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1995 - 1996 LEGISLATURE
SENATE SUBSTITUTE AMENDMENT 1,
To 1995 SENATE BILL 614
March 26, 1996 - Offered by Joint committee on Finance.
SB614-SSA1,2,19 1An Act to repeal 66.898 (4) (c), 66.899 and 66.912 (5); to renumber 196.025; to
2amend
20.155 (1) (title), 20.155 (1) (g), 66.076 (1m), 66.076 (7), 66.076 (8),
366.886 (2) (a) 1., 66.888 (2) (b), 66.892 (2) (a), 66.892 (2) (d), 66.894 (1) (intro.),
466.898 (3), 66.90 (1), 66.904 (1), 66.91 (intro.), 66.91 (1) (g), 66.91 (5) (a), 66.91
5(5) (b) 1., 66.91 (5) (b) 3. a., 66.91 (5) (b) 3. b., 66.91 (5) (c) 1., 66.91 (5) (c) 2., 66.91
6(5) (d) 1., 66.91 (5) (e), 66.912 (2) (a), 66.912 (2) (b), 66.912 (2) (c), 66.912 (3),
7144.241 (8) (g), 144.2415 (3) (e), 184.01 (2), 196.02 (1), 196.02 (2), 196.02 (4) (a),
8196.02 (4) (c), 196.02 (5), 196.02 (6), 196.03 (1), 196.05, 196.06, 196.07, 196.09
9(1), 196.09 (2), 196.09 (3), 196.09 (4), 196.09 (5), 196.09 (6) (a), 196.09 (6) (b),
10196.09 (7) (intro.), 196.09 (7) (b), 196.09 (8), 196.10, 196.11 (1), 196.12 (title),
11196.12 (1) (intro.), 196.13, 196.14, 196.15, 196.16 (1), 196.16 (2), 196.17 (1),
12196.171 (1), 196.171 (2), 196.18, 196.19 (1), 196.19 (2), 196.19 (3), 196.19 (4),
13196.19 (6), 196.20 (1), 196.20 (2) (a) 2., 196.20 (2) (b), 196.21, 196.22, 196.24 (1),
14196.25 (1), 196.25 (2), 196.26 (1), 196.26 (1m), 196.26 (2) (a), 196.26 (2) (b),
15196.28 (1), 196.28 (3), 196.30, 196.31 (1) (intro.), 196.31 (2), 196.37 (3), 196.39,
16196.44 (1), 196.44 (2), 196.49 (2), 196.49 (3) (a), 196.49 (3) (b) (intro.), 196.49 (3)

1(b) 1., 196.49 (3) (b) 3., 196.49 (6), 196.525 (1) (intro.), 196.525 (2), 196.525 (3),
2196.58 (1) (a), 196.58 (1) (b), 196.58 (4), 196.58 (5), 196.595 (title), 196.595 (1)
3(a) 1., 196.595 (1) (a) 1m., 196.595 (1) (a) 2., 196.595 (1) (a) 4., 196.595 (1) (b),
4196.595 (2) (intro.), 196.60 (1), 196.60 (3), 196.604, 196.61, 196.635 (intro.),
5196.635 (1), 196.64 (title), 196.64 (1), 196.643 (1), 196.65 (1) (intro.), 196.65 (1)
6(e), 196.65 (2), 196.66 (1), 196.66 (2), 196.66 (3) (a), 196.66 (3) (b) (intro.), 196.66
7(3) (b) 1., 196.66 (3) (b) 3., 196.66 (4) (b), 196.68, 196.69, 196.70, 196.72 (title),
8196.72 (1) (a), 196.72 (2), 196.78, 196.79 (1), 196.80 (3), 196.81 (1), 196.85 (1),
9196.85 (2), 196.85 (3), 196.85 (4) (a) and 196.85 (5); to repeal and recreate
1066.898 (4) (a), 66.898 (4) (b) and 196.44 (2); and to create 20.320 (1) (h), 66.89
11(3), 66.891, 144.241 (6) (b) 9., 144.241 (13h), 184.03 (1m), 196.01 (6m), 196.02
12(13), 196.025 (2), 196.49 (3) (e) and 196.80 (1s) of the statutes; relating to:
13regulation and supervision by the public service commission of a metropolitan
14sewerage district established by a lst class city, the sale or lease of metropolitan
15sewerage district assets under certain circumstances, authorizing the
16dissolution of a metropolitan sewerage district, distribution of excess reserves
17of a district, clean water fund program grants for certain municipalities,
18granting rule-making authority, making an appropriation and providing
19penalties.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB614-SSA1, s. 1 20Section 1. 20.155 (1) (title) of the statutes is amended to read:
SB614-SSA1,2,2121 20.155 (1) (title) Regulation of public utilities and regulated districts.
SB614-SSA1, s. 2 22Section 2. 20.155 (1) (g) of the statutes is amended to read:
SB614-SSA1,3,7
120.155 (1) (g) (title) Utility regulation Regulation of utilities and regulated
2districts
. The amounts in the schedule for the regulation of utilities and regulated
3districts
. Ninety percent of all moneys received by the commission under s. 184.10
4(3), 196.85 or 196.855 shall be credited to this appropriation. Ninety percent of all
5receipts from the sale of miscellaneous printed reports and other copied material, the
6cost of which was originally paid under this paragraph, shall be credited to this
7appropriation.
SB614-SSA1, s. 3 8Section 3. 20.320 (1) (h) of the statutes is created to read:
SB614-SSA1,3,119 20.320 (1) (h) Clean water fund special grants. All moneys received from
10transfers to the state treasury under ss. 66.89 (3) and 66.891 (3) for grants under s.
11144.241 (13h).
SB614-SSA1, s. 4 12Section 4. 66.076 (1m) of the statutes is amended to read:
SB614-SSA1,3,1513 66.076 (1m) In this section, "municipality" means any town, village, city or
14metropolitan sewerage district created under ss. 66.20 to 66.26 or under ss. 66.88 to
1566.918
.
SB614-SSA1, s. 5 16Section 5. 66.076 (7) of the statutes is amended to read:
SB614-SSA1,3,2117 66.076 (7) Sewerage service charges shall be collected and taxed and shall be
18a lien upon the property served in the same manner as water rates are taxed and
19collected under s. 66.069 (1) or 66.071 (1) (e), so far as applicable , except that charges
20of a metropolitan sewerage district created under ss. 66.88 to 66.918 shall be
21assessed and collected as provided in s. 66.91 (5)
.
SB614-SSA1, s. 6 22Section 6. 66.076 (8) of the statutes is amended to read:
SB614-SSA1,4,323 66.076 (8) The governing body of any municipality, and the officials in charge
24of the management of the sewerage system as well as other officers of the
25municipality, shall be governed in the discharge of their powers and duties under this

1section by s. 66.069 or 66.071 (1) (e), which are hereby made a part of this section so
2far as applicable and not inconsistent herewith or, in the case of a metropolitan
3sewerage district created under ss. 66.88 to 66.918, by ss. 66.91 and 66.912
.
SB614-SSA1, s. 7 4Section 7. 66.886 (2) (a) 1. of the statutes is amended to read:
SB614-SSA1,4,95 66.886 (2) (a) 1. No resolution adopted by the commission under s. 66.91 (1),
6(3) (c) or (6), 67.05 (1) or 67.12 (12), no proposed schedule of charges under s. 66.076,
766.898 (4), 66.899 or 66.91 (5) (b) 3., no decision to borrow against taxes under s.
867.12 (1) and no decision to borrow under s. 24.61 (3) (a) 7. is valid unless adopted
9by an affirmative vote of at least a two-thirds majority of all commissioners.
SB614-SSA1, s. 8 10Section 8. 66.888 (2) (b) of the statutes is amended to read:
SB614-SSA1,4,1211 66.888 (2) (b) The name of a district created under s. 66.882 (1) (b) is the
12Milwaukee metropolitan sewerage district Metropolitan Sewerage District.
SB614-SSA1, s. 9 13Section 9. 66.89 (3) of the statutes is created to read:
SB614-SSA1,4,2214 66.89 (3) Excess reserves refund. (a) Develop and, upon approval by the
15public service commission, implement a plan to make a refund to customers of the
16district who are residents of municipalities that have been paying service charges,
17based on the equalized value of the property in the municipality, for capital costs
18associated with the district's water pollution abatement program, since the inception
19of the service charges. The refund shall consist of that portion of current reserves
20that are being held by the district and that are in excess of prudent reserve
21requirements, as determined by the public service commission, less the amount
22transferred under par. (b).
SB614-SSA1,5,323 (b)  Ensure that the plan developed by the Milwaukee Metropolitan Sewerage
24District commission and approved by the public service commission under par. (a)
25shall provide that the first $30,000,000 of the excess reserves under par. (a) or all of

1the excess reserves under par. (a), whichever is less, shall be transferred by the
2district, upon the approval of the plan by the public service commission, to the state
3treasury to be credited to the appropriation account under s. 20.320 (1) (h).
SB614-SSA1, s. 10 4Section 10. 66.891 of the statutes is created to read:
SB614-SSA1,5,7 566.891 Dissolution of the district; sale or lease of district assets and
6facilities.
(1) General authority. The commission shall, subject to s. 196.80, lease
7or sell any or all of the district's assets and facilities if all of the following apply:
SB614-SSA1,5,118 (a) The public service commission determines that a lease or sale will be in the
9best interests of the district's ratepayers. In considering whether a lease or sale will
10be in the best interests of the district's ratepayers, the public service commission
11shall consider whether the lease or sale meets all of the following conditions:
SB614-SSA1,5,1312 1. The lease or sale will provide for a reasonably adequate supply of sewerage
13services to meet the needs of the public.
SB614-SSA1,5,1614 2. The lease or sale is in the public interest when considering engineering,
15economic, health, safety, reliability, efficiency and environmental factors and
16alternate methods of providing sewerage services.
SB614-SSA1,5,1917 3. The lease or sale reasonably coordinated with long-range plans and policies
18of other agencies or that a reasonable effort has been made to coordinate with such
19plans and policies.
SB614-SSA1,5,2120 4. The lease or sale will abate combined sewer overflows to the extent necessary
21to comply with federal or state law.
SB614-SSA1,6,622 (b) The public service commission determines that, under the terms of any
23lease or sale agreement, the employes of the district who cease to be employes of the
24district on the effective date of the lease or sale and who are performing functions in
25relation to the assets or facilities that are leased or sold and who are covered by a

1collective bargaining agreement under subch. IV of ch. 111, which is in effect on the
2day before the effective date of the lease or sale, shall continue to perform the
3functions that they perform on the day before the effective date of the lease or sale,
4after the lease or sale until the expiration date of the collective bargaining agreement
5that applies to such employes or for 2 years following the effective date of this
6paragraph .... [revisor inserts date], whichever is sooner.
SB614-SSA1,6,10 7(2) Dissolution of the district. Subject to s. 196.78, after retiring all
8outstanding indebtedness of the district and paying off all bonds issued by the
9district, the commission may dissolve the district if all of the district's assets and
10facilities are sold under sub. (1).
SB614-SSA1,6,17 11(3) Application of proceeds. The proceeds of any sale or lease under sub. (1)
12to an entity other than the state shall be distributed, in a manner approved by the
13public service commission, to the state and municipalities in proportion to the
14amounts paid by the state and municipalities for capital costs since the district was
15reorganized under s. 66.882 (1) (b). Thirty percent of the proceeds distributed to the
16state under this subsection that are not obligated under s. 144.241 or 144.2415 shall
17be credited to the appropriation account under s. 20.320 (1) (h).
SB614-SSA1, s. 11 18Section 11. 66.892 (2) (a) of the statutes is amended to read:
SB614-SSA1,6,2019 66.892 (2) (a) Except as provided in pars. (b) to (d) and subject to s. ss. 144.04
20and 196.49, no commission may separate combined storm and sanitary sewers.
SB614-SSA1, s. 12 21Section 12. 66.892 (2) (d) of the statutes is amended to read:
SB614-SSA1,6,2522 66.892 (2) (d) Any person aggrieved by the decision of the commission to
23separate a combined storm and sanitary sewer may file a petition for judicial review
24in the circuit court for the county in which the district is located. Nothing in this
25paragraph affects any review under s. 144.04 or 196.49.
SB614-SSA1, s. 13
1Section 13. 66.894 (1) (intro.) of the statutes is amended to read:
SB614-SSA1,7,52 66.894 (1) General powers of the commission. (intro.) To the extent necessary
3to carry out its duties under s. 66.89 and subject to any approval required under s.
4196.49
, the commission may project, plan, design, adopt, construct, operate and
5maintain:
SB614-SSA1, s. 14 6Section 14. 66.898 (3) of the statutes is amended to read:
SB614-SSA1,7,137 66.898 (3) Service charges for operation and maintenance. As part of any
8contract executed under this section, the commission may assess reasonable and just
9sewerage service charges against the contracting party with respect to operating and
10maintenance costs. These charges shall be established proposed by the commission
11in accordance with s. 66.912 and are subject to review under s. 66.912. The schedule
12of service charges may, but need not, be uniform with any other schedule of charges
13shall be established by the public service commission.
SB614-SSA1, s. 15 14Section 15. 66.898 (4) (a) of the statutes is repealed and recreated to read:
SB614-SSA1,7,1915 66.898 (4) (a) As part of any contract executed under this section, the
16commission may assess reasonable and just sewerage service charges against the
17contracting party with respect to capital costs. The schedule of sewerage service
18charges with respect to capital costs used in contracts executed under this section
19shall be uniform with the system used to recover capital costs within the district.
SB614-SSA1, s. 16 20Section 16. 66.898 (4) (b) of the statutes is repealed and recreated to read:
SB614-SSA1,8,321 66.898 (4) (b) The charges assessed under this subsection shall be proposed by
22the commission in accordance with s. 66.91 (5) and shall be established by the public
23service commission. In computing the schedule of charges under this subsection, the
24public service commission may consider the factors specified in s. 66.91 (5). In
25computing the schedule of charges under this subsection, the public service

1commission may also consider the fact that sewerage service may not be available
2to or may be available to but not utilized by a part of the property located within the
3territorial limits of a contracting party at the time of computing the schedule.
SB614-SSA1, s. 17 4Section 17. 66.898 (4) (c) of the statutes is repealed.
SB614-SSA1, s. 18 5Section 18. 66.899 of the statutes is repealed.
SB614-SSA1, s. 19 6Section 19. 66.90 (1) of the statutes is amended to read:
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