SB707: Bill Text

2009 Senate BILL 707

April 22, 2010 - Introduced by Senators Vinehout, Holperin and Robson. Referred to Committee on Health, Health Insurance, Privacy, Property Tax Relief, and Revenue.

SB707,2,2 An Act to renumber 635.02 (1); to amend 1.12 (1) (b), 13.172 (1), 13.62 (2), 13.95 (intro.), 16.002 (2), 16.004 (4), 16.004 (5), 16.004 (12) (a), 16.045 (1) (a), 16.15 (1) (ab), 16.41 (4), 16.417 (1) (a), 16.52 (7), 16.528 (1) (a), 16.53 (2), 16.54 (9) (a) 1., 16.70 (2), 16.72 (2) (e) (intro.), 16.72 (2) (f), 16.75 (1m), 16.75 (8) (a) 1., 16.75 (8) (a) 2., 16.75 (9), 16.765 (1), 16.765 (2), 16.765 (4), 16.765 (5), 16.765 (6), 16.765 (7) (intro.), 16.765 (7) (d), 16.765 (8), 16.85 (2), 16.865 (8), 25.50 (1) (d), 71.26 (1) (be), 77.54 (9a) (a), 101.055 (2) (a), 101.177 (1) (d), 230.03 (3), 230.80 (4), 230.90 (1) (c) and 635.18 (1); and to create 13.94 (1) (dj), 13.94 (1s) (c) 5., 40.02 (54) (m), 70.11 (41c), subchapter I (title) of chapter 635 [precedes 635.01], 635.02 (1c), 635.02 (1o), subchapter II of chapter 635 [precedes 635.30] and subchapter III of chapter 635 [precedes 635.70] of the statutes; relating to: the small business health options program authority, health benefit plan exchange for small employers and certain individuals, and granting rule-making authority.

Analysis by the Legislative Reference Bureau

Small Business Health Options Program Authority

This bill creates the Small Business Health Options Program Authority (authority) that is a public body corporate and politic that is created by state law but that is not a state agency. The authority is governed by a board of directors consisting of the commissioner of insurance (commissioner), the secretary of employee trust funds, the director of the state Medical Assistance program, the executive director of the Health Insurance Risk-Sharing Plan Authority, and the following members who are nominated by the governor, and with the advice and consent of the senate appointed, for three-year terms: a member in good-standing of the American Academy of Actuaries, a health economist, an employee benefits specialist, a representative of small employers, a representative of an organization that represents consumer interests, and a representative of organized labor. The chairperson of the board is the commissioner, who must appoint an executive director of the authority. The executive director must, among other duties, supervise the administrative affairs and general management and operation of the authority, employ professional and clerical staff, as necessary, and prepare the authority's annual budget.

The authority is not a state agency, so numerous laws that apply to state agencies do not apply to the authority. However, the authority is treated like a state agency in the following ways, among others: it is subject to auditing by the Legislative Audit Bureau; it is subject to open meeting and open records laws; and it is exempt from property tax, income tax, and sales and uses taxes. The authority has powers, including adopting bylaws and policies and procedures for the regulation of its affairs and conduct of its business; hiring employees; incurring debt; suing and being sued in its own name; and executing contracts. The bill establishes a process that the authority must use when it contracts for professional services. Under the bill, the authority is subject to civil liability for its acts or omissions except that the maximum amount recoverable in a civil action against the authority is $100,000. However, a member of the authority's board of directors, the authority's executive director, or an authority employee is exempt from civil liability unless the member, director, or employee acted with willful misconduct or in intentional violation of the law.

Health benefit plan exchange

Under the bill, the authority must establish and, by January 1, 2011, begin operating a health benefit plan exchange (exchange), except that the authority must seek federal grant moneys for the exchange and the exchange may not begin operating unless federal grant moneys are received for that purpose. The commissioner must determine the initial health benefit plan designs, including the minimum benefit levels, and the authority must approve the plans that may be offered through the exchange. The authority must rank the plans offered through the exchange and place each one into one of three tiers. Plans that offer full benefits are to be designated as "gold" plans; plans that provide 75 percent of the actuarial value of a "gold" plan are to be designated as "silver" plans; and plans that provide 60 percent of the actuarial value of a "gold" plan are to be designated as "bronze" plans.

Any small employer, defined generally as an employer with at least two but not more than 50 employees, any limited term state employee, and any individual who contracts with the state to perform services for the state are eligible to purchase coverage under a health benefit plan offered through the exchange. Individuals and employees may select coverage under any of the plans offered through the exchange. Although the employees of the same small employer may select coverage under different plans, all employees of the same small employer must select coverage under plans in the same tier.

Any insurer authorized to do business in this state in one or more lines of insurance that includes health insurance may offer coverage through the exchange, and no insurer may offer or issue coverage to a small employer except through the exchange. An insurer that offers coverage through the exchange may offer only the health benefit plans that have been approved for the exchange by the authority and must offer at least one health benefit plan in each tier. An insurer may not impose any annual or lifetime limits on coverage; premiums for coverage through the exchange may be based only on age, sex, geographic location, whether coverage is single or family, and plan design; and all individuals covered under all plans issued by an insurer must be considered one pool. An insurer must pay a commission to an insurance intermediary who enrolls an individual or employees of a small employer in a plan offered by the insurer through the exchange. To pay administrative expenses of the exchange, the authority may impose a surcharge on each insurer offering plans through the exchange.

With regard to administering the exchange, the authority enrolls individuals and employer groups in plans, collects the initial premiums, and remits the premiums and enrollment information to the appropriate insurers. The commissioner must develop a standard application form that all prospective enrollees must use. The authority must establish an independent and binding appeals process for resolving disputes over eligibility and other determinations made by the authority, must establish and operate a service center for providing information about the exchange, may establish risk-adjustment mechanisms, and may audit and require reports from insurers offering coverage through the exchange.

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:

SB707, s. 1 Section 1. 1.12 (1) (b) of the statutes is amended to read:

SB707,4,7 1.12 (1) (b) "State agency" means an office, department, agency, institution of higher education, the legislature, a legislative service agency, the courts, a judicial branch agency, an association, society, or other body in state government that is created or authorized to be created by the constitution or by law, for which appropriations are made by law, excluding the Health Insurance Risk-Sharing Plan Authority and the Small Business Health Options Program Authority.

SB707, s. 2 Section 2. 13.172 (1) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,4,15 13.172 (1) In this section, "agency" means an office, department, agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, and any authority created in subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or in ch. 52, 231, 233, 234, or 279.

SB707, s. 3 Section 3. 13.62 (2) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,4,22 13.62 (2) "Agency" means any board, commission, department, office, society, institution of higher education, council, or committee in the state government, or any authority created in subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or in ch. 52, 231, 232, 233, 234, 237, or 279, except that the term does not include a council or committee of the legislature.

SB707, s. 4 Section 4. 13.94 (1) (dj) of the statutes is created to read:

SB707,5,3 13.94 (1) (dj) At least once every 2 years, perform a financial audit and performance evaluation audit of the health benefit plan exchange under subch. II of ch. 635 and an audit of the Small Business Health Options Program Authority's policies and management practices and file copies of each audit report under this paragraph with the distributees specified in par. (b).

SB707, s. 5 Section 5. 13.94 (1s) (c) 5. of the statutes is created to read:

SB707,5,6 13.94 (1s) (c) 5. The Small Business Health Options Program Authority for the cost of the audit under sub. (1) (dj).

SB707, s. 6 Section 6. 13.95 (intro.) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,5,22 13.95 Legislative fiscal bureau. (intro.) There is created a bureau to be known as the "Legislative Fiscal Bureau" headed by a director. The fiscal bureau shall be strictly nonpartisan and shall at all times observe the confidential nature of the research requests received by it; however, with the prior approval of the requester in each instance, the bureau may duplicate the results of its research for distribution. Subject to s. 230.35 (4) (a) and (f), the director or the director's designated employees shall at all times, with or without notice, have access to all state agencies, the University of Wisconsin Hospitals and Clinics Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, and the Fox River Navigational System Authority, and to any books, records, or other documents maintained by such agencies or authorities and relating to their expenditures, revenues, operations, and structure.

SB707, s. 7 Section 7. 16.002 (2) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,6,5 16.002 (2) "Departments" means constitutional offices, departments, and independent agencies and includes all societies, associations, and other agencies of state government for which appropriations are made by law, but not including authorities an authority created in subch. II of ch. 114 or, subch. III of ch. 149 and, or subch. III of ch. 635 or in chs. ch. 52, 231, 232, 233, 234, 235, 237, and or 279.

SB707, s. 8 Section 8. 16.004 (4) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,6,14 16.004 (4) Freedom of access. The secretary and such employees of the department as the secretary designates may enter into the offices of state agencies and authorities any authority created under subch. II of ch. 114 or, subch. III of ch. 149 and, or subch. III of ch. 635 or under chs. ch. 52, 231, 233, 234, 237, and or 279, and may examine their books and accounts and any other matter that in the secretary's judgment should be examined and may interrogate the agency's employees publicly or privately relative thereto.

SB707, s. 9 Section 9. 16.004 (5) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,6,21 16.004 (5) Agencies and employees to cooperate. All state agencies and authorities each authority created under subch. II of ch. 114 or, subch. III of ch. 149 and, or subch. III of ch. 635 or under chs. ch. 52, 231, 233, 234, 237, and or 279, and their officers and employees, shall cooperate with the secretary and shall comply with every request of the secretary relating to his or her functions.

SB707, s. 10 Section 10. 16.004 (12) (a) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,7,7 16.004 (12) (a) In this subsection, "state agency" means an association, authority, board, department, commission, independent agency, institution, office, society, or other body in state government created or authorized to be created by the constitution or any law, including the legislature, the office of the governor, and the courts, but excluding the University of Wisconsin Hospitals and Clinics Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, the Small Business Health Options Program Authority, and the Fox River Navigational System Authority.

SB707, s. 11 Section 11. 16.045 (1) (a) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,7,15 16.045 (1) (a) "Agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or in ch. 52, 231, 232, 233, 234, 235, 237, or 279.

SB707, s. 12 Section 12. 16.15 (1) (ab) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,7,22 16.15 (1) (ab) "Authority" has the meaning given under s. 16.70 (2), but excludes the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, the Small Business Health Options Program Authority, and the Health Insurance Risk-Sharing Plan Authority.

SB707, s. 13 Section 13. 16.41 (4) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,8,3 16.41 (4) In this section, "authority" means a body created under subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or under ch. 52, 231, 233, 234, 237, or 279.

SB707, s. 14 Section 14. 16.417 (1) (a) of the statutes is amended to read:

SB707,8,10 16.417 (1) (a) "Agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority or the body created under subch. III of ch. 149 or subch. III of ch. 635.

SB707, s. 15 Section 15. 16.52 (7) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,8,23 16.52 (7) Petty cash account. With the approval of the secretary, each agency that is authorized to maintain a contingent fund under s. 20.920 may establish a petty cash account from its contingent fund. The procedure for operation and maintenance of petty cash accounts and the character of expenditures therefrom shall be prescribed by the secretary. In this subsection, "agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or in ch. 52, 231, 233, 234, 237, or 279.

SB707, s. 16 Section 16. 16.528 (1) (a) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,9,6 16.528 (1) (a) "Agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or in ch. 52, 231, 233, 234, 237, or 279.

SB707, s. 17 Section 17. 16.53 (2) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,9,17 16.53 (2) Improper invoices. If an agency receives an improperly completed invoice, the agency shall notify the sender of the invoice within 10 working days after it receives the invoice of the reason it is improperly completed. In this subsection, "agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, that is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or , subch. III of ch. 149, or subch. III of ch. 635 or in ch. 52, 231, 233, 234, 237, or 279.

SB707, s. 18 Section 18. 16.54 (9) (a) 1. of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,9,25 16.54 (9) (a) 1. "Agency" means an office, department, independent agency, institution of higher education, association, society or other body in state government created or authorized to be created by the constitution or any law, which is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or in ch. 52, 231, 233, 234, 237, or 279.

SB707, s. 19 Section 19. 16.70 (2) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,10,5 16.70 (2) "Authority" means a body created under subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or under ch. 52, 231, 232, 233, 234, 235, 237, or 279.

SB707, s. 20 Section 20. 16.72 (2) (e) (intro.) of the statutes is amended to read:

SB707,10,17 16.72 (2) (e) (intro.) In writing the specifications under this subsection, the department and any other designated purchasing agent under s. 16.71 (1) shall incorporate requirements for the purchase of products made from recycled materials and recovered materials if their use is technically and economically feasible. Each authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Small Business Health Options Program Authority, and the Health Insurance Risk-Sharing Plan Authority, in writing specifications for purchasing by the authority, shall incorporate requirements for the purchase of products made from recycled materials and recovered materials if their use is technically and economically feasible. The specifications shall include requirements for the purchase of the following materials:

SB707, s. 21 Section 21. 16.72 (2) (f) of the statutes is amended to read:

SB707,11,4 16.72 (2) (f) In writing specifications under this subsection, the department, any other designated purchasing agent under s. 16.71 (1), and each authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Small Business Health Options Program Authority, and the Health Insurance Risk-Sharing Plan Authority shall incorporate requirements relating to the recyclability and ultimate disposition of products and, wherever possible, shall write the specifications so as to minimize the amount of solid waste generated by the state, consistent with the priorities established under s. 287.05 (12). All specifications under this subsection shall discourage the purchase of single-use, disposable products and require, whenever practical, the purchase of multiple-use, durable products.

SB707, s. 22 Section 22. 16.75 (1m) of the statutes is amended to read:

SB707,11,20 16.75 (1m) The department shall award each order or contract for materials, supplies or equipment on the basis of life cycle cost estimates, whenever such action is appropriate. Each authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Wisconsin Aerospace Authority, the Small Business Health Options Program Authority, and the Health Insurance Risk-Sharing Plan Authority shall award each order or contract for materials, supplies or equipment on the basis of life cycle cost estimates, whenever such action is appropriate. The terms, conditions and evaluation criteria to be applied shall be incorporated in the solicitation of bids or proposals. The life cycle cost formula may include, but is not limited to, the applicable costs of energy efficiency, acquisition and conversion, money, transportation, warehousing and distribution, training, operation and maintenance and disposition or resale. The department shall prepare documents containing technical guidance for the development and use of life cycle cost estimates, and shall make the documents available to local governmental units.

SB707, s. 23 Section 23. 16.75 (8) (a) 1. of the statutes is amended to read:

SB707,12,4 16.75 (8) (a) 1. The department, any other designated purchasing agent under s. 16.71 (1), any agency making purchases under s. 16.74, and each authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Small Business Health Options Program Authority, and the Health Insurance Risk-Sharing Plan Authority shall, to the extent practicable, make purchasing selections using specifications developed under s. 16.72 (2) (e) to maximize the purchase of materials utilizing recycled materials and recovered materials.

SB707, s. 24 Section 24. 16.75 (8) (a) 2. of the statutes is amended to read:

SB707,12,12 16.75 (8) (a) 2. Each agency and authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Small Business Health Options Program Authority, and the Health Insurance Risk-Sharing Plan Authority shall ensure that the average recycled or recovered content of all paper purchased by the agency or authority measured as a proportion, by weight, of the fiber content of paper products purchased in a fiscal year, is not less than 40% of all purchased paper.

SB707, s. 25 Section 25. 16.75 (9) of the statutes is amended to read:

SB707,12,19 16.75 (9) The department, any other designated purchasing agent under s. 16.71 (1), any agency making purchases under s. 16.74, and any authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Small Business Health Options Program Authority, and the Health Insurance Risk-Sharing Plan Authority shall, to the extent practicable, make purchasing selections using specifications prepared under s. 16.72 (2) (f).

SB707, s. 26 Section 26. 16.765 (1) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,13,8 16.765 (1) Contracting agencies, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, and the Bradley Center Sports and Entertainment Corporation shall include in all contracts executed by them a provision obligating the contractor not to discriminate against any employee or applicant for employment because of age, race, religion, color, handicap, sex, physical condition, developmental disability as defined in s. 51.01 (5), sexual orientation as defined in s. 111.32 (13m), or national origin and, except with respect to sexual orientation, obligating the contractor to take affirmative action to ensure equal employment opportunities.

SB707, s. 27 Section 27. 16.765 (2) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,14,3 16.765 (2) Contracting agencies, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, and the Bradley Center Sports and Entertainment Corporation shall include the following provision in every contract executed by them: "In connection with the performance of work under this contract, the contractor agrees not to discriminate against any employee or applicant for employment because of age, race, religion, color, handicap, sex, physical condition, developmental disability as defined in s. 51.01 (5), sexual orientation or national origin. This provision shall include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. Except with respect to sexual orientation, the contractor further agrees to take affirmative action to ensure equal employment opportunities. The contractor agrees to post in conspicuous places, available for employees and applicants for employment, notices to be provided by the contracting officer setting forth the provisions of the nondiscrimination clause".

SB707, s. 28 Section 28. 16.765 (4) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,14,12 16.765 (4) Contracting agencies, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, and the Bradley Center Sports and Entertainment Corporation shall take appropriate action to revise the standard government contract forms under this section.

SB707, s. 29 Section 29. 16.765 (5) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,15,7 16.765 (5) The head of each contracting agency and the boards of directors of the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, and the Bradley Center Sports and Entertainment Corporation shall be primarily responsible for obtaining compliance by any contractor with the nondiscrimination and affirmative action provisions prescribed by this section, according to procedures recommended by the department. The department shall make recommendations to the contracting agencies and the boards of directors of the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, and the Bradley Center Sports and Entertainment Corporation for improving and making more effective the nondiscrimination and affirmative action provisions of contracts. The department shall promulgate such rules as may be necessary for the performance of its functions under this section.

SB707, s. 30 Section 30. 16.765 (6) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,15,19 16.765 (6) The department may receive complaints of alleged violations of the nondiscrimination provisions of such contracts. The department shall investigate and determine whether a violation of this section has occurred. The department may delegate this authority to the contracting agency, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, or the Bradley Center Sports and Entertainment Corporation for processing in accordance with the department's procedures.

SB707, s. 31 Section 31. 16.765 (7) (intro.) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,16,8 16.765 (7) (intro.) When a violation of this section has been determined by the department, the contracting agency, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, or the Bradley Center Sports and Entertainment Corporation, the contracting agency, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, or the Bradley Center Sports and Entertainment Corporation shall:

SB707, s. 32 Section 32. 16.765 (7) (d) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,16,18 16.765 (7) (d) Direct the violating party to take immediate steps to prevent further violations of this section and to report its corrective action to the contracting agency, the University of Wisconsin Hospitals and Clinics Authority, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, or the Bradley Center Sports and Entertainment Corporation.

SB707, s. 33 Section 33. 16.765 (8) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,17,15 16.765 (8) If further violations of this section are committed during the term of the contract, the contracting agency, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, or the Bradley Center Sports and Entertainment Corporation may permit the violating party to complete the contract, after complying with this section, but thereafter the contracting agency, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, or the Bradley Center Sports and Entertainment Corporation shall request the department to place the name of the party on the ineligible list for state contracts, or the contracting agency, the Fox River Navigational System Authority, the Wisconsin Aerospace Authority, the Health Insurance Risk-Sharing Plan Authority, the Small Business Health Options Program Authority, the Lower Fox River Remediation Authority, the Wisconsin Quality Home Care Authority, or the Bradley Center Sports and Entertainment Corporation may terminate the contract without liability for the uncompleted portion or any materials or services purchased or paid for by the contracting party for use in completing the contract.

SB707, s. 34 Section 34. 16.85 (2) of the statutes, as affected by 2009 Wisconsin Act 28, is amended to read:

SB707,18,3 16.85 (2) To furnish engineering, architectural, project management, and other building construction services whenever requisitions therefor are presented to the department by any agency. The department may deposit moneys received from the provision of these services in the account under s. 20.505 (1) (kc) or in the general fund as general purpose revenue — earned. In this subsection, "agency" means an office, department, independent agency, institution of higher education, association, society, or other body in state government created or authorized to be created by the constitution or any law, which is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority created in subch. II of ch. 114 or, subch. III of ch. 149, or subch. III of ch. 635 or in ch. 52, 231, 233, 234, 237, or 279.