Amendment ASA1-AB471

LRBs0311/1

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1999 - 2000 LEGISLATURE

ASSEMBLY SUBSTITUTE AMENDMENT 1, TO 1999 ASSEMBLY BILL 471

February 22, 2000 - Offered by Committee on Small Business and Economic Development.

AB471-ASA1,1,3 An Act to amend 20.143 (1) (c); and to create 560.155 of the statutes; relating to: providing grants to small businesses for training employes and making an appropriation.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB471-ASA1, s. 1 Section 1. 20.143 (1) (c) of the statutes, as affected by 1999 Wisconsin Act 9, is amended to read:

AB471-ASA1,2,7 20.143 (1) (c) Wisconsin development fund; grants, loans, reimbursements and assistance. Biennially, the amounts in the schedule for grants under ss. 560.145, 560.155, 560.16, 560.175, 560.26; for grants and loans under ss. 560.62, 560.63 and 560.66; for loans under s. 560.147; for reimbursements under s. 560.167; for providing assistance under s. 560.06; for the costs specified in s. 560.607; for the loan under 1999 Wisconsin Act 9, section 9110 (4); and for the grants under 1995 Wisconsin Act 27, section 9116 (7gg), 1995 Wisconsin Act 119, section 2 (1), 1997 Wisconsin Act 27, section 9110 (6g), and 1999 Wisconsin Act 9, section 9110 (5). Of the amounts in the schedule, $50,000 shall be allocated in each of fiscal years 1997-98 and 1998-99 for providing the assistance under s. 560.06 (1). Notwithstanding s. 560.607, of the amounts in the schedule, $125,000 shall be allocated in each of 4 consecutive fiscal years, beginning with fiscal year 1998-99, for grants and loans under s. 560.62 (1) (a).

AB471-ASA1, s. 2 Section 2. 560.155 of the statutes is created to read:

AB471-ASA1,2,11 560.155 Business employes' skills training grant program. (1) Subject to sub. (2), from the appropriation under s. 20.143 (1) (c), the department may award a grant to a business if all of the following apply:

AB471-ASA1,2,13 (a) The business is located in this state and satisfies any of the following criteria:

AB471-ASA1,2,14 1. The business has no more than 25 full-time employes.

AB471-ASA1,2,16 2. The business had no more than $2,500,000 in gross annual income in the year preceding the year in which the business receives the grant.

AB471-ASA1,2,18 (b) The business has been in compliance with s. 77.58 for at least 6 months before applying for the grant.

AB471-ASA1,2,21 (c) The business agrees in writing to use the grant only to provide skills training or other education related to the needs of the business to current or prospective employes of the business.

AB471-ASA1,2,22 (d) The business agrees in writing to comply with sub. (2) (d).

AB471-ASA1,2,24 (e) The business submits a plan to the department detailing the proposed use of the grant, and the secretary approves the plan.

AB471-ASA1,3,3 (f) The business enters into a written agreement with the department that specifies the conditions for the use of the grant, including reporting and auditing requirements.

AB471-ASA1,3,5 (g) The business agrees in writing to submit to the department the report required under sub. (3) by the time required under sub. (3).

AB471-ASA1,3,7 (2) (a) The department may not award a business more than $10,000 in grants under this section.

AB471-ASA1,3,9 (b) In awarding grants under this section, the department shall give preference to all of the following:

AB471-ASA1,3,10 1. Businesses in industries with especially severe labor shortages.

AB471-ASA1,3,12 2. Businesses in industries that the department determines are especially adversely affected by any federal requirements or policies.

AB471-ASA1,3,15 3. Businesses that conduct economic activity in areas designated as development zones under s. 560.71 or that conduct projects in areas designated as enterprise development zones under s. 560.797.

AB471-ASA1,3,17 (c) The department may not award more than $500,000 in grants under this section in fiscal year 2000-01.

AB471-ASA1,3,21 (d) 1. A grant under this section may not be used to pay more than 80% of the cost of any skills training or other education related to the needs of the recipient business that is provided to the owner of the business, the owner's spouse or a child of the owner.

AB471-ASA1,3,24 2. A grant under this section may not be used to pay wages or compensate for lost revenue, if any, in connection with providing the training or other education, or otherwise.

AB471-ASA1,4,3 (3) A business that receives a grant under this section shall submit to the department, within 6 months after spending the full amount of the grant proceeds, a report detailing how the grant proceeds were used.

AB471-ASA1,4,6 (4) No later than January 31, 2002, the department shall submit to the legislature under s. 13.172 (2) a report on the operation and effectiveness of the grant program under this section.

AB471-ASA1, s. 3 Section 3. Effective date.

AB471-ASA1,4,8 (1) This act takes effect on July 1, 2000.

AB471-ASA1,4,9 (End)