2013 - 2014 LEGISLATURE
ASSEMBLY AMENDMENT 4,
TO ASSEMBLY SUBSTITUTE AMENDMENT 1,
TO ASSEMBLY BILL 750
February 20, 2014 - Offered by Representatives Jorgensen and C. Taylor.
21. Page 1, line 7
: after "funds" insert ", prohibiting a state contractor from 3
paying excessive compensation to any officer or employee during the term of the 4
contract, and granting rule-making authority".
716.766 Contractors; excessive compensation to officers and employees
A contracting agency or authority shall include in all contracts 9
executed by the agency or authority a provision obligating the contractor not to pay 10
any of the contractor's officers or employees compensation, including wages, salary, 11
commissions, and bonuses, in excess of $1,000,000 per year during the term of the 12
Subsection (1) does not apply to contracts to meet special requirements or 2
emergencies, if approved by the department.
A contracting agency or authority shall take appropriate action to revise the 4
standard government contract forms to achieve compliance with this section.
The head of each contracting agency and the board of directors of each 6
contracting authority shall be primarily responsible for obtaining compliance by any 7
contractor with the contractual provision required under sub. (1) according to 8
procedures recommended by the department. The department shall make 9
recommendations to the contracting agencies and the boards of directors of the 10
contracting authorities for improving and making more effective that contractual 11
provision. The department shall promulgate such rules as may be necessary for the 12
performance of its functions under this section.
The department may receive complaints of alleged violations of the 14
contractual provision required under sub. (1). The department shall investigate and 15
determine whether a violation of such a provision has occurred. The department may 16
delegate this authority to the contracting agency or authority for processing in 17
accordance with the department's procedures.
When a violation of a contractual provision required under sub. (1) has been 19
determined by the department, the contracting agency or authority shall do all of the 20
(a) Immediately inform the violating party of the violation.
(b) Direct the violating party to take action necessary to halt the violation.
(c) Direct the violating party to take immediate steps to prevent further 24
violations of the contractual provision and to report its corrective action to the 25
contracting agency or authority.
If further violations of a contractual provision required under sub. (1) are 2
committed during the term of the contract, the contracting agency or authority may 3
do any of the following:
(a) Permit the violating party to complete the contract, after complying with 5
this section, but after that the contracting agency or authority must request the 6
department to place the name of the party on the ineligible list for state contracts.
(b) Terminate the contract without liability for the uncompleted portion of the 8
contract or any materials or services purchased or paid for by the contracting party 9
for use in completing the uncompleted portion of the contract.
The names of parties who have had contracts terminated under this section 11
shall be placed on an ineligible list for state contracts maintained by the department. 12
No state contract may be approved and let to any party on such list of ineligible 13
contractors. The department may remove the name of any party from the ineligible 14
list of contractors if the department determines that the contractor's compensation 15
practices comply with the requirement under sub. (1) and provide adequate 16
safeguards for its observance.
A violation of this section by a prime contractor shall not impute to a 18
subcontractor nor shall a violation of this section by a subcontractor impute to a 19
May provide any services to a local professional baseball park district 22
created under subch. III of ch. 229, for compensation to be agreed upon between the 23
department and the district, if the district has entered into a lease agreement with 24
the department under sub. (7), except that the department shall not act as a general 25
contractor for any construction work undertaken by the district. No order or contract
to provide any such services is subject to s. 16.705, 16.75 (1) to (5) and (8) to (10), 2
16.752, 16.754 or,
16.765, or 16.766
(b) 2. e. The bidder is not on an ineligible list that the department 6
maintains under s. 16.705 (9) or,
16.765 (9), or 16.766 (8)
or on a list that another 7
agency maintains for persons who violated construction-related statutes or 8
Each contract for construction work entered into by the department 11
under this section shall be awarded on the basis of bids or competitive sealed 12
proposals in accordance with procedures established by the department. Each 13
contract for construction work shall be awarded to the lowest responsible bidder or 14
the person submitting the most advantageous competitive sealed proposal as 15
determined by the department. If the bid of the lowest responsible bidder or the 16
proposal of the person submitting the most advantageous competitive sealed 17
proposal is determined by the department to be in excess of the estimated reasonable 18
value of the work or not in the public interest, the department may reject all bids or 19
competitive sealed proposals. Every such contract is exempted from ss. 16.70 to 20
16.75, 16.755, 16.76, 16.767 to 16.77, 16.78 to 16.82, 16.855, 16.87, and 16.89, but ss. 21
16.528, 16.753, 16.754, and
16.765, and 16.766
apply to the contract. Every such 22
contract involving an expenditure of more than $60,000 is not valid until the contract 23
is approved by the governor.
655.27 (2) Fund administration and operation.
Management of the fund shall 4
be vested with the board of governors. The commissioner shall either provide staff 5
services necessary for the operation of the fund or, with the approval of the board of 6
governors, contract for all or part of these services. Such a contract is subject to ss. 7
16.765, and 16.766
, but is otherwise exempt from subch. IV of ch. 16. The 8
commissioner shall adopt rules governing the procedures for creating and 9
implementing these contracts before entering into the contracts. At least annually, 10
the contractor shall report to the commissioner and to the board of governors 11
regarding all expenses incurred and subcontracting arrangements. If the board of 12
governors approves, the contractor may hire legal counsel as needed to provide staff 13
services. The cost of contracting for staff services shall be funded from the 14
appropriation under s. 20.145 (2) (u). The fund shall pay to the commissioner 15
amounts charged for organizational support services, which shall be credited to the 16
appropriation account under s. 20.145 (1) (g) 2.".