Amendment SSA1-SB44

SB44-SSA1,808,2 139.362 Bad debt deductions. (1) In this section, "bad debt" means an amount that is equal to the purchase price of cigarettes, if such amount may be claimed as a deduction under section 166 of the Internal Revenue Code. "Bad debt" does not include financing charges, interest on the wholesale price of cigarettes, uncollectible amounts on property that remains in the seller's possession until the full purchase price is paid, expenses incurred in attempting to collect any debt, debts sold or assigned to 3rd parties for collection, and repossessed property.

SB44-SSA1,808,16 (2) A person who pays the taxes imposed under this subchapter may claim as a deduction on a return under s. 139.38, and against the purchase of stamps under s. 139.32, the amount of any such taxes that are attributable to bad debt that the person writes off as uncollectible in the person's books and records and that is eligible to be deducted as bad debt for federal income tax purposes, regardless of whether the person is required to file a federal income tax return. A person who claims a deduction under this section shall claim the deduction on the return under s. 139.38 that is submitted for the period in which the person writes off the amount of the bad debt as uncollectible in the person's books and records and in which such amount is eligible to be deducted as bad debt for federal income tax purposes. If the person subsequently collects in whole or in part any bad debt for which a deduction is claimed under this section, the person shall submit to the department the portion of the deduction related to the amount collected, in the manner prescribed by the department and for the period in which the amount is collected.

SB44-SSA1,808,19 (3) A person who claims a deduction under this section shall submit the claim on a form prescribed by the department and shall submit with the form all of the following:

SB44-SSA1,808,21 (a) A copy of the original invoice for the sale of cigarettes that represents bad debt.

SB44-SSA1,808,23 (b) Evidence that the cigarettes described in the invoice under par. (a) were delivered to the person who ordered them.

SB44-SSA1,808,25 (c) Evidence that the person who ordered and received the cigarettes did not pay the person who claims a deduction under this section for the cigarettes.

SB44-SSA1,809,3 (d) Evidence that the person who claims a deduction under this section used reasonable collection practices in attempting to collect the amount owed under par. (c).

SB44-SSA1, s. 2058 Section 2058. 139.39 (4) of the statutes is amended to read:

SB44-SSA1,809,13 139.39 (4) No suit shall be maintained in any court to restrain or delay the collection or payment of the tax levied in s. 139.31. The aggrieved taxpayer shall pay the tax when due and, if paid under protest, may at any time within 90 days from the date of payment, sue the state to recover the tax paid. If it is finally determined that any part of the tax was wrongfully collected, the department secretary of administration shall issue a warrant on the state treasurer for pay the amount wrongfully collected, and the treasurer shall pay the same out of the general fund. A separate suit need not be filed for each separate payment made by any taxpayer, but a recovery may be had in one suit for as many payments as may have been made.

SB44-SSA1, s. 2058f Section 2058f. 139.801 of the statutes is created to read:

SB44-SSA1,809,21 139.801 Bad debt deductions. (1) In this section, "bad debt" means an amount that is equal to the purchase price of tobacco products, if such amount may be claimed as a deduction under section 166 of the Internal Revenue Code. "Bad debt" does not include financing charges, interest on the wholesale price of tobacco products, uncollectible amounts on property that remains in the seller's possession until the full purchase price is paid, expenses incurred in attempting to collect any debt, debts sold or assigned to 3rd parties for collection, and repossessed property.

SB44-SSA1,810,9 (2) A distributor who pays the taxes imposed under s. 139.76 may claim as a deduction on a return under s. 139.77 the amount of any such taxes that are attributable to bad debt that the distributor writes off as uncollectible in the distributor's books and records and that is eligible to be deducted as bad debt for federal income tax purposes, regardless of whether the distributor is required to file a federal income tax return. A distributor who claims a deduction under this section shall claim the deduction on the return under s. 139.77 that is submitted for the period in which the distributor writes off the amount of the deduction as uncollectible in the distributor's books and records and in which such amount is eligible to be deducted as bad debt for federal income tax purposes. If the distributor subsequently collects in whole or in part any bad debt for which a deduction is claimed under this section, the distributor shall include the amount collected in the return filed for the period in which the amount is collected and shall pay the tax with the return.

SB44-SSA1,810,11 (3) A distributor who claims a deduction under this section shall submit with the return under sub. (2) all of the following:

SB44-SSA1,810,13 (a) A copy of the original invoice for the sale of tobacco products that represents bad debt.

SB44-SSA1,810,15 (b) Evidence that the tobacco products described in the invoice under par. (a) were delivered to the person who ordered them.

SB44-SSA1,810,17 (c) Evidence that the person who ordered and received the cigarettes did not pay the distributor for the tobacco products.

SB44-SSA1,810,19 (d) Evidence that the distributor used reasonable collection practices in attempting to collect the amount owed under par. (c).

SB44-SSA1, s. 2059 Section 2059. 146.185 (1) (i) of the statutes is amended to read:

SB44-SSA1,810,21 146.185 (1) (i) "State agency" has the meaning given in s. 16.70 (1) (1e).

SB44-SSA1, s. 2059g Section 2059g. 146.185 (3) of the statutes is amended to read:

SB44-SSA1,811,6 146.185 (3) From the appropriation under s. 20.435 (5) (kb), the department shall annually award up to $200,000 in grants for activities to improve the health status of economically disadvantaged minority group members. A person may apply, in the manner specified by the department, for a grant of up to $50,000 in each fiscal year to conduct these activities. An awardee of a grant under this subsection shall provide, for at least 50% of the grant amount, matching funds that may consist of funding or an in-kind contribution. An applicant that is not a federally qualified health center, as defined under 42 CFR 405.2401 (b) shall receive priority for grants awarded under this subsection.

SB44-SSA1, s. 2060 Section 2060. 146.59 (3) (b) of the statutes is amended to read:

SB44-SSA1,811,12 146.59 (3) (b) Any authorization under par. (a) shall comply with all applicable provisions of subch. V of ch. 111 and ch. 230, any delegation of authority by the department of employment relations office of state human resources management to the board, and any collective bargaining agreement with respect to employees of the board.

SB44-SSA1, s. 2061 Section 2061. 146.65 (1) (a) and (b) of the statutes are amended to read:

SB44-SSA1,811,18 146.65 (1) (a) In state fiscal year 2001-02, not more than $618,000 and in fiscal year 2002-03 each fiscal year, not more than $232,000, to the rural health dental clinic located in Ladysmith that provides dental services to persons who are developmentally disabled or elderly or who have low income, in the counties of Rusk, Price, Taylor, Sawyer, and Chippewa.

SB44-SSA1,811,23 (b) In fiscal year 2001-02, not more than $294,500 and in state fiscal year 2002-03 each fiscal year, not more than $355,600, to the rural health dental clinic located in Menomonie that provides dental services to persons who are developmentally disabled or elderly or who have low income, in the counties of Barron, Chippewa, Dunn, Pepin, Pierce, Polk, and St. Croix.

SB44-SSA1, s. 2061s Section 2061s. 146.885 of the statutes is repealed.

SB44-SSA1, s. 2062 Section 2062. 146.93 of the statutes is repealed.

SB44-SSA1, s. 2064 Section 2064. 146.997 (4) (a) of the statutes is amended to read:

SB44-SSA1,812,7 146.997 (4) (a) Subject to par. (b), any Any employee of a health care facility or health care provider who is subjected to disciplinary action, or who is threatened with disciplinary action, in violation of sub. (3) may file a complaint with the department under s. 106.54 (6). If the department finds that a violation of sub. (3) has been committed, the department may take such action under s. 111.39 as will effectuate the purpose of this section.

SB44-SSA1, s. 2065 Section 2065. 146.997 (4) (b) of the statutes is repealed.

SB44-SSA1, s. 2066 Section 2066. 146.997 (4) (c) of the statutes is amended to read:

SB44-SSA1,812,11 146.997 (4) (c) Section 111.322 (2m) applies to a disciplinary action arising in connection with any proceeding under par. (a) or (b).

SB44-SSA1, s. 2067 Section 2067. 149.10 (8b) of the statutes is repealed.

SB44-SSA1, s. 2068 Section 2068. 149.14 (5) (e) of the statutes is amended to read:

SB44-SSA1,812,23 149.14 (5) (e) Subject to sub. (8) (b), the department may, by rule under s. 149.17 (4), establish for prescription drug coverage under sub. (3) (d) copayment amounts, coinsurance rates, and copayment and coinsurance out-of-pocket limits over which the plan will pay 100% of covered costs under sub. (3) (d). The department may provide subsidies for prescription drug copayment amounts paid by eligible persons under s. 149.165 (2) (a) 1. to 5. Any copayment amount, coinsurance rate, or out-of-pocket limit established under this paragraph is subject to the approval of the board. Copayments and coinsurance paid by an eligible person under this paragraph are separate from and do not count toward the deductible and covered costs not paid by the plan under pars. (a) to (c).

SB44-SSA1, s. 2069 Section 2069. 149.143 (1) (a) of the statutes is repealed.

SB44-SSA1, s. 2070 Section 2070. 149.143 (1) (b) (intro.) of the statutes is repealed.

SB44-SSA1, s. 2071 Section 2071. 149.143 (1) (b) 1. of the statutes is renumbered 149.143 (1) (am), and 149.143 (1) (am) 1., 2., 3. and 4., as renumbered, are amended to read:

SB44-SSA1,813,11 149.143 (1) (am) 1. First, from premiums from eligible persons with coverage under s. 149.14 (2) (a) set at a rate that is 140% to 150% of the rate that a standard risk would be charged under an individual policy providing substantially the same coverage and deductibles as are provided under the plan and from eligible persons with coverage under s. 149.14 (2) (b) set in accordance with s. 149.14 (5m), including amounts received for premium and, deductible, and prescription drug copayment subsidies under s. 149.144 and under the transfer to the fund from the appropriation account under s. 20.435 (4) (ah), and from premiums collected from eligible persons with coverage under s. 149.146 set in accordance with s. 149.146 (2) (b).

SB44-SSA1,813,13 2. Second, from moneys specified under sub. (2m), to the extent that the amounts under subd. 1. a. are insufficient to pay 60% of plan costs.

SB44-SSA1,813,24 3. Third, by increasing premiums from eligible persons with coverage under s. 149.14 (2) (a) to more than the rate at which premiums were set under subd. 1. a. but not more than 200% of the rate that a standard risk would be charged under an individual policy providing substantially the same coverage and deductibles as are provided under the plan and from eligible persons with coverage under s. 149.14 (2) (b) by a comparable amount in accordance with s. 149.14 (5m), including amounts received for premium and, deductible , and prescription drug copayment subsidies under s. 149.144 and under the transfer to the fund from the appropriation account under s. 20.435 (4) (ah), and by increasing premiums from eligible persons with coverage under s. 149.146 in accordance with s. 149.146 (2) (b), to the extent that the amounts under subd. 1. a. subds. 1. and b. 2. are insufficient to pay 60% of plan costs.

SB44-SSA1,814,5 4. Fourth, notwithstanding subd. 2. par. (bm), by increasing insurer assessments, excluding assessments under s. 149.144, and adjusting provider payment rates, subject to s. 149.142 (1) (b) and excluding adjustments to those rates under s. 149.144, in equal proportions and to the extent that the amounts under subd. 1. a. to c. subds. 1. to 3. are insufficient to pay 60% of plan costs.

SB44-SSA1, s. 2072 Section 2072. 149.143 (1) (b) 2. of the statutes is renumbered 149.143 (1) (bm).

SB44-SSA1, s. 2073 Section 2073. 149.143 (2) (a) (intro.) of the statutes is amended to read:

SB44-SSA1,814,12 149.143 (2) (a) (intro.) Prior to each plan year, the department shall estimate the operating and administrative costs of the plan and the costs of the premium reductions under s. 149.165 and, the deductible reductions under s. 149.14 (5) (a), and any prescription drug copayment reductions under s. 149.14 (5) (e) for the new plan year and do all of the following:

SB44-SSA1, s. 2074 Section 2074. 149.143 (2) (a) 1. a. of the statutes is amended to read:

SB44-SSA1,814,22 149.143 (2) (a) 1. a. Estimate the amount of enrollee premiums that would be received in the new plan year if the enrollee premiums were set at a level sufficient, when including amounts received for premium and, deductible, and prescription drug copayment subsidies under s. 149.144 and under the transfer to the fund from the appropriation account under s. 20.435 (4) (ah) and from premiums collected from eligible persons with coverage under s. 149.146 set in accordance with s. 149.146 (2) (b), to cover 60% of the estimated plan costs for the new plan year , after deducting from the estimated plan costs the amount available for transfer to the fund from the appropriation account under s. 20.435 (4) (af) for that plan year.

SB44-SSA1, s. 2075 Section 2075. 149.143 (2) (a) 1. b. of the statutes is amended to read:

SB44-SSA1,814,25 149.143 (2) (a) 1. b. Estimate the amount of enrollee premiums that will be received under sub. (1) (b) 1. a. (am) 1.

SB44-SSA1, s. 2076 Section 2076. 149.143 (2) (a) 2. of the statutes is amended to read:

SB44-SSA1,815,8 149.143 (2) (a) 2. After making the determinations under subd. 1., by rule set premium rates for the new plan year, including the rates under s. 149.146 (2) (b), in the manner specified in sub. (1) (b) 1. a. and c. (am) 1. and 3. and such that a rate for coverage under s. 149.14 (2) (a) is approved by the board and is not less than 140% nor more than 200% of the rate that a standard risk would be charged under an individual policy providing substantially the same coverage and deductibles as are provided under the plan.

SB44-SSA1, s. 2077 Section 2077. 149.143 (2) (a) 3. of the statutes is amended to read:

SB44-SSA1,815,13 149.143 (2) (a) 3. By rule set the total insurer assessments under s. 149.13 for the new plan year by estimating and setting the assessments at the amount necessary to equal the amounts specified in sub. (1) (b) 1. d. and 2. a. (am) 4. and (bm) 1. and notify the commissioner of the amount.

SB44-SSA1, s. 2078 Section 2078. 149.143 (2) (a) 4. of the statutes is amended to read:

SB44-SSA1,815,18 149.143 (2) (a) 4. By the same rule as under subd. 3. adjust the provider payment rate for the new plan year, subject to s. 149.142 (1) (b), by estimating and setting the rate at the level necessary to equal the amounts specified in sub. (1) (b) 1. d. and 2. b. (am) 4. and (bm) 2. and as provided in s. 149.145.

SB44-SSA1, s. 2079 Section 2079. 149.143 (2) (b) of the statutes is amended to read:

SB44-SSA1,815,25 149.143 (2) (b) In setting the premium rates under par. (a) 2., the insurer assessment amount under par. (a) 3. and the provider payment rate under par. (a) 4. for the new plan year, the department shall include any increase or decrease necessary to reflect the amount, if any, by which the rates and amount set under par. (a) for the current plan year differed from the rates and amount which would have equaled the amounts specified in sub. (1) (b) (am) and (bm) in the current plan year.

SB44-SSA1, s. 2080 Section 2080. 149.143 (2m) (a) 1. of the statutes is amended to read:

SB44-SSA1,816,4 149.143 (2m) (a) 1. The amount of premiums received in a plan year from all eligible persons, including amounts received for premium and, deductible, and prescription drug copayment subsidies.

SB44-SSA1, s. 2081 Section 2081. 149.143 (2m) (a) 2. of the statutes is amended to read:

SB44-SSA1,816,9 149.143 (2m) (a) 2. The amount of premiums, including amounts received for premium and, deductible, and prescription drug copayment subsidies, necessary to cover 60% of the plan costs for the plan year, after deducting the amount transferred to the fund from the appropriation account under s. 20.435 (4) (af).

SB44-SSA1, s. 2082 Section 2082. 149.143 (2m) (b) 1. of the statutes is amended to read:

SB44-SSA1,816,15 149.143 (2m) (b) 1. To reduce premiums in succeeding plan years as provided in sub. (1) (b) 1. b. (am) 2. For eligible persons with coverage under s. 149.14 (2) (a), premiums may not be reduced below 140% of the rate that a standard risk would be charged under an individual policy providing substantially the same coverage and deductibles as are provided under the plan.

SB44-SSA1, s. 2083 Section 2083. 149.143 (3) (a) of the statutes is amended to read:

SB44-SSA1,817,2 149.143 (3) (a) If, during a plan year, the department determines that the amounts estimated to be received as a result of the rates and amount set under sub. (2) (a) 2. to 4. and any adjustments in insurer assessments and the provider payment rate under s. 149.144 will not be sufficient to cover plan costs, the department may by rule increase the premium rates set under sub. (2) (a) 2. for the remainder of the plan year, subject to s. 149.146 (2) (b) and the maximum specified in sub. (2) (a) 2., by rule increase the assessments set under sub. (2) (a) 3. for the remainder of the plan year, subject to sub. (1) (b) 2. a. (bm) 1., and by the same rule under which assessments are increased adjust the provider payment rate set under sub. (2) (a) 4. for the remainder of the plan year, subject to sub. (1) (b) 2. b. (bm) 2. and s. 149.142 (1) (b).

SB44-SSA1, s. 2084 Section 2084. 149.143 (3) (b) of the statutes is amended to read:

SB44-SSA1,817,10 149.143 (3) (b) If the department increases premium rates and insurer assessments and adjusts the provider payment rate under par. (a) and determines that there will still be a deficit and that premium rates have been increased to the maximum extent allowable under par. (a), the department may further adjust, in equal proportions, assessments set under sub. (2) (a) 3. and the provider payment rate set under sub. (2) (a) 4., without regard to sub. (1) (b) 2. (bm) but subject to s. 149.142 (1) (b).

SB44-SSA1, s. 2085 Section 2085. 149.144 of the statutes is amended to read:

SB44-SSA1,818,2 149.144 Adjustments to insurer assessments and provider payment rates for premium and, deductible , and prescription drug copayment reductions. If the moneys transferred to the fund under the appropriation under s. 20.435 (4) (ah) are insufficient to reimburse the plan for premium reductions under s. 149.165 and deductible reductions under s. 149.14 (5) (a), or the department determines that the moneys transferred or to be transferred to the fund under the appropriation under s. 20.435 (4) (ah) will be insufficient to reimburse the plan for premium reductions under s. 149.165 and deductible reductions under s. 149.14 (5) (a), the The department may shall, by rule, adjust in equal proportions the amount of the assessment set under s. 149.143 (2) (a) 3. and the provider payment rate set under s. 149.143 (2) (a) 4., subject to ss. 149.142 (1) (b) and 149.143 (1) (b) 1. (am), sufficient to reimburse the plan for premium reductions under s. 149.165 and, deductible reductions under s. 149.14 (5) (a). If the department makes the adjustment under this section, the, and any prescription drug copayment reductions under s. 149.14 (5) (e). The department shall notify the commissioner so that the commissioner may levy any increase in insurer assessments.

SB44-SSA1, s. 2086 Section 2086. 149.145 of the statutes is amended to read:

SB44-SSA1,818,15 149.145 Program budget. The department, in consultation with the board, shall establish a program budget for each plan year. The program budget shall be based on the provider payment rates specified in s. 149.142 and in the most recent provider contracts that are in effect and on the funding sources specified in s. ss. 149.143 (1) and 149.144, including the methodologies specified in ss. 149.143, 149.144, and 149.146 for determining premium rates, insurer assessments, and provider payment rates. Except as otherwise provided in s. 149.143 (3) (a) and (b) and subject to s. 149.142 (1) (b), from the program budget the department shall derive the actual provider payment rate for a plan year that reflects the providers' proportional share of the plan costs, consistent with ss. 149.143 and 149.144. The department may not implement a program budget established under this section unless it is approved by the board.

SB44-SSA1, s. 2087 Section 2087. 149.146 (2) (a) of the statutes is amended to read:

SB44-SSA1,818,21 149.146 (2) (a) Except as specified by the department, the terms of coverage under s. 149.14, including deductible reductions under s. 149.14 (5) (a) and prescription drug copayment reductions under s. 149.14 (5) (e), do not apply to the coverage offered under this section. Premium reductions under s. 149.165 do not apply to the coverage offered under this section.

SB44-SSA1, s. 2088 Section 2088. 149.16 (1) of the statutes is repealed.

SB44-SSA1, s. 2089 Section 2089. 149.16 (1m) of the statutes is created to read:

SB44-SSA1,818,25 149.16 (1m) The plan administrator may be selected by the department in a competitive bidding process.

SB44-SSA1, s. 2090 Section 2090. 149.16 (4) of the statutes is amended to read:

SB44-SSA1,819,4 149.16 (4) The If the plan administrator is the fiscal agent under s. 49.45 (2) (b) 2., the plan administrator shall account for costs related to the plan separately from costs related to medical assistance under subch. IV of ch. 49.

SB44-SSA1, s. 2091 Section 2091. 149.165 (4) of the statutes is amended to read:

SB44-SSA1,819,9 149.165 (4) The department shall reimburse the plan for premium reductions under sub. (2) and, deductible reductions under s. 149.14 (5) (a) with moneys transferred to the fund, and prescription drug copayment reductions under s. 149.14 (5) (e) from the appropriation account under s. 20.435 (4) (ah) (v).

SB44-SSA1, s. 2092 Section 2092. 150.963 (3) (e) of the statutes is amended to read:

SB44-SSA1,819,14 150.963 (3) (e) Accept on behalf of the state and deposit with the state treasurer secretary of administration any grant, gift, or contribution made to assist in meeting the cost of carrying out the purposes of this subchapter, and expend those funds for the purposes of this subchapter.

SB44-SSA1, s. 2092c Section 2092c. 153.01 (4j) of the statutes is created to read:

SB44-SSA1,819,19 153.01 (4j) "Entity" means a nonstock corporation organized under ch. 181 that is described in section 501 (c) (6) of the Internal Revenue Code and is exempt from federal income tax under section 501 (a) of the Internal Revenue Code, and that does all of the following:

SB44-SSA1,819,20 (a) Represents at least 70% of the hospitals in Wisconsin.

SB44-SSA1,819,22 (b) Receives oversight with respect to services performed by the entity under this chapter from a group that is composed of all of the following:

SB44-SSA1,819,24 1. The secretary of health and family services, who shall serve as chairperson and nonvoting member of the group.

SB44-SSA1,819,25 2. Two members designated by Wisconsin Manufacturers and Commerce, Inc.