(bm) Filing supplemental claims. In addition to claiming the credit under par. (b), and subject to the limitations under this subsection and s. 238.396, a claimant may claim as a credit against the tax imposed under s. 71.23 up to 15 percent of the claimant's significant capital expenditures in the zone in the taxable year, as determined under s. 238.396 (3m).
(c) Limitations. 1. Partnerships, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on their payment of amounts described under pars. (b) and (bm). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interests.
2. No credit may be allowed under this subsection unless the claimant includes with the claimant's return a copy of the claimant's certification for tax benefits under s. 238.396 (3).
(d) Administration. 1. Subsection (4) (g) and (h), as it applies to the credit under sub. (4), applies to the credit under this subsection.
2. If the allowable amount of the claim under this subsection exceeds the taxes otherwise due on the claimant's income under s. 71.23, the amount of the claim that is not used to offset those taxes shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation under s. 20.835 (2) (cp). Notwithstanding s. 71.82, no interest shall be paid on amounts certified under this subdivision.
58,31
Section 31
. 71.30 (3) (f) of the statutes is amended to read:
71.30 (3) (f) The total of farmland preservation credit under subch. IX, farmland tax relief credit under s. 71.28 (2m), dairy manufacturing facility investment credit under s. 71.28 (3p), jobs credit under s. 71.28 (3q), meat processing facility investment credit under s. 71.28 (3r), woody biomass harvesting and processing credit under s. 71.28 (3rm), food processing plant and food warehouse investment credit under s. 71.28 (3rn), enterprise zone jobs credit under s. 71.28 (3w), electronics and information technology manufacturing zone credit under s. 71.28 (3wm), business development credit under s. 71.28 (3y), film production services credit under s. 71.28 (5f), film production company investment credit under s. 71.28 (5h), beginning farmer and farm asset owner tax credit under s. 71.28 (8r), and estimated tax payments under s. 71.29.
58,32
Section 32
. 71.34 (1k) (g) of the statutes is amended to read:
71.34 (1k) (g) An addition shall be made for credits computed by a tax-option corporation under s. 71.28 (1dm), (1dx), (1dy), (3), (3g), (3h), (3n), (3p), (3q), (3r), (3rm), (3rn), (3t), (3w), (3wm), (3y), (4), (5), (5e), (5f), (5g), (5h), (5i), (5j), (5k), (5r), (5rm), (6n), and (8r) and passed through to shareholders.
58,33
Section 33
. 73.0306 of the statutes is created to read:
73.0306 Disregarded entities. With regard to a single-owner entity that is disregarded as a separate entity under section
7701 of the Internal Revenue Code, any notice that the department of revenue sends to the owner or to the entity is considered a notice sent to both and both are liable for any amounts due as specified in the notice. This section applies to all laws administered by the department.
58,34
Section 34
. 77.54 (65) of the statutes is created to read:
77.54 (65) The sales price from the sale of building materials, supplies, and equipment and the sale of services described in s. 77.52 (2) (a) 20. to; and the storage, use, or other consumption of the same property and services by; owners, lessees, contractors, subcontractors, or builders if that property or service is acquired solely for or used solely in, the construction or development of facilities located in an electronics and information technology manufacturing zone designated under s. 238.396 (1m) and if the capital expenditures for the construction or development of such facilities may be claimed as a credit under s. 71.07 (3wm) (bm) or 71.28 (3wm) (bm), as certified by the Wisconsin Economic Development Corporation.
77.70 Adoption by county ordinance. Any county desiring to impose county sales and use taxes under this subchapter may do so by the adoption of an ordinance, stating its purpose and referring to this subchapter. The rate of the tax imposed under this section is 0.5 percent of the sales price or purchase price. The Except as provided in s. 66.0621 (3m), the county sales and use taxes may be imposed only for the purpose of directly reducing the property tax levy and only in their entirety as provided in this subchapter. That ordinance shall be effective on the first day of January, the first day of April, the first day of July or the first day of October. A certified copy of that ordinance shall be delivered to the secretary of revenue at least 120 days prior to its effective date. The repeal of any such ordinance shall be effective on December 31. A certified copy of a repeal ordinance shall be delivered to the secretary of revenue at least 120 days before the effective date of the repeal. Except as provided under s. 77.60 (9), the department of revenue may not issue any assessment nor act on any claim for a refund or any claim for an adjustment under s. 77.585 after the end of the calendar year that is 4 years after the year in which the county has enacted a repeal ordinance under this section.
58,34m
Section 34m. 79.05 (2) (c) of the statutes is amended to read:
79.05
(2) (c) Its municipal budget; exclusive of principal and interest on long-term debt and exclusive of revenue sharing payments under s. 66.0305, recycling fee payments under s. 289.645,
expenditures of grant payments under s. 16.297 (1m), unreimbursed expenses related to an emergency declared under s. 323.10, expenditures from moneys received pursuant to P.L.
111-5, and expenditures made pursuant to a purchasing agreement with a school district whereby the municipality makes purchases on behalf of the school district; for the year of the statement under s. 79.015 increased over its municipal budget as adjusted under sub. (6); exclusive of principal and interest on long-term debt and exclusive of revenue sharing payments under s. 66.0305, recycling fee payments under s. 289.645,
expenditures of grant payments under s. 16.297 (1m), unreimbursed expenses related to an emergency declared under s. 323.10, expenditures from moneys received pursuant to P.L.
111-5, and expenditures made pursuant to a purchasing agreement with a school district whereby the municipality makes purchases on behalf of the school district; for the year before that year by less than the sum of the inflation factor and the valuation factor, rounded to the nearest 0.10 percent.
58,35
Section 35
. 84.0145 (2) of the statutes is amended to read:
84.0145 (2) Subject to sub. (3) and s. 86.255, any southeast Wisconsin freeway megaproject may be funded only from the appropriations under ss. 20.395 (3) (aq), (av), (ax), and (ct) and 20.866 (2) (uup) and
, (uur), and (uuz).
58,36
Section 36
. 84.585 of the statutes is created to read:
84.585 Additional contingent funding for southeast Wisconsin freeway megaprojects. Subject to 2017 Wisconsin Act .... (this act), section 60 (1c), the proceeds of general obligation bonds issued under s. 20.866 (2) (uuz) may be used to fund southeast Wisconsin freeway megaprojects under s. 84.0145 (3) (b) 1.
58,36m
Section 36m. 106.271 of the statutes is created to read:
106.271 Worker training and employment program. (1) Program. Of the amounts appropriated under s. 20.445 (1) (bg) in the 2019-21 fiscal biennium, the department shall allocate $20,000,000 to provide funding, through grants or other means, to facilitate worker training and employment in this state.
(1m) Eligible grant recipients. The persons eligible to apply for and receive grants made by the department under this section shall include institutions of higher education, as defined in s. 106.57 (1) (c).
(2) Powers of department. The department shall have all other powers necessary and convenient to implement this section, including the power to audit and inspect the records of grant recipients.
(3) Consultation. The department shall consult with the technical college system board and the Wisconsin Economic Development Corporation in implementing this section.
(4) Approval of joint finance committee. Prior to expending any funds appropriated under s. 20.445 (1) (bg), the department shall submit to the joint committee on finance a plan for implementing the program under this section. The department may not expend any funds appropriated under s. 20.445 (1) (bg) except in accordance with the plan as approved by the committee.
(5) Annual report. Annually, by December 31, the department shall submit a report to the governor and the cochairpersons of the joint committee on finance providing an account of the department's activities and expenditures under this section during the preceding fiscal year.
58,37
Section 37
. 180.0622 (2) of the statutes is amended to read:
180.0622 (2) Unless otherwise provided in the articles of incorporation, a shareholder of a corporation is not personally liable for the acts or debts of the corporation, except for a shareholder in a corporation defined under s. 71.365 (7), and only to the extent provided for under s. 73.0306, and except that a shareholder may become personally liable by his or her acts or conduct other than as a shareholder.
58,38
Section 38
. 183.0304 (1) of the statutes is amended to read:
183.0304 (1) The debts, obligations and liabilities of a limited liability company, whether arising in contract, tort or otherwise, shall be solely the debts, obligations and liabilities of the limited liability company. Except as provided in ss. 73.0306, 183.0502, and 183.0608, a member or manager of a limited liability company is not personally liable for any debt, obligation or liability of the limited liability company, except that a member or manager may become personally liable by his or her acts or conduct other than as a member or manager.
58,39
Section 39
. 196.192 (1) of the statutes is renumbered 196.192 (1) (intro.) and amended to read:
196.192 (1) (intro.) In this section, “
electric:
(a) “Electric public utility" means a public utility whose purpose is the generation, distribution and sale of electric energy.
58,40
Section 40
. 196.192 (1) (b) of the statutes is created to read:
196.192 (1) (b) “Electronics and information technology manufacturing zone” means a zone designated under s. 238.396 (1m).
58,41
Section 41
. 196.192 (2) of the statutes is renumbered 196.192 (2) (am).
58,42
Section 42
. 196.192 (2m) of the statutes is created to read:
196.192 (2m) (a) No later than January 1, 2020, an electric public utility providing service to an electronics and information technology manufacturing zone shall file with the commission tariffs that include market-based pricing and options that allow a new retail customer that is within the electronics and information technology manufacturing zone and that the commission determines is eligible for a credit under s. 71.07 (3wm) to receive market benefits and take market risks for some or all of the customer's purchases of capacity or energy, subject to the maximum capacity or energy purchase limits that shall be established by the commission. The electric public utility shall include the following requirements in the tariffs:
1. The customer shall annually nominate the amount of capacity and energy subject to the market-based tariff.
2. The customer shall provide not less than 12 months' notice to terminate service under the market-based tariff.
3. The term of the market-based tariff may not be less than 10 years.
4. The customer shall pay the difference, if any, between the otherwise applicable retail rate and the market-based tariff rate if the customer does any of the following:
a. Supplies false or misleading information regarding its applicability for the market-based tariff.
b. Leaves the electronics and information technology manufacturing zone to conduct substantially the same business outside the electronics and information technology manufacturing zone.
c. Ceases operations in the electronics and information technology manufacturing zone and does not renew operation of the business or a similar business within the electronics and information technology manufacturing zone within 12 months.
(b) The commission shall approve market-based rates that are consistent with par. (a).
58,43
Section 43
. 196.192 (3) (a) of the statutes is renumbered 196.192 (2) (bm) and amended to read:
196.192 (2) (bm) The commission shall approve market-based rates that are consistent with the options specified in sub. (2) par. (am), except that the commission may not approve a market-based rate unless the commission determines that the rate will not harm shareholders of the investor-owned electric public utility or customers who are not subject to the rate.
58,44
Section 44
. 196.192 (3) (b) of the statutes is renumbered 196.192 (3m) and amended to read:
196.192 (3m) Nothing in s. 196.20, 196.22, 196.37, 196.60 or 196.604 prohibits the commission from approving a filing under sub. (2) (am) or (2m) (a) or approving market-based rates under par. (a) sub. (2) (bm) or (2m) (b).
58,45
Section 45
. 196.192 (4) of the statutes is renumbered 196.192 (2) (c) and amended to read:
196.192 (2) (c) Subject to any approval of the commission that is necessary, an electric public utility that is not an investor-owned electric public utility may implement market-based rates approved under sub. (3) (a)
par. (bm) or implement the options in filings under sub. (2) par. (am) that are approved by the commission.
58,46
Section 46
. 196.49 (5g) (ar) 3. of the statutes is created to read:
196.49 (5g) (ar) 3. The project is primarily to provide service to a new customer within an electronics and information technology manufacturing zone designated under s. 238.396 (1m).
58,47
Section 47
. 196.491 (1) (f) of the statutes is amended to read:
196.491 (1) (f) Except as provided in subs. (2) (b) 8. and (3) (d) 3m., “high-voltage transmission line" means a conductor of electric energy exceeding one mile in length designed for operation at a nominal voltage of 100 kilovolts or more, together with associated facilities, and does not include transmission line relocations that are within an electronics and information technology manufacturing zone designated under s. 238.396 (1m) or that the commission determines are necessary to facilitate highway or airport projects.
58,48m
Section 48m. 238.03 (5) of the statutes is created to read:
238.03 (5) The board shall hire a full-time employee who shall be known as the electronics manufacturing small business development director. The director's duties shall include coordinating with the economic development liaison in the department of administration and providing outreach to local economic development organizations. This subsection has no effect after December 31, 2022.
58,48s
Section 48s. 238.12 (1) of the statutes is amended to read:
238.12 (1) In this section, “tax benefits" means the credits under ss. 71.07 (2dm), (2dx), (3g), and (3t), and (3wm), 71.28 (1dm), (1dx), (3g), and (3t),
and (3wm), 71.47 (1dm), (1dx), (3g), and (3t), and 76.636.
58,49
Section 49
. 238.396 of the statutes is created to read:
238.396 Electronics and information technology manufacturing zone. (1) Definition. In this section, “tax benefits” means the income and franchise tax credits under ss. 71.07 (3wm) and 71.28 (3wm).
(1m) Designation of zone; criteria. (a) The corporation may designate not more than one electronics and information technology manufacturing zone in this state. The zone may not include any area outside this state.
(b) In determining whether to designate an area under par. (a), the corporation shall consider all of the following:
1. Indicators of the area's economic need, which may include data regarding household income, average wages, the condition of property, housing values, population decline, job losses, infrastructure and energy support, the rate of business development, and the existing resources available to the area.
2. The effect of designation on other initiatives and programs to promote economic and community development in the area, including job retention, job creation, job training, and creating high-paying jobs.
(d) The corporation shall, to the extent possible, give preference to the greatest economic need.
(2) Time limit. A designation under sub. (1m) shall remain in effect for no more than 15 years.
(3) Certification. The corporation may certify for tax benefits a business that begins operations in an electronics and information technology manufacturing zone.
(3m) Additional tax benefits for significant capital expenditures. If the corporation determines that a business certified under sub. (3) makes a significant capital expenditure in the electronics and information technology manufacturing zone, the corporation may certify the business to receive additional tax benefits in an amount to be determined by the corporation, but not exceeding 15 percent of the business's capital expenditures. The corporation shall, in a manner determined by the corporation, allocate the tax benefits a business is certified to receive under this subsection over a period of 7 years. The corporation shall establish job creation thresholds for a business certified under sub. (3) for each year in the zone. The claiming of capital expenditure tax benefits under ss. 71.07 (3wm) (bm) and 71.28 (3wm) (bm) shall be tied to those job creation thresholds.
(3s) Limitations on tax benefits. (a) The corporation may not issue certifications to claim tax benefits under ss. 71.07 (3wm) (b) and 71.28 (3wm) (b) that total more than $1,500,000,000.
(b) The corporation may not issue certifications to claim tax benefits under ss. 71.07 (3wm) (bm) and 71.28 (3wm) (bm) that total more than $1,350,000,000.
(c) The corporation may not certify a business to claim tax benefits under ss. 71.07 (3wm) (b) and 71.28 (3wm) (b) for services performed outside this state.
(4) Other duties. (a) The corporation shall revoke a certification under sub. (3) if the business does any of the following:
1. Supplies false or misleading information to obtain tax benefits.
2. Leaves the electronics and information technology manufacturing zone to conduct substantially the same business outside the zone.
3. Ceases operations in the electronics and information technology manufacturing zone and does not renew operation of the business or a similar business in the zone within 12 months.
(b) The corporation may require a business to repay any tax benefits the business claims for a year in which the business failed to maintain employment levels or a significant capital investment in property required by an agreement between the business and the corporation.
(c) The corporation shall determine the maximum amount of the tax benefits that a certified business may claim and shall notify the department of revenue of this amount.
(d) The corporation shall annually verify the information submitted to the corporation under ss. 71.07 (3wm) and 71.28 (3wm).
(f) The corporation shall adopt policies and procedures defining “significant capital expenditure” for purposes of sub. (3m).
(fm) The corporation shall cooperate with the legislative audit bureau for purposes of the audit bureau's performance of its duties under s. 13.94 (1) (u).
(fs) The corporation shall contract with a business certified under sub. (3).
(g) The corporation shall, to the extent possible, attempt to include terms in any agreement negotiated between the corporation and a business under par. (fs) that encourage the business's hiring of Wisconsin residents.
(5) No environmental impact statement required. The issuance of any permit or approval for a new manufacturing facility within an electronics and information technology manufacturing zone designated under this section is not a major action for the purposes of s. 1.11 (2) (c).
58,51
Section 51
. 238.399 (3) (e) of the statutes is created to read:
238.399 (3) (e) If the corporation revokes all certifications for tax benefits within a designated enterprise zone, the corporation may cancel the designation of that enterprise zone. After canceling the designation of an enterprise zone, the corporation may designate a new enterprise zone subject to the limits of this subsection.
