SB233: Bill Text

LRB-2756/1

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2015 - 2016 LEGISLATURE

2015 Senate BILL 233

August 20, 2015 - Introduced by Senators Cowles and Lasee, cosponsored by Representatives Steffen, Macco, Genrich, Jacque, Jarchow, Knodl, Kitchens, Murphy, Mursau, Nygren, Quinn and Tauchen. Referred to Committee on Revenue, Financial Institutions, and Rural Issues.

SB233,1,4 An Act to amend 20.835 (4) (ge) and 77.76 (3p); and to create 77.76 (5) of the statutes; relating to: distributing excess sales tax revenue collected by a local professional football stadium district to Brown County and the municipalities within Brown County and making an appropriation.

Analysis by the Legislative Reference Bureau

This bill requires the Department of Revenue (DOR) to distribute excess sales tax revenue collected from the local professional football stadium district to Brown County and to the municipalities within Brown County. After the district certifies to DOR that it has paid the district's bond obligations and fully funded reserves for maintenance and operating costs, DOR must distribute 25 percent of the excess revenue to Brown County to use for redeveloping the Brown County arena. Brown County, however, may not spend the revenue without first adopting a resolution specifying how the money will be used and how much money will be used. DOR must distribute the remaining 75 percent of the excess revenue to the municipalities within Brown County in proportion to each municipality's population compared to the entire population of Brown County. The municipalities may use the revenue for property tax relief, tax levy supported debt relief, or economic development. A municipality, however, may not spend the revenue without first adopting a resolution specifying how the money will be used and how much money will be used.

For further information see the state and local 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:

SB233,1 Section 1. 20.835 (4) (ge) of the statutes is amended to read:

SB233,2,9 20.835 (4) (ge) Local professional football stadium district taxes. All moneys received from the taxes imposed under s. 77.706, and from the appropriation account under s. 20.566 (1) (ge), for the purpose of distribution to the special districts that adopt a resolution imposing taxes under subch. V of ch. 77, and for the purpose of financing a local professional football stadium district, and for the purpose of making the payments under s. 77.76 (5) (a), except that, of those tax revenues collected under subch. V of ch. 77, 1.5% shall be credited to the appropriation account under s. 20.566 (1) (ge).

SB233,2 Section 2. 77.76 (3p) of the statutes is amended to read:

SB233,3,10 77.76 (3p) From Except as provided in sub. (5), from the appropriation under s. 20.835 (4) (ge) the department of revenue shall distribute 98.5% of the taxes reported for each local professional football stadium district that has imposed taxes under this subchapter, minus the district portion of the retailers' discount, to the local professional football stadium district no later than the end of the 3rd month following the end of the calendar quarter in which such amounts were reported. At the time of distribution the department of revenue shall indicate the taxes reported by each taxpayer. In this subsection, the "district portion of the retailers' discount" is the amount determined by multiplying the total retailers' discount by a fraction the numerator of which is the gross local professional football stadium district sales and use taxes payable and the denominator of which is the sum of the gross state and local professional football stadium district sales and use taxes payable. The local professional football stadium district taxes distributed shall be increased or decreased to reflect subsequent refunds, audit adjustments and all other adjustments of the local professional football stadium district taxes previously distributed. Interest paid on refunds of local professional football stadium district sales and use taxes shall be paid from the appropriation under s. 20.835 (4) (ge) at the rate paid by this state under s. 77.60 (1) (a). Any local professional football stadium district receiving a report under this subsection is subject to the duties of confidentiality to which the department of revenue is subject under s. 77.61 (5) and (6).

SB233,3 Section 3. 77.76 (5) of the statutes is created to read:

SB233,3,15 77.76 (5) (a) If a local professional football stadium district in Brown County makes all the certifications to the department of revenue under s. 229.825 (3), the department shall distribute the taxes imposed by or collected for the district under s. 77.706 from April 1, 2015, to September 30, 2015, as follows:

SB233,3,16 1. Twenty-five percent of such taxes to Brown County.

SB233,3,21 2. Seventy-five percent of such taxes to the cities, villages, and towns in Brown County in proportion to the population of each such city, village, and town in the county compared to the county's entire population. For purposes of this subdivision, the department shall use the population determined under s. 16.96 for the county and for each city, village, and town in the county.

SB233,4,2 (b) 1. Brown County shall deposit the revenue received under par. (a) 1. into a segregated account established and controlled by the county to use only for the purpose of redeveloping the Brown County arena and land on which the arena is located. The county may not make expenditures from the segregated account unless the county board adopts a resolution specifying the purpose for which the revenues will be spent and the amount of the revenues to be spent for that purpose.

SB233,4,9 2. Each municipality that receives revenue under par. (a) 2. shall deposit the revenue into a segregated account established and controlled by the municipality to use only for the purpose of providing property tax relief, tax levy supported debt relief, or economic development. A municipality may not make expenditures from the segregated account unless the municipality's governing body adopts a resolution specifying the purpose for which the revenues will be spent and the amount of the revenues to be spent for that purpose.

SB233,4,14 (c) If the local professional football stadium district receives from the department any of the taxes imposed by or collected for the district under s. 77.706 from April 1, 2015, to September 30, 2015, the district shall return those taxes to the department, in the manner prescribed by the department, so that the department may distribute the taxes as provided in par. (a).

SB233,4,22 (d) The department shall distribute, as provided under par. (a), the taxes imposed by or collected for the district under s. 77.706 from April 1, 2015, to September 30, 2015, including the amounts returned under par. (c), no later than December 31, 2015. The department shall distribute, as provided under par. (a), any additional amounts collected for the district under s. 77.706 after September 30, 2015, including interest, penalties, and amounts due as a result of an audit determination, annually beginning on October 1, 2016, and on October 1 of each year thereafter.

SB233,5,2 (e) Subsection (3p), as it relates to calculating the distribution from the appropriation under s. 20.835 (4) (ge), applies to calculating the distribution from that appropriation under this subsection. Interest paid on refunds of local professional football stadium district sales and use taxes issued by the department on or after April 1, 2015, shall reduce the amounts distributed under this subsection.

SB233,5,3 (End)