AB745: Bill Text

AB745,7,8 20.765 (2) (c) Joint committee on public-private partnership. For the joint committee on public-private partnership, biennially, the amounts in the schedule to carry out the functions of the committee under s. 13.59.

AB745, s. 4 Section 4. Chapter 131 of the statutes is created to read:

AB745,7,11 Chapter 131 Unfair competition

AB745,7,12 131.01 Definitions. In this chapter, unless the context otherwise requires:

AB745,7,19 (1) "Commercial activity" means providing goods or performing services which can practically, in a cost-effective manner and consistently with rules of the department of administration promulgated under s. 16.705 (5) and applicable collective bargaining agreements under subch. I or V of ch. 111, be obtained from a for-profit or nonprofit private enterprise, including the manufacturing, processing, managing, sale, offering for sale, rental, leasing, delivering, dispensing, distributing or advertising of any goods or services.

AB745,8,2 (2) "Competitive impact statement" means a cost analysis using uniform accounting principles to determine:

AB745,8,3 (a) The total cost of a commercial activity.

AB745,8,5 (b) The availability of the goods or services resulting from the commercial activity from any for-profit or nonprofit private enterprise.

AB745,8,9 (c) If a state governmental unit is authorized under existing law or under a bill to engage in the commercial activity, the competitive impact upon for-profit and nonprofit private enterprises if the commercial activity is contracted by the state to a single for-profit or nonprofit private enterprise.

AB745,8,12 (d) The effect that the creation of a public-private partnership may have upon employes of a state governmental unit who currently perform any service associated with the commercial activity.

AB745,8,14 (3) "Institution of higher education" means an institution of the University of Wisconsin System.

AB745,8,18 (4) "Invited guest" means any individual who enters onto a campus of an institution of higher education for an educational, research, or public service activity and not primarily to purchase or receive goods and services not related to the educational, research, or public service activity.

AB745,8,20 (5) "Organization" means every person other than an individual and every combination of 2 or more individuals.

AB745,8,24 (6) "Private enterprise" means a private person engaging in the manufacturing, processing, sale, offering for sale, rental, leasing, delivery, dispensing, distributing, or advertising of goods or services on a for-profit or nonprofit basis.

AB745,9,4 (7) "Public service" means an activity normally and generally associated with colleges and universities and other educational institutions in this state, a purpose or significant result of which is not to engage in competition with any for-profit or nonprofit private enterprise.

AB745,9,7 (8) "State governmental unit" means this state, and every subunit or instrumentality of this state, including any institution or authority, regardless of whether moneys are appropriated to the unit.

AB745,9,9 (9) "Student" means a person seeking a degree or a certificate from an institution of higher education.

AB745,9,13 (10) "Uniform accounting standards" means a system of accounting for costs and expenses which applies accepted accounting practices and customs, including those limited to specific industries, to provide a fair and complete total of the direct and indirect costs and expenses of or reasonably allocable to any activity, including:

AB745,9,14 (a) Direct and indirect labor costs and compensatory benefits.

AB745,9,15 (b) Direct materials costs.

AB745,9,18 (c) Other allocable indirect costs, including indirect manufacturing or operational costs such as costs of utilities, parts and supplies, insurance and depreciation on plant and equipment.

AB745,9,19 (d) Selling, general and administrative expenses.

AB745,9,22 (e) The imputed cost that represents the fair and complete total of the federal, state and local tax obligations, from which the activity is exempt in whole or in part, to the extent of such exemption.

AB745,9,25 131.02 Competition by state governmental units with for-profit or nonprofit private enterprises restricted; exceptions. (1) Except as permitted in sub. (2) and s. 131.03, no state governmental unit may engage in any commercial activity for its own use, for the use of any other state governmental unit or for public use if the goods or services provided as a result of that activity can be procured from any for-profit or nonprofit private enterprise through ordinary business channels.

AB745,10,5 (2) A state governmental unit may engage in a commercial activity if any of the following applies:

AB745,10,6 (a) The commercial activity is specifically authorized by law.

AB745,10,8 (b) The commercial activity is not available from any for-profit or nonprofit private enterprise.

AB745,10,9 (c) The commercial activity is inherently related to the state's defense.

AB745,10,13 (d) The state governmental unit can provide the goods or services resulting from the commercial activity to other state governmental units at a lower total cost than if goods or services were obtained from a for-profit or nonprofit private enterprise, using uniform accounting standards to make the cost comparison.

AB745,10,15 (e) Use of a for-profit or nonprofit private enterprise to engage in the activity would cause an unbearable delay or disruption of an essential program.

AB745,10,18 (f) Use of a for-profit or nonprofit private enterprise would impede the ability of the state governmental unit to fully comply with any collective bargaining agreement under subch. I or V of ch. 111.

AB745,10,23 (g) The joint committee on public-private partnership, taking into account any applicable competitive impact statement, and the views of private enterprises, state governmental units, and other affected persons, determines that the interests of the public are best served by maintaining existing practices used by the state governmental unit to obtain certain essential goods and services.

AB745,11,2 (3) Unless otherwise required by law, if a state governmental unit is authorized by law to engage in a commercial activity, the state governmental unit shall impose and collect a fee for that activity which shall include all costs related to engaging in the activity by the state governmental unit.

AB745,11,8 (4) (a) Except as provided in par. (b), if the joint committee on public-private partnership determines that a specific program administered by a state governmental unit constitutes a restricted commercial activity, the state governmental unit shall, upon request of a majority of the membership of the committee, submit to the committee a competitive impact statement concerning such activity.

AB745,11,13 (b) If a state governmental unit implements a new program under which it proposes to engage in a commercial activity, the state governmental unit and the department of administration shall jointly, upon request of a majority of the membership of the joint committee on public-private partnership, submit a competitive impact statement for the program under par. (a).

AB745,11,24 (5) Whenever any bill for which a fiscal estimate is required under s. 13.093 (2) (a) or any executive budget bill under s. 16.47 (1) is introduced, the legislative reference bureau shall promptly send a copy of the bill to the department of administration. The department shall then determine whether the bill proposes to authorize or require any state governmental unit to engage in a commercial activity. If the bill so proposes, the department shall prepare or direct one or more appropriate state governmental units to prepare, and submit to the joint committee on public-private partnership, the competitive impact statement concerning such activity. The statement shall be printed with the fiscal estimate, if any, or in the case of the executive budget bill, shall be printed as an appendix to the bill in the same manner as amendments to the bill are printed.

AB745,12,3 131.03 Competition by institutions of higher education with for-profit or nonprofit private enterprises restricted; exceptions. (1) No institution of higher education may, unless specifically authorized by law:

AB745,12,6 (a) Engage in any commercial activity for students, faculty, staff, invited guests or the general public that can be procured from any for-profit or nonprofit private enterprise through ordinary business channels, unless the commercial activity:

AB745,12,7 1. Is authorized under s. 131.02 (2);

AB745,12,9 2. Requires the participation of students as part of an educational program in order to obtain a degree or certificate;

AB745,12,11 3. Is a recognized and integral part of a teaching, educational or research program leading to a degree or certificate;

AB745,12,13 4. Is considered by the joint committee on public-private partnership to be essential to providing affordable education to the students of the institution; or

AB745,12,14 5. Consists of on-campus activities, including any of the following:

AB745,12,15 a. Food service.

AB745,12,16 b. Student housing.

AB745,12,17 c. Sponsoring cultural and athletic events.

AB745,12,18 d. Providing facilities for recreation to students, faculty and staff.

AB745,12,20 e. Sales of course books and course-related supplies, excluding electronic equipment or devices and peripherals and software.

AB745,12,22 f. Sale of personal items bearing the institution's insignia that are incidental to the sale of textbooks and other items permitted in this subdivision.

AB745,12,24 (b) Engage in any commercial activity for or through another institution of higher education or state governmental unit.

AB745,13,4 (c) Provide for the disposal by sale of goods or services that are part of research or instruction conducted by students and faculty of the institution of higher education and leading to a student degree or certificate unless all of the following apply:

AB745,13,5 1. The sale is an integral part of the research or instruction.

AB745,13,6 2. There is no other practical way of disposing of the goods.

AB745,13,8 3. The goods or services are sold at their market value utilizing uniform accounting standards.

AB745,13,11 (2) In determining whether a commercial activity is directly related to a teaching, educational or research program leading to a degree or certificate, an institution of higher education shall consider the following:

AB745,13,13 (a) Whether the activity is necessary for the student to pursue a degree or certificate or for faculty or staff to engage in research or teaching.

AB745,13,14 (b) Whether the commercial activity is not generally available to the public.

AB745,13,17 (c) Whether the fee charged for the commercial activity reflects the direct and indirect costs and overhead costs of the activity and the price in the private marketplace.

AB745,13,20 (d) Whether measures have been taken to ensure that the commercial activity is available only to students, faculty, staff or invited guests of the institution and not to the general public.

AB745, s. 5 Section 5. Nonstatutory provisions; initial terms.

AB745,14,2 (1) Notwithstanding section 13.59 (1) (c) of the statutes, as created by this act, the members of the joint committee on public-private partnership who are initially appointed to serve under section 13.59 (1) (c) of the statutes, as created by this act, shall serve for terms expiring on December 31, 1998.

AB745,14,3 (End)