2013 - 2014 LEGISLATURE
February 20, 2014 - Offered by Representatives Jorgensen and C. Taylor.
AB750-ASA1-AA4,1,11 At the locations indicated, amend the substitute amendment as follows:
AB750-ASA1-AA4,1,4 21. Page 1, line 7: after "funds" insert ", prohibiting a state contractor from
3paying excessive compensation to any officer or employee during the term of the
4contract, and granting rule-making authority".
AB750-ASA1-AA4,1,5 52. Page 2, line 1: delete that line and substitute:
AB750-ASA1-AA4,1,6 6" Section 1d. 16.766 of the statutes is created to read:
AB750-ASA1-AA4,1,12 716.766 Contractors; excessive compensation to officers and employees
(1) A contracting agency or authority shall include in all contracts
9executed by the agency or authority a provision obligating the contractor not to pay
10any of the contractor's officers or employees compensation, including wages, salary,
11commissions, and bonuses, in excess of $1,000,000 per year during the term of the
1(2) Subsection (1) does not apply to contracts to meet special requirements or
2emergencies, if approved by the department.
AB750-ASA1-AA4,2,4 3(3) A contracting agency or authority shall take appropriate action to revise the
4standard government contract forms to achieve compliance with this section.
AB750-ASA1-AA4,2,12 5(4) The head of each contracting agency and the board of directors of each
6contracting authority shall be primarily responsible for obtaining compliance by any
7contractor with the contractual provision required under sub. (1) according to
8procedures recommended by the department. The department shall make
9recommendations to the contracting agencies and the boards of directors of the
10contracting authorities for improving and making more effective that contractual
11provision. The department shall promulgate such rules as may be necessary for the
12performance of its functions under this section.
AB750-ASA1-AA4,2,17 13(5) The department may receive complaints of alleged violations of the
14contractual provision required under sub. (1). The department shall investigate and
15determine whether a violation of such a provision has occurred. The department may
16delegate this authority to the contracting agency or authority for processing in
17accordance with the department's procedures.
AB750-ASA1-AA4,2,20 18(6) When a violation of a contractual provision required under sub. (1) has been
19determined by the department, the contracting agency or authority shall do all of the
AB750-ASA1-AA4,2,2121 (a) Immediately inform the violating party of the violation.
AB750-ASA1-AA4,2,2222 (b) Direct the violating party to take action necessary to halt the violation.
AB750-ASA1-AA4,2,2523 (c) Direct the violating party to take immediate steps to prevent further
24violations of the contractual provision and to report its corrective action to the
25contracting agency or authority.
1(7) If further violations of a contractual provision required under sub. (1) are
2committed during the term of the contract, the contracting agency or authority may
3do any of the following:
AB750-ASA1-AA4,3,64 (a) Permit the violating party to complete the contract, after complying with
5this section, but after that the contracting agency or authority must request the
6department to place the name of the party on the ineligible list for state contracts.
AB750-ASA1-AA4,3,97 (b) Terminate the contract without liability for the uncompleted portion of the
8contract or any materials or services purchased or paid for by the contracting party
9for use in completing the uncompleted portion of the contract.
AB750-ASA1-AA4,3,16 10(8) The names of parties who have had contracts terminated under this section
11shall be placed on an ineligible list for state contracts maintained by the department.
12No state contract may be approved and let to any party on such list of ineligible
13contractors. The department may remove the name of any party from the ineligible
14list of contractors if the department determines that the contractor's compensation
15practices comply with the requirement under sub. (1) and provide adequate
16safeguards for its observance.
AB750-ASA1-AA4,3,19 17(9) A violation of this section by a prime contractor shall not impute to a
18subcontractor nor shall a violation of this section by a subcontractor impute to a
AB750-ASA1-AA4,1f 20Section 1f. 16.82 (6) of the statutes is amended to read:
AB750-ASA1-AA4,4,221 16.82 (6) May provide any services to a local professional baseball park district
22created under subch. III of ch. 229, for compensation to be agreed upon between the
23department and the district, if the district has entered into a lease agreement with
24the department under sub. (7), except that the department shall not act as a general
25contractor for any construction work undertaken by the district. No order or contract

1to provide any such services is subject to s. 16.705, 16.75 (1) to (5) and (8) to (10),
216.752, 16.754 or, 16.765, or 16.766.
AB750-ASA1-AA4,1h 3Section 1h. 16.855 (9m) (b) 2. e. of the statutes, as created by 2013 Wisconsin
4Act 20
, is amended to read:
AB750-ASA1-AA4,4,85 16.855 (9m) (b) 2. e. The bidder is not on an ineligible list that the department
6maintains under s. 16.705 (9) or, 16.765 (9), or 16.766 (8) or on a list that another
7agency maintains for persons who violated construction-related statutes or
8administrative rules.
AB750-ASA1-AA4,1j 9Section 1j. 23.41 (5) of the statutes is amended to read:
AB750-ASA1-AA4,4,2310 23.41 (5) Each contract for construction work entered into by the department
11under this section shall be awarded on the basis of bids or competitive sealed
12proposals in accordance with procedures established by the department. Each
13contract for construction work shall be awarded to the lowest responsible bidder or
14the person submitting the most advantageous competitive sealed proposal as
15determined by the department. If the bid of the lowest responsible bidder or the
16proposal of the person submitting the most advantageous competitive sealed
17proposal is determined by the department to be in excess of the estimated reasonable
18value of the work or not in the public interest, the department may reject all bids or
19competitive sealed proposals. Every such contract is exempted from ss. 16.70 to
2016.75, 16.755, 16.76, 16.767 to 16.77, 16.78 to 16.82, 16.855, 16.87, and 16.89, but ss.
2116.528, 16.753, 16.754, and 16.765, and 16.766 apply to the contract. Every such
22contract involving an expenditure of more than $60,000 is not valid until the contract
23is approved by the governor.
AB750-ASA1-AA4,1m 24Section 1m. 66.0903 (1r) of the statutes is created to read:".
13. Page 3, line 16: after that line insert:
AB750-ASA1-AA4,5,2 2" Section 2t. 655.27 (2) of the statutes is amended to read:
AB750-ASA1-AA4,5,163 655.27 (2) Fund administration and operation. Management of the fund shall
4be vested with the board of governors. The commissioner shall either provide staff
5services necessary for the operation of the fund or, with the approval of the board of
6governors, contract for all or part of these services. Such a contract is subject to ss.
716.753 and, 16.765, and 16.766, but is otherwise exempt from subch. IV of ch. 16. The
8commissioner shall adopt rules governing the procedures for creating and
9implementing these contracts before entering into the contracts. At least annually,
10the contractor shall report to the commissioner and to the board of governors
11regarding all expenses incurred and subcontracting arrangements. If the board of
12governors approves, the contractor may hire legal counsel as needed to provide staff
13services. The cost of contracting for staff services shall be funded from the
14appropriation under s. 20.145 (2) (u). The fund shall pay to the commissioner
15amounts charged for organizational support services, which shall be credited to the
16appropriation account under s. 20.145 (1) (g) 2.".