AB478: Bill Text

AB478, s. 32 Section 32. 66.1105 (6) (e) 2. of the statutes is repealed.

AB478, s. 33 Section 33. 66.1105 (7) (ae) of the statutes is created to read:

AB478,20,10 66.1105 (7) (ae) Notwithstanding par. (am), 10 years after the last expenditure identified in the project plan is made if the district to which the plan relates is created on or after the effective date of this paragraph .... [revisor inserts date], and if the district is suitable for industrial sites under sub. (4) (gm) 4. a.

AB478, s. 34 Section 34. 66.1105 (7) (am) of the statutes, as affected by 2003 Wisconsin Act .... (Senate Bill 167), is amended to read:

AB478,20,21 66.1105 (7) (am) Sixteen years after the last expenditure identified in the project plan is made if the district to which the plan relates is created after September 30, 1995, and before October 1, 2003, 13 years after the last expenditure identified in the project plan is made if the district to which the plan relates is created on or after October 1, 2003, or 20 years after the last expenditure identified in the project plan is made if the district to which the plan relates is created before October 1, 1995, except that in no case may the total number of years during which expenditures are made under sub. (6) (am) 1. plus the total number of years during which tax increments are allocated under this sub. (6) (a) exceed 27 years.

AB478, s. 35 Section 35. 66.1105 (7) (ar) of the statutes is amended to read:

AB478,20,25 66.1105 (7) (ar) Notwithstanding par. (am), 22 years after the last expenditure identified in the project plan is made if the district to which the plan relates is created before October 1, 1995, and the project plan is amended under sub. (4) (h) 3. or 4.

AB478, s. 36 Section 36. 66.1105 (8) (title) of the statutes is amended to read:

AB478,21,2 66.1105 (8) (title) Notice of district termination, reporting requirements.

AB478, s. 37 Section 37. 66.1105 (8) (c) of the statutes is created to read:

AB478,21,7 66.1105 (8) (c) Not later than February 15 of the year after the year in which a city transmits to the department of revenue the notice required under par. (a) the city shall send to the department, on a form prescribed by the department, all of the following information that relates to the terminated tax incremental district:

AB478,21,8 1. A final accounting of all expenditures made by the city.

AB478,21,9 2. The total amount of project costs incurred by the city.

AB478,21,10 3. The total amount of positive tax increments received by a city.

AB478, s. 38 Section 38. 66.1105 (8) (d) of the statutes is created to read:

AB478,21,15 66.1105 (8) (d) If a city does not send to the department of revenue the form specified in par. (c) within the time limit specified in par. (c), the department may not certify the tax incremental base of a tax incremental district under sub. (5) (a) and (b) until the form is sent to the department.

AB478, s. 39 Section 39. 66.1105 (15) of the statutes is created to read:

AB478,22,4 66.1105 (15) Substantial compliance. Substantial compliance with subs. (3), (4) (a), (b), (c), (d), (e), (f), and (h), (4m), and (5) (b) by a city that creates, or attempts to create, a tax incremental district is sufficient to give effect to any proceedings conducted under this section if, in the opinion of the department of revenue, any error, irregularity, or informality that exists in the city's attempts to comply with subs. (3), (4) (a), (b), (c), (d), (e), (f), and (h), (4m), and (5) (b) does not affect substantial justice. If the department of revenue determines that a city has substantially complied with subs. (3), (4) (a), (b), (c), (d), (e), (f), and (h), (4m), and (5) (b), the department of revenue shall determine the tax incremental base of the district, allocate tax increments, and treat the district in all other respects as if the requirements under subs. (3), (4) (a), (b), (c), (d), (e), (f), and (h), (4m), and (5) (b) had been strictly complied with based on the date that the resolution described under sub. (4) (gm) 2. is adopted.

AB478, s. 40 Section 40. 66.1106 (1) (c) of the statutes is amended to read:

AB478,23,2 66.1106 (1) (c) "Eligible costs" means capital costs, financing costs and administrative and professional service costs, incurred or estimated to be incurred by a political subdivision, for the investigation, removal, containment or monitoring of, or the restoration of soil, air, surface water, sediments or groundwater affected by, environmental pollution, including monitoring costs incurred within 2 years after the date on which the department of natural resources certifies that environmental pollution on the property has been remediated, cancellation of delinquent taxes if the political subdivision demonstrates that it has not already recovered such costs by any other means, property acquisition costs, demolition costs including asbestos removal, and removing and disposing of underground storage tanks or abandoned containers, as defined in s. 292.41 (1), except that for any parcel of land "eligible costs" shall be reduced by any amounts received from persons responsible for the discharge, as defined in s. 292.01 (3), of a hazardous substance on the property to pay for the costs of remediating environmental pollution on the property, by any amounts received, or reasonably expected by the political subdivision to be received, from a local, state or federal program for the remediation of contamination in the district that do not require reimbursement or repayment and by the amount of net gain from the sale of the property by the political subdivision. "Eligible costs" associated with groundwater affected by environmental pollution include investigation and remediation costs for groundwater that is located in, and extends beyond, the property that is being remediated.

AB478, s. 41 Section 41. 66.1106 (1) (e) of the statutes is amended to read:

AB478,23,12 66.1106 (1) (e) "Environmental remediation tax increment" means that amount obtained by multiplying the total city, county, school and other local general property taxes levied on a parcel of real property that is certified under this section taxable property in a year by a fraction having as a numerator the environmental remediation value increment for that year for that parcel in such district and as a denominator that year's equalized value of that parcel taxable property. In any year, an environmental remediation tax increment is "positive" if the environmental remediation value increment is positive; it is "negative" if the environmental remediation value increment is negative.

AB478, s. 42 Section 42. 66.1106 (1) (f) of the statutes is amended to read:

AB478,23,20 66.1106 (1) (f) "Environmental remediation tax incremental base" means the aggregate value, as equalized by the department, of a parcel of real taxable property that is certified under this section as of the January 1 preceding the date on which the department of natural resources issues a certificate certifying that environmental pollution on the property has been remediated in accordance with rules promulgated by the department of natural resources environmental remediation tax incremental district is created, as determined under sub. (1m) (b).

AB478, s. 43 Section 43. 66.1106 (1) (fm) of the statutes is created to read:

AB478,24,7 66.1106 (1) (fm) "Environmental remediation tax incremental district" means a contiguous geographic area within a political subdivision defined and created by resolution of the governing body of the political subdivision consisting solely of whole units of property as are assessed for general property tax purposes, other than railroad rights-of-way, rivers, or highways. Railroad rights-of-way, rivers, or highways may be included in an environmental remediation tax incremental district only if they are continuously bounded on either side, or on both sides, by whole units of property as are assessed for general property tax purposes which are in the environmental remediation tax incremental district. "Environmental remediation tax incremental district" does not include any area identified as a wetland on a map under s. 23.32.

AB478, s. 44 Section 44. 66.1106 (1) (g) of the statutes is amended to read:

AB478,24,15 66.1106 (1) (g) "Environmental remediation value increment" means the equalized value of a parcel of real taxable property that is certified under this section minus the environmental remediation tax incremental base. In any year, the environmental remediation value increment is "positive" if the environmental remediation tax incremental base of the parcel of taxable property is less than the aggregate value of the parcel of taxable property as equalized by the department; it is "negative" if that base exceeds that aggregate value.

AB478, s. 45 Section 45. 66.1106 (1) (i) of the statutes is amended to read:

AB478,24,20 66.1106 (1) (i) "Period of certification" means a period of not more than 16 23 years beginning after the department certifies the environmental remediation tax incremental base of a parcel of property under sub. (4) or a period before all eligible costs have been paid, whichever occurs first.

AB478, s. 46 Section 46. 66.1106 (1) (jm) of the statutes is created to read:

AB478,24,24 66.1106 (1) (jm) "Project expenditures" means the sum of eligible costs and all other costs incurred by a political subdivision in the creation and operation of an environmental remediation tax incremental district.

AB478, s. 47 Section 47. 66.1106 (1) (k) of the statutes is amended to read:

AB478,25,2 66.1106 (1) (k) "Taxable property" means all real and personal taxable property located in an environmental remediation tax incremental district.

AB478, s. 48 Section 48. 66.1106 (1m) of the statutes is created to read:

AB478,25,6 66.1106 (1m) Creation of environmental remediation tax incremental districts. In order to implement the provisions of this section, the governing body of the political subdivision shall adopt a resolution which does all of the following:

AB478,25,9 (a) Describes the boundaries of an environmental remediation tax incremental district with sufficient definiteness to identify with ordinary and reasonable certainty the territory included within the district.

AB478,25,15 (b) Creates such district as of a date therein provided. If the resolution is adopted during the period between January 2 and September 30, then such date shall be the next preceding January 1. If such resolution is adopted during the period between October 1 and December 31, then such date shall be the next subsequent January 1. If the resolution is adopted on January 1, the environmental remediation tax incremental district shall be created as of the date of the resolution.

AB478, s. 49 Section 49. 66.1106 (2) (a) of the statutes is amended to read:

AB478,26,3 66.1106 (2) (a) A political subdivision that develops, and whose governing body approves, a written proposal to remediate environmental pollution may use an environmental remediation tax increment to pay the eligible costs of remediating environmental pollution on contiguous parcels of property that are located in an environmental remediation tax incremental district within the political subdivision and that are not part of a tax incremental district created under s. 66.1105, as provided in this section, except that a political subdivision may use an environmental remediation tax increment to pay the cost of remediating environmental pollution of groundwater without regard to whether the property above the groundwater is owned by the political subdivision. No political subdivision may submit an application to the department under sub. (4) until the joint review board approves the political subdivision's written proposal under sub. (3).

AB478, s. 50 Section 50. 66.1106 (4) (intro.) of the statutes is amended to read:

AB478,26,14 66.1106 (4) Certification. (intro.) Upon written application to the department of revenue by the clerk of a political subdivision on or before April 1 of the year following the year in which the certification described in par. (a) is received from the department of natural resources December 31 of the year the environmental remediation tax incremental district is created, as determined under sub. (1m) (b), except that if the environmental remediation tax incremental district is created during the period between October 1 and December 31, on or before December 31 of the following year, the department of revenue shall certify to the clerk of the political subdivision the environmental remediation tax incremental base of a parcel of real property if all of the following apply:

AB478, s. 51 Section 51. 66.1106 (4) (b) of the statutes is amended to read:

AB478,26,20 66.1106 (4) (b) The political subdivision submits a statement that all taxing jurisdictions with the authority to levy general property taxes on the parcel or contiguous parcels of property have been notified that the political subdivision intends to recover the costs of remediating environmental pollution on the property and have been provided a statement of the estimated costs to be recovered.

AB478, s. 52 Section 52. 66.1106 (7) (a) of the statutes is amended to read:

AB478,27,2 66.1106 (7) (a) Subject to pars. (b), (c) and (d), the department shall annually authorize the positive environmental remediation tax increment with respect to a parcel or contiguous parcels of property during the period of certification to the political subdivision that incurred the costs to remediate environmental pollution on the property, except that an authorization granted under this paragraph does not apply after the department receives the notice described under sub. (10) (b).

AB478, s. 53 Section 53. 66.1106 (7) (d) 1. of the statutes is amended to read:

AB478,27,10 66.1106 (7) (d) 1. The department may not authorize a positive environmental remediation tax increment under par. (a) to pay otherwise eligible costs that are incurred by the political subdivision after the department of natural resources certifies to the department of revenue that environmental pollution on the parcel or contiguous parcels of property has been remediated unless the costs are associated with activities, as determined by the department of natural resources, that are necessary to close the site described in the site investigation report.

AB478, s. 54 Section 54. 66.1106 (9) of the statutes is amended to read:

AB478,27,22 66.1106 (9) Separate accounting required. An environmental remediation tax increment received with respect to a parcel or contiguous parcels of land that is subject to this section shall be deposited in a separate fund by the treasurer of the political subdivision. No money may be paid out of the fund except to pay eligible costs for a parcel or contiguous parcels of land, or to reimburse the political subdivision for such costs or to satisfy claims of holders of bonds or notes issued to pay eligible costs. If an environmental remediation tax increment that has been collected with respect to a parcel of land remains in the fund after the period of certification has expired, it shall be paid to the treasurers of the taxing jurisdictions in which the parcel is located in proportion to the relative share of those taxing jurisdictions in the most recent levy of general property taxes on the parcel.

AB478, s. 55 Section 55. 66.1106 (10) (a) of the statutes is amended to read:

AB478,28,3 66.1106 (10) (a) Prepare and make available to the public updated annual reports describing the status of all projects to remediate environmental pollution funded under this section, including revenues and expenditures. A copy of the report shall be sent to all taxing jurisdictions with authority to levy general property taxes on the parcel or contiguous parcels of property by May 1 annually.

AB478, s. 56 Section 56. 66.1106 (10) (b) of the statutes is amended to read:

AB478,28,6 66.1106 (10) (b) Notify the department within 10 days after the period of certification for a parcel or contiguous parcels of property has expired.

AB478, s. 57 Section 57. 66.1106 (10) (c) of the statutes is created to read:

AB478,28,16 66.1106 (10) (c) With regard to an environmental remediation tax incremental district, not later than 12 months after the last expenditure is made or not later than 12 months after an expenditure may be made under sub. (2) (b), whichever comes first, prepare and make available to the public a report that is similar to the report required under par. (a), except that the report required under this paragraph shall also include an independent certified audit of the project to determine if all financial transactions were made in a legal manner and to determine if the environmental remediation tax incremental district complied with this section. A copy of the report shall be sent out to all taxing jurisdictions which received the reports under par. (a).

AB478, s. 58 Section 58. 66.1106 (10) (d) of the statutes is created to read:

AB478,28,21 66.1106 (10) (d) Not later than February 15 of the year after the year in which an environmental remediation tax incremental district terminates under sub. (11), provide the department with all of the following on a form that is prescribed by the department:

AB478,28,23 1. A final accounting of project expenditures that are made for the environmental remediation tax incremental district.

AB478,28,25 2. The final amount of eligible costs that have been paid for the environmental remediation tax incremental district.

AB478,29,2 3. The total amount of environmental remediation tax increments that have been paid to the political subdivision.

AB478, s. 59 Section 59. 66.1106 (11) of the statutes is created to read:

AB478,29,6 66.1106 (11) Termination of environmental remediation tax incremental districts. An environmental remediation tax incremental district terminates when the earliest of the following occurs:

AB478,29,9 (a) The political subdivision has received aggregate environmental remediation tax increments with respect to the district in an amount equal to the aggregate of all eligible costs.

AB478,29,11 (b) Sixteen years after the department certifies the environmental remediation tax incremental base of a parcel or contiguous parcels of property under sub. (4).

AB478,29,15 (c) The political subdivision's legislative body, by resolution, dissolves the district. Upon dissolving the district, the political subdivision becomes liable for all unpaid eligible costs actually incurred which are not paid from the separate fund under sub. (9).

AB478, s. 60 Section 60. 66.1106 (12) of the statutes is created to read:

AB478,29,20 66.1106 (12) (a) Notice of district termination. A political subdivision that creates an environmental remediation tax incremental district under this section shall give the department written notice within 10 days of the termination of the environmental remediation tax incremental district under sub. (11).

AB478,29,24 (b) If the department receives a notice under par. (a) during the period from January 1 to May 15, the effective date of the notice is the date the notice is received. If the notice is received during the period from May 16 to December 31, the effective date of the notice is the first January 1 after the department receives the notice.

AB478, s. 61 Section 61. 66.1106 (13) of the statutes is created to read:

AB478,30,10 66.1106 (13) Payment of eligible costs for annexed territory, redetermination of tax incremental base. If a city or village annexes territory from a town and if the town is using an environmental remediation tax increment to remediate environmental pollution on all or part of the territory that is annexed, the city or village shall pay to the town that portion of the eligible costs that are attributable to the annexed territory. The city or village, and the town, shall negotiate an agreement on the amount that must be paid under this subsection. The department shall redetermine the environmental tax incremental base of any parcel of real property for which the environmental remediation tax incremental base was determined under sub. (4) if part of that parcel is annexed under this subsection.

AB478, s. 62 Section 62. 73.03 (57) of the statutes is created to read:

AB478,30,17 73.03 (57) To create, and update, a manual on the tax incremental finance program under s. 66.1105. The manual shall contain the rules relating to the program, common problems faced by cities and villages under the program, possible side effects of the use of tax incremental financing, and any other information the department determines is appropriate. The department may consult with, and solicit the views of, any interested person while preparing or updating the manual.

AB478, s. 63 Section 63. 74.23 (1) (b) of the statutes is amended to read:

AB478,31,3 74.23 (1) (b) General property taxes. After making the distribution under par. (a), the taxation district treasurer shall pay to each taxing jurisdiction within the district its proportionate share of general property taxes, except that the treasurer shall pay the state's proportionate share to the county. As part of that distribution, the taxation district treasurer shall retain for the taxation district and for each tax incremental district within the taxation district and each environmental remediation tax incremental district created by the taxation district its proportionate share of general property taxes. The taxation district treasurer shall also distribute to the county the proportionate share of personal property taxes for each environmental remediation tax incremental district created by the county.

AB478, s. 64 Section 64. 74.25 (1) (b) 1. of the statutes is amended to read:

AB478,31,14 74.25 (1) (b) 1. Pay in full to each taxing jurisdiction within the district all personal property taxes included in the tax roll which have not previously been paid to, or retained by, that taxing jurisdiction, except that the treasurer shall pay the state's proportionate share to the county. As part of that distribution, the taxation district treasurer shall allocate to each tax incremental district within the taxation district and each environmental remediation tax incremental district created by the taxation district its proportionate share of personal property taxes. The taxation district treasurer shall also distribute to the county the proportionate share of personal property taxes for each environmental remediation tax incremental district created by the county.

AB478, s. 65 Section 65. 74.25 (1) (b) 2. of the statutes is amended to read:

AB478,31,24 74.25 (1) (b) 2. Pay to each taxing jurisdiction within the district its proportionate share of real property taxes, except that the treasurer shall pay the state's proportionate share to the county. As part of that distribution, the taxation district treasurer shall retain for the taxation district and for each tax incremental district within the taxation district and each environmental remediation tax incremental district created by the taxation district its proportionate share of real property taxes. The taxation district treasurer shall also distribute to the county the proportionate share of real property taxes for each environmental remediation tax incremental district created by the county.

AB478, s. 66 Section 66. 74.30 (1) (i) of the statutes is amended to read:

AB478,32,10 74.30 (1) (i) Pay in full to each taxing jurisdiction within the district all personal property taxes included in the tax roll which have not previously been paid to, or retained by, each taxing jurisdiction, except that the treasurer shall pay the state's proportionate share to the county. As part of that distribution, the taxation district treasurer shall allocate to each tax incremental district within the taxation district and each environmental remediation tax incremental district created by the taxation district its proportionate share of personal property taxes. The taxation district treasurer shall also distribute to the county the proportionate share of personal property taxes for each environmental remediation tax incremental district created by the county.

AB478, s. 67 Section 67. 74.30 (1) (j) of the statutes is amended to read:

AB478,32,20 74.30 (1) (j) Pay to each taxing jurisdiction within the district its proportionate share of real property taxes, except that the treasurer shall pay the state's proportionate share to the county. As part of that distribution, the taxation district treasurer shall retain for the taxation district and for each tax incremental district within the taxation district and each environmental remediation tax incremental district created by the taxation district its proportionate share of real property taxes. The taxation district treasurer shall also distribute to the county the proportionate share of real property taxes for each environmental remediation tax incremental district created by the county.

AB478, s. 68 Section 68. 74.30 (2) (b) of the statutes is amended to read:

AB478,33,6 74.30 (2) (b) Pay to each taxing jurisdiction within the district its proportionate share of real property taxes collected, except that the taxation district treasurer shall pay the state's proportionate share to the county, and the county treasurer shall settle for that share under s. 74.29. As part of that distribution, the taxation district treasurer shall retain for the taxation district and for each tax incremental district within the taxation district and each environmental remediation tax incremental district created by the taxation district its proportionate share of real property taxes. The taxation district treasurer shall also distribute to the county the proportionate share of real property taxes for each environmental remediation tax incremental district created by the county.

AB478, s. 69 Section 69. 79.095 (1) (c) of the statutes is amended to read:

AB478,33,10 79.095 (1) (c) "Taxing jurisdiction" means a municipality, county, school district, special purpose district, tax incremental district, environmental remediation tax incremental district, or technical college district.

AB478, s. 70 Section 70. 79.095 (2) (b) of the statutes is amended to read:

AB478,33,15 79.095 (2) (b) On or before December 31, the tax rate used for each tax incremental district for which the municipality assesses property and for each environmental remediation tax incremental district for which the municipality assesses property.