AB386-AA1,23,21 19(7) Federal tax treatment of benefits. With respect to the federal income
20taxation of family or medical leave insurance benefits, the department shall do all
21of the following:
AB386-AA1,24,222 (a) At the time an individual files a claim for those benefits, advise the
23individual that those benefits may be subject to federal income taxation, that
24requirements exist under federal law pertaining to estimated tax payments, and
25that the individual may elect to have federal income taxes withheld from the

1individual's benefit payments and may change that election not more than one time
2in an application year.
AB386-AA1,24,63 (b) Allow the individual to elect to have federal income tax deducted and
4withheld from the individual's benefit payments, allow the individual to change that
5election not more than one time in an application year, and deduct and withhold that
6tax in accordance with the individual's election as provided under 26 USC 3402.
AB386-AA1,24,97 (c) Upon making a deduction under par. (b), transfer the amount deducted from
8the family and medical leave benefits insurance trust fund to the federal internal
9revenue service.
AB386-AA1,24,1210 (d) In deducting and withholding federal income taxes from an individual's
11benefit payments, follow all procedures specified by the federal internal revenue
12service pertaining to the deducting and withholding of federal income tax.
AB386-AA1,24,18 13(8) Family and medical leave benefits insurance trust fund. (a) The
14department shall determine the amount of the required contribution by each
15employee, self-employed individual who elects coverage under sub. (2), and each
16employer. The required contribution shall be based on the employee's wages or the
17self-employed individual's earnings. The required contribution for an employee
18shall be equally shared between each employee and the employee's employer.
AB386-AA1,24,2019 (b) Each employer shall withhold from the wages of its employees the amount
20determined by the department under this subsection.
AB386-AA1,25,221 (c) The department shall promulgate rules to establish procedures for filing
22wage reports and collecting the contributions withheld by employers and
23employer-required contributions under par. (a). The department may utilize the
24quarterly wage reports submitted under s. 108.205 in lieu of separate contribution

1reports and may utilize the procedures for collecting contributions that apply to the
2collection of contributions to the unemployment reserve fund under s. 108.17.
AB386-AA1,25,63 (cm) The department shall promulgate rules providing for a right to a hearing
4in cases involving the liability of employers for contributions under this subsection.
5The department's decisions shall be subject to the rights and procedures for
6contested cases under ch. 227.
AB386-AA1,25,87 (d) The department shall collect contributions from self-employed individuals
8pursuant to procedures established by the department under sub. (12) (b).
AB386-AA1,25,109 (e) The department shall deposit contributions received under this subsection
10in the family and medical leave benefits insurance trust fund.
AB386-AA1,25,1511 (f) The department shall use moneys deposited in the family and medical leave
12benefits insurance trust fund to pay benefits under sub. (3), to refund amounts
13erroneously paid by employers, and to pay for the administration of the family and
14medical leave benefits insurance program under this section and for no other
15purpose.
AB386-AA1,25,22 16(9) Denial of claims; overpayments. (a) The department shall promulgate
17rules providing for a right to a hearing in cases of disputes involving an individual's
18eligibility for benefits or status as a covered individual under this section. The
19department's decisions shall be subject to the rights and procedures for contested
20cases under ch. 227. To the extent necessary and practical, the department may
21prescribe procedures in conjunction with any rules promulgated for administrative
22proceedings under ss. 103.10 (12) and 103.11 (12).
AB386-AA1,26,223 (b) 1. If the department pays family or medical leave insurance benefits to an
24individual erroneously or as a result of willful misrepresentation, the individual's
25liability to reimburse the fund for the overpayment may be set forth in a

1determination that is subject to review under par. (a). The department may prescribe
2procedures for waiver of overpayments.
AB386-AA1,26,73 2. To recover any overpayment to a covered individual that is not otherwise
4repaid or the recovery of which has not been waived, the department may recoup the
5amount of the overpayment by, in addition to its other remedies, deducting the
6amount of the overpayment from benefits the individual would otherwise be eligible
7to receive.
AB386-AA1,26,118 3. The department may establish other procedures for recovering
9overpayments and may utilize procedures under ch. 108, including the department's
10remedies for collecting overpayments under ss. 108.22 and 108.225, subject to rules
11promulgated by the department.
AB386-AA1,26,1212 4. The department may not collect any interest on any benefit overpayment.
AB386-AA1,26,14 13(10) Prohibited acts. (a) No person may interfere with, restrain, or deny the
14exercise of any right provided under this section.
AB386-AA1,26,1915 (b) No person may discharge or otherwise discriminate against any person for
16exercising any right provided under this section, opposing a practice prohibited
17under this section, filing a complaint or attempting to enforce any right provided
18under this section, or testifying or assisting in any action or proceeding to enforce any
19right provided under this section.
AB386-AA1,26,2320 (c) No collective bargaining agreement or employer policy may diminish or
21abridge an employee's rights under this section. Any agreement purporting to waive
22or modify an employee's rights under this section is void as against public policy and
23unenforceable.
AB386-AA1,27,11 24(11) Enforcement. (a) Any person who believes that his or her rights under
25this section have been interfered with, restrained, or denied in violation of sub. (10)

1(a) or that he or she has been discharged or otherwise discriminated against in
2violation of sub. (10) (b) may, within 30 days after the violation occurs or the person
3should reasonably have known that the violation occurred, whichever is later, file a
4complaint with the department alleging the violation, and the department shall
5process the complaint in the same manner as complaints filed under s. 103.10 (12)
6(b) are processed. If the department finds that an employer has violated sub. (10) (a)
7to (c), the department may order the employer to take action to remedy the violation,
8including providing the requested family leave or medical leave, reinstating an
9employee, providing back pay accrued not more than 2 years before the complaint
10was filed, and, notwithstanding s. 814.04 (1), paying reasonable actual attorney fees
11to the complainant.
AB386-AA1,27,1612 (b) After the completion of an administrative proceeding under par. (a),
13including judicial review, an employee or the department may bring an action in
14circuit court against an employer to recover damages caused by a violation of sub.
15(10) (a) to (c). Section 103.10 (13) (b) applies to the commencement of an action under
16this paragraph.
AB386-AA1,27,19 17(12) Administration. The department shall administer the family and medical
18leave benefits insurance program under this section. In administering the program,
19the department shall do all of the following:
AB386-AA1,27,2120 (a) Establish procedures and forms for the filing of claims for benefits under
21this section.
AB386-AA1,27,2322 (b) Establish procedures and forms for collecting contributions from
23self-employed individuals.
AB386-AA1,27,2424 (c) Promulgate rules to implement this section.
AB386-AA1,28,3
1(d) Use information sharing and integration technology to facilitate the
2exchange of information as necessary for the department to perform its duties under
3this section.
AB386-AA1,28,94 (e) By September 1 of each year, submit a report to the governor, the joint
5committee on finance, and the appropriate standing committees of the legislature
6under s. 13.172 (3) on the family and medical leave benefits insurance program under
7this section. The report shall include the projected and actual rates of participation
8in the program, the premium rates for coverage under the program, and the balance
9in the family and medical leave benefits insurance trust fund under s. 25.52.
AB386-AA1,28,15 10(13) Records. (a) The records made or maintained by the department in
11connection with the administration of this section are confidential and shall be open
12to public inspection or disclosure only to the extent that the department allows in the
13interest of the family and medical leave benefits insurance program. No person may
14allow inspection or disclosure of any record provided by the department unless the
15department authorizes the inspection or disclosure.
AB386-AA1,28,2116 (b) The department may provide records made or maintained by the
17department in connection with the administration of this section to any
18governmental unit, corresponding unit in the government of another state, or any
19unit of the federal government. No such unit may allow inspection or disclosure of
20any record provided by the department unless the department authorizes the
21inspection or disclosure.
AB386-AA1,29,422 (c) Upon request of the department of revenue, the department may provide
23information, including social security numbers, concerning covered individuals to
24the department of revenue for the purpose of administering state taxes, identifying
25fraudulent tax returns, providing information for tax-related prosecutions, or

1locating persons or the assets of persons who have failed to file tax returns, who have
2underreported their taxable income, or who are delinquent debtors. The department
3of revenue shall adhere to the limitation on inspection and disclosure of the
4information under par. (b).
AB386-AA1,29,9 5(14) Benefit amount adjustment. On April 1 of each year, the department may
6adjust the maximum weekly benefit payment to 90 percent of the state average
7weekly earnings, which becomes effective on October 1 of that year. The department
8shall annually have the adjusted amount of the maximum weekly benefit payment
9published in the Wisconsin Administrative Register.
AB386-AA1,29,14 10(15) Notice posted. Each employer shall post, on its website and in one or more
11conspicuous places where notices to employees are customarily posted, a notice in a
12form approved by the department setting forth employees' rights under this section
13and any adjustment to benefits as provided in sub. (14). Any employer that violates
14this subsection shall forfeit not more than $100 for each violation.
AB386-AA1,77 15Section 77. 106.29 of the statutes is created to read:
AB386-AA1,29,21 16106.29 Health care workforce innovation grant program. (1) Health
17care workforce innovation grants.
The department shall, from the appropriation
18under s. 20.445 (1) (bw), establish and operate a program to provide grants to
19regional organizations to design and implement plans to address their region's
20health care-related workforce challenges that arose during or were exacerbated by
21the COVID-19 pandemic.
AB386-AA1,29,25 22(2) Implementation. (a) Duties. To implement this section, the department
23shall receive and review applications for grants under sub. (1) and prescribe the
24form, nature, and extent of the information that must be contained in an application
25for a grant under sub. (1).
AB386-AA1,30,3
1(b) Powers. In addition to the duties described in par. (a), the department shall
2have all other powers necessary and convenient to implement this section, including
3the power to audit and inspect the records of grant recipients.
AB386-AA1,78 4Section 78. 106.295 of the statutes is created to read:
AB386-AA1,30,12 5106.295 Health care workforce opportunity grants. The department
6shall, from the appropriation under s. 20.445 (1) (bx), establish and operate a
7program to provide grants to local workforce development boards established under
829 USC 3122 to assist individuals whose employment status was negatively affected
9by the COVID-19 pandemic and whose employment status has not improved. The
10department shall target individuals employed or seeking employment in health
11care-related fields and individuals who are currently ineligible for services under
12the federal Workforce Innovation and Opportunity Act, 29 USC 3101 to 3361.
AB386-AA1,79 13Section 79 . 111.322 (2m) (a) of the statutes is amended to read:
AB386-AA1,30,1714 111.322 (2m) (a) The individual files a complaint or attempts to enforce any
15right under s. 103.02, 103.10, 103.105, 103.11, 103.13, 103.28, 103.32, 103.34,
16103.455, 104.12, 109.03, 109.07, 109.075, 146.997, or 995.55, or ss. 101.58 to 101.599
17or 103.64 to 103.82.
AB386-AA1,80 18Section 80 . 111.322 (2m) (b) of the statutes is amended to read:
AB386-AA1,30,2219 111.322 (2m) (b) The individual testifies or assists in any action or proceeding
20held under or to enforce any right under s. 103.02, 103.10, 103.105, 103.11, 103.13,
21103.28, 103.32, 103.34, 103.455, 104.12, 109.03, 109.07, 109.075, 146.997, or 995.55,
22or ss. 101.58 to 101.599 or 103.64 to 103.82.
AB386-AA1,81 23Section 81. 115.41 of the statutes is renumbered 115.41 (1).
AB386-AA1,82 24Section 82. 115.41 (2) of the statutes is created to read:
AB386-AA1,31,5
1115.41 (2) From the appropriation under s. 20.255 (3) (ci), beginning in the
22024-25 school year, the department shall provide payments, in the amount of
3$9,600 per individual per semester, to prospective teachers who are participating in
4the program under sub. (1). The department may promulgate rules to implement
5this subsection.
AB386-AA1,83 6Section 83. 115.421 of the statutes is created to read:
AB386-AA1,31,12 7115.421 Student teacher stipends. From the appropriation under s. 20.255
8(3) (cs), beginning in the 2024-25 school year, the department shall provide
9payments, in the amount of $2,500 per individual per semester, to an individual who
10is completing student teaching as part of a teacher preparatory program approved
11by the state superintendent under s. 115.28 (7) (a). The department may promulgate
12rules to implement this section.
AB386-AA1,84 13Section 84. 115.422 of the statutes is created to read:
AB386-AA1,31,21 14115.422 Grow your own programs; teacher pipeline capacity building.
15(1) In this section, “grow your own program” means a program to encourage
16individuals to pursue a career in teaching or to facilitate teacher licensure. “Grow
17your own program” includes high school clubs that encourage careers in teaching,
18payment of costs associated with current staff acquiring education needed for
19licensure, support for career pathways using dual enrollment, support for
20partnerships focused on attracting or developing new teachers, or incentives for
21paraprofessionals to gain licensure.
AB386-AA1,31,25 22(2) Beginning in the 2024-25 school year, from the appropriation under s.
2320.255 (2) (ch), the department shall award grants to a school district or the operator
24of a charter school under s. 118.40 (2r) or (2x) to reimburse the school district or
25charter school for costs associated with grow your own programs.
AB386-AA1,32,2
1(3) The department shall promulgate rules to implement and administer this
2section, including criteria for awarding a grant.
AB386-AA1,85 3Section 85. 115.424 of the statutes is created to read:
AB386-AA1,32,8 4115.424 Cooperating teacher stipends. From the appropriation under s.
520.255 (3) (ct), beginning in the 2024-25 school year, the department shall provide
6payments, in the amount of $1,000 per teacher per semester, to a cooperating teacher
7who is overseeing an individual who is completing student teaching. The
8department may promulgate rules to implement this section.
AB386-AA1,86 9Section 86. 119.04 (1) of the statutes, as affected by 2023 Wisconsin Act 12,
10is amended to read:
AB386-AA1,32,2311 119.04 (1) Subchapters IV, V and VII of ch. 115, ch. 121 and ss. 66.0235 (3) (c),
1266.0603 (1m) to (3), 115.01 (1) and (2), 115.28, 115.31, 115.33, 115.34, 115.343,
13115.345, 115.363, 115.364, 115.365 (3), 115.366, 115.367, 115.38 (2), 115.415, 115.422,
14115.445, 118.001 to 118.04, 118.045, 118.06, 118.07, 118.075, 118.076, 118.10, 118.12,
15118.124, 118.125 to 118.14, 118.145 (4), 118.15, 118.153, 118.16, 118.162, 118.163,
16118.164, 118.18, 118.19, 118.196, 118.20, 118.223, 118.225, 118.24 (1), (2) (c) to (f), (6),
17(8), and (10), 118.245, 118.25, 118.255, 118.258, 118.291, 118.292, 118.293, 118.2935,
18118.30 to 118.43, 118.46, 118.50, 118.51, 118.52, 118.53, 118.55, 118.56, 120.12 (2m),
19(4m), (5), and (15) to (27), 120.125, 120.13 (1), (2) (b) to (g), (3), (14), (17) to (19), (26),
20(34), (35), (37), (37m), and (38), 120.137, 120.14, 120.20, 120.21 (3), and 120.25 are
21applicable to a 1st class city school district and board but not, unless explicitly
22provided in this chapter or in the terms of a contract, to the commissioner or to any
23school transferred to an opportunity schools and partnership program.
AB386-AA1,87 24Section 87. 146.618 of the statutes is amended to read:
AB386-AA1,33,5
1146.618 Treatment program grants. From s. 20.435 (5) (bg) or any available
2federal moneys, the department shall distribute a total of $750,000 in grants in each
3fiscal year to support treatment programs. Grant recipients shall use moneys
4awarded under this section for supervision, training, and resources, including
5salaries, benefits, and other related costs.
AB386-AA1,88 6Section 88. 146.64 (2) (c) 1. of the statutes is amended to read:
AB386-AA1,33,127 146.64 (2) (c) 1. The department shall distribute funds for grants under par.
8(a) from the appropriation under s. 20.435 (4) (bf). The department may not
9distribute more than $225,000 $450,000 from the appropriation under s. 20.435 (4)
10(bf) to a particular hospital in a given state fiscal year and may not distribute more
11than $75,000 $150,000 from the appropriation under s. 20.435 (4) (bf) to fund a given
12position in a graduate medical training program in a given state fiscal year.
AB386-AA1,89 13Section 89. 165.68 (1) (a) 3. of the statutes is amended to read:
AB386-AA1,33,1414 165.68 (1) (a) 3. Sexual abuse, as defined in s. 103.10 (1m) (b) 6 (1) (gd).
AB386-AA1,90 15Section 90. 230.12 (9m) of the statutes is created to read:
AB386-AA1,33,1616 230.12 (9m) Paid family and medical leave. (a) Definitions. In this subsection:
AB386-AA1,33,1817 1. “Family leave” means leave from employment for a reason specified in s.
18103.10 (3) (b) 1. to 7.
AB386-AA1,33,2319 2. “Medical leave” means leave from employment when an employee has a
20serious health condition that makes the employee unable to perform his or her
21employment duties, or makes the employee unable to perform the duties of any
22suitable employment, or because the employee is in medical isolation, as defined in
23s. 103.10 (1) (em).
AB386-AA1,33,2424 3. “Serious health condition” has the meaning given in s. 103.10 (1) (g).
AB386-AA1,34,8
1(b) Program. The administrator shall develop and recommend to the joint
2committee on employment relations a program, administered by the division, that
3provides paid family and medical leave for 12 weeks per year to employees whose
4compensation is established under this section or s. 20.923 (2) or (3) but does not
5include employees of the Board of Regents of the University of Wisconsin System.
6The approval process for the program is the same as that provided under sub. (3) (b),
7and, if approved, the program shall be incorporated into the compensation plan
8under sub. (1).
AB386-AA1,34,109 (c) Rules. The administrator may promulgate rules to implement the family
10and medical leave program under par. (b).
AB386-AA1,91 11Section 91. 323.19 (3) and (4) of the statutes are repealed.
AB386-AA1,92 12Section 92 . 2023 Wisconsin Act 19, section 9104 (1) (i) 3. em. and 4m. a. are
13created to read:
AB386-AA1,93 1Section 93 . Nonstatutory provisions.
AB386-AA1,35,32 (1) In the 2023-25 Authorized State Building Program, the appropriate totals
3are adjusted to reflect the changes made by Section 92 of this act.
AB386-AA1,35,94 (2) Positions for administration of family and medical leave benefits
5insurance program.
The authorized FTE positions for the department of workforce
6development are increased by 45.0 SEG positions in fiscal year 2023-24 and by 198.0
7SEG positions in fiscal year 2024-25, to be funded from the appropriation under s.
820.445 (6) (r), for the purpose of administering the family and medical leave benefits
9insurance program.
AB386-AA1,35,1410 (3) Proposed permanent rules. The department of workforce development
11shall submit in proposed form the rules required under s. 103.105 (8) (c) and (cm),
12(9) (a) and (b) 3., and (12) (c) to the legislative council staff under s. 227.15 (1) no later
13than the first day of the 4th month beginning after the effective date of this
14subsection.
AB386-AA1,35,1515 (4) Rule-making exceptions for permanent rules.
AB386-AA1,36,216 (a) Notwithstanding s. 227.135 (2), the department of workforce development
17is not required to present the statement of the scope of the rules required under s.
18103.105 (8) (c) and (cm), (9) (a) and (b) 3., and (12) (c) to the department of

1administration for review by the department of administration and approval by the
2governor.
AB386-AA1,36,53 (b) Notwithstanding s. 227.185, the department of workforce development is
4not required to present the rules required under s. 103.105 (8) (c) and (cm), (9) (a) and
5(b) 3., and (12) (c) in final draft form to the governor for approval.
AB386-AA1,36,86 (c) Notwithstanding s. 227.137 (2), the department of workforce development
7is not required to prepare an economic impact analysis for the rules required under
8s. 103.105 (8) (c) and (cm), (9) (a) and (b) 3., and (12) (c).
AB386-AA1,36,139 (d) Notwithstanding ss. 227.14 (2g) and 227.19 (3) (e), the department of
10workforce development is not required to submit the proposed rules required under
11s. 103.105 (8) (c) and (cm), (9) (a) and (b) 3., and (12) (c) to the small business
12regulatory review board and is not required to prepare a final regulatory flexibility
13analysis for those rules.
AB386-AA1,36,2514 (5) Emergency rules. Using the procedure under s. 227.24, the department of
15workforce development shall promulgate the rules required under s. 103.105 (8) (c)
16and (cm), (9) (a) and (b) 3., and (12) (c) for the period before the effective date of the
17permanent rules promulgated under s. 103.105 (8) (c) and (cm), (9) (a) and (b) 3., and
18(12) (c) but not to exceed the period authorized under s. 227.24 (1) (c), subject to
19extension under s. 227.24 (2). Notwithstanding s. 227.24 (1) (a), (2) (b), and (3), the
20department is not required to provide evidence that promulgating a rule under this
21subsection as an emergency rule is necessary for the preservation of public peace,
22health, safety, or welfare and is not required to provide a finding of an emergency for
23a rule promulgated under this subsection. Notwithstanding s. 227.24 (1) (e) 1d. and
241g., the department is not required to prepare a statement of the scope of the rules
25promulgated under this subsection or present the rules to the governor for approval.
AB386-AA1,37,4
1(6) Paid family and medical leave. If the paid family and medical leave program
2under s. 230.12 (9m) is approved by the joint committee on employment relations, it
3shall go into effect immediately upon approval by the joint committee on employment
4relations.
AB386-AA1,37,55 (7) Child care quality improvement program.
AB386-AA1,37,126 (a) Using the procedure under s. 227.24, the department of children and
7families may promulgate the rules authorized under s. 49.133 (2) as emergency
8rules. Notwithstanding s. 227.24 (1) (a) and (3), the department of children and
9families is not required to provide evidence that promulgating a rule under this
10subsection as an emergency rule is necessary for the preservation of the public peace,
11health, safety, or welfare and is not required to provide a finding of emergency for a
12rule promulgated under this subsection.
AB386-AA1,37,1613 (b) The authorized FTE positions for the department of children and families
14are increased by 4.0 GPR positions, to be funded from the appropriation under s.
1520.437 (2) (c), for the purpose of administering the child care quality improvement
16program under s. 49.133.
AB386-AA1,37,2317 (8) Election to continue annuity suspension. No later than 60 days after the
18effective date of this subsection, if an individual who is employed by a covered
19employer under the Wisconsin Retirement System has his or her annuity suspended
20under s. 40.26 (1m), 2021 stats., on the effective date of this subsection and wants
21to continue the suspension, the individual shall notify the department of employee
22trust funds on a form provided by the department. An election to continue the
23suspension is irrevocable.
AB386-AA1,38,224 (9) Health care provider innovation grants. Notwithstanding s. 46.48 (22),
25the department of health services may, from the appropriation under s. 20.435 (7)

1(bc), distribute not more than $7,225,000 in fiscal year 2023-24 as grants to health
2care providers and long-term care providers under s. 46.48 (22).
AB386-AA1,38,33 (10) Paid family and medical leave.
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