August 2017 Special Session
2017 - 2018 LEGISLATURE
ASSEMBLY AMENDMENT 25,
TO ASSEMBLY SUBSTITUTE AMENDMENT 1,
TO ASSEMBLY BILL 1
August 17, 2017 - Offered by Representatives Sinicki, Ohnstad, Stuck,
Crowley, Barca, Billings, Hebl, Hesselbein, Kessler, Mason, Shankland,
Spreitzer, Vruwink, Zamarripa, Zepnick, Kolste and Young.
(a) 1. A bid submitted by a qualified responsible bidder shall be 8
considered as if the bid amount submitted was reduced as follows:
a. By 1 percent if the bidder participates in an apprenticeship program under 10
ch. 106 and ch. DWD 295, Wis. Adm. Code, or under 29 USC 50
and 29 CFR part 29
b. By 1 percent if the bidder contributes at least 75 percent of the premium cost 2
for individual health insurance coverage for each employee that is to perform work 3
under the contract.
c. By 1 percent if the bidder submits a written plan meeting the requirements 5
of s. 103.503 (3) and proof that at least 5 percent of the employees that are to perform 6
work under the contract are subject to random annual drug and alcohol testing.
d. By 1 percent if the bidder is a tier I or tier II participant under s. 299.83.
2. The department may request and receive information from the department 9
of workforce development or the department of natural resources when determining 10
if a bidder qualifies for reduction under subd. 1.
(b) 1. In this paragraph:
a. “First tier subcontractor” means a person who is awarded a subcontract 13
directly by the bidder for the purposes of acquiring supplies or services for 14
performance of the contract.
b. “Resident” means a person domiciled in Wisconsin for not less than 12 16
consecutive months preceding the submission of a bid.
2. A submitted bid by a qualified responsible bidder shall be considered as if 18
the bid amount submitted was reduced as follows:
a. By 6 percent if at least 75 percent of the bidder's employees performing work 20
on the contract are residents.
b. By 3 percent if at least 50 percent but less than 75 percent of the bidder's 22
employees performing work on the contract are residents.
c. By 1 percent if at least 25 percent but less than 50 percent of the bidder's 24
employees performing work on the contract are residents.
3. The reduction under subd. 2. may not be applied unless all first tier 2
subcontractors working under the bidder also meet the criteria under subd. 2. a., b., 3
or c., whichever is appropriate, unless the first tier contractor demonstrates that 4
there is a lack of journeymen in Wisconsin available and qualified to perform the 5
work required by the subcontract.
(c) A bid reduction under this subsection may not be applied if the reduction 7
would jeopardize the receipt of federal funds or would violate federal law. If a bid 8
reduction under par. (b) is prohibited under this paragraph, the remaining bid 9
reductions shall be increased proportionately so that the the available bid reductions 10
total 10 percent.
(d) The department shall do all of the following:
1. Enforce this subsection and enforce conforming bid reductions under ss. 13
59.52 (29) (a), 60.47 (3), 62.15 (1), 66.0901 (1m) (a) 3., 84.06 (2) (a), 85.077 (1), and 14
86.31 (2) (b).
2. Promulgate rules necessary to do all of the following:
a. Establish criteria and procedures for determining if bidders are eligible for 17
bid reductions under this subsection and ss. 59.52 (29) (a), 60.47 (3), 62.15 (1), 18
66.0901 (1m) (a) 3., 84.06 (2) (a), 85.077 (1), and 86.31 (2) (b).
b. Establish procedures for bidders to certify their eligibility for bid reductions 20
under this subsection and ss. 59.52 (29) (a), 60.47 (3), 62.15 (1), 66.0901 (1m) (a) 3., 21
84.06 (2) (a), 85.077 (1), and 86.31 (2) (b).
c. Establish procedures to audit bids that make a claim for bid reductions under 23
this subsection or s. 59.52 (29) (a), 60.47 (3), 62.15 (1), 66.0901 (1m) (a) 3., 84.06 (2) 24
(a), 85.077 (1), or 86.31 (2) (b).
3. Monitor awards that are based on bid reductions under this subsection or s. 2
59.52 (29) (a), 60.47 (3), 62.15 (1), 66.0901 (1m) (a) 3., 84.06 (2) (a), 85.077 (1), or 86.31 3
(2) (b) to ensure that the person awarded the contract continues to meet the criteria 4
for the bid reduction until the completion of the contract. If the department 5
determines that the person no longer meets the criteria for the bid reduction, the 6
contract is void and the department shall assess a penalty against the person of not 7
more than 10 percent of the person's bid on the project.”.
(a) All public work, including any contract for the construction, 12
repair, remodeling or improvement of any public work, building, or furnishing of 13
supplies or material of any kind where the estimated cost of such work will exceed 14
$25,000 shall be let by contract to the lowest responsible bidder.
Each bid submitted
15by a responsible bidder shall be considered as if the bid amount submitted was
16reduced as provided under s. 16.855 (1q).
Any public work, the estimated cost of 17
which does not exceed $25,000, shall be let as the board may direct. If the estimated 18
cost of any public work is between $5,000 and $25,000, the board shall give a class 19
1 notice under ch. 985 before it contracts for the work or shall contract with a person 20
qualified as a bidder under s. 66.0901 (2). A contract, the estimated cost of which 21
exceeds $25,000, shall be let and entered into under s. 66.0901, except that the board 22
may by a three-fourths vote of all the members entitled to a seat provide that any
class of public work or any part thereof may be done directly by the county without 2
submitting the same for bids. This subsection does not apply to public construction 3
if the materials for such a project are donated or if the labor for such a project is 4
provided by volunteers. This subsection does not apply to highway contracts which 5
the county highway committee or the county highway commissioner is authorized by 6
law to let or make.
60.47 (3) Contracts to lowest responsible bidder.
The town board shall let 9
a public contract for which advertising for proposals is required under sub. (2) (b) to 10
the lowest responsible bidder. Each bid submitted by a responsible bidder shall be
11considered as if the bid amount submitted was reduced as provided under s. 16.855
Section 66.0901 applies to public contracts let under sub. (2) (b).”.
62.15 (1) Contracts; how let; exception for donated materials and labor.
public construction, the estimated cost of which exceeds $25,000, shall be let by 17
contract to the lowest responsible bidder; all other public construction shall be let as 18
the council may direct. If required to be let by contract, each bid submitted by a
19responsible bidder shall be considered as if the bid amount submitted was reduced
20as provided under s. 16.855 (1q).
If the estimated cost of any public construction 21
exceeds $5,000 but is not greater than $25,000, the board of public works shall give 22
a class 1 notice, under ch. 985, of the proposed construction before the contract for 23
the construction is executed. This provision does not apply to public construction if 24
the materials for such a project are donated or if the labor for such a project is
provided by volunteers. The council may also by a vote of three-fourths of all the 2
members-elect provide by ordinance that any class of public construction or any part 3
thereof may be done directly by the city without submitting the same for bids.”.
66.0901 (1m) (a) 3. of the statutes is created to read:
(a) 3. Each bid submitted by a responsible bidder shall be 7
considered as if the bid amount submitted was reduced as provided under s. 16.855 8
98. Page 22, line 7
: after “$30,000" insert “, who is required to file a Wisconsin 10
income tax return for the same taxable year for which the employee's employer 11
claims a credit under par. (b),".
129. Page 26, line 11
: after “$30,000" insert “, who is required to file a Wisconsin 13
income tax return for the same taxable year for which the employee's employer 14
claims a credit under par. (b),".
(a) All such highway improvements shall be executed by contract 18
based on bids unless the department finds that another method as provided in sub. 19
(3) or (4) would be more feasible and advantageous. Bids shall be advertised for in 20
the manner determined by the department. Except as provided in s. 84.075, the 21
contract shall be awarded to the lowest competent and responsible bidder as 22
determined by the department. Each bid submitted by a competent and responsible
23bidder shall be considered as if the bid amount submitted was reduced as provided
24under s. 16.855 (1q).
If the bid of the lowest competent bidder is determined by the
department to be in excess of the estimated reasonable value of the work or not in 2
the public interest, all bids may be rejected. The department shall, so far as 3
reasonable, follow uniform methods of advertising for bids and may prescribe and 4
require uniform forms of bids and contracts. Except as provided in par. (b), the 5
secretary shall enter into the contract on behalf of the state. Every such contract is 6
exempted from ss. 16.70 to 16.75, 16.755 to 16.82, 16.87 and 16.89, but ss. 16.528, 7
16.752, 16.753, and 16.754 apply to the contract. Any such contract involving an 8
expenditure of $1,000 or more shall not be valid until approved by the governor. The 9
secretary may require the attorney general to examine any contract and any bond 10
submitted in connection with the contract and report on its sufficiency of form and 11
execution. The bond required by s. 779.14 (1m) is exempt from approval by the 12
governor and shall be subject to approval by the secretary. This subsection also 13
applies to contracts with private contractors based on bids for maintenance under s. 14