SB468,118,20
18(7) The
corporation department may not distribute a grant unless the
19applicant contributes matching funds equal to 20% of the grant. Matching funds
20may be in the form of cash or in-kind contribution or both.
SB468,373
21Section
373. 238.135 of the statutes is renumbered 555.135 and amended to
22read:
SB468,119,2
23555.135 Grants to regional economic development organizations. The
24corporation department shall award annual grants to regional economic
25development organizations to fund marketing activities. The amount of each grant
1may not exceed $100,000 or the amount of matching funds the organization obtains
2from sources other than
the corporation or the state, whichever is less.
SB468,119,9
5555.14 St. Croix Valley Business Incubator. From the appropriation under
6s.
20.192 20.143 (1) (a), the
corporation department shall make a grant of $250,000
7to the River Falls Economic Development Corporation to construct the St. Croix
8Valley Business Incubator. The
corporation department may award the grant under
9this section only if federal moneys are secured for the same purpose.
SB468,375
10Section
375. 238.145 of the statutes, as created by
2015 Wisconsin Act 55, is
11renumbered 555.145, and 555.145 (1) (a), (2) (a), (b) and (c), (3) (a) and (b), (5) (a) and
12(b) (intro.), 1., 2. and 3. and (6), as renumbered, are amended to read:
SB468,119,1413
555.145
(1) (a) "Eligible recipient" means a person the
corporation department 14certifies under sub. (2) (b) as eligible to receive grants under this section.
SB468,119,16
15(2) (a) The
corporation department shall implement an economic development
16program to award grants under this section.
SB468,119,1917
(b) The
corporation department may certify a person as eligible to receive
18grants under this section as provided in
policies and procedures rules adopted by the
19corporation department under sub. (6).
SB468,119,2120
(c) The
corporation department may not certify a person under par. (b) after
21June 30, 2017.
SB468,119,23
22(3) (a) From the appropriation under s.
20.192 20.143 (1) (a), the
corporation 23department may award up to a total of $500,000 in grants to eligible recipients.
SB468,120,3
1(b) The
corporation department may not award grants totaling more than
2$75,000 to each eligible recipient, and the
corporation department may not award a
3grant of more than $25,000 to an eligible recipient in any year.
SB468,120,8
4(5) (a) The
corporation department shall award grants under this section
5annually, on a competitive basis, based on an eligible recipient's financial need; and,
6subject to the limitations under par. (b), the
corporation department may not take
7into account whether an eligible recipient was previously awarded a grant under this
8section in determining whether to award a grant to the eligible recipient.
SB468,120,109
(b) (intro.) The
corporation department may award no more than 3 annual
10grants to each eligible recipient, as follows:
SB468,120,1211
1. In the first grant year, the
corporation department may contribute up to 75
12percent of the eligible recipient's equipment expenditures under sub. (4).
SB468,120,1413
2. In the 2nd grant year, the
corporation department may contribute up to 50
14percent of the eligible recipient's equipment expenditures under sub. (4).
SB468,120,1615
3. In the 3rd grant year, the
corporation department may contribute up to 25
16percent of the eligible recipient's equipment expenditures under sub. (4).
SB468,120,18
17(6) The
corporation department shall
adopt policies and procedures 18promulgate rules to implement the grant program under this section.
SB468,376
19Section
376. 238.15 of the statutes, as affected by
2015 Wisconsin Act 55, is
20renumbered 555.15, and 555.15 (1) (intro.) and (m) 1. (intro.) and c. and 3., (2) and
21(3) (a), (d) (intro.), 1. and 2. a. and b., (dm), (e) and (f) 1., as renumbered, are amended
22to read:
SB468,121,623
555.15
(1) Angel investment tax credits. (intro.) The
corporation department 24shall implement a program to certify businesses for purposes of s. 71.07 (5d). A
25business desiring certification shall submit an application to the
corporation
1department in each taxable year for which the business desires certification. The
2business shall specify in its application the investment amount it wishes to raise and
3the
corporation department may certify the business and determine the amount that
4qualifies for purposes of s. 71.07 (5d). The
corporation department may certify or
5recertify a business for purposes of s. 71.07 (5d) only if the business satisfies all of
6the following conditions:
SB468,121,147
(m) 1. (intro.) It agrees that it will not relocate outside of this state during the
83 years after it receives an investment for which a person may claim a tax credit
9under s. 71.07 (5d) and agrees to pay the
corporation
department a penalty, in an
10amount determined under subd. 2., if the business relocates outside of this state
11during that 3-year period. For the purposes of this paragraph, except as provided
12in
policies and procedures rules under sub. (3) (dm), a business relocates outside of
13this state when the business locates more than 51 percent of any of the following
14outside of this state:
SB468,121,1615
c. The activities of the business's headquarters, as determined by the
16corporation department.
SB468,121,1917
3. Subdivision 1. does not apply to a business that the
corporation department 18certified for purposes of s. 71.07 (5d) before April 20, 2012, and that, in reliance on
19that certification, executed a note or bond that is convertible to an equity interest.
SB468,122,8
20(2) Early stage seed investment tax credits. The
corporation department 21shall implement a program to certify investment fund managers for purposes of ss.
2271.07 (5b), 71.28 (5b), 71.47 (5b), and 76.638. An investment fund manager desiring
23certification shall submit an application to the
corporation department. The
24investment fund manager shall specify in the application the investment amount
25that the manager wishes to raise and the
corporation
department may certify the
1manager and determine the amount that qualifies for purposes of ss. 71.07 (5b),
271.28 (5b), 71.47 (5b), and 76.638. In determining whether to certify an investment
3fund manager, the
corporation department shall consider the investment fund
4manager's experience in managing venture capital funds, the past performance of
5investment funds managed by the applicant, the expected level of investment in the
6investment fund to be managed by the applicant, and any other relevant factors. The
7corporation department may certify only investment fund managers that commit to
8consider placing investments in businesses certified under sub. (1).
SB468,122,12
9(3) (a)
List of certified businesses and investment fund managers. The
10corporation department shall maintain a list of businesses certified under sub. (1)
11and investment fund managers certified under sub. (2) and shall permit public access
12to the lists through the
corporation's department's Internet Web site.
SB468,123,513
(d)
Administration. (intro.) The
corporation department, in consultation with
14the department of revenue, shall
establish policies and procedures promulgate rules 15to administer this section and shall further define "bona fide angel investment" for
16purposes of s. 71.07 (5d) (a) 1. The aggregate amount of tax credits under s. 71.07
17(5d) that may be claimed for investments in businesses certified under sub. (1) and
18of tax credits under ss. 71.07 (5b), 71.28 (5b), 71.47 (5b), and 76.638 that may be
19claimed for investments paid to fund managers certified under sub. (2) is
20$30,000,000 per calendar year. The
policies and procedures rules shall provide that
21a person who receives a credit under s. 71.07 (5b) or (5d), 71.28 (5b), 71.47 (5b), or
2276.638 must keep the investment in a certified business, or with a certified fund
23manager, for no less than 3 years, unless the person's investment becomes worthless,
24as determined by the
corporation department, during the 3-year period or the person
25has kept the investment for no less than 12 months and a bona fide liquidity event,
1as determined by the
corporation department, occurs during the 3-year period. The
2policies and procedures rules shall permit the
corporation department to reallocate
3credits under this section in any calendar year that are unused in that calendar year
4to a person eligible for tax benefits, as defined under s.
238.30 555.30 (7) (e), if all of
5the following apply:
SB468,123,76
1. The
corporation department notifies the joint committee on finance in
7writing of its proposed reallocation.
SB468,123,118
2. a. The cochairpersons of the joint committee on finance fail to notify the
9corporation department, within 14 working days after the date of the
corporation's 10department's notification under subd. 1., that the committee has scheduled a
11meeting for the purpose of reviewing the proposed reallocation.
SB468,123,1312
b. The cochairpersons of the joint committee on finance notify the
corporation 13department that the committee has approved the proposed reallocation.
SB468,123,1814
(dm) The
corporation's policies and procedures department's rules under this
15subsection shall provide that a business is considered to have not relocated outside
16of this state under sub. (1) (m) 1., regardless of whether the business satisfies sub.
17(1) (m) 1. a. and b., if the
corporation department determines that the business's
18investment and employment levels in this state have not diminished.
SB468,124,319
(e)
Transfer. A person who is eligible to claim a credit under s. 71.07 (5b), 71.28
20(5b), 71.47 (5b), or 76.638 may sell or otherwise transfer the credit to another person
21who is subject to the taxes or fees imposed under s. 71.02, 71.23, 71.47, or subch. III
22of ch. 76, if the person receives prior authorization from the investment fund
23manager and the manager then notifies the
corporation
department and the
24department of revenue of the transfer and submits with the notification a copy of the
25transfer documents. No person may sell or otherwise transfer a credit as provided
1in this paragraph more than once in a 12-month period. The
corporation department 2may charge any person selling or otherwise transferring a credit under this
3paragraph a fee of up to 5 percent of the credit amount sold or transferred.
SB468,124,64
(f) 1. Beginning with December 31, 2014, tax credits that the
corporation 5department has not allocated under this section on or before December 31 of each
6year may not be allocated after that date.
SB468,377
7Section
377. 238.16 of the statutes, as affected by
2015 Wisconsin Act 55, is
8renumbered 555.16, and 555.16 (1) (c) 2. (intro.), (2) (intro.) and (b), (3), (4) (b) 1.
9(intro.) and 2. and (c), (5) (title), (c), (e) and (f) (intro.) and 1. (intro.) and (6), as
10renumbered, are amended to read:
SB468,124,1411
555.16
(1) (c) 2. (intro.) The
corporation department may grant exceptions to
12the requirement under subd. 1. that a full-time job means a position in which an
13individual, as a condition of employment, is required to work at least 2,080 hours per
14year if all of the following apply:
SB468,124,16
15(2) (intro.) The
corporation department may certify a person to receive tax
16benefits under this section if all of the following apply:
SB468,124,1817
(b) The person applies under this section and enters into a contract with the
18corporation department.
SB468,124,25
19(3) Eligibility for tax benefits. (intro.) A person certified under sub. (2) may
20receive tax benefits under this section if, in each year for which the person claims tax
21benefits under this section, the person increases net employment in this state in the
22person's business above the net employment in this state in the person's business
23during the year before the person was certified under sub. (2), as determined by the
24corporation department under its
policies and procedures rules, and one of the
25following applies:
SB468,125,5
1(4) (b) 1. (intro.) The
corporation department may award to a person certified
2under sub. (2) tax benefits for each eligible employee in an amount equal to up to 10
3percent of the wages paid by the person to that employee or $10,000, whichever is
4less, if that employee earned wages in the year for which the tax benefit is claimed
5equal to one of the following:
SB468,125,86
2. The
corporation department may award to a person certified under sub. (2)
7tax benefits in an amount to be determined by the
corporation department for costs
8incurred by the person to undertake the training activities described in sub. (3) (c).
SB468,125,129
(c) Subject to a reallocation by the
corporation
department pursuant to
policies
10and procedures rules adopted under s.
238.15 555.15 (3) (d), the
corporation 11department may allocate up to $10,000,000 in tax benefits under this section in any
12calendar year.
SB468,125,13
13(5) (title)
Duties of the corporation department.
SB468,125,1614
(c) The
corporation department may require a person to repay any tax benefits
15the person claims for a year in which the person failed to maintain employment
16required by an agreement under sub. (2) (b).
SB468,125,1917
(e) The
corporation department shall annually verify the information
18submitted to the
corporation department by the person claiming tax benefits under
19ss. 71.07 (3q), 71.28 (3q), and 71.47 (3q).
SB468,125,2220
(f) (intro.) The
corporation department shall
adopt policies and procedures 21promulgate rules for the implementation and operation of this section, including
22policies and procedures rules relating to the following:
SB468,125,2523
1. (intro.) The definitions of a tier I county or municipality and a tier II county
24or municipality. The
corporation department may consider all of the following
25information when establishing the definitions required under this subdivision:
SB468,126,6
1(6) Sunset. No tax benefits may be awarded under this section after December
231, 2015, unless the tax benefits were allocated to a taxpayer by the
corporation 3Wisconsin Economic Development Corporation under s. 238.16, 2013 stats., in a
4contract that the
corporation Wisconsin Economic Development Corporation 5executed before that date or in a letter of intent to enter into such a contract that the
6corporation issued before that date.
SB468,126,14
9555.17 Historic rehabilitation tax credit. For taxable years beginning
10after December 31, 2013, the
corporation department may certify a person to claim
11a tax credit under s. 71.07 (9m), 71.28 (6), or 71.47 (6), if the
corporation department 12determines that the person is conducting an eligible activity under s. 71.07 (9m),
1371.28 (6), or 71.47 (6). No person may claim a tax credit under s. 71.07 (9m), 71.28
14(6), or 71.47 (6) without first being certified under this section.
SB468,379
15Section
379. 238.23 of the statutes, as affected by
2015 Wisconsin Act 55, is
16renumbered 555.23, and 555.23 (2) (a) and (b), (3) (a) (intro.), (b) (intro.), (c) and (d),
17(4) (a) (intro.) and (b) and (5) (intro.), (e) and (g), as renumbered, are amended to read:
SB468,126,2118
555.23
(2) (a) Except as provided in par. (c), the
corporation department may
19designate up to 8 areas in the state as technology zones. A business that is located
20in a technology zone and that is certified by the
corporation department under sub.
21(3) is eligible for a tax credit as provided in sub. (3).
SB468,127,622
(b) The designation of an area as a technology zone shall be in effect for 10 years
23from the time that the
corporation department first designates the area. Not more
24than $5,000,000 in tax credits may be claimed in a technology zone, except that the
25corporation department may allocate the amount of unallocated airport
1development zone tax credits, as provided under s.
238.3995 555.3995 (3) (b), to
2technology zones for which the $5,000,000 maximum allocation is insufficient. The
3corporation department may change the boundaries of a technology zone during the
4time that its designation is in effect. A change in the boundaries of a technology zone
5does not affect the duration of the designation of the area or the maximum tax credit
6amount that may be claimed in the technology zone.
SB468,127,9
7(3) (a) (intro.) Except as provided in par. (e), the
corporation department may
8certify for tax credits in a technology zone a business that satisfies all of the following
9requirements:
SB468,127,1110
(b) (intro.) In determining whether to certify a business under this subsection,
11the
corporation department shall consider all of the following:
SB468,127,1912
(c) When the
corporation department certifies a business under this
13subsection, the
corporation department shall establish a limit on the amount of tax
14credits that the business may claim. Unless its certification is revoked, and subject
15to the limit on the tax credit amount established by the
corporation department 16under this paragraph, a business that is certified may claim a tax credit for 3 years,
17except that a business that experiences growth, as determined for that business by
18the
corporation department under par. (d) and sub. (5) (e), may claim a tax credit for
19up to 5 years.
SB468,128,220
(d) The
corporation department shall enter into an agreement with a business
21that is certified under this subsection. The agreement shall specify the limit on the
22amount of tax credits that the business may claim, the extent and type of growth,
23which shall be specific to the business, that the business must experience to extend
24its eligibility for a tax credit, the business' baseline against which that growth will
25be measured, any other conditions that the business must satisfy to extend its
1eligibility for a tax credit, and reporting requirements with which the business must
2comply.
SB468,128,4
3(4) (a) (intro.) The
corporation
department shall notify the department of
4revenue of all the following:
SB468,128,75
(b) The
corporation department shall annually verify information submitted
6to the
corporation department under ss. 71.07 (2dm), (2dx), and (3g), 71.28 (1dm),
7(1dx), and (3g), and 71.47 (1dm), (1dx), and (3g).
SB468,128,9
8(5) (intro.) The
corporation department shall adopt rules for the operation of
9this section, including rules related to all the following:
SB468,128,1310
(e) Standards for extending a business's certification, including what
11measures, in addition to job creation, the
corporation
department will use to
12determine the growth of a specific business and how the
corporation department will
13establish baselines against which to measure growth.
SB468,128,1514
(g) The exchange of information between the
corporation department and the
15department of revenue.
SB468,380
16Section
380. 238.25 of the statutes is renumbered 555.25 and amended to
17read:
SB468,128,22
18555.25 Assistance to loan recipients. The
corporation department shall
19assist new businesses and small businesses receiving the assistance of the Wisconsin
20Housing and Economic Development Authority in locating sources of venture capital
21and in obtaining the state and federal licenses and permits necessary for business
22operations.
SB468,381
23Section
381. 238.26 of the statutes is renumbered 555.26 and amended to
24read:
SB468,129,4
1555.26 Report to investment board. No later than September 30 of each
2even-numbered year, the
corporation department shall submit to the investment
3board a report describing the types of investments in businesses in this state that will
4have the greatest likelihood of enhancing economic development in this state.
SB468,382
5Section
382. Subchapter II (title) of chapter 238 [precedes 238.30] of the
6statutes is renumbered Subchapter II (title) of chapter 555 [precedes 555.30].
SB468,383
7Section
383. 238.30 of the statutes, as affected by
2015 Wisconsin Act 55, is
8renumbered 555.30, and 555.30 (intro.), (2g), (2m) (b) (intro.) and (7) (b) 1. and 2., (c),
9(d) and (e), as renumbered, are amended to read:
SB468,129,11
10555.30 Definitions. (intro.) In this section and ss.
238.301 555.301 to
238.395 11555.395 and
238.398 555.398:
SB468,129,12
12(2g) "Eligible activity" means an activity described under s.
238.302 555.302.
SB468,129,16
13(2m) (b) (intro.) The
corporation
department may grant exceptions to the
14requirement under par. (a) that a full-time job means a position in which an
15individual, as a condition of employment, is required to work at least 2,080 hours per
16year if all of the following apply:
SB468,129,21
17(7) (b) 1. Except as provided in subd. 2., in s.
238.395 555.395, "tax benefits"
18means the development zones credit under ss. 71.07 (2dx), 71.28 (1dx), 71.47 (1dx),
19and 76.636. With respect to the development opportunity zones under s.
238.395 20555.395 (1) (e) and (f), "tax benefits" also means the development zones capital
21investment credit under ss. 71.07 (2dm), 71.28 (1dm), and 71.47 (1dm).
SB468,129,2522
2. With respect to the development opportunity zones under s.
238.395 555.395 23(1) (g), (h), and (i), "tax benefits" means the development zone credits under ss. 71.07
24(2dx), 71.28 (1dx), 71.47 (1dx), and 76.636 and the development zones capital
25investment credit under ss. 71.07 (2dm), 71.28 (1dm), and 71.47 (1dm).
SB468,130,3
1(c) In s.
238.398 555.398, "tax benefits" means the development zones capital
2investment credit under ss. 71.07 (2dm), 71.28 (1dm), and 71.47 (1dm) and the
3development zones credits under ss. 71.07 (2dx), 71.28 (1dx), 71.47 (1dx), and 76.636.
SB468,130,64
(d) In ss.
238.301 555.301 to
238.306 555.306, "tax benefits" means the
5economic development tax credit under ss. 71.07 (2dy), 71.28 (1dy), 71.47 (1dy), and
676.637.
SB468,130,87
(e) In s.
238.308 555.308, "tax benefits" means the business development tax
8credit under ss. 71.07 (3y), 71.28 (3y), and 71.47 (3y).
SB468,384
9Section
384. 238.301 of the statutes, as affected by
2015 Wisconsin Act 55, is
10renumbered 555.301, and 555.301 (1) (intro.) and (e), (2) (a) and (b) and (3) (intro.),
11(b), (c), (d) and (f), as renumbered, are amended to read:
SB468,130,1412
555.301
(1) Application. (intro.) Any person may apply to the
corporation 13department on a form prepared by the
corporation department for certification under
14this section. The application shall include all of the following:
SB468,130,1615
(e) Other information required by the
corporation
department or the
16department of revenue.
SB468,130,20
17(2) (a) The
corporation department may certify a person who submits an
18application under sub. (1) if, after conducting an investigation, the
corporation 19department determines that the person is conducting or intends to conduct at least
20one eligible activity.
SB468,130,2221
(b) The
corporation department shall provide a person certified under this
22section with a copy of the certification.
SB468,130,25
23(3) Contract. (intro.) A person certified under this section shall enter into a
24written contract with the
corporation department. The contract shall include
25provisions that detail all of the following:
SB468,131,3
1(b) Whether any of the eligible activities will occur in an economically
2distressed area, as designated by the
corporation
department under s.
238.304 3555.304 (1).
SB468,131,54
(c) Whether any of the eligible activities will benefit members of a targeted
5group, as determined by the
corporation department under s.
238.304 555.304 (2).
SB468,131,86
(d) A compliance schedule that includes a sequence of anticipated actions to be
7taken or goals to be achieved by the person before the person may receive tax benefits
8under s.
238.303 555.303.
SB468,131,109
(f) If feasible, a determination of the tax benefits the person will be authorized
10to claim under s.
238.303 555.303 (2) if the person fulfills the terms of the contract.
SB468,385
11Section
385. 238.302 of the statutes is renumbered 555.302, and 555.302
12(intro.), (1), (2) and (3), as renumbered, are amended to read:
SB468,131,14
13555.302 Eligible activities. (intro.) A person who conducts or proposes to
14conduct any of the following may be certified under s.
238.301 555.301 (2):
SB468,131,17
15(1) Job creation project. A project that creates and maintains for a period of
16time established by the
corporation department by rule full-time jobs in addition to
17any existing full-time jobs provided by the person.
SB468,131,21
18(2) Capital investment project. A project that involves a significant
19investment of capital, as defined by the
corporation
department by rule under s.
20238.306 555.306 (2) (b), by the person in new equipment, machinery, real property,
21or depreciable personal property.
SB468,131,25
22(3) Employee training project. A project that involves significant investments
23in the training or reeducation of employees, as defined by the
corporation 24department by rule under s.
238.306
555.306 (2) (c), by the person for the purpose
25of improving the productivity or competitiveness of the business of the person.