read:
AB432-ASA1,9,1614 50.03 (3) (cm) 1. An application for a license to operate a community-based
15residential facility shall identify the client group to be served. The department shall
16define "client group" by rule for purposes of this section.
AB432-ASA1,9,1817 2. Except as provided in in subd. 3., a community-based residential facility
18may change the client group served without the approval of the department.
AB432-ASA1,9,2319 3. Notwithstanding subd. 2., but subject to subd. 4., if any of the following
20applies a community-based residential facility may not change the client group
21served by the community-based residential facility unless it submits to the
22department a written application for approval of the change and obtains the
23department's approval of the change:
AB432-ASA1,9,2524 a. The client group served consists primarily of persons who are not on
25probation or parole and the community-based residential facility proposes to change

1the client group served to one that consists primarily of persons who are on probation
2or parole.
AB432-ASA1,10,63 b. The client group served consists primarily of persons who do not require
4treatment services for alcohol or other drug abuse and the community-based
5residential facility proposes to change the client group served to one that consists
6primarily of persons who require treatment services for alcohol or other drug abuse.
AB432-ASA1,10,107 4. Subdivision 3. does not apply to a proposed change in client group served if
8the initial client group served by the community-based residential facility consists
9primarily of persons who are on probation or parole or who require treatment for
10alcohol or other drug abuse.
AB432-ASA1, s. 11 11Section 11. 50.03 (4) (a) 1. b. of the statutes, as affected by 1997 Wisconsin Act
1227
, is amended to read:
AB432-ASA1,11,1113 50.03 (4) (a) 1. b. Except as provided in sub. (4m) (b), the department shall issue
14a license for a community-based residential facility if it finds the applicant to be fit
15and qualified, if it finds that the community-based residential facility meets the
16requirements established by this subchapter and if the community-based
17residential facility has paid the license fee under s. 50.037 (2) (a). If a
18community-based residential facility proposes to serve primarily persons who are
19on probation or parole or who require treatment for alcohol or other drug abuse, the
20department shall also investigate to determine if the community-based residential
21facility meets all applicable zoning ordinances and the requirements of s. 59.69 (15)
22(b), 60.63 (1) and (2) or 62.23 (7) (i) 1. and 2., whichever is applicable.
In determining
23whether to issue a license for a community-based residential facility, the department
24may consider any action by the applicant or by an employe of the applicant that
25constitutes a substantial failure by the applicant or employe to protect and promote

1the health, safety or welfare of a resident. The department may deny licensure to
2or revoke licensure for any person who conducted, maintained, operated or permitted
3to be maintained or operated a community-based residential facility for which
4licensure was revoked. The department, or its designee, shall make such inspections
5and investigations as are necessary to determine the conditions existing in each case
6and shall file written reports. In reviewing the report of a community-based
7residential facility that is required to be submitted under par. (c) 1., the department
8shall consider all complaints filed under sub. (2) (f) since initial license issuance or
9since the last review, whichever is later, and the disposition of each. The department
10shall promulgate rules defining "fit and qualified" for the purposes of this subd. 1.
11b.
AB432-ASA1, s. 12 12Section 12. 50.03 (4) (a) 3. of the statutes is amended to read:
AB432-ASA1,12,2413 50.03 (4) (a) 3. Within 10 working days after receipt of an application applying
14for initial licensure of a community-based residential facility or within 10 working
15days after applying under sub. (3) (cm) 3. for approval of a change in the client group
16served
, the department applicant shall notify the city, town or village planning
17commission, or other appropriate city, town or village agency if there is no planning
18commission, of receipt submission of the application. The department In the case of
19a community-based residential facility that intends to serve a client group
20consisting primarily of persons who are not on probation or parole or who do not
21require treatment for alcohol or other drug abuse, the notification
shall request state
22that the planning commission or agency may send to the department, within 30 days
23after the date of the notification, a description of any specific hazards which that may
24affect the health and safety of the residents of the community-based residential
25facility. In the case of a community-based residential facility that intends to serve

1a client group consisting primarily of persons who are on probation or parole or who
2require treatment for alcohol or other drug abuse, the notification shall state that the
3planning commission or agency may send to the department, within 45 days after the
4date of the notification, a description of any specific hazards that may affect the
5health and safety of the residents of the community-based residential facility. The
6applicant shall send a copy of the notification to the department.
No license may be
7granted issued and no approval under sub. (3) (cm) 3. of a change in the client group
8served may be granted
to a community-based residential facility until the 30-day
9or 45-day period, whichever is applicable, has expired or until the department
10receives the response of the planning commission or agency, whichever is sooner. In
11granting issuing a license or granting approval under sub. (3) (cm) 3. of a change in
12the client group served,
the department shall give full consideration to such hazards
13determined by the planning commission or agency. Prior to issuing a license for a
14community-based residential facility that will serve a client group consisting
15primarily of persons who are on probation or parole or who require treatment
16services for alcohol or other drug abuse or granting approval under sub. (3) (cm) 3.
17of a change in the client group served, the department shall work with the applicant
18to address each of the hazards described. If the department issues a license for a
19community-based residential facility that will serve a client group consisting
20primarily of persons who are on probation or parole or who require treatment
21services for alcohol or other drug abuse or approves under sub. (3) (cm) 3. a change
22in the client group served, the department shall respond in writing to the planning
23commission or agency addressing each of the hazards described and stating why the
24license was issued or approval granted despite the hazards.
AB432-ASA1, s. 13 25Section 13. 50.03 (4) (a) 4. of the statutes is created to read:
AB432-ASA1,13,5
150.03 (4) (a) 4. Within 10 working days after submitting an application for
2approval by the department under sub. (3) (cm) 3. of a change in the client group
3served, the applicant shall notify the community advisory committee established
4under par. (g) 2. or, if there is no community advisory committee, shall establish one
5that conforms to the requirements of par. (g) 2.
AB432-ASA1, s. 14 6Section 14. 50.03 (4) (g) of the statutes is renumbered 50.03 (4) (g) 1. and
7amended to read:
AB432-ASA1,13,158 50.03 (4) (g) 1. Prior to initial licensure of a community-based residential
9facility, other than a community-based residential facility that will serve a client
10group consisting primarily of persons who are on probation or parole or who require
11treatment for alcohol or other drug abuse,
the applicant for licensure shall make a
12good faith effort to
establish a community advisory committee consisting of
13representatives from the proposed community-based residential facility, the
14neighborhood in which the proposed community-based residential facility will be
15located and a local unit of government.
AB432-ASA1,13,22 163. The community advisory committee shall provide a forum for
17communication for those persons interested in the proposed community-based
18residential facility. Any committee established under this paragraph shall continue
19in existence after licensure to make recommendations to the licensee regarding the
20impact of the community-based residential facility on the neighborhood. The
21department shall determine compliance with this paragraph both prior to and after
22initial licensure.
AB432-ASA1, s. 15 23Section 15. 50.03 (4) (g) 2. of the statutes is created to read:
AB432-ASA1,14,1224 50.03 (4) (g) 2. Prior to initial licensure of a community-based residential
25facility that will serve a client group consisting primarily of persons who are on

1probation or parole or who require treatment for alcohol or other drug abuse, the
2applicant for licensure shall establish a community advisory committee consisting
3of representatives from the proposed community-based residential facility
4appointed by the proposed community-based residential facility, representatives of
5the neighborhood in which the proposed community-based residential facility will
6be located appointed by the mayor or city manager, village president or town board
7chairperson or his or her designee and representatives of the city, village or town
8appointed by the mayor or city manager, village president or town board chairperson
9or his or her designee. A majority of the members of a community advisory committee
10established under this subdivision shall be representatives of the neighborhood, and
11representatives of the city, village or town, in which the proposed community-based
12residential facility will be located.
AB432-ASA1, s. 16 13Section 16. 50.03 (4) (h) of the statutes is created to read:
AB432-ASA1,15,214 50.03 (4) (h) 1. In the case of a community-based residential facility that will
15serve a client group consisting primarily of persons who are on probation or parole
16or who require treatment for alcohol or other drug abuse, if the city, town or village
17planning commission, or other appropriate city, town or village agency if there is no
18planning commission, describes any specific hazards under par. (a) 3., if the
19community advisory committee expresses any concerns regarding the impact of the
20proposed community-based residential facility or proposed change in the client
21group served on the neighborhood or if the department, following its investigation
22under par. (a) 1., has any concerns regarding any specific hazards as described in par.
23(a) 3. or regarding the impact of the proposed community-based residential facility
24or proposed change in the client group served on the neighborhood, the department
25may issue the license or approve the proposed change in the client group served

1subject to any conditions that the department may impose to address those specific
2hazards or concerns.
AB432-ASA1,15,93 2. After issuing a license or approving a change in the client group served, the
4department may not change any condition imposed under subd. 1. to make that
5condition less stringent unless the department first provides to the city, town or
6village planning commission, or other appropriate city, town or village agency if there
7is no planning commission, notice of the proposed change and an explanation
8showing that the proposed change would not endanger the health or safety of the
9residents of the community-based residential facility.
AB432-ASA1, s. 17 10Section 17. Initial applicability.
AB432-ASA1,15,1611 (1) Initial licensure and changes in client group served. The treatment of
12sections 48.68 (1r), (3), (3m), (4) and (5) and 50.03 (3) (cm) and (4) (a) 1. b., 3. and 4.,
13(g) and (h) of the statutes and the amendment of section 48.68 (1) of the statutes first
14apply to applications for initial licensure or for approval of a change in the client
15group served received by the department of health and family services on the
16effective date of this subsection.
AB432-ASA1, s. 18 17Section 18. Effective dates. This act takes effect on the day after publication,
18except as follows:
AB432-ASA1,15,2019 (1) The repeal and recreation of section 48.68 (1) of the statutes takes effect on
20October 1, 1998, or on the day after publication, whichever is later.
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