13.94 (1) (d) 2. If the governor directs that such an examination be conducted, the order from the governor shall provide for reimbursement of the legislative audit bureau's costs in making the examination from the appropriation under s. 20.525 (1) (a). No order from the governor for an examination under this paragraph may take precedence over any examination already scheduled by the legislative audit bureau without approval of the joint legislative audit committee. If a deficiency is discovered pursuant to an examination under this paragraph, the governor shall require the treasurer secretary of administration to make up the deficiency immediately; and if the treasurer secretary of administration refuses or neglects for 10 days thereafter to have the full sum belonging to said funds in the treasury the attorney general shall institute proceedings to recover the deficiency.
SECTION 4. 13.94 (1) (f) of the statutes is amended to read:
13.94 (1) (f) Certify Whenever a new secretary of administration takes office, certify to the incoming treasurer secretary the balance in the treasury when he or she came into office and all bonds and securities belonging to all public funds on deposit in the treasury or properly accounted for and transmit a certified copy thereof to the outgoing treasurer secretary.
SECTION 5. 14.58 (1) (intro.) of the statutes is repealed and recreated to read:
14.58 (1) SIGN CHECKS, SHARE DRAFTS, AND OTHER DRAFTS. (intro.) Sign checks, share drafts, and other drafts on depositories in which moneys may be deposited in one of the following methods:
SECTION 6. 14.58 (2) of the statutes is renumbered 16.401 (2) and amended to read:
16.401 (2) ISSUE RECEIPTS. Issue receipts for all money paid to the treasurer department.
SECTION 7. 14.58 (3) of the statutes is renumbered 16.401 (3).
SECTION 8. 14.58 (4) of the statutes is renumbered 16.401 (4) and amended to read:
16.401 (4) PAY ON WARRANTS SUMS AUTHORIZED BY LAW. (a) Pay out of the treasury, on demand, upon the warrants of the department of administration, except as provided in s. 20.929, such sums only as are authorized by law to be so paid, if there are appropriate funds therein to pay the same, and, when any sum is required to be paid out of a particular fund, pay it out of such fund only; and upon each such warrant, when payment is made in currency, take the receipt endorsed on or annexed thereto, of the payee therein named or an authorized agent or assignee. The state treasurer secretary shall accept telephone advice believed by the treasurer him or her to be genuine from any public depository, as defined in s. 34.01 (5), stating that a specified amount of money has been deposited with such public depository for the credit of the state treasurer, and shall act upon such telephone advice as though it had been in writing.
(b) When in the judgment of the state treasurer secretary balances in state public depository accounts are temporarily in excess of that required under par. (a), the treasurer, with the concurrence of the secretary of administration, may authorize the preparation of a warrant in excess of the funds contained in transfer the excess balance to the investment fund for the purpose of investment only. The earnings attributable to the investment of temporary excess balances shall be distributed as provided in sub. (19) (14).
SECTION 9. 14.58 (5) of the statutes is renumbered 16.401 (5) and amended to read:
16.401 (5) ACCOUNT FOR INTEREST. Pay into the treasury and account for all sums directly or indirectly received by the treasurer secretary by virtue of the treasurer's secretary's office, or as interest or compensation for the use, deposit, or forbearance of any state moneys in the treasurer's secretary's hands or under the treasurer's secretary's control.
SECTION 10. 14.58 (6) of the statutes is renumbered 16.401 (6) and amended to read:
16.401 (6) KEEP CASH AND FUND ACCOUNTS. Keep records showing the number, date, and amount of each cash receipt issued by the treasurer's office department and classify said receipts by state funds; submit a summary statement of collections by fund together with a copy of each remittance advice in support thereof; keep also records showing the check, share draft, or other draft number, date, payee, and amount of each cash disbursement and classify said disbursements by state funds; keep a record of the date, payee, and amount of each disbursement made by a money transfer technique other than a check or draft and classify the disbursement by state fund; and verify at the end of each week the amounts shown by the treasurer's secretary's records to represent total cash balance and cash balances of individual state funds by comparing said amounts with corresponding balances appearing on records maintained by the department of administration.
SECTION 11. 14.58 (8) (intro.) and (a) to (c) of the statutes are renumbered 16.401 (7) (intro.) and (a) to (c).
SECTION 12. 14.58 (8) (d) of the statutes is repealed.
SECTION 13. 14.58 (9) of the statutes is renumbered 16.401 (8) and amended to read:
16.401 (8) BIENNIAL SUBMIT BIENNIAL REPORT. On or before October 15 of each odd-numbered year, submit to the governor and the chief clerk of each house of the legislature, for distribution to the legislature under s. 13.172 (2), a report containing the same information required of departments and independent agencies under s. 15.04 (1) (d). The report shall also As part of the report submitted under s. 15.04 (1) (d), include a statement showing for each of the 2 preceding fiscal years the cash balance in each state fund at the beginning of the fiscal year, the aggregate amount of receipts credited, and the aggregate amount of disbursements charged to each said fund during the fiscal year and the resultant cash balance in each state fund at the end of the fiscal year. This statement shall further show as of the end of each said 2 fiscal years, at par, the aggregate value of securities held for each state fund and the aggregate value of securities held in trust or deposited for safekeeping, and shall show the manner in which the total cash balance was accounted for by listing the balances on deposit in each state account in a public depository, deducting from the total of such balances the aggregate amount of checks, share drafts, or other drafts outstanding and adding thereto the aggregate amount of cash and cash items in office.
SECTION 14. 14.58 (10) of the statutes is renumbered 16.401 (9) and amended to read:
16.401 (9) REPORT CERTAIN PAYMENTS. Whenever the state treasurer secretary or any state department shall remit to any county, city, town, or village any sum in payment of a state aid or other item, the remitter shall transmit a statement of the amount and purpose thereof to the clerk of such municipality. After the receipt thereof, the clerk of such municipality shall present such statement at the next regular meeting of the governing body and shall thereafter file and keep such statement for 6 years.
SECTION 15. 14.58 (12) of the statutes is renumbered 16.401 (10) and amended to read:
16.401 (10) STAMP CHECKS AND DRAFTS. Cause to be plainly printed or stamped upon each check, share draft, and other draft issued by the state treasurer secretary the period of time, as determined by the state treasurer secretary but not to exceed one year, during which the check or other draft may be presented for payment. The state treasurer secretary shall cancel on his or her records any check or other draft that is not presented for payment within the prescribed time period and shall credit the amount thereof to the fund upon which it is drawn. Notice of such cancellation and credit shall be immediately submitted by the state treasurer to the department of administration.
SECTION 16. 14.58 (13) of the statutes is renumbered 16.401 (11) and amended to read:
16.401 (11) SERVICES PROVIDE SERVICES IN CONNECTION WITH SECURITIES HELD IN TRUST. Upon request therefor from any company, corporation, society, order, or association which that has securities on deposit with the treasurer secretary, in trust, mail to its address not to exceed 60 days before the same become due, any or all interest coupons; return to it any or all bonds, notes, or other deposits as they become due and are replaced by other securities; cut all interest coupons, make any endorsement of interest or otherwise on any such securities; and collect therefor from the company, corporation, society, order, or association making the request, a 25-cent fee for a single coupon cut, or for each entry of interest endorsed on a note or return of a bond, note, or other security, and a 10-cent fee for each additional coupon cut, or entry of interest endorsed on a note, bond, or other security, and may withhold any and all coupons cut or refuse endorsement of interest on securities until such fee is paid. Such fees shall be paid into the state treasury as a part of the general fund, and an extra charge may be required for postage or registered mail.
SECTION 17. 14.58 (17) of the statutes is renumbered 16.401 (12) and amended to read:
16.401 (12) SAFEKEEPING HOLD SAFEKEEPING RECEIPTS FOR FEDERAL SECURITIES. Whenever any federal securities are purchased under authority of any law and the state treasurer secretary is custodian thereof the treasurer secretary may accept and hold safekeeping receipts of a federal reserve bank for such securities. Each such receipt shall be identified on its face with the name of the fund to which the securities described in the receipt belong.
SECTION 18. 14.58 (18) of the statutes is renumbered 16.401 (13) and amended to read:
16.401 (13) SALE OF INVESTMENTS. Whenever the department of administration draws a check, share draft, or other draft dated the next following business day upon a fund whose investment and collection is under the exclusive control of the investment board pursuant to s. 25.17 (1), and the receipts of the state treasurer are insufficient to permit a disbursement from said fund in the amount of such check, share draft, or other draft, the investment board shall sell investments owned by such fund for delivery in time to provide sufficient money to cover such check, share draft, or other draft on the date which that it bears.
SECTION 19. 14.58 (19) of the statutes is renumbered 16.401 (14).
SECTION 20. 14.58 (21) of the statutes is repealed.
SECTION 21. 16.401 (intro.) of the statutes is created to read:
16.401 Treasury management. (intro.) The department shall:
SECTION 22. 16.401 (1) of the statutes is created to read:
16.401 (1) HAVE CUSTODY OF MONEYS. Receive and have charge of all moneys paid into the treasury and any other moneys received by officers and employees of state agencies, and pay out the moneys as directed by law, except as provided in ss. 16.52 (7), 20.907 (5) (b), 20.920, and 20.929.
SECTION 23. 16.412 of the statutes is amended to read:
16.412 Agency payments. At the request of any agency, the secretary, with the approval of the state treasurer, may authorize the processing of specified regular periodic payments through the use of money transfer techniques including, without limitation because of enumeration, direct deposit, electronic funds transfer, and automated clearinghouse procedures.
SECTION 24. 16.415 (1) of the statutes, as affected by 2003 Wisconsin Act .... (this act), is amended to read:
16.415 (1) Neither the secretary nor any other fiscal officer of this state may draw, sign, or issue, or authorize the drawing, signing, or issuing of any warrant on the treasurer or other any disbursing officer of the state to pay any compensation to any person in the classified service of the state unless an estimate, payroll, or account for such compensation, containing the names of every person to be paid, bears the certificate of the appointing authority that each person named in the estimate, payroll, or account has been appointed, employed, or subject to any other personnel transaction in accordance with, and that the pay for the person has been established in accordance with, the law, compensation plan, or applicable collective bargaining agreement, and applicable rules of the administrator of the division of merit recruitment and selection in the department then in effect.
****NOTE: This is reconciled s. 16.415 (1). This SECTION has been affected by drafts with the following LRB numbers: LRB-0529 and LRB-0576.
SECTION 25. 16.53 (5) of the statutes is amended to read:
16.53 (5) WARRANTS; WHAT TO SPECIFY. The secretary shall draw a warrant on the state treasurer treasury payable to the claimant for the amount allowed by the secretary upon every claim audited under sub. (1), except as authorized in s. 16.52 (7), 20.920, or 20.929, specifying from what fund to be paid, the particular law which that authorizes the claim to be paid out of the state treasury, and at the secretary's discretion the post-office address of the payee. The secretary shall not credit the treasurer for any sum of money paid out by the treasurer No moneys may be paid out of the state treasury under this section otherwise than upon such warrants.
SECTION 26. 16.53 (10) (a) of the statutes is amended to read:
16.53 (10) (a) If an emergency arises which requires the department to draw vouchers for payments which will be in excess of available moneys in any state fund, the secretary, in consultation with the state treasurer, and after notifying the joint committee on finance under par. (b), may prorate and establish priority schedules for all payments within each fund, including those payments for which a specific payment date is provided by statute, except as otherwise provided in this paragraph. The secretary shall draw all vouchers according to the preference provided in this paragraph. All direct or indirect payments of principal or interest on state bonds and notes issued under subch. I of ch. 18 have first priority. All direct or indirect payments of principal or interest on state notes issued under subch. III of ch. 18 have 2nd priority. No payment having a 1st or 2nd priority may be prorated or reduced under this subsection. All state employee payrolls have 3rd priority. The secretary shall draw all remaining vouchers according to a priority determined by the secretary. The secretary shall maintain records of all claims prorated under this subsection and shall provide written notice to the state treasurer when a potential cash flow emergency is anticipated.
SECTION 27. 16.53 (10) (b) of the statutes is amended to read:
16.53 (10) (b) Before exercising authority under par. (a) the secretary shall, after consultation with the state treasurer, notify the joint committee on finance as to the need for and the procedures under which proration or priority schedules under par. (a) shall occur. If the joint committee on finance has not, within 2 working days after the notification, scheduled a meeting to review the secretary's proposal, the secretary may proceed with the proposed action. If, within 2 working days after the notification, the committee schedules a meeting, the secretary may not proceed with the proposed action until after the meeting is held.
SECTION 28. 18.60 (3) of the statutes is amended to read:
18.60 (3) The principal proceeds from the sale of any refunding obligations shall be applied either to the immediate payment and retirement of the obligations or notes being refinanced or, if the obligations or notes have not matured and are not presently redeemable, to the creation of a trust for and shall be pledged to the payment of the obligations or notes being refinanced. If a trust is created, a separate deposit shall be made for each issue of obligations or notes being refinanced. Each deposit shall be with the state treasurer secretary of administration or a bank or trust company that is then a member of the federal deposit insurance corporation. If the total amount of any deposit, including money other than sale proceeds but legally available for such purpose, is less than the principal amount of the obligations or notes being refinanced and for the payment of which the deposit has been created and pledged, together with applicable redemption premiums and interest accrued and to accrue to maturity or to the date of redemption, then the application of the sale proceeds shall be legally sufficient only if the money deposited is invested in securities issued by the United States or one of its agencies, or securities fully guaranteed by the United States, and only if the principal amount of the securities at maturity and the income therefrom to maturity will be sufficient and available, without the need for any further investment or reinvestment, to pay at maturity or upon redemption the principal amount of the obligations or notes being refinanced together with applicable redemption premiums and interest accrued and to accrue to maturity or to the date of redemption. The income from the principal proceeds of the securities shall be applied solely to the payment of the principal of and interest and redemption premiums on the obligations or notes being refinanced, but provision may be made for the pledging and disposition of any surplus. Nothing in this subsection shall be construed as a limitation on the duration of any deposit in trust for the retirement of obligations or notes being refinanced, but which have not matured and which are not presently redeemable. Nothing in this subsection shall be construed to prohibit reinvestment of the income of a trust if the reinvestments will mature at such times that sufficient cash will be available to pay interest, applicable premiums, and principal on the obligations or notes being refinanced.
SECTION 29. 19.43 (7) of the statutes is amended to read:
19.43 (7) If an official required to file fails to make a timely filing, the board shall promptly provide notice of the delinquency to the state treasurer secretary of administration, and to the chief executive of the department of which the official's office or position is a part, or, in the case of a district attorney, to the chief executive of that department and to the county clerk of each county served by the district attorney or in the case of a municipal judge to the clerk of the municipality of which the official's office is a part, or in the case of a justice, court of appeals judge, or circuit judge, to the director of state courts. Upon such notification both the state treasurer secretary of administration and the department, municipality, or director shall withhold all payments for compensation, reimbursement of expenses, and other obligations to the official until the board notifies the officers to whom notice of the delinquency was provided that the official has complied with this section.
SECTION 30. 20.395 (9) (gg) of the statutes is amended to read:
20.395 (9) (gg) Credit card use charges. All moneys received under ch. 194, 218, 341, 342, 343, or 348 as provided in s. 85.14 (1) (a) that are required to be paid to the state treasurer secretary of administration under s. 85.14 (1) (b) for the purpose of the payment of charges associated with the use of credit cards that are assessed to the department under s. 85.14 (1) (b).
SECTION 31. 20.435 (6) (gb) of the statutes is amended to read:
20.435 (6) (gb) Alcohol and drug abuse initiatives. All moneys received from the state treasurer under s. 961.41 (5) (c), to be expended on programs providing prevention, intervention, and treatment for alcohol and other drug abuse problems.
SECTION 32. 20.435 (6) (hx) of the statutes is amended to read:
20.435 (6) (hx) Services related to drivers, receipts. The amounts in the schedule for services related to drivers. All moneys received by the state treasurer secretary of administration from the driver improvement surcharge on court fines and forfeitures authorized under s. 346.655 and all moneys transferred from the appropriation account under s. 20.395 (5) (di) shall be credited to this appropriation. The secretary of administration shall annually transfer to the appropriation account under s. 20.395 (5) (ek) 3.76% of all moneys credited to this appropriation from the driver improvement surcharge. Any unencumbered moneys in this appropriation account may be transferred to sub. (7) (hy) and ss. 20.255 (1) (hm), 20.285 (1) (ia), 20.395 (5) (ci) and (di), and 20.455 (5) (h) by the secretary of administration, after consultation with the secretaries of health and family services and transportation, the superintendent of public instruction, the attorney general, and the president of the University of Wisconsin System.
SECTION 33. 20.505 (1) (kj) of the statutes is amended to read:
20.505 (1) (kj) Financial services. The amounts in the schedule to provide accounting, auditing, payroll, and other financial services to state agencies, to provide banking service cost analysis and cash management assistance for state agencies and state funds under s. 25.19 (3), and to transfer the amounts appropriated under s. 20.585 (1) (kb) to the appropriation account under s. 20.585 (1) (kb). All moneys received from the provision of accounting, auditing, payroll, and other financial services to state agencies and from assessments paid under s. 25.14 (3) shall be credited to this appropriation.
SECTION 34. 20.585 (1) (jt) of the statutes is repealed.
****NOTE: This SECTION involves a change in an appropriation that must be reflected in the revised schedule in s. 20.005, stats.
SECTION 35. 20.585 (1) (km) of the statutes is repealed.
****NOTE: This SECTION involves a change in an appropriation that must be reflected in the revised schedule in s. 20.005, stats.
SECTION 36. 20.906 (1) of the statutes is amended to read:
20.906 (1) FREQUENCY OF DEPOSITS. Unless otherwise provided by law, all moneys collected or received by any state agency for or in behalf of the state or which is are required by law to be turned into the state treasury shall be deposited in or transmitted to the state treasury at least once a week and also at other times as required by the governor or the state treasurer secretary of administration and shall be accompanied by a statement in such form as the treasurer secretary of administration may prescribe showing the amount of such collection and from whom and for what purpose or on what account the same was received. All moneys paid into the treasury shall be credited to the general purpose revenues of the general fund unless otherwise specifically provided by law.
SECTION 37. 20.906 (4) of the statutes is amended to read:
20.906 (4) PENALTIES. If any state agency fails to make such deposits of money, or to make such reports as are required by this section, the department of administration, with the approval of the governor, shall withhold all moneys due such state agency until this section is complied with; and upon such failure to make such deposits of money, the officer or employee so failing shall be liable to the state treasurer secretary of administration for an amount equal to the interest upon the moneys so withheld from deposit at the same rate as that received by the state upon moneys held in the state investment fund, for the period for which such deposit is withheld; and such interest shall be a charge against the officer or employee and shall be deducted from that person's compensation.
SECTION 38. 20.906 (5) of the statutes is amended to read:
20.906 (5) CONDITIONS PRECEDENT TO RELEASE OF APPROPRIATIONS. All appropriations from state revenues for any state agency, are made on the express conditions that such state agency pays all moneys received by it into the state treasury within one week of receipt or as often as otherwise directed by the governor or state treasurer secretary of administration, and conforms with ss. 16.53 (1) and 20.002, regardless of the type of appropriations made to the state agency. Upon failure to comply with this subsection, the department of administration shall refuse to draw its warrant and the state treasurer shall refuse to pay any moneys appropriated to the state agency from state revenues until the state agency complies with this subsection. Upon failure or refusal to so comply, after due notice received from the department of administration, any appropriations from state revenues to the state agency shall permanently revert to the fund from which appropriated.
SECTION 39. 20.906 (6) of the statutes is amended to read:
20.906 (6) DIRECT DEPOSITS. The governor or the state treasurer secretary of administration may require state agencies making deposits under this section to make direct deposits to any depository designated by the depository selection board, if such a requirement is advantageous or beneficial to this state.
SECTION 40. 20.907 (2) of the statutes is amended to read:
20.907 (2) CUSTODY AND ACCOUNTING. The state treasurer secretary of administration shall have custody of all such gifts, grants, and bequests and devises in the form of cash or securities. The department of administration shall keep a separate account for each state agency receiving such gifts, grants, and bequests and devises, including therein investments, accumulations, payments, and any other transaction pertaining to such moneys. If no state agency is designated by the donor to carry out the purposes of the conveyance, the joint committee on finance shall appoint a state agency to act as trustee.
SECTION 41. 20.907 (5) (a) of the statutes is amended to read:
20.907 (5) (a) Except as provided in par. (b), all moneys which that may come into the possession of any officer or employee of a state agency by virtue of his or her office or employment shall be deposited with the state treasurer secretary of administration, regardless of the ownership thereof.
SECTION 42. 20.907 (5) (b) of the statutes is amended to read:
20.907 (5) (b) Paragraph (a) does not apply whenever the disposition of moneys is otherwise provided by law or whenever a state agency receives moneys incident to an authorized activity which that are not appropriated and not directed to be deposited with the state treasurer secretary of administration and the agency promulgates a rule which that prescribes procedures in accordance with ch. 34 for the deposit of the moneys.
SECTION 43. 20.907 (5) (c) of the statutes is amended to read:
20.907 (5) (c) The state treasurer secretary of administration shall establish an account for moneys received under par. (a) from each source and shall make payments and refunds from each account authorized under par. (e) as directed by the state agency depositing the moneys, unless otherwise provided by law. Each payment shall be made upon submission of a claim audited under s. 16.53 and paid by voucher from the appropriation under s. 20.855 (6) (j) in accordance with procedures established by the secretary of administration.
SECTION 44. 20.907 (5) (d) of the statutes is amended to read:
20.907 (5) (d) Each account under this subsection shall be established in the appropriate fund, as determined by the state treasurer secretary of administration.
SECTION 45. 20.907 (5) (e) 12e. of the statutes is created to read:
20.907 (5) (e) 12e. Credit card interchange and association fees.
SECTION 46. 20.907 (5) (e) 12r. of the statutes is created to read:
20.907 (5) (e) 12r. Transfers from the income account of the state investment fund, to pay bank service costs under s. 34.045 (1) (b).
SECTION 47. 20.912 (1) of the statutes is amended to read:
20.912 (1) CANCELLATION OF OUTSTANDING CHECKS AND SHARE DRAFTS. If any check, share draft, or other draft drawn and issued by the state treasurer upon the funds of the state in any state depository is not paid within the time period designated by the state treasurer secretary of administration under s. 14.58 (12) 16.401 (10) as shown on the check or other draft, the state treasurer secretary of administration shall cancel the check or other draft and credit the amount thereof to the fund on which it is drawn.
SECTION 48. 20.912 (3) of the statutes is amended to read:
20.912 (3) REISSUE OF CANCELED CHECKS, SHARE DRAFTS, AND OTHER DRAFTS. Subject to sub. (2), when the payee or person entitled to any check, share draft, or other draft canceled under sub. (1) by the state treasurer, or the payee or person entitled to any warrant so canceled by the department of administration, demands such check, share draft, other draft, or warrant or payment thereof, the department of administration shall issue a new warrant therefor, to be paid from the appropriate appropriation account under s. 20.855 (1) (bm), (gm), or (rm).
SECTION 49. 20.912 (4) of the statutes, as affected by 2003 Wisconsin Act .... (this act), is amended to read:
20.912 (4) INSOLVENT DEPOSITORIES. When the bank, savings and loan association, savings bank, or credit union on which any check, share draft, or other draft is drawn by the state treasurer secretary of administration before payment of such check, share draft, or other draft becomes insolvent or is taken over by the division of banking, the federal home loan bank board, the U.S. office of thrift supervision, the federal deposit insurance corporation, the resolution trust corporation, the office of credit unions, the administrator of federal credit unions, or the U.S. comptroller of the currency, the state treasurer secretary of administration shall on the demand of the person in whose favor such check, share draft, or other draft was drawn and upon the return to the treasurer secretary of such check, share draft, or other draft issue a replacement for the same amount.
****NOTE: This is reconciled s. 20.912 (4). This SECTION has been affected by drafts with the following LRB numbers: LRB-0529 and LRB-1431.
SECTION 50. 20.912 (5) of the statutes is amended to read:
20.912 (5) LOST, STOLEN, OR DESTROYED CHECKS, SHARE DRAFTS, AND OTHER DRAFTS. If any check, share draft, or other draft drawn and issued by the state treasurer secretary of administration is lost, stolen, or destroyed and the bank, savings and loan association, savings bank, or credit union on which the check, share draft, or other draft is drawn has been notified to stop payment thereon, the state treasurer secretary of administration may, after acknowledgment by the bank, savings and loan association, savings bank, or credit union that the check, share draft, or other draft has not been paid, issue a replacement check, share draft, or other draft and thereafter the state treasurer secretary of administration shall be relieved from all liability thereon.
