2021 - 2022 LEGISLATURE
February 17, 2022 - Introduced by Senators Stafsholt, Feyen and Ballweg,
cosponsored by Representatives
Oldenburg, Zimmerman, Petryk,
Armstrong, Dittrich, Drake, Gundrum, James, Moses, Mursau, Novak,
Schraa, Skowronski, Swearingen, Tranel, VanderMeer, Vorpagel, Wittke,
Kuglitsch and Vruwink. Referred to Committee on Economic and Workforce
1An Act to renumber
106.05 (1) (a) and 106.05 (1) (b); to renumber and amend
38.04 (26), 106.273 (2) (b) and 118.34 (1); to amend
106.05 (title), 106.05 (2) (a) 3
(intro.), 106.05 (2) (b) (intro.), 106.05 (2) (c), 106.05 (3) (a) and 106.05 (3) (b) 4
(intro.); and to create
38.04 (26) (b), 38.40 (2g), 71.05 (6) (b) 57., 106.05 (1) (e) 5
to (f), 106.05 (1) (v), 106.05 (2m), 106.273 (2) (b) 1. and 118.34 (1) (c) of the 6
statutes; relating to: apprenticeship and youth apprenticeship completion
7awards, career and technical education incentive grants and completion
8awards, technical preparation programs in school districts and technical
9colleges, creating an individual income tax subtraction for expenses paid for
10apprenticeship programs, and making an appropriation.
Analysis by the Legislative Reference Bureau
Under current law, any person 16 years of age or over may enter into an
apprenticeship, which is a contract whereby the person (apprentice) is to receive
from his or her employer, known as a sponsor, in consideration for the apprentice's
services, instruction in any trade, craft, or business. That instruction may include
related classroom instruction. Current law also provides for a youth apprenticeship
(YA) program. The apprenticeship and youth apprenticeship programs are
administered by the Department of Workforce Development. This bill makes various
changes related to apprenticeships and youth apprenticeships, including:
Apprenticeship completion awards
Current law provides for an apprenticeship award completion program
(ACAP), administered by DWD, under which apprentices and their sponsors may
receive reimbursement for tuition costs charged to an apprentice to participate in the
classroom instruction for the apprenticeship. Apprenticeship completion awards are
limited to 25 percent of the cost of tuition incurred by the apprentice or sponsor or
$1,000, whichever is less, except that DWD may, if funding is not available to fully
fund awards, reduce the reimbursement percentage or deny applications for
completion awards that would otherwise qualify. This bill does all of the following
with respect to the ACAP:
1. Expands the ACAP to also allow reimbursement for the cost of tools and
materials and travel costs.
2. Creates a youth apprenticeship completion award program (YACAP), under
which youth apprentices and employers may receive reimbursement for the cost of
tools and materials, travel costs, and worksite mentor expenses. Youth
apprenticeship completion awards are limited to 25 percent of eligible costs incurred
by the apprentice or employer or $500, whichever is less, for a given year of youth
apprenticeship, subject to a maximum of two awards for a total maximum of $1,000,
except that DWD may reduce the reimbursement percentage or deny applications as
under current law for the ACAP. The YACAP is limited to youth apprenticeships in
the areas of architecture and construction.
3. Provides additional funding for the ACAP and YACAP programs.
Apprenticeship expenses tax subtraction
This bill allows an individual, when calculating income for state income tax
purposes, to subtract eligible apprenticeship expenses paid by the individual for the
individual or the individual's dependent to participate in an apprenticeship program
that is approved by DWD. The deduction first applies to taxable years beginning
after December 31, 2021. The bill defines eligible apprenticeship expenses as those
expenses eligible under the ACAP as described above.
Career and technical education incentive grants and completion awards
Current law requires DWD to approve industry-recognized certification
programs designed to a) mitigate workforce shortages and b) prepare individuals for
occupations as fire fighters, emergency medical responders, or emergency medical
services practitioners. Current law requires DWD to award incentive grants to
school districts with industry-recognized certification programs and requires DWD
to annually award completion awards to students in the amount of $500 for each
industry-recognized certification program approved by DWD to prepare individuals
for occupations as fire fighters, emergency medical responders, or emergency
medical services practitioners. This bill does all of the following:
1. Adds programs in construction work to the list of industry-recognized
certification programs for which DWD must approve programs. This change applies
for purposes of eligibility for both incentive grants and completion awards described
2. Provides additional funding for the incentive grants to school districts
Apprenticeship courses and technical preparation programs
Current law requires each school board, in cooperation with a technical college
district board, to establish a technical preparation program in each public high
school in the school district. The program must consist of a sequence of courses,
approved by the Technical College System Board, designed to allow high school
pupils to gain advanced standing in the technical college district's associate degree
program upon graduation from high school. The TCS Board must annually publish
a list of these approved courses that indicates the schools in which each course is
taught and the credit equivalency available in each technical college district for each
course. There is also a separate statutory requirement that the TCS Board provide
a technical preparation program that includes the school district technical
preparation program described above and further requires the TCS Board to plan,
coordinate, administer, and implement its technical preparation program.
Under this bill, the TCS Board must annually publish a list of courses offered
to high school students that meet all of the following criteria: 1) the course is offered
to adults in an approved apprenticeship program; 2) the course is an approved
technical college district course; and 3) the course is taught by school district faculty,
by technical college faculty, or by industry professionals who teach, or are qualified
to teach, the course to adults in an approved apprenticeship program (TCS-listed
apprenticeship courses). The TCS Board must facilitate dual enrollment programs
between school boards and technical college district boards for TCS-listed
apprenticeship courses and must ensure that an individual's successful completion
of, or award of partial course credit for, a TCS-listed apprenticeship course allows
the individual to receive technical college course credit. These TCS-listed
apprenticeship courses are also included in the TCS Board's and school district's
technical preparation programs.
Because this bill relates to an exemption from state or local taxes, it may be
referred to the Joint Survey Committee on Tax Exemptions for a report to be printed
as an appendix to the bill.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
38.04 (26) of the statutes is renumbered 38.04 (26) (intro.) and 2
amended to read:
38.04 (26) Technical preparation programs.
(intro.) In consultation with the 2
state superintendent of public instruction, the board shall approve courses for 3
technical preparation programs under s. 118.34 (1) (b)
. By July 1, 1994, and annually 4thereafter Annually
by July 1, the board shall publish a list of the all of the following:
approved courses that indicates under s. 118.34 (1) (b), indicating
schools in which each course is taught and the credit equivalency available in 7
each technical college
district for each course.
38.04 (26) (b) of the statutes is created to read:
(b) Courses offered to high school students that meet all of the 10
1. The course is offered to adults in an approved apprenticeship program, as 12
defined in s. 106.001 (4).
2. The course is an approved technical college district course.
3. The course is taught by school district faculty, by technical college faculty, 15
or by industry professionals who teach, or are qualified to teach, the course to adults 16
in an approved apprenticeship program, as defined in s. 106.001 (4).
38.40 (2g) of the statutes is created to read:
38.40 (2g) Apprenticeship courses.
(a) In this subsection, “apprenticeship 19
courses” means those courses identified under s. 38.04 (26) (b).
(b) The board shall facilitate dual enrollment programs between school boards 21
and technical college district boards for apprenticeship courses.
(c) The board shall ensure that an individual's successful completion of, or 23
award of partial course credit for, an apprenticeship course allows the individual to 24
receive technical college course credit.
71.05 (6) (b) 57. of the statutes is created to read:
(b) 57. a. For taxable years beginning after December 31, 2021, and 2
subject to the definition and limitations in subd. 57. b. to d., eligible apprenticeship 3
expenses that are paid in the taxable year by an individual for the individual or the 4
individual's dependent, as defined in section 152
of the Internal Revenue Code, to 5
participate in an apprenticeship program.
b. In this subdivision, “apprenticeship program” has the meaning given in s. 7
106.001 (4) and “eligible apprenticeship expenses” has the meaning given in s. 106.05 8
c. No subtraction may be made under this subdivision for an amount paid for 10
an apprenticeship program if the source of the payment is an amount withdrawn 11
from a college savings account, as described in s. 224.50, or from a college tuition and 12
expenses program, as described in s. 224.48.
d. The subtraction that may be claimed under this subdivision for an amount 14
paid for an apprenticeship program is reduced by the amount paid for an 15
apprenticeship program that is being claimed as a modification for tuition expenses 16
or mandatory student fees under subd. 28.
106.05 (title) of the statutes is amended to read:
(title) Apprenticeship and youth apprenticeship completion
19award program programs.
106.05 (1) (a) of the statutes is renumbered 106.05 (1) (p).
106.05 (1) (b) of the statutes is renumbered 106.05 (1) (t).
106.05 (1) (e) to (f) of the statutes are created to read:
(e) “Eligible apprenticeship expenses” means any of the following 24
costs incurred by an apprentice or the apprentice's sponsor in connection with the 25