Amendment ASA1-AB40

AB40-ASA1,1161,2 234.08 (6) The authority may reimburse the department of commerce Wisconsin Economic Development Corporation its operating costs to carry out its program responsibilities relating to economic development which are funded by bonds or notes issued under this section.

AB40-ASA1, s. 2826 Section 2826. 234.165 (2) (b) 2. of the statutes is amended to read:

AB40-ASA1,1161,9 234.165 (2) (b) 2. Annually before August 31 the authority shall submit to the governor a plan for expending or encumbering the actual surplus reported under subd. 1. The part of the plan related to housing shall be consistent with the state housing strategy plan under s. 560.9802 16.302. The plan submitted under this subdivision may be attached to and submitted as a part of the report filed under subd. 1.

AB40-ASA1, s. 2827 Section 2827. 234.25 (1) (e) of the statutes is amended to read:

AB40-ASA1,1161,14 234.25 (1) (e) An evaluation of its progress in implementing within its own housing programs the goals, policies, and objectives of the state housing strategy plan under s. 560.9802 16.302, and recommendations for legislation to improve its ability to carry out its programs consistent with the state housing strategy plan.

AB40-ASA1, s. 2828 Section 2828. 234.255 (title) of the statutes is amended to read:

AB40-ASA1,1161,17 234.255 (title) Economic development assistance coordination and reporting.

AB40-ASA1, s. 2829 Section 2829. 234.255 of the statutes is renumbered 234.255 (2) and amended to read:

AB40-ASA1,1162,2 234.255 (2) Annually, no later than October 1, the authority shall submit to the joint legislative audit committee and to the appropriate standing committees of the legislature under s. 13.172 (3) a comprehensive report assessing economic development programs, as defined in s. 234.032 (1), administered by the authority. The report shall include all of the information required under s. 560.01 (2) (am) 238.07 (2). The authority shall collaborate with the department of commerce Wisconsin Economic Development Corporation to make readily accessible to the public on an Internet-based system the information required under this section.

AB40-ASA1, s. 2830 Section 2830. 234.255 (1) of the statutes is created to read:

AB40-ASA1,1162,5 234.255 (1) The authority shall coordinate any economic development assistance with the Wisconsin Economic Development Corporation.

AB40-ASA1, s. 2831 Section 2831. 234.35 (1) of the statutes is amended to read:

AB40-ASA1,1162,10 234.35 (1) In this section, "minority business", "minority financial adviser" and "minority investment firm" mean a business, financial adviser and investment firm, respectively, certified by the department of commerce administration under s. 560.036 16.287 (2).

AB40-ASA1, s. 2832 Section 2832. 234.36 (1) of the statutes is amended to read:

AB40-ASA1,1162,14 234.36 (1) In this section, "business," "financial adviser," and "investment firm" mean a business, financial adviser, and investment firm certified by the department of commerce administration under s. 560.0335 16.283 (3).

AB40-ASA1, s. 2832g Section 2832g. 234.622 (4) of the statutes is renumbered 234.622 (4) (intro.) and amended to read:

AB40-ASA1,1162,17 234.622 (4) (intro.) "Participant" means a all of the following:

AB40-ASA1,1162,19 (a) A natural person 65 years of age or older who has been accepted into the program.

AB40-ASA1, s. 2832r Section 2832r. 234.622 (4) (b) of the statutes is created to read:

AB40-ASA1,1162,22 234.622 (4) (b) A veteran, as defined in s. 45.01 (12) (a) to (f), who has been accepted into the program.

AB40-ASA1, s. 2833 Section 2833. 234.65 (1) (a) of the statutes is amended to read:

AB40-ASA1,1163,3 234.65 (1) (a) With the consent of the department of commerce Wisconsin Economic Development Corporation and subject to par. (f), the authority may issue its negotiable bonds and notes to finance its economic development activities authorized or required under this chapter, including financing economic development loans.

AB40-ASA1, s. 2834 Section 2834. 234.65 (1) (f) of the statutes is amended to read:

AB40-ASA1,1163,10 234.65 (1) (f) The authority may not issue bonds or notes under par. (a) unless it has contracted to reimburse the department of commerce Wisconsin Economic Development Corporation a sum certain for the department's corporation's operating costs in carrying out its responsibilities to effectuate and promote the economic development programs created with the bonding authority in this chapter and its responsibilities under s. 560.03 (17) 238.25.

AB40-ASA1, s. 2835 Section 2835. 234.65 (1m) of the statutes is amended to read:

AB40-ASA1,1163,15 234.65 (1m) The department of commerce Wisconsin Economic Development Corporation shall, in consultation with the authority, promulgate rules and adopt rules and procedures, in accordance with the procedures under ch. 227, to implement sub. (3).

AB40-ASA1, s. 2836 Section 2836. 234.65 (3) (a) of the statutes is amended to read:

AB40-ASA1,1163,21 234.65 (3) (a) The business that will receive the loan, at least 30 days prior to signing of the loan contract, has given notice of intent to sign the contract, on a form prescribed under s. 560.034 238.11 (1), to the department of commerce Wisconsin Economic Development Corporation and to any collective bargaining agent in this state with whom the person has a collective bargaining agreement.

AB40-ASA1, s. 2837 Section 2837. 234.65 (3) (am) of the statutes is amended to read:

AB40-ASA1,1164,3 234.65 (3) (am) The authority has received an estimate issued under s. 560.034 238.11 (5) (b), and the department of commerce Wisconsin Economic Development Corporation has estimated whether the project that the authority would finance under the loan is expected to eliminate, create, or maintain jobs on the project site and elsewhere in this state and the net number of jobs expected to be eliminated, created, or maintained as a result of the project.

AB40-ASA1, s. 2838 Section 2838. 234.65 (3m) of the statutes is amended to read:

AB40-ASA1,1164,7 234.65 (3m) An economic development loan may not be made unless the department of commerce Wisconsin Economic Development Corporation complies with sub. (1m) and certifies that each loan complies with sub. (3).

AB40-ASA1, s. 2839 Section 2839. 234.65 (3r) of the statutes is amended to read:

AB40-ASA1,1164,17 234.65 (3r) Any economic development loan which that a business receives from the authority under this section to finance a project shall require the business to submit to the department of commerce Wisconsin Economic Development Corporation within 12 months after the project is completed or 2 years after a loan is issued to finance the project, whichever is sooner, on a form prescribed under s. 560.034 234.11 (1), the net number of jobs eliminated, created, or maintained on the project site and elsewhere in this state as a result of the project. This subsection does not apply to an economic development loan to finance an economic development project described under s. 234.01 (4n) (c).

AB40-ASA1, s. 2840 Section 2840. 234.65 (5) (intro.) of the statutes is amended to read:

AB40-ASA1,1164,23 234.65 (5) (intro.) On or before July 1, 1985, and every July 1 thereafter, the department of commerce Wisconsin Economic Development Corporation shall submit to the chief clerk of each house of the legislature, for distribution to the appropriate standing committees under s. 13.172 (3), a report which shall address that addresses the effects of lending under this section in the following areas:

AB40-ASA1, s. 2840m Section 2840m. 234.75 of the statutes is created to read:

AB40-ASA1,1165,6 234.75 Public affairs network loan guarantee program. (1) Definition. In this section, "public affairs network" means a nonprofit corporation organized under the laws of this state that has as its primary purpose the broadcast of proceedings of the legislature, including legislative committee meetings, and the reporting of events and activities related to politics in this state, through television, radio, the Internet, or similar communications media.

AB40-ASA1,1165,9 (2) Guarantee requirements. The authority may use money from the Wisconsin development reserve fund to guarantee the unpaid principal of a loan under sub. (5) if all of the following apply:

AB40-ASA1,1165,11 (a) The borrower applies for a loan guarantee on a form provided by the authority.

AB40-ASA1,1165,13 (b) The loan is eligible for a guarantee under sub. (3), and any applicable requirements under sub. (5) are met.

AB40-ASA1,1165,15 (c) The lender is the authority or a financial institution that enters into an agreement under s. 234.93 (2) (a).

AB40-ASA1,1165,17 (3) Eligible loans. A loan is eligible for guarantee of collection under sub. (5) from the Wisconsin development reserve fund if all of the following apply:

AB40-ASA1,1165,18 (a) The loan principal equals $5,000,000 or less.

AB40-ASA1,1165,19 (b) The authority determines that the borrower is a public affairs network.

AB40-ASA1,1165,21 (c) The borrower certifies that loan proceeds will be used for the borrower's operating expenses or expenses related to a capital project.

AB40-ASA1,1165,23 (d) The borrower certifies that loan proceeds will not be used to refinance existing debt or for entertainment expenses.

AB40-ASA1,1166,3 (e) The loan term is not less that 13 years, and the borrower is not required to to pay any principal or interest on the loan within the first 3 years after the loan is made.

AB40-ASA1,1166,5 (f) The terms of the loan authorize the lender to obtain a security interest in the real or personal property of the borrower to secure repayment of the loan.

AB40-ASA1,1166,9 (4) Authority loan. The authority may make a loan to a public affairs network if the loan meets the eligibility requirements under sub. (3), except that the total principal amount of all loans that the authority makes under this subsection may not exceed $5,000,000.

AB40-ASA1,1166,14 (5) Guarantee of repayment. (a) Subject to par. (b), the authority shall guarantee collection of all or part of the unpaid principal of a loan eligible for guarantee under sub. (3). The authority shall establish the amount of the unpaid principal of an eligible loan that will be guaranteed using the procedures described in the guarantee agreement under s. 234.93 (2) (a).

AB40-ASA1,1166,15 (b) A loan guarantee under this subsection is subject to all of the following:

AB40-ASA1,1166,17 1. The authority shall guarantee at least 90 percent of the unpaid principal of an eligible loan.

AB40-ASA1,1166,19 2. The total principal amount of all loans guaranteed under this subsection may not exceed $5,000,000.

AB40-ASA1,1166,24 3. Before the authority guarantees a loan under this subsection, the authority shall demonstrate to the satisfaction of the secretary of administration that there are sufficient moneys in the Wisconsin development reserve fund to guarantee the loan, or that there are sufficient moneys in the housing rehabilitation loan program administration fund that may be transferred under par. (c) to guarantee the loan.

AB40-ASA1,1167,4 (c) Notwithstanding s. 234.51 (2), the authority may transfer moneys from the housing rehabilitation loan program administration fund to the Wisconsin development reserve fund for a loan guarantee under this subsection if all of the following conditions are met:

AB40-ASA1,1167,6 1. The authority determines that the transfer is necessary to secure the loan guarantee.

AB40-ASA1,1167,7 2. The transfer of moneys does not exceed $5,000,000.

AB40-ASA1,1167,10 3. Within 14 days after the transfer, the authority submits a report to the joint committee on finance that includes the amount of the transfer and a description of the circumstances surrounding the transfer.

AB40-ASA1, s. 2841 Section 2841. 234.83 (1c) (b) of the statutes is amended to read:

AB40-ASA1,1167,13 234.83 (1c) (b) "Small business" means a business, as defined in s. 560.60 (2) 84.185 (1) (a), that employs 50 or fewer employees on a full-time basis.

AB40-ASA1, s. 2842 Section 2842. 234.84 (1) of the statutes is amended to read:

AB40-ASA1,1167,16 234.84 (1) Definition. In this section, "department" "corporation" means the department of commerce Wisconsin Economic Development Corporation.

AB40-ASA1, s. 2843 Section 2843. 234.84 (3) (c) of the statutes is amended to read:

AB40-ASA1,1167,19 234.84 (3) (c) The interest rate on the loan, including any origination fees or other charges, is approved by the department corporation.

AB40-ASA1, s. 2844 Section 2844. 234.84 (4) (a) of the statutes is amended to read:

AB40-ASA1,1168,3 234.84 (4) (a) Subject to par. (b), the authority shall guarantee collection of a percentage of the principal of, and all interest and any other amounts outstanding on, any loan eligible for a guarantee under sub. (2). The department corporation shall establish the percentage of the principal of an eligible loan that will be guaranteed, using the procedures described in the agreement under s. 234.932 (3) (a). The department corporation may establish a single percentage for all guaranteed loans or establish different percentages for eligible loans on an individual basis.

AB40-ASA1, s. 2845 Section 2845. 234.84 (5) (a) of the statutes is amended to read:

AB40-ASA1,1168,12 234.84 (5) (a) The program under this section shall be administered by the department corporation with the cooperation of the authority. The department corporation shall enter into a memorandum of understanding with the authority setting forth the respective responsibilities of the department corporation and the authority with regard to the administration of the program, including the functions and responsibilities specified in s. 234.932. The memorandum of understanding shall provide for reimbursement to the department corporation by the authority for costs incurred by the department corporation in the administration of the program.

AB40-ASA1, s. 2846 Section 2846. 234.84 (5) (b) of the statutes is amended to read:

AB40-ASA1,1168,16 234.84 (5) (b) The department corporation may charge a premium, fee, or other charge to a borrower of a guaranteed loan under this section for the administration of the loan guarantee.

AB40-ASA1, s. 2846c Section 2846c. 234.93 (1) (cm) of the statutes is amended to read:

AB40-ASA1,1168,20 234.93 (1) (cm) Any moneys transferred under 1999 Wisconsin Act 9, section 9125 (1), or under s. 234.75 (5) (c), from the housing rehabilitation loan program administration fund.

AB40-ASA1, s. 2846g Section 2846g. 234.93 (4) (a) 2. of the statutes is amended to read:

AB40-ASA1,1169,2 234.93 (4) (a) 2. To fund guarantees under all of the programs guaranteed by funds from the Wisconsin development reserve fund, except for the program under s. 234.935, 1997 stats., and the program under s. 234.75, at a ratio of $1 of reserve funding to $4.50 of total outstanding principal and outstanding guaranteed principal that the authority may guarantee under all of those programs.

AB40-ASA1, s. 2646r Section 2646r. 234.93 (4) (a) 3. of the statutes is amended to read:

AB40-ASA1,1169,7 234.93 (4) (a) 3. To fund guarantees under the program under s. 234.935, 1997 stats., and the program under s. 234.75 at a ratio of $1 of reserve funding to $4 of total principal and outstanding guaranteed principal that the authority may guarantee under that program.

AB40-ASA1, s. 2847 Section 2847. 234.932 (1) of the statutes is repealed.

AB40-ASA1, s. 2848 Section 2848. 234.932 (2) (a) of the statutes is amended to read:

AB40-ASA1,1169,12 234.932 (2) (a) Moneys appropriated to the authority under s. 20.490 (6) (a) and (k) or received by the authority for the Wisconsin job training reserve fund from any other source.

AB40-ASA1, s. 2849 Section 2849. 234.932 (3) (a) (intro.) of the statutes is amended to read:

AB40-ASA1,1169,19 234.932 (3) (a) (intro.) The authority or department shall enter into a guarantee agreement with any bank, production credit association, credit union, savings bank, savings and loan association, or other person who wishes to participate in the loan program guaranteed by the Wisconsin job training reserve fund. The authority or department may determine all of the following, consistent with the terms of the loan guarantee program:

AB40-ASA1, s. 2850 Section 2850. 234.932 (3) (a) 2. of the statutes is amended to read:

AB40-ASA1,1169,22 234.932 (3) (a) 2. Any conditions upon which the authority or department may refuse to enter into such an agreement.

AB40-ASA1, s. 2851 Section 2851. 234.932 (3) (c) of the statutes is amended to read:

AB40-ASA1,1170,3 234.932 (3) (c) The department Wisconsin Economic Development Corporation may establish an eligibility criteria review panel, consisting of experts in finance and in the subject area of the job training loan guarantee program, to provide advice about lending requirements and issues related to the job training loan guarantee program.

AB40-ASA1, s. 2852 Section 2852. 234.932 (4) of the statutes is amended to read:

AB40-ASA1,1170,15 234.932 (4) Increases or decreases in loan guarantees. The authority or department may request the joint committee on finance to take action under s. 13.10 to permit the authority to increase or decrease the total outstanding guaranteed principal amount of loans that it may guarantee under the job training loan guarantee program. Included with its request, the authority or department shall provide a projection, for the next June 30, that compares the amounts required on that date to pay outstanding claims and to fund guarantees under the job training loan guarantee program, and the balance remaining in the Wisconsin job training reserve fund on that date after deducting such amounts, if the increase or decrease is approved, with such amounts and the balance remaining, if the increase or decrease is not approved.

AB40-ASA1, s. 2853 Section 2853. 234.932 (5) of the statutes is amended to read: