This bill eliminates the directive to DWD to continue the creation and implementation of a subsidized work program and requires DWD to conduct and evaluate, from January 1, 2008, to December 31, 2009, a real work, real pay pilot project. The pilot project is limited to 500 participants, who must satisfy the eligibility requirements for W-2, and must be conducted in at least one of the geographical areas of the state established for administering the W-2 program that is located in Milwaukee County and in at least two of those geographical areas that are not in Milwaukee County. An individual may participate in the pilot project for up to six months, with a possible three-month extension. Under the project, a W-2 agency pays a wage subsidy, which may not exceed the federal minimum wage for no more than 30 hours of work per week, to an employer that employs a project participant. The employer is also reimbursed for up to 100 percent of federal social security taxes, state and federal unemployment contributions, and worker's compensation insurance premiums paid on behalf of a participant. The W-2 agency and the employer of a participant must work together to find a mentor for the participant at the work site. A mentor receives a monthly stipend of $50 from the W-2 agency. An employer that employs a participant and receives a wage subsidy must agree to make a good faith effort to retain the participant as an unsubsidized employee after the wage subsidy ends if the participant successfully completes participation in the pilot project. If the employer does not retain the participant, the employer must serve as an employment reference for the participant or provide a written performance evaluation of the participant, including recommendations for improvement.
For further information see the state fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 49.147 (3m) of the statutes is created to read:
49.147 (3m) REAL WORK, REAL PAY PILOT PROJECT. (a) Administration and evaluation. Except as provided in par. (d), the department shall conduct and evaluate a real work, real pay pilot project from January 1, 2008, to December 31, 2009.
(b) Eligibility and project limits. 1. Except as specifically provided in this subsection, all general and nonfinancial eligibility requirements under s. 49.145 apply to participants under this subsection, and all requirements under sub. (3), as they apply to Wisconsin Works agencies, employers, and participants, apply to Wisconsin Works agencies, employers, and participants under this subsection.
2. The project shall be limited to 500 individuals and shall be conducted in at least one of the geographical areas established by the department under s. 49.143 (6) that is in Milwaukee County and in at least 2 of those geographical areas that are not in Milwaukee County.
(c) Employer subsidies and reimbursements. The Wisconsin Works agency shall pay an employer that employs a participant under this subsection a monthly wage subsidy that does not exceed the federal minimum wage for no more than 30 hours of work per week. Worksite training activities prescribed by the employer that are consistent with training provided to other employees at the worksite are considered work for purposes of calculating the wage subsidy under this paragraph. In addition to the wage subsidy, the Wisconsin Works agency shall reimburse the employer for up to 100 percent of all of the following costs that are attributable to employment of the participant:
1. Federal social security taxes.
2. State and federal unemployment contributions or taxes, if any.
3. Worker's compensation insurance premiums, if any.
(d) Time-limited participation and payment extension. An individual may participate in the project under this subsection for a maximum of 6 months, with an opportunity for an extension of up to 3 months. Notwithstanding the ending date for the project, payments under par. (c) for any participant who is accepted into the project before December 31, 2009, shall be made until the participant completes his or her 6-month participation period or any extension to it already commenced before that date.
(e) Mentors and stipends. The Wisconsin Works agency and employer of a participant under this subsection shall work together to find a mentor for the participant at the participant's work site. The Wisconsin Works agency shall pay each mentor a monthly stipend of $50.
(f) Employer effort to retain, refer, or evaluate participant. An employer that employs a participant under this subsection and receives a wage subsidy shall agree to make a good faith effort to retain the participant as a permanent unsubsidized employee after the wage subsidy ends if the participant successfully completes participation in the project under this subsection. An employer shall also agree that, if the employer does not retain a participant as a permanent unsubsidized employee, the employer will serve as an employment reference for the participant or provide to the Wisconsin Works agency a written performance evaluation of the participant, including recommendations for improvements.
SECTION 2. 49.26 (1) (g) (intro.) of the statutes is amended to read:
49.26 (1) (g) (intro.) An individual who is a dependent child in a Wisconsin works Works group that includes a participant under s. 49.147 (3), (3m), (4), or (5) or who is a recipient of aid under s. 49.19 is subject to the school attendance requirement under par. (ge) if all of the following apply:
SECTION 3. 49.26 (1) (h) 1s. b. of the statutes is amended to read:
49.26 (1) (h) 1s. b. An individual who is a dependent child in a Wisconsin works Works group that includes a participant under s. 49.147 (3), (3m), (4), or (5) and who fails to meet the school attendance requirement under par. (ge) is subject to a monthly sanction.
SECTION 4. 49.36 (2) of the statutes is amended to read:
49.36 (2) The department may contract with any county, tribal governing body, or Wisconsin Works agency to administer a work experience and job training program for parents who are not custodial parents and who fail to pay child support or to meet their children's needs for support as a result of unemployment or underemployment. The program may provide the kinds of work experience and job training services available from the program under s. 49.193, 1997 stats., or s. 49.147 (3), (3m), or (4). The program may also include job search and job orientation activities. The department shall fund the program from the appropriations under s. 20.445 (3) (dz) and (k).
SECTION 5. 71.07 (2dj) (am) 4h. of the statutes is amended to read:
71.07 (2dj) (am) 4h. Modify section 51 (a) of the internal revenue code so that the amount of the credit is 25% of the qualified first-year wages if the wages are paid to an applicant for a Wisconsin works Works employment position for service either in an unsubsidized position or in a trial job position under s. 49.147 (3) or (3m) and so that the amount of the credit is 20% of the qualified first-year wages if the wages are not paid to such an applicant.
SECTION 6. 71.07 (2dx) (a) 5. of the statutes is amended to read:
71.07 (2dx) (a) 5. "Member of a targeted group" means a person who resides in an area designated by the federal government as an economic revitalization area, a person who is employed in an unsubsidized job but meets the eligibility requirements under s. 49.145 (2) and (3) for a Wisconsin Works employment position, a person who is employed in a trial job, as defined in s. 49.141 (1) (n), or in a real work, real pay project position under s. 49.147 (3m), a person who is eligible for child care assistance under s. 49.155, a person who is a vocational rehabilitation referral, an economically disadvantaged youth, an economically disadvantaged veteran, a supplemental security income recipient, a general assistance recipient, an economically disadvantaged ex-convict, a qualified summer youth employee, as defined in 26 USC 51 (d) (7), a dislocated worker, as defined in 29 USC 2801 (9), or a food stamp recipient, if the person has been certified in the manner under sub. (2dj) (am) 3. by a designated local agency, as defined in sub. (2dj) (am) 2.
SECTION 7. 71.07 (2dx) (b) 2. of the statutes is amended to read:
71.07 (2dx) (b) 2. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) by the number of full-time jobs created in a development zone and filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 8. 71.07 (2dx) (b) 3. of the statutes is amended to read:
71.07 (2dx) (b) 3. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs created in a development zone and not filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 9. 71.07 (2dx) (b) 4. of the statutes is amended to read:
71.07 (2dx) (b) 4. The amount determined by multiplying the amount determined under s. 560.785 (1) (bm) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under sub. (2dj), in an enterprise development zone under s. 560.797 and for which significant capital investment was made and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 10. 71.07 (2dx) (b) 5. of the statutes is amended to read:
71.07 (2dx) (b) 5. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under sub. (2dj), in a development zone and not filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 11. 71.28 (1dj) (am) 4h. of the statutes is amended to read:
71.28 (1dj) (am) 4h. Modify section 51 (a) of the internal revenue code so that the amount of the credit is 25% of the qualified first-year wages if the wages are paid to an applicant for a Wisconsin works Works employment position for service either in an unsubsidized position or in a trial job position under s. 49.147 (3) or (3m) and so that the amount of the credit is 20% of the qualified first-year wages if the wages are not paid to such an applicant.
SECTION 12. 71.28 (1dx) (a) 5. of the statutes is amended to read:
71.28 (1dx) (a) 5. "Member of a targeted group" means a person who resides in an area designated by the federal government as an economic revitalization area, a person who is employed in an unsubsidized job but meets the eligibility requirements under s. 49.145 (2) and (3) for a Wisconsin Works employment position, a person who is employed in a trial job, as defined in s. 49.141 (1) (n), or in a real work, real pay project position under s. 49.147 (3m), a person who is eligible for child care assistance under s. 49.155, a person who is a vocational rehabilitation referral, an economically disadvantaged youth, an economically disadvantaged veteran, a supplemental security income recipient, a general assistance recipient, an economically disadvantaged ex-convict, a qualified summer youth employee, as defined in 26 USC 51 (d) (7), a dislocated worker, as defined in 29 USC 2801 (9), or a food stamp recipient, if the person has been certified in the manner under sub. (1dj) (am) 3. by a designated local agency, as defined in sub. (1dj) (am) 2.
SECTION 13. 71.28 (1dx) (b) 2. of the statutes is amended to read:
71.28 (1dx) (b) 2. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) by the number of full-time jobs created in a development zone and filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 14. 71.28 (1dx) (b) 3. of the statutes is amended to read:
71.28 (1dx) (b) 3. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs created in a development zone and not filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 15. 71.28 (1dx) (b) 4. of the statutes is amended to read:
71.28 (1dx) (b) 4. The amount determined by multiplying the amount determined under s. 560.785 (1) (bm) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under sub. (1dj), in an enterprise development zone under s. 560.797 and for which significant capital investment was made and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 16. 71.28 (1dx) (b) 5. of the statutes is amended to read:
71.28 (1dx) (b) 5. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under sub. (1dj), in a development zone and not filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 17. 71.47 (1dj) (am) 4h. of the statutes is amended to read:
71.47 (1dj) (am) 4h. Modify section 51 (a) of the internal revenue code so that the amount of the credit is 25% of the qualified first-year wages if the wages are paid to an applicant for a Wisconsin works Works employment position for service either in an unsubsidized position or in a trial job position under s. 49.147 (3) or (3m) and so that the amount of the credit is 20% of the qualified first-year wages if the wages are not paid to such an applicant.
SECTION 18. 71.47 (1dx) (a) 5. of the statutes is amended to read:
71.47 (1dx) (a) 5. "Member of a targeted group" means a person who resides in an area designated by the federal government as an economic revitalization area, a person who is employed in an unsubsidized job but meets the eligibility requirements under s. 49.145 (2) and (3) for a Wisconsin Works employment position, a person who is employed in a trial job, as defined in s. 49.141 (1) (n), or in a real work, real pay project position under s. 49.147 (3m), a person who is eligible for child care assistance under s. 49.155, a person who is a vocational rehabilitation referral, an economically disadvantaged youth, an economically disadvantaged veteran, a supplemental security income recipient, a general assistance recipient, an economically disadvantaged ex-convict, a qualified summer youth employee, as defined in 26 USC 51 (d) (7), a dislocated worker, as defined in 29 USC 2801 (9), or a food stamp recipient, if the person has been certified in the manner under sub. (1dj) (am) 3. by a designated local agency, as defined in sub. (1dj) (am) 2.
SECTION 19. 71.47 (1dx) (b) 2. of the statutes is amended to read:
71.47 (1dx) (b) 2. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) by the number of full-time jobs created in a development zone and filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 20. 71.47 (1dx) (b) 3. of the statutes is amended to read:
71.47 (1dx) (b) 3. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs created in a development zone and not filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 21. 71.47 (1dx) (b) 4. of the statutes is amended to read:
71.47 (1dx) (b) 4. The amount determined by multiplying the amount determined under s. 560.785 (1) (bm) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under sub. (1dj), in an enterprise development zone under s. 560.797 and for which significant capital investment was made and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 22. 71.47 (1dx) (b) 5. of the statutes is amended to read:
71.47 (1dx) (b) 5. The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under sub. (1dj), in a development zone and not filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 23. 76.636 (1) (e) of the statutes is amended to read:
76.636 (1) (e) "Member of a targeted group" means a person who resides in an area designated by the federal government as an economic revitalization area, a person who is employed in an unsubsidized job but meets the eligibility requirements under s. 49.145 (2) and (3) for a Wisconsin Works employment position, a person who is employed in a trial job, as defined in s. 49.141 (1) (n), or in a real work, real pay project position under s. 49.147 (3m), a person who is eligible for child care assistance under s. 49.155, a person who is a vocational rehabilitation referral, an economically disadvantaged youth, an economically disadvantaged veteran, a supplemental security income recipient, a general assistance recipient, an economically disadvantaged ex-convict, a qualified summer youth employee, as defined in 26 USC 51 (d) (7), a dislocated worker, as defined in 29 USC 2801 (9), or a food stamp recipient, if the person has been certified in the manner under s. 71.47 (1dj) (am) 3. by a designated local agency, as defined in s. 71.47 (1dj) (am) 2.
SECTION 24. 76.636 (2) (b) of the statutes is amended to read:
76.636 (2) (b) The amount determined by multiplying the amount determined under s. 560.785 (1) (b) by the number of full-time jobs created in a development zone and filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 25. 76.636 (2) (c) of the statutes is amended to read:
76.636 (2) (c) The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs created in a development zone and not filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 26. 76.636 (2) (d) of the statutes is amended to read:
76.636 (2) (d) The amount determined by multiplying the amount determined under s. 560.785 (1) (bm) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under s. 71.47 (1dj), in an enterprise development zone under s. 560.797 and for which significant capital investment was made and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 27. 76.636 (2) (e) of the statutes is amended to read:
76.636 (2) (e) The amount determined by multiplying the amount determined under s. 560.785 (1) (c) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under s. 71.47 (1dj), in a development zone and not filled by a member of a targeted group and by then subtracting the subsidies paid under s. 49.147 (3) (a) or the subsidies and reimbursements paid under s. 49.147 (3m) (c) for those jobs.
SECTION 28. 227.01 (13) (im) of the statutes is created to read:
227.01 (13) (im) Relates to the real work, real pay pilot project under s. 49.147 (3m).
SECTION 29. 2003 Wisconsin Act 33, section 9159 (4f) is repealed.
SECTION 9341. Initial applicability; Revenue.
(1) DEVELOPMENT ZONES TAX CREDITS. The treatment of sections 71.07 (2dj) (am) 4h. and (2dx) (a) 5. and (b) 2., 3., 4., and 5., 71.28 (1dj) (am) 4h. and (1dx) (a) 5. and (b) 2., 3., 4., and 5., 71.47 (1dj) (am) 4h. and (1dx) (a) 5. and (b) 2., 3., 4., and 5., and 76.636 (1) (e) and (2) (b), (c), (d), and (e) of the statutes first applies to taxable years beginning on January 1, 2008.
(End)
LRB-0489LRB-0489/1
DAK:jld:nwn
2007 - 2008 LEGISLATURE
DOA:......Harshner, BB0112 - Vocational rehabilitation; maximizing federal assistance
For 2007-09 Budget -- Not Ready For Introduction
2007 BILL
AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
health and human services
Other health and human services
Under current law, the general purpose revenues (GPR) appropriation account from which DWD provides moneys for vocational rehabilitation services is an annual appropriation but permits transfer of funds between fiscal years. Funds appropriated for a particular fiscal year that are so transferred but are not spent or encumbered by September 30 of that next fiscal year lapse to the general fund on the succeeding October 1.
This bill changes the DWD GPR vocational rehabilitation services appropriation account from an annual to a continuing, sum certain appropriation.
For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 20.445 (5) (a) of the statutes is amended to read:
20.445 (5) (a) General program operations; purchased services for clients. The As a continuing appropriation, the amounts in the schedule for general program operations, including field services to clients and administrative services, for the purchase of goods and services authorized under ch. 47, and for vocational rehabilitation and other independent living services to persons with disabilities. Notwithstanding ss. 20.001 (3) (a) and 20.002 (1), the department may transfer funds between fiscal years under this paragraph. All funds appropriated for a particular fiscal year that are transferred to the next fiscal year and are not spent or encumbered by September 30 of that next fiscal year shall lapse to the general fund on the succeeding October 1.
****NOTE: This SECTION involves a change in an appropriation that must be reflected in the revised schedule in s. 20.005, stats.
(End)
LRB-0493LRB-0493/4
PG:kjf:jf
2007 - 2008 LEGISLATURE
DOA:......Fath, BB0102 - Declining enrollment revenue limit exceptions
For 2007-09 Budget -- Not Ready For Introduction
