AB40: Bill Text

AB40,93 Section 93. 16.72 (4) (a) of the statutes is amended to read:

AB40,84,4 16.72 (4) (a) Except as provided in ss. 16.71 and 16.74 or as otherwise provided in this subchapter and the rules promulgated under s. 16.74 and this subchapter, all supplies, materials, equipment, and contractual services shall be purchased for and furnished to any agency only upon requisition to the department. The department shall prescribe the form, contents, number, and disposition of requisitions and shall promulgate rules as to time and manner of submitting such requisitions for processing. No Except as provided in ss. 16.71 and 16.74 or as otherwise provided in this subchapter and the rules promulgated under s. 16.74 and this subchapter, no agency or officer may engage any person to perform contractual services without the specific prior approval of the department for each such engagement. Purchases of supplies, materials, equipment, or contractual services by the legislature, the courts, or legislative service or judicial branch agencies do not require approval under this paragraph.

AB40,94 Section 94. 16.72 (4m) of the statutes is repealed.

AB40,95 Section 95. 16.73 (1m) of the statutes is created to read:

AB40,84,8 16.73 (1m) The department or a delegated agency may allow municipalities to participate in state procurement solicitations and use any current state contract.

AB40,96 Section 96. 16.73 (5) of the statutes, as affected by 2011 Wisconsin Act 32, is amended to read:

AB40,84,20 16.73 (5) After the department designates the board of regents of the University of Wisconsin System or designates the University of Wisconsin-Madison as its purchasing agent for any purpose under s. 16.71 (1) a delegated agency, the board or the University of Wisconsin-Madison may enter into a contract to sell any materials, supplies, equipment or contractual services purchased by the board or the University of Wisconsin-Madison to the University of Wisconsin Hospitals and Clinics Authority, and may contract with the University of Wisconsin Hospitals and Clinics Authority for the joint purchase of any materials, supplies, equipment or contractual services if the sale or purchase is made consistently with that delegation and with this subchapter.

AB40,97 Section 97. 16.75 (1) (a) 1. of the statutes is amended to read:

AB40,85,5 16.75 (1) (a) 1. All orders awarded or contracts made by the department or a delegated agency for all materials, supplies, equipment, and contractual services to be provided to any agency, except as otherwise provided in par. (c) and subs. (2), (2g), (2m), (3m), (3t), (6), (7), (8), (9), (10e), and (10m) and ss. 16.705 (1r), 16.73 (4) (a), 16.751, 16.754, 16.964 (8), 50.05 (7) (f), 153.05 (2m) (a), 165.987, and 287.15 (7), shall be awarded to the lowest responsible bidder, taking into consideration life cycle cost estimates under sub. (1m), when appropriate, the location of the agency, the quantities of the articles to be supplied, their conformity with the specifications, and the purposes for which they are required and the date of delivery.

AB40,98 Section 98. 16.75 (1) (a) 2. of the statutes is amended to read:

AB40,85,15 16.75 (1) (a) 2. If a vendor is not a Wisconsin producer, distributor, supplier or retailer and the department determines that the state, foreign nation or subdivision thereof in which the vendor is domiciled grants a preference to vendors domiciled in that state, nation or subdivision in making governmental purchases, the department, a delegated agency, and any agency making purchases under s. 16.74 shall give a preference over that vendor to Wisconsin producers, distributors, suppliers and retailers, if any, when awarding the order or contract. The department may enter into agreements with states, foreign nations and subdivisions thereof for the purpose of implementing this subdivision.

AB40,99 Section 99. 16.75 (1) (b) 1. and 3. of the statutes, as affected by 2011 Wisconsin Act 32, are consolidated, renumbered 16.75 (1) (b) and amended to read:

AB40,86,7 16.75 (1) (b) Except as provided in subd. 2., when When the estimated cost exceeds $25,000 $50,000, the department or delegated agency shall invite bids to be submitted. 3. If subd. 1. or 2. requires bids are to be solicited, the department or delegated agency either shall solicit sealed bids to be opened publicly at a specified date and time, or shall solicit bidding by auction to be conducted electronically at a specified date and time. Whenever bids are invited, due notice inviting bids shall be published as a class 2 notice, under ch. 985 or posted on the Internet at a site determined or approved by the department. The bid opening or auction shall occur at least 7 days after the date of the last insertion of the notice or at least 7 days after the date of posting on the Internet. The notice shall specify whether sealed bids are invited or bids will be accepted by auction, and shall give a clear description of the materials, supplies, equipment, or contractual services to be purchased, the amount of any bond, share draft, check, or other draft to be submitted as surety with the bid or prior to the auction, and the date and time that the public opening or the auction will be held.

AB40,100 Section 100. 16.75 (1) (b) 2. of the statutes, as created by 2011 Wisconsin Act 32, is repealed.

AB40,101 Section 101. 16.75 (1) (c) of the statutes is amended to read:

AB40,86,13 16.75 (1) (c) Except as provided in sub. (7), when the estimated cost is $25,000 $50,000 or less, the award may be made in accordance with simplified procedures established by the department for such transactions.

AB40,102 Section 102. 16.75 (1m) of the statutes is amended to read:

AB40,87,4 16.75 (1m) The department or a delegated agency shall award each order or contract for materials, supplies or equipment on the basis of life cycle cost estimates, whenever such action is appropriate. Each authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Wisconsin Aerospace Authority, and the Health Insurance Risk-Sharing Plan Authority shall award each order or contract for materials, supplies or equipment on the basis of life cycle cost estimates, whenever such action is appropriate. The terms, conditions and evaluation criteria to be applied shall be incorporated in the solicitation of bids or proposals. The life cycle cost formula may include, but is not limited to, the applicable costs of energy efficiency, acquisition and conversion, money, transportation, warehousing and distribution, training, operation and maintenance and disposition or resale. The department shall prepare documents containing technical guidance for the development and use of life cycle cost estimates, and shall make the documents available to interested parties, including local governmental units.

AB40,103 Section 103. 16.75 (2m) (a) of the statutes is amended to read:

AB40,87,10 16.75 (2m) (a) Except as otherwise required by law, if the secretary or his or her designee determines that the use of competitive sealed bidding is not practicable or not advantageous to this state, the department or delegated agency may solicit competitive sealed proposals. Each request for competitive sealed proposals shall state the relative importance of price and other evaluation factors.

AB40,104 Section 104. 16.75 (2m) (b) 1. and 3. of the statutes, as affected by 2011 Wisconsin Act 32, are consolidated, renumbered 16.75 (2m) (b) and amended to read:

AB40,87,22 16.75 (2m) (b) Except as provided in subd. 2., when When the estimated cost exceeds $25,000 $50,000, the department or delegated agency may invite competitive sealed proposals. 3. If competitive sealed proposals are to be invited, the department or delegated agency shall publish a class 2 notice under ch. 985 or post notice on the Internet at a site determined or approved by the department. The notice shall describe the materials, supplies, equipment, or contractual services to be purchased, the intent to make the procurement by solicitation of proposals rather than by solicitation of bids, any requirement for surety and the date the proposals will be opened, which shall be at least 7 days after the date of the last insertion of the notice or at least 7 days after the date of posting on the Internet.

AB40,105 Section 105. 16.75 (2m) (b) 2. of the statutes, as created by 2011 Wisconsin Act 32, is repealed.

AB40,106 Section 106. 16.75 (2m) (c) of the statutes is amended to read:

AB40,88,3 16.75 (2m) (c) When the estimated cost is $25,000 $50,000 or less, the department or delegated agency may award the order or contract in accordance with simplified procedures established by the department for such transactions.

AB40,107 Section 107. 16.75 (2m) (d) of the statutes is amended to read:

AB40,88,8 16.75 (2m) (d) For purposes of clarification, the department or delegated agency may discuss the requirements of the proposed order or contract with any person who submits a proposal and shall permit any offerer to revise his or her proposal to ensure its responsiveness to those requirements.

AB40,108 Section 108. 16.75 (2m) (e) of the statutes is amended to read:

AB40,88,17 16.75 (2m) (e) The department or delegated agency shall determine which proposals are reasonably apt to be awarded the order or contract and shall provide each offerer of such a proposal a fair and equal opportunity to discuss the proposal. The department or delegated agency may negotiate with each offerer in order to obtain terms that are advantageous to this state. Prior to the award of the order or contract, any offerer may revise his or her proposal. The department or delegated agency shall keep a written record of all meetings, conferences, oral presentations, discussions, negotiations, and evaluations of proposals under this section.

AB40,109 Section 109. 16.75 (2m) (f) of the statutes is amended to read:

AB40,88,21 16.75 (2m) (f) In opening, discussing, and negotiating proposals, the department or delegated agency may not disclose any information that would reveal the terms of a competing proposal.

AB40,110 Section 110. 16.75 (2m) (g) of the statutes is amended to read:

AB40,89,5 16.75 (2m) (g) After receiving each offerer's best and final offer, the department or delegated agency shall determine which proposal is most advantageous and shall award the order or contract to the person who offered it. The department's department or delegated agency shall base its determination shall be based only on price and the other evaluation factors specified in the request for proposals. The department or delegated agency shall state in writing the reason for the award and shall place the statement in the contract file. This paragraph does not apply to procurements under s. 16.751.

AB40,111 Section 111. 16.75 (3m) (b) 1. of the statutes is amended to read:

AB40,89,9 16.75 (3m) (b) 1. The department, a delegated agency, and any agency making purchases under s. 16.74 shall attempt to ensure that 5 percent of the total amount expended under this subchapter in each fiscal year is paid to minority businesses.

AB40,112 Section 112. 16.75 (3m) (b) 2. of the statutes is amended to read:

AB40,89,14 16.75 (3m) (b) 2. The department, a delegated agency, and any agency making purchases under s. 16.74 shall make efforts to ensure that a portion of the total amount expended under this subchapter in each fiscal year is paid to disabled veteran-owned businesses.

AB40,113 Section 113. 16.75 (3m) (b) 3. of the statutes is amended to read:

AB40,90,3 16.75 (3m) (b) 3. Except as provided under sub. (7), the department, a delegated agency, and any agency making purchases under s. 16.74 may purchase materials, supplies, equipment, and contractual services from any minority business or disabled veteran-owned business, or a business that is both a minority business and a disabled veteran-owned business, submitting a qualified responsible competitive bid that is no more than 5 percent higher than the apparent low bid or competitive proposal that is no more than 5 percent higher than the most advantageous proposal. In administering the preference for minority businesses or disabled veteran-owned businesses established in this paragraph, the department, a delegated agency, and any agency making purchases under s. 16.74 shall maximize the use of minority businesses or disabled veteran-owned businesses which are incorporated under ch. 180 or which have their principal place of business in this state.

AB40,114 Section 114. 16.75 (3t) (c) (intro.) of the statutes is amended to read:

AB40,90,23 16.75 (3t) (c) (intro.) The department of corrections shall periodically provide to the department of administration a current list of all materials, supplies, equipment, or contractual services, excluding commodities, that are supplied by prison industries, as created under s. 303.01. The department of administration shall distribute the list to all designated purchasing agents under s. 16.71 (1) delegated agencies. Except as otherwise provided in sub. (6) (am), prior to seeking bids or competitive sealed proposals with respect to the purchase of any materials, supplies, equipment, or contractual services enumerated in the list, the department of administration or any other designated purchasing agent under s. 16.71 (1) delegated agency shall offer prison industries the opportunity to supply the materials, supplies, equipment, or contractual services if the department of corrections is able to provide them at a price that is equal to or lower than one which may be obtained through competitive bidding or competitive sealed proposals and is able to conform to the specifications. If the department of administration or other purchasing agent delegated agency is unable to determine whether the price of prison industries is equal to or lower than one obtained through competitive bidding or competitive sealed proposals, it may solicit bids or competitive proposals before awarding the order or contract. This paragraph does not apply to the printing of the following forms:

AB40,115 Section 115. 16.75 (5) of the statutes is amended to read:

AB40,91,6 16.75 (5) The department or delegated agency may require of bidders, persons making proposals under sub. (2m) or contractors such sureties as, in its judgment, are deemed advisable and may decide as to their responsibility and competency. The department or delegated agency may require a contractor to provide a bond furnished by a surety company authorized to do business in this state, for the proper performance of each contract.

AB40,116 Section 116. 16.75 (6) (c) of the statutes is amended to read:

AB40,91,20 16.75 (6) (c) If the governor or, if acting as the governor's designee, the secretary determines that it is in the best interest of this state to do so, he or she may, with the approval of the governor, waive the requirements of subs. (1) to (5) and may purchase supplies, material materials, equipment, or contractual services, other than printing and stationery, from a private source other than a source specified in par. (b). Except as provided in sub. (2g) (c), if the cost of the purchase is expected to exceed $25,000 $50,000, the department shall first publish a class 2 notice under ch. 985 or post a notice on the Internet at the site determined or approved by the department under sub. (1) (b) describing the materials, supplies, equipment, or contractual services to be purchased, stating the intent to make the purchase from a private source without soliciting bids or competitive sealed proposals and stating the date on which the contract or purchase order will be awarded. The date of the award shall be at least 7 days after the date of the last insertion or the date of posting on the Internet.

AB40,117 Section 117. 16.75 (6) (d) of the statutes is amended to read:

AB40,92,3 16.75 (6) (d) If the governor or, if acting as the governor's designee, the secretary determines that it is in the best interest of this state to do so, he or she may issue a general waiver of the requirements of subs. (1) to (5) permitting the purchase of specified materials, supplies, equipment, or contractual services, except printing and stationery, from a private source. A general waiver may be issued for any period up to one year. The governor or, if acting as the governor's designee, the secretary may impose any necessary or appropriate condition or restriction on the waiver.

AB40,118 Section 118. 16.75 (8) (a) 1. of the statutes is amended to read:

AB40,92,11 16.75 (8) (a) 1. The department, any other designated purchasing agent under s. 16.71 (1) delegated agency, any agency making purchases under s. 16.74, and each authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, and the Health Insurance Risk-Sharing Plan Authority shall, to the extent practicable, make purchasing selections using specifications developed under s. 16.72 (2) (e) to maximize the purchase of materials utilizing recycled materials and recovered materials.

AB40,119 Section 119. 16.75 (9) of the statutes is amended to read:

AB40,92,18 16.75 (9) The department, any other designated purchasing agent under s. 16.71 (1) delegated agency, any agency making purchases under s. 16.74, and any authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, and the Health Insurance Risk-Sharing Plan Authority shall, to the extent practicable, make purchasing selections using specifications prepared under s. 16.72 (2) (f).

AB40,120 Section 120. 16.75 (10e) (a) of the statutes is amended to read:

AB40,92,22 16.75 (10e) (a) In this subsection, "energy consuming equipment" means any equipment that is designed for heating, ventilation, air conditioning, water heating or cooling, lighting, or refrigeration, or any other function, and that consumes energy.

AB40,121 Section 121. 16.75 (10e) (b) of the statutes is amended to read:

AB40,93,17 16.75 (10e) (b) If s. 16.855 (10s) (a) provides an applicable standard for the type of agency energy consuming equipment being purchased and the purchase will cost more than $5,000 per unit the department, any other designated purchasing agent under s. 16.71 (1) delegated agency, any agency making purchases under s. 16.74, and any authority may not purchase that type of energy consuming equipment unless the specifications for the equipment meet the applicable standards. If there is an applicable standard under s. 16.855 (10s) (a), but the energy consuming equipment meeting that standard is not reasonably available, the department, purchasing agent delegated agency, agency, or authority shall ensure, for purchases over $5,000 per unit, that the energy consuming equipment that is purchased maximizes energy efficiency to the extent technically and economically feasible. The department, purchasing agent delegated agency, agency, or authority shall not determine that energy consuming equipment that meets the applicable standard under s. 16.855 (10s) (a) either is not reasonably available on the basis of cost alone or is not cost-effective unless the difference in the cost of the purchase and installation of the equipment that meets the standard and the equipment that would otherwise be installed is greater than the difference in the cost of operating the equipment that meets the standard and the equipment that would otherwise be installed over the anticipated life of the equipment.

AB40,122 Section 122. 16.75 (10m) of the statutes is amended to read:

AB40,93,24 16.75 (10m) The department, any other designated purchasing agent under s. 16.71 (1) delegated agency, any agency making purchases under s. 16.74, and any authority shall not enter into any contract or order for the purchase of materials, supplies, equipment, or contractual services with a person if the name of the person, or the name of an affiliate of that person, is certified to the department by the secretary of revenue under s. 77.66.

AB40,123 Section 123. 16.84 (1) of the statutes is amended to read:

AB40,94,12 16.84 (1) Have charge of, operate, maintain and keep in repair the state capitol building, the executive residence, the light, heat and power plant, any heating, cooling, and power plants serving state properties that are not operated by an agency, as defined in s. 16.52 (7), or by a purchaser, lessee, or contractor under s. 13.48 (14) or 16.848 (1), the state office buildings and their power plants, the grounds connected therewith, and such other state properties as are designated by law. All costs of such operation and maintenance shall be paid from the appropriations under s. 20.505 (5) (ka) and (kb), except for debt service costs paid under s. 20.866 (1) (u). The department shall transfer moneys from the appropriation under s. 20.505 (5) (ka) to the appropriation account under s. 20.505 (5) (kc) sufficient to make principal and interest payments on state facilities and payments to the United States under s. 13.488 (1) (m).

AB40,124 Section 124. 16.848 (title) of the statutes is amended to read:

AB40,94,15 16.848 (title) Sale, lease, or contractual operation of certain state property or facilities.

AB40,125 Section 125. 16.848 (1) of the statutes is amended to read:

AB40,95,19 16.848 (1) Except as provided in sub. (2), the department may offer for sale or lease any state-owned real property, if the department determines that the sale or lease is in the best interest of the state, unless prohibited under the state or federal constitution or federal law or the sale is conducted as a part of a procedure to enforce an obligation to this state. Any sale may be either on the basis of public bids, with the department reserving the right to reject any bid in the best interest of the state, or on the basis of negotiated prices as determined through a competitive or transparent process. If the department receives an offer to purchase property offered under this subsection, the department may submit a report to the building commission recommending acceptance of the offer. The report shall contain a description of the property and the reasons for the recommendation. The department may recommend the sale of a parcel of property with or without the approval of the agency, as defined in s. 16.52 (7), having jurisdiction of over the property and regardless of whether the property is included in an inventory submitted under s. 13.48 (14) (d). If the building commission approves the proposed sale, the department may sell the property. Except with respect to property identified in sub. (2), if any agency, as defined in s. 16.52 (7), has authority to sell or lease real property under any other law, the authority of that agency does not apply after the department notifies the agency in writing that an offer of sale or sale, or a lease agreement, is pending with respect to the property under this subsection. If the sale or lease is not completed and no further action is pending with respect to the property, the authority of the agency to sell or lease the property is restored. If the department sells or leases any state-owned real property under this subsection, the department may attach such conditions to the sale or lease as it finds to be necessary or appropriate to carry out the sale or lease in the best interest of the state. If the department sells or leases a state-owned heating, cooling, or power plant under this subsection, the department may contract with the purchaser or lessee for the operation of the plant.

AB40,126 Section 126. 16.848 (1e) of the statutes is created to read:

AB40,96,5 16.848 (1e) If the department sells, leases, or contracts with a purchaser or lessee for the operation of any real property under sub. (1) that was under the jurisdiction of an agency, as defined in s. 16.52 (7), prior to the sale, lease, or contract, the agency shall convey all systems, fixtures, or additional property interests specified by the department to the purchaser or lessee of the property on terms specified by the department. If the department sells, leases, or contracts with a purchaser or lessee for the operation of a state-owned heating, cooling, or power plant that is under the jurisdiction of an agency, as defined in s. 16.52 (7), the agency shall convey all real and personal property associated with the plant to the purchaser or lessee on terms specified by the department.

AB40,127 Section 127. 16.848 (1m) of the statutes is created to read:

AB40,96,10 16.848 (1m) If any property that is proposed to be sold by the department under sub. (1) is co-owned by a nonstate entity, the department shall afford to that entity the right of first refusal to purchase the share of the property owned by the state on reasonable financial terms established by the department.

AB40,128 Section 128. 16.848 (1s) of the statutes is created to read:

AB40,96,18 16.848 (1s) (a) If the department sells, leases, or contracts with a purchaser or lessee for the operation of any facility under sub. (1) that is operated by an agency, as defined in s. 16.52 (7), on the day prior to the effective date of the sale, lease, or contract, the secretary shall, notwithstanding s. 16.50 (1), require submission of expenditure estimates for approval under s. 16.50 (2) for each agency that proposes to expend moneys from any appropriation for the operation of the facility during the fiscal biennium in which the facility is sold or leased or operated under contract.

AB40,97,5 (b) Notwithstanding s. 16.50 (2), the secretary shall disapprove any such estimate for the period during which the facility is not operated by the agency. The secretary may then require the use of the amounts of any disapproved expenditure estimates for the purpose of purchase of contractual services from the facility or payment of the costs of purchasing services that were provided by the facility from an alternative source. If the department sells, leases, or contracts for the operation of a facility under this subsection, the secretary may identify any full-time equivalent positions authorized for the agency that was operating the facility the duties of which primarily relate to the management or operation of the facility, and may decrease the authorized full-time equivalent positions for the agency by the number of positions so identified effective on the effective date of the sale, lease, or contract.

AB40,97,13 (c) Notwithstanding s. 20.001 (3) (a) to (c), the secretary may lapse or transfer to the general fund from the unencumbered balance of appropriations to any agency, other than sum sufficient appropriations or appropriations of program revenues to the Board of Regents of the University of Wisconsin System or appropriations of segregated or federal revenues, any amount appropriated to an agency that is determined by the secretary to be allocated for the management or operation of the facility that was sold or leased or operated under contract effective on the effective date of the sale, lease, or contract.

AB40,97,15 (d) The secretary shall report any action taken under this subsection to the cochairpersons of the joint committee on finance.

AB40,129 Section 129. 16.848 (2) (a) of the statutes is repealed.

AB40,130 Section 130. 16.848 (2) (b) of the statutes is repealed.

AB40,131 Section 131. 16.848 (2) (gw) of the statutes is repealed.

AB40,132 Section 132. 16.848 (4) (a) of the statutes is amended to read:

AB40,98,15 16.848 (4) (a) Except as provided in s. 13.48 (14) (e), if there is any outstanding public debt used to finance the acquisition, construction, or improvement of any property that is sold or leased under sub. (1), the department shall deposit a sufficient amount of the net proceeds from the sale or lease of the property in the bond security and redemption fund under s. 18.09 to repay the principal and pay the interest on the debt, and any premium due upon refunding any of the debt. If there is any outstanding public debt used to finance the acquisition, construction, or improvement of any property that is sold or leased under sub. (1), the department shall then provide a sufficient amount of the net proceeds from the sale or lease of the property for the costs of maintaining federal tax law compliance applicable to the debt. If the property was acquired, constructed, or improved with federal financial assistance, the department shall pay to the federal government any of the net proceeds required by federal law. If the property was acquired by gift or grant or acquired with gift or grant funds, the department shall adhere to any restriction governing use of the proceeds. Except as required under ss. 13.48 (14) (e), 20.395 (9) (qd), and 51.06 (6), if there is no such debt outstanding, there are no moneys payable to the federal government, and there is no restriction governing use of the proceeds, and if the net proceeds exceed the amount required to be deposited, paid, or used for another purpose under this paragraph subsection, the department shall use the net proceeds or remaining net proceeds to pay principal and interest costs on other outstanding public debt.

AB40,133 Section 133. 16.848 (4) (b) 1. of the statutes is repealed and recreated to read:

AB40,98,19 16.848 (4) (b) 1. To the extent that debt service on the property being sold or leased was paid from a segregated fund, other outstanding public debt related to that segregated fund should be redeemed.

AB40,134 Section 134. 16.848 (4) (b) 2. of the statutes is repealed.

AB40,135 Section 135. 16.848 (4) (b) 3. of the statutes is amended to read:

AB40,98,25 16.848 (4) (b) 3. The extent to which general obligation debt that was issued to acquire, build, or improve the property being sold or leased is subject to current optional redemption, would require establishment of an escrow, or could be assigned for accounting purposes to another statutory bond purpose.

AB40,136 Section 136. 16.848 (4) (b) 5. of the statutes is amended to read:

AB40,99,3 16.848 (4) (b) 5. The costs of maintaining federal tax law compliance in the selection of general obligation debt to be redeemed.

AB40,137 Section 137. 16.848 (4) (c) of the statutes is created to read:

AB40,99,25 16.848 (4) (c) If there are any outstanding revenue obligations, issued pursuant to subch. II of ch. 18, used to finance the acquisition, construction, or improvement of any property that is sold or leased under sub. (1), the department shall deposit a sufficient amount of the net proceeds from the sale or lease of the property in the respective redemption fund provided under s. 18.561 (5) or 18.562 (3) to repay the principal and pay the interest on the revenue obligations, and any premium due upon refunding any of the revenue obligations. If there are any outstanding revenue obligations, issued pursuant to subch. II of ch. 18, used to finance the acquisition, construction, or improvement of any property that is sold or leased under sub. (1), the department shall then provide a sufficient amount of the net proceeds from the sale or lease of the property for the costs of maintaining federal tax law compliance applicable to the revenue obligations. For the purpose of paying principal and interest costs on other outstanding revenue obligations, the secretary may cause outstanding revenue obligations to be called for redemption on or following their optional redemption date, establish one or more escrow accounts to redeem obligations at their optional redemption date, or purchase bonds on the open market. Except as required under ss. 13.48 (14) (e), 20.395 (9) (qd), and 51.06 (6), if the net proceeds exceed the amount required to be deposited, paid, or used for another purpose under this paragraph, the department shall use the net proceeds or remaining net proceeds to pay principal and interest costs on other similar revenue obligations.

AB40,138 Section 138. 16.849 of the statutes is created to read:

AB40,100,5 16.849 Facility design services for state agencies. The department may provide facility design services to agencies, as defined in s. 16.70 (1e). The department may assess a fee to agencies for which the department performs services under this section.