Amendment ASA1-AB188

AB188-ASA1,17,23 (3) Program administration. (a) The authority shall enter into a guarantee agreement with any bank, production credit association, credit union, savings bank, savings and loan association or other person who wishes to participate in the drinking water loan guarantee program. The authority may determine all of the following, consistent with the terms of the loan guarantee program:

AB188-ASA1,17,24 1. The form of the agreement.

AB188-ASA1,18,2 2. Any conditions upon which the authority may refuse to enter into such an agreement.

AB188-ASA1,18,4 3. Any procedures required to carry out the agreement, including default procedures and procedures for determining the guaranteed percentage of each loan.

AB188-ASA1,18,8 (b) The authority may not use any moneys other than those in the Wisconsin drinking water reserve fund for the drinking water loan guarantee program, and may not use moneys in the Wisconsin drinking water reserve fund for any programs other than the drinking water loan guarantee program.

AB188-ASA1,18,12 (c) The authority may establish an eligibility criteria review panel, consisting of experts in finance and in the subject area of the drinking water loan guarantee program, to provide advice about lending requirements and issues related to the drinking water loan guarantee program.

AB188-ASA1,18,19 (d) The authority shall ensure that the cash balance in the Wisconsin drinking water reserve fund is sufficient to fund guarantees under the drinking water loan guarantee program at a ratio of $1 of reserve funding to $4 of total outstanding guaranteed principal that the authority may guarantee under the program and to pay all outstanding claims under the program. The authority shall regularly monitor the cash balance in the Wisconsin drinking water reserve fund to ensure that the cash balance is sufficient for the purposes specified in this paragraph.

AB188-ASA1,19,4 (4) Increases or decreases in loan guarantees. The authority may request the joint committee on finance to take action under s. 13.10 to permit the authority to increase or decrease the total outstanding guaranteed principal amount of loans that it may guarantee under the drinking water loan guarantee program. Included with its request, the authority shall provide a projection, for the next June 30, that compares the amounts required on that date to pay outstanding claims and to fund guarantees under the drinking water loan guarantee program, and the balance remaining in the Wisconsin drinking water reserve fund on that date after deducting such amounts, if the increase or decrease is approved, with such amounts and the balance remaining, if the increase or decrease is not approved.

AB188-ASA1,19,8 (5) Annual report. Annually, the authority shall report on the number and total dollar amount of guaranteed loans under the drinking water loan guarantee program, the default rate on the loans and any other information on the program that the authority determines is significant.

AB188-ASA1,19,12 (6) Moral obligation. Recognizing its moral obligation, the legislature expresses its expectation that, if called upon to do so, it shall make an appropriation to meet all demands for funds guaranteed by the Wisconsin drinking water reserve fund.

AB188-ASA1, s. 50 Section 50. 281.58 (1) (ai) of the statutes is created to read:

AB188-ASA1,19,15 281.58 (1) (ai) "Clean water fund program" means the program administered under this section with financial management provided under s. 281.59.

AB188-ASA1, s. 51 Section 51. 281.58 (1) (cg) of the statutes is amended to read:

AB188-ASA1,19,19 281.58 (1) (cg) "Market interest rate" means the interest at the effective rate of a revenue obligation issued by the state to fund a project loan or a portion of a project loan under this section and s. 281.59 the clean water fund program.

AB188-ASA1, s. 52 Section 52. 281.58 (2m) (a) of the statutes is amended to read:

AB188-ASA1,19,22 281.58 (2m) (a) Administer its responsibilities under this section and s. 281.59 the clean water fund program.

AB188-ASA1, s. 53 Section 53. 281.58 (3m) (a) of the statutes is amended to read:

AB188-ASA1,20,3 281.58 (3m) (a) A list of wastewater treatment projects that the department estimates will apply for financial assistance under this section and s. 281.59 the clean water fund program during the next biennium.

AB188-ASA1, s. 54 Section 54. 281.58 (6) (a) (intro.) of the statutes is amended to read:

AB188-ASA1,20,7 281.58 (6) (a) (intro.) The department may determine whether a municipality is eligible for financial assistance under this section and s. 281.59 the clean water fund program for any of the following:

AB188-ASA1, s. 55 Section 55. 281.58 (6) (b) (intro.) of the statutes is amended to read:

AB188-ASA1,20,10 281.58 (6) (b) (intro.) The following methods of providing financial assistance may be used under this section and s. 281.59 the clean water fund program:

AB188-ASA1, s. 56 Section 56. 281.58 (6) (b) 8. of the statutes is amended to read:

AB188-ASA1,20,16 281.58 (6) (b) 8. Providing payments to the board of commissioners of public lands to reduce principal or interest payments, or both, on loans made to municipalities under subch. II of ch. 24 by the board of commissioners of public lands for projects that are eligible for financial assistance under this section and s. 281.59 the clean water fund program.

AB188-ASA1, s. 57 Section 57. 281.58 (7) (a) of the statutes is amended to read:

AB188-ASA1,21,2 281.58 (7) (a) The department shall, by rule, establish criteria for determining which applicants and which projects are eligible to receive financial assistance under this section and s. 281.59 the clean water fund program. The primary criteria for eligibility shall be water quality and public health. The rules for clean water fund projects funded from the account under s. 25.43 (2) (a) shall be consistent with 33 USC 1251 to 1376 and 33 USC 1381 to 1387 and the regulations promulgated thereunder. The rules for clean water fund projects funded from the account under s. 25.43 (2) (b) may be consistent with 33 USC 1251 to 1376 and 33 USC 1381 to 1387 and the regulations promulgated thereunder.

AB188-ASA1, s. 58 Section 58. 281.58 (7) (b) (intro.) of the statutes is amended to read:

AB188-ASA1,21,6 281.58 (7) (b) (intro.) The department may determine whether a municipality is eligible for financial assistance under this section and s. 281.59 the clean water fund program for any of the following types of projects:

AB188-ASA1, s. 59 Section 59. 281.58 (8) (a) (intro.) of the statutes is amended to read:

AB188-ASA1,21,9 281.58 (8) (a) (intro.) The following are not eligible for financial assistance from the clean water fund under this section and s. 281.59 program:

AB188-ASA1, s. 60 Section 60. 281.58 (8) (d) of the statutes is amended to read:

AB188-ASA1,21,16 281.58 (8) (d) An unsewered municipality that is not constructing a treatment work and will be disposing of wastewater in the treatment work of another municipality is not eligible for financial assistance under this section and s. 281.59 the clean water fund program until it executes an agreement under s. 66.30 with another municipality to receive, treat and dispose of the wastewater of the unsewered municipality.

AB188-ASA1, s. 61 Section 61. 281.58 (8) (g) of the statutes is amended to read:

AB188-ASA1,21,20 281.58 (8) (g) The sum of all of the financial assistance to a municipality approved under this section and s. 281.59 the clean water fund program for a project may not result in the municipality paying less than 30% of the cost of the project.

AB188-ASA1, s. 62 Section 62. 281.58 (8) (i) of the statutes is amended to read:

AB188-ASA1,21,24 281.58 (8) (i) After June 30, 1991, no municipality may receive for projects in a biennium an amount that exceeds 35.2% of the amount approved by the legislature under s. 281.59 (3) (d) (3e) (b) for that biennium.

AB188-ASA1, s. 63 Section 63. 281.58 (8) (L) (intro.) of the statutes is amended to read:

AB188-ASA1,22,5 281.58 (8) (L) (intro.) The total amount of capital cost loans made under this section and s. 281.59 the clean water fund program may not exceed $120,000,000, and no capital cost loan funds may be released under this section and s. 281.59 the clean water fund program until the secretary of administration has found in writing that all of the following facts have occurred:

AB188-ASA1, s. 64 Section 64. 281.58 (9) (a) of the statutes is amended to read:

AB188-ASA1,22,15 281.58 (9) (a) After the department approves a municipality's facility plan submitted under sub. (8s), the municipality shall submit an application for participation to the department. The application shall be in such form and include such information as the department and the department of administration prescribe and shall include design plans and specifications that are approvable by the department under this chapter. The department shall review applications for participation in the clean water fund program under this section and s. 281.59. The department shall determine which applications meet the eligibility requirements and criteria under subs. (6), (7), (8), (8m) and (13).

AB188-ASA1, s. 65 Section 65. 281.58 (9) (b) of the statutes is amended to read:

AB188-ASA1,22,20 281.58 (9) (b) A municipality seeking financial assistance, except for a municipality seeking a capital cost loan, for a project under this section and s. 281.59 the clean water fund program shall complete an environmental analysis sequence as required by the department by rule.

AB188-ASA1, s. 66 Section 66. 281.58 (9) (c) of the statutes is amended to read:

AB188-ASA1,22,25 281.58 (9) (c) If a municipality is serviced by more than one sewerage district for wastewater pollution abatement, each service area of the municipality shall be considered a separate municipality for purposes of obtaining financial assistance under this section and s. 281.59 the clean water fund program.

AB188-ASA1, s. 67 Section 67. 281.58 (9) (e) of the statutes is amended to read:

AB188-ASA1,23,11 281.58 (9) (e) If the governor's recommendation, as set forth in the executive budget bill, for the amount under s. 281.59 (3) (d) (3e) (b), the amount available under s. 20.866 (2) (tc) or the amount available under s. 281.59 (4) (f) for a biennium is 85% or less of the amount of present value subsidy, general obligation bonding authority or revenue bonding authority, respectively, requested for that biennium in the biennial finance plan submitted under s. 281.59 (3) (bm) 1., the department shall inform municipalities that, if the governor's recommendations are approved, clean water fund program assistance during a fiscal year of that biennium will only be available to municipalities that submit financial assistance applications by the June 30 preceding that fiscal year.

AB188-ASA1, s. 68 Section 68. 281.58 (9) (f) of the statutes is amended to read:

AB188-ASA1,23,14 281.58 (9) (f) The fees collected under par. (d) shall be credited to the clean water environmental improvement fund.

AB188-ASA1, s. 69 Section 69. 281.58 (9m) (c) of the statutes is amended to read:

AB188-ASA1,23,18 281.58 (9m) (c) The department may approve an application under par. (a) in a year only after the amount under s. 281.59 (3) (d) (3e) (b) for the biennium in which that year falls has been approved by the legislature under s. 281.59 (3) (d) (3e) (b).

AB188-ASA1, s. 70 Section 70. 281.58 (9m) (e) of the statutes is amended to read:

AB188-ASA1,23,24 281.58 (9m) (e) 1. Except as provided under par. (f) and sub. (13), if a sufficient amount of subsidy is available under s. 281.59 (3) (d) (3e) (b) for the municipality's project, based on the calculation under s. 281.59 (3) (i) (3e) (f), when the department approves the application under par. (a), the department of administration shall allocate that amount to the project.

AB188-ASA1,24,4 2. If a sufficient amount of subsidy is not available under s. 281.59 (3) (d) (3e) (b) for the municipality's project when the department approves the application under subd. 1., the department shall place the project on a list for allocation when additional subsidy becomes available.

AB188-ASA1, s. 71 Section 71. 281.58 (9m) (f) (intro.) of the statutes is amended to read:

AB188-ASA1,24,11 281.58 (9m) (f) (intro.) If the amount approved under s. 281.59 (3) (d) (3e) (b), the amount available under s. 20.866 (2) (tc) or the amount available under s. 281.59 (4) (f) for a biennium is 85% or less of the amount of present value subsidy, general obligation bonding authority or revenue bonding authority, respectively, requested for that biennium in the biennial finance plan submitted under s. 281.59 (3) (bm) 1., all of the following apply:

AB188-ASA1, s. 72 Section 72. 281.58 (9m) (g) of the statutes is amended to read:

AB188-ASA1,24,15 281.58 (9m) (g) In allocating subsidy under this subsection, the department of administration shall adhere to the amount approved by the legislature for each biennium under s. 281.59 (3) (d) (3e) (b).

AB188-ASA1, s. 73 Section 73. 281.58 (12) (a) (intro.) of the statutes is amended to read:

AB188-ASA1,24,20 281.58 (12) (a) (intro.) The types of projects for which municipalities may receive loans under this section and s. 281.59 the clean water fund program shall be classified as follows for the purpose of setting the percentage of market interest rates on loans funding such projects:

AB188-ASA1, s. 74 Section 74. 281.58 (12) (c) 1. of the statutes is amended to read:

AB188-ASA1,24,25 281.58 (12) (c) 1. The percentage of market interest rates established shall, to the extent possible, fully allocate the amount of public debt authorized under s. 20.866 (2) (tc), the amount authorized under s. 281.59 (3) (d) (3e) (b) and the amount of revenue obligations authorized under s. 281.59 (4) (f).

AB188-ASA1, s. 75 Section 75. 281.58 (13) (b) (intro.) of the statutes is amended to read:

AB188-ASA1,25,6 281.58 (13) (b) (intro.) A municipality with an application that is approved under sub. (9m) is eligible for financial hardship assistance for the project costs that are eligible under this section and s. 281.59 the clean water fund program, except for costs to which sub. (8) (b), (c), (f) or (h) applies, if the municipality meets all of the following criteria:

AB188-ASA1, s. 76 Section 76. 281.58 (13m) of the statutes is amended to read:

AB188-ASA1,25,12 281.58 (13m) Minority business development and training program. (a) The department shall make grants to projects that are eligible for financial assistance under this section and s. 281.59 the clean water fund program and that are identified as being part of the minority business development and training program under s. 66.905 (2) (b).

AB188-ASA1,25,17 (b) Grants provided under this subsection are not included for the purposes of determining under sub. (8) (i) the amount that a municipality may receive for projects under this section and s. 281.59 the clean water fund program. Grants awarded under this subsection are not considered for the purposes of sub. (9m) (e) or s. 281.59 (3) (d) (3e) (b).

AB188-ASA1, s. 77 Section 77. 281.58 (14) (b) (intro.) of the statutes is amended to read:

AB188-ASA1,25,21 281.58 (14) (b) (intro.) As a condition of receiving financial assistance under this section and s. 281.59 the clean water fund program, a municipality shall do all of the following:

AB188-ASA1, s. 78 Section 78. 281.59 (title) of the statutes is amended to read:

AB188-ASA1,25,24 281.59 (title) Clean water Environmental improvement fund program; financial management.

AB188-ASA1, s. 79 Section 79. 281.59 (1) (a) of the statutes is renumbered 281.59 (1) (am).

AB188-ASA1, s. 80 Section 80. 281.59 (1) (ag) of the statutes is created to read:

AB188-ASA1,26,3 281.59 (1) (ag) "Clean water fund program" means the program administered under s. 281.58, with financial management provided under this section.

AB188-ASA1, s. 81 Section 81. 281.59 (1) (as) of the statutes is created to read:

AB188-ASA1,26,7 281.59 (1) (as) "Land recycling loan program" means the program administered under s. 281.60, with financial management provided under this section.

AB188-ASA1, s. 82 Section 82. 281.59 (1) (b) of the statutes is amended to read:

AB188-ASA1,26,12 281.59 (1) (b) "Market interest rate" means the interest at the effective rate of a revenue obligation issued by the state to fund a project loan or a portion of a project loan under this section and s. 281.58 for a project under the clean water fund program.

AB188-ASA1, s. 83 Section 83. 281.59 (1) (cm) of the statutes is created to read:

AB188-ASA1,26,16 281.59 (1) (cm) "Safe drinking water loan program" means the program administered under s. 281.61, with financial management provided under this section.

AB188-ASA1, s. 84 Section 84. 281.59 (1) (d) of the statutes is amended to read:

AB188-ASA1,26,21 281.59 (1) (d) "Subsidy" means the amounts provided by the clean water from the environmental improvement fund to clean water fund program, safe drinking water loan program and land recycling loan program projects receiving financial assistance under this section and s. 281.58 for the following purposes:

AB188-ASA1,26,24 1. To reduce the interest rate of clean water fund program, safe drinking water loan program and land recycling loan program loans from market rate to a subsidized rate.

AB188-ASA1,27,2 2. To For the clean water fund program only, to provide for financial hardship assistance, including grants.

AB188-ASA1, s. 85 Section 85. 281.59 (1m) of the statutes is created to read:

AB188-ASA1,27,6 281.59 (1m) Establishment of programs. (a) There is established a clean water fund program, administered under s. 281.58, with financial management provided under this section.

AB188-ASA1,27,8 (b) There is established a safe drinking water loan program, administered under s. 281.61, with financial management provided under this section.

AB188-ASA1, s. 86 Section 86. 281.59 (2) (a) of the statutes is amended to read:

AB188-ASA1,27,11 281.59 (2) (a) Administer its responsibilities under this section and s. ss. 281.58, 281.60 and 281.61.

AB188-ASA1, s. 87 Section 87. 281.59 (2) (b) of the statutes is amended to read: