•• Tax 21.02 defines terms – department, municipality, transfer and tribe •• Tax 21.03 describes the methodology to determine fair market compensation attributed to the volunteer services of fire fighters and emergency medical services practitioners •• Tax 21.04 provides innovation planning grant information on eligibility and DOR's application to apply for the grant •• Tax 21.05 provides innovation grant information on eligibility, DOR's application to apply for the grant, and audit processing •• Tax 21.06 provides the notice date •• Section 2 provides the effective date upon publication in the register Summary of, and comparison with, existing or proposed federal regulation: DOR is not aware of any existing or proposed federal regulation that is intended to address the activities to be regulated by the rule.
Summary of comments received during preliminary comment period and public hearing on the statement of scope: On March 28, 2024, DOR received a directive from JCRAR to hold a preliminary public hearing and comment period for the Scope Statement. On April 1, 2024, a notice was posted in the Wisconsin Administrative Register with information on the April 5, 2024, public hearing and comment period. The preliminary public hearing was virtually held on April 5, 2024. There were no comments provided at the hearing. In addition, there were no written comments submitted during the comment period.
Comparison with rules in adjacent states: DOR is not aware of a similar rule in an adjacent state.
Summary of factual data and analytical methodologies: DOR's website currently specifies calculations and provides examples for counties, municipalities, and tribes to complete processes provided by state law. The proposed language is consistent with these existing processes.
Analysis and supporting documents used to determine effect on small business: This rule order provides innovation grant information as required by 2023 Wisconsin Act 12. No additional analysis or supporting documents were used to determine the effect on small business. Anticipated costs incurred by private sector: DOR does not expect increased costs by the private sector.
Effect on small business: This rule does not have a direct effect on small business.
Agency contact person: Please contact Scott Shields at (608) 266-8223 or scott.shields@wisconsin.gov, if you have any questions regarding this proposed rule. Place where comments are to be submitted and deadline for submission: Comments may be submitted to the contact person shown below no later than the date on which the public hearing on this proposed rule is conducted. Information as to the place, date, and time of the public hearing will be published in the Wisconsin Administrative Register.
Scott Shields
Department of Revenue
Mail Stop 6-97
2135 Rimrock Road
P.O. Box 8971
Madison, WI 53708-8971
SECTION 1. Tax 21 is created to read:
INNOVATION GRANTS AND INNOVATION PLANNING GRANTS
Tax 21.01 Purpose. The purpose of this chapter is to clarify the administration of innovation grants and innovation planning grants under s. 79.038, Stats. Tax 21.02 Definitions. In this chapter:
1(1) "Department" means the Wisconsin department of revenue. 2(2) "Municipality" is defined as provided by s. 79.005 (1m), Stats. 3(3) "Transfer" means a transition of responsibility for providing a service or duty from one or more municipalities, counties or tribes to another municipality, county, tribe , non-profit organization, or private entity. 4(4) "Tribe" means a federally recognized American Indian Tribe or band in the state of Wisconsin. Tax 21.03 Volunteer fire fighter and emergency medical services practitioner fair market compensation. To determine the fair market compensation attributed to the volunteer services provided by a fire fighter and emergency medical services practitioner, counties, municipalities, and tribes shall complete the following:
1(1) METHODOLOGY. Use the methodology set forth on the department's website. a(a) Consider incurred costs or determine the fair market wages to attribute based on the Wisconsin regional and county data from the United States bureau of labor statistics using the median hourly wage rates for the occupational codes applicable to fire fighters and emergency medical services practitioners. b(b) Consider incurred costs or determine the fair market fringe benefits to attribute based on the Wisconsin regional and county data from the United States bureau of labor statistics. c(c) Consider incurred costs to determine the training and equipment costs to attribute. Tax 21.04 Innovation planning grants. The department shall determine eligibility for the innovation planning grant as follows:
1(1) ELIGIBILITY. Municipalities and tribes with a population not exceeding 5,000 are eligible for the innovation planning grant. a(a) To determine a municipality's eligibility, the department shall use the population defined in s. 79.005, Stats., as of the date the application is submitted to the department. b(b) To determine a tribe's eligibility, the department shall use the most recent population data from the United States census bureau as of the date the application is submitted to the department. 2(2) APPLICATION. The innovation planning grant application shall be completed and submitted by a municipality or tribe electronically via the department's website. Tax 21.05 Innovation grants.
1(1) ELIGIBILITY. All counties, municipalities, and tribes within the state of Wisconsin are eligible to apply for the innovation grant. 2(2) APPLICATION. The innovation grant application shall be completed and submitted electronically via the department's website. 3(3) AUDIT AND CERTIFICATIONS. a(a) Each county, municipality, and tribe participating in an approved innovation project shall maintain detailed records for a minimum period of four years after receiving the first grant payment distribution . b(b) The department may require additional documentation to complete an audit required by s. 79.038 (1) (f) 1., Stats. c(c) The department may require each grant participant to submit a report or certification to the department attesting the required cost savings have been realized. d(d) The department may direct the department of administration to delay the final grant distribution while an audit under s. 79.038 (1) (f) 1., Stats, or review of the report or certification in par. (c), is pending. e(e) The department shall direct the department of administration to reduce the final grant distribution of any county, municipality, or tribe that has not realized the projected savings outlined in the approved innovation project as required under s. 79.038 (1) (d) 3., Stats. Tax 21.06 Notice date. The notice date is November 13, 2024, and represents the date identified on the notice of filing innovation grant program rules, as required by 2023 Wisconsin Act 12, section 244 (1). SECTION 2. EFFECTIVE DATE; GENERAL. This rule shall take effect on the first day of the month following publication in the Wisconsin Administrative Register as provided in s. 227.22 (2) (intro.), Stats. DEPARTMENT OF REVENUE
Dated: June 4, 2025 By: ___________________________
David Casey
Secretary of Revenue
