19.42 Annotation
The term “income" is used several times in the code of ethics for state public officials. This bill clarifies the current definition of income by providing a specific cross-reference to the internal revenue code and by providing that the definition refers to the most recent version of the internal revenue code which has been adopted by the legislature for state income tax purposes.
19.42 Annotation
When a person holds two government positions, one included in and the other exempted from the definition of state public official, the applicability of this subchapter depends upon the capacity in which the person acted. 64 Atty. Gen. 143.
19.43
19.43
Financial disclosure. 19.43(1)(1)
Each individual who in January of any year is an official required to file, and who is an official required to file for at least 14 days in that year, shall file with the commission no later than April 30 of that year a statement of economic interests meeting each of the requirements of s.
19.44 (1). The information contained on the statement shall be current as of December 31 of the preceding year.
19.43(2)
(2) An official required to file shall file with the commission a statement of economic interests meeting each of the requirements of s.
19.44 (1) no later than 21 days following the date he or she assumes office if the official has not previously filed a statement of economic interests with the commission during that year. The information on the statement shall be current as per the date he or she assumes office.
19.43(2m)
(2m) Each individual who is an official required to file shall file with the commission a statement of economic interests meeting each of the requirements of s.
19.44 (1) no later than 21 days following the date on which the individual's term of office ends or the individual leaves the office. The information contained on the statement shall be current as of the date on which the individual's term of office ends or the individual leaves the office. An individual who files a statement as provided under this subsection is not required to file another statement of economic interests until such time as the individual again becomes an official required to file.
19.43(3)
(3) A nominee shall file with the commission a statement of economic interests meeting each of the requirements of s.
19.44 (1) within 21 days of being nominated unless the nominee has previously filed a statement of economic interests with the commission during that year. The information on the statement shall be current as per the date he or she was nominated. Following the receipt of a nominee's statement of economic interests, the commission shall forward copies of such statement to the members of the committee of the senate to which the nomination is referred.
19.43(4)
(4) A candidate for state public office shall file with the commission a statement of economic interests meeting each of the requirements of s.
19.44 (1) no later than 4:30 p.m. on the 3rd day following the last day for filing nomination papers for the office which the candidate seeks, or no later than 4:30 p.m. on the next business day after the last day whenever that candidate is granted an extension of time for filing nomination papers or a declaration of candidacy under s.
8.05 (1) (j),
8.10 (2) (a),
8.15 (1), or
8.20 (8) (a); no later than 4:30 p.m. on the 5th day after notification of nomination is mailed or personally delivered to the candidate by the municipal clerk in the case of a candidate who is nominated at a caucus; or no later than 4:30 p.m. on the 3rd day after notification of nomination is mailed or personally delivered to the candidate by the appropriate official or agency in the case of a write-in candidate or candidate who is appointed to fill a vacancy in nomination under s.
8.35 (2) (a). The information contained on the statement shall be current as of December 31 of the year preceding the filing deadline. Before certifying the name of any candidate for state public office under s.
7.08 (2) (a), the elections commission, municipal clerk, or board of election commissioners shall ascertain whether that candidate has complied with this subsection. If not, the elections commission, municipal clerk, or board of election commissioners may not certify the candidate's name for ballot placement.
19.43(5)
(5) Each member of the investment board and each employee of the investment board who is a state public official shall complete and file with the commission a quarterly report of economic transactions no later than the last day of the month following the end of each calendar quarter during any portion of which he or she was a member or employee of the investment board. Such reports of economic transactions shall be in the form prescribed by the commission and shall identify the date and nature of any purchase, sale, put, call, option, lease, or creation, dissolution, or modification of any economic interest made during the quarter for which the report is filed and disclosure of which would be required by s.
19.44 if a statement of economic interests were being filed.
19.43(7)
(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, 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 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.
19.43(8)
(8) On its own motion or at the request of any individual who is required to file a statement of economic interests, the commission may extend the time for filing or waive any filing requirement if the commission determines that the literal application of the filing requirements of this subchapter would work an unreasonable hardship on that individual or that the extension of the time for filing or waiver is in the public interest. The commission shall set forth in writing as a matter of public record its reason for the extension or waiver.
19.43 Cross-reference
Cross-reference: See also ch.
ETH 15, Wis. adm. code.
19.43 Annotation
The extent of confidentiality of investment board nominees' statements of economic interests rests in the sound discretion of the senate committee to which the nomination is referred under sub. (3). 68 Atty. Gen. 378.
19.43 Annotation
Discussing the possible conflict between requirements of financial disclosure and confidentiality requirements for lawyers. 68 Atty. Gen. 411.
19.43 Annotation
Sub. (8) does not authorize the ethics board to extend the date by which a candidate must file a statement of economic interest and cannot waive the filing requirement.
81 Atty. Gen. 85.
19.44
19.44
Form of statement. 19.44(1)(1)
Every statement of economic interests which is required to be filed under this subchapter shall be in the form prescribed by the commission, and shall contain the following information:
19.44(1)(a)
(a) The identity of every organization with which the individual required to file is associated and the nature of his or her association with the organization, except that no identification need be made of:
19.44(1)(a)1.
1. Any organization which is described in section
170 (c) of the internal revenue code.
19.44(1)(a)2.
2. Any organization which is organized and operated primarily to influence voting at an election including support for or opposition to an individual's present or future candidacy or to a present or future referendum.
19.44(1)(a)3.
3. Any nonprofit organization which is formed exclusively for social purposes and any nonprofit community service organization.
19.44(1)(b)
(b) The identity of every organization or body politic in which the individual who is required to file or that individual's immediate family, severally or in the aggregate, owns, directly or indirectly, securities having a value of $5,000 or more, the identity of such securities and their approximate value, except that no identification need be made of a security or issuer of a security when it is issued by any organization not doing business in this state or by any government or instrumentality or agency thereof, or an authority or public corporation created and regulated by an act of such government, other than the state of Wisconsin, its instrumentalities, agencies and political subdivisions, or authorities or public corporations created and regulated by an act of the legislature.
19.44(1)(c)
(c) The name of any creditor to whom the individual who is required to file or such individual's immediate family, severally or in the aggregate, owes $5,000 or more and the approximate amount owed.
19.44(1)(d)
(d) The real property located in this state in which the individual who is required to file or such individual's immediate family holds an interest, other than the principal residence of the individual or his or her immediate family, and the nature of the interest held. An individual's interest in real property does not include a proportional share of interests in real property if the individual's proportional share is less than 10 percent of the outstanding shares or is less than an equity value of $5,000.
19.44(1)(e)
(e) The identity of each payer from which the individual who is required to file or a member of his or her immediate family received $1,000 or more of his or her income for the preceding taxable year, except that if the individual who is required to file identifies the general nature of the business in which he or she or his or her immediate family is engaged, then no identification need be made of a decedent's estate or an individual, not acting as a representative of an organization, unless the individual is a lobbyist as defined in s.
13.62. In addition, no identification need be made of payers from which only dividends or interest, anything of pecuniary value reported under s.
19.56 or reportable under s.
19.57, or political contributions reported under ch.
11 were received.
19.44(1)(f)
(f) If the individual who is required to file or a member of his or her immediate family received $10,000 or more of his or her income for the preceding taxable year from a partnership, limited liability company, corporation electing to be taxed as a partnership under subchapter S of the internal revenue code or service corporation under ss.
180.1901 to
180.1921 in which the individual or a member of his or her immediate family, severally or in the aggregate, has a 10 percent or greater interest, the identity of each payer from which the organization received $10,000 or more of its income for its preceding taxable year, except that if the individual who is required to file identifies the general nature of the business in which he or she or his or her immediate family is engaged then no identification need be made of a decedent's estate or an individual, not acting as a representative of an organization, unless the individual is a lobbyist as defined in s.
13.62. In addition, no identification need be made of payers from which dividends or interest are received.
19.44(1)(g)
(g) The identity of each person from which the individual who is required to file received, directly or indirectly, any gift or gifts having an aggregate value of more than $50 within the taxable year preceding the time of filing, except that the source of a gift need not be identified if the donation is permitted under s.
19.56 (3) (e),
(em) or
(f) or if the donor is the donee's parent, grandparent, child, grandchild, brother, sister, parent-in-law, grandparent-in-law, brother-in-law, sister-in-law, uncle, aunt, niece, nephew, spouse, fiance or fiancee.
19.44(1)(h)
(h) Lodging, transportation, money or other things of pecuniary value reportable under s.
19.56 (2).
19.44(2)
(2) Whenever a dollar amount is required to be reported pursuant to this section, it is sufficient to report whether the amount is not more than $50,000, or more than $50,000.
19.44(3)(a)(a) An individual is the owner of a trust and the trust's assets and obligations if he or she is the creator of the trust and has the power to revoke the trust without obtaining the consent of all of the beneficiaries of the trust.
19.44(3)(b)
(b) An individual who is eligible to receive income or other beneficial use of the principal of a trust is the owner of a proportional share of the principal in the proportion that the individual's beneficial interest in the trust bears to the total beneficial interests vested in all beneficiaries of the trust. A vested beneficial interest in a trust includes a vested reverter interest.
19.44(4)
(4) Information which is required by this section shall be provided on the basis of the best knowledge, information and belief of the individual filing the statement.
19.44 Cross-reference
Cross-reference: See also ch.
ETH 15, Wis. adm. code.
19.44 Note
Law Revision Committee Note, 1983: Under the ethics code, each state public official and candidate for state public office must file a statement of economic interests with the ethics board listing the businesses, organizations and other legal entities from which they and their families received substantial income during the preceding taxable year. However, the ethics code does not require identification of individual persons from whom the income is received. This bill provides that if the individual filing the statement of economic interests identifies the general nature of the business in which the individual or a member of his or her family is engaged, then no identification need be made of the estate of any deceased individual from which income was received. This bill makes it unnecessary to identify a decedent's estate which was indebted to a state public official or candidate for state public office, and makes it unnecessary to identify decedents' estates which are represented by lawyer-public officials.
19.44 Annotation
A beneficiary of a future interest in a trust must identify the securities held by the trust if the individual's interest in the securities is valued at $5,000 or more.
80 Atty. Gen. 183.
19.45
19.45
Standards of conduct; state public officials. 19.45(1)(1)
The legislature hereby reaffirms that a state public official holds his or her position as a public trust, and any effort to realize substantial personal gain through official conduct is a violation of that trust. This subchapter does not prevent any state public official from accepting other employment or following any pursuit which in no way interferes with the full and faithful discharge of his or her duties to this state. The legislature further recognizes that in a representative democracy, the representatives are drawn from society and, therefore, cannot and should not be without all personal and economic interest in the decisions and policies of government; that citizens who serve as state public officials retain their rights as citizens to interests of a personal or economic nature; that standards of ethical conduct for state public officials need to distinguish between those minor and inconsequential conflicts that are unavoidable in a free society, and those conflicts which are substantial and material; and that state public officials may need to engage in employment, professional or business activities, other than official duties, in order to support themselves or their families and to maintain a continuity of professional or business activity, or may need to maintain investments, which activities or investments do not conflict with the specific provisions of this subchapter.
19.45(2)
(2) No state public official may use his or her public position or office to obtain financial gain or anything of substantial value for the private benefit of himself or herself or his or her immediate family, or for an organization with which he or she is associated. This subsection does not prohibit a state public official from using the title or prestige of his or her office to obtain contributions permitted and reported as required by ch.
11.
19.45(3)
(3) No person may offer or give to a state public official, directly or indirectly, and no state public official may solicit or accept from any person, directly or indirectly, anything of value if it could reasonably be expected to influence the state public official's vote, official actions or judgment, or could reasonably be considered as a reward for any official action or inaction on the part of the state public official. This subsection does not prohibit a state public official from engaging in outside employment.
19.45(3m)
(3m) No state public official may accept or retain any transportation, lodging, meals, food or beverage, or reimbursement therefor, except in accordance with ss.
13.625 (4m) and
19.56 (3).
19.45(4)
(4) No state public official may intentionally use or disclose information gained in the course of or by reason of his or her official position or activities in any way that could result in the receipt of anything of value for himself or herself, for his or her immediate family, or for any other person, if the information has not been communicated to the public or is not public information.
19.45(5)
(5) No state public official may use or attempt to use the public position held by the public official to influence or gain unlawful benefits, advantages or privileges personally or for others.
19.45(6)
(6) No state public official, member of a state public official's immediate family, nor any organization with which the state public official or a member of the official's immediate family owns or controls at least 10 percent of the outstanding equity, voting rights, or outstanding indebtedness may enter into any contract or lease involving a payment or payments of more than $3,000 within a 12-month period, in whole or in part derived from state funds, unless the state public official has first made written disclosure of the nature and extent of such relationship or interest to the commission and to the department acting for the state in regard to such contract or lease. Any contract or lease entered into in violation of this subsection may be voided by the state in an action commenced within 3 years of the date on which the commission, or the department or officer acting for the state in regard to the allocation of state funds from which such payment is derived, knew or should have known that a violation of this subsection had occurred. This subsection does not affect the application of s.
946.13.
19.45(7)(a)(a) No state public official who is identified in s.
20.923 may represent a person for compensation before a department or any employee thereof, except:
19.45(7)(a)1.
1. In a contested case which involves a party other than the state with interests adverse to those represented by the state public official; or
19.45(7)(a)2.
2. At an open hearing at which a stenographic or other record is maintained; or
19.45(7)(a)3.
3. In a matter that involves only ministerial action by the department; or
19.45(7)(a)4.
4. In a matter before the department of revenue or tax appeals commission that involves the representation of a client in connection with a tax matter.
19.45(7)(b)
(b) This subsection does not apply to representation by a state public official acting in his or her official capacity.
19.45(8)
(8) Except in the case where the state public office formerly held was that of legislator, legislative employee under s.
20.923 (6) (bp),
(f),
(g) or
(h), chief clerk of a house of the legislature, sergeant at arms of a house of the legislature or a permanent employee occupying the position of auditor for the legislative audit bureau:
19.45(8)(a)
(a) No former state public official, for 12 months following the date on which he or she ceases to be a state public official, may, for compensation, on behalf of any person other than a governmental entity, make any formal or informal appearance before, or negotiate with, any officer or employee of the department with which he or she was associated as a state public official within 12 months prior to the date on which he or she ceased to be a state public official.
19.45(8)(b)
(b) No former state public official, for 12 months following the date on which he or she ceases to be a state public official, may, for compensation, on behalf of any person other than a governmental entity, make any formal or informal appearance before, or negotiate with, any officer or employee of a department in connection with any judicial or quasi-judicial proceeding, application, contract, claim, or charge which might give rise to a judicial or quasi-judicial proceeding which was under the former official's responsibility as a state public official within 12 months prior to the date on which he or she ceased to be a state public official.
19.45(8)(c)
(c) No former state public official may, for compensation, act on behalf of any party other than the state in connection with any judicial or quasi-judicial proceeding, application, contract, claim, or charge which might give rise to a judicial or quasi-judicial proceeding in which the former official participated personally and substantially as a state public official.
19.45(9)
(9) The attorney general may not engage in the private practice of law during the period in which he or she holds that office. No justice of the supreme court and no judge of any court of record may engage in the private practice of law during the period in which he or she holds that office. No full-time district attorney may engage in the private practice of law during the period in which he or she holds that office, except as authorized in s.
978.06 (5).
19.45(10)
(10) This section does not prohibit a legislator from making inquiries for information on behalf of a person or from representing a person before a department if he or she receives no compensation therefor beyond the salary and other compensation or reimbursement to which the legislator is entitled by law, except as authorized under sub.
(7).
19.45(11)
(11) The legislature recognizes that all state public officials and employees and all employees of the University of Wisconsin Hospitals and Clinics Authority should be guided by a code of ethics and thus:
19.45(11)(a)
(a) The director of the bureau of merit recruitment and selection in the department of administration shall, with the commission's advice, promulgate rules to implement a code of ethics for classified and unclassified state employees except state public officials subject to this subchapter, personnel in the University of Wisconsin System, and officers and employees of the judicial branch.
19.45(11)(b)
(b) The board of regents of the University of Wisconsin System shall establish a code of ethics for personnel in that system who are not subject to this subchapter.
19.45(11)(c)
(c) The supreme court shall promulgate a code of judicial ethics for officers and employees of the judiciary and candidates for judicial office which shall include financial disclosure requirements. All justices and judges shall, in addition to complying with this subchapter, adhere to the code of judicial ethics.
19.45(11)(d)
(d) The board of directors of the University of Wisconsin Hospitals and Clinics Authority shall establish a code of ethics for employees of the authority who are not state public officials.
19.45(13)
(13) No state public official or candidate for state public office may, directly or by means of an agent, give, or offer or promise to give, or withhold, or offer or promise to withhold, his or her vote or influence, or promise to take or refrain from taking official action with respect to any proposed or pending matter in consideration of, or upon condition that, any other person make or refrain from making a political contribution, or provide or refrain from providing any service or other thing of value, to or for the benefit of a candidate, a political party, any committee registered under ch.
11, or any person making a communication that contains a reference to a clearly identified state public official holding an elective office or to a candidate for state public office.
19.45(14)
(14) If a state public official receives an item that the official is not permitted to accept or retain under this subchapter or subch.
III of ch. 13, the official shall do one of the following:
19.45(14)(a)
(a) Give the item to the official's agency to use or sell, except that the agency may not sell the item to any government employee or official.
19.45(14)(b)
(b) Give the item to another state agency or to a public institution, such as a local school, library, or museum, that can use the item.
19.45(14)(c)
(c) Give the item to a charitable organization, as defined in s.
11.0101 (4), not including a charitable organization with which the official or his or her immediate family is associated.
19.45(14)(e)
(e) If the donor is neither a lobbyist, as defined in s.
13.62 (11), nor a principal, as defined in s.
13.62 (12), purchase the item at its full retail value and keep the item.
19.45 History
History: 1973 c. 90; Stats. 1973 s. 11.05;
1973 c. 334 ss.
33,
57; Stats. 1973 s. 19.45;
1977 c. 29;
1977 c. 196 s.
130 (2);
1977 c. 223,
277;
1977 c. 418 s.
923 (14);
1977 c. 419,
447;
1979 c. 120;
1983 a. 27 ss.
112,
2200 (15);
1983 a. 166 ss.
7,
16;
1985 a. 332 s.
251 (1);
1987 a. 365;
1989 a. 31,
338;
1991 a. 39,
316;
1995 a. 27;
1997 a. 27;
2001 a. 109;
2003 a. 33 ss.
279,
9160;
2003 a. 39;
2007 a. 1;
2011 a. 32;
2013 a. 20 ss.
2365m,
9448;
2015 a. 55,
117;
2015 a. 118 s.
266 (10);
2021 a. 266,
267.
19.45 Cross-reference
Cross-reference: See also ch.
ER-MRS 24, Wis. adm. code.
19.45 Annotation
A county board may provide for a penalty in the nature of a forfeiture for a violation of a code of ethics ordinance but may not bar violators from running for office. A violation is not a neglect of duties under s. 59.10 [now s. 59.15] or an ipso facto cause for removal under s. 17.09 (1). 66 Atty. Gen. 148. See also 67 Atty. Gen. 164.
19.45 Annotation
The ethics law does not prohibit a state public official from purchasing items and services that are available to the official because the official holds public office. If the opportunity to purchase the item or service itself has substantial value, the purchase of the item or service is prohibited.
80 Atty. Gen. 201.
19.451
19.451
Discounts at certain stadiums. No person serving in a national, state or local office, as defined in s.
5.02, may accept any discount on the price of admission or parking charged to members of the general public, including any discount on the use of a sky box or private luxury box, at a stadium that is exempt from general property taxes under s.
70.11 (36).
19.451 History
History: 1991 a. 37.
19.46
19.46
Conflict of interest prohibited; exception. 19.46(1)(1)
Except in accordance with the commission's advice under sub.
(2) and except as otherwise provided in sub.
(3), no state public official may:
19.46(1)(a)
(a) Take any official action substantially affecting a matter in which the official, a member of his or her immediate family, or an organization with which the official is associated has a substantial financial interest.
19.46(1)(b)
(b) Use his or her office or position in a way that produces or assists in the production of a substantial benefit, direct or indirect, for the official, one or more members of the official's immediate family either separately or together, or an organization with which the official is associated.
19.46(2)(a)1.1. Any individual, either personally or on behalf of an organization or governmental body, may make a request of the commission in writing, electronically, or by telephone for a formal or informal advisory opinion regarding the propriety under ch.
11, subch.
III of ch. 13, or this subchapter of any matter to which the person is or may become a party. Any appointing officer, with the consent of a prospective appointee, may request of the commission a formal or informal advisory opinion regarding the propriety under ch.
11, subch.
III of ch. 13, or this subchapter of any matter to which the prospective appointee is or may become a party. The commission shall review a request for an advisory opinion and may issue a formal or informal written or electronic advisory opinion to the person making the request. Except as authorized or required for opinions specified in s.
19.55 (4) (b), the commission's deliberations and actions upon such requests shall be in meetings not open to the public. A member of the commission may, by written request, require the commission to review an advisory opinion.
19.46(2)(a)2.
2. To have legal force and effect, each formal and informal advisory opinion issued by the commission must be supported by specific legal authority under a statute or other law, or by specific case or common law authority. Each formal and informal advisory opinion shall include a citation to each statute or other law and each case or common law authority upon which the opinion is based, and shall specifically articulate or explain which parts of the cited authority are relevant to the commission's conclusion and why they are relevant.
19.46(2)(a)3.
3. No person acting in good faith upon a formal or informal advisory opinion issued by the commission under this subsection is subject to criminal or civil prosecution for so acting, if the material facts are as stated in the opinion request.
19.46(2)(a)4.
4. At each regular meeting of the commission, the commission administrator shall review informal advisory opinions requested of and issued by the administrator and that relate to recurring issues or issues of first impression for which no formal advisory opinion has been issued. The commission may determine to issue a formal advisory opinion adopting or modifying the informal advisory opinion. If the commission disagrees with a formal or informal advisory opinion that has been issued by or on behalf of the commission, the commission may withdraw the opinion, issue a revised formal or informal advisory opinion, or request an opinion from the attorney general. No person acting after the date of the withdrawal or issuance of the revised advisory opinion is exempted from prosecution under this subsection if the opinion upon which the person's action is based has been withdrawn or revised in relevant degree.
19.46(2)(a)5.
5. Except as authorized or required under s.
19.55 (4) (b), no member or employee of the commission may make public the identity of the individual requesting a formal or informal advisory opinion or of individuals or organizations mentioned in the opinion.
