AB40,62 22Section 62. 16.287 (2) (e) of the statutes is amended to read:
AB40,75,323 16.287 (2) (e) If a business refuses to provide the department with sufficient
24information to enable it to conduct an investigation under par. (b) or if the business
25does not qualify for certification under par. (b), (c) or (d), the department shall deny

1the application. A business whose application is denied may, within 30 days after
2the date of the denial, appeal in writing to the secretary. The secretary shall enter
3his or her final decision within 30 days after receiving the appeal.
AB40,63 4Section 63. 16.309 (title) of the statutes is amended to read:
AB40,75,5 516.309 (title) Community development block grant housing programs.
AB40,64 6Section 64. 16.309 (1) of the statutes is amended to read:
AB40,75,107 16.309 (1) The department may administer housing programs, including the
8housing improvement grant program and, the initial rehabilitation grant program,
9the community development grant program, and the revolving loan fund program,
10that are funded by a community development block grant, 42 USC 5301 to 5320.
AB40,65 11Section 65. 16.310 (5) of the statutes is amended to read:
AB40,75,1512 16.310 (5) Nonapplication. This section does not apply to property that is
13authorized to be sold under or leased or property that is operated under contract as
14provided in
s. 16.848 while an offer of sale, sale, or lease agreement is pending or
15while the property is leased or under contractual operation
.
AB40,66 16Section 66. 16.505 (4) (b) of the statutes is amended to read:
AB40,75,2017 16.505 (4) (b) Except as provided in par. (c), no No agency may change the
18funding source for a position authorized under this section unless the position is
19authorized to be created under a different funding source in accordance with this
20section.
AB40,67 21Section 67. 16.505 (4) (c) of the statutes is repealed.
AB40,68 22Section 68. 16.70 (2) of the statutes is amended to read:
AB40,75,2423 16.70 (2) "Authority" means a body created under subch. II of ch. 114 or subch.
24III of ch. 149 or under ch. 231, 232, 233, 234, 237, 238, or 279.
AB40,69 25Section 69. 16.70 (2j) of the statutes is created to read:
AB40,76,2
116.70 (2j) "Commodity" means materials, supplies, or equipment, but does not
2include a service.
AB40,70 3Section 70. 16.70 (3) of the statutes is amended to read:
AB40,76,84 16.70 (3) "Contractual services" includes all services, materials to be furnished
5by a service provider in connection with services, and any limited trades work
6involving less than $30,000 to be done for or furnished to the state or any agency, but
7does not include maintenance or support that is incidental to the purchase of a
8commodity
.
AB40,71 9Section 71. 16.70 (3j) of the statutes is created to read:
AB40,76,1210 16.70 (3j) "Delegated agency" means an agency that has a designated
11purchasing agent to whom the department has delegated the authority to purchase
12under s. 16.71 (1).
AB40,72 13Section 72. 16.70 (8) of the statutes is amended to read:
AB40,76,1714 16.70 (8) "Municipality" means a county, city, village, town, school district,
15board of school directors, sewer district, drainage district, technical college district,
16authority,
or any other public or quasi-public corporation, officer, board or other body
17having the authority to award public contracts.
AB40,73 18Section 73. 16.70 (13m) of the statutes is created to read:
AB40,76,2119 16.70 (13m) "Standard specification" means a requirement or qualification
20that is chemical, physical, or both chemical and physical that describes the
21commodity or service to be purchased but is not a trade name.
AB40,74 22Section 74. 16.701 (title) of the statutes is amended to read:
AB40,76,23 2316.701 (title) Subscription service and procurement system.
AB40,75 24Section 75. 16.701 (1m) of the statutes is created to read:
AB40,77,7
116.701 (1m) The department may provide an electronic procurement system
2to manage all aspects of procurement under this subchapter. The electronic
3procurement system may supplement or supplant the subscription service under
4sub. (1). If the department provides an electronic procurement system under this
5subsection, the department may require that an agency use the system. The
6department may assess agencies and vendors for the costs of the system under this
7subsection in accordance with a method the department develops.
AB40,76 8Section 76. 16.701 (2) of the statutes is amended to read:
AB40,77,139 16.701 (2) The department may permit prospective vendors to provide product
10or service information through the service established under sub. (1) or through the
11system provided under sub. (1m)
. The department may prescribe fees or establish
12fees through a competitive process for the use of the service or system under this
13subsection.
AB40,77 14Section 77. 16.7015 of the statutes is amended to read:
AB40,78,3 1516.7015 Bidders list. The department may maintain a bidders list. Any
16agency to which the department delegates purchasing authority under s. 16.71 (1)
17may maintain a bidders list if authorized by the delegation.
The bidders list shall
18include the names and addresses of all persons who request to be notified of bids or
19competitive sealed proposals, excluding those to be awarded under s. 16.75 (1) (c) or
20(2m) (c), that are solicited by the department or other delegated agency for the
21procurement of materials, supplies, equipment, or contractual services under this
22subchapter. Any bidders list maintained by the department may include the names
23and addresses of any person who requests to be notified of bids or competitive sealed
24proposals that are solicited by any agency. The department or other delegated
25agency shall notify each person on its the bidders list of all bids or competitive sealed

1proposals that are solicited by the department or other delegated agency. The
2department or other agency may remove any person from its the bidders list for
3cause.
AB40,78 4Section 78. 16.705 (1) of the statutes is amended to read:
AB40,78,85 16.705 (1) The department or its agents a delegated agency may contract for
6services which can be performed more economically or efficiently by such contract.
7The department shall, by rule, prescribe uniform procedures for determining
8whether services are appropriate for contracting under this subsection.
AB40,79 9Section 79. 16.705 (1b) (intro.) and (c) of the statutes are created to read:
AB40,78,1110 16.705 (1b) (intro.) The determinations under sub. (1) do not apply to a contract
11entered into by any of the following:
AB40,78,1212 (c) The department under s. 16.848 (1).
AB40,80 13Section 80. 16.705 (1m) of the statutes is renumbered 16.705 (1b) (a) and
14amended to read:
AB40,78,1615 16.705 (1b) (a) Subsection (1) does not apply to contracts entered into by the
16The service award board under s. 16.25 (4) (b).
AB40,81 17Section 81. 16.705 (1n) of the statutes, as affected by 2011 Wisconsin Act 266,
18is renumbered 16.705 (1b) (b) and amended to read:
AB40,78,2119 16.705 (1b) (b) Subsection (1) does not apply to a contract entered into by the
20The department of corrections for global positioning system tracking services under
21s. 301.48 (3) or 301.49.
AB40,82 22Section 82. 16.705 (1r) (intro.) of the statutes is amended to read:
AB40,79,323 16.705 (1r) (intro.) Notwithstanding s. 16.75 (2m) and (3m), and except as
24provided in s. 16.75 (2) (b) and (7), the department and its agents or a delegated
25agency
may purchase contractual services only if those services are performed

1within the United States, which, notwithstanding s. 990.01 (40) and (44), includes
2only the 50 states and the District of Columbia
. This requirement does not apply to
3any of the following:
AB40,83 4Section 83. 16.705 (2) of the statutes, as affected by 2011 Wisconsin Act 32,
5is renumbered 16.705 (2) (a) and amended to read:
AB40,79,176 16.705 (2) (a) The department shall promulgate rules for the procurement of
7contractual services by the department and its designated agents or a delegated
8agency
, including but not limited to rules prescribing approval and monitoring
9processes for contractual service contracts,; except as provided in par. (b), a
10requirement for agencies, except for the University of Wisconsin System, to conduct
11a uniform cost-benefit analysis of each proposed contractual service procurement
12involving an estimated expenditure of more than $25,000 $50,000 in accordance with
13standards prescribed in the rules,; and, except as provided in par. (b), a requirement
14for agencies, except for the University of Wisconsin System, to review periodically,
15and before any renewal, the continued appropriateness of contracting under each
16contractual services agreement involving an estimated expenditure of more than
17$25,000 $50,000.
AB40,80,2 18(c) Each officer requesting approval to engage any person to perform
19contractual services shall submit to the department written justification for such
20contracting which shall include a description of the contractual services to be
21procured, justification of need, justification for not contracting with other agencies,
22a specific description of the scope of contractual services to be performed, and
23justification for the procurement process if a process other than competitive bidding
24is to be used. The department may not approve any contract for contractual services

1unless it is satisfied that the justification for contracting conforms to the
2requirements of this section and ss. 16.71 to 16.77.
AB40,84 3Section 84. 16.705 (2) (b) of the statutes is created to read:
AB40,80,54 16.705 (2) (b) A cost-benefit analysis or continued appropriateness review is
5not required for the following services:
AB40,80,66 1. Services that federal or state law requires to be performed by contract.
AB40,80,77 2. Services that are incidental to the purchase of a commodity.
AB40,80,98 3. Services that must be provided per a contract, license, or warranty, by the
9original equipment manufacturer or publisher.
AB40,80,1110 4. Services that cannot be performed by state employees because the state lacks
11the required infrastructure.
AB40,80,1212 5. Services that are expected to be completed within 12 months.
AB40,80,1413 6. Web-based software application services that are delivered and managed
14remotely.
AB40,85 15Section 85. 16.705 (9) of the statutes is amended to read:
AB40,81,216 16.705 (9) The department shall maintain a list of persons that are or have
17been a party to a contract with the state under this subchapter who have violated a
18provision of this subchapter or a contract under this subchapter or who have been
19debarred from contracting with the federal government or any agency
. The parties
20on the list are ineligible for state contracts and no state contract may be awarded to
21a party on the ineligible list. The department may remove any party from the
22ineligible list if the department determines that the party's practices comply with
23this subchapter and provide the party provides adequate safeguards against future
24violations of this subchapter or contracts under this subchapter or, if the person was

1on the list due to debarment, the person is no longer debarred. The department shall
2promulgate rules that provide procedures to implement this subsection
.
AB40,86 3Section 86. 16.71 (3) of the statutes is amended to read:
AB40,81,94 16.71 (3) If The department, department of revenue, or delegated agency shall
5comply with the requirements under s. 565.25 if
the department makes or delegates
6to the department of revenue or to any other designated purchasing agent under sub.
7(1)
delegated agency the authority to make a major procurement, as defined in s.
8565.01 (4), for the department of revenue, the department, department of revenue,
9or designated purchasing agent shall comply with the requirements under s. 565.25
.
AB40,87 10Section 87 . 16.72 (2) (a) of the statutes is renumbered 16.72 (2) (a) 1. and
11amended to read:
AB40,81,1912 16.72 (2) (a) 1. The department shall prepare standard specifications, as far as
13possible, for all state purchases. By "standard specifications" is meant a
14specification, either chemical or physical or both, prepared to describe in detail the
15article which the state desires to purchase, and trade names shall not be used

16statewide except those purchases under subd. 2. On the formulation, adoption and
17modification of any standard specifications, the department of administration shall
18also seek and be accorded without cost, the assistance, advice, and cooperation of
19other agencies and officers.
AB40,81,22 203. Each specification adopted under subd. 1. or 2. for any commodity purchase
21shall, insofar as possible, satisfy the requirements of any and all agencies which use
22it in common.
AB40,88 23Section 88. 16.72 (2) (a) 2. of the statutes is created to read:
AB40,81,2524 16.72 (2) (a) 2. Delegated agencies shall adopt standard specifications for all
25delegated purchases.
AB40,89
1Section 89. 16.72 (2) (b) of the statutes is amended to read:
AB40,82,122 16.72 (2) (b) Except as provided in ss. 16.25 (4) (b), 16.751, and 565.25 (2) (a)
34., the department or delegated agency shall prepare or review specifications for all
4materials, supplies, equipment, other permanent personal property and contractual
5services not purchased under standard specifications. Such "nonstandard
6specifications" may be generic or performance specifications, or both, prepared to
7describe in detail the article which the state desires to purchase either by its physical
8properties or by its programmatic utility. When appropriate for such nonstandard
9items or services, trade names may be used to identify what the state department or
10delegated agency
requires, but wherever possible 2 or more trade names shall be
11designated and the trade name of any Wisconsin producer, distributor or supplier
12shall appear first.
AB40,90 13Section 90. 16.72 (2) (c) of the statutes is amended to read:
AB40,82,1614 16.72 (2) (c) To the extent possible, the department or delegated agency shall
15write specifications so as to permit the purchase of materials manufactured in the
16United States, as defined in s. 16.754 (1) (b).
AB40,91 17Section 91. 16.72 (2) (e) (intro.) of the statutes is amended to read:
AB40,83,318 16.72 (2) (e) (intro.) In writing the specifications under this subsection, the
19department and any other designated purchasing agent under s. 16.71 (1) or
20delegated agency
shall incorporate requirements for the purchase of products made
21from recycled materials and recovered materials if their use is technically and
22economically feasible. Each authority other than the University of Wisconsin
23Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, and
24the Health Insurance Risk-Sharing Plan Authority, in writing specifications for
25purchasing by the authority, shall incorporate requirements for the purchase of

1products made from recycled materials and recovered materials if their use is
2technically and economically feasible. The specifications shall include requirements
3for the purchase of the following materials:
AB40,92 4Section 92. 16.72 (2) (f) of the statutes is amended to read:
AB40,83,155 16.72 (2) (f) In writing specifications under this subsection, the department,
6any other designated purchasing agent under s. 16.71 (1) delegated agency, and each
7authority other than the University of Wisconsin Hospitals and Clinics Authority,
8the Lower Fox River Remediation Authority, and the Health Insurance
9Risk-Sharing Plan Authority shall incorporate requirements relating to the
10recyclability and ultimate disposition of products and, wherever possible, shall write
11the specifications so as to minimize the amount of solid waste generated by the state,
12consistent with the priorities established under s. 287.05 (12). All specifications
13under this subsection shall discourage the purchase of single-use, disposable
14products and require, whenever practical, the purchase of multiple-use, durable
15products.
AB40,93 16Section 93. 16.72 (4) (a) of the statutes is amended to read:
AB40,84,417 16.72 (4) (a) Except as provided in ss. 16.71 and 16.74 or as otherwise provided
18in this subchapter and the rules promulgated under s. 16.74 and this subchapter, all
19supplies, materials, equipment, and contractual services shall be purchased for and
20furnished to any agency
only upon requisition to the department. The department
21shall prescribe the form, contents, number, and disposition of requisitions and shall
22promulgate rules as to time and manner of submitting such requisitions for
23processing. No Except as provided in ss. 16.71 and 16.74 or as otherwise provided
24in this subchapter and the rules promulgated under s. 16.74 and this subchapter, no

25agency or officer may engage any person to perform contractual services without the

1specific prior approval of the department for each such engagement. Purchases of
2supplies, materials, equipment, or contractual services by the legislature, the courts,
3or legislative service or judicial branch agencies do not require approval under this
4paragraph.
AB40,94 5Section 94. 16.72 (4m) of the statutes is repealed.
AB40,95 6Section 95. 16.73 (1m) of the statutes is created to read:
AB40,84,87 16.73 (1m) The department or a delegated agency may allow municipalities to
8participate in state procurement solicitations and use any current state contract.
AB40,96 9Section 96. 16.73 (5) of the statutes, as affected by 2011 Wisconsin Act 32, is
10amended to read:
AB40,84,2011 16.73 (5) After the department designates the board of regents of the
12University of Wisconsin System or designates the University of Wisconsin-Madison
13as its purchasing agent for any purpose under s. 16.71 (1) a delegated agency, the
14board or the University of Wisconsin-Madison may enter into a contract to sell any
15materials, supplies, equipment or contractual services purchased by the board or the
16University of Wisconsin-Madison to the University of Wisconsin Hospitals and
17Clinics Authority, and may contract with the University of Wisconsin Hospitals and
18Clinics Authority for the joint purchase of any materials, supplies, equipment or
19contractual services if the sale or purchase is made consistently with that delegation
20and with this subchapter.
AB40,97 21Section 97. 16.75 (1) (a) 1. of the statutes is amended to read:
AB40,85,522 16.75 (1) (a) 1. All orders awarded or contracts made by the department or a
23delegated agency
for all materials, supplies, equipment, and contractual services to
24be provided to any agency, except as otherwise provided in par. (c) and subs. (2), (2g),
25(2m), (3m), (3t), (6), (7), (8), (9), (10e), and (10m) and ss. 16.705 (1r), 16.73 (4) (a),

116.751, 16.754, 16.964 (8), 50.05 (7) (f), 153.05 (2m) (a), 165.987, and 287.15 (7), shall
2be awarded to the lowest responsible bidder, taking into consideration life cycle cost
3estimates under sub. (1m), when appropriate, the location of the agency, the
4quantities of the articles to be supplied, their conformity with the specifications, and
5the purposes for which they are required and the date of delivery.
AB40,98 6Section 98. 16.75 (1) (a) 2. of the statutes is amended to read:
AB40,85,157 16.75 (1) (a) 2. If a vendor is not a Wisconsin producer, distributor, supplier or
8retailer and the department determines that the state, foreign nation or subdivision
9thereof in which the vendor is domiciled grants a preference to vendors domiciled in
10that state, nation or subdivision in making governmental purchases, the
11department, a delegated agency, and any agency making purchases under s. 16.74
12shall give a preference over that vendor to Wisconsin producers, distributors,
13suppliers and retailers, if any, when awarding the order or contract. The department
14may enter into agreements with states, foreign nations and subdivisions thereof for
15the purpose of implementing this subdivision.
AB40,99 16Section 99. 16.75 (1) (b) 1. and 3. of the statutes, as affected by 2011 Wisconsin
17Act 32
, are consolidated, renumbered 16.75 (1) (b) and amended to read:
AB40,86,718 16.75 (1) (b) Except as provided in subd. 2., when When the estimated cost
19exceeds $25,000 $50,000, the department or delegated agency shall invite bids to be
20submitted. 3. If subd. 1. or 2. requires bids are to be solicited, the department or
21delegated agency
either shall solicit sealed bids to be opened publicly at a specified
22date and time, or shall solicit bidding by auction to be conducted electronically at a
23specified date and time. Whenever bids are invited, due notice inviting bids shall be
24published as a class 2 notice, under ch. 985 or posted on the Internet at a site
25determined or approved by the department. The bid opening or auction shall occur

1at least 7 days after the date of the last insertion of the notice or at least 7 days after
2the date of posting on the Internet. The notice shall specify whether sealed bids are
3invited or bids will be accepted by auction, and shall give a clear description of the
4materials, supplies, equipment, or contractual services to be purchased, the amount
5of any bond, share draft, check, or other draft to be submitted as surety with the bid
6or prior to the auction, and the date and time that the public opening or the auction
7will be held.
AB40,100 8Section 100. 16.75 (1) (b) 2. of the statutes, as created by 2011 Wisconsin Act
932
, is repealed.
AB40,101 10Section 101. 16.75 (1) (c) of the statutes is amended to read:
AB40,86,1311 16.75 (1) (c) Except as provided in sub. (7), when the estimated cost is $25,000
12$50,000 or less, the award may be made in accordance with simplified procedures
13established by the department for such transactions.
AB40,102 14Section 102. 16.75 (1m) of the statutes is amended to read:
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