Amendment AA3-SB338

LRBa1752/3

MES/EVM/JK:jld/wlj/sac:rs

2013 - 2014 LEGISLATURE

ASSEMBLY AMENDMENT 3, TO SENATE BILL 338

February 17, 2014 - Offered by Representative Steineke.

SB338-AA3,1,1 At the locations indicated, amend the bill as follows:

SB338-AA3,1,7 1. Page 1, line 3: after "districts" insert ", creating special provisions for a city or village to create a tax incremental district in recently annexed territory, the property tax exemption for biogas or synthetic gas energy systems and property subject to a tax incremental financing agreement, and authorizing a tax incremental district to share tax increments with an environmental remediation tax incremental district in the same city or village".

SB338-AA3,1,9 2. Page 3, line 9: after that line, after the material inserted by senate amendment 2 and senate amendment 3, insert:

SB338-AA3,1,10 " Section 5s. 66.1105 (6) (f) 1. (intro.) of the statutes is amended to read:

SB338-AA3,2,4 66.1105 (6) (f) 1. (intro.) Not later than the date on which a tax incremental district terminates under sub. (7) (am), a planning commission may amend under sub. (4) (h) the project plan of a tax incremental district to allocate positive tax increments generated by that tax incremental district to another tax incremental district created by that planning commission or to an environmental remediation tax incremental district created under s. 66.1106 by the same governing body if all of the following conditions are met:

SB338-AA3,5u Section 5u. 66.1105 (6) (f) 2. d. of the statutes is created to read:

SB338-AA3,2,7 66.1105 (6) (f) 2. d. The recipient district is an environmental remediation tax incremental district created under s. 66.1106.

SB338-AA3,6m Section 6m. 66.1105 (19) of the statutes is created to read:

SB338-AA3,2,13 66.1105 (19) Creation of a district in recently annexed town territory. (a) Authorization. If, within 90 days of annexing town territory, a city holds a hearing under sub. (4) (a) on the proposed creation of a tax incremental district that is to be located in that former town territory, the city may create a tax incremental district under this section subject to the limitations and conditions in this subsection.

SB338-AA3,2,18 (b) Limitations and conditions. 1. Nothwithstanding sub. (7), a district created under this subsection must terminate upon the earlier of 7 years after the district's creation or when the city has received aggregate tax increments with respect to the district in an amount equal to the aggregate of all project costs under the project plan and any amendments to the project plan for the district.

SB338-AA3,2,20 2. A district created under this subsection may not allocate positive tax increments to another district as described in sub. (6) (e) or (f).

SB338-AA3,2,22 3. The 12 percent limit described in sub. (4) (gm) 4. c. does not apply to a district created under this subsection until 2016.

SB338-AA3,2,24 4. Notwithstanding the limit on expenditures described in sub. (6) (am) 1., a district created under this subsection may make expenditures until October 1, 2016.

SB338-AA3,7m Section 7m. 66.1106 (1) (i) of the statutes is amended to read:

SB338-AA3,3,5 66.1106 (1) (i) "Period of certification" means a period of not more than 23 years beginning after the department certifies the environmental remediation tax incremental base under sub. (4), a period before all eligible costs have been paid, or a period before all eligible costs or project costs of a recipient district designated under sub. (2) (c) have been paid, whichever occurs first.

SB338-AA3,7p Section 7p. 66.1106 (2) (c) of the statutes is amended to read:

SB338-AA3,3,18 66.1106 (2) (c) Notwithstanding par. (a) or (b), or sub. (7) (d) 1. or (11) (a), if the governing body of a political subdivision determines that all eligible costs of an environmental remediation tax incremental district that it created will be paid before the date specified in sub. (11) (b), the governing body of that political subdivision may adopt a resolution requesting that the department allocate positive environmental remediation tax increments generated by that donor environmental remediation tax incremental district to pay the eligible costs of another environmental remediation tax incremental district created by that governing body or to pay project costs, as defined in s. 66.1105 (2) (f), of a tax incremental district created under s. 66.1105 and located in the same overlying taxing jurisdictions and that satisfies one of the requirements under s. 66.1105 (6) (f) 2. A resolution under this paragraph must be adopted before the expiration of the period of certification.

SB338-AA3,7s Section 7s. 66.1106 (7) (e) (intro.) of the statutes is amended to read:

SB338-AA3,4,4 66.1106 (7) (e) (intro.) Notwithstanding par. (d), if the governing body of a political subdivision adopts a resolution described in sub. (2) (c), it shall provide a copy of the resolution to the department. The department shall authorize a positive environmental remediation tax increment generated by a donor district, as described in sub. (2) (c), to the political subdivision that incurred eligible costs to remediate environmental pollution in another district within that political subdivision or that incurred project costs, as defined in s. 66.1105 (2) (f), for a tax incremental district within that political subdivision that was created under s. 66.1105 and that satisfies one of the requirements under s. 66.1105 (6) (f) 2., as described in sub. (2) (c), until the earlier of the following occurs:

SB338-AA3,7u Section 7u. 66.1106 (7) (e) 1. of the statutes is amended to read:

SB338-AA3,4,9 66.1106 (7) (e) 1. The political subdivision has received aggregate environmental remediation tax increments with respect to the recipient district in an amount equal to the aggregate of all of the eligible costs or project costs for that district.

SB338-AA3,7w Section 7w. 66.1106 (7) (e) 2. of the statutes is amended to read:

SB338-AA3,4,12 66.1106 (7) (e) 2. The donor district terminates under sub. (11) (b) or 66.1105 (7).

SB338-AA3,8m Section 8m. 70.111 (18) of the statutes, as affected by 2013 Wisconsin Act 20, is amended to read:

SB338-AA3,5,17 70.111 (18) Energy systems. Biogas or synthetic gas energy systems, solar energy systems, and wind energy systems. In this subsection, "biogas or synthetic gas energy system" means equipment which directly converts biomass, as defined under section 45K (c) (3) of the Internal Revenue Code, as interpreted by the Internal Revenue Service, into biogas or synthetic gas, equipment which generates electricity, heat, or compressed natural gas exclusively from biogas or synthetic gas, equipment which is used exclusively for the direct transfer or storage of biomass, biogas, or synthetic gas, and any structure used exclusively to shelter or operate such equipment, or the portion of any structure used in part to shelter or operate such equipment that is allocable to such use, if all such equipment, and any such structure, is located at the same site, and includes manure, substrate, and other feedstock collection and delivery systems, pumping and processing equipment, gasifiers and digester tanks, biogas and synthetic gas cleaning and compression equipment, fiber separation and drying equipment, and heat recovery equipment, but does not include equipment or components that are present as part of a conventional energy system. In this subsection, "synthetic gas" is a gas that qualifies as a renewable resource under s. 196.378 (1) (h) 1. h. In this subsection, "solar energy system" means equipment which directly converts and then transfers or stores solar energy into usable forms of thermal or electrical energy, but does not include equipment or components that would be present as part of a conventional energy system or a system that operates without mechanical means. In this subsection, "wind energy system" means equipment which converts and then transfers or stores energy from the wind into usable forms of energy, but does not include equipment or components that would be present as part of a conventional energy system. Until the tax incremental district terminates, the exemption under this subsection for biogas or synthetic gas energy systems does not apply to property in existence on January 1, 2014, and located in a tax incremental financing district in effect on January 1, 2014.

SB338-AA3,9m Section 9m. Initial applicability.

SB338-AA3,5,20 (1) The treatment of section 70.111 (18) of the statutes first applies to the property tax assessments as of January 1, 2014.".

SB338-AA3,5,21 (End)