Amendment ASA1-AB40

AB40-ASA1,484,3 40.23 (4) (i) Distributions of benefits shall conform to a reasonable and good faith interpretation of section 401 (a) (9) of the Internal Revenue Code.

AB40-ASA1,745 Section 745. 40.23 (4) (j) of the statutes is created to read:

AB40-ASA1,484,6 40.23 (4) (j) Pursuant to a qualified domestic relations order, the department may establish separate benefits for a participant and an alternate payee.

AB40-ASA1,746m Section 746m. 40.26 (1) of the statutes is amended to read:

AB40-ASA1,484,16 40.26 (1) Except as provided in sub. (1m) and ss. 40.05 (2) (g) 2. and 40.23 (1) (am), if a participant receiving a retirement annuity, or a disability annuitant who has attained his or her normal retirement date, receives earnings that are subject to s. 40.05 (1) or that would be subject to s. 40.05 (1) except for the exclusion specified in s. 40.22 (2) (L), the annuity shall be terminated suspended, including any amount provided by additional contributions, and no annuity payment shall be payable after the month in which the participant files with the department a written election to be included within the provisions of the Wisconsin retirement system as a participating employee.

AB40-ASA1,747 Section 747. 40.26 (1m) of the statutes is created to read:

AB40-ASA1,484,24 40.26 (1m) (a) If a participant receiving a retirement annuity, or a disability annuitant who has attained his or her normal retirement date, is employed in a position in covered employment in which he or she is expected to work at least two-thirds of what is considered full-time employment by the department, as determined under s. 40.22 (2r), the participant's annuity shall be suspended and no annuity payment shall be payable until after the participant terminates covered employment.

AB40-ASA1,485,7 (b) If a participant receiving a retirement annuity, or a disability annuitant who has attained his or her normal retirement date, enters into a contract to provide employee services with a participating employer and he or she is expected to work at least two-thirds of what is considered full-time employment by the department, as determined under s. 40.22 (2r), the participant's annuity shall be suspended and no annuity payment shall be payable until after the participant no longer provides employee services under the contract.

AB40-ASA1,748b Section 748b. 40.26 (2) (intro.) of the statutes is amended to read:

AB40-ASA1,485,11 40.26 (2) (intro.) Upon termination suspension of an annuity under sub. (1) or (1m), the retirement account of the participant whose annuity is so terminated suspended shall be reestablished established on the following basis:

AB40-ASA1,748d Section 748d. 40.26 (2) (a) of the statutes is repealed.

AB40-ASA1,748f Section 748f. 40.26 (2) (b) of the statutes is amended to read:

AB40-ASA1,485,23 40.26 (2) (b) Crediting of amounts under suspended annuity. The amount of the annuity payments, excluding any portion originally provided by additional contributions, which would have been paid under the terminated suspended annuity, if the annuity had been a straight life annuity, prior to the participant's normal retirement date or prior to from the original annuity termination suspension date, whichever would first occur to the subsequent retirement date, shall be credited to a memorandum account which is subject to s. ss. 40.04 (4) (a) 2., 2g. and 2m. and (c). If the annuity was recomputed under s. 40.08 (1m) because of a qualified domestic relations order, the memorandum account established under this paragraph shall be adjusted as provided under s. 40.08 (1m) (f) 2 and 40.08 (1m).

AB40-ASA1,748h Section 748h. 40.26 (2) (c) of the statutes is amended to read:

AB40-ASA1,486,7 40.26 (2) (c) Establishment of subsequent retirement account. Except as provided in pars. (a) and (b), the Upon becoming a participating employee, a subsequent retirement account shall be reestablished as if the terminated annuity had never been effective established, including any amounts in a memorandum account under par. (b), crediting of interest, and of any contributions made and creditable service earned during the period the annuity was in force subsequent participating employment.

AB40-ASA1,748j Section 748j. 40.26 (3) of the statutes is repealed and recreated to read:

AB40-ASA1,486,14 40.26 (3) Upon subsequent retirement and application for an annuity, the suspended annuity shall be reinstated and the subsequent annuity of a former annuitant shall be computed as an original annuity, based upon the participant's attained age on the effective date of the subsequent annuity, in an optional form as elected by the participant under s. 40.24. The subsequent annuity shall be initiated at the same time the suspended annuity is reinstated.

AB40-ASA1,748L Section 748L. 40.26 (4) of the statutes is repealed.

AB40-ASA1,749 Section 749. 40.26 (5) (intro.) of the statutes is amended to read:

AB40-ASA1,486,21 40.26 (5) (intro.) If a participant applies for an annuity or lump sum payment during the period in which less than 30 75 days have elapsed between the termination of employment with a participating employer and becoming a participating employee with any participating employer, all of the following shall apply:

AB40-ASA1,750 Section 750. 40.30 (4) (b) of the statutes is amended to read:

AB40-ASA1,487,10 40.30 (4) (b) Subject to the federal annual compensation limits under 26 USC 401 (a) (17) for a participating employee who first becomes a participating employee on or after January 1, 1996, the final average salary or final average earnings used in the benefit formula computation for each retirement system under par. (a) shall be the individual's final average salary or final average earnings under the respective retirement system, determined in accordance with the provisions of that retirement system based on the earnings covered by that retirement system and on all service permitted under that retirement system to be used in determining the final average salary or final average earnings, increased by the percentage increase in the average of the total wages, as determined under 42 USC 415 (b) (3) (A), between the date on which the individual terminated all employment covered by that retirement system and the date on which the individual terminated all employment covered by any of those retirement systems.

AB40-ASA1,751 Section 751. 40.31 (1) of the statutes is amended to read:

AB40-ASA1,487,21 40.31 (1) General limitation. The maximum retirement benefits payable to a participant in a calendar year, excluding benefits attributable to contributions subject to any limitations under s. 40.23 (2) (a), (2m) (c) and (3) the limit under s. 40.32, may not exceed the maximum benefit limitation established under section 415 (b) of the Internal Revenue Code, as adjusted under section 415 (d) of the Internal Revenue Code and any applicable regulations or guidance adopted under the Internal Revenue Code, except that the limit for an individual who first became a participant before January 1, 1990, may not be less than the accrued benefits of the participant, as determined without regard to any changes to the retirement system after October 14, 1987.

AB40-ASA1,752 Section 752. 40.32 (1) of the statutes is amended to read:

AB40-ASA1,488,6 40.32 (1) The sum of all employee post-tax contributions allocated to a participant's account under each defined contribution plan sponsored by the employer, including all employer contributions and picked-up contributions credited with interest at the effective rate under ss. 40.04 (4) (a) and (5) (b) and 40.05 (2) (g) and all employee contributions made under ss. 40.02 (17) and 40.05 (1), may not in any calendar year exceed the maximum contribution limitation established under section 415 (c) of the Internal Revenue Code, as adjusted under section 415 (d) of the Internal Revenue Code and any applicable regulations adopted by the federal department of the treasury.

AB40-ASA1,753 Section 753. 40.515 of the statutes is created to read:

AB40-ASA1,488,17 40.515 Health savings accounts; high-deductible health plan. (1) In addition to the health care coverage plans offered under s. 40.51 (6), beginning on January 1, 2015, the group insurance board shall offer to all state employees the option of receiving health care coverage through a high-deductible health plan and the establishment of a health savings account. Under this option, each employee shall receive health care coverage through a high-deductible health plan. The state shall make contributions into each employee's health savings account in an amount specified by the director of the office of state employment relations under s. 40.05 (4) (ah) 4. In designing a high-deductible health plan, the group insurance board shall ensure that the plan may be used in conjunction with a health savings account.

AB40-ASA1,488,20 (2) The group insurance board may contract with any person to provide administrative and other services relating to health savings accounts established under this section.

AB40-ASA1,489,2 (3) The group insurance board may collect fees from state agencies to pay all administrative costs relating to the establishment and operation of health savings accounts established under this section. The group insurance board shall develop a methodology for determining each state agency's share of the administrative costs. Moneys collected under this subsection shall be credited to the appropriation account under s. 20.515 (1) (tm).

AB40-ASA1,489,6 (4) Beginning on January 1, 2015, to the extent practicable, any agreement with any insurer or provider to provide health care coverage to state employees under s. 40.51 (6) shall require the insurer or provider to also offer a high-deductible health plan that may be used in conjunction with a health savings account.

AB40-ASA1,754 Section 754. 40.72 (4r) of the statutes is amended to read:

AB40-ASA1,489,14 40.72 (4r) At any time after an insured employee's amount of life insurance is reduced under subs. (2) and (3) and life insurance premiums are no longer required under s. 40.05 (6) (b), the employee may convert the present value of the life insurance to pay the premiums for health or long-term care insurance provided under subch. IV, but only if the department determines that the value of the conversion is exempt from taxation under the internal revenue code Internal Revenue Code.

AB40-ASA1,754m Section 754m. 40.73 (1) (e) of the statutes is repealed.

AB40-ASA1,755 Section 755. 40.80 (2) (g) of the statutes is amended to read:

AB40-ASA1,489,22 40.80 (2) (g) Serve as trustee of any deferred compensation plan established under this section, hold the assets and income of the plan in trust for the exclusive benefit of the employees who participate in the plan and their beneficiaries, and maintain the plan as an eligible deferred compensation plan, as defined in 26 USC section 457 (b) of the Internal Revenue Code, and as a governmental plan for eligible employers, as defined in 26 USC section 457 (e) (1) (A) of the Internal Revenue Code.

AB40-ASA1,756 Section 756. 40.80 (2t) of the statutes is amended to read:

AB40-ASA1,490,3 40.80 (2t) The deferred compensation board may require a deferred compensation plan under this subchapter, upon election by a participant who is a an eligible retired public safety officer, to allow for the deduction of insurance premiums for health or long-term care insurance coverage from an amount distributed from a participant's account and for the payment of the premiums directly to an insurer.

AB40-ASA1,757 Section 757. 40.81 (2) of the statutes is amended to read:

AB40-ASA1,490,11 40.81 (2) Any local government employer, or 2 or more employers acting jointly, may also elect under procedures established by the employer or employers to contract directly with a deferred compensation plan provider to administer a deferred compensation plan or to manage any compensation deferred under the plan and may also provide a plan under section 403 (b) of the internal revenue code Internal Revenue Code under procedures established by the local government employer or employers.

AB40-ASA1,758 Section 758. 40.86 (intro.) of the statutes is amended to read:

AB40-ASA1,490,17 40.86 Covered expenses. (intro.) An employee-funded reimbursement account plan may provide reimbursement to an employee for only the following expenses that are actually incurred and paid by an employee and that the board determines are consistent with the applicable requirements of the internal revenue code Internal Revenue Code:

AB40-ASA1,759 Section 759. 41.23 of the statutes is amended to read:

AB40-ASA1,491,2 41.23 Sale of excess or surplus property. The department may acquire excess or surplus property from the department of administration under ss. 16.72 (4) (b) and 16.98 (1) or from the department of transportation under s. 84.09 (5s) and, subject to any prior action under s. 13.48 (14) (am) or 16.848 (1), the department may sell the property acquired under this section to any person at a price determined by the department of tourism. All proceeds received by the department of tourism from the sale of property under this section shall be credited to the appropriation account under s. 20.380 (1) (h).

AB40-ASA1,760 Section 760. 41.41 (7) (b) of the statutes is amended to read:

AB40-ASA1,491,7 41.41 (7) (b) Lease Subject to any prior action under s. 13.48 (14) (am) or 16.848 (1), lease land that is part of the Kickapoo valley reserve to any person for purposes consistent with the management of the reserve under sub. (3), or for agricultural purposes, and lease other land that is acquired by the board for any lawful purpose.

AB40-ASA1,761m Section 761m. 43.64 (2) (c) of the statutes is created to read:

AB40-ASA1,491,11 43.64 (2) (c) Notwithstanding sub. (2m), any city, village, town, or school district in a county levying a tax for public library service under sub. (1) is exempt from the tax levy if all of the following apply:

AB40-ASA1,491,13 1. The city, village, town, or school district is included in a joint library under s. 43.53.

AB40-ASA1,491,17 2. The city, village, town, or school district levies a tax for public library service, less the amount levied for public library capital expenditures, and appropriates and spends for a library fund during the year for which the county tax levy is made an amount that is not less than the average of the previous 3 years.

AB40-ASA1,762 Section 762. 44.015 (1) of the statutes is amended to read:

AB40-ASA1,491,25 44.015 (1) Acquire any interest in real or personal property by gift, bequest or otherwise in any amount and, subject to prior action under s. 13.48 (14) (am) or 16.848 (1), may operate, manage, sell, or rent or convey real estate acquired by gift, bequest, foreclosure or other means, upon such terms and conditions as the board of curators deems for its interests but may not sell, mortgage, transfer or dispose of in any manner or remove from its buildings, except for temporary purposes, any article therein without authority of law.

AB40-ASA1,765 Section 765. 45.02 (2) (intro.) of the statutes is amended to read:

AB40-ASA1,492,6 45.02 (2) (intro.) Except as provided in sub. (3) and s. 45.51 (6m), to be eligible for benefits under this chapter an applicant shall be a resident of and living in this state at the time of making application or the veteran from whom the applicant derives eligibility is deceased, and the veteran from whom eligibility is derived meets one of the following conditions:

AB40-ASA1,766 Section 766. 45.03 (5) (c) 1. a. of the statutes is amended to read:

AB40-ASA1,492,13 45.03 (5) (c) 1. a. Without limitation by reason of any other provisions of the statutes except s. ss. 13.48 (14) (am) and 16.848 (1), unless otherwise required by law, the power to sell and to convey title in fee simple to a nonprofit corporation any land and any existing buildings owned by the state that are under the jurisdiction of the department for the consideration and upon the terms and conditions as in the judgment of the board are in the public interest.

AB40-ASA1,766m Section 766m. 45.03 (13) (p) of the statutes is created to read:

AB40-ASA1,492,17 45.03 (13) (p) Before June 30 of each even-numbered year, submit to the joint committee on finance a report describing the condition of the veterans trust fund. The report shall include information regarding all of the following:

AB40-ASA1,492,20 1. The projected revenues and expenditures of the veterans trust fund beginning with the fiscal year that starts immediately after the submittal of the report.

AB40-ASA1,492,24 2. Any changes in the programs administered by the department that have been implemented after the enactment of the most recent biennial budget act and that are expected to affect the projected revenues, expenditures, or balances of the veterans trust fund.

AB40-ASA1,773 Section 773. 45.205 of the statutes is created to read:

AB40-ASA1,493,2 45.205 Tuition reimbursement for students at tribal colleges. (1) Definitions. In this section:

AB40-ASA1,493,3 (a) "Tribal college" means any of the following:

AB40-ASA1,493,4 1. The College of Menominee Nation.

AB40-ASA1,493,5 2. Lac Courte Oreilles Ojibwa Community College.

AB40-ASA1,493,8 (b) "Tuition" means the amount charged to a student to enroll in a degree credit course. "Tuition" does not include fees or the cost of room and board, books, supplies, or equipment.

AB40-ASA1,493,13 (2) Tuition reimbursement program. (a) Application. Any veteran enrolled in a tribal college may apply to the department for tuition reimbursement under this subsection on a form prescribed by the department. The application shall contain information, as determined by the department, establishing the applicant's eligibility for tuition reimbursement under this subsection.

AB40-ASA1,493,15 (b) Eligibility. A veteran is eligible for tuition reimbursement under this subsection if he or she meets all of the following conditions:

AB40-ASA1,493,17 2. The veteran's annual household income does not exceed $50,000 plus $1,000 for each dependent in excess of 2 dependents.

AB40-ASA1,493,19 3. The veteran is a resident of this state at the time of application under par. (a).

AB40-ASA1,494,2 4. The veteran was a resident of this state at the time of his or her entry into service or was a resident of this state for any consecutive 12-month period after entry into service and before the date of application under par. (a). If a veteran who submits an application under par. (a) meets that consecutive 12-month residency requirement, the department may not require the veteran to reestablish that he or she meets that residency requirement when he or she later applies for any other benefit under this chapter for which that residency requirement applies.

AB40-ASA1,494,4 5. The veteran does not have a bachelor's or higher degree from an institution of higher education, as defined in 20 USC 1001 (a).

AB40-ASA1,494,9 (c) Benefits. 1. Subject to the limitations under par. (d), if a veteran submits an application under par. (a) and establishes his or her eligibility for tuition reimbursement under par. (b), the department shall reimburse the veteran for the total amount of his or her tribal college tuition from the appropriation under s. 20.485 (2) (km).

AB40-ASA1,494,14 2. If in any fiscal year the total amount of reimbursement payments to be paid under subd. 1. exceeds the moneys available for the payments from the appropriation under s. 20.485 (2) (km), the department shall prorate the available moneys among the applicants for reimbursement in proportion to the approved reimbursement amounts.

AB40-ASA1,494,17 (d) Limitations. 1. The department may not reimburse a veteran under this subsection for more than the following number of credits or semesters at a tribal college:

AB40-ASA1,494,19 a. If the veteran served on active duty, except service on active duty for training purposes, for 90 to 180 days, 30 credits or 2 semesters.

AB40-ASA1,494,21 b. If the veteran served on active duty, except service on active duty for training purposes, for 181 to 730 days, 60 credits or 4 semesters.

AB40-ASA1,494,25 c. If the veteran served on active duty, except service on active duty for training purposes, for more than 730 days, 120 credits or 8 semesters, except that, for courses a veteran begins later than 10 years after the veteran's separation from service, the department may not reimburse a veteran for more than 60 credits or 4 semesters.

AB40-ASA1,495,5 3. The department may not provide reimbursement under this subsection to a veteran who is delinquent in child support or maintenance payments or who owes past support, medical expenses, or birth expenses, as established by appearance of the veteran's name on the statewide support lien docket under s. 49.854 (2) (b), unless the veteran provides the department with one of the following:

AB40-ASA1,495,9 a. A repayment agreement that the veteran has entered into, that has been accepted by the county child support agency under s. 59.53 (5), and that has been kept current for the 6-month period immediately preceding the date of the application under par. (a).

AB40-ASA1,495,13 b. A statement that the veteran is not delinquent in child support or maintenance payments and does not owe past support, medical expenses, or birth expenses, signed by the department of children and families or its designee within 7 working days before the date of the application under par. (a).

AB40-ASA1,495,16 4. The department may not provide reimbursement under this subsection for any semester in which the veteran is eligible for or received a grant under s. 321.40 or under 10 USC 2007.

AB40-ASA1,495,18 5. The department may not provide reimbursement under this subsection for any semester for which the veteran received reimbursement under s. 45.20.

AB40-ASA1,495,21 6. The department may not provide reimbursement under this subsection for any semester in which the veteran fails to receive at least a 2.0 grade point average or an average grade of "C."

AB40-ASA1,495,24 7. The department shall reduce the reimbursement amount under par. (c) by the amount of any grant or scholarship the veteran receives specifically for the payment of college tuition.

AB40-ASA1,495,25 (3) Rules. The department shall promulgate rules to implement this section.

AB40-ASA1,774k Section 774k. 45.41 (2) (intro.) of the statutes is amended to read:

AB40-ASA1,496,9 45.41 (2) (intro.) Upon application the department shall may make a payment to any state veterans organization that establishes that it, or its national organization, or both, has maintained a full-time service office at the regional office for 5 consecutive years out of the 10-year period immediately preceding the application. The Any payment shall be as follows, calculated based on the total amount of all salaries and travel expenses under sub. (3) paid during the previous fiscal year by the state veterans organization to employees engaged in veterans claims service and stationed at the regional office. The payment shall be as follows:

AB40-ASA1,775 Section 775. 45.41 (2) (a) of the statutes is amended to read: