AB40,604,64 2. If an able-bodied adult does not fulfill the work requirement, the department
5may limit the able-bodied adult's eligibility for food stamps to no more than 3 months
6during a 3-year period.
AB40,604,87 3. The department may exempt up to 15 percent of the able-bodied adults who
8are participating in the food stamp program from the time limit under subd. 2.
AB40,604,139 (c) If the department determines that a waiver, or an amendment to a waiver,
10is necessary to implement a policy that complies with 7 CFR 273.24, the department
11shall request the waiver or the amendment to the waiver from the federal
12department of agriculture to permit the department to implement a policy that
13complies with 7 CFR 273.24 as provided under this subsection.
AB40,1217 14Section 1217. 49.826 (2) (a) 3. of the statutes is repealed.
AB40,1218 15Section 1218. 49.83 of the statutes is amended to read:
AB40,605,5 1649.83 Limitation on giving information. Except as provided under ss.
1749.25 and 49.32 (9), (10), and (10m), no person may use or disclose information
18concerning applicants and recipients of relief funded by a relief block grant, aid to
19families with dependent children, Wisconsin Works under ss. 49.141 to 49.161, social
20services, child and spousal support and establishment of paternity and medical
21support liability services under s. 49.22, or supplemental payments under s. 49.77
22for any purpose not connected with the administration of the programs, except that
23the department departments of children and families and health services may
24disclose, including by transmitting or granting access to electronic data, such
25information, including social security numbers, to the department of revenue for the

1sole purpose purposes of administering state taxes, including verifying refundable
2individual income tax credits, and collecting debts owed to the department of
3revenue
. Any person violating this section may be fined not less than $25 nor more
4than $500 or imprisoned in the county jail not less than 10 days nor more than one
5year or both.
AB40,1219 6Section 1219. 49.84 (6) (c) 1. d. of the statutes is amended to read:
AB40,605,97 49.84 (6) (c) 1. d. A child who is receiving medical assistance under s. 49.46 (1)
8(a) 13., 49.47 (4) (am) 3., or 49.471 (4) (a) 2. or (b) 2. or an unborn child receiving
9prenatal care under s. 49.471.
AB40,1220 10Section 1220. 49.84 (7) of the statutes is created to read:
AB40,605,1111 49.84 (7) (a) In this subsection:
AB40,605,1212 1. "Department" means the department of health services.
AB40,605,1413 2. "Medical Assistance" means the Medical Assistance program under subch.
14IV.
AB40,605,2015 (b) Except as provided in par. (c), for determining eligibility or continued
16eligibility the department shall electronically verify the residence of an applicant for
17or recipient of Medical Assistance. If the department is unable to verify the
18applicant's or recipient's residence electronically, the applicant or recipient must
19provide adequate proof of residency, in the manner determined by the department,
20to be eligible for Medical Assistance.
AB40,605,2221 (c) The requirements under par. (b) do not apply with respect to any of the
22following:
AB40,606,223 1. An individual who is receiving benefits under the food stamp program under
247 USC 2011 to 2029 or under the Temporary Assistance for Needy Families block

1grant program and who presented an acceptable form of residency verification for
2receipt of those benefits.
AB40,606,53 2. An individual who resides in a nursing home, intermediate care facility,
4inpatient psychiatric hospital, or other residential care facility and whose care in the
5facility is paid for by Medical Assistance.
AB40,606,96 3. A child residing in a foster care placement under the care and placement
7responsibility of a county department under s. 46.215, 46.22, or 46.23 or, in a county
8with a population of 500,000 or more, under the care and placement responsibility
9of the department of children and families.
AB40,1221 10Section 1221. 49.848 of the statutes is created to read:
AB40,606,12 1149.848 Treatment of real property owned by certain public assistance
12recipients.
(1) Definitions. In this section:
AB40,606,1313 (a) "Department" means the department of health services.
AB40,606,1914 (b) "Public assistance" means any services provided as a benefit under a
15long-term care program, as defined in s. 49.496 (1) (bk), that may be recoverable
16under s. 49.496 (3) (a); medical assistance under subch. IV that may be recoverable
17under s. 49.496 (3) (a); long-term community support services funded under s. 46.27
18(7) that may be recoverable under s. 46.27 (7g) (c) 1.; or aid under s. 49.68, 49.683,
19or 49.685 that may be recoverable under s. 49.682 (2) (a).
AB40,606,2020 (c) "Recipient" means a person who received public assistance.
AB40,606,23 21(2) Creation of documents for recording. The department shall create all of
22the following for recording in the office of the register of deeds in the real estate
23records index:
AB40,607,524 (a) A document entitled "REQUEST FOR NOTICE OF TRANSFER OR
25ENCUMBRANCE AND NOTICE OF POTENTIAL CLAIM," which shall require

1notice to the department with respect to any transfer of title to, placement of an
2encumbrance on, or termination of an interest in, the property to which the document
3relates and which shall provide notice that the department may have a claim against
4the property to which the document relates on the basis of providing public
5assistance to an individual who has or had a legal interest in the property.
AB40,607,126 (b) A document entitled "TERMINATION OF REQUEST FOR NOTICE OF
7TRANSFER OR ENCUMBRANCE AND NOTICE OF POTENTIAL CLAIM," which
8shall provide notice that, with respect to property against which a REQUEST FOR
9NOTICE OF TRANSFER OR ENCUMBRANCE AND NOTICE OF POTENTIAL
10CLAIM has been recorded, no notice to the department is required when title to the
11property is transferred, an encumbrance is placed on the property, or an interest in
12the property is terminated.
AB40,607,2213 (c) A document entitled "CERTIFICATE OF CLEARANCE," which shall
14provide notice that, with respect to property against which a REQUEST FOR
15NOTICE OF TRANSFER OR ENCUMBRANCE AND NOTICE OF POTENTIAL
16CLAIM has been recorded, but against which a TERMINATION OF REQUEST FOR
17NOTICE OF TRANSFER OR ENCUMBRANCE AND NOTICE OF POTENTIAL
18CLAIM has not been recorded, the department has no objection to the transfer of title
19to, placement of an encumbrance on, or termination of an interest in, the property,
20and that no notice to the department is required in the future when title to the
21property is transferred, an encumbrance is placed on the property, or an interest in
22the property is terminated.
AB40,608,3 23(3) Recording of request for notice and termination of request for notice.
24(a) 1. Whenever an individual becomes eligible for public assistance, and at any time
25during the time that an individual is eligible for public assistance, the department

1may record a REQUEST FOR NOTICE OF TRANSFER OR ENCUMBRANCE AND
2NOTICE OF POTENTIAL CLAIM if the individual has any of the following
3ownership interests in real property:
AB40,608,54 a. A current ownership interest in real property, including a marital property
5interest.
AB40,608,96 b. At any time within 5 years before the individual applied for public assistance
7or during the time that the individual is eligible for public assistance, a marital
8property interest in real property with his or her current spouse, if that spouse
9currently holds title to the real property.
AB40,608,1210 2. The department shall record the document in the office of the register of
11deeds of the county in which the real property under subd. 1. a. or b., whichever is
12applicable, is located.
AB40,608,1413 3. In this paragraph, an interest in real property includes a vendee's or vendor's
14interest in a land contract or an interest in real property held in a revocable trust.
AB40,608,2415 (b) Whenever the department determines that, with respect to property
16against which a REQUEST FOR NOTICE OF TRANSFER OR ENCUMBRANCE
17AND NOTICE OF POTENTIAL CLAIM has been recorded, the department no
18longer requires notice when title to the property is transferred, an encumbrance is
19placed on the property, or an interest in the property is terminated, the department
20shall record a TERMINATION OF REQUEST FOR NOTICE OF TRANSFER OR
21ENCUMBRANCE AND NOTICE OF POTENTIAL CLAIM in the office of the
22register of deeds of the county in which the REQUEST FOR NOTICE OF
23TRANSFER OR ENCUMBRANCE AND NOTICE OF POTENTIAL CLAIM with
24respect to the property was recorded.
AB40,609,10
1(3m) Disclosure of request for notice. If, in the course of a title search on
2real property, a title insurance company or agent finds that a REQUEST FOR
3NOTICE OF TRANSFER OR ENCUMBRANCE AND NOTICE OF POTENTIAL
4CLAIM has been recorded against the property but a TERMINATION OF
5REQUEST FOR NOTICE OF TRANSFER OR ENCUMBRANCE AND NOTICE OF
6POTENTIAL CLAIM has not been recorded against the property, the title insurance
7company or agent shall disclose that a REQUEST FOR NOTICE OF TRANSFER OR
8ENCUMBRANCE AND NOTICE OF POTENTIAL CLAIM has been recorded
9against the property in any report submitted preliminary to issuing, or in any
10commitment to offer, a certificate of title insurance for the real property.
AB40,609,18 11(4) Transferring, encumbering, or terminating an interest in property;
12clearance by the department.
(a) Any person transferring title to, encumbering, or
13terminating an interest in, property against which a REQUEST FOR NOTICE OF
14TRANSFER OR ENCUMBRANCE AND NOTICE OF POTENTIAL CLAIM has
15been recorded, but against which a TERMINATION OF REQUEST FOR NOTICE
16OF TRANSFER OR ENCUMBRANCE AND NOTICE OF POTENTIAL CLAIM has
17not been recorded, shall notify the department of the proposed transfer,
18encumbrance, or termination of interest.
AB40,609,2319 (b) If, on the date that the person sends the notice under par. (a), the recipient
20who had the ownership interest in the property when the department recorded the
21REQUEST FOR NOTICE OF TRANSFER OR ENCUMBRANCE AND NOTICE OF
22POTENTIAL CLAIM is alive, the person may transfer title to, encumber, or
23terminate an interest in, the property with no further action by the department.
AB40,610,224 (c) If, on the date that the person sends the notice under par. (a), the recipient
25who had the ownership interest in the property when the department recorded the

1REQUEST FOR NOTICE OF TRANSFER OR ENCUMBRANCE AND NOTICE OF
2POTENTIAL CLAIM is deceased, all of the following apply:
AB40,610,53 1. The department shall determine whether it has a claim against the property
4for amounts paid on behalf of the recipient that are recoverable under s. 46.27 (7g)
5(c) 1., 49.496 (3) (a), or 49.682 (2) (a).
AB40,610,106 2. If the department determines that it has no claim under subd. 1., the
7department shall issue to the person seeking to transfer title to, encumber, or
8terminate an interest in, the real property a CERTIFICATE OF CLEARANCE,
9which the person shall record along with the instrument transferring title to,
10encumbering, or terminating the interest in, the property.
AB40,610,1211 3. If the department determines that it has a claim under subd. 1., the
12department shall follow the procedure under sub. (5).
AB40,610,1513 4. Transferring title to, encumbering, or terminating an interest in, the
14property is not valid unless the department issues to the person, and the person
15records, a CERTIFICATE OF CLEARANCE.
AB40,610,17 16(5) Procedure if department has a claim against real property. (a) This
17subsection applies in any of the following situations:
AB40,610,1918 1. If the department determines that it has a claim against real property under
19sub. (4) (c) 1.
AB40,611,220 2. Upon the death of a recipient who, immediately before death, had an
21ownership interest in real property, including a marital property interest, or whose
22surviving spouse has an ownership interest in real property in which the recipient
23had a marital property interest with that spouse at any time within 5 years before
24the recipient applied for public assistance or during the time that the recipient was
25eligible for public assistance, regardless of whether the department recorded a

1REQUEST FOR NOTICE OF TRANSFER OR ENCUMBRANCE AND NOTICE OF
2POTENTIAL CLAIM with respect to the property.
AB40,611,73 (b) Unless the property is being transferred under s. 867.03 or through formal
4or informal administration of the recipient's estate, the department shall send to the
5person providing the notice to the department under sub. (4) (a), or to the surviving
6owner of the property, whichever is applicable, a statement of claim that states all
7of the following:
AB40,611,98 1. That the department has a claim against the property that it intends to
9recover from the property.
AB40,611,1010 2. The amount of and basis for the claim.
AB40,611,1411 3. That the person has a right to an administrative hearing under par. (bm),
12which must be requested within 45 days after the department sent the statement of
13claim, on the extent and fair market value of the recipient's interest in the property
14and how to request an administrative hearing.
AB40,611,1715 4. That the transferee of the recipient's interest in the property or the surviving
16owner of the property may request from the department a hardship waiver and how
17to request a hardship waiver.
AB40,611,2218 (bm) A person who receives a statement of claim from the department under
19par. (b) is entitled to and may, within 45 days after the department sent the
20statement of claim, request a departmental fair hearing on the value of the property
21and the extent of the recipient's interest in the property. The value of the recipient's
22interest in the property shall be determined in the manner provided in s. 49.849 (5c).
AB40,612,223 (c) The department may recover against the property in the manner
24determined by the department to be appropriate, including by placing a lien on the

1property. Subject to par. (d), the department may enforce a lien on the property by
2foreclosure in the same manner as a mortgage on real property.
AB40,612,43 (d) The department may not enforce a lien under par. (c) as long as any of the
4following is alive:
AB40,612,55 1. The recipient's spouse.
AB40,612,76 2. The recipient's child who is under age 21 or disabled, as defined in s. 49.468
7(1) (a) 1.
AB40,612,108 (e) If the recipient's surviving spouse or child who is under age 21 or disabled
9refinances a mortgage on the property, any lien under par. (c) is subordinate to the
10new encumbrance.
AB40,612,1211 (f) The department shall release a lien under par. (c) that the department could
12not enforce because of par. (d), if any of the following applies:
AB40,612,1513 1. The recipient's surviving spouse or child who is under age 21 or disabled sells
14the property for fair market value, as described in s. 49.849 (5c) (d), during the
15spouse's or child's lifetime.
AB40,612,2216 2. The recipient's surviving spouse or child who is under age 21 or disabled
17transfers the property for less than fair market value, as described in s. 49.849 (5c)
18(d), during the spouse's or child's lifetime, the transferee sells the property during the
19spouse's or child's lifetime and places proceeds equal to the lesser of the department's
20lien or the sale proceeds due to the seller in a trust or bond, and the department is
21paid the secured amount upon the death of the recipient's spouse or disabled child
22or when the recipient's child who is not disabled reaches age 21.
AB40,613,423 3. The surviving owner or transferee of the property, who is not the recipient's
24surviving spouse or child who is under age 21 or disabled, sells the property during
25the lifetime of the recipient's surviving spouse or child who is under age 21 or

1disabled and places proceeds equal to the lesser of the department's lien or the sale
2proceeds due to the seller in a trust or bond, and the department is paid the secured
3amount upon the death of the recipient's spouse or disabled child or when the
4recipient's child who is not disabled reaches age 21.
AB40,1222 5Section 1222. 49.849 of the statutes is created to read:
AB40,613,7 649.849 Recovery of correct payments under certain public assistance
7programs.
(1) Definitions. In this section:
AB40,613,98 (a) "Decedent" means a deceased recipient or a deceased nonrecipient surviving
9spouse, whichever is applicable.
AB40,613,1010 (b) "Department" means the department of health services.
AB40,613,1311 (c) "Nonrecipient surviving spouse" means any person who was married to a
12recipient while the recipient was receiving public assistance and who survived the
13recipient.
AB40,613,1814 (d) 1. "Property of a decedent" means all real and personal property to which
15the recipient held any legal title or in which the recipient had any legal interest
16immediately before death, to the extent of that title or interest, including assets
17transferred to a survivor, heir, or assignee through joint tenancy, tenancy in common,
18survivorship, life estate, living trust, or any other arrangement.
AB40,613,2419 2. Notwithstanding subd. 1., "property of a decedent" includes all real and
20personal property in which the nonrecipient surviving spouse had an ownership
21interest at the recipient's death and in which the recipient had a marital property
22interest with that nonrecipient surviving spouse at any time within 5 years before
23the recipient applied for public assistance or during the time that the recipient was
24eligible for public assistance.
AB40,614,4
1(e) "Public assistance" means any services provided as a benefit under a
2long-term care program, as defined in s. 49.496 (1) (bk), medical assistance under
3subch. IV, long-term community support services funded under s. 46.27 (7), or aid
4under s. 49.68, 49.683, or 49.685.
AB40,614,55 (f) "Recipient" means a person who received public assistance.
AB40,614,10 6(2) Recoverable amounts. (c) There is a presumption, which may be rebutted
7by clear and convincing evidence, that all property of the deceased nonrecipient
8surviving spouse was marital property held with the recipient and that 100 percent
9of the property of the deceased nonrecipient surviving spouse is subject to the
10department's claim under par. (a).
AB40,614,17 11(3) Transmittal of property upon receipt of affidavit. (a) Any property of a
12decedent that is transferred by a person who has possession of the property at the
13time of the decedent's death is subject to the right of the department to recover the
14amounts specified in sub. (2) (a). Upon request, the person who transferred the
15property shall provide to the department information about the property of the
16decedent that the person has transferred and information about the persons to whom
17the property was transferred.
AB40,614,1918 (c) An affidavit under this subsection shall contain all of the following
19information:
AB40,614,2120 1. That the department has a claim against the property that it intends to
21recover from the property.
AB40,614,2222 2. The amount of and basis for the claim.
AB40,615,223 3. That the person may have a right to an administrative hearing under sub.
24(5m), which must be requested within 45 days after the department sent the

1affidavit, on the extent and fair market value of the recipient's interest in the
2property.
AB40,615,33 4. How to request an administrative hearing under sub. (5m).
AB40,615,54 5. That the person may request from the department a hardship waiver, if the
5person co-owned the property with the decedent or is a beneficiary of the property.
AB40,615,66 6. How to request a hardship waiver under subd. 5.
AB40,615,8 7(4) Recovery against real property. (c) All of the following apply to a lien
8under par. (a) that the department may not enforce because of par. (b):
AB40,615,119 1. If the decedent's surviving spouse or child who is under age 21 or disabled
10refinances a mortgage on the real property, the lien is subordinate to the new
11encumbrance.
AB40,615,1312 2. The department shall release the lien in the circumstances described in s.
1349.848 (5) (f).
AB40,615,18 14(4m) Allowable costs of sale of real property. (a) Subject to par. (b), if any
15property of a decedent that is real property has been sold after the death of the
16decedent, only the following reasonable expenses, if any, incurred in preserving or
17disposing of the real property may be deducted from the sale proceeds that the
18department may recover:
AB40,615,2019 1. Closing costs of sale, including reasonable attorney fees of the seller, the cost
20of title insurance, and recording costs.
AB40,615,2121 2. Property insurance premiums.
AB40,615,2222 3. Property taxes due.
AB40,615,2323 4. Utility costs necessary to preserve the property.
AB40,616,3
15. Expenses incurred in providing necessary maintenance or making necessary
2repairs, without which the salability of the property would be substantially
3impaired.
AB40,616,64 (b) Any expense under par. (a) may be deducted from the sale proceeds only if
5it is documented and approved by the department and it was not incurred while any
6other individual was living on the property.
AB40,616,8 7(5c) Value of recipient's interest. For purposes of determining the value of
8the recipient's interest in property of the decedent, all of the following apply:
AB40,616,129 (a) If the recipient held title to real property jointly with one or more persons
10other than his or her spouse, the recipient's interest in the real property is equal to
11the fractional interest that the recipient would have had in the property if the
12property had been held with the other owner or owners as tenants in common.
AB40,616,1513 (b) If the recipient held title to personal property jointly with one or more
14persons other than his or her spouse, the recipient's interest in the personal property
15is equal to either of the following:
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