Currently, every executive branch agency, other than the board of regents of the
UW system, is required to purchase computer services from DOA, unless DOA grants
permission to the agency to procure the services from a private source or from
another agency, or to provide the services to itself. This bill provides that every
executive branch agency, including the board of regents of the UW system, must
purchase all materials, equipment, supplies, and services relating to information
technology or telecommunications from DEG, unless DEG requires the agency to
purchase the materials, supplies, equipment, or contractual services under a master
contract established by DEG or unless DEG grants permission to the agency to
procure the materials, supplies, equipment, or services from a private source or from
another agency, or to provide the materials, supplies, equipment, or services to itself.
The bill also makes all contracts by any executive branch agency for the purchase of
materials, supplies, equipment, or contractual services relating to information
technology or telecommunications subject to review and approval of the chief
information officer.
Currently, subject to numerous exceptions, state agencies are generally
required to make purchases through solicitation of bids or competitive sealed
proposals preceded by public notice, and to allow DOC the opportunity to provide the
materials, supplies, equipment, or services under certain conditions if DOC is able
to do so. These requirements do not apply to purchases by the division of information
technology services of DOA relating to the functions of the division. This bill provides
that these requirements do not apply to purchases of any materials, supplies,
equipment, or services by DEG. The bill requires DEG to submit an annual report
to DOA concerning any purchases by DEG that are not made in accordance with
these requirements. The bill also permits DEG to establish master contracts for the
purchase of materials, supplies, equipment, or contractual services relating to
information technology or telecommunications for use by state agencies and
authorities, local governmental units, and entities in the private sector and to
require any executive branch agency to make purchases of materials, supplies,
equipment, or contractual services included under the master contract pursuant to
that contract.
Currently, executive branch agencies must make purchases through DOA
unless DOA delegates direct purchasing authority to the agencies. DOA prescribes
standard specifications for state purchases which agencies are generally required to
incorporate into purchasing orders and contracts when appropriate. Under this bill,
DOA must delegate authority to DEG to make all of its purchases independently of
DOA, and any standard specifications prescribed by DOA for the purchase of
materials, supplies, equipment, or services for information technology or
telecommunications purposes are subject to approval of the chief information officer.
Elections administration
Under current law, voter registration is required in every municipality with a
population greater than 5,000. The information required on voter registration forms
is specified by law. This bill requires voter registration in every municipality. The
bill also establishes a centralized, statewide voter registration list that is maintained
by the state elections board. Under the bill, the list must be electronically accessible
by any person, but no person other than an authorized election official may change
the list. The bill permits the board to change the list only for the purpose of deleting
the registration of individuals who register to vote outside this state or whose
registrations are required to be cancelled as the result of a municipal canvass. Under
the bill, each municipal clerk or board of election commissioners must electronically
enter registrations or changes of registration on the list, except that the bill permits
the town clerk of any town having a population of not more than 5,000 to designate
the county clerk of the county where the town is located as the town clerk's agent for
entry of this data. The bill also directs the board to provide grants to counties and
municipalities to finance the cost of maintenance of the list.
Currently, with certain exceptions, the deadline for voter registration is 5 p.m.
on the second Wednesday before an election. However, electors may also register in
person at the office of the municipal clerk or board of election commissioners up to
5 p.m. on the day before the election or, in most cases, may register at the proper
polling place on election day. Currently, an individual who registers after the
deadline must provide a specified form of proof of residence. If the individual is
unable to do so, another qualified elector of the same municipality may corroborate
the information contained in the individual's registration form. The corroborating
elector then must provide this proof of residence. Currently, there is no limit on the
number of times a person may act as a corroborating elector.
This bill requires any elector who registers to vote after the deadline, if possible,
to present a valid Wisconsin driver's license or valid Wisconsin identification card
containing the elector's photograph and current street address. The bill permits any
other elector to present an identification card that contains the elector's photograph
and current street address or any other identification card that contains the elector's
name and photograph and an identifying number. An elector who is unable to
present any identification may have his or her identity and registration information
corroborated by another elector as currently provided. However, under the bill, a
corroborating elector may not corroborate more than two registrations in one day.
The bill also permits the board, by rule, to specify additional information that must
be provided on registration forms. In addition, the bill provides that any election
official who fails to exercise due care to lawfully register an elector to vote is subject
to a forfeiture (civil penalty) of not more than $1,000.
With certain limited exceptions, before being permitted to vote at any polling
place, an elector currently must provide his or her name and address. If registration
is required to vote and the elector is not registered, the elector must provide a
specified form of proof of residence to register. If registration is not required, the
elector may be required to provide this proof. With certain limited exceptions, this
bill requires each elector attempting to vote at any polling place in a municipality to
follow the same identification or corroboration procedure that is required under the
bill for late voter registration. The bill requires election officials to verify that the
name and address on any identification are the same as the elector's name and
address on the list of registered electors. Under the bill, election officials must also
verify that the photograph contained in any identification reasonably resembles the
elector. The identification procedure does not affect absentee voting or voting by
military electors.
Currently, following each general election, a municipality where registration is
required must complete a canvass to identify each registered elector who has failed
to vote within the previous four years, attempt to notify each such elector, and revise
and correct its list of registered electors accordingly. This bill provides that if a
municipality fails to complete the canvass within 120 days of the general election,
the board may conduct the canvass at the expense of the municipality.
Currently, each municipality appoints and supervises election inspectors (poll
workers). Under this bill, if the board finds that an inspector has repeatedly and
materially failed to substantially comply with the election laws or rules of the board,
the board may remove the inspector and appoint a replacement to serve the
remainder of the inspector's unexpired term. The replacement must be compensated
by the municipality and is subject to the supervision of the municipal clerk or board
of election commissioners. However, unlike most other inspectors, the replacement
may be appointed without regard to party affiliation. The bill also permits the board
to appoint a special master to assume all functions of the municipal clerk or board
of election commissioners if the board finds that a municipality has repeatedly and
materially failed to substantially comply with the election laws or rules of the board
in administering elections. The bill requires the municipality to pay all costs
incurred relating to the special master.
Under current law, the board may promulgate rules to interpret or implement
the laws relating to the conduct and administration of elections and election
campaigns. This bill expands the board's rule-making authority, permitting the
board to promulgate rules to promote the efficient and fair conduct of elections. This
bill also directs the board to conduct training programs so that individuals exercising
the right of access to polling places may inform themselves of the election laws, the
procedures for conducting elections, and the rights of individuals who observe
election proceedings.
Land information and land use
Currently, the land information board is attached to DOA. The board serves as
a state clearing house for access to land information and provides technical
assistance to state agencies and local governmental units with land information
responsibilities, reviews and approves county plans for land records modernization,
and provides aids to counties, derived from recording fee revenues collected by
counties, for land records modernization projects. Under current law, the board and
its functions are abolished effective on September 1, 2003. This bill abolishes the
land information board on the day the bill becomes law and permanently transfers
its functions, together with its assets and liabilities, to DOA.
Under the Land Information Program, a number of state agencies, including
DOA, DATCP, DHFS, DNR, and DOR, are required to submit biennially to the land
information board a plan to integrate land information so that the information is
readily translatable, retrievable, and geographically referenced for use by any state,
local governmental unit, or public utility. This bill eliminates the requirement that
DOR submit such a plan, beginning with the plan that is due in 2002.
Currently, counties collect a land record fee for recording and filing most
instruments that are recorded or filed with the register of deeds. The fee is $10 for
the first page of an instrument and $2 for each additional page. Until September 1,
2003, counties must remit $2 of each $10 collected for recording or filing the first page
of each instrument to the land information board, which the board uses to fund its
general program operations and to make grants to counties for land records
modernization projects. Currently, if a county does not have a land information office
or does not use $4 of the fee for recording or filing the first page of an instrument for
land records modernization, the county must remit $6 of the fee for recording or filing
the first page of an instrument to the land information board. On September 1, 2003,
the fee for recording or filing the first page of an instrument is reduced from$10 to
$8 and no portion is remitted to the state.
This bill permanently increases the fee for recording or filing the first page of
an instrument with a register of deeds from $10 to $11, and requires a county to remit
either $2 or $7 of this fee to DOA, depending on whether the county has a land
information office and uses the fee for land records modernization.
Currently, DOA may provide grants to local governments to be used to finance
a portion of the cost of certain comprehensive planning activities from general
purpose revenue. This bill provides, in addition, for a portion of the land record fee
received by DOA to be used for that purpose.
Under current law, the Wisconsin land council in DOA must perform duties
including identifying and recommending to the governor land use goals and
priorities, identifying and studying areas of conflict in the state's land use statutes
and between state and local land use laws and recommending to the governor
legislation to resolve the conflicts, and studying the development of a
computer-based land information system.
This bill discontinues the council's function of studying the development of a
computer-based land information system, and adds several new functions to the
council's duties, including establishing a land information working group and
reviewing county land records modernization plans. The bill also adds three
members to the 16-member council and eliminates the council's sunset date of
September 1, 2003.
Under current law, DOA awards transportation planning grants to local
governmental units (cities, villages, towns, counties, and regional planning
commissions) to pay for planning activities related to the transportation element of
a comprehensive land use and development plan. Under this bill, DOA may also
award transportation planning grants to assist local governmental units in the
integrated transportation and land-use planning for highway corridors (areas
expected to need additional capacity for vehicular traffic or to have possible safety
or operational problems resulting from pressure for development). The bill requires
DOA to award transportation planning grants in the following order of priority: 1)
grants that pay for planning activities related to a transportation element and which
also assist in highway corridor planning; 2) grants that only pay for planning
activities related to a transportation element; and 3) grants that only assist in
highway corridor planning. The bill also expands the definition of "local
governmental unit" to include a metropolitan planning organization (an
organization that develops transportation plans and programs).
State procurement services
Currently, DOA provides procurement services to state agencies and some local
governments. These procurement functions are financed with general purpose
revenue. This bill permits DOA to assess any state agency or local government to
which it provides procurement services for the cost of the services provided to the
agency or local government. The bill also permits DOA to identify savings that DOA
determines were realized by any state agency to which it provides procurement
services, and to assess the agency for not more than the amount of the savings so
identified. The bill does not define "savings" and does not specify any methodology
for determination of these assessments. The bill appropriates to DOA all moneys
collected from these assessments to be used to finance procurement services. The
change potentially decreases the moneys available to agencies and local
governments for other purposes. The bill also appropriates moneys from the revenue
sources that finance the programs of state agencies to supplement the unbudgeted
costs of procurement service charges, except charges for identified procurement
savings.
Currently, subject to numerous exceptions, DOA, or any state agency in the
executive branch to which DOA delegates purchasing authority, must make
purchases by bid or competitive sealed proposal that must be preceded by at least two
notices published in the official state newspaper, the latest of which must be inserted
at least seven days prior to opening of the bids or competitive sealed proposals. This
bill permits DOA or any state agency to which DOA delegates purchasing authority
to make purchases by soliciting sealed bids to be opened at a specified date and time
or by solicitation of bids at an auction to be conducted electronically at a specified
date and time, or by competitive sealed proposal. If bids are to be solicited at an
electronic auction, the bill requires notice of the auction to be posted on an Internet
site determined or authorized by DOA at least seven days prior to the date of the
auction. The bill also permits notice of any proposed purchase by DOA or an agency
to which DOA delegates purchasing authority to be posted electronically on an
Internet site determined or authorized by DOA at least seven days prior to the date
that bids or competitive sealed proposals are to be opened or bids are to be received
by auction in lieu of the publication required under current law.
Currently, DOA maintains a subscription service that provides current
information of interest to prospective vendors concerning state procurement
opportunities. This bill permits DOA to permit prospective vendors to provide
product or service information through this service and also permits DOA to
prescribe fees or establish fees through a competitive process for the use of the
service. Any revenue collected from the fees is deposited in the state VendorNet fund,
which is used to pay the costs of the subscription service.
Municipal boundary review
Currently, DOA is required to review proposed municipal incorporations and
certain municipal annexations in counties having a population of 50,000 or more,
and to make findings with respect to certain matters specified by law. Currently, the
cost of conducting this review is financed with general purpose revenue.
This bill permits DOA to prescribe and collect a fee for conducting this review.
The fee must be paid by the person or persons filing a petition for incorporation or
by the person or persons filing a notice of proposed annexation. The bill appropriates
to DOA all moneys collected from these fees to finance reviews of proposed municipal
incorporations and annexations.
Federal-state relations
Current law directs DOA to operate a federal aid management service. The
service is directed to process applications by state agencies for grants from the
federal government upon request of the agencies. DOA may assess any state agency
to which DOA provides services a fee for its expenses incurred in providing those
services.
This bill directs DOA to initiate contacts with the federal government for the
purpose of facilitating participation by state agencies in federal aid programs, to
assist those agencies in applying for such aid, and to facilitate influencing the federal
government to make policy changes that will be beneficial to this state. The bill also
permits DOA to assess agencies to which DOA provides those services a fee for its
expenses incurred in providing those services.
Dual state employment or retention
Current law prohibits any elective state official from holding any other position
or being retained in any other capacity with a state agency or authority, except an
unsalaried position or unpaid service with a state agency or authority that is
compatible with the official's duties, the emoluments of which are limited to
reimbursement for actual and necessary expenses incurred in the performance of
those duties. Current law also prohibits any other individual who is employed in a
full-time position or capacity with a state agency or authority from holding another
position or being retained in another capacity with a state agency or authority from
which the individual receives, directly or indirectly, more than $12,000 from the
agency or authority as compensation for the individual's services during the same
year. These prohibitions do not apply to an individual other than an elective state
official who has a full-time appointment for less than 12 months during any period
of time that is not included in the appointment. This bill repeals both of these
prohibitions.
Energy efficiency fund elimination
Currently, state agencies may apply for loans from the energy efficiency fund
to finance energy efficiency projects. The loans are repaid from utility expense
appropriations made to the agencies in an annual amount equal to the utility
expense savings realized by the agencies as a result of the energy efficiency projects.
In addition, for six years after each loan is repaid, DOA may transfer an amount
equal to one-third of the savings realized to the general fund, and an amount equal
to one-third of the savings realized to the energy efficiency fund for maintenance of
projects with an energy efficiency benefit and for energy efficiency monitoring. An
amount equal to the final one-third of the savings realized may be utilized by an
agency for its general program operations, subject to approval of JCF.
This bill abolishes the energy efficiency fund. Under the bill, DOA may transfer
an amount equal to all repayments of loans made from the fund for energy efficiency
projects from the appropriate utility expense appropriations to the general fund.
Any unencumbered balance in the energy efficiency fund on the day the bill becomes
law is also transferred to the general fund.
State-local partnership
This bill directs that DOA, to the extent possible, coordinate state policies
governing the relationship between the state and local governments in this state and
attempt to make those policies as uniform as practicable. The bill also permits DOA
to attempt to mediate disputes between local governments and state agencies to the
extent feasible. To carry out these functions, the bill directs DOA to appoint a
state-local government coordinator outside the classified service.
taxation
Income taxation
Under current law, when computing corporate income taxes and franchise
taxes, a formula is used to attribute a portion of a corporation's income to this state.
The formula has three factors: a sales factor, a property factor, and a payroll factor.
The sales factor represents 50% of the formula and the property and payroll factors
each represent 25% of the formula. When computing income taxes and franchise
taxes for an insurance company, a formula with a premium factor and a payroll factor
is used to attribute a portion of an insurance company's income to this state.
Under this bill, beginning on January 1, 2005, the sales factor will be the only
factor used to attribute a portion of a corporation's income to this state. The property
and payroll factors will be decreased, and eventually phased out, over the next four
years as the sales factor is increased and becomes the only factor. Beginning on
January 1, 2005, the premium factor will be the only factor used to attribute a portion
of an insurance company's income to this state. The payroll factor will be decreased,
and eventually phased out, over the next four years as the premium factor is
increased and becomes the only factor.
Under current law, the income of an electric or gas utility is apportioned by
rules established by DOR. Under the bill, for taxable years beginning after
December 31, 2002, and before January 1, 2005, the income of an electric or gas
utility is apportioned in the same manner as the income of a corporation under the
bill. Beginning on January 1, 2005, the sales factor will be the only factor used to
attribute a portion of the income of an electric or gas utility to this state.
Under current law, the income of a financial organization is apportioned, for
corporate income tax and franchise tax purposes, by rules established by DOR.
Under the bill, for taxable years beginning after December 31, 2002, and before
January 1, 2005, the income of a financial organization is apportioned by multiplying
that income by a fraction that includes a sales factor representing more than 50% of
the fraction, as determined by rule by DOR. For taxable years beginning after
December 31, 2004, the income of a financial organization is apportioned by using
a sales factor, as determined by DOR.
Under current law, an inter vivos trust (a trust that is created during the life
of the grantor) that is made irrevocable before October 29, 1999, is considered
resident at the place where the trust is being administered. This state taxes a trust
that is resident within this state. Also under current law, in general, an inter vivos
trust is taxable by this state if the grantor was a resident of this state.
Under this bill, an inter vivos trust that is made irrevocable before October 29,
1999, is considered resident, and is thus taxable by this state, only if the trust was
administered in this state before October 29, 1999, or, if administered in this state
on or after October 29, 1999, if the grantor is a resident of this state. This change
first applies to taxable years beginning on January 1, 1999.
Under current law, the individual income tax brackets are indexed for inflation.
Generally, for taxable years beginning after December 31, 1999, the brackets are
increased each year based on the annual percentage change between the consumer
price index (CPI) for August of the previous year and August 1997. An exception to
the general rule is that for taxable years beginning after December 31, 2000, the top
bracket is increased each year by the same percentage as the percentage change
between the CPI for August of the previous year and August 1999. This bill limits
the applicability of the exception to the general rule that governs indexing of the
individual income tax brackets to taxable year 2001.
Under current law, resident shareholders of subchapter S corporations and
members of limited liability corporations (LLCs) treated as partnerships may claim
a tax credit for taxes that those S corporations and LLCs pay to another state. This
bill expands the application of this tax credit so that it may be claimed by otherwise
qualified resident partners of a partnership that pays taxes to another state.
Property taxation
This bill creates a property tax exemption for a hub facility operated by an air
carrier. A "hub facility" is a facility at an airport from which an air carrier company
operated at least 45 common carrier departing flights each weekday in the prior year
and from which it transported passengers to at least 15 nonstop destinations; or an
airport or any combination of airports in this state from which an air carrier company
cumulatively operated at least 20 common carrier departing flights each weekday in
the prior year, if the air carrier company's headquarters are in this state.
Under current law, regional planning commissions (RPCs) may be created by
the governor, or by a state agency or official that the governor designates, upon the
submission of a petition in the form of a resolution by the governing body of a city,
village, town, or county (local governmental units). An RPC may conduct research
studies; collect and analyze data; prepare maps; make plans for the physical, social,
and economic development of the region; provide advisory services to local
governmental units and other public and private agencies on regional planning
problems; and coordinate local programs that relate to the RPC's objectives. This bill
authorizes RPCs to acquire and hold real property for public use. The bill also
authorizes RPCs to convey and dispose of such property.
Under current law, property owned by municipalities or by certain districts,
such as school districts, technical college districts, and metropolitan sewerage
districts, is exempt from the property tax. Under this bill, property owned by an RPC
is also exempt from the property tax.
Under current law, in lieu of paying local property taxes, a light, heat, and
power company pays a license fee to the state based on a percentage of the company's
gross revenue that is attributable to this state. However, if a light, heat, and power
company structure is used in part for the company's business operation and in part
for purposes that are not related to the company's business operation, the part of the
structure that is used for purposes that are not related to the company's business
operation is subject to local property taxes.
Under this bill, property, excluding land, that is owned or leased by a public
utilities holding company that provides services to a light, heat, and power company
affiliated with the holding company is assessed for local property taxes on the portion
of the fair market value of the property that is not used for providing services to the
light, heat, and power company.
Under current law, DOR assesses manufacturing property, and determines
what property is classified as manufacturing property, for property tax purposes. If
a reviewing authority for property tax assessments reduces a manufacturing
property's assessed value or determines that manufacturing property is exempt from
property tax, the property owner may file a claim for a property tax refund with the
municipality in which the property is located. The municipality pays the refund in
one sum that includes interest on the refund amount, paid at the rate of 0.8% a
month.
Under current law, a property owner may file an objection to a property tax
assessment of the owner's manufacturing property with the state board of assessors
within 60 days of receiving notice from DOR of the property's assessment.
Under this bill, a municipality may pay a property tax refund to an owner of
manufacturing property in five annual installments rather than all at once, if the
refund is more than $10,000, the refund amount represents at least 0.0025% of the
municipality's tax levy, and the municipality's tax levy is less than $100,000,000.
The interest on the refund amount is paid either at a rate of 10% a year or at a rate
determined by the last auction of six-month U.S. treasury bills, whichever is less.
In addition, the state compensates the municipality for the interest on any such
refund that is paid by the municipality.
Under the bill, a property owner who files an objection to a property tax
assessment of the owner's manufacturing property must include in the objection the
reasons for the objection, an estimate of the correct assessment, and the basis for that
estimate. In addition, the property owner may file supplemental information to
support the objection within 60 days from the date that the objection is filed.
Under current law, an owner of manufacturing property must submit annually
by March 1 a report to DOR that contains certain information about the property that
DOR considers necessary for property tax assessment purposes. An owner of
manufacturing property who fails to submit the report by the date that it is due must
pay a penalty equal to the greater of $10 or 0.05% of the property's assessment for
the previous year, but not more than $1,000. If the property owner does not submit
the report within 30 days from the date that it is due, the property owner must pay
a second penalty that is equal to the first.
Under this bill, an owner of manufacturing property who fails to submit the
report by the date that it is due is subject to the following penalties: if the report is
one to ten days late, $25; if the report is 11 to 30 days late, the greater of $50 or 0.05%
of the previous year's assessment, but not more than $250; and if the report is more
than 30 days late, the greater of $100 or 0.1% of the previous year's assessment, but
not more than $750.
Other taxation
Under current law, in lieu of paying local property taxes, a private light, heat,
and power company and an electric cooperative pay a license fee to the state based
on a percentage of the company's or cooperative's gross revenues that are
attributable to this state. A private light, heat, and power company pays a license
fee based, in part, on multiplying its gross revenues from the sale of gas services by
0.97% and multiplying its other gross revenues by 3.19%. An electric cooperative
pays a license fee based, in part, on multiplying its gross revenues by 3.19%.
Under this bill, a private light, heat, and power company and an electric
cooperative pay a license fee to the state based, in part, on multiplying the company's
or cooperative's gross revenues from the sale of wholesale electricity by 1.59%. The
license fee applies to gross revenues from the sale of wholesale electricity that are
earned during tax periods beginning on January 1, 2003, and ending on December
31, 2008. A private light, heat, and power company will continue to pay a license fee
under current law based on multiplying its gross revenues from the sale of gas
services by 0.97% and multiplying its other gross revenues, except revenues from the
sale of wholesale electricity, by 3.19%. An electric cooperative will continue to pay
a license fee under current law based on multiplying its gross revenues, except
revenues from the sale of wholesale electricity, by 3.19%.
Under current law, a farm that is not a corporation, except a farm that has no
more than $1,000,000 in gross receipts, pays a recycling surcharge of $25. Under this
bill, a farm that is not a corporation, except a farm that has less than $4,000,000 in
gross receipts, pays a recycling surcharge in an amount that is equal to 2% of its net
income, up to a maximum of $9,800, or $25, whichever is greater.
Under current law, tax stamps must be affixed to each cigarette package that
is sold in this state. This bill prohibits affixing tax stamps to cigarette packages that
are not intended to be sold, distributed, or used in the United States; that are not
labeled as provided under federal law; that are modified by a person who is not the
cigarette manufacturer; that are altered so as to remove, conceal, or obscure certain
labels; and that are imported into the United States after December 31, 1999, in
violation of federal law. Under the bill, a person who possesses over 400 of such
cigarettes, or who sells or distributes such cigarettes, is subject to the same penalties
that are applicable to the possession of cigarettes without tax stamps.
Under current law, DOR may offset tax refunds against debts owed by a
taxpayer to another state agency or to a municipality or county. Current law also
authorizes DOR to enter into agreements with the Internal Revenue Service to offset
state tax refunds against federal tax obligations and federal tax refunds against
state tax obligations. This bill authorizes DOR to enter into agreements with other
states to offset tax refunds against another state's tax obligations if the other state
agrees to implement an offset program for Wisconsin residents' tax refunds from that
other state against tax obligations of this state.
Transportation
Highways
