Amendment SSA1-SB44

SB44-SSA1,48,22 (b) Appropriation obligations may be sold at either public or private sale and may be sold at any price or percentage of par value. The department may provide in any authorizing certification for refunding obligations under sub. (7) that they be exchanged privately in payment and discharge of any of the outstanding obligations being refinanced. All appropriation obligations sold at public sale shall be noticed as provided in the authorizing certification. Any bid received at public sale may be rejected.

SB44-SSA1,49,2 (6) Form. (a) Evidences of appropriation obligation may be in the form of bonds, notes, or other evidences of obligation, and may be issued in book-entry form or in certificated form. Notwithstanding s. 403.104 (1), every evidence of appropriation obligation is a negotiable instrument.

SB44-SSA1,49,10 (b) Every evidence of appropriation obligation shall be executed in the name of and for the state by the governor and shall be sealed with the great seal of the state or a facsimile thereof. The facsimile signature of the governor may be imprinted in lieu of the manual signature of such officer, as the department directs, if approved by such officer. An evidence of appropriation obligation bearing the manual or facsimile signature of a person in office at the time such signature was signed or imprinted shall be fully valid notwithstanding that before or after the delivery thereof such person ceased to hold such office.

SB44-SSA1,49,14 (c) Every evidence of appropriation obligation shall be dated not later than the date issued, shall contain a reference by date to the appropriate authorizing certification, shall state the limitation established in sub. (4) (g), and shall be in accordance with the authorizing certification.

SB44-SSA1,49,17 (d) An evidence of appropriation obligation shall be in such form and contain such statements or terms as determined by the department, and may not conflict with law or with the appropriate authorizing certification.

SB44-SSA1,50,5 (7) Refunding obligations. (a) 1. The department may authorize the issuance of appropriation obligation refunding obligations. Refunding obligations may be issued, subject to any contract rights vested in owners of obligations being refinanced, to refinance all or any part of one or more issue of obligations notwithstanding that the obligations may have been issued at different times. The principal amount of the refunding obligations may not exceed the sum of: the principal amount of the obligations being refinanced; applicable redemption premiums; unpaid interest on the obligations to the date of delivery or exchange of the refunding obligations; in the event the proceeds are to be deposited in trust as provided in par. (c), interest to accrue on the obligations from the date of delivery to the date of maturity or to the redemption date selected by the department, whichever is earlier; and the expenses incurred in the issuance of the refunding obligations and the payment of the obligations.

SB44-SSA1,50,8 2. A determination by the department that a refinancing is advantageous or that any of the amounts provided subd. 1. should be included in the refinancing shall be conclusive.

SB44-SSA1,50,21 (b) If the department determines to exchange refunding obligations, they may be exchanged privately for and in payment and discharge of any of the outstanding obligations being refinanced. Refunding obligations may be exchanged for such principal amount of the obligations being exchanged therefor as may be determined by the department to be necessary or advisable. The owners of the obligations being refunded who elect to exchange need not pay accrued interest on the refunding obligations if and to the extent that interest is accrued and unpaid on the obligations being refunded and to be surrendered. If any of the obligations to be refinanced are to be called for redemption, the department shall determine which redemption dates are to be used, if more than one date is applicable and shall, prior to the issuance of the refunding obligations, provide for notice of redemption to be given in the manner and at the times required by the certification authorizing the outstanding obligations.

SB44-SSA1,51,2 (c) 1. The principal proceeds from the sale of any refunding obligations shall be applied either to the immediate payment and retirement of the obligations being refinanced or, if the obligations have not matured and are not presently redeemable, to the creation of a trust for and shall be pledged to the payment of the obligations being refinanced.

SB44-SSA1,51,21 2. If a trust is created, a separate deposit shall be made for each issue of appropriation obligations being refinanced. Each deposit shall be with the secretary of administration or a bank or trust company that is a member of the Federal Deposit Insurance Corporation. If the total amount of any deposit, including money other than sale proceeds but legally available for such purpose, is less than the principal amount of the obligations being refinanced and for the payment of which the deposit has been created and pledged, together with applicable redemption premiums and interest accrued and to accrue to maturity or to the date of redemption, then the application of the sale proceeds shall be legally sufficient only if the money deposited is invested in securities issued by the United States or one of its agencies, or securities fully guaranteed by the United States, and only if the principal amount of the securities at maturity and the income therefrom to maturity will be sufficient and available, without the need for any further investment or reinvestment, to pay at maturity or upon redemption the principal amount of the obligations being refinanced together with applicable redemption premiums and interest accrued and to accrue to maturity or to the date of redemption. The income from the principal proceeds of the securities shall be applied solely to the payment of the principal of and interest and redemption premiums on the obligations being refinanced, but provision may be made for the pledging and disposition of any surplus.

SB44-SSA1,52,2 3. Nothing in this paragraph may be construed as a limitation on the duration of any deposit in trust for the retirement of obligations being refinanced that have not matured and that are not presently redeemable. Nothing in this paragraph may be construed to prohibit reinvestment of the income of a trust if the reinvestments will mature at such times that sufficient cash will be available to pay interest, applicable premiums, and principal on the obligations being refinanced.

SB44-SSA1,52,14 (8) Fiscal regulations. (a) The department shall act as registrar for each evidence of appropriation obligation. No transfer of a registered evidence of appropriation obligation is valid unless made on a register maintained by the department, and the state may treat the registered owner as the owner of the instrument for all purposes. Payments of principal and interest shall be by electronic funds transfer, check, share draft, or other draft to the registered owner at the owner's address as it appears on the register, unless the department has otherwise provided. Information in the register is not available for inspection and copying under s. 19.35 (1). The department may make any other provision respecting registration as it considers necessary or useful. The department may enter into a contract for the performance of any of its functions relating to appropriation obligations.

SB44-SSA1,52,19 (b) The department, or the department's agent, shall maintain records containing a full and correct description of each evidence of appropriation obligation issued, identifying it, and showing its date, issue, amount, interest rate, payment dates, payments made, registration, destruction, and every other relevant transaction.

SB44-SSA1,53,7 (c) The secretary may appoint one or more trustees and fiscal agents for each issue of appropriation obligations. The secretary may be denominated the trustee and the sole fiscal agent or a cofiscal agent for any issue of appropriation obligations. Every other 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 a banking or trust company business. There may be deposited with a trustee, in a special account, moneys to be used only for the purposes expressly provided in the certification authorizing the issuance of evidences of appropriation obligation or an agreement between the department and the trustee. The department may make other provisions respecting trustees and fiscal agents as the department considers necessary or useful and may enter into a contract with any trustee or fiscal agent containing such terms, including compensation, and conditions in regard to the trustee or fiscal agent as the department considers necessary or useful.

SB44-SSA1,53,15 (d) If any evidence of appropriation obligation is destroyed, lost, or stolen, the department shall execute and deliver a new evidence of appropriation obligation, upon filing with the department evidence satisfactory to the department that the evidence of appropriation obligation has been destroyed, lost, or stolen, upon providing proof of ownership thereof, and upon furnishing the department with indemnity satisfactory to it and complying with such other rules of the department and paying any expenses that the department may incur. The department shall cancel the evidences of appropriation obligation surrendered to the department.

SB44-SSA1,53,20 (e) Unless otherwise directed by the department, every evidence of appropriation obligation paid or otherwise retired shall be marked "canceled" and delivered, through the secretary if delivered to a fiscal agent other than the secretary, to the auditor who shall destroy them and deliver to the department a certificate to that effect.

SB44-SSA1,53,23 (9) Appropriation obligations as legal investments. Any of the following may legally invest any sinking funds, moneys, or other funds belonging to them or under their control in any appropriation obligations issued under this section:

SB44-SSA1,53,25 (a) The state, the investment board, public officers, municipal corporations, political subdivisions, and public bodies.

SB44-SSA1,54,4 (b) Banks and bankers, savings and loan associations, credit unions, trust companies, savings banks and institutions, investment companies, insurance companies, insurance associations, and other persons carrying on a banking or insurance business.

SB44-SSA1,54,5 (c) Personal representatives, guardians, trustees, and other fiduciaries.

SB44-SSA1,54,9 (10) Moral obligation pledge. Recognizing its moral obligation to do so, the legislature expresses its expectation and aspiration that it shall make timely appropriations from moneys in the general fund that are sufficient to pay the principal and interest due with respect to any appropriation obligations in any year.

SB44-SSA1, s. 182d Section 182d. 16.529 of the statutes is created to read:

SB44-SSA1,54,14 16.529 Lapses and fund transfers relating to unfunded retirement liability debt service. (1) Definitions. The definitions in s. 20.001 are applicable in this section, except that "state agency" does not include the department of employee trust funds or the investment board.

SB44-SSA1,55,2 (2) Lapses and transfers required. If obligations are issued under s. 16.526 or 16.527, or both, any executive budget bill prepared under s. 16.47 (1) shall require the secretary during the fiscal biennium to which the executive budget bill relates to lapse to the general fund from each appropriation of program revenues, program revenues-service, and federal revenues and to lapse to the applicable fund from each appropriation of segregated fund revenues, segregated fund revenues — service, and segregated federal revenues and subsequently transfer to the general fund an amount equal to that portion of the total amount of principal and interest to be paid on the obligations during the succeeding fiscal biennium that is allocable to the appropriation, as determined under sub. (3). The secretary shall ensure that each state agency includes in the program and financial information forwarded under s. 16.42 (1) an itemization of each amount that is required to be lapsed, or lapsed and transferred, under this subsection.

SB44-SSA1,55,4 (3) Determination of allocated amount. The secretary shall determine the amount of the allocations required under sub. (2) as follows:

SB44-SSA1,55,8 (a) The secretary shall first compute the total amount that would have been expended from all appropriations, had obligations under s. 16.526 or 16.527 not been issued, under s. 40.05 (2) (b) and (4) (b), (bc), and (bw) and subch. IX of ch. 40 during the fiscal biennium during which the obligations are issued.

SB44-SSA1,55,18 (b) The secretary shall then calculate the percentage of the total computed under par. (a) that is allocable to each appropriation of program revenues, program revenues-service, segregated fund revenues, segregated fund revenues — service, federal revenues, and segregated federal revenues from which moneys would have been expended under s. 40.05 (2) (b) and (4) (b), (bc), and (bw) and subch. IX of ch. 40 had the obligations not been issued. The percentage shall be based upon the amount that would have been required to be expended from the appropriation, had the obligations not been issued, under s. 40.05 (2) (b) and (4) (b), (bc), and (bw) and subch. IX of ch. 40 during the fiscal biennium during which the obligations are issued.

SB44-SSA1,55,24 (c) For each appropriation identified under par. (b), the secretary shall then apply the percentage calculated under par. (b) to the total amount of principal and interest to be paid during the succeeding fiscal biennium on obligations issued under ss. 16.526 and 16.527. This amount is the portion of the total amount of principal and interest paid on the obligations during that fiscal biennium that is allocable to each appropriation.

SB44-SSA1, s. 183 Section 183. 16.53 (1) (d) 1. of the statutes is amended to read:

SB44-SSA1,56,5 16.53 (1) (d) 1. The secretary, with the approval of the joint committee on employment relations, shall fix the time, except as provided in ss. 106.21 (9) (c) and s. 106.215 (10) (c), and frequency for payment of salaries due elective and appointive officers and employees of the state. As determined under this subdivision, the salaries shall be paid either monthly, semimonthly or for each 2-week period.

SB44-SSA1, s. 184 Section 184. 16.53 (5) of the statutes is amended to read:

SB44-SSA1,56,14 16.53 (5) Warrants; what to specify. The secretary shall draw a warrant on the state treasurer treasury payable to the claimant for the amount allowed by the secretary upon every claim audited under sub. (1), except as authorized in s. 16.52 (7), 20.920, or 20.929, specifying from what fund to be paid, the particular law which that authorizes the claim to be paid out of the state treasury, and at the secretary's discretion the post-office address of the payee. The secretary shall not credit the treasurer for any sum of money paid out by the treasurer No moneys may be paid out of the state treasury under this section otherwise than upon such warrants.

SB44-SSA1, s. 185 Section 185. 16.53 (10) (a) of the statutes is amended to read:

SB44-SSA1,57,6 16.53 (10) (a) If an emergency arises which requires the department to draw vouchers for payments which will be in excess of available moneys in any state fund, the secretary, in consultation with the state treasurer, and after notifying the joint committee on finance under par. (b), may prorate and establish priority schedules for all payments within each fund, including those payments for which a specific payment date is provided by statute, except as otherwise provided in this paragraph. The secretary shall draw all vouchers according to the preference provided in this paragraph. All direct or indirect payments of principal or interest on state bonds and notes issued under subch. I of ch. 18 have first priority. All direct or indirect payments of principal or interest on state notes issued under subch. III of ch. 18 have 2nd priority. No payment having a 1st or 2nd priority may be prorated or reduced under this subsection. All state employee payrolls have 3rd priority. The secretary shall draw all remaining vouchers according to a priority determined by the secretary. The secretary shall maintain records of all claims prorated under this subsection and shall provide written notice to the state treasurer when a potential cash flow emergency is anticipated.

SB44-SSA1, s. 186 Section 186. 16.53 (10) (b) of the statutes is amended to read:

SB44-SSA1,57,15 16.53 (10) (b) Before exercising authority under par. (a) the secretary shall, after consultation with the state treasurer, notify the joint committee on finance as to the need for and the procedures under which proration or priority schedules under par. (a) shall occur. If the joint committee on finance has not, within 2 working days after the notification, scheduled a meeting to review the secretary's proposal, the secretary may proceed with the proposed action. If, within 2 working days after the notification, the committee schedules a meeting, the secretary may not proceed with the proposed action until after the meeting is held.

SB44-SSA1, s. 187 Section 187. 16.53 (13) (a) of the statutes is amended to read:

SB44-SSA1,57,18 16.53 (13) (a) In this subsection, "agency" has the meaning given in s. 16.70 (1) (1e).

SB44-SSA1, s. 188 Section 188. 16.54 (2) (b) of the statutes is amended to read:

SB44-SSA1,58,5 16.54 (2) (b) Upon presentation by the department to the joint committee on finance of alternatives to the provisions under s. 16.385 16.27, the joint committee on finance may revise the eligibility criteria under s. 16.385 16.27 (5), benefit payments under s. 16.385 16.27 (6) or the amount allocated for crises under s. 16.385 16.27 (3) (e) 2. and the department shall implement those revisions. Benefits or eligibility criteria so revised shall take into account and be consistent with the requirements of federal regulations promulgated under 42 USC 8621 to 8629. If funds received under 42 USC 8621 to 8629 in a federal fiscal year total less than 90% of the amount received in the previous federal fiscal year, the department shall submit to the joint committee on finance a plan for expenditure of the funds. The department may not use the funds unless the committee approves the plan.

SB44-SSA1, s. 189 Section 189. 16.545 (9) of the statutes is amended to read:

SB44-SSA1,58,13 16.545 (9) To initiate contacts with the federal government for the purpose of facilitating participation by agencies, as defined in s. 16.70 (1) (1e), in federal aid programs, to assist those agencies in applying for such aid, and to facilitate influencing the federal government to make policy changes that will be beneficial to this state. The department may assess an agency to which it provides services under this subsection a fee for the expenses incurred by the department in providing those services.

SB44-SSA1, s. 190 Section 190. 16.61 (2) (af) of the statutes is amended to read:

SB44-SSA1,58,15 16.61 (2) (af) "Form" has the meaning specified in s. 22.01 16.97 (5p).

SB44-SSA1, s. 191 Section 191. 16.61 (3n) of the statutes is amended to read:

SB44-SSA1,58,18 16.61 (3n) Exempt forms. The board may not receive or investigate complaints about the forms specified in s. 22.03 16.971 (2m).

SB44-SSA1, s. 192 Section 192. 16.70 (1) of the statutes is renumbered 16.70 (1e).

SB44-SSA1, s. 193 Section 193. 16.70 (1b) of the statutes is created to read:

SB44-SSA1,58,23 16.70 (1b) "Affiliate" means a person, as defined in s. 77.51 (10), that controls, is controlled by, or is under common control with another person, as defined in s. 77.51 (10).

SB44-SSA1, s. 195 Section 195. 16.70 (3e) of the statutes is created to read:

SB44-SSA1,59,2 16.70 (3e) "Control" means to own, directly or indirectly, more than 10% of the interest in or voting securities of a business.

SB44-SSA1, s. 196d Section 196d. 16.70 (3m) of the statutes is amended to read:

SB44-SSA1,59,5 16.70 (3m) "Educational technology" has the meaning given in s. 44.70 16.99 (3).

SB44-SSA1, s. 197 Section 197. 16.70 (4m) of the statutes is amended to read:

SB44-SSA1,59,8 16.70 (4m) "Information technology" has the meaning given in s. 22.01 16.97 (6).

SB44-SSA1, s. 198 Section 198. 16.70 (15) of the statutes is amended to read:

SB44-SSA1,59,10 16.70 (15) "Telecommunications" has the meaning given in s. 22.01 16.97 (10).

SB44-SSA1, s. 199 Section 199. 16.70 (16) of the statutes is created to read:

SB44-SSA1,59,15 16.70 (16) "Voting securities" means securities that confer upon the holder the right to vote for the election of members of the board of directors or similar governing body of a business, or are convertible into, or entitle the holder to receive upon their exercise, securities that confer such a right to vote.

SB44-SSA1, s. 201 Section 201. 16.705 (3) (intro.) of the statutes is amended to read:

SB44-SSA1,59,22 16.705 (3) (intro.) Contracts for contractual services shall be submitted by the department for the review and approval of the secretary of employment relations The director of the office of state human resources management, prior to award, under conditions established by rule of the department. The secretary of employment relations, shall review such contracts for contractual services in order to ensure that agencies:

SB44-SSA1, s. 202 Section 202. 16.71 (1m) of the statutes is amended to read:

SB44-SSA1,60,6 16.71 (1m) The department shall not delegate to any executive branch agency, other than the board of regents of the University of Wisconsin System, the authority to enter into any contract for materials, supplies, equipment, or contractual services relating to information technology or telecommunications prior to review and approval of the contract by the chief information officer department. No executive branch agency, other than the board of regents of the University of Wisconsin System, may enter into any such contract without review and approval of the contract by the chief information officer department.

SB44-SSA1, s. 203 Section 203. 16.71 (2m) of the statutes is repealed.

SB44-SSA1, s. 204d Section 204d. 16.71 (4) of the statutes is repealed.

SB44-SSA1, s. 206 Section 206. 16.72 (2) (a) of the statutes is amended to read:

SB44-SSA1,60,21 16.72 (2) (a) The department of administration shall prepare standard specifications, as far as possible, for all state purchases. By "standard specifications" is meant a specification, either chemical or physical or both, prepared to describe in detail the article which the state desires to purchase, and trade names shall not be used. On the formulation, adoption and modification of any standard specifications, the department of administration shall also seek and be accorded without cost, the assistance, advice and cooperation of other agencies and officers. Each specification adopted for any commodity shall, insofar as possible, satisfy the requirements of any and all agencies which use it in common. Any specifications for the purchase of materials, supplies, equipment, or contractual services for information technology or telecommunications purposes are subject to the approval of the chief information officer.

SB44-SSA1, s. 207 Section 207. 16.72 (2) (b) of the statutes is amended to read:

SB44-SSA1,61,8 16.72 (2) (b) Except as provided in par. (a) and ss. 16.25 (4) (b), 16.751 and , 560.9813 (4) (b), 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 by its 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.

SB44-SSA1, s. 208 Section 208. 16.72 (4) (a) of the statutes is amended to read:

SB44-SSA1,61,20 16.72 (4) (a) Except as provided in ss. 16.71 and 16.74 or as otherwise provided in this subchapter and the rules promulgated under s. 16.74 and this subchapter, all supplies, materials, equipment and contractual services shall be purchased for and furnished to any agency only upon requisition to the department. The department shall prescribe the form, contents, number and disposition of requisitions and shall promulgate rules as to time and manner of submitting such requisitions for processing. No agency or officer may engage any person to perform contractual services without the specific prior approval of the department for each such engagement. Purchases of supplies, materials, equipment or contractual services by the department of electronic government, the legislature, the courts or legislative service or judicial branch agencies do not require approval under this paragraph.

SB44-SSA1, s. 209 Section 209. 16.72 (4) (b) of the statutes is amended to read:

SB44-SSA1,62,5 16.72 (4) (b) The department shall promulgate rules for the declaration as surplus of supplies, materials and equipment in any agency and for the transfer to other agencies or for the disposal by private or public sale of supplies, materials and equipment. In Except as provided in s. 51.06 (6), in either case due credit shall be given to the agency releasing the same , the department shall deposit the net proceeds in the budget stabilization fund, except that the department shall transfer any supplies, materials or equipment declared to be surplus to the department of tourism, upon request of the department of tourism, at no cost, if the transfer is permitted by the agency having possession of the supplies, materials or equipment.

SB44-SSA1, s. 210d Section 210d. 16.72 (8) of the statutes is amended to read:

SB44-SSA1,62,11 16.72 (8) The department may purchase educational technology materials, supplies, equipment, or contractual services from orders placed with the department by the technology for educational achievement in Wisconsin board on behalf of school districts, cooperative educational service agencies, technical college districts, and the board of regents of the University of Wisconsin System.

SB44-SSA1, s. 211 Section 211. 16.75 (1) (a) 1. of the statutes is amended to read:

SB44-SSA1,62,21 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 (10m) and ss. 16.73 (4) (a), 16.751, 16.754, 16.964 (8), 50.05 (7) (f), 153.05 (2m) (a), and 287.15 (7), 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.

SB44-SSA1, s. 212 Section 212. 16.75 (3t) (a) of the statutes is amended to read:

SB44-SSA1,62,24 16.75 (3t) (a) In this subsection, "form" has the meaning given under s. 22.01 16.97 (5p).

SB44-SSA1, s. 213 Section 213. 16.75 (6) (am) of the statutes is amended to read:

SB44-SSA1,63,8 16.75 (6) (am) Subsections (1) and (3t) do not apply to procurements by the department of electronic government department relating to information technology or telecommunications. Annually not later than October 1, the department of electronic government shall report to the department of administration governor, in the form specified by the secretary governor, concerning all procurements relating to information technology or telecommunications by the department of electronic government department during the preceding fiscal year that were not made in accordance with the requirements of subs. (1) and (3t).

SB44-SSA1, s. 214 Section 214. 16.75 (10m) of the statutes is created to read:

SB44-SSA1,63,15 16.75 (10m) The department, any other designated purchasing agent under s. 16.71 (1), any agency making purchases under s. 16.74, and any authority shall not enter into any contract or order for the purchase of materials, supplies, equipment, or contractual services with a person if the name of the person, or the name of an affiliate of that person, is certified to the department by the secretary of revenue under s. 77.66.

SB44-SSA1, s. 214b Section 214b. 16.752 (12) (a) of the statutes is amended to read:

SB44-SSA1,63,19 16.752 (12) (a) Except as provided in pars. (c), (d), (h) and, (i), and (j) and as authorized under sub. (13), agencies shall obtain materials, supplies, equipment and services on the list maintained by the board under sub. (2) (g).

SB44-SSA1, s. 215 Section 215. 16.752 (12) (i) of the statutes is amended to read:

SB44-SSA1,63,22 16.752 (12) (i) Paragraph (a) does not apply to procurements by the department of electronic government relating to information technology or telecommunications.