Because this bill relates to an exemption from state or local taxes, it may be
referred to the Joint Survey Committee on Tax Exemptions for a report to be printed
as an appendix to the bill.
Because this bill relates to public employee retirement or pensions, it may be
referred to the Joint Survey Committee on Retirement Systems for a report to be
printed as an appendix to the bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB40,1
1Section 1. 5.05 (2m) (c) 6. b. of the statutes is amended to read:
AB40,56,82 5.05 (2m) (c) 6. b. The board shall enter into a written contract with any
3individual who is retained as special counsel setting forth the terms of the
4engagement. The contract shall set forth the compensation to be paid such counsel
5by the state. The contract shall be executed on behalf of the state by the board's legal
6counsel, who shall file the contract in the office of the secretary of state. The
7compensation shall be charged to the appropriation under s. 20.455 (1) (b) 20.505 (1)
8(d)
.
AB40,2 9Section 2. 13.106 (1) (intro.) of the statutes is repealed.
AB40,3 10Section 3. 13.106 (1) (a), (b), (c), (d) and (e) of the statutes are renumbered
1113.106 (3) (ac), (ag), (aL), (ap) and (at).
AB40,4 12Section 4. 13.106 (3) (intro.) of the statutes is amended to read:
AB40,56,1713 13.106 (3) (intro.) By October 15 of each even-numbered year, the Medical
14College of Wisconsin and the University of Wisconsin-Madison Medical School shall
15submit a report to the governor, the joint committee on finance, and to the chief clerk
16of each house of the legislature for distribution to the legislature under s. 13.172 (2),
17that provides information on all of the following:
AB40,5 18Section 5. 13.106 (3) (a) of the statutes is renumbered 13.106 (3) (ax).
AB40,6 19Section 6. 13.106 (4) of the statutes is created to read:
AB40,56,2520 13.106 (4) (a) In this subsection, "rural or underserved urban medicine
21program" includes the Wisconsin Academy for Rural Medicine, the Training in
22Urban Medicine and Public Health program, any community medical education
23program of the Medical College of Wisconsin, and any other rural or underserved
24urban medicine program established after the effective date of this paragraph ....
25[LRB inserts date].
AB40,57,4
1(b) By October 15 of each year, the Medical College of Wisconsin and the
2University of Wisconsin-Madison Medical School shall submit an annual report to
3the governor and to the chief clerk of each house of the legislature for distribution
4to the legislature under s. 13.172 (2) that provides information on all of the following:
AB40,57,65 1. The number of students enrolled in rural or underserved urban medicine
6programs.
AB40,57,87 2. The medical specialties and residency locations of the students in rural or
8underserved urban medicine programs.
AB40,57,109 3. The initial postresidency practice locations for graduates of rural or
10underserved urban medicine programs.
AB40,7 11Section 7. 13.48 (2) (b) 3. of the statutes is amended to read:
AB40,57,1712 13.48 (2) (b) 3. The Except as provided in sub. (14) (am), the building
13commission may lease space in buildings described under subd. 2. to other
14governmental bodies or to nonprofit associations organized for public purposes and
15shall charge those bodies or associations an annual rental which shall be not less
16than the cost of operating, maintaining and amortizing the construction cost of the
17leased space.
AB40,8 18Section 8. 13.48 (14) (title) of the statutes is amended to read:
AB40,57,1919 13.48 (14) (title) Sale or lease of lands property.
AB40,9 20Section 9. 13.48 (14) (a) of the statutes is amended to read:
AB40,57,2321 13.48 (14) (a) In this subsection, "agency" has the meaning given for "state
22agency" in s. 20.001 (1), except that the term does not include the Board of Regents
23of the University of Wisconsin System
in s. 16.52 (7).
AB40,10 24Section 10. 13.48 (14) (am) of the statutes is amended to read:
AB40,59,2
113.48 (14) (am) Except as provided in this paragraph and subject to par. (d),
2the building commission shall have the authority to sell or lease all or any part of a
3 state-owned building or structure or state-owned land, including farmland, where
4such authority is not otherwise provided to an agency by law
real property unless the
5sale or lease is prohibited under the state or federal constitution or federal law or the
6sale is conducted as a part of a procedure to enforce an obligation to this state
, and
7may transfer land real property under its jurisdiction among agencies. The
8commission may sell or lease property under this paragraph with or without the
9approval of the agency having jurisdiction over the property and regardless of
10whether the property is included in an inventory submitted under par. (d).
The
11building commission does not have the authority to sell or lease any state-owned real
12property under this paragraph after the department of administration notifies the
13commission in writing that an offer of sale or sale or lease agreement with respect
14to a property is pending under s. 16.848 (1). If the sale or lease is not completed and
15no further action is pending with respect to the property, the authority of the building
16commission under this paragraph is restored. Except with respect to property
17identified in s. 16.848 (2), if any agency has authority to sell or lease real property
18under any other law, the authority of that agency does not apply after the commission
19notifies the agency in writing that an offer of sale or sale, or a lease agreement, is
20pending with respect to the property under this paragraph. If the sale or lease is not
21completed and no further action is pending with respect to the property, the authority
22of the agency to sell or lease the property is restored. If the commission sells or leases
23any state-owned real property under this subsection, the commission may attach
24such conditions to the sale or lease as it finds to be necessary or appropriate to carry
25out the sale or lease in the best interest of the state. This paragraph does not apply

1to real property that is exempted from sale or lease by the department of
2administration under s. 16.848.
AB40,11 3Section 11. 13.48 (14) (b) of the statutes is amended to read:
AB40,59,134 13.48 (14) (b) Subject to par. (d), the The building commission shall sell or lease
5on the basis of either public bids, with the building commission reserving the right
6to reject any or all bids in the best interest of the state, or on the basis of negotiated
7prices as determined through a competitive or transparent process. Buildings,
8structures and land mentioned in this subsection shall be subject to general property
9taxes levied by those taxing bodies within whose area they lie if used for commercial
10purposes, and shall be subject to special assessments for public improvements in the
11same manner and to the same extent as privately owned buildings, structures and
12land
real property, subject to approval of the building commission when required
13under s. 66.0703 (6).
AB40,12 14Section 12. 13.48 (14) (bg) of the statutes is created to read:
AB40,59,1815 13.48 (14) (bg) If any property that is proposed to be sold by the commission
16under par. (am) is co-owned by a nonstate entity, the commission shall afford to that
17entity the right of first refusal to purchase the share of the property owned by the
18state on reasonable financial terms established by the commission.
AB40,13 19Section 13. 13.48 (14) (br) of the statutes is created to read:
AB40,60,220 13.48 (14) (br) If the building commission sells or leases any real property
21under par. (am) that was under the jurisdiction of an agency prior to the sale or lease,
22the agency shall convey all systems, fixtures, or additional property interests
23specified by the commission to the purchaser or lessee of the property on terms
24specified by the commission. If the commission sells or leases a state-owned heating,
25cooling, or power plant that is under the jurisdiction of an agency, the agency shall

1convey all real and personal property associated with the plant to the purchaser or
2lessee on terms specified by the commission.
AB40,14 3Section 14. 13.48 (14) (c) of the statutes is renumbered 13.48 (14) (c) (intro.)
4and amended to read:
AB40,61,95 13.48 (14) (c) (intro.) If Except as provided in par. (e), if there is any outstanding
6public debt used to finance the acquisition of a building, structure or land or the,
7construction, or improvement of a building or structure any property that is sold or
8leased under par. (b) (am), the building commission shall deposit a sufficient amount
9of the net proceeds from the sale or lease of the building, structure or land property
10in the bond security and redemption fund under s. 18.09 to repay the principal and
11pay the interest on the debt, and any premium due upon refunding any of that debt.
12Except as provided in s. 51.06 (6), if If there is any outstanding public debt used to
13finance the acquisition, construction, or improvement of any property that is sold or
14leased under par. (am), the building commission shall then provide a sufficient
15amount of the net proceeds from the sale or lease of the property for the costs of
16maintaining federal tax law compliance applicable to the debt. If the property was
17acquired, constructed, or improved with federal financial assistance, the commission
18shall pay to the federal government any of the proceeds required by federal law. If
19the property was acquired by gift or grant or with gift or grant funds, the commission
20shall adhere to any restriction governing use of the proceeds. Except as required
21under par. (e) and ss. 20.395 (9) (qd) and 51.06 (6), if
there is no such debt
22outstanding, or, there are no moneys payable to the federal government, and there
23is no restriction governing use of the proceeds, and
if the net proceeds exceed the
24amount required to repay that principal and pay that interest and premium be
25deposited, paid, or used for another purpose under this subsection
, the building

1commission shall deposit use the net proceeds or remaining net proceeds in the
2budget stabilization fund.
to pay principal and interest costs on other outstanding
3public debt. For the purpose of paying principal and interest costs on other
4outstanding public debt under this paragraph, the commission may cause
5outstanding bonds to be called for redemption on or following their optional
6redemption date, establish one or more escrow accounts to redeem bonds at their
7optional redemption date, or purchase bonds in the open market. To the extent
8practical, the commission shall consider all of the following in determining which
9public debt to redeem:
AB40,15 10Section 15. 13.48 (14) (c) 1. to 4. of the statutes are created to read:
AB40,61,1311 13.48 (14) (c) 1. To the extent that debt service on the property being sold or
12leased was paid from a segregated fund, other outstanding public debt related to that
13segregated fund should be redeemed.
AB40,61,1714 2. The extent to which general obligation debt that was issued to acquire, build,
15or improve the property being sold or leased is subject to current optional
16redemption, would require establishment of an escrow, or could be assigned for
17accounting purposes to another statutory bond purpose.
AB40,61,1818 3. The fiscal benefit of redeeming outstanding debt with higher interest costs.
AB40,61,2019 4. The costs of maintaining federal tax law compliance in the selection of
20general obligation debt to be redeemed.
AB40,16 21Section 16. 13.48 (14) (cm) of the statutes is created to read:
AB40,62,1722 13.48 (14) (cm) If there are any outstanding revenue obligations, issued
23pursuant to subch. II of ch. 18, used to finance the acquisition, construction, or
24improvement of any property that is sold or leased under par. (am), the commission
25shall deposit a sufficient amount of the net proceeds from the sale or lease of the

1property in the respective redemption fund provided under s. 18.561 (5) or 18.562 (3)
2to repay the principal and pay the interest on the revenue obligations, and any
3premium due upon refunding any of the revenue obligations. If there are any
4outstanding revenue obligations, issued pursuant to subch. II of ch. 18, used to
5finance the acquisition, construction, or improvement of any property that is sold or
6leased under par. (am), the commission shall then provide a sufficient amount of the
7net proceeds from the sale or lease of the property for the costs of maintaining federal
8tax law compliance applicable to the revenue obligations. For the purpose of paying
9principal and interest costs on other outstanding revenue obligations, the
10commission may cause outstanding revenue obligations to be called for redemption
11on or following their optional redemption date, establish one or more escrow accounts
12to redeem obligations at their optional redemption date, or purchase bonds on the
13open market. Except as required under par. (e) and ss. 20.395 (9) (qd) and 51.06 (6),
14if the net proceeds exceed the amount required to be deposited, paid, or used for
15another purpose under this paragraph, the department shall use the net proceeds
16or the remaining net proceeds to pay principal and interest costs on other similar
17revenue obligations.
AB40,17 18Section 17. 13.48 (14) (d) 1. of the statutes is repealed.
AB40,18 19Section 18. 13.48 (14) (d) 2. of the statutes is renumbered 13.48 (14) (d) and
20amended to read:
AB40,63,521 13.48 (14) (d) Biennially, beginning on January 1, 1984, each agency having
22surplus land
2014, each agency shall submit to the department of administration an
23inventory of all real property under its jurisdiction together with the estimated fair
24market value of each property. The agency shall specifically identify any under
25utilized assets in the inventory. No later than July 1 following receipt of the

1inventories, the department of administration shall obtain appraisals of all
2properties in the inventories that are identified by the department for potential sale
3and
shall submit to the building commission and the joint committee on finance an
4inventory containing the location, description and fair market value of each parcel
5of surplus land property identified for potential sale.
AB40,19 6Section 19. 13.48 (14) (d) 3. of the statutes is repealed.
AB40,20 7Section 20. 13.48 (14) (d) 4. of the statutes is repealed.
AB40,21 8Section 21. 13.48 (19) of the statutes is amended to read:
AB40,63,199 13.48 (19) Alternatives to state construction. Whenever the building
10commission determines that the use of innovative types of design and construction
11processes will make better use of the resources and technology available in the
12building industry, the building commission may waive any or all of s. 16.855, except
13s. 16.855 (13) and (14m),
if such action is in the best interest of the state and if the
14waiver is accomplished through formal action of the building commission. The
15building commission may authorize the lease, lease purchase or acquisition of such
16facilities constructed in the manner authorized by the building commission. Subject
17to the requirements of s. 20.924 (1) (i), the building commission may also authorize
18the lease, lease purchase or acquisition of existing facilities in lieu of state
19construction of any project enumerated in the authorized state building program.
AB40,22 20Section 22. 13.48 (20) of the statutes is amended to read:
AB40,63,2421 13.48 (20) Residence halls. The Except as provided in sub. (14) (am), the
22building commission may approve the sale or lease of state-owned residence halls
23by the board of regents of the University of Wisconsin System to another state agency
24or a nonstate nonprofit agency for purposes provided in s. 36.11 (1) (e).
AB40,23 25Section 23. 13.48 (22) of the statutes is amended to read:
AB40,64,7
113.48 (22) Sale or lease of capitol area lands. The building commission may
2lease or resell lands acquired in the capitol planning area for public or private
3redevelopment and may set such conditions of sale or lease as it deems necessary to
4ensure development compatible with the needs of the community and the state. This
5subsection does not apply to lands that are authorized to be sold or leased under s.
616.848 while an offer of sale, sale, or lease agreement is pending or while the lands
7are leased
.
AB40,24 8Section 24. 13.48 (23) of the statutes is amended to read:
AB40,64,159 13.48 (23) Lease of space for commercial use. The Except as provided in sub.
10(14) (am), the
building commission may lease space in state office buildings for
11commercial use, including without limitation because of enumeration, retail, service
12and office uses. In doing so the building commission shall consider the cost and fair
13market value of the space as well as the desirability of the proposed use. Such leases
14may be negotiated or awarded by competitive bid procedures. All such leases of space
15in state office buildings shall provide for payments in lieu of property taxes.
AB40,25 16Section 25. 13.482 (2) (a) of the statutes is amended to read:
AB40,65,1917 13.482 (2) (a) For the purpose of providing housing for state departments and
18agencies, including housing for state offices and the completion of the state office
19building, and to enable the construction, financing and ultimate acquisition thereof
20by the state, the building commission may acquire any necessary lands, and, subject
21to s. 13.48 (14) (am),
lease and re-lease any lands owned by the state and available
22for the purpose to the Wisconsin State Public Building Corporation or other nonstock
23corporation organized under ch. 181 that is a nonprofit corporation, as defined in s.
24181.0103 (17). The lease and re-lease shall be for a term or terms not exceeding 50
25years each and shall be made on the condition that such corporation shall construct

1and provide on such leased lands such building projects, including buildings,
2improvements, facilities or equipment or other capital items, as the building
3commission requires, and shall re-lease the same to the building commission upon
4satisfactory terms as to the rental, maintenance and ultimate acquisition by the
5state as is in its best interests in the judgment of the building commission. After such
6leases and re-leases are executed and until the projects are acquired by the state,
7they shall be operated by the building commission through the department of
8administration, which shall have charge of such property as provided in ss. 16.85 and
916.8511. The building commission shall operate the projects in such manner as to
10provide revenues therefrom sufficient to pay the costs of operation and maintenance
11of the project and to provide for the payments due the Wisconsin State Public
12Building Corporation or other nonstock, nonprofit corporation but if the building
13commission finds and declares that the housing available in any such project is in
14excess of the current housing needs or requirements of the state departments and
15agencies occupying or availing themselves of the space in or capacity of such project,
16the building commission need not operate such project in a manner to provide
17revenues therefrom sufficient to pay the costs of operation and maintenance of the
18project and to provide for the rental payments due the Wisconsin State Public
19Building Corporation or other nonstock, nonprofit corporation.
AB40,26 20Section 26. 13.488 (1) (a) of the statutes is amended to read:
AB40,65,2521 13.488 (1) (a) Without limitation by reason of any other statutes except s. 13.48
22(14) (am),
the power to sell and to convey title in fee simple to a nonprofit-sharing
23corporation any land and any existing buildings thereon owned by the state for such
24consideration and upon such terms and conditions as in the judgment of the building
25commission are in the public interest.
AB40,27
1Section 27. 13.488 (1) (b) of the statutes is amended to read:
AB40,66,52 13.488 (1) (b) The Except as provided in s. 13.48 (14) (am), the power to lease
3to a nonprofit-sharing corporation for terms not exceeding 50 years each any land
4and existing buildings thereon owned by the state upon such terms, conditions and
5rentals as in the judgment of the building commission are in the public interest.
AB40,28 6Section 28. 14.11 (2) (b) of the statutes is amended to read:
AB40,66,127 14.11 (2) (b) When special counsel is employed, a contract in writing shall be
8entered into between the state and such counsel, in which shall be fixed the
9compensation to be paid such counsel by the state. The contract shall be executed
10in behalf of the state by the governor, and shall be filed in the office of the secretary
11of state. Such compensation shall be charged to the special counsel appropriation in
12s. 20.455 (1) (b) 20.505 (1) (d).
AB40,29 13Section 29. 15.01 (6) of the statutes is amended to read:
AB40,66,2514 15.01 (6) "Division," "bureau," "section ," and "unit" means the subunits of a
15department or an independent agency, whether specifically created by law or created
16by the head of the department or the independent agency for the more economic and
17efficient administration and operation of the programs assigned to the department
18or independent agency. The office of justice assistance in the department of
19administration and the
office of credit unions in the department of financial
20institutions, the office of the inspector general in the department of health services,
21and the office of children's mental health in the department of health services
have
22the meaning of "division" under this subsection. The office of the long-term care
23ombudsman under the board on aging and long-term care and the office of
24educational accountability in the department of public instruction have the meaning
25of "bureau" under this subsection.
AB40,30
1Section 30. 15.02 (3) (c) 1. of the statutes is amended to read:
AB40,67,102 15.02 (3) (c) 1. The principal subunit of the department is the "division". Each
3division shall be headed by an "administrator". The office of justice assistance in the
4department of administration and the
office of credit unions in the department of
5financial institutions and the office of children's mental health in the department of
6health services
have the meaning of "division" and the executive staff director of the
7office of justice assistance in the department of administration and the
director of
8credit unions in the department of financial institutions and the director of the office
9of children's mental health in the department of health services
have the meaning
10of "administrator" under this subdivision.
AB40,31 11Section 31. 15.05 (3) of the statutes is repealed and recreated to read:
AB40,67,1512 15.05 (3) Assistant deputy secretary and executive assistant. (a) Each
13secretary may appoint an assistant deputy secretary to serve at his or her pleasure
14outside the classified service. The assistant deputy secretary shall perform duties
15as the secretary prescribes.
AB40,67,2016 (b) The attorney general, the adjutant general, the director of the technical
17college system, the state superintendent of public instruction, and the director of the
18historical society may appoint an executive assistant to serve at his or her pleasure
19outside the classified service. The executive assistant shall perform duties as his or
20her appointing authority prescribes.
AB40,32 21Section 32. 15.05 (5) (title) of the statutes is amended to read:
AB40,67,2322 15.05 (5) (title) Executive Assistant deputy secretary and executive
23assistant approvals.
AB40,33 24Section 33. 15.06 (3) (a) 4. of the statutes is created to read:
AB40,67,2525 15.06 (3) (a) 4. The members of the employment relations commission.
AB40,34
1Section 34. 15.06 (3) (c) of the statutes is created to read:
AB40,68,32 15.06 (3) (c) Each member of the employment relations commission shall be
3appointed to two-thirds of a full-time equivalent position.
AB40,35 4Section 35. 15.06 (4m) of the statutes is amended to read:
AB40,68,95 15.06 (4m) Executive assistant. Each commission chairperson under s. 230.08
6(2) (m) and each
commissioner of the public service commission may appoint an
7executive assistant to serve at his or her pleasure outside the classified service. The
8executive assistant shall perform duties as the chairperson or commissioner
9prescribes.
AB40,36 10Section 36. 15.07 (2) (c) of the statutes is created to read:
AB40,68,1211 15.07 (2) (c) The chairperson of the charter school oversight board shall be
12designated by the governor.
AB40,37 13Section 37. 15.105 (19) of the statutes is repealed.
AB40,38 14Section 38. 15.107 (18) (b) 1. of the statutes is amended to read:
AB40,68,1815 15.107 (18) (b) 1. The executive director of the office of justice assistance
16attorney general, the adjutant general, the secretary of natural resources, the
17secretary of transportation, and a representative from the department of
18administration with knowledge of information technology, or their designees.
AB40,39 19Section 39. 15.193 of the statutes is created to read:
AB40,68,22 2015.193 Same; specified divisions. (1) Office of the inspector general.
21There is created in the department of health services an office of the inspector
22general.
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