LRB-4075/1
JTK:skg:km
1995 - 1996 LEGISLATURE
October 2, 1995 - Introduced by Representative Grothman, cosponsored by
Senator Risser, by request of Attorney Aubrey Fowler. Referred to Committee
on Finance.
AB582,1,2
1An Act relating to: expenditure of a sum sufficient from the general fund for
2payment of a claim against the state made by Monona Restaurant, Inc.
Analysis by the Legislative Reference Bureau
This bill directs expenditure of a sum sufficient from the general fund in
payment of a claim made by Monona Restaurant, Inc., against the department of
industry, labor and human relations (DILHR). The claimant began business in 1987.
As a result of claims by its employes, untimely contribution (tax) payments and
interest and penalties assessed by DILHR for the late payments, the claimant had
a negative balance in its unemployment compensation account as of July 31, 1990.
Pursuant to ss. 108.17 (2) and 108.18 (4) and (9), stats., DILHR applied a 6.4%
contribution rate to the claimant's taxable payroll for 1991. In December of 1990, the
claimant made a substantial payment which eliminated the negative balance. The
claimant then appealed DILHR's determination of its contribution rate for 1991 but
an appeal tribunal ruled that the appeal was not timely filed. Upon review, the labor
and industry review commission affirmed that finding. The claimant asserts that
the balance of $54,019.84 in its account as of June 30, 1993, is more than sufficient
to pay the claims of its employes, based on its recent claims experience. Under
current law, however, contribution rates are determined in most cases by comparing
the balance in an employer's account on June 30 with its taxable payroll for the
preceding 12 months, regardless of claims experience. The claimant claims
$23,994.28, plus an amount equal to any interest and penalties assessed by DILHR
to its account as a result of any arrearage during the period beginning on April 1,
1992, and ending on the date of payment of the claim, based on equitable principles.
On February 18, 1993, the claims board recommended denial of this claim. See 1993
Senate Journal, p. 91.
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:
AB582, s. 1
1Section
1. Claim against the state. There is directed to be expended from the
2appropriation under section 20.505 (4) (d) of the statutes, as affected by the acts of
31995, a sum sufficient equal to $23,994.28, plus an amount equal to any interest and
4penalties assessed by the department of industry, labor and human relations as a
5result of any arrearage during the period beginning on April 1, 1992, and ending on
6the date of the payment made under this act, in payment of a claim made by Monona
7Restaurant, Inc., Monona, Wisconsin, to compensate it for unemployment
8compensation contributions, plus interest and penalties assessed to its
9unemployment compensation account by the department of industry, labor and
10human relations, resulting from a contribution rate for 1991 that was computed on
11the basis of a negative balance in 1990 that was eliminated from its account prior to
12the end of that year. Acceptance of this payment releases this state from any further
13liability with respect to this claim.
