This bill permits a participating employe to submit more than one application
to purchase forfeited WRS creditable service and allows the participating employe
to purchase all or part of the creditable service that he or she forfeited in the past.
Under current law, a participant in WRS may elect to receive a social security
integrated annuity. A social security integrated annuity allows a participant to
receive a higher WRS annuity before the age of 62 than he or she would ordinarily
receive. When the participant begins to receive social security payments at the age
of 62, the WRS annuity is reduced to an amount that is less than he or she would
ordinarily receive. The amount of the accelerated WRS monthly annuity received by
the participant before he or she attains the age of 62 equals the sum of the WRS
monthly annuity and the social security monthly annuity received by the participant
after he or she attains the age of 62. Under current law, however, if the participant
dies before the age of 62, the death benefit is based on the reduced WRS benefit.
Under this bill, if the participant dies before the age of 62, the death benefit is
computed as if the person died in the month in which the annuitant would have
attained age 62. Thus, the death benefit paid will include the higher WRS annuity
of a participant who was receiving a social security integrated annuity.
Under current law, with certain exceptions, if a state employe terminates
employment in a position that is covered under WRS and has attained the minimum
age to begin receiving a retirement benefit, or if a state employe is laid off, the
employe's accumulated unused sick leave may be converted to credits for the
payment of health insurance premiums during the employe's retirement or period
of layoff.
This bill provides that, for most state employes, the credits may be used only
to purchase health insurance under a plan contracted or provided by the group
insurance board. However, for judges and district attorneys who became state
employes in 1978 and 1990, respectively, and who elected to keep their county health
insurance coverage, the credits may also be used to purchase health insurance
provided by a county.
In addition, the bill authorizes the secretary of employe trust funds to
promulgate rules permitting all state employes to use the credits for the purchase
of additional health insurance, but only if the use of the credits to purchase the
insurance will not result in the credits being treated as income under the Internal
Revenue Code.
Under current law, DETF may not credit interest to moneys paid in error to
DETF or to moneys paid to DETF by participants or employers that exceed Internal
Revenue Code limits on contributions to a qualified governmental plan, such as
WRS. This bill provides that DETF may credit interest on these moneys at a rate
established by rule.
In addition, under current law, in the event DETF makes certain annuity
underpayments that are not corrected within 12 months, DETF must pay interest
on the amount of the underpayment at a rate of 0.4% for each full month during
which the underpayment occurred. This bill provides that DETF must pay interest
on the amount of the underpayment at a rate established by rule and eliminates the
requirement that the underpayment not have been corrected within 12 months.
state government
District attorneys
Under current law, the state pays the salaries of and various benefits for district
attorneys, deputy district attorneys and assistant district attorneys. This bill
provides that two assistant district attorney positions (one each in Brown and
Milwaukee counties) must be used exclusively to file and prosecute sexually violent
person commitment petitions anywhere in this state.
State employment
Under current law, with certain exceptions, positions in state government may
only be authorized by law, by the legislature in budget determinations, by the joint
committee on finance (JCF) and by the governor for certain positions funded from
federal revenues. This bill authorizes the board of regents of the University of
Wisconsin (UW) System to increase its authorized full-time equivalent positions
that are funded, in whole or in part, with general purpose revenue by not more than
1% above the level authorized for the board. Under the bill, the board of regents must
submit a proposal to the secretaries of administration and employment relations,
together with its methodology for accounting for the cost of funding these positions.
If the secretaries of administration and employment relations jointly approve the
proposal, the positions are authorized.
Under current law, no individual, other than a state elective official, who is
employed in a full-time position or capacity with any state agency or authority may
hold any other position or be retained in any other capacity with any state agency
or authority from which the individual receives more than $12,000 during the same
year. This bill exempts any member of the faculty or academic staff, other than a
state elective official, who has a full-time appointment at an institution within the
UW System and who holds any other position or is retained in any other capacity by
a different institution within the UW System from the $12,000 compensation
restriction.
State finance
Under current law, the state may issue revenue obligations for certain specified
purposes. In general, a revenue obligation is an obligation that is: 1) incurred to
purchase, acquire, lease, construct, improve, operate or manage a
revenue-producing enterprise; and 2) repayable solely from, and secured solely by,
the property or income from the revenue-producing enterprise. This bill allows
revenue bonding in situations that are not allowed under current law. The bill
creates two types of revenue obligations. The first type, called an enterprise
obligation, includes all obligations authorized under current law but is broader in
that it eliminates the requirement that the bond be repayable solely from, and be
solely secured by, property or income from the revenue-producing enterprise.
The second type of revenue obligation, a special fund obligation, is an
undertaking by the state to repay a certain amount of borrowed money that is
payable from a special fund consisting of fees, penalties or excise taxes. The bill
authorizes not more than $450,000,000 of this second type of revenue obligation
bonding for the PECFA program. These revenue obligations are to be repaid from,
and are secured by, the petroleum inspection fund. The bill expresses the
legislature's expectation and aspiration that, if the legislature reduces the rate of the
petroleum inspection fee and the fees in the fund prove insufficient to pay the
principal and interest on the revenue obligations, the legislature will make an
appropriation from the general fund sufficient to pay the principal and interest on
the obligations.
Currently, the investment board may contract with outside investment
advisers for the management of assets from any fund or trust under its control for
investment in real estate, mortgages, equities, debt of foreign corporations and debt
of foreign governments. No more than 15% of the total assets of the fixed retirement
investment trust or 15% of the total assets of the variable retirement investment
trust may be covered by such contracts. This bill increases the cap from 15% to 25%
of such funds.
Under current law, the investment board may establish a bonus compensation
plan for the executive director and other employes of the board who are appointed
in the unclassified service of the state. Under the plan, these employes may qualify
for an annual bonus for meritorious performance, which is required to be distributed
over a three-year period. Current law provides that the total amount of bonuses
awarded for any fiscal year may not exceed a total of 10% of the total annualized
salaries of all unclassified employes of the board. In addition, no bonus awarded to
an individual employe for any fiscal year may exceed a total of 25% of the annual
salary of the employe. In awarding bonus compensation for a given period, the board
must consider the performance of funds similar to those for which it has managing
authority and market indices for the same period.
This bill authorizes the investment board to create two different bonus
compensation plans for two different groups of employes. The first plan provides
bonus compensation for the executive director, internal auditor, unclassified
employes appointed by the internal auditor and other unclassified employes of the
board who are not investment professionals, as determined by the secretary of
administration. This plan is identical to the bonus compensation plan under current
law except that the total amount of bonuses awarded for any fiscal year may not
exceed a total of 10% of the total annualized salaries of these employes as compared
to all unclassified employes of the board.
The second plan provides bonus compensation for unclassified employes of the
investment board who are investment professionals, as determined by the secretary
of administration. The plan provides that the total amount of bonuses awarded for
any fiscal year may not exceed a total of 25% of the total annualized salaries of these
employes. In addition, the plan provides that no bonus awarded to an individual
employe for any fiscal year may exceed a total of 50% of the annual salary of the
employe. Under the plan, there is no requirement that the bonus compensation be
paid out over a three-year period.
Under current law, the investment board must make all purchases of materials,
supplies, equipment or services through the department of administration (DOA).
DOA may delegate authority to the board and other state agencies to make
purchases independently of DOA, but any agency to which DOA delegates
purchasing authority must adhere to all statutory requirements that would apply if
DOA made the purchases. In making purchases, DOA and the agencies to which
DOA delegates purchasing authority are required, subject to numerous exceptions,
to make purchases by solicitation of bids or competitive sealed proposals preceded
by public notice, and to adhere to other requirements.
This bill permits the investment board to make all purchases independently of
DOA, and excludes the investment board from certain requirements that DOA and
other executive branch agencies must adhere to in making purchases, including the
requirement for solicitation of bids or proposals preceded by public notice. Under the
bill, the board must, however, procure all stationery and printing from the lowest
responsible bidder.
Under current law, the secretary of administration must limit the total amount
of any temporary reallocations from segregated funds to the general fund at any one
time during a fiscal year to an amount equal to 5% of the total appropriations of
general purpose revenue, calculated by the secretary as of that time and for that
fiscal year. This bill authorizes the secretary of administration to permit an
additional 3% of the total appropriations of general purpose revenue to be used for
temporary reallocations to the general fund but only if the reallocation is for a period
not to exceed 30 days.
Currently, all state agencies, except the legislature and the courts, must submit
biennial budget requests to DOA no later than September 15 of each even-numbered
year. This bill directs those agencies to submit biennial budget requests to DOA
before each budget period no later than the date prescribed by DOA.
Current statutes provide that "[n]o bill directly or indirectly affecting general
purpose revenues ... may be enacted by the legislature if the bill would cause the
estimated general fund balance on June 30 of any fiscal year ... to be an amount equal
to less than one percent of the total general purpose revenue appropriations for that
fiscal year plus any amount from general purpose revenue designated as
"Compensation Reserves" for that fiscal year ...."
This bill changes that provision, for fiscal years 2000-01 and thereafter, with
respect to the percentage of the general fund balance as follows:
1. For fiscal year 2000-01, 1.1% of general purpose revenue (GPR)
appropriations for that fiscal year.
2. For fiscal year 2001-02, 1.2% of GPR appropriations for that fiscal year.
3. For fiscal year 2002-03, 1.4% of GPR appropriations for that fiscal year.
4. For fiscal year 2003-04, 1.6% of GPR appropriations for that fiscal year.
5. For fiscal year 2004-05, 1.8% of GPR appropriations for that fiscal year.
6. For fiscal year 2005-06 and thereafter, 2% of GPR appropriations for that
fiscal year.
Under current law, the board of commissioners of public lands (BCPL) is
responsible for managing certain lands held in trust by the state. The proceeds from
these lands are deposited in the common school fund, the normal school fund, the
university fund and the agricultural college fund (collectively, the trust funds).
Under current law, BCPL may deduct expenses necessarily incurred in caring for
and selling the lands from moneys deposited in the trust funds. This bill provides
that such expenses include soil surveys and soil mapping activities.
Under current law, BCPL may loan moneys from the trust funds to certain local
units to government. Current law also provides that any such borrower, after March
15 and prior to August 1 of any year, may prepay any part of the loan without penalty.
This bill provides that, if a borrower prepays the outstanding principal balance of the
loan before the due date of the first instalment payment, BCPL may charge the
borrower a fee to cover any administrative costs incurred by BCPL in originating and
servicing the loan.
Under current law, the governor may not administer, and no board, commission
or department may encumber or expend, any block grant moneys received from the
federal government under any federal law enacted after August 31, 1995, unless the
governor first notifies JCF in writing that the block grant has been received and
allows JCF an opportunity to review and approve or disapprove its proposed
expenditure. This bill exempts from JCF review and approval the expenditure of
block grant moneys that are allocated for certain public assistance and local
assistance programs.
Public utility regulation
This bill requires the public service commission (PSC) to conduct a study on
implementing retail consumer choice for all consumers of electricity in this state.
The study must address the following: 1) the infrastructure, taxation and statutory
changes that are necessary for implementing retail choice; 2) recommendations for
regulating new market entrants; 3) transitional, stranded and public benefits costs;
and 4) the development and use of renewable energy resources.
Under current law, certain persons may file complaints with the PSC that
allege a violation of the statutory provisions regarding public utilities. In addition,
the PSC may, on its own motion, initiate a proceeding to determine whether such a
violation has occurred.
This bill prohibits a person from filing a complaint, or making any other filing
in a proceeding before the PSC, unless there is a nonfrivolous basis for doing so and
unless each of the following is satisfied: 1) the filing is reasonably supported by
applicable law; 2) the allegations in the filing have evidentiary support or are likely
to have such support after further investigation or discovery; 3) the filing is not
intended to harass another party to the proceeding; and 4) the filing is not intended
to create a needless increase in the cost of litigation.
Within 60 days after a complaint is filed, the PSC must determine whether the
complaint violates the specified prohibitions. The bill also allows the PSC to
determine at any time during a proceeding whether a person has made a filing that
violates the prohibitions. If the PSC determines that there is a violation, the PSC
must order the violator to pay the reasonable expenses that any other party to the
proceeding incurred because of the filing. In addition, the PSC may directly assess
a forfeiture of between $25 and $5,000 against the violator.
This bill allows the PSC to approve a tariff filed by an electric public utility that
allows a firm customer of the utility (an industrial or commercial customer of the
utility that receives firm service, which is retail electric service that is provided on
a noninterruptible basis) to sell unused firm service to an interruptible customer of
the utility, which is an industrial or commercial customer of the utility that receives
retail electric service on an interruptible basis. The PSC may approve such a tariff
if it determines that such sales contribute to energy conservation and load
management that are designed to reduce the energy needs of firm customers. If a
firm customer contracts with an interruptible customer for such a sale under a tariff
approved under the bill, the public utility must replace the firm service that is sold
by the firm customer with interruptible service, and provide firm service to the
interruptible customer in an amount that is equal to 80% of the amount of firm
service that was sold.
Under current law, the PSC may, under certain circumstances, obtain from any
public utility any information necessary for the PSC to perform its duties and may
order a public utility to produce certain records. Under this bill, the PSC may require
a telecommunications utility to submit information only if the PSC reduces, to the
extent practicable, any burden on the telecommunications utility that results from
complying with the requirement. In addition, a telecommunications utility is not
required to provide information to the PSC unless the PSC certifies that the
information is necessary for the PSC to enforce a statutory requirement and that the
information is not unnecessarily duplicative of information that is already in the
PSC's possession.
Also under current law, the PSC is allowed to withhold from public inspection
any information that aids a competitor of a public utility. Under this bill, the PSC
is required to withhold such information from public inspection. Under the bill, the
PSC is also required to withhold from public inspection any information that is
designated as confidential by a public utility that may aid a competitor of the public
utility.
Under current law, a tariff filed with the PSC in which a telecommunications
utility offers either a new telecommunications service or promotional rates may not
take effect until ten days after the tariff is filed. Under certain specified
circumstances, the PSC may also suspend the effectiveness of such a tariff. This bill
provides that such a tariff is effective on the date specified in the tariff, unless the
PSC suspends the effectiveness of the tariff as allowed under current law.
Other state government
State building program
This bill enumerates in the 1999-2001 state building program a full-scale
aquaculture demonstration facility to be built at Ashland and to be operated by the
board of regents of the UW System.
Wisconsin election campaign fund supplement
Currently, a candidate for legislative office at the general election or a special
election may qualify to receive a grant from the Wisconsin election campaign fund
to finance certain campaign expenses. The maximum amount of the grant that is
available to such a candidate may be reduced if the balance in the legislative and
special election campaign account does not contain sufficient money to provide all
eligible candidates who apply and qualify for grants with the maximum grants to
which the candidates are entitled. The amount of money in the legislative and
special election campaign account and the other accounts of the Wisconsin election
campaign fund depends in part upon the number of designations made to the fund
by individuals filing income tax returns.
This bill transfers $750,000 in general purpose revenue into the legislative and
special election campaign account in fiscal year 2000-01. The bill also directs the
secretary of administration to submit proposed legislation relating to campaign
finance reform and composition of the elections board to the cochairpersons of JCF
no later than April 1, 1999.
State land information system
Currently, DOA may develop and maintain a geographic information system
relating to land in this state. Currently, the land information board directs and
supervises the state land information program. The board is abolished effective
September 1, 2003. Prior to September 1, 2003, counties must transfer to the land
information board a portion of the fees collected by registers of deeds for recording
documents. Revenue from these fees supports the operation of the board and the
remainder is used to provide grants to counties for land records modernization
projects.
This bill directs the land information board to transfer a portion of this fee
revenue, prior to September 1, 2003, to DOA for the purpose of developing and
maintaining a computer-based Wisconsin land information system, without
direction or supervision from the board. Under the bill, DOA continues to be
responsible for the development and maintenance of the system on and after
September 1, 2003, but the bill provides no specific funding for this purpose.
The bill also authorizes DOA to conduct soil surveys and soil mapping
activities. Under the bill, DOA may assess any state agency any amount that it
determines to be required to conduct the surveys and mapping activities. In
addition, the bill permits DOA to contract with BCPL to conduct soil surveys and soil
mapping activities on lands under the jurisdiction of BCPL.
State grants for local governmental planning
This bill permits DOA to award grants to counties, cities, villages, towns and
regional planning commissions to finance the cost of planning activities, including
contracting for planning consultant services, public planning sessions and other
planning outreach and educational activities, or to purchase computerized planning
data, planning software or the hardware required to utilize that data or software.
The grants are funded by federal moneys provided to this state for
transportation-related planning activities. DOA must require any local
governmental unit that receives a grant to finance at least 20% of the cost of the
product or service to be funded by that grant from its own resources. All proposed
expenditures to be made under any grant are subject to the written approval of the
secretary of transportation.
National and community service board functions
Under current law, the national and community service board, attached to
DOA, uses federal moneys and moneys that it receives from gifts, grants and
bequests to assist persons who operate service programs that address unmet human,
educational, environmental or public safety needs. Under this bill, the board is
attached to the department of health and family services.
Currently, the national and community service board awards Wisconsin
promise challenge grants to countywide consortia of public and private entities that
provide resources to underserved youth. This program expires on January 1, 2000.
The bill transfers administration of this program to DOA.
Penalty assessments
With certain exceptions, current law imposes a penalty assessment on any
person who is ordered to pay a fine or forfeiture for violating a state law or a local
ordinance. The penalty assessment is set at 23% of the total amount of the fines or
forfeitures imposed for the violation. The moneys collected from penalty
assessments are credited directly to various appropriation accounts based on a
statutory formula and the appropriation accounts specify the purposes for which the
moneys may be used. These purposes include: 1) training for local law enforcement
officers and state correctional officers; 2) purchase of crime laboratory equipment;
3) matching federal funds provided for various law enforcement programs; 4)
county-tribal law enforcement projects; 5) diversion of youth from gang activities;
and 6) alcohol and other drug abuse prevention and treatment for minors.
