Note to Revisor: 1) Remove the example at the end of sub. (14)(c).
2) Remove the “1)" from the first note at the end of Tax 14.05.
3) Remove notes 2 and 3 at the end of Tax 14.05.
4) Insert the following 4 notes at the end of Tax 14.05:
Note: Section Tax 14.05 interprets ss. 71.52(2) and (8), 71.53(2)(e) and (f), 71.54(2)(a) and (c) and 71.55(2) and (8), Stats.
Note: Section 71.54(2)(a)(intro.), Stats., was amended by 1995 Wis. Act 27, effective July 28, 1995, to reference “relief from any county under s. 59.07(154)," Stats. (s. 59.07(154), Stats., was renumbered s. 59.53(21), Stats., by 1995 Wis. Act 201, effective September 1, 1996). Section 71.54(2)(a)(intro.), Stats., was again amended, by 1995 Wis. Act 289, effective July 1, 1996, to provide for a one-twelfth reduction of rent constituting property taxes accrued for months a claimant received Wisconsin works under s. 49.147(4) or (5), Stats. Prior to the enactment of 1995 Wis. Acts 27 and 289, the county relief reference was to “general relief from any municipality or county," and there was no reference to Wisconsin works because that program did not exist.
Note: Section 71.54(2)(a)(intro.), Stats., was amended by 1999 Wis. Act 9, effective for 2000 homestead credit claims filed in calendar year 2001 and thereafter, to require a one-twelfth reduction of rent constituting property taxes accrued for months a claimant received Wisconsin works payments as a caretaker of a newborn child under s. 49.148(1m), Stats. Under the statutes in effect immediately prior to the enactment of 1999 Wis. Act 9, the reduction was not required for receipt of those payments.
Note: The standard rate of $100 per week for rent paid for occupancy by residents of nursing homes or long-term care facilities became effective with rent paid for calendar year 2000. For rent paid for calendar years 1999 and prior, the standard rate was $40 per week.
SECTION 37. Tax 14.06(title), (1) and (3)(c)(intro.) are amended to read:
Tax 14.06(title) Marriage, separation, or divorce during a claim year.
(1) PURPOSE. This section describes the qualifications for a homestead credit and the computation of household income, property taxes accrued, and rent constituting property taxes accrued of a claimant who becomes married or divorced during the year to which a homestead credit claim relates or whose spouse occupies a separate dwelling for any part of a claim year.
Note to Revisor: Replace the example at the end of sub. (2)(c) with the following:
Example: X marries Y on September 1, and they decide that X is to be the claimant. Prior to the marriage, X pays gross rent of $250 per month and Y pays gross rent of $350 per month. They pay gross rent of $500 per month for their jointly occupied apartment after the marriage. Heat is not included at any of the dwellings. X's income is $4,000 prior to the marriage, and X's services and property generate marital property income of $2,000 after the marriage. Y's income is $10,000 prior to the marriage, and Y's services and property generate marital property income of $5,000 after the marriage. There are no dependents.
In this situation, household income reportable by X is $11,000, consisting of X's $4,000 of income prior to the marriage plus the $7,000 income of both X and Y after the marriage. Rent constituting property taxes accrued which may be claimed by X is $1,000, which is 25% of the sum of X's rent of $250 per month for 8 months, or $2,000, and 4 months rent at $500 per month after the marriage, or $2,000, totaling $4,000 for the year. Since Y is not the claimant, Y's rent of $350 per month and income of $10,000 for the 8 months prior to the marriage are not considered in computing the homestead credit.
(3)(c)(intro.) In the event a husband and wife occupy separate dwellings or become divorced during a claim year, household income is determined under s. 71.52(5), Stats., under Wisconsin income tax law, and under marital property law as provided in ch. 766, Stats., except that marital property law does not apply if one of the spouses is not domiciled in Wisconsin during the period of time they occupy separate dwellings. Household income shall be determined as follows:
Note to Revisor: 1) Remove the “1)" from the first note at the end of Tax 14.06.
2) Replace note 2 at the end of Tax 14.06 with the following:
Note: Throughout s. Tax 14.06, it has been assumed that a dissolved marriage was dissolved by a decree of divorce. Under s. 766.01(7), Stats., the dissolution of a marriage may also be by annulment or decree of invalidity, or by entry of a decree of legal separation or separate maintenance. The computation of household income, property taxes accrued and rent constituting property taxes accrued is the same under any of these types of dissolutions.
3) Remove note 3 at the end of Tax 14.06.
4) Insert the following note at the end of Tax 14.06:
Note: Section Tax 14.06 interprets ss. 71.52(5), (7) and (8) and 71.53(1)(c), Stats.
Initial Regulatory Flexibility Analysis
This proposed rule order does not have a significant economic impact on a substantial number of small businesses.
Fiscal Estimate
The proposed rule order would increase the “standard rate" used to determine rent paid by nursing home residents for purposes of the Homestead credit from $40 per week to $100 per week. The effect of this change would be to increase, for any nursing home resident using the standard rate in the Homestead calculation, the credit received by $499. It is not known how many nursing home residents claim the Homestead credit, nor how many of them use the standard rate, instead of some other means of determining rent, in the Homestead calculation. Therefore, the fiscal effect of this rule change is not known. However, Homestead is limited to low-income persons and the credit is not allowed to nursing home residents who receive Medicaid; these restrictions make it unlikely that the number of persons affected by this rule change is more than 1,000. Thus, it is believed this rule will increase Homestead expenditures by less than $500,000.
Other changes in this proposed rule would update language and provisions relating to public assistance, gains from the sale of homes and the imposition of interest; would reflect proper filing and adjustment procedures, and deadlines; and would conform style and language to Legislative Council Rules Clearinghouse standards. These other changes have no fiscal effect.
Notice of Hearing
Workforce Development
Notice is hereby given that pursuant to ss. 103.66 and 104.04, Stats., the Department of Workforce Development proposes to hold a public hearing to consider the repeal and recreation of s. DWD 272.085 and the creation of s. DWD 270.085, relating to student worklike activities that do not constitute employment.
Hearing Information
March 30, 2000 Room 400X, GEF #1 Bldg.
Thursday 201 East Washington Ave.
10:00 a.m. MADISON, WI
Interested persons are invited to appear at the hearing and will be afforded the opportunity to make an oral presentation of their positions. Persons making oral presentations are requested to submit their facts, views, and suggested rewording in writing.
An accessible entrance to the building is available via a ramp from the corner of Washington Avenue and Webster Street to the Butler Street entrance. If you have special needs or circumstances that may make communication or accessibility difficult at the hearing, please call (608) 267-9403 at least 10 days prior to the hearing date. Accommodations such as ASL interpreters, English translators, or materials in audiotape format will be made available on request to the fullest extent possible.
Analysis Prepared by the Dept. of Workforce Development
Statutory authority: ss. 103.66 and 104.04, Stats.
Statutes interpreted: ss. 103.66 and 104.04, Stats.
The state's administrative rules on child labor currently do not contain specific provisions on the status of students who perform services such as helping in the lunchroom or cafeteria or performing minor clerical work in the school office or library. The field operations handbook of the Wage and Hour Division of the U.S. Department of Labor provides that student activities of this type should not be treated as employment under the wage and hour laws as long as certain conditions are met. This rule adopts a policy similar to the federal standards.
The proposed rule allows a student to help in the school lunchroom, clean a classroom, act as a hall monitor, or perform minor clerical work in the school office or library for periods of one hour per day or less. Other student worklike activities are permissible and not sufficient to constitute employment if they have an educational benefit for the student, do not add more than one hour to the school day, and do not displace a regular employe. Student worklike activities that meet these criteria are not subject to the minimum wage requirements.
Text of Rule
SECTION 1. DWD 270.085 is created to read:
DWD 270.085 Student worklike activities. (1) SPECIFIC ALLOWABLE ACTIVITIES. It is permissible under this chapter and not sufficient to constitute employment regardless of whether compensation is received when a student performs worklike activities in his or her own elementary or secondary school under the following conditions:
(a) The student helps in the school lunchroom or cafeteria, cleans a classroom, acts as a hall monitor, or performs minor clerical work in the school office or library.
(b) The student performs the activities in par. (a) for periods of an hour per day or less on days school is in session or for longer time periods on days that school is not in session so that the annual total time spent on the activities listed in par. (a) is no more than the equivalent of one hour per school day.
(2) CONDITIONS FOR OTHER STUDENT WORKLIKE ACTIVITIES. Student worklike activities in an elementary or secondary school other than those listed in sub. (1) are permissible under this chapter and will not be considered sufficient to constitute employment under the following conditions:
(a) The activity is basically educational, is conducted primarily for the benefit of the student, and comprises one of the facets of the educational opportunities offered to the student. The nonemployment status is not changed if the student also receives payment in order to have a more realistic worklike situation or as an incentive to the student.
(b) The time in attendance at school plus the time spent at the activity does not exceed the time that the student would be required to attend school under a normal academic schedule by more than one hour per day.
(c) The student does not displace a regular employe or reduce previously existing employment opportunities by performing work that would otherwise be performed by regular employes.
SECTION 2. DWD 272.085 is repealed and recreated to read:
DWD 272.085 Student activities and employment. (1) INDEPENDENT COLLEGES AND UNIVERSITIES. (a) Independent colleges and universities may employ full-time students who are 18 years of age and over for 20 hours per week or less at the established federal Fair Labor Standards Act rates.
(b) Students who work at independent colleges or universities for over 20 hours per week shall be paid at the rates established under s. DWD 272.03.
(2) ELEMENTARY AND SECONDARY SCHOOLS. Student activities that meet the criteria of s. DWD 272.085 are not covered by the minimum wage provisions of this chapter.
Initial Regulatory Flexibility Analysis
The proposed rule does not affect small business.
Fiscal Estimate
The proposed rule promotes educational opportunities for youth by allowing worklike activities under conditions that are intended to benefit the student. Schools have not been able to offer these opportunities in the past without being subject to child labor prohibitions and minimum wage requirements.
Contact Information
Elaine Pridgen, Office of Legal Counsel
Dept. of Workforce Development
P.O. Box 7946
Madison, WI 53707-7946
Telephone (608) 267-9403
Written Comments
Written comments on the proposed rules received at the above address no later than Friday, April 7, 2000, will be given the same consideration as testimony presented at the hearing.
Notice of Submission of Proposed Rules to the Presiding Officer of each House of the Legislature, Under S. 227.19, Stats.
Please check the Bulletin of Proceedings for further information on a particular rule.
S. ETF 10.55 - Relating to the proper reporting of creditable service, earnings and participating employes of instrumentalities of two or more units of government when the joint instrumentality does not qualify as a separate employer for WRS purposes.
S. NR 150.03 and ch. NR 170 - Relating to power plant siting.
SS. NR 10.01, 10.27 and 10.28 - Relating to deer hunting in Council Grounds state park.
Ch. PSC 4 - Relating to implementing the Wisconsin Environmental Policy Act (WEPA).
