SB148: Bill Text

Under current law, the Wisconsin Economic Development Corporation (WEDC) is an authority, which is a public body corporate and politic, that has as its primary function the development, implementation, and administration of economic development programs in Wisconsin. Also under current law, the Wisconsin Housing and Economic Development Authority (WHEDA) is an authority whose primary function is to establish and administer housing programs in Wisconsin, especially housing programs for persons and families of low and moderate income. Like WEDC, WHEDA is also tasked with developing, implementing, and administering economic development programs in the state.

This bill merges WEDC and WHEDA into a new, successor authority to be known as the Forward Wisconsin Development Authority (authority). Under the bill, the authority is governed by a 12-member board of directors (board). Eight members of the board are public members nominated by the governor and appointed with the advice and consent of the senate to serve four-year terms. Two members of the board are appointed by the speaker of the assembly, consisting of one majority and one minority party assembly representative, and two members of the board are appointed by the senate majority leader, consisting of one majority and one minority party senator.

The bill also requires the governor to nominate a chief executive officer and chief operating officer of the authority. The chief executive officer must be approved by the board and appointed with the advice and consent of the senate. The chief operating officer is appointed upon approval of the board. Both officers serve at the pleasure of the governor. The board may delegate to the chief executive officer and the chief operating officer any powers and duties the board considers proper.

Under the bill, the board has all powers necessary or convenient to carry out the authority's purposes and other powers specified in the bill. The bill generally does not alter the existing housing and economic development programs that will be administered by the new authority, except as follows. Under current law, a recipient of a WEDC grant or loan of at least $100,000 must provide WEDC a schedule of expenditures within 120 days after the end of the fiscal year in which the grant or loan funds were expended and must engage an independent certified public accountant to determine whether the grant or loan funds and any matching cash or in-kind match were expended in accordance with the grant or loan contract.

Under the bill, any recipient of a grant or loan under an economic development program administered by the authority, regardless of the amount of the grant or loan, must, within the timeframe specified above or at a different time established in policies and procedures approved by the board, submit to the authority an attestation verifying that the grant or loan funds and any matching cash or in-kind match were expended in accordance with the grant or loan contract. The grant or loan recipient must make the documents supporting the attestation available for inspection by the authority. Additionally, the bill requires a recipient of an economic development grant or loan of at least $500,000 to engage an independent certified public accountant to determine whether the grant or loan funds and any matching cash or in-kind match were expended in accordance with the grant or loan contract. The bill exempts from all of these requirements a state department, independent agency, or authority and the University of Wisconsin System.

The bill also establishes a Wisconsin housing finance fund under the jurisdiction and control of the authority. The primary purpose of fund is to segregate the authority's assets in connection with the authority's housing-related purposes. The bill transfers most of WHEDA's assets to the Wisconsin housing finance fund.

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:

SB148,1 Section 1. 1.12 (1) (b) of the statutes is amended to read:

SB148,7,7 1.12 (1) (b) "State agency" means an office, department, agency, institution of higher education, the legislature, a legislative service agency, the courts, a judicial branch agency, an association, society, or other body in state government that is created or authorized to be created by the constitution or by law, for which appropriations are made by law, excluding the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority.

SB148,2 Section 2. 7.33 (1) (c) of the statutes is amended to read:

SB148,7,11 7.33 (1) (c) "State agency" has the meaning given under s. 20.001 (1) and includes an authority created under subch. II of ch. 114 or ch. 231, 232, 233, 234, or 237.

SB148,3 Section 3. 13.172 (1) of the statutes is amended to read:

SB148,8,4 13.172 (1) In this section, "agency" means an office, department, agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, and any authority created in subch. II of ch. 114 or in ch. 231, 233, 234, 238 235, or 279.

SB148,4 Section 4. 13.48 (10) (b) 6. of the statutes is amended to read:

SB148,8,7 13.48 (10) (b) 6. Projects of the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority.

SB148,5 Section 5. 13.48 (12) (b) 5. of the statutes is amended to read:

SB148,8,10 13.48 (12) (b) 5. A facility constructed by or for the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority.

SB148,6 Section 6. 13.48 (13) (a) of the statutes is amended to read:

SB148,8,24 13.48 (13) (a) Except as provided in par. (b) or (c), every building, structure or facility that is constructed for the benefit of or use of the state, any state agency, board, commission or department, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority, or any local professional baseball park district created under subch. III of ch. 229 if the construction is undertaken by the department of administration on behalf of the district, shall be in compliance with all applicable state laws, rules, codes and regulations but the construction is not subject to the ordinances or regulations of the municipality in which the construction takes place except zoning, including without limitation because of enumeration ordinances or regulations relating to materials used, permits, supervision of construction or installation, payment of permit fees, or other restrictions.

SB148,7 Section 7. 13.62 (2) of the statutes is amended to read:

SB148,9,4 13.62 (2) "Agency" means any board, commission, department, office, society, institution of higher education, council, or committee in the state government, or any authority created in subch. II of ch. 114 or in ch. 231, 232, 233, 234 235, 237, 238, or 279, except that the term does not include a council or committee of the legislature.

SB148,8 Section 8. 13.625 (9) of the statutes is amended to read:

SB148,9,11 13.625 (9) This section does not apply to the solicitation, acceptance, or furnishing of anything of pecuniary value by the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority, or to a principal furnishing anything of pecuniary value to the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority, under s. 19.56 (3) (e) or (f) for the activities specified in s. 19.56 (3) (e).

SB148,9 Section 9. 13.94 (1) (dr) of the statutes is amended to read:

SB148,9,19 13.94 (1) (dr) Biennially, beginning in 2013 2017, conduct a financial audit of the Wisconsin Economic Development Corporation and a program evaluation audit of the economic development programs administered by the Wisconsin Economic Development Corporation under ch. 238 Forward Wisconsin Development Authority and funded by moneys appropriated under s. 20.885 or another appropriation. The legislative audit bureau shall file a copy of each audit report under this paragraph with the distributees specified in par. (b).

SB148,10 Section 10. 13.94 (1) (ms) of the statutes is repealed.

SB148,11 Section 11. 13.94 (1s) (c) 5. of the statutes is amended to read:

SB148,9,24 13.94 (1s) (c) 5. The Wisconsin Economic Development Corporation Forward Wisconsin Development Authority for the cost of the audit required to be performed under sub. (1) (dr).

SB148,12 Section 12. 13.94 (4) (a) 1. of the statutes is amended to read:

SB148,10,17 13.94 (4) (a) 1. Every state department, board, examining board, affiliated credentialing board, commission, independent agency, council or office in the executive branch of state government; all bodies created by the legislature in the legislative or judicial branch of state government; any public body corporate and politic created by the legislature including specifically the Fox River Navigational System Authority, the Lower Fox River Remediation Authority, the Wisconsin Aerospace Authority, the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority, a professional baseball park district, a local professional football stadium district, a local cultural arts district and a long-term care district under s. 46.2895; every Wisconsin works agency under subch. III of ch. 49; every provider of medical assistance under subch. IV of ch. 49; technical college district boards; every county department under s. 51.42 or 51.437; every nonprofit corporation or cooperative or unincorporated cooperative association to which moneys are specifically appropriated by state law; and every corporation, institution, association or other organization which receives more than 50% of its annual budget from appropriations made by state law, including subgrantee or subcontractor recipients of such funds.

SB148,13 Section 13. 13.95 (intro.) of the statutes is amended to read:

SB148,11,6 13.95 Legislative fiscal bureau. (intro.) There is created a bureau to be known as the "Legislative Fiscal Bureau" headed by a director. The fiscal bureau shall be strictly nonpartisan and shall at all times observe the confidential nature of the research requests received by it; however, with the prior approval of the requester in each instance, the bureau may duplicate the results of its research for distribution. Subject to s. 230.35 (4) (a) and (f), the director or the director's designated employees shall at all times, with or without notice, have access to all state agencies, the University of Wisconsin Hospitals and Clinics Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority, and the Fox River Navigational System Authority, and to any books, records, or other documents maintained by such agencies or authorities and relating to their expenditures, revenues, operations, and structure.

SB148,14 Section 14. 15.137 (2) (a) 3m. of the statutes is amended to read:

SB148,11,10 15.137 (2) (a) 3m. The chief executive officer of the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority or his or her designee.

SB148,15 Section 15. 15.435 (1) (a) 1. of the statutes is amended to read:

SB148,11,14 15.435 (1) (a) 1. The chief executive officer of the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority and the secretary of revenue or their designees.

SB148,16 Section 16. 16.002 (2) of the statutes is amended to read:

SB148,11,20 16.002 (2) "Departments" means constitutional offices, departments, and independent agencies and includes all societies, associations, and other agencies of state government for which appropriations are made by law, but not including authorities created in subch. II of ch. 114 or in ch. 231, 232, 233, 234 235, 237, 238, or 279.

SB148,17 Section 17. 16.004 (4) of the statutes is amended to read:

SB148,12,2 16.004 (4) Freedom of access. The secretary and such employees of the department as the secretary designates may enter into the offices of state agencies and authorities created under subch. II of ch. 114 and under chs. 231, 233, 234 235, 237, 238, and 279, and may examine their books and accounts and any other matter that in the secretary's judgment should be examined and may interrogate the agency's employees publicly or privately relative thereto.

SB148,18 Section 18. 16.004 (5) of the statutes is amended to read:

SB148,12,7 16.004 (5) Agencies and employees to cooperate. All state agencies and authorities created under subch. II of ch. 114 and under chs. 231, 233, 234 235, 237, 238, and 279, and their officers and employees, shall cooperate with the secretary and shall comply with every request of the secretary relating to his or her functions.

SB148,19 Section 19. 16.004 (12) (a) of the statutes is amended to read:

SB148,12,16 16.004 (12) (a) In this subsection, "state agency" means an association, authority, board, department, commission, independent agency, institution, office, society, or other body in state government created or authorized to be created by the constitution or any law, including the legislature, the office of the governor, and the courts, but excluding the University of Wisconsin Hospitals and Clinics Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority, and the Fox River Navigational System Authority.

SB148,20 Section 20. 16.01 (1) of the statutes is amended to read:

SB148,12,23 16.01 (1) In this section, "agency" means any office, department, agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law which is entitled to expend moneys appropriated by law, including the legislature and the courts, and any authority created under subch. II of ch. 114 or ch. 231, 233, or 234 235.

SB148,21 Section 21. 16.045 (1) (a) of the statutes is amended to read:

SB148,13,6 16.045 (1) (a) "Agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or in ch. 231, 232, 233, 234 235, 237, 238, or 279.

SB148,22 Section 22. 16.15 (1) (ab) of the statutes is amended to read:

SB148,13,11 16.15 (1) (ab) "Authority" has the meaning given under s. 16.70 (2), but excludes the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, and the Wisconsin Economic Development Corporation Forward Wisconsin Development Authority.

SB148,23 Section 23. 16.287 (2) (a) of the statutes is amended to read:

SB148,13,19 16.287 (2) (a) For the purposes of ss. 16.75 (3m), 16.855 (10m), 16.87 (2), 18.16, 18.64, 18.77, 25.185, 119.495 (2), 200.57, and 231.27 and 234.35, the department shall establish and periodically update a list of certified minority businesses, minority financial advisers and minority investment firms. Any business, financial adviser or investment firm may apply to the department for certification. For purposes of this paragraph, unless the context otherwise requires, a "business" includes a financial adviser or investment firm.

SB148,24 Section 24. 16.41 (4) of the statutes is amended to read:

SB148,13,22 16.41 (4) In this section, "authority" means a body created under subch. II of ch. 114 or under ch. 231, 233, 234 235, 237, 238, or 279.

SB148,25 Section 25. 16.417 (1) (b) of the statutes is amended to read:

SB148,13,25 16.417 (1) (b) "Authority" means a body created under subch. II of ch. 114 or ch. 231, 232, 233, 234 235, 237, 238, or 279.

SB148,26 Section 26. 16.52 (7) of the statutes is amended to read:

SB148,14,11 16.52 (7) Petty cash account. With the approval of the secretary, each agency that is authorized to maintain a contingent fund under s. 20.920 may establish a petty cash account from its contingent fund. The procedure for operation and maintenance of petty cash accounts and the character of expenditures therefrom shall be prescribed by the secretary. In this subsection, "agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or in ch. 231, 233, 234 235, 237, 238, or 279.

SB148,27 Section 27. 16.528 (1) (a) of the statutes is amended to read:

SB148,14,18 16.528 (1) (a) "Agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or in ch. 231, 233, 234 235, 237, 238, or 279.

SB148,28 Section 28. 16.53 (2) of the statutes is amended to read:

SB148,15,3 16.53 (2) Improper invoices. If an agency receives an improperly completed invoice, the agency shall notify the sender of the invoice within 10 working days after it receives the invoice of the reason it is improperly completed. In this subsection, "agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or in ch. 231, 233, 234 235, 237, 238, or 279.

SB148,29 Section 29. 16.54 (9) (a) 1. of the statutes is amended to read:

SB148,15,10 16.54 (9) (a) 1. "Agency" means an office, department, independent agency, institution of higher education, association, society or other body in state government created or authorized to be created by the constitution or any law, which is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or in ch. 231, 233, 234 235, 237, 238, or 279.

SB148,30 Section 30. 16.70 (2) of the statutes is amended to read:

SB148,15,13 16.70 (2) "Authority" means a body created under subch. II of ch. 114 or under ch. 231, 232, 233, 234, 237, or 279.

SB148,31 Section 31. 16.765 (1) of the statutes is amended to read:

SB148,15,25 16.765 (1) Contracting agencies, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, and the Bradley Center Sports and Entertainment Corporation shall include in all contracts executed by them a provision obligating the contractor not to discriminate against any employee or applicant for employment because of age, race, religion, color, handicap, sex, physical condition, developmental disability as defined in s. 51.01 (5), sexual orientation as defined in s. 111.32 (13m), or national origin and, except with respect to sexual orientation, obligating the contractor to take affirmative action to ensure equal employment opportunities.

SB148,32 Section 32. 16.765 (2) of the statutes is amended to read:

SB148,16,18 16.765 (2) Contracting agencies, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, and the Bradley Center Sports and Entertainment Corporation shall include the following provision in every contract executed by them: "In connection with the performance of work under this contract, the contractor agrees not to discriminate against any employee or applicant for employment because of age, race, religion, color, handicap, sex, physical condition, developmental disability as defined in s. 51.01 (5), sexual orientation or national origin. This provision shall include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. Except with respect to sexual orientation, the contractor further agrees to take affirmative action to ensure equal employment opportunities. The contractor agrees to post in conspicuous places, available for employees and applicants for employment, notices to be provided by the contracting officer setting forth the provisions of the nondiscrimination clause".

SB148,33 Section 33. 16.765 (5) of the statutes is amended to read:

SB148,17,10 16.765 (5) The head of each contracting agency and the boards of directors of the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, and the Bradley Center Sports and Entertainment Corporation shall be primarily responsible for obtaining compliance by any contractor with the nondiscrimination and affirmative action provisions prescribed by this section, according to procedures recommended by the department. The department shall make recommendations to the contracting agencies and the boards of directors of the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, and the Bradley Center Sports and Entertainment Corporation for improving and making more effective the nondiscrimination and affirmative action provisions of contracts. The department shall promulgate such rules as may be necessary for the performance of its functions under this section.

SB148,34 Section 34. 16.765 (6) of the statutes is amended to read:

SB148,17,20 16.765 (6) The department may receive complaints of alleged violations of the nondiscrimination provisions of such contracts. The department shall investigate and determine whether a violation of this section has occurred. The department may delegate this authority to the contracting agency, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, or the Bradley Center Sports and Entertainment Corporation for processing in accordance with the department's procedures.

SB148,35 Section 35. 16.765 (7) (intro.) of the statutes is amended to read:

SB148,18,6 16.765 (7) (intro.) When a violation of this section has been determined by the department, the contracting agency, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, or the Bradley Center Sports and Entertainment Corporation, the contracting agency, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, or the Bradley Center Sports and Entertainment Corporation shall:

SB148,36 Section 36. 16.765 (7) (d) of the statutes is amended to read:

SB148,18,13 16.765 (7) (d) Direct the violating party to take immediate steps to prevent further violations of this section and to report its corrective action to the contracting agency, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, or the Bradley Center Sports and Entertainment Corporation.

SB148,37 Section 37. 16.765 (8) of the statutes is amended to read:

SB148,19,5 16.765 (8) If further violations of this section are committed during the term of the contract, the contracting agency, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, or the Bradley Center Sports and Entertainment Corporation may permit the violating party to complete the contract, after complying with this section, but thereafter the contracting agency, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, or the Bradley Center Sports and Entertainment Corporation shall request the department to place the name of the party on the ineligible list for state contracts, or the contracting agency, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Lower Fox River Remediation Authority, the Wisconsin Economic Development Corporation, or the Bradley Center Sports and Entertainment Corporation may terminate the contract without liability for the uncompleted portion or any materials or services purchased or paid for by the contracting party for use in completing the contract.

SB148,38 Section 38. 16.838 (1) (b) of the statutes is amended to read:

SB148,19,8 16.838 (1) (b) "Authority" means a body created under subch. II of ch. 114 or ch. 231, 232, 233, 234, or 237.

SB148,39 Section 39. 16.85 (2) of the statutes is amended to read:

SB148,19,19 16.85 (2) To furnish engineering, architectural, project management, and other building construction services whenever requisitions therefor are presented to the department by any agency. The department may deposit moneys received from the provision of these services in the account under s. 20.505 (1) (kc) or in the general fund as general purpose revenue — earned. In this subsection, "agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, which is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or in ch. 231, 233, 234 235, 237, 238, or 279.

SB148,40 Section 40. 16.865 (8) of the statutes is amended to read:

SB148,20,10 16.865 (8) Annually in each fiscal year, allocate as a charge to each agency a proportionate share of the estimated costs attributable to programs administered by the agency to be paid from the appropriation under s. 20.505 (2) (k). The department may charge premiums to agencies to finance costs under this subsection and pay the costs from the appropriation on an actual basis. The department shall deposit all collections under this subsection in the appropriation account under s. 20.505 (2) (k). Costs assessed under this subsection may include judgments, investigative and adjustment fees, data processing and staff support costs, program administration costs, litigation costs, and the cost of insurance contracts under sub. (5). In this subsection, "agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or in ch. 231, 232, 233, 234 235, 237, 238, or 279.

SB148,41 Section 41. 16.98 (1) of the statutes is amended to read: