LRB-4175/1
EVM:ahe
2019 - 2020 LEGISLATURE
December 23, 2019 - Introduced by Representatives Sanfelippo, Allen, Dittrich,
Gundrum, Horlacher, Katsma, Knodl, Kuglitsch, Magnafici, Murphy,
Spiros, Skowronski, Tittl, Tusler and Wichgers, cosponsored by Senators
Craig, Nass, Jacque and Marklein. Referred to Committee on
Transportation.
AB696,2,2 1An Act to repeal 343.44 (4), 343.44 (5), 344.62 (2), 344.64, 344.65 (1) (b), 628.34
2(14) (d) 2. c. and 344.65 (2); to renumber and amend 344.25 and 344.65 (1)
3(a); to amend 165.755 (1) (b), 302.46 (1) (a), 343.05 (2) (a) (intro.), 343.05 (3) (a),
4343.05 (6), 343.44 (1) (a), 343.44 (1) (b), 344.25 (title), 344.26 (1) (a), 344.26 (1)
5(b) (intro.), 344.26 (1) (b) 1., 344.62 (1), 344.65 (1) (c), 757.05 (1) (a), 814.63 (1)
6(c), 814.63 (2), 814.65 (1), 814.85 (1) (a) and 814.86 (1); to repeal and recreate
7344.26 (title); and to create 341.08 (1g), 341.10 (2) (bm), 343.05 (5m), 343.21
8(1) (jg), 344.25 (2m), 344.26 (1) (am), 344.65 (1) (a) 2., 344.65 (1) (a) 3. and 344.65
9(1) (a) 4. of the statutes; relating to: penalties for violations related to the
10motor vehicle liability insurance requirement, proof of financial responsibility,
11requirements for registering motor vehicles, operating a vehicle without an

1operator's license or after suspension or revocation of an operating privilege,
2making an appropriation, and providing a penalty.
Analysis by the Legislative Reference Bureau
This bill changes certain penalties and requirements related to operating a
motor vehicle without sufficient liability insurance, provides for impoundment of
motor vehicles used in certain crimes, expands the coverage of certain crimes related
to operating a motor vehicle without a license, and requires a valid driver's license
to register a motor vehicle.
Liability insurance requirement
Current law prohibits, with certain exceptions, a person from operating a motor
vehicle on a highway unless the vehicle owner or operator has in effect a sufficient
motor vehicle liability insurance policy with respect to the motor vehicle. Any person
who violates this requirement may be required to forfeit not more than $500.
Current law also prohibits a person from operating a motor vehicle on a highway
unless the person has in his or her immediate possession proof that he or she is in
compliance with the insurance requirement.
Under this bill, persons who are operating a motor vehicle on certain
nonhighway areas, including certain parking areas, are also required to have in
effect insurance with respect to the motor vehicle.
This bill repeals the requirement that a person have in his or her immediate
possession proof of compliance with insurance requirements. However, under this
bill, a traffic officer must cite a person for operating without insurance if the traffic
officer does not know that the person is in compliance with the insurance
requirements and the person does not have in his or her immediate possession proof
of compliance. A person, though, may not be convicted of operating without
insurance if the person produces proof that he or she was in compliance with the
insurance requirements at the time he or she was issued a citation for a violation.
This bill also alters the penalties for operating without insurance. Under this
bill, a person who violates the requirement that the owner or operator of a motor
vehicle be insured is subject to the following penalties:
1. A forfeiture of $100 for a first offense.
2. A forfeiture of not less than $250 nor more than $750 for a second or
subsequent offense occurring within three years.
3. If the person, in the course of a second or subsequent violation, causes great
bodily harm to another, a forfeiture of not less than $250 nor more than $2,500.
4. If the person, in the course of a violation, causes the death of another, a
forfeiture of not less than $500 nor more than $7,500.
This bill also provides that, for a first offense, if a person obtains sufficient
motor vehicle liability insurance before the person's appearance in court, the court
may not impose a penalty.

This bill also eliminates the exemption of operating without insurance offenses
from certain surcharges and fees that generally must be paid by persons who violate
traffic laws.
Currently, if the Department of Transportation receives a certified copy of a
judgment for damages of $500 or more arising out of a motor vehicle accident, DOT
must, with certain exceptions, immediately suspend the operating privilege and all
registrations of the person against whom the judgment was rendered unless the
person can provide proof of financial responsibility. Proof of financial responsibility
may be given by filing certification of coverage under a motor vehicle liability
insurance policy with minimum limits for any single accident of $25,000 for bodily
injury to or death of one person, $50,000 for bodily injury to or death of more than
one person, and $10,000 for property damage. Alternatively, proof of financial
responsibility may be furnished by depositing with DOT $60,000 in cash or certain
securities with a market value of $60,000. DOT must then hold the deposit of cash
or securities to satisfy any judgment against the person making the deposit for
damages resulting from the ownership, maintenance, use, or operation of a motor
vehicle, including damages for bodily injury, death, or property damage.
Under this bill, if DOT receives a record of conviction for operating a motor
vehicle on a highway without having in effect a motor vehicle liability insurance
policy with respect to the vehicle, DOT must suspend the person's operating privilege
and all registrations of the person unless the person can provide proof of financial
responsibility. The proof of financial responsibility requirement remains in effect for
three years from the date of conviction.
Registration
Under current law, an application to register or renew the registration of a
vehicle must be made on forms prescribed by DOT and must be accompanied by the
required fee. Under this bill, DOT must require an individual making such an
application to provide a valid operator's license and must refuse registration if a
valid operator's license is not provided.
Impoundment
Current law prohibits a person from operating a motor vehicle on a highway
during any period in which the person's motor vehicle operating privilege is
suspended (operating while suspended or OWS) or revoked (operating after
revocation or OAR) or, with limited exceptions, if the person does not possess a valid
operator's license (operating without a license or OWL). Under this bill, operating
a motor vehicle upon premises held out to the public for the use of their motor
vehicles, premises provided by employers to employees for the use of their motor
vehicles, or premises provided to tenants of rental housing in buildings of four or
more units for the use of their motor vehicle during any period in which the person's
motor vehicle operating privilege is suspended or revoked or if the person does not
possess a valid operator's license is also prohibited. Also under this bill, in addition
to the penalties available under current law, the vehicle used in an OWL, OWS, or
OAR offense will, with an exception, be immediately impounded and may be
impounded for an additional period determined by the court. A person may claim his
or her vehicle after the impoundment period by paying any fine or forfeiture for the

OWL, OWS, or OAR offense and any impoundment fees. Vehicles not claimed more
than 30 days after the end of the impoundment period are subject to sale or other
disposal. Also, under this bill, no vehicle that has been impounded after having been
used in an OWL, OWS, or OAR offense may be released unless the vehicle is
registered with DOT or exempt from registration and the person to whom the vehicle
is released provides a valid operator's license and proof of insurance.
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:
AB696,1 1Section 1 . 165.755 (1) (b) of the statutes is amended to read:
AB696,4,62 165.755 (1) (b) A court may not impose the crime laboratories and drug law
3enforcement surcharge under par. (a) for a violation of s. 101.123 (2) or (2m), for a
4financial responsibility violation under s. 344.62 (2),
or for a violation of a state law
5or municipal or county ordinance involving a nonmoving traffic violation, a violation
6under s. 343.51 (1m) (b), or a safety belt use violation under s. 347.48 (2m).
AB696,2 7Section 2 . 302.46 (1) (a) of the statutes is amended to read:
AB696,4,178 302.46 (1) (a) If a court imposes a fine or forfeiture for a violation of state law
9or for a violation of a municipal or county ordinance except for a violation of s. 101.123
10(2) or (2m), for a financial responsibility violation under s. 344.62 (2), or for a violation
11of state laws or municipal or county ordinances involving nonmoving traffic
12violations, violations under s. 343.51 (1m) (b), or safety belt use violations under s.
13347.48 (2m), the court, in addition, shall impose a jail surcharge under ch. 814 in an
14amount of 1 percent of the fine or forfeiture imposed or $10, whichever is greater.
15If multiple offenses are involved, the court shall determine the jail surcharge on the
16basis of each fine or forfeiture. If a fine or forfeiture is suspended in whole or in part,
17the court shall reduce the jail surcharge in proportion to the suspension.
AB696,3
1Section 3 . 341.08 (1g) of the statutes is created to read:
AB696,5,42 341.08 (1g) The department shall require an individual making an application
3for original registration or for renewal of registration to provide a valid operator's
4license.
AB696,4 5Section 4 . 341.10 (2) (bm) of the statutes is created to read:
AB696,5,66 341.10 (2) (bm) A valid operator's license.
AB696,5 7Section 5 . 343.05 (2) (a) (intro.) of the statutes is amended to read:
AB696,5,128 343.05 (2) (a) (intro.) No person may operate a commercial motor vehicle upon
9a highway or upon premises held out to the public for the use of their motor vehicles,
10premises provided by employers to employees for the use of their motor vehicles, or
11premises provided to tenants of rental housing in buildings of 4 or more units for the
12use of their motor vehicles
in this state unless the person is one of the following:
AB696,6 13Section 6 . 343.05 (3) (a) of the statutes is amended to read:
AB696,5,2014 343.05 (3) (a) No person may operate a motor vehicle which is not a commercial
15motor vehicle upon a highway or upon premises held out to the public for the use of
16their motor vehicles, premises provided by employers to employees for the use of
17their motor vehicles, or premises provided to tenants of rental housing in buildings
18of 4 or more units for the use of their motor vehicle
in this state unless the person
19possesses a valid operator's license issued to the person by the department which is
20not revoked, suspended, canceled, or expired.
AB696,7 21Section 7 . 343.05 (5m) of the statutes is created to read:
AB696,5,2422 343.05 (5m) Impoundment. (a) 1. Except as provided in subd. 2., if a law
23enforcement officer arrests, or issues a citation to, a person for a violation of this
24section or s. 343.44, the officer shall do all of the following:
AB696,5,2525 a. Immediately impound the vehicle used in the violation.
AB696,6,1
1b. Make an inventory of any property contained in the vehicle.
AB696,6,32 c. Contact any rental or leasing agency registered as owner of the vehicle and
3any person registered as a holder of a security interest in the vehicle.
AB696,6,74 2. If the operating privilege of the person violating this section expired in the
56 months before the violation and the person has not been previously charged for a
6violation of this section or s. 343.44, the citing or arresting law enforcement officer
7is not required to take any of the actions under subd. 1.
AB696,6,118 (b) Subject to par. (f), a vehicle that has been impounded under par. (a) shall
9be released without payment of any fee related to the impoundment to a person who
10is found not guilty of the violation of this section or s. 343.44 upon which the
11impoundment is based.
AB696,6,1412 (c) In addition to other penalties for violation of this section or s. 343.44, the
13court may order that any vehicle used in a violation of this section or s. 343.44 be
14impounded. An order for impoundment shall specify all of the following:
AB696,6,1515 1. The motor vehicle subject to the order.
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