1999 Wisconsin Act 9

9,82m Section 82m. 16.72 (2) (b) of the statutes is amended to read:

16.72 (2) (b) Except as provided in s. ss. 16.751 and 565.25 (2) (a) 4., the department shall prepare or review specifications for all materials, supplies, equipment, other permanent personal property and contractual services not purchased under standard specifications. Such "nonstandard specifications" may be generic or performance specifications, or both, prepared to describe in detail the article which the state desires to purchase either by its physical properties or programmatic utility. When appropriate for such nonstandard items or services, trade names may be used to identify what the state requires, but wherever possible 2 or more trade names shall be designated and the trade name of any Wisconsin producer, distributor or supplier shall appear first.

9,82p Section 82p. 16.72 (2) (d) of the statutes is amended to read:

16.72 (2) (d) To Except as permitted in s. 16.751, to the extent possible, the department and any other designated purchasing agent under s. 16.71 (1) shall write specifications for the purchase of materials, supplies, commodities, equipment and contractual services so as to permit their purchase from prison industries, as created under s. 303.01 (1).

9,82pm Section 82pm. 16.72 (2) (e) of the statutes is renumbered 16.72 (2) (e) 1.

9,82pr Section 82pr. 16.72 (2) (e) 2. of the statutes is created to read:

16.72 (2) (e) 2. a. In this subdivision, "toner cartridge" means a cartridge containing dry, powdered ink for application to paper by use of a photocopier, laser printer or similar device.

b. In writing specifications for purchases under this section, the department, any other designated purchasing agent under s. 16.71 (1) and each authority, other than the University of Wisconsin Hospitals and Clinics Authority, shall ensure that the specifications prohibit the procurement of a toner cartridge whose original manufacturer places restrictions on the remanufacturing of the toner cartridge by any person other than the original manufacturer. Restrictions on remanufacturing include reducing the price of the toner cartridge in exchange for an agreement not to remanufacture the toner cartridge, a licensing agreement on the toner cartridge that forbids remanufacturing and any contract that forbids the remanufacturing or recycling of a toner cartridge. Trade names may be used in specifications written under this subdivision.

9,84 Section 84. 16.72 (6) and (7) of the statutes are repealed.

9,84m Section 84m. 16.74 (5m) of the statutes is created to read:

16.74 (5m) In writing specifications for purchases under this section, the joint committee on legislative organization, house, legislative service agency, director of state courts or judicial branch agency shall ensure that specifications include a prohibition against the purchase of a toner cartridge, as defined in s. 16.72 (2) (e) 2. a., whose original manufacturer places restrictions on the remanufacturing of the toner cartridge by any person other than the original manufacturer. Restrictions on remanufacturing include reducing the price of the toner cartridge in exchange for an agreement not to remanufacture the toner cartridge, a licensing agreement on the toner cartridge that forbids remanufacturing and any contract that forbids the remanufacturing or recycling of a toner cartridge. Trade names may be used in specifications written under this subsection.

9,85m Section 85m. 16.75 (1) (a) 1. of the statutes is amended to read:

16.75 (1) (a) 1. All orders awarded or contracts made by the department for all materials, supplies, equipment and contractual services to be provided to any agency, except as otherwise provided in par. (c) and subs. (2), (2g), (2m), (3m), (3t), (6), (7), (8) and (9) and ss. 16.73 (4) (a), 16.751, 16.754, 50.05 (7) (f), 287.15 (7) and 301.265, shall be awarded to the lowest responsible bidder, taking into consideration life cycle cost estimates under sub. (1m), when appropriate, the location of the agency, the quantities of the articles to be supplied, their conformity with the specifications, and the purposes for which they are required and the date of delivery.

9,86m Section 86m. 16.75 (2m) (g) of the statutes is amended to read:

16.75 (2m) (g) After receiving each offerer's best and final offer, the department shall determine which proposal is most advantageous and shall award the order or contract to the person who offered it. The department's determination shall be based only on price and the other evaluation factors specified in the request for proposals. The department shall state in writing the reason for the award and shall place the statement in the contract file. This paragraph does not apply to procurements under s. 16.751.

9,89m Section 89m. 16.751 of the statutes is created to read:

16.751 Information technology purchases by investment board. (1) In this section, "information technology" has the meaning given under s. 16.97 (6).

(2) The requirements of ss. 16.72 (2) (b) and (d) and 16.75 (1) (a) 1. and (2m) (g) do not apply to procurements by the investment board for information technology purposes.

9,93 Section 93. 16.76 (4) (a) of the statutes is amended to read:

16.76 (4) (a) In this subsection, "master lease" means an agreement entered into by the department on behalf of one or more agencies for the lease of goods or the provision of to obtain property or services under which the department makes or agrees to make periodic payments.

(ag) The department may pay or agree to pay to the lessor under a master lease a sum substantially equivalent to or in excess of the aggregate value of goods involved property or services obtained and it may be agreed that the department or one or more agencies will become, or for no other or nominal consideration has the option to become, the owner of goods leased or to be leased property obtained or to be obtained under a master lease upon full compliance with the its terms of the agreement.

9,95 Section 95. 16.76 (4) (b) of the statutes is amended to read:

16.76 (4) (b) The Except as provided in par. (h), the department may enter into a master lease whenever the department determines that it is advantageous to the state to do so. If the master lease provides for payments to be made by the state from moneys that have not been appropriated at the time that the master lease is entered into, the master lease shall contain the statement required under s. 16.75 (3).

9,96 Section 96. 16.76 (4) (c) of the statutes is amended to read:

16.76 (4) (c) Payments under a master lease may include interest payable at a fixed or variable rate as the master lease may provide. The department may enter into agreements and ancillary arrangements which the department determines to be necessary to facilitate the use of a master lease, including liquidity facilities, remarketing or dealer agreements, letter of credit agreements, insurance policies, interest rate guaranty agreements, reimbursement agreements and indexing agreements.

9,97 Section 97. 16.76 (4) (e) of the statutes is amended to read:

16.76 (4) (e) The department may grant the lessor a perfected security interest in goods leased property obtained or to be leased obtained under each a master lease. The department shall record and preserve evidence of the security interest in its offices at all times during which the master lease is in effect.

9,98 Section 98. 16.76 (4) (f) of the statutes is amended to read:

16.76 (4) (f) The department may appoint one or more fiscal agents for each master lease. Each fiscal agent shall be an incorporated bank or trust company authorized by the laws of the United States or of the state in which it is located to do business as a banking or trust company. Sections 16.705 and 16.75 do not apply to contracts for fiscal agent services. The department shall periodically require competitive proposals, under procedures established by the department, for fiscal agent services under this paragraph. There may be deposited with a fiscal agent, in a special account for such purpose only, a sum estimated to be sufficient to enable the fiscal agent to make all payments which will come due under the master lease not more than 15 days after the date of deposit. The department may make such other provisions respecting fiscal agents as it considers necessary or useful and may enter into a contract with any fiscal agent containing such terms, including compensation, and conditions in regard to the fiscal agent as it considers necessary or useful.

9,99 Section 99. 16.76 (4) (g) of the statutes is created to read:

16.76 (4) (g) Sections 16.705 and 16.75 do not apply to agreements or ancillary agreements under par. (c) or contracts for fiscal agent services under par. (f).

9,100 Section 100. 16.76 (4) (h) of the statutes is created to read:

16.76 (4) (h) A master lease may not be used to obtain a facility for use or occupancy by the state or an agency or instrumentality of the state or to obtain an internal improvement.

9,102 Section 102. 16.76 (4) (j) of the statutes is created to read:

16.76 (4) (j) If a master lease is used to finance payments to be made under an energy conservation construction project as provided in s. 16.858 (2), payments under the lease may not be conditioned upon any payment required to be made by the contractor pursuant to an energy conservation audit.

9,105e Section 105e. 16.853 of the statutes is created to read:

16.853 Grant to Heritage Military Music Foundation. If the Heritage Military Music Foundation requests the department to review an estimate of the cost of improvements to its building in the city of Watertown, the department shall review the estimate. If the department approves the estimate, the department shall provide a grant to the foundation in the amount of $85,300 for the purpose of making improvements to that building.

9,105f Section 105f. 16.853 of the statutes, as created by 1999 Wisconsin Act .... (this act), is repealed.

9,105m Section 105m. 16.857 of the statutes is created to read:

16.857 Agency building maintenance. (1) In this section, "agency" has the meaning given under s. 16.70 (1).

(2) The department shall require each agency to which moneys are appropriated in any fiscal period for capital building maintenance purposes to submit a work plan to the department describing the agency's proposal for expenditure of those moneys. The plan shall be submitted for such period as the secretary may require, and shall be filed no later than the date prescribed by the secretary. Upon approval of a work plan by the department, the department shall forward the plan to the building commission for its review and approval under s. 13.48 (30).

(3) Notwithstanding s. 16.50 (2), the secretary may withhold approval of any proposed expenditure under s. 16.50 (2) by any agency for any significant capital building maintenance project, as determined by the secretary, if a project does not conform to a work plan approved by the department and the building commission.

(4) Following the end of each fiscal year, the department shall submit a report to the joint committee on finance concerning the expenditure of capital building maintenance moneys by each agency and capital building maintenance work completed by each agency during the preceding fiscal year.

9,106 Section 106. 16.858 (2) of the statutes is renumbered 16.858 (2) (a) and amended to read:

16.858 (2) (a) Any A contract under sub. (1) shall require may provide for the construction work to be financed by the state or by the contractor to undertake the construction work at its own expense. The contract shall provide for the state to pay a maximum stated amount, which shall include any financing costs incurred by the contractor. The maximum stated amount may not exceed the minimum savings determined under the audit to be realized by the state within the period specified in the audit. The state shall make payments under the contract as the savings identified in the audit are realized by the state, in the amounts actually realized, but not to exceed the lesser of the maximum stated amount or the actual amount of the savings realized by the state within the period specified in the audit. If the department provides financing for construction work, the department may finance any portion of the cost of the work under a master lease entered into as provided under s. 16.76 (4). If the department provides financing for the construction work and the stated amount to be paid by the state under the contract is greater than the amount of the savings realized by the state within the period specified in the audit under sub. (1), the contract shall require the contractor to remit the difference to the department.

(b) The department shall charge the cost of the payments made by the state to the contractor to the applicable appropriation for fuel and utility costs at the building, structure or facility where the work is performed in the amounts equivalent to the savings that accrue to the state under that appropriation from expenditures not made as a result of the construction work, as determined by the department in accordance with the contract. The department may also charge its costs for negotiation and, administration and financing of the contract to the same appropriation.

9,107 Section 107. 16.858 (4) of the statutes is amended to read:

16.858 (4) No later than January 1 of each year, the secretary shall report to the cochairpersons of the joint committee on finance identifying any construction work for which the department has contracted under this section for which the state has not made its final payment has not been made as of the date of the preceding report, together with the actual energy cost savings realized by the state as a result of the contract to date, or the estimated energy cost savings to be realized by the state if the total savings to be realized in the audit under sub. (1) have not yet been realized, and the date on which the state made its final payment under the contract or, if the final payment has not been made, the latest date on which the state is obligated to make its final payment under the contract, and any amount that remains payable to the state under the contract.

9,109 Section 109. 16.956 of the statutes is repealed.

9,109m Section 109m. 16.957 of the statutes is created to read:

16.957 Utility public benefits. (1) Definitions. In this section:

(bm) "Commission" means the public service commission.

(c) "Commitment to community program" means a program by a municipal utility or retail electric cooperative for low-income assistance or an energy conservation program by a municipal utility or retail electric cooperative.

(cm) "Council" means the council on utility public benefits created under s. 15.107 (17).

(d) "Customer application of renewable resources" means the generation of electricity from renewable resources that takes place on the premises of a customer or member of an electric provider.

(e) "Division of housing" means the division of housing in the department.

(f) "Electric provider" means an electric utility or retail electric cooperative.

(g) "Electric utility" means a public utility that owns or operates a retail electric distribution system.

(h) "Energy conservation program" means a program for reducing the demand for natural gas or electricity or improving the efficiency of its use during any period.

(i) "Fiscal year" has the meaning given in s. 655.001 (6).

(k) "Local unit of government" means the governing body of any county, city, town, village or county utility district or the elected tribal governing body of a federally recognized American Indian tribe or band.

(L) "Low-income assistance" means assistance to low-income households for weatherization and other energy conservation services, payment of energy bills or early identification or prevention of energy crises.

(m) "Low-income household" means any individual or group of individuals in this state who are living together as one economic unit and for whom residential electricity is customarily purchased in common or who make undesignated payments for electricity in the form of rent, and whose household income is not more than 150% of the poverty line as determined under 42 USC 9902 (2).

(n) "Low-income need" means the amount obtained by subtracting from the total low-income energy bills in a fiscal year the product of 2.2% of the estimated average annual income of low-income households in this state in that fiscal year multiplied by the estimated number of low-income households in this state in that fiscal year.

(o) "Low-income need percentage" means the percentage that results from dividing the sum of the following by the amount of low-income need in fiscal year 1998-99:

1. The total amount received by the department for low-income funding under 42 USC 6861 to 6873 and 42 USC 8621 to 8629 in fiscal year 1997-98.

1m. The amount of the portion of the public benefits fee for fiscal year 1999-2000 that is specified in sub. (4) (c) 1. The amount specified in this subdivision shall not be subject to the reduction under 1999 Wisconsin Act .... (this act), section 9101 (1zv) (a).

2. The total amount expended by utilities under s. 196.374 related to low-income assistance.

3. Fifty percent of the amount of public benefits fees that municipal utilities and retail electric cooperatives are required to charge under sub. (5) (a) in fiscal year 1999-2000. The amount specified in this subdivision shall not be subject to the reduction under 1999 Wisconsin Act .... (this act), section 9101 (1zv) (c).

(p) "Low-income need target" means the product of the low-income need percentage multiplied by low-income need in a fiscal year.

(q) "Municipal utility" means an electric utility that is owned wholly by a municipality and that owns a retail distribution system.

(qm) "Public utility" has the meaning given in s. 196.01 (5).

(r) "Renewable resource" has the meaning given in s. 196.378 (1) (h).

(s) "Retail capacity" means the total amount of electricity that an electric provider is capable of delivering to its retail customers or members and that is supplied by electric generating facilities owned or operated by the electric provider or any other person. "Retail capacity" does not include any electricity that is not used to satisfy the electric provider's retail load obligations.

(t) "Retail electric cooperative" means a cooperative association that is organized under ch. 185 for the purpose of providing electricity at retail to its members only and that owns or operates a retail electric distribution system.

(u) "Total low-income energy bills" means the total estimated amount that all low-income households are billed for residential electricity, natural gas and heating fuel in a fiscal year.

(v) "Wholesale electric cooperative" means a cooperative association that is organized under ch. 185 for the purpose of providing electricity at wholesale to its members only.

(w) "Wholesale supplier" means a wholesale electric cooperative or a municipal electric company, as defined in s. 66.073 (3) (d), that supplies electricity at wholesale to a municipal utility or retail electric cooperative.

(x) "Wholesale supply percentage" means the percentage of a municipal utility's or retail electric cooperative's retail capacity in a fiscal year that is supplied by a wholesale supplier.

(2) Department duties. In consultation with the council, the department shall do all of the following:

(a) Low-income programs. After holding a hearing, establish programs to be administered by the department through the division of housing for awarding grants from the appropriation under s. 20.505 (10) (r) to provide low-income assistance. In each fiscal year, the amount awarded under this paragraph shall be sufficient to ensure that an amount equal to 47% of the sum of the following is spent for weatherization and other energy conservation services:

1. All moneys received from the federal government under 42 USC 6861 to 6873 and 42 USC 8621 to 8629 in a fiscal year.

2. All moneys spent in a fiscal year for low-income programs established under s. 196.374.

3. All moneys spent in a fiscal year on programs established under this paragraph.

4. Fifty percent of the moneys collected in public benefits fees under sub. (5).

(b) Energy conservation and efficiency and renewable resource programs. 1. Subject to subd. 2., after holding a hearing, establish programs for awarding grants from the appropriation under s. 20.505 (10) (s) for each of the following:

a. Proposals for providing energy conservation or efficiency services. In awarding grants under this subd. 1. a., the department shall give priority to proposals directed at the sectors of energy conservation or efficiency markets that are least competitive and at promoting environmental protection, electric system reliability or rural economic development. In each fiscal year, 1.75% of the appropriation under s. 20.505 (10) (s) shall be awarded in grants for research and development proposals regarding the environmental impacts of the electric industry.

b. Proposals for encouraging the development or use of customer applications of renewable resources, including educating customers or members about renewable resources or encouraging uses of renewable resources by customers or members or encouraging research technology transfers. In each fiscal year, the department shall ensure that 4.5% of the appropriation under s. 20.505 (10) (s) is awarded in grants under this subd. 1. b.

2. For each fiscal year after fiscal year 2003-04, determine whether to continue, discontinue or reduce any of the programs established under subd. 1. and determine the total amount necessary to fund the programs that the department determines to continue or reduce under this subdivision. The department shall notify the commission if the department determines under this subdivision to reduce funding by an amount that is greater than the portion of the public benefits fee specified in sub. (4) (c) 2. The notice shall specify the portion of the reduction that exceeds the amount of public benefits fees specified in sub. (4) (c) 2.