AB725: Bill Text

AB725,9,20 (b) "Build Milwaukee initiative zone" means a geographic area under s. 238.14 (2) (a), (b), (c), or (d).

AB725,9,23 (c) "Economic development program" means a program or activity having the primary purpose of encouraging the establishment and growth of business in this state, including the creation and retention of jobs.

AB725,9,25 (d) "Financial institution" means an insured depository institution, as defined in 12 USC 1813 (c) (2).

AB725,10,2 (e) "Housing program" means a program or activity having the primary purpose of encouraging or supporting homeownership in this state.

AB725,10,5 (2) Coordination concerning housing and economic development programs. The board in a county with a population of 750,000 or more shall do all of the following:

AB725,10,11 (a) In coordination with the Wisconsin Economic Development Corporation and the build Milwaukee initiative councils, attempt to ensure that at least 20 percent of the total value of all loans, grants, and other financial assistance paid, awarded, or otherwise provided by the county under economic development programs and housing programs is directed to economic development and homeownership in the build Milwaukee initiative zones.

AB725,10,15 (b) Coordinate under s. 238.14 (3) with the Wisconsin Economic Development Corporation, the Wisconsin Housing and Economic Development Authority, and the Wisconsin Health and Educational Facilities Authority to accomplish the purposes of that section.

AB725,10,21 (3) County purchasing and financing. (a) The board of a county with a population of 750,000 or more and any purchasing agent appointed by that board under s. 59.52 (9) shall attempt to ensure that at least 20 percent of the total amount expended by the county in each fiscal year for any materials, supplies, equipment, or services for the various county offices is paid to businesses located in a build Milwaukee initiative zone.

AB725,11,2 (b) Before entering into a contract with a financial institution for the deposit of county moneys with the financial institution, the board of a county with a population of 750,000 or more shall consider whether the financial institution meets any of the following criteria and may give preference in entering into such contracts to a financial institution that meets all of the following criteria:

AB725,11,6 1. The financial institution has, in the preceding year, made loans to persons located in a build Milwaukee initiative zone. The board shall consider the amount of the financial institution's lending activity in the build Milwaukee initiative zones in providing any preference under this paragraph.

AB725,11,12 2. The financial institution agrees to increase its lending activity to persons located in a build Milwaukee initiative zone and provides to the board a plan to do so. That plan shall include the financial institution's proposal for using the county's deposits to increase lending activity to persons located in a build Milwaukee initiative zone, particularly with respect to loans that encourage or support homeownership and business activity.

AB725,11,15 3. The financial institution has, in its most recent evaluation under the Community Reinvestment Act of 1977, received a rating as specified in 12 USC 2906 (b) of outstanding or satisfactory.

AB725,11,20 (4) Reporting requirements. Annually, no later than March 1, the board of a county with a population of 750,000 or more shall submit to the governor and to the chief clerk of each house of the legislature, for distribution to the legislature under s. 13.172 (2), and make available to the public, a report that details all of the following:

AB725,11,24 (a) For each build Milwaukee initiative zone, a list and description, including amounts, of all loans, grants, and other financial assistance that the county directed to economic development and homeownership in that build Milwaukee initiative zone during the preceding year.

AB725,12,3 (b) An accounting of the total value of all loans, grants, and other financial assistance that the county directed to economic development and homeownership in the build Milwaukee initiative zones during the preceding year.

AB725,12,6 (c) An accounting of the total value of all loans, grants, and other financial assistance that the county paid, awarded, or otherwise provided under economic development programs and housing programs during the preceding year.

AB725,12,8 (d) An accounting of the county's purchases from businesses located in a build Milwaukee initiative zone under sub. (3) (a).

AB725,12,10 (5) Sunset. Subsections (2) and (3) do not apply before July 1, 2012, nor after June 30, 2016.

AB725, s. 8 Section 8. 62.79 of the statutes is created to read:

AB725,12,12 62.79 Build Milwaukee initiative. (1) Definition. In this section:

AB725,12,14 (a) Build Milwaukee initiative council means a council established under sub. (2).

AB725,12,16 (b) "Build Milwaukee initiative zone" means a geographic area under s. 238.14 (2) (a), (b), (c), or (d).

AB725,12,19 (c) "Economic development program" means a program or activity having the primary purpose of encouraging the establishment and growth of business in this state, including the creation and retention of jobs.

AB725,12,21 (d) "Financial institution" means an insured depository institution, as defined in 12 USC 1813 (c) (2).

AB725,12,23 (e) "Housing program" means a program or activity having the primary purpose of supporting or encouraging homeownership in this state.

AB725,13,4 (2) Build Milwaukee initiative councils. (a) The common council of a 1st class city shall establish a build Milwaukee initiative council for each build Milwaukee initiative zone. The common council shall determine the number, which shall be divisible by 3, of the members for each build Milwaukee initiative council and shall establish all other rules and procedures governing the conduct of the councils. The councils shall be strictly nonpartisan.

AB725,13,6 (b) The rules and procedures established under par. (a) shall include all of the following:

AB725,13,9 1. The members of a council shall be persons who reside in or who are affiliated with a business entity, including a nonprofit corporation, that is headquartered in that council's build Milwaukee initiative zone.

AB725,13,11 2. The majority of a council's members shall be persons who reside in that council's build Milwaukee initiative zone.

AB725,13,14 3. Each council shall include at least one member of the clergy, as defined in s. 48.981 (1) (cx), and at least 2 minority group members, as defined in s. 250.20 (1) (g).

AB725,13,16 4. A vacancy on a council shall be filled in the same manner as the original appointment to the council for the remainder of the unexpired term, if any.

AB725,13,17 5. All council appointees shall take and file the official oath.

AB725,13,20 (c) The members of the build Milwaukee initiative councils shall be nominated by the mayor of a 1st class city, and with the advice and consent of the common council of the city appointed, to serve 3-year terms.

AB725,14,2 (3) Coordination concerning housing and economic development programs. The common council of a 1st class city shall, in coordination with the Wisconsin Economic Development Corporation and the build Milwaukee initiative councils, attempt to ensure that at least 40 percent of the total value of all loans, grants, and other financial assistance paid, awarded, or otherwise provided by the city under economic development programs and housing programs is directed to economic development and homeownership in the build Milwaukee initiative zones.

AB725,14,6 (4) City purchasing and financing. (a) The common council of a 1st class city shall attempt to ensure that at least 40 percent of the total amount expended by the city in each fiscal year for any materials, supplies, equipment, or services for the various city offices is paid to businesses located in a build Milwaukee initiative zone.

AB725,14,11 (b) Before entering into a contract with a financial institution for the deposit of city moneys with the financial institution, the common council of a 1st class city shall consider whether the financial institution meets any of the following criteria and may give preference in entering into such contracts to a financial institution that meets all of the following criteria:

AB725,14,15 1. The financial institution has, in the preceding year, made loans to persons located in a build Milwaukee initiative zone. The common council shall consider the amount of the financial institution's lending activity in the build Milwaukee initiative zones in providing any preference under this paragraph.

AB725,14,21 2. The financial institution agrees to increase its lending activity to persons located in a build Milwaukee initiative zone and provides to the common council a plan to do so. That plan shall include the financial institution's proposal for using the city's deposits to increase lending activity to persons located in a build Milwaukee initiative zone, particularly with respect to loans that encourage or support homeownership and business activity.

AB725,14,24 3. The financial institution has, in its most recent evaluation under the Community Reinvestment Act of 1977, received a rating as specified in 12 USC 2906 (b) of outstanding or satisfactory.

AB725,15,2 (5) Goals and implementation. Each build Milwaukee initiative council shall do all of the following with respect to that council's build Milwaukee initiative zone:

AB725,15,4 (a) Establish clear and measurable goals for the implementation of economic development and housing programs in the build Milwaukee initiative zone.

AB725,15,8 (b) Coordinate under s. 238.14 (3) with the Wisconsin Economic Development Corporation, the Wisconsin Housing and Economic Development Authority, and the Wisconsin Health and Educational Facilities Authority to accomplish the purposes of that section.

AB725,15,11 (c) Coordinate with a 1st class city under sub. (3), and a county with a population of 750,000 or more under s. 59.83 (2) (a) to achieve the purposes of those sections.

AB725,15,14 (d) Coordinate with public and private economic development entities located in any build Milwaukee initiative zone concerning economic development and housing programs in the council's build Milwaukee initiative zone.

AB725,15,17 (e) To the extent possible, ensure that any job created in the build Milwaukee initiative zone is filled by a person who is qualified to perform that job and is a resident of that zone.

AB725,15,20 (f) To the extent possible, ensure that any job created in the build Milwaukee initiative zone is filled by a person who is qualified to perform that job and is a veteran, as defined in 38 USC 101.

AB725,15,24 (g) To the extent possible, ensure that any job created in the build Milwaukee initiative zone is filled by a person who is qualified to perform that job and has completed a job training program at a job training or workforce development center located in a 1st class city.

AB725,16,3 (h) To the extent possible, coordinate the council's job placement efforts with labor unions, community development corporations, and job training or workforce development centers that are located in a 1st class city.

AB725,16,7 (i) Encourage entrepreneurial activities and business growth in the build Milwaukee initiative zone, including by coordinating with one or more business incubators in that build Milwaukee initiative zone and with the Women's Business Initiative Corporation and other community development corporations.

AB725,16,9 (j) Encourage and support homeownership under housing programs directed to the build Milwaukee initiative zone.

AB725,16,12 (k) Attempt to ensure that any capital improvement project or other development or redevelopment in the build Milwaukee initiative zone is carried out in an environmentally sound manner.

AB725,16,14 (L) Encourage the development of a wealth building center in the build Milwaukee initiative zone that does all of the following:

AB725,16,15 1. Provides comprehensive housing counseling to residents of that zone.

AB725,16,16 2. Encourages the development and retention of businesses in that zone.

AB725,16,18 3. Provides assistance and advice concerning educational opportunities for residents of that zone.

AB725,16,19 4. Provides financial advice to residents of that zone.

AB725,16,23 (6) Reporting requirements. Annually, no later than March 1, the common council of a 1st class city shall submit to the governor and to the chief clerk of each house of the legislature, for distribution to the legislature under s. 13.172 (2), and make available to the public, a report that details all of the following:

AB725,17,2 (a) For each build Milwaukee initiative zone, a list and description, including amounts, of all loans, grants, and other financial assistance that the city directed to economic development and homeownership in that build Milwaukee initiative zone during the preceding year.

AB725,17,5 (b) An accounting of the total value of all loans, grants, and other financial assistance that the city directed to economic development and homeownership in the build Milwaukee initiative zones during the preceding year.

AB725,17,8 (c) An accounting of the total value of all loans, grants, and other financial assistance that the city paid, awarded, or otherwise provided under economic development programs and housing programs during the preceding year.

AB725,17,10 (d) An accounting of the city's purchases from businesses located in a build Milwaukee initiative zone under sub. (4) (a).

AB725,17,12 (7) Subsections (3) and (4) do not apply before July 1, 2012, nor after June 30, 2016.

AB725, s. 9 Section 9. 238.14 of the statutes is created to read:

AB725,17,14 238.14 Build Milwaukee Initiative Zones. (1) In this section:

AB725,17,16 (a) "Build Milwaukee initiative zone" means a geographic area under sub. (2) (a), (b), (c), or (d).

AB725,17,18 (b) "Housing program" means a program or activity having the primary purpose of encouraging or supporting homeownership in this state.

AB725,17,19 (2) The build Milwaukee initiative zones are the following:

AB725,17,22 (a) The geographic area that comprises the following area comprehensive plans approved by the common council of the city of Milwaukee by ordinance 295-106, file number 100247:

AB725,17,23 1. Near west side comprehensive plan.

AB725,17,24 2. Washington Park comprehensive plan.

AB725,17,25 3. Fond du Lac and north comprehensive plan.

AB725,18,1 4. Northeast side comprehensive plan.

AB725,18,4 (b) The geographic area that comprises the northwest side comprehensive plan approved by the common council of the city of Milwaukee by ordinance 295-106, file number 100247.

AB725,18,7 (c) The geographic area that comprises the near south side comprehensive plan approved by the common council of the city of Milwaukee by ordinance 295-106, file number 100247.

AB725,18,10 (d) The geographic area that comprises the southeast side comprehensive plan approved by the common council of the city of Milwaukee by ordinance 295-106, file number 100247.

AB725,18,19 (3) The corporation, the Wisconsin Housing and Economic Development Authority, and the Wisconsin Health and Educational Facilities Authority, each in coordination with the others and in coordination with a county board under s. 59.83 (2) (b) and the build Milwaukee initiative councils under s. 62.79 (5), shall attempt to ensure that at least 10 percent of the total value of all loans, grants, tax benefits, and other financial assistance paid, awarded, or otherwise provided under economic development programs and housing programs by the corporation and those authorities is directed to economic development and homeownership in the build Milwaukee initiative zones.

AB725,18,25 (4) Annually, no later than March 1, the corporation, the Wisconsin Housing and Economic Development Authority, and the Wisconsin Housing and Educational Facilities Authority, each in coordination with the others, shall submit to the governor and to the chief clerk of each house of the legislature, for distribution to the legislature under s. 13.172 (2), and make available to the public, a joint report that details all of the following:

AB725,19,4 (a) For each build Milwaukee initiative zone, a list and description, including amounts, of all loans, grants, tax benefits, and other financial assistance that the corporation and those authorities directed to economic development and homeownership in that build Milwaukee initiative zone during the preceding year.

AB725,19,8 (b) An accounting of the total value of all loans, grants, tax benefits, and other financial assistance that the corporation and those authorities directed to economic development and homeownership in the build Milwaukee initiative zones during the preceding year.

AB725,19,12 (c) An accounting of the total value of all loans, grants, tax benefits, and other financial assistance that the corporation and those authorities paid, awarded, or otherwise provided under economic development programs and housing programs during the preceding year.

AB725,19,13 (5) Subsection (3) does not apply before July 1, 2012, nor after June 30, 2016.

AB725, s. 10 Section 10. 238.30 (7) (b) 2. of the statutes, as affected by 2011 Wisconsin Acts 32 and 37, is amended to read:

AB725,19,19 238.30 (7) (b) 2. With respect to the development opportunity zones under s. 238.395 (1) (g), (h), and (i), and (j), "tax benefits" means the development zone credits under ss. 71.07 (2dx), 71.28 (1dx), 71.47 (1dx), and 76.636 and the development zones capital investment credit under ss. 71.07 (2dm), 71.28 (1dm), and 71.47 (1dm).

AB725, s. 11 Section 11. 238.395 (1) (j) of the statutes is created to read:

AB725,19,22 238.395 (1) (j) The build Milwaukee initiative zones under s. 238.14 (2) (a) to (d).

AB725, s. 12 Section 12. 238.395 (2) (a) of the statutes, as affected by 2011 Wisconsin Acts 32 and 37, is amended to read:

AB725,20,19 238.395 (2) (a) Except as provided in par. (d), the designation of each area under sub. (1) (a), (b), and (c) as a development opportunity zone shall be effective for 36 months, with the designation of the areas under sub. (1) (a) and (b) beginning on April 23, 1994, and the designation of the area under sub. (1) (c) beginning on April 28, 1995. Except as provided in par. (d), the designation of each area under sub. (1) (d) and (e) as a development opportunity zone shall be effective for 84 months, with the designation of the area under sub. (1) (d) beginning on January 1, 2000, and the designation of the area under sub. (1) (e) beginning on September 1, 2001. Except as provided in par. (d), the designation of the area under sub. (1) (f) as a development opportunity zone shall be effective for 108 months, beginning on September 1, 2001. Except as provided in pars. (d) and (e), the designation of each area under sub. (1) (g) and (h) as a development opportunity zone shall be effective for 60 months, beginning on the date on which the area is designated under sub. (1). Except as provided in pars. (d) and (e), the designation of the area under sub. (1) (i) shall be effective for 60 months, beginning on August 1, 2011. Except as provided in pars. (d) and (e), the designation of the area under sub. (1) (i) shall be effective for 60 months, beginning on August 1, 2011. Except as provided in pars. (d) and (e), the designation of the area under sub. (1) (j) as a development opportunity zone shall be effective for 48 months, beginning on July 1, 2012.

AB725, s. 13 Section 13. 238.395 (2) (b) 10. of the statutes is created to read:

AB725,20,22 238.395 (2) (b) 10. Except as provided in par. (e) 4., the limit for tax benefits for the development opportunity zone under sub. (1) (j) is $10,000,000.