LRBs0284/1
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2003 - 2004 LEGISLATURE
SENATE SUBSTITUTE AMENDMENT 1,
TO 2003 SENATE BILL 286
January 15, 2004 - Offered by Senators Brown, Reynolds, A. Lasee, Leibham and
Lazich.
SB286-SSA1,1,4 1An Act to amend 111.70 (1) (a), 111.70 (1) (dm), 111.70 (4) (cm) 5s. and 111.70
2(4) (m) (title); and to create 111.70 (4) (nm) of the statutes; relating to:
3permissive subjects of collective bargaining under the Municipal Employment
4Relations Act.
Analysis by the Legislative Reference Bureau
Currently, under the Municipal Employment Relations Act (MERA), municipal
employers and employees must bargain all issues related to wages, hours, and
conditions of employment. These issues are referred to as mandatory subjects of
collective bargaining. In addition, under MERA, there is a class of issues involving
management decisions that the municipal employer is not required to bargain
collectively. These issues are referred to as permissive subjects of collective
bargaining. This substitute amendment provides that a municipal employer is not
required to bargain collectively a decision to contract with any person who is not a
municipal employee for the performance of municipal services; to contract with any
other municipal employer for the performance of municipal services; or to contract
with any other municipal employer to consolidate municipal services or units of
government. A municipal employer is also not required to bargain collectively the

impact of any such decision on the wages, hours, and conditions of employment of its
municipal employees.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB286-SSA1, s. 1 1Section 1. 111.70 (1) (a) of the statutes is amended to read:
SB286-SSA1,3,32 111.70 (1) (a) "Collective bargaining" means the performance of the mutual
3obligation of a municipal employer, through its officers and agents, and the
4representative of its municipal employees in a collective bargaining unit, to meet and
5confer at reasonable times, in good faith, with the intention of reaching an
6agreement, or to resolve questions arising under such an agreement, with respect to
7wages, hours and conditions of employment, and with respect to a requirement of the
8municipal employer for a municipal employee to perform law enforcement and fire
9fighting services under s. 61.66, except as provided in sub. (4) (m) and (nm) and s.
1040.81 (3) and except that a municipal employer shall not meet and confer with respect
11to any proposal to diminish or abridge the rights guaranteed to municipal employees
12under ch. 164. The duty to bargain, however, does not compel either party to agree
13to a proposal or require the making of a concession. Collective bargaining includes
14the reduction of any agreement reached to a written and signed document. The
15municipal employer shall not be required to bargain on subjects reserved to
16management and direction of the governmental unit except insofar as the manner
17of exercise of such functions affects the wages, hours and conditions of employment
18of the municipal employees in a collective bargaining unit. In creating this
19subchapter the legislature recognizes that the municipal employer must exercise its
20powers and responsibilities to act for the government and good order of the
21jurisdiction which it serves, its commercial benefit and the health, safety and welfare

1of the public to assure orderly operations and functions within its jurisdiction,
2subject to those rights secured to municipal employees by the constitutions of this
3state and of the United States and by this subchapter.
SB286-SSA1, s. 2 4Section 2. 111.70 (1) (dm) of the statutes is amended to read:
SB286-SSA1,3,175 111.70 (1) (dm) "Economic issue" means salaries, overtime pay, sick leave,
6payments in lieu of sick leave usage, vacations, clothing allowances in excess of the
7actual cost of clothing, length-of-service credit, continuing education credit, shift
8premium pay, longevity pay, extra duty pay, performance bonuses, health insurance,
9life insurance, dental insurance, disability insurance, vision insurance, long-term
10care insurance, worker's compensation and unemployment insurance, social
11security benefits, vacation pay, holiday pay, lead worker pay, temporary assignment
12pay, retirement contributions, supplemental retirement benefits, severance or other
13separation pay, hazardous duty pay, certification or license payment, and limitations
14on layoffs that create a new or increased financial liability on the employer and
15contracting or subcontracting of work that would otherwise be performed by
16municipal employees in the collective bargaining unit with which there is a labor
17dispute
.
SB286-SSA1, s. 3 18Section 3. 111.70 (4) (cm) 5s. of the statutes is amended to read:
SB286-SSA1,5,919 111.70 (4) (cm) 5s. `Issues subject to arbitration.' In a collective bargaining unit
20consisting of school district professional employees, the municipal employer or the
21labor organization may petition the commission to determine whether the municipal
22employer has submitted a qualified economic offer. The commission shall appoint an
23investigator for that purpose. If the investigator finds that the municipal employer
24has submitted a qualified economic offer, the investigator shall determine whether
25a deadlock exists between the parties with respect to all economic issues. If the

1municipal employer submits a qualified economic offer applicable to any period
2beginning on or after July 1, 1993, no economic issues are subject to interest
3arbitration under subd. 6. for that period, except that only the impact of contracting
4out or subcontracting work that would otherwise be performed by municipal
5employees in the collective bargaining unit is subject to interest arbitration under
6subd. 6
. In such a collective bargaining unit, economic issues concerning the wages,
7hours or conditions of employment of the school district professional employees in the
8unit for any period prior to July 1, 1993, are subject to interest arbitration under
9subd. 6. for that period. In such a collective bargaining unit, noneconomic issues
10applicable to any period on or after July 1, 1993, are subject to interest arbitration
11after the parties have reached agreement and stipulate to agreement on all economic
12issues concerning the wages, hours or conditions of employment of the school district
13professional employees in the unit for that period. In such a collective bargaining
14unit, if the commission's investigator finds that the municipal employer has
15submitted a qualified economic offer and that a deadlock exists between the parties
16with respect to all economic issues, the municipal employer may implement the
17qualified economic offer. On the 90th day prior to expiration of the period included
18within the qualified economic offer, if no agreement exists on that day, the parties are
19deemed to have stipulated to the inclusion in a new or revised collective bargaining
20agreement of all provisions of any predecessor collective bargaining agreement
21concerning economic issues, or of all provisions of any existing collective bargaining
22agreement concerning economic issues if the parties have reopened negotiations
23under an existing agreement, as modified by the terms of the qualified economic offer
24and as otherwise modified by the parties. In such a collective bargaining unit, on and
25after that 90th day, a municipal employer that refuses to bargain collectively with

1respect to the terms of that stipulation, applicable to the 90-day period prior to
2expiration of the period included within the qualified economic offer, does not violate
3sub. (3) (a) 4. Any such unilateral implementation after August 11, 1993, during the
490-day period prior to expiration of the period included within a qualified economic
5offer, operates as a full, final and complete settlement of all economic issues between
6the parties for the period included within the qualified economic offer. The failure
7of a labor organization to recognize the validity of such a lawful qualified economic
8offer does not affect the obligation of the municipal employer to submit economic
9issues to arbitration under subd. 6.
SB286-SSA1, s. 4 10Section 4. 111.70 (4) (m) (title) of the statutes is amended to read:
SB286-SSA1,5,1111 111.70 (4) (m) (title) Prohibited subjects of bargaining; school districts.
SB286-SSA1, s. 5 12Section 5. 111.70 (4) (nm) of the statutes is created to read:
SB286-SSA1,5,2013 111.70 (4) (nm) Permissive subjects of bargaining; all municipal employers. A
14municipal employer is not required to bargain collectively a decision to contract with
15any person who is not a municipal employee for the performance of municipal
16services; to contract with any other municipal employer for the performance of
17municipal services; or to contract with any other municipal employer to consolidate
18municipal services or units of government. A municipal employer is also not required
19to bargain collectively the impact of any such decision on the wages, hours, and
20conditions of employment of its municipal employees.
SB286-SSA1, s. 6 21Section 6. Initial applicability.
SB286-SSA1,5,2422 (1) This act first applies to collective bargaining agreements under subchapter
23IV of chapter 111 for which a notice of commencement of contract negotiations has
24been filed by either party on the effective date of this subsection.
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