A nonprofit, nonsectarian organization or consortium of such organizations
that wishes to contract with a charter school governing board to operate a charter
school must submit an application to the CSOB in accordance with certain specified
requirements. The CSOB must approve or deny an application within 90 days.

The bill provides that the contract between an authorizing entity and the
independent charter school's governing board must allow the authorizing entity to
charge the governing board a fee. The contract must also allow the charter school
governing board to open additional charter schools if the charter school governed by
the contract is in one of the top two performance categories on DPI's most recent
school accountability report. The bill makes this provision applicable to existing
contracts with independent charter schools as well.
The bill allows a charter school contract to provide for more than one charter
school, and allows a charter school governing board to enter into more than one
contract. The bill allows a school board to prohibit a pupil who resides in the school
district from attending an independent charter school unless the school district's
enrollment is at least 4,000 and at least two schools in the school district are in one
of the lowest performance categories on DPI's most recent school accountability
report.
Under current law, in the 2014-15 school year, DPI pays the operator of an
independent charter school $8,075 for each pupil attending the school. Beginning
in the 2015-16 school year, for each pupil attending an independent charter school
DPI pays the per pupil amount in the previous school year plus the per pupil payment
adjustment. Under the bill, DPI will not begin applying the per pupil payment
adjustment to per pupil payments made to operators of independent charter schools
until the 2017-18 school year.
This bill authorizes the school boards of two or more school districts to enter into
a whole grade sharing agreement that provides for all or a substantial portion of the
pupils in one or more grades in any of the school districts to attend school in one or
more of the other school districts for all or a substantial portion of a school day. A
whole grade sharing agreement must specify all of the following:
1. The term of the agreement.
2. The grade levels affected by the agreement.
3. The per pupil amount that a resident school district pays for a pupil
attending a nonresident school district under the agreement.
4. Which pupils each school board is responsible to transport. A responsible
school board is eligible for state transportation aid for the pupils it transports under
the agreement.
5. Which school board will award graduation diplomas.
6. Which school board is required to maintain pupils records.
A whole grade sharing agreement must be signed by the participating school
boards no later than February 1 in order to be effective for the ensuing school year.
At least 30 days before entering into a whole grade sharing agreement, an interested
school district must hold a public hearing at which the proposed agreement is
described and school district electors may offer comments.
For each of the first five school years after a whole grade sharing agreement
takes effect, DPI must provide additional aid to each participating school district to
ensure that the school district does not receive less state aid than it did before
entering into the agreement. DPI also provides additional aid in the sixth and
seventh years after the agreement takes effect but to a lesser extent.

In general, the bill provides that pupils attending a public school in a
nonresident school district under a whole grade sharing agreement have all the
rights and privileges of resident pupils and are subject to the same rules that govern
resident pupils. The bill also provides that the school district of attendance is the
local educational agency for purposes of providing special education and related
services to children with a disability who are attending a nonresident school district
under a whole grade sharing agreement.
Under current law, DPI provides each school district with per pupil aid in the
amount of $150 multiplied by the average of the number of pupils enrolled in the
school district in the current and two preceding school years. This bill makes the per
pupil aid appropriation a sum certain appropriation and changes the manner in
which per pupil aid is calculated. Under the bill, for each pupil enrolled in a school
district in the current school year, the school district receives per pupil aid equal to
the total amount appropriated for per pupil aid in that fiscal year divided by the total
number of pupils enrolled in all school districts in that school year.
This bill makes school board participation in a cooperative educational service
agency (CESA) optional. Under current law, DPI provides funding to each CESA to
maintain and operate the CESA and to match any federal funding for vocational
education administration. Beginning in the 2015-16 school year, this bill requires
each school board participating in a CESA to pay its proportional share of these costs
to the CESA's board of control.
Currently, under the Special Transfer Program (commonly known as Chapter
220), the state provides aid to school districts to support voluntary efforts by school
districts to reduce racial imbalance. Aid is provided for both interdistrict and
intradistrict pupil transfers. This bill closes the Special Transfer Program to new
pupils. Under the bill, however, any pupil who attended a school under the program
in the 2014-15 school year may continue to participate in the program.
Under current law, a school district required to provide transportation services
to public and private school pupils enrolled in the school district is eligible to receive
pupil transportation aid. The per pupil amount of pupil transportation aid for which
a school district is eligible varies based on how far a pupil is transported.
This bill increases the per pupil transportation aid amount for transporting a
pupil who lives more than 12 miles from his or her school from $275 per school year
to $300 per school year and makes an independent charter school that elects to
provide transportation to pupils attending the charter school eligible for pupil
transportation aid.
Under current law, DPI provides additional transportation aid to school
districts with per member transportation costs that exceed 150 percent of the state
average per member transportation costs (high cost transportation aid). Under this
bill, a school district is eligible for high cost transportation aid only if the school
district has a membership density of 50 members per square mile or less.
Under current law, a school district is eligible to receive sparsity aid if in the
previous school year 1) the school district's membership was no more than 725; 2) at
least 20 percent of the school district's membership was eligible for a free or
reduced-price lunch under the National School Lunch Program; and 3) the school

district's membership divided by the school district's area in square miles was less
than ten. This bill eliminates the requirement that at least 20 percent of the school
district's membership was eligible for a free or reduced-price lunch.
Under current law, the amount by which a school district's equalization aid is
adjusted due to a net number of pupils leaving or entering the school district under
full-time open enrollment (OEP per pupil payment) is determined by DPI based on
the OEP per pupil payment in the previous year. Under current law, beginning in
the 2015-16 school year, the OEP per pupil payment is the OEP per pupil payment
in the previous year plus the per pupil payment adjustment. This bill delays the per
pupil payment adjustment until the 2017-18 school year.
Current law requires the State Superintendent of Public Instruction (state
superintendent) to approve examinations for measuring pupil attainment of
knowledge and concepts in the 4th, 8th, 9th, 10th, and 11th grades. With certain
exceptions, current law requires school districts, private schools participating in a
parental choice program (PCP), and independent charter schools to administer the
examination approved for each grade by the state superintendent. This bill prohibits
the state superintendent from approving examinations developed by the Smarter
Balanced Assessment Consortium. Current law requires these schools to administer
the ninth grade examination once in the fall session and once in the spring session.
This bill eliminates the requirement to administer the ninth grade examination in
the fall session.
This bill requires the UW-Madison Value-Added Research Center (VARC) to
approve at least three but no more than five alternative examinations determined
to be acceptable for statistical comparison with the examination approved by the
state superintendent. Beginning in the 2015-16 school year, a school may
administer an alternative examination approved by VARC instead of the
examination approved by the state superintendent if the school notifies the state
superintendent that it intends to do so.
Current law requires DPI to annually prepare accountability reports that
evaluate the performance and improvement of each school and school district in the
state and, beginning in the 2015-16 school year, of each private school participating
in a PCP and independent charter school. DPI must place each school and school
district into one of five performance categories based on certain measures including
pupil achievement in reading and mathematics.
This bill replaces the performance categories with letter grades and makes
changes to the measures used to determine school performance and school district
improvement. Under the bill, in determining a school's performance or a school
district's improvement, DPI must take into account the percentage of economically
disadvantaged pupils enrolled in the school or school district and the length of time
a pupil was enrolled in the school or school district. Each school must provide a copy
of the school's accountability report to the parent or guardian of each pupil enrolled
in the school.
Current law requires each school district, private school participating in a PCP,
and independent charter school to adopt pupil academic standards, and permits the
schools to adopt academic standards approved by the state superintendent. The

state superintendent has adopted academic standards, in mathematics and in
English and language arts, developed by the Common Core State Standards
Initiative (common core standards). This bill prohibits the state superintendent
from giving effect to any common core standards currently in effect, and prohibits the
state superintendent from adopting or implementing any new common core
standards. The bill also prohibits the state superintendent from requiring a school
district to adopt or implement any common core standard.
This bill requires each school board to annually provide to the parent or
guardian of each child who resides within the school district of the educational
options available to that child, and to post this information on the school district's
Internet site. The bill requires the state superintendent to provide this same
information, on a statewide basis, on DPI's Internet site.
This bill directs DPI to grant a teaching license to any individual who has a
bachelor's degree, demonstrates that he or she is proficient in the licensed subject,
and has relevant experience in the licensed subject. The license authorizes the
individual to teach only the license subject in grades 6 to 12. The license is valid for
three years and may be renewed.
University of Wisconsin System Authority
Current law creates a system of institutions of learning known as the UW
System and specifies a mission and purposes for the system. The UW System is
governed by the Board of Regents, which consists of the State Superintendent of
Public Instruction, the president of the technical college system, 14 citizen members
with seven-year terms, and two students with two-year terms. The latter 16
members are nominated by the governor and appointed with the advice and consent
of the senate. There is a shared, hierarchical system of governance for the UW
System: the Board of Regents has primary responsibility, followed by the UW
System president, institution chancellors, faculty, academic staff, and students.
Three boards and one council are created in or attached to the UW System: the
Environmental Education Board, the Laboratory of Hygiene Board, the Veterinary
Diagnostic Laboratory Board, and the Rural Health Development Council.
Effective July 1, 2016, this bill converts the UW System to an authority called
the University of Wisconsin System Authority (UWSA) by creating a system of
higher education known by the same name, UW System, which is provided by
UWSA. The bill creates a governing board for UWSA that retains the name, Board
of Regents, and has the same members who are appointed in the same manner and
for the same terms as under current law. The bill allows the members of the Board
of Regents under current law to continue to serve until the expiration of their terms.
The bill eliminates the shared, hierarchical system of governance under current law
by vesting responsibility for governing the UW System in the UWSA Board of
Regents and eliminating the powers specified under current law for the UW System
president, chancellors, faculty, academic staff, and students. The bill specifies that
the mission of the UW System includes developing human resources to meet the
state's workforce needs, and requires the UWSA Board of Regents to provide
affordable access to high-quality postsecondary, graduate, and doctoral education.

The bill eliminates specified grants of power to the Board of Regents under
current law, and specifies that the UWSA Board of Regents has all powers necessary
or convenient to operate the UW System, including the power to sue and be sued,
have perpetual existence, execute contracts, and contract for legal services. The bill
generally allows the UWSA Board of Regents of UWSA to adopt policies and
procedures for matters without promulgating rules under procedures that apply to
state agencies. However, the bill requires the UWSA Board of Regents to promulgate
rules under those procedures for protecting the lives, health, and safety of persons
on property under its jurisdiction, as well as for managing such property. The UWSA
Board of Regents retains the police power of the Board of Regents under current law
and campus police have the same duties and powers as under current law. As under
current law, the bill allows the UWSA Board of Regents to authorize chancellors to
adopt parking rules that are not subject to state agency rule-making procedures.
The bill requires the UWSA Board of Regents to enter into an agreement with
the DOA secretary to lease for a period of not more than 75 years any state-owned
property or facilities required for the UWSA Board of Regents to perform its duties
and exercise its powers. The lease agreement must contain specified provisions,
including provisions that do the following: 1) give the state ownership of
improvements or modifications made to property or facilities subject to the lease
agreement; 2) give the state ownership of any facility that the UWSA Board of
Regents constructs on state-owned land; 3) require the UWSA Board of Regents to
obtain building commission approval for any construction or renovation project
costing at least $760,000 and involving a state-owned facility or occurring on
state-owned land; 4) require UWSA to make debt payments for self-amortizing
university facilities; and 5) make the UWSA Board of Regents responsible for
maintenance and upkeep of facilities and property. The lease agreement and any
modifications, extensions, or renewals may take effect only upon approval by JCF.
The bill requires the UWSA Board of Regents to appoint a president who is chief
executive officer of UWSA, as well as the following, who are appointed by the Board
of Regents under current law: the state geologist, state cartographer, and director
of the psychiatric institute. The bill allows the UWSA Board of Regents to employ
agents and employees whom the board finds necessary and requires the UWSA
Board of Regents to develop and implement a personnel system and other
employment policies. The bill transfers all UW System employees under current law
to UWSA, except those who perform duties related to the Veterinary Diagnostic
Laboratory and the State Laboratory of Hygiene. The bill transfers those
laboratories and their employees to DATCP, and specifies that the employees are not
required to serve a probationary period. The bill requires the DATCP secretary to
appoint the directors of those laboratories, but allows the directors appointed under
current law to continue to serve until their appointments expire. The bill specifies
that UW System employees who are transferred to UWSA are eligible to transfer
back to a position in state government any time before July 1, 2017.
The bill requires the UWSA Board of Regents to establish an annual budget and
monitor fiscal management of UWSA. The bill allows the UWSA Board of Regents
to issue bonds that are not public debt and specifies that the state pledges that,

unless bondholders are adequately protected, the state will not limit or alter any
rights before UWSA satisfies the bonds. The bill eliminates all appropriations to the
UW System under current law, except general purpose revenues for educational
programs and the payment of certain construction debt. The bill requires the DOA
secretary to make quarterly payments to UWSA of the general purpose revenues
appropriated for educational programs. However, the secretary is allowed to make
the payments only if UWSA has made payments due on the lease agreement
described above, payments required for municipal services, and any other payments
for obligations otherwise due to the state. In fiscal year 2017-18, the bill allocates
$753,533,000 from state sales tax revenue for the educational programs. In each
fiscal year thereafter, the bill allocates the same amount with adjustments for
inflation.
The bill generally maintains requirements under current law regarding tuition
and tuition remissions. In academic years 2015-16 and 2016-17, the bill prohibits
increases in resident undergraduate tuition above that charged in the 2014-15
academic year. The bill transfers responsibility for Minnesota-Wisconsin tuition
reciprocity agreements from the Higher Educational Aids Board to the UWSA Board
of Regents, which may continue such agreements at its discretion.
The bill specifies requirements for legal proceedings involving UWSA. Under
current law, no one may sue a state officer, employee, or agent who is acting in his
or her official capacity for damages unless the person serves the attorney general
with a written notice of claim within 120 days of the event that allegedly caused the
damages. The bill applies that prohibition to actions against a UWSA officer or
employee. However, the prohibition does not apply to actions by the state against
UWSA officers and employees. Current law generally limits damages in a case
against a state officer, employee, or agent who is acting in his or her official capacity
to $250,000. The bill applies that limit to actions, including those by the state,
against a UWSA officer or employee. Current law generally provides that, if a public
officer or a state employee is sued in an official capacity or for actions undertaken
within the scope of his or her employment, the state or political subdivision that
employs the officer or employee must provide legal counsel to the defendant or cover
legal costs for the defendant. If damages are assessed against the officer or employee,
the state or political subdivision must pay any damages in excess of applicable
insurance. The bill applies those duties to UWSA regarding its officers and
employees. Under current law, DOJ represents the state, state agencies, and state
employees in certain legal proceedings, reviews, and actions. The bill requires DOJ
to do the same for UWSA and its officials, employees, and agents, unless the state
and the UWSA Board of Regents are adverse parties.
The bill eliminates requirements that apply to the UW System and Board of
Regents under current law, including requirements regarding the following: faculty
tenure and probationary appointments; academic staff appointments; accumulation
of sick leave; specified educational programs and studies; graduate student financial
aid; recruiting programs for minority and disadvantaged students; public
broadcasting; application and parking fees; student fee statements; gifts, grants, and
bequests to the UW System; transportation planning; orientation information on

sexual assault and harassment; student identification numbers; Downer Woods
preservation; criteria for use of animals in research; information technology; support
for medical practice in underserved areas; a rural physician residency assistance
program; loan assistance programs for physicians, dentists, and other health care
providers; and various legislative reports.
The bill makes other changes, including the following:
1. The bill allows the UWSA Board of Regents to acquire property by
condemnation in the same manner as the Board of Regents under current law.
2. Under current law, employees of the UW System, except faculty and
academic staff, may collectively bargain under the State Employment Labor
Relations Act (SELRA). Under SELRA, the legislature must adopt collective
bargaining agreements covering the employees before the agreements may be
executed. Under this bill, UWSA employees, except faculty, academic staff, and law
enforcement officers, may collectively bargain under the Municipal Employment
Relations Act (MERA), and collective bargaining agreements under MERA are not
subject to legislative approval.
3. The bill allows the UWSA Board of Regents, with DOA approval, to opt in
or out of the state's risk management program administered by DOA, except for the
state worker's compensation program.
4. Under current law, the UW System is subject to state procurement
requirements applicable to state agencies. Under this bill, UWSA is not subject to
those requirements. Instead, UWSA is treated like a municipality, which allows
DOA to enter into cooperative purchasing agreements with UWSA.
5. The bill requires the UWSA Board of Regents members to file annual
statements of economic interest required for public officials, subjects specified
UWSA officials to the ethics code for public officials, and requires the UWSA Board
of Regents to establish an ethics code for other personnel.
6. The bill specifies that UWSA retains the income, sales, and property tax
exemptions of the UW System under current law and requires UWSA to make
payments for municipal services in the same manner as the UW System under
current law.
7. The bill creates an exception to the open records law for information
produced or collected by or for UWSA faculty or staff with respect to commercial,
scientific, or technical research until that information is publicly disseminated or
patented.
8. The bill specifies that the UW-Extension programs in counties are subject
to the approval of the UWSA Board of Regents.
9. The bill eliminates the Environmental Education Board and the Rural
Health Development Council.
See also STATE GOVERNMENT — Other state government.
Higher education
Current law requires the TCS Board to submit a plan to JCF for allocating
general state aid to technical college districts based on performance with respect to
specified criteria. Upon approval of the plan by JCF, the TCS Board must allocate
the general state aid among the districts so that, by fiscal year 2016-17, 30 percent

of the aid is allocated according to the plan and 70 percent is allocated according to
a formula for equalizing the aid based on district property values. However, in fiscal
year 2017-18, all of the aid must be allocated according to the equalization formula.
Under this bill, the TCS Board must allocate aid as follows: in fiscal year
2017-18, 40 percent according to the plan and 60 percent according to the
equalization formula; in fiscal year year 2018-19, 50 percent according to the plan
and 50 percent according to the equalization formula; and, in fiscal year 2019-20 and
thereafter, 100 percent according to the plan. The bill also adds, as another criterion
for performance-based allocation of aid, the development and implementation of a
policy to award course credit for educational experience or training not obtained
through an educational institution.
Under current law, the TCS Board establishes technical college program fees
and must generally establish uniform fees for all technical college districts based on
operational costs. Under this bill, the TCS Board may not increase program fees for
courses substantially related to high-demand fields, as determined by DWD.
This bill allows technical college districts to join together to jointly: provide
health care benefits to their officers and employees on a self-insured basis; procure
stop loss insurance; and self-insure stop loss risk.
Other educational and cultural agencies
This bill eliminates the Educational Approval Board (EAB), which under
current law is attached to the TCS Board and inspects and approves certain private
schools (proprietary schools) and regulates persons who solicit students for these
schools. The bill eliminates many current functions of the EAB, transfers or
recreates functions relating to authorizing proprietary schools and student record
preservation to the Department of Financial Institutions and Professional
Standards (created under the bill), and transfers certain consumer protection
functions to DATCP.
Under current law, if a proposed state agency, political subdivision, or school
board action will affect a historic property, the state historic preservation officer,
which is the director of the State Historical Society or the director's designee, must
determine whether the proposed action will have an adverse effect on the historic
property. This bill allows a state agency, political subdivision, or school board to
appeal determinations of the historic preservation officer to DOA's Division of
Hearings and Appeals.
The bill also eliminates certain contract and expenditure requirements
imposed on the Educational Communications Board related to television
programming.
EMINENT DOMAIN
Under both the current state eminent domain law and the federal Uniform
Relocation Assistance and Real Property Acquisition Policies Act of 1970 (the
Uniform Act), a person that exercises eminent domain authority must make certain
relocation assistance payments for items including moving expenses and losses of
personal property, and certain replacement housing payments, which must be in the
manner and amount determined under whichever law applies. Programs and
projects that receive federal financial assistance may be subject to both state

eminent domain law and the Uniform Act, which may differ in terms of the
procedures that apply and the amount of compensation that must be paid for those
payments.
This bill provides that, in the case of a program or project receiving federal
financial assistance, a condemnor must, in addition to any such payment required
to be paid under the state eminent domain law, make any additional payment
required to comply with the Uniform Act.
Employment
Unemployment insurance
Under federal law, a state may require a claimant to submit to a test for the
unlawful use of controlled substances (drug test) as a condition of receiving
unemployment insurance (UI) benefits if the claimant is an individual for whom
suitable work, as defined under a state's UI law, is only available in an occupation
that regularly conducts drug testing, as determined in regulations issued by the
United States Secretary of Labor (federal regulations). As of January 27, 2015, final
federal regulations have not been issued.
This bill requires DWD to establish a program to require claimants who apply
for regular UI benefits to submit to drug tests. The bill requires DWD to determine,
when a claimant applies for regular UI benefits, whether the claimant is an
individual for whom suitable work is only available in an occupation described in the
federal regulations. If DWD determines that the claimant is such an individual,
DWD must conduct a screening on the claimant to determine whether the claimant
should be required to submit to a drug test. If the screening indicates that the
claimant should be required to submit to a drug test, DWD must require the claimant
to submit to such a test.
The bill provides that, if the claimant declines to submit to such a test, the
claimant is ineligible for UI benefits for 52 weeks or until a subsequent claim for
benefits, whichever is later. If the claimant submits to the drug test, but does not test
positive for any controlled substance without a valid prescription, the claimant may
receive UI benefits if otherwise eligible and may not be required to submit to any
further drug test until a subsequent claim for benefits. If the claimant submits to
the drug test and tests positive for one or more controlled substances without a valid
prescription, the bill provides that the claimant is ineligible for UI benefits for 52
weeks or until a subsequent claim for benefits, whichever is later, except that
following the positive test, the claimant may maintain his or her eligibility for UI
benefits by enrolling in a state-sponsored substance abuse treatment program and
undergoing a state-sponsored job skills assessment. The claimant remains eligible
for benefits for each week the claimant is in full compliance with any requirements
of the substance abuse treatment program and job skills assessment.
The bill also requires DWD to promulgate rules to identify occupations for
which drug testing is regularly conducted in this state and to apply the above
provisions for claimants for whom suitable work is only available in one of the
occupations identified by DWD.
In addition, the bill allows an employing unit to voluntarily submit to DWD the
results of a drug test that was conducted on an individual as preemployment

screening or that an individual declined to submit to such a test. If the results of the
test indicate that the individual has tested positive for one or more controlled
substances without a valid prescription, or if the individual declined to submit to
such a test, the bill provides that there is a presumption, rebuttable as provided in
rules promulgated by DWD, that the claimant has failed to accept suitable work
when offered. If the presumption is not rebutted, the claimant is ineligible for UI
benefits as if the claimant had tested positive in or declined to submit to a drug test
conducted by DWD, beginning with the week in which DWD receives the report.
Current law places various conditions upon the receipt of UI benefits, including
that claimants conduct a reasonable search for suitable work and that claimants
accept suitable work when offered. Current law does not define suitable work, but
DWD has defined it by rule to mean work that is reasonable considering the
claimant's training, experience, and duration of unemployment as well as the
availability of jobs in the labor market. This bill specifically requires DWD to define
by rule what constitutes suitable work for claimants, and requires that the rule
specify different levels of suitable work based upon the number of weeks that a
claimant has received benefits in a given benefit year.
Current law establishes penalties for certain violations under the UI law,
including for knowingly making a false statement or representation to obtain UI
benefits, for which the penalty is a fine of not less than $100 nor more than $500 or
imprisonment for not more than 90 days, or both. This bill instead provides that the
penalties for knowingly making a false statement or representation to obtain UI
benefits range from the penalties for a Class A misdemeanor to a Class G felony,
depending on the value of the benefits obtained.
Separate from the criminal penalties described above, under current law, if a
claimant for UI benefits conceals any material fact relating to his or her eligibility
for UI benefits or conceals any of his or her wages or hours worked (act of
concealment), the claimant is ineligible for benefits in an amount ranging from to two
to eight times the claimant's weekly benefit rate and is liable for an additional
administrative penalty in an amount equal to 15 percent of the benefit payments
erroneously paid to the claimant. This bill raises the administrative penalty
described above to an amount equal to 40 percent of the benefit payments
erroneously paid to the claimant.
Worker's compensation
Under current law, DWD performs certain administrative functions relating to
worker's compensation. Those administrative functions include enforcement of the
requirement that employers are insured for their worker's compensation liability;
granting exemptions from that duty to insure to self-insured employers; and
administering certain funds, from which DWD pays benefits to the injured
employees of insolvent self-insured employers, the injured employees of uninsured
employers, and certain injured employees with permanent total disability. This bill
transfers the administrative functions of DWD relating to worker's compensation to
OCI.
Under current law, DWD performs certain adjudicatory functions relating to
worker's compensation. Those adjudicatory functions include adjudicating disputed

worker's compensation claims, adjudicating health care fee disputes, and
adjudicating necessity of treatment disputes. This bill transfers adjudication of
disputed worker's compensation claims to the Division of Hearings and Appeals in
DOA (DHA) and adjudication of fee and necessity of treatment disputes to OCI. The
bill also permits DHA to record testimony by electronic means rather then by a
stenographer and to provide notices by electronic delivery in addition to providing
notices by mail.
Under current law, an injured employee who is receiving the maximum weekly
worker's compensation benefit for total disability resulting from an injury that
occurred before January 1, 2001, is entitled to receive certain supplemental benefits
in addition to the employee's regular benefits. Those supplemental benefits are
payable in the first instance by the employer or insurer, but the employer or insurer
then is entitled to reimbursement for those supplemental benefits paid from the
work injury supplemental benefit (WISB) fund, which is a fund that, among other
things, is used to pay supplemental worker's compensation to injured employees
with permanent total disability.
This bill terminates reimbursement from the WISB fund for supplemental
benefits paid by an employer or insurer beginning on the effective date of the bill and
terminates reimbursement altogether for supplemental benefits paid for an injury
that occurs on or after January 1, 2016. For supplemental benefits paid by an insurer
for an injury that occurs before January 1, 2016, the bill provides that
reimbursement of those benefits is from the worker's compensation operations fund
and not from the WISB fund.
Under current law, if an employee of an employer that is not insured for
worker's compensation (uninsured employer) suffers an injury for which the
uninsured employer is liable, DWD, from the uninsured employers fund, or, if DWD
obtains excess or stop-loss reinsurance from a reinsurer, the reinsurer pays benefits
to the injured employee that are equal to the worker's compensation owed by the
uninsured employer.
This bill requires DWD to pay a claim of an employee of an uninsured employer
in excess of $1,000,000 from the uninsured employers fund in the first instance, but
provides that if the claim is not covered by excess or stop-loss reinsurance, the
secretary of administration annually must transfer from the worker's compensation
operations fund to the uninsured employers fund an amount equal to the amount by
which payments from the uninsured employers fund on all such claims in the prior
year are in excess of $1,000,000 per claim, subject to a $500,000 annual limit on the
amount that the secretary of administration may transfer.
Currently, a student of a public school or a private school who is performing
services for an employer as part of a school work training, work experience, or work
study program is considered to be an employee of a school district or private school
that elects to name the student as an employee for purposes of worker's
compensation coverage. This bill extends that coverage to a student of an institution
of higher education who is performing those services and who is named as an
employee by the institution.

Job training
Under current law, DWD awards workforce training grants, commonly referred
to as "Fast Forward grants," to public and private organizations for the training of
unemployed and underemployed workers and of incumbent employees of businesses
in this state. This bill permits an organization that is awarded a Fast Forward grant
to use the grant for the hiring and training of apprentices.
Current law requires DPI to award career and technical education incentive
grants to school districts in the amount of $1,000 per each pupil who, in the prior
school year, obtained a diploma and successfully completed an industry-recognized
certification program approved by DPI. This bill eliminates that grant program and
instead permits DWD to provide grants to school districts for the development of
programs that are designed to mitigate workforce shortages in industries and
occupations that are experiencing a workforce shortage, as determined by DWD, and
to assist pupils in graduating with industry-recognized certifications in those
industries and occupations.
Environment
Hazardous substances and environmental cleanup
Under current law, DNR administers a program to reimburse owners of certain
petroleum product storage tanks for a portion of the costs of cleaning up discharges
from those tanks. This program is commonly known as PECFA.
Under this bill, a person is not eligible for PECFA reimbursement for costs of
cleaning up a discharge if the person does not notify DNR of the potential for
submitting a PECFA claim before February 3, 2015. Also under the bill, a person is
not eligible for PECFA reimbursement for clean-up costs if the person does not
submit a PECFA claim for those costs before July 1, 2017.
Water quality
Under the environmental improvement fund, this state provides financial
assistance to local governmental units through three programs: the clean water fund
program provides financial assistance for projects to control water pollution, such as
sewage treatment plants; the safe drinking water loan program provides financial
assistance for projects to construct or modify public water systems that help comply
with national drinking water regulations; and the land recycling loan program
provides financial assistance for projects to clean up contaminated land. The
environmental improvement fund is jointly administered by DOA and DNR.
Financial assistance is typically provided as a loan at a subsidized rate.
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