AB1039: Bill Text

AB1039,15,9 4. If a contract is terminated under sub. (6) (a) 5., refund to the person who entered into the contract the amount under subd. 2. or under subd. 3., as determined by the department state treasurer.

AB1039,15,15 5. If the beneficiary is awarded a scholarship, tuition waiver or similar subsidy that cannot be converted into cash by the beneficiary, refund to the person who entered into the contract, upon the person's request, an amount equal to the value of the tuition units that are not needed because of the scholarship, waiver or similar subsidy and that would otherwise have been paid by the department state treasurer on behalf of the beneficiary during the semester in which the beneficiary is enrolled.

AB1039,15,17 (b) The department state treasurer shall determine the method and schedule for the payment of refunds under this subsection.

AB1039,15,21 (7m) (a) (intro.) The department state treasurer may adjust the value of a tuition unit based on the actual earnings attributable to the tuition unit less the costs of administering the program under this section that are attributable to the tuition unit if any of the following applies:

AB1039,16,2 (b) The department state treasurer may not increase the value of a tuition unit under par. (a) to an amount that exceeds the value of a tuition unit that was purchased at a similar time, held for a similar period and used or refunded in the anticipated academic year of the beneficiary's attendance, as specified in the contract.

AB1039,16,7 (c) The department state treasurer may promulgate rules imposing or increasing penalties for refunds under sub. (7) (a) if the department state treasurer determines that such rules are necessary to maintain the status of the program under this section as a qualified state tuition program under section 529 of the Internal Revenue Code, as defined in s. 71.01 (6).

AB1039,16,12 (9) Contract with actuary. The department state treasurer shall contract with an actuary or actuarial firm to evaluate annually whether the assets in the tuition trust fund are sufficient to meet the obligations of the department state treasurer under this section and to advise the department state treasurer on setting the price of a tuition unit under sub. (2) (b).

AB1039,16,18 (10) (a) Annually, the department state treasurer shall submit a report to the governor, and to the appropriate standing committees of the legislature under s. 13.172 (3), on the program under this section. The report shall include any recommendations for changes to the program that the department state treasurer determines are necessary to ensure the sufficiency of the tuition trust fund to meet the department's state treasurer's obligations under this section.

AB1039,16,24 (b) The department state treasurer shall submit a quarterly report to the state investment board projecting the future cash flow needs of the tuition trust fund. The state investment board shall invest moneys held in the tuition trust fund in investments with maturities and liquidity that are appropriate for the needs of the fund as reported by the department state treasurer in its his or her quarterly reports. All income derived from such investments shall be credited to the fund.

AB1039,17,2 (12) (title) Additional duties and powers of the state treasurer. (a) (intro.) The department state treasurer shall do all of the following:

AB1039,17,3 (b) (intro.) The department state treasurer may do any of the following:

AB1039,17,7 (13) Program termination. If the department state treasurer determines that the program under this section is financially infeasible, the department state treasurer shall discontinue entering into contracts under sub. (3) and discontinue selling tuition units under sub. (4).

AB1039,33 Section 33. 16.641 of the statutes is renumbered 14.64, and 14.64 (2) (g), as renumbered, is amended to read:

AB1039,17,12 14.64 (2) (g) Ensure that if the department of administration changes vendors, the balances of college savings accounts are promptly transferred into investment instruments as similar to the original investment instruments as possible.

AB1039,34 Section 34. 16.642 of the statutes is renumbered 14.65 and amended to read:

AB1039,17,21 14.65 Repayment to the general fund. (1) The secretary state treasurer shall transfer from the tuition trust fund, the college savings program trust fund, the college savings program bank deposit trust fund, or the college savings program credit union deposit trust fund to the general fund an amount equal to the amount expended from the appropriations under s. 20.505 (9) (a), 1995 stats., s. 20.585 (2) (a), 2001 stats., and s. 20.585 (2) (am), 2001 stats., when the secretary state treasurer determines that funds in those trust funds are sufficient to make the transfer. The secretary state treasurer may make the transfer in installments.

AB1039,17,24 (2) Annually, by June 1, the secretary state treasurer shall submit a report to the joint committee on finance on the amount available for repayment under sub. (1), the amount repaid under sub. (1), and the outstanding balance under sub. (1).

AB1039,35 Section 35. 18.60 (3) of the statutes is amended to read:

AB1039,19,5 18.60 (3) The principal proceeds from the sale of any refunding obligations shall be applied either to the immediate payment and retirement of the obligations or notes being refinanced or, if the obligations or notes have not matured and are not presently redeemable, to the creation of a trust for and shall be pledged to the payment of the obligations or notes being refinanced. If a trust is created, a separate deposit shall be made for each issue of obligations or notes being refinanced. Each deposit shall be with the secretary of administration state treasurer or a bank or trust company that is then a member of the federal deposit insurance corporation. If the total amount of any deposit, including money other than sale proceeds but legally available for such purpose, is less than the principal amount of the obligations or notes being refinanced and for the payment of which the deposit has been created and pledged, together with applicable redemption premiums and interest accrued and to accrue to maturity or to the date of redemption, then the application of the sale proceeds shall be legally sufficient only if the money deposited is invested in securities issued by the United States or one of its agencies, or securities fully guaranteed by the United States, and only if the principal amount of the securities at maturity and the income therefrom to maturity will be sufficient and available, without the need for any further investment or reinvestment, to pay at maturity or upon redemption the principal amount of the obligations or notes being refinanced together with applicable redemption premiums and interest accrued and to accrue to maturity or to the date of redemption. The income from the principal proceeds of the securities shall be applied solely to the payment of the principal of and interest and redemption premiums on the obligations or notes being refinanced, but provision may be made for the pledging and disposition of any surplus. Nothing in this subsection shall be construed as a limitation on the duration of any deposit in trust for the retirement of obligations or notes being refinanced, but which have not matured and which are not presently redeemable. Nothing in this subsection shall be construed to prohibit reinvestment of the income of a trust if the reinvestments will mature at such times that sufficient cash will be available to pay interest, applicable premiums, and principal on the obligations or notes being refinanced.

AB1039,36 Section 36. 19.43 (7) of the statutes is amended to read:

AB1039,19,19 19.43 (7) If an official required to file fails to make a timely filing, the commission shall promptly provide notice of the delinquency to the secretary of administration state treasurer, and to the chief executive of the department of which the official's office or position is a part, or, in the case of a district attorney, to the chief executive of that department and to the county clerk of each county served by the district attorney or in the case of a municipal judge to the clerk of the municipality of which the official's office is a part, or in the case of a justice, court of appeals judge, or circuit judge, to the director of state courts. Upon such notification both the secretary of administration state treasurer and the department, municipality, or director shall withhold all payments for compensation, reimbursement of expenses, and other obligations to the official until the commission notifies the officers to whom notice of the delinquency was provided that the official has complied with this section.

AB1039,37 Section 37 . 20.005 (3) (schedule) of the statutes: at the appropriate place, insert the following amounts for the purposes indicated: - See PDF for table

AB1039,38 Section 38. 20.437 (2) (qm) of the statutes is amended to read:

AB1039,20,7 20.437 (2) (qm) Child support state operations and reimbursement for claims and expenses; unclaimed payments. From the support collections trust fund, a sum sufficient equal to the amounts credited under s. 20.912 (1) to the support collections trust fund and the amounts not distributable under par. (r) for administering the program under s. 49.22 and all other purposes specified in s. 49.22 and for reimbursing the secretary of revenue state treasurer under s. 177.265.

AB1039,39 Section 39. 20.505 (1) (gc) of the statutes is renumbered 20.585 (1) (g).

AB1039,40 Section 40. 20.505 (1) (kj) of the statutes is amended to read:

AB1039,20,17 20.505 (1) (kj) Financial services. The amounts in the schedule to provide accounting, auditing, payroll, and other financial services to state agencies, to provide banking service cost analysis and cash management assistance for state agencies and state funds under s. 25.19 (3), and to transfer the amounts appropriated under s. 20.585 (1) (kb) to the appropriation account under s. 20.585 (1) (kb). All moneys received from the provision of accounting, auditing, payroll, and other financial services to state agencies and from assessments paid under s. 25.14 (3) shall be credited to this appropriation.

AB1039,41 Section 41. 20.505 (1) (tb) of the statutes is renumbered 20.585 (2) (q) and amended to read:

AB1039,21,2 20.585 (2) (q) Payment of qualified higher education expenses and refunds; college tuition and expenses program. From the tuition trust fund, a sum sufficient for the payment of qualified higher education expenses and refunds under s. 16.64 14.63 (5) and (7).

AB1039,42 Section 42. 20.505 (1) (td) of the statutes is renumbered 20.585 (2) (s) and amended to read:

AB1039,21,8 20.585 (2) (s) Administrative expenses; college tuition and expenses program. From the tuition trust fund, the amounts in the schedule for the administrative expenses of the college tuition and expenses program under s. 16.64 14.63, including the expense of promoting the program.

AB1039,43 Section 43. 20.505 (1) (tf) of the statutes is renumbered 20.585 (2) (t) and amended to read:

AB1039,21,14 20.585 (2) (t) Payment of qualified higher education expenses and refunds; college savings program trust fund. From the college savings program trust fund, a sum sufficient for the payment of qualified higher education expenses and refunds under s. 16.641 14.64 (2) and (3).

AB1039,44 Section 44. 20.505 (1) (th) of the statutes is renumbered 20.585 (2) (tm) and amended to read:

AB1039,21,20 20.585 (2) (tm) Administrative expenses; college savings program trust fund. From the college savings program trust fund, the amounts in the schedule for the administrative expenses of the college savings program under s. 16.641 14.64, including the expense of promoting the program.

AB1039,45 Section 45. 20.505 (1) (tj) of the statutes is renumbered 20.585 (2) (u) and amended to read:

AB1039,22,2 20.585 (2) (u) Payment of qualified higher education expenses and refunds; college savings program bank deposit trust fund. From the college savings program bank deposit trust fund, a sum sufficient for the payment of qualified higher education expenses and refunds under s. 16.641 14.64 (2) and (3).

AB1039,46 Section 46. 20.505 (1) (tL) of the statutes is renumbered 20.585 (2) (um) and amended to read:

AB1039,22,8 20.585 (2) (um) Administrative expenses; college savings program bank deposit trust fund. From the college savings program bank deposit trust fund, the amounts in the schedule for the administrative expenses of the college savings program under s. 16.641 14.64, including the expense of promoting the program.

AB1039,47 Section 47. 20.505 (1) (tn) of the statutes is renumbered 20.585 (2) (v) and amended to read:

AB1039,22,14 20.585 (2) (v) Payment of qualified higher education expenses and refunds; college savings program credit union deposit trust fund. From the college savings program credit union deposit trust fund, a sum sufficient for the payment of qualified higher education expenses and refunds under s. 16.641 14.64 (2) and (3).

AB1039,48 Section 48. 20.505 (1) (tp) of the statutes is renumbered 20.585 (2) (vm) and amended to read:

AB1039,22,20 20.585 (2) (vm) Administrative expenses; college savings program credit union deposit trust fund. From the college savings program credit union deposit trust fund, the amounts in the schedule for the administrative expenses of the college savings program under s. 16.641 14.64, including the expense of promoting the program.

AB1039,49 Section 49. 20.566 (4) of the statutes is repealed.

AB1039,50 Section 50. 20.585 (1) (a) of the statutes is created to read:

AB1039,22,24 20.585 (1) (a) General program operations. As a continuing appropriation, the amounts in the schedule for the general program operations of the state treasurer.

AB1039,51 Section 51 . 20.585 (1) (e) of the statutes is created to read:

AB1039,23,3 20.585 (1) (e) Unclaimed property; contingency appropriation. A sum sufficient to pay claims under ss. 177.24 to 177.26 and 863.39 (3). Money may be paid under this paragraph only if sufficient funds are not available under par. (j).

AB1039,52 Section 52 . 20.585 (1) (j) of the statutes is created to read:

AB1039,23,8 20.585 (1) (j) Unclaimed property; claims. All moneys received under ss. 177.23 (2), 852.01 (3), 863.37 (2), and 863.39 to pay claims under ss. 177.24 to 177.26 and 863.39 (3) and to transfer the amounts appropriated under par. (k) to the appropriation account under par. (k).

AB1039,53 Section 53 . 20.585 (1) (jt) of the statutes is created to read:

AB1039,23,13 20.585 (1) (jt) Cash management services. The amounts in the schedule for the cost of providing banking service cost analysis and cash management assistance for state agencies and state funds under s. 25.19 (3). The assessments paid under s. 25.14 (3) shall be credited to this appropriation account.

AB1039,54 Section 54. 20.585 (1) (k) of the statutes is amended to read:

AB1039,23,20 20.585 (1) (k) Administrative Unclaimed property; administrative expenses. From moneys transferred from the appropriation account under s. 20.566 (4) par. (j), the amounts in the schedule for the promotion of the unclaimed property program under administrative expenses incurred in administering ch. 177. Notwithstanding s. 20.001 (3) (a), at the end of each fiscal year the unencumbered balance in this appropriation shall revert to the appropriation under s. 20.566 (4) par. (j).

AB1039,55 Section 55. 20.585 (1) (kf) of the statutes is created to read:

AB1039,23,23 20.585 (1) (kf) Administrative services. All moneys received under s. 24.64 for administrative services provided to the board of commissioners of public lands.

AB1039,56 Section 56 . 20.585 (1) (km) of the statutes is created to read:

AB1039,24,2 20.585 (1) (km) Credit card use charges. All moneys received under ss. 59.25 (3) (j) and (k) and 85.14, to pay the charges under ss. 23.49 and 85.14 (1) (b) and (2).

AB1039,57 Section 57. 20.585 (2) (title) of the statutes is created to read:

AB1039,24,4 20.585 (2) (title) College savings program.

AB1039,58 Section 58. 20.906 (1) of the statutes is amended to read:

AB1039,24,15 20.906 (1) Frequency of deposits. Unless otherwise provided by law, all moneys collected or received by any state agency for or in behalf of the state or which are required by law to be turned into the state treasury shall be deposited in or transmitted to the state treasury at least once a week and also at other times as required by the governor or the secretary of administration state treasurer and shall be accompanied by a statement in such form as the secretary of administration state treasurer may prescribe showing the amount of such collection and from whom and for what purpose or on what account the same was received. All moneys paid into the treasury shall be credited to the general purpose revenues of the general fund unless otherwise specifically provided by law.

AB1039,59 Section 59. 20.906 (4) of the statutes is amended to read:

AB1039,25,2 20.906 (4) Penalties. If any state agency fails to make such deposits of money, or to make such reports as are required by this section, the department of administration, with the approval of the governor, shall withhold all moneys due such state agency until this section is complied with; and upon such failure to make such deposits of money, the officer or employee so failing shall be liable to the secretary of administration state treasurer for an amount equal to the interest upon the moneys so withheld from deposit at the same rate as that received by the state upon moneys held in the state investment fund, for the period for which such deposit is withheld; and such interest shall be a charge against the officer or employee and shall be deducted from that person's compensation.

AB1039,60 Section 60. 20.906 (5) of the statutes is amended to read:

AB1039,25,15 20.906 (5) Conditions precedent to release of appropriations. All appropriations from state revenues for any state agency are made on the express conditions that such state agency pays all moneys received by it into the state treasury within one week of receipt or as often as otherwise directed by the governor or secretary of administration state treasurer, and conforms with ss. 16.53 (1) and 20.002, regardless of the type of appropriations made to the state agency. Upon failure to comply with this subsection, the department of administration shall refuse to draw its warrant and the state treasurer shall refuse to pay any moneys appropriated to the state agency from state revenues until the state agency complies with this subsection. Upon failure or refusal to so comply, after due notice received from the department of administration, any appropriations from state revenues to the state agency shall permanently revert to the fund from which appropriated.

AB1039,61 Section 61. 20.906 (6) of the statutes is amended to read:

AB1039,25,20 20.906 (6) Direct deposits. The governor or the secretary of administration state treasurer may require state agencies making deposits under this section to make direct deposits to any depository designated by the depository selection board, if such a requirement is advantageous or beneficial to this state.

AB1039,62 Section 62. 20.907 (2) of the statutes is amended to read:

AB1039,26,4 20.907 (2) Custody and accounting. The secretary of administration state treasurer shall have custody of all such gifts, grants, and bequests in the form of cash or securities. The department of administration shall keep a separate account for each state agency receiving such gifts, grants, and bequests, including therein investments, accumulations, payments, and any other transaction pertaining to such moneys. If no state agency is designated by the donor to carry out the purposes of the conveyance, the joint committee on finance shall appoint a state agency to act as trustee.

AB1039,63 Section 63. 20.907 (5) (a) of the statutes is amended to read:

AB1039,26,9 20.907 (5) (a) Except as provided in par. (b), all moneys that may come into the possession of any officer or employee of a state agency by virtue of his or her office or employment shall be deposited with the secretary of administration state treasurer, regardless of the ownership thereof.

AB1039,64 Section 64. 20.907 (5) (b) of the statutes is amended to read:

AB1039,26,16 20.907 (5) (b) Paragraph (a) does not apply whenever the disposition of moneys is otherwise provided by law or whenever a state agency receives moneys incident to an authorized activity that are not appropriated and not directed to be deposited with the secretary of administration state treasurer and the agency promulgates a rule that prescribes procedures in accordance with ch. 34 for the deposit of the moneys.

AB1039,65 Section 65. 20.907 (5) (c) of the statutes is amended to read:

AB1039,26,24 20.907 (5) (c) The secretary of administration state treasurer shall establish an account for moneys received under par. (a) from each source and shall make payments and refunds from each account authorized under par. (e) as directed by the state agency depositing the moneys, unless otherwise provided by law. Each payment shall be made upon submission of a claim audited under s. 16.53 and paid by voucher from the appropriation under s. 20.855 (6) (j) in accordance with procedures established by the secretary of administration.

AB1039,66 Section 66. 20.907 (5) (d) of the statutes is amended to read:

AB1039,27,2 20.907 (5) (d) Each account under this subsection shall be established in the appropriate fund, as determined by the secretary of administration state treasurer.

AB1039,67 Section 67 . 20.907 (5) (e) 12e. of the statutes is repealed.

AB1039,68 Section 68 . 20.907 (5) (e) 12r. of the statutes is repealed.

AB1039,69 Section 69. 20.909 (2) of the statutes is amended to read:

AB1039,27,10 20.909 (2) Escheated property. The secretary of revenue state treasurer may sell either at public or private sale any personal property turned over to the secretary state treasurer as an escheat. The proceeds of any such sale shall become a part of the school fund, and shall be subject to refund as specified by the provision of law pursuant to which the property escheated.

AB1039,70 Section 70. 20.912 (1) of the statutes is amended to read:

AB1039,27,18 20.912 (1) Cancellation of outstanding checks and share drafts. If any check, share draft, or other draft drawn and issued by the state treasurer upon the funds of the state in any state depository is not paid within the time period designated by the secretary of administration state treasurer under s. 16.401 (10) 14.58 (12) as shown on the check or other draft, the secretary of administration state treasurer shall cancel the check or other draft and credit the amount thereof to the fund on which it is drawn.

AB1039,71 Section 71. 20.912 (3) of the statutes is amended to read:

AB1039,28,2 20.912 (3) Reissue of canceled checks, share drafts, and other drafts. Subject to sub. (2), when the payee or person entitled to any check, share draft, or other draft canceled under sub. (1) by the state treasurer, or the payee or person entitled to any warrant so canceled by the department of administration, demands such check, share draft, other draft, or warrant or payment thereof, the department of administration shall issue a new warrant therefor, to be paid from the appropriate appropriation account under s. 20.855 (1) (bm), (gm), or (rm).

AB1039,72 Section 72. 20.912 (4) of the statutes is amended to read:

AB1039,28,14 20.912 (4) Insolvent depositories. When the bank, savings and loan association, savings bank, or credit union on which any check, share draft, or other draft is drawn by the secretary of administration state treasurer before payment of such check, share draft, or other draft becomes insolvent or is taken over by the division of banking, the federal home loan bank board, the U.S. office of thrift supervision, the federal deposit insurance corporation, the resolution trust corporation, the office of credit unions, the administrator of federal credit unions, or the U.S. comptroller of the currency, the secretary of administration state treasurer shall on the demand of the person in whose favor such check, share draft, or other draft was drawn and upon the return to the secretary state treasurer of such check, share draft, or other draft issue a replacement for the same amount.

AB1039,73 Section 73. 20.912 (5) of the statutes is amended to read: