2. That continuation of the child in the home of the parent is contrary to the
welfare of the child.
This bill requires TPR orders, whether voluntary or involuntary, to contain
those findings.
Under current law, a county department of human services or social services
(county department) in a county with a population of 500,000 or more (Milwaukee
County) may place children for adoption. Currently, a county department of a county
with a population of less than 500,000 must be licensed by DHSS before it may place
children for adoption. This bill eliminates the requirement that a county department
in a county with a population of less than 500,000 be licensed by DHSS before it may
place children for adoption. The bill, however, permits those county departments to
place children for adoption only in foster home conversion cases, that is, cases in
which the county department has placed a child in a foster home or treatment foster
home (a foster home that provides structured, professional treatment by trained
individuals) and the foster parents or treatment foster parents now wish to adopt the
child.
Commerce and economic development
Commerce
This bill creates a department of financial institutions (DFI), effective July 1,
1996. The functions of the following agencies are consolidated in DFI and those
agencies are eliminated:
1. The office of the commissioner of banking (OCB).
2. The office of the commissioner of savings and loan (OCSL).
3. The office of the commissioner of securities (OCS).
The bill also:

1. Reorganizes the office of the commissioner of credit unions (OCCU) into the
office of credit unions and attaches that office to DFI for administrative purposes.
2. Transfers from the department of regulation and licensing (DORL) to DFI
regulatory responsibility over mortgage bankers, loan originators and loan
solicitors.
3. Transfers from the office of the secretary of state to DFI the responsibility
for uniform commercial code filings and for federal lien filings and transfers
responsibility for the computerized statewide lien system that is operated in
conjunction with county offices of registers of deeds from the office of the secretary
of state to DFI.
The bill transfers most positions, and the incumbents, from the affected
agencies to DFI, but eliminates 14.5 FTE positions in OCB, 6.0 FTE positions in
OCSL, 8.0 FTE positions in OCS and 2.0 FTE positions in OCCU.
This bill transfers from the office of the secretary of state to the department of
revenue (DOR), effective July 1, 1996, the responsibility for recordkeeping and filing
of business organization records. These functions include the filing of articles of
incorporation or other organizational articles and annual reports of corporations,
limited liability companies, nonprofit corporations and cooperatives, and acting as
agent for service of process for business organizations. The bill does not transfer
incumbent employes.
Beginning January 1, 1996, this bill requires a limited liability company (LLC)
to file an annual report with the office of the secretary of state. An annual report
identifies current information about the LLC, such as the names of members and
managers and the location of the principal business office.
The bill also permits the secretary of state to administratively dissolve an LLC
in certain situations. For example, an LLC may be dissolved if it does not pay fees
or penalties due the secretary of state within one year of the due date, if it does not
maintain a registered agent for service of process or if it does not file an annual
report.
Under current law, if the office of the secretary of state cannot determine a
corporation's principal office for service of notices, the secretary of state may serve
the corporation by publishing a notice in the community that had been previously
designated by the corporation as the location of its principal office. Under this bill,
for purposes of administratively dissolving a corporation, the secretary of state may
serve the corporation by publishing a notice in the official state newspaper.
Under the federal depository institutions deregulation and monetary control
act of 1980, (DIDMCA) a state could elect to opt out of provisions of DIDMCA which
establish federal preemption over a state regarding usury, or interest rate, laws.
Wisconsin elected to opt out and expressly rejected federal preemption in 1981. This
bill repeals the rejection of federal preemption, thereby reestablishing federal
preemption.

This bill increases the annual license fees and the initial investigation fees that
may be charged by the OCB to licensed lenders, insurance premium finance
companies, sellers of checks, motor vehicle sales finance companies, adjustment
service companies, collection agencies and community currency exchanges, financial
services providers that are regulated by the OCB. The bill also makes the
investigation fee nonrefundable.
Currently, the public service commission (PSC), in cooperation with the
department of agriculture, trade and consumer protection (DATCP), administers a
stray voltage program to assist farmers in investigating and correcting problems
caused by stray voltage. This bill expands the scope of the stray voltage program by
directing the PSC to standardize procedures to be followed by public utilities in
investigating stray voltage, to inspect utility stray voltage programs and to conduct
stray voltage training sessions. The bill makes the stray voltage program
permanent. Presently, the program is scheduled to end on August 31, 1995.
The bill also permits the PSC to charge a reasonable fee for its services under
the stray voltage program. Currently, the PSC may charge no more than $100 per
farm for services provided to farmers under the program.
Current law also requires DATCP to conduct research on the effects of stray
voltage on agriculture. This bill eliminates that requirement.
This bill permits the PSC to conduct hearings and investigations using
interactive video conferencing technology or other electronic technology and permits
audio and audiovisual recordings to be used instead of stenographic recordings of
PSC hearings and investigations.
Economic development
Under current law, the department of development (DOD) has general
responsibility for promoting travel in this state by residents of this state and for
promoting tourism to this state by residents of other states and foreign countries.
The division of tourism is created by law in DOD, with an administrator who is
appointed outside the classified service by the secretary of development. Within
DOD is also a council on tourism, which advises the secretary on matters related to
tourism.
On July 1, 1996, this bill transfers the division of tourism, the council on
tourism, all activities and responsibilities of DOD relating to tourism and DOD's
tourism offices and tourist information centers from DOD to the department of
tourism and parks (DTP), created by the bill.
This bill authorizes DOD to administer a loan incentive program, called the
capital access program, in which a commercial lending institution may enroll in the
program loans for the start-up or expansion of a business that employs fewer than
51 full-time employes or that has annual gross sales of less than $5,000,000. Moneys
in 2 reserve accounts that are maintained at the lending institution but owned and
controlled by DOD may be used by DOD to compensate the lending institution for any
losses that it incurs if a borrower defaults on an enrolled loan. One reserve account
is made up of moneys contributed by the lending institution and fees paid by the

borrowers of all loans enrolled in the program by the lending institution and the
other is made up of financial incentives paid by DOD in an amount for each enrolled
loan that equals the amount contributed by the lending institution and the borrower
of that loan. Loans may not be used for refinancing existing debt, for a housing
project or for investment in real estate.
Under current law, DOD administers the export development loan program,
which provides loans to small businesses to enable them to develop their potential
for exporting products or services. This bill eliminates that program and creates in
its place a Wisconsin trade project program. Under this program, DOD may
reimburse an eligible business for certain costs incurred by the business in attending
a foreign trade show or a matchmaker trade delegation event (a trade event with
meetings between businesses that are new to exporting or to the particular export
market and prospective foreign representatives and distributors). An eligible
business is a business that had gross annual sales of $25,000,000 or less in the
calendar year preceding the year in which the business applies for a reimbursement.
The Wisconsin Health and Educational Facilities Authority (WHEFA) under
current law may guarantee the repayment of certain loans made by private lenders
to certain rural health care facilities. Eligible loans are guaranteed from the rural
hospital loan fund, which is managed and controlled by WHEFA. This bill
terminates this program.
Currently, DOD administers the health care provider loan assistance program,
under which DOD may pay up to $25,000 in educational loans on behalf of a health
care provider, defined as a physician's assistant, a nurse-midwife or a nurse
practitioner, who agrees to practice exclusively in an area that is designated by the
federal department of health and human services as having a shortage of primary
medical care professionals.
This bill makes a number of changes in the program. Under the bill, in addition
to an area designated by the federal department of health and human services as
having a shortage of primary care professionals, a health care provider may be
eligible for loan repayment by agreeing to practice in an area such as:
1. A state or federal prison;
2. An American Indian reservation;
3. An area in which the ratio of primary care physicians to the population is less
than one to 25,000; or
4. An area in which there is a chronic unmet need for obstetric services.
The bill also provides that a health care provider must agree to practice
primarily rather than exclusively in an eligible area.
Under DOD's rural economic development program, the rural economic
development board currently may award a grant or make a loan to a business that
has fewer than 25 employes and that is located in a city, village or town that has a
population of 4,000 or less or that is located in a county with a population density of
less than 150 persons per square mile. Under the program, a business that receives
a grant or loan must use it for start-up costs, and a business that received a grant

or loan for start-up costs may receive a grant or loan for working capital or fixed asset
financing or both. The recipient business may be required by the board to contribute
a portion of the cost of the project. The contribution may be in cash or in-kind
services. This bill increases the maximum population of the city, village or town in
which a business that is eligible for a grant or loan may be located to 10,000 or less
and provides that if the board requires a contribution from a recipient business, the
board determines whether the contribution may be in cash or in in-kind services.
Currently, the state main street program assists municipalities in increasing
economic activity in a business area within the municipality while preserving and
building on the business area's historically significant characteristics. From those
municipalities that file applications, DOD annually selects up to 5 to participate in
the program for 3 years each. An 11-member council, called the council on main
street programs, assists DOD in developing plans for the operation and review of the
program and in selecting participants.
This bill changes the number of members of the council from 11 to 15. The
additional 4 members must have expertise or an interest in downtown revitalization.
The bill also changes the number of years for participation in the program by a
municipality from 3 to 5. Finally, the bill makes explicit that a municipality may
apply to participate more than one time and that DOD may select a municipality to
participate more than one time. DOD may give priority in selecting municipalities,
however, to those that have not previously participated.
Forward Wisconsin, Inc., is a private corporation formed to promote economic
development in this state by encouraging business enterprises to locate in this state.
Under current law, DOD is required to promote this state's science and technology
assets in cooperation with Forward Wisconsin, Inc., and, if the secretary of
development considers it appropriate, refer requests from state and local groups for
economic development assistance to Forward Wisconsin, Inc., and contract to pay
Forward Wisconsin, Inc., to establish and implement a nationwide business
development promotion campaign to attract new enterprises to the state and to
encourage the retention and expansion of businesses and jobs in the state.
This bill eliminates, on July 1, 1996, the authority of DOD to contract to pay
Forward Wisconsin, Inc., to establish and implement a nationwide business
development campaign. DOD may, however, still refer economic development
assistance requests to the corporation and must still cooperate with the corporation
to promote the state's science and technology assets.
This bill requires DOD to conduct a study of its business development functions
and those of the small business development centers managed by the University of
Wisconsin-Extension to determine if it would be more efficient to consolidate those
functions. DOD must report its findings to the legislature, the governor and the
secretary of administration by December 31, 1995.
This bill changes the name of DOD to the department of commerce on July 1,
1996.

Correctional system
Adult correctional system
Prison industries
Under current law, the department of corrections (DOC) administers a prison
industries program for the employment of inmates. This bill permits DOC to lease
space within prisons, or within correctional institutions for children, to not more
than 3 private businesses to employ inmates or residents to manufacture products
or components or provide services for sale on the open market. Before any such
business begins, the joint committee on finance (JCF) must hold an informational
hearing and the prison industries board must approve the business. The private
business may not be run as a prison industry, except in regard to payment and
disposition of wages, eligibility of employes for worker's compensation benefits and
the authority of DOC to maintain security and control in its institutions. The private
business would not be subject to provisions that require adherence to state
purchasing requirements, such as the general requirement to purchase from the
lowest responsible bidder; prohibit the sale of many products in the open market;
require the sale of products by prison industries sales personnel; and include all the
industries in a manufacturing and marketing plan and a separate accounting
system.
Current law prohibits the sale in the open market of most goods made by state,
city or county prisoners. Current exceptions apply for items such as farm machinery,
implements and tools. This bill authorizes the sale, in the open market, of
by-products of mattresses and by-products of paint from prison industries recycling
operations. The bill also authorizes tax-supported institutions and nonprofit
agencies to sell, on the open market, products manufactured by inmates of any state
penal institution as part of a hobby-craft program or vocational training.
Currently, DOC administers the prison industries program only in state
prisons. This bill allows DOC to operate prison industries in any DOC correctional
institution for children.
Under current law, state agencies generally must pay interest when they
receive property or services and have a balance due after 31 days. One exception to
this requirement involves situations in which an order or contract is between 2 or
more state agencies. This bill removes the exception if the order or contract involves
prison industries. Thus, in that situation, interest must be paid.
Other adult correctional system
Under current law, DOC has general authority to enter into contracts to
purchase care and services from public or private agencies. This bill specifically
permits DOC to contract with public or private vendors to provide for the supervision
of probationers and parolees who are under minimum or administrative supervision.
These are probationers and parolees who need only infrequent face-to-face contacts
with a probation and parole agent or other representative of DOC. The contract must
authorize any such vendor to charge a fee to the supervised probationers and
parolees.

Under current law, DOC charges and collects fees for certain services that it
provides. This bill requires DOC to charge and collect a fee of $1 per day from
probationers and parolees. A probationer or parolee is exempt from the fee while he
or she is unemployed, in school on a full-time basis, undergoing treatment or unable
to work for medical reasons.
Under current law, if an inmate earns wages and receives medical or dental
services, DOC may require him or her to pay a deductible, coinsurance, copayment
or similar charge upon the services that the inmate receives. This bill requires DOC
to assess the inmate for the deductible, coinsurance, copayment or similar charge if
the inmate requests the services. DOC must charge at least $2.50 for each request.
These provisions are subject to DOC's current authority to waive liability based on
inability to pay.
Under current law, counties are generally responsible for the costs associated
with prisoners in county jails. However, DOC must pay counties for certain costs
relating to the maintenance of a person held, pursuant to a departmental hold order,
in a county jail pending the disposition of his or her parole or probation revocation
proceedings. Counties receive $40 per prisoner per day subject to various
restrictions. In addition, DOC must pay $500,000 in each fiscal year to any county
that had 12,000 or more reimbursable days in the prior fiscal year. This bill requires
that payment to be made to a county with 18,000 or more reimbursable days in a
fiscal year.
Under current law, DOC may not expand the Green Bay Correctional
Institution beyond the institution's walls. This bill permits DOC to expand beyond
the walls on the west and north sides of the institution.
Juvenile correctional system
Under current law, the department of health and social services (DHSS)
operates the juvenile secured correctional facilities known as the Ethan Allen School
and the Lincoln Hills School. Those facilities are used for the placement of children
who have been adjudicated delinquent and placed in one of those facilities under the
supervision of DHSS. Under current law, effective December 1, 1995, DOC will
administer a youthful offender program for children who have been adjudicated
delinquent and ordered to participate in that program. Current law authorizes DOC,
effective December 1, 1995, to operate juvenile secured correctional facilities for the
placement of youthful offender program participants. This bill transfers from DHSS
to DOC, effective July 1, 1996, the Ethan Allen School and the Lincoln Hills School.
Under current law relating to community youth and family aids (generally
referred to as "youth aids"), various state and federal funds are allocated to counties
to pay for state-provided correctional services and local delinquency-related and
juvenile justice services. DHSS charges counties for the costs of services provided
by DHSS. Under current law, youth aids may not be used for children who are placed
in correctional institutions on the basis of having committed certain violent offenses.
Under current law, the cost of care for these children is paid at a specified per person

daily reimbursement rate from general purpose revenue moneys appropriated to
DHSS. Because under this bill, those children may be placed in the serious juvenile
offender program administered by DOC, the bill eliminates payment for those
children from general purpose revenues appropriated to DHSS effective July 1, 1996.
The bill also provides the amount of youth aids funds allocated to counties for
the 1995-97 state fiscal biennium and provides new per-person daily cost
assessments upon counties for juvenile placements during the 1995-97 biennium as
follows: - See PDF for table PDF
The bill requires DHSS to submit to the secretary of administration and the
cochairpersons of the joint committee on finance (JCF) proposed rates to counties for
maintaining a child in a juvenile correctional institution during the 1996-97 fiscal
year and requires the secretary, if he or she approves of those rates, to submit
proposed legislation providing for those rates to the cochairpersons of JCF.
The bill requires DHSS to evaluate the formula used by DHSS to allocate youth
aids to counties in light of any changes in the number of children placed under the
supervision of DHSS as a result of amendments in the law made by this bill and to
submit to the secretary of administration and the cochairpersons of JCF a proposed
youth aids formula that reflects that change. If the secretary approves that formula,
he or she must include it in the 1997-99 budget compilation.
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