SENATE AMENDMENT 1,
TO SENATE SUBSTITUTE AMENDMENT 1,
TO 2005 SENATE BILL 459
February 21, 2006 - Offered by Senators Cowles, Plale, Kedzie, Wirch, Kapanke
and Miller.
SB459-SSA1-SA1,1,11 At the locations indicated, amend the substitute amendment as follows:
SB459-SSA1-SA1,1,2 21. Page 2, line 14: after "construction" insert "and certain purchases".
SB459-SSA1-SA1,1,3 32. Page 2, line 18: before that line insert:
SB459-SSA1-SA1,1,5 4" Section 1e. 16.75 (1) (a) 1. of the statutes, as affected by 2005 Wisconsin Act
525
, is amended to read:
SB459-SSA1-SA1,2,26 16.75 (1) (a) 1. All orders awarded or contracts made by the department for all
7materials, supplies, equipment, and contractual services to be provided to any
8agency, except as otherwise provided in par. (c) and subs. (2), (2g), (2m), (3m), (3t),
9(6), (7), (8), (9), (10e), and (10m) and ss. 16.73 (4) (a), 16.751, 16.754, 50.05 (7) (f),
10153.05 (2m) (a), 287.15 (7), and 301.265, shall be awarded to the lowest responsible
11bidder, taking into consideration life cycle cost estimates under sub. (1m), when
12appropriate, the location of the agency, the quantities of the articles to be supplied,

1their conformity with the specifications, and the purposes for which they are
2required and the date of delivery.
SB459-SSA1-SA1, s. 1m 3Section 1m. 16.75 (10e) of the statutes is created to read:
SB459-SSA1-SA1,2,64 16.75 (10e) (a) In this subsection, "energy consuming equipment" means any
5equipment that is designed for heating, ventilation, air conditioning, water heating
6or cooling, lighting, refrigeration, or any other function, and that consumes energy.
SB459-SSA1-SA1,2,237 (b) The department, any other designated purchasing agent under s. 16.71 (1),
8any agency making purchases under s. 16.74, and any authority may not purchase
9energy consuming equipment unless the specifications for the equipment meet the
10applicable standards for the equipment established under s. 16.855 (10s) (a). If there
11is no standard under s. 16.855 (10s) (a) applicable to the type of energy consuming
12equipment being purchased, or if the energy consuming equipment meeting that
13standard is not reasonably available, the department, purchasing agent, agency, or
14authority shall ensure that the energy consuming equipment that is purchased
15maximizes energy efficiency to the extent technically and economically feasible. The
16department, purchasing agent, agency, or authority shall not determine that energy
17consuming equipment that meets the applicable standard under s. 16.855 (10s) (a)
18either is not reasonably available on the basis of cost alone or is not cost-effective
19unless the difference in the cost of the purchase and installation of the equipment
20that meets the standard and the equipment that would otherwise be installed is
21greater than the difference in the cost of operating the equipment that meets the
22standard and the equipment that would otherwise be installed over the anticipated
23life of the equipment.".
SB459-SSA1-SA1,2,24 243. Page 2, line 18: delete " Section 1" and substitute "Section 1s".
SB459-SSA1-SA1,3,2
14. Page 6, line 2: after "revenues." insert "The department of administration
2shall consider in its plan the means of financing allowed under s. 16.858.".
SB459-SSA1-SA1,3,3 35. Page 10, line 6: delete lines 6 to 14 and substitute:
SB459-SSA1-SA1,3,10 4"16.957 (4) (c) 3. `Limitation on electric bill increases low-income assistance
5fees
.' For the period beginning on October 29, 1999, and ending on June 30, 2008,
6the total increase in a customer's electric bills that is based on the requirement to pay
7public benefits fees, including any increase resulting from an electric utility's
8compliance with this section,
In any month, the low-income assistance fee may not
9exceed 3% of the total of every other charge for which the customer is billed for that
10period month or $750 per month, whichever is less.".
SB459-SSA1-SA1,3,17 116. Page 11, line 3: delete lines 3 to 11 and substitute "on June 30, 2008, the
12total increase in a customer's or member's electric bills that is based on the
13requirement to pay public benefits fees, including any increase resulting from a
14retail electric cooperative's or municipal utility's compliance with this section,
in any
15month, the low-income assistance fee
may not exceed 3% 1.5 percent of the total of
16every other charge for which the member or customer is billed for that period month
17or $750 per month $375, whichever is less.".
SB459-SSA1-SA1,3,18 187. Page 11, line 14: delete "annually,".
SB459-SSA1-SA1,3,19 198. Page 11, line 15: delete "an amount equal to".
SB459-SSA1-SA1,3,20 209. Page 11, line 16: delete "in that year".
SB459-SSA1-SA1,3,21 2110. Page 19, line 2: delete "196.025 (1) (a)" and substitute "196.025 (1) (ar)".
SB459-SSA1-SA1,3,22 2211. Page 19, line 4: delete "196.025 (1) (a)" and substitute "196.025 (1) (ar)".
SB459-SSA1-SA1,3,23 2312. Page 19, line 8: after that line insert:
SB459-SSA1-SA1,4,1
1" Section 61m. 196.025 (1) (ag) of the statutes is created to read:
SB459-SSA1-SA1,4,22 196.025 (1) (ag) Definitions. In this subsection:
SB459-SSA1-SA1,4,33 1. "Renewable resource" has the meaning given in s. 196.374 (1) (j).
SB459-SSA1-SA1,4,44 2. "Wholesale supplier" has the meaning given in s. 16.957 (1) (w).".
SB459-SSA1-SA1,4,6 513. Page 19, line 10: delete the material beginning with that line and ending
6with page 20, line 16, and substitute:
SB459-SSA1-SA1,4,13 7"196.025 (1) (b) Energy conservation and efficiency. 1. In a proceeding in which
8an investor-owned electric public utility is a party, the commission shall not order
9or otherwise impose energy conservation or efficiency requirements on the
10investor-owned electric public utility if the commission has fulfilled all of its duties
11under s. 196.374 and the investor-owned electric public utility has satisfied the
12requirements of s. 196.374 for the year prior to commencement of the proceeding, as
13specified in s. 196.374 (8).
SB459-SSA1-SA1,4,1814 2. In a proceeding in which a wholesale supplier is a party, the commission shall
15not order or otherwise impose energy conservation or efficiency requirements on the
16wholesale supplier if the commission has fulfilled all of its duties under s. 196.374
17and the wholesale supplier's members are in the aggregate substantially in
18compliance with s. 196.374 (7).
SB459-SSA1-SA1,5,219 (c) Renewable resources. 1. In a proceeding in which an investor-owned electric
20public utility is a party, the commission shall not order or otherwise impose any
21renewable resource requirements on the investor-owned electric public utility if the
22commission has fulfilled all of its duties under s. 196.378 and the commission has
23informed the utility under s. 196.378 (2) (c) that, with respect to the most recent

1report submitted under s. 196.378 (2) (c), the utility is in compliance with the
2requirements of s. 196.378 (2) (a) 2.
SB459-SSA1-SA1,5,73 2. In a proceeding in which a wholesale supplier is a party, the commission shall
4not order or otherwise impose any renewable resource requirements on the
5wholesale supplier if the commission has fulfilled all of its duties under s. 196.378
6and the wholesale supplier's members are in the aggregate substantially in
7compliance with s. 196.378 (2).
SB459-SSA1-SA1,5,118 (d) Transmission facilities. In a proceeding regarding a request by a public
9utility or wholesale supplier to acquire, construct, install, or operate an electric
10transmission facility or associated equipment, the commission shall not order or
11otherwise impose requirements on the public utility or wholesale supplier.".
SB459-SSA1-SA1,5,12 1214. Page 21, line 20: after that line insert:
SB459-SSA1-SA1,5,18 13"(em) "Large energy customer" means a customer of an energy utility that owns
14or operates a facility in the energy utility's service area that has an energy demand
15of at least 1,000 kilowatts of electricity per month or of at least 10,000 decatherms
16of natural gas per month and that, in a month, is billed at least $60,000 for electric
17service, natural gas service, or both, for all of the facilities of the customer within the
18energy utility's service territory.".
SB459-SSA1-SA1,5,19 1915. Page 23, line 1: delete lines 1 to 4.
SB459-SSA1-SA1,5,20 2016. Page 23, line 11: before "administer" insert "develop and".
SB459-SSA1-SA1,5,21 2117. Page 23, line 17: delete "(a)" and substitute "(ar)".
SB459-SSA1-SA1,5,24 2218. Page 24, line 6: after "customers." insert "A local unit of government that
23receives assistance under this subd. 2. b. shall apply all costs savings realized from
24the assistance to reducing the property tax levy.".
SB459-SSA1-SA1,6,1
119. Page 24, line 10: after that line insert:
SB459-SSA1-SA1,6,3 2"d. Initiatives for research and development regarding the environmental and
3economic impacts of energy use in this state.".
SB459-SSA1-SA1,6,5 420. Page 24, line 18: delete "to large" and substitute "to, as determined by the
5commission, large".
SB459-SSA1-SA1,6,6 621. Page 25, line 5: delete "shall" and substitute "may".
SB459-SSA1-SA1,6,8 722. Page 25, line 7: delete "or" and substitute "at any time and shall request
8the modification or discontinuation of".
SB459-SSA1-SA1,6,9 923. Page 25, line 8: delete lines 8 to 14 and substitute:
SB459-SSA1-SA1,6,19 10"(c) Large energy customer programs. A customer of an energy utility may, with
11commission approval, administer and fund its own energy efficiency programs if the
12customer satisfies the definition of a large energy customer for any month in the 12
13months preceding the date of the customer's request for approval. A customer may
14request commission approval at any time. A customer that funds a program under
15this paragraph may deduct the amount of the funding from the amount the energy
16utility may collect from the customer under sub. (5) (b). If the customer deducts the
17amount of the funding from the amount the energy utility may collect from the
18customer under sub. (5) (b), the energy utility shall credit the amount of the funding
19against the amount the energy utility is required to spend under sub. (3) (b) 2.".
SB459-SSA1-SA1,6,20 2024. Page 28, line 11: delete lines 11 and 12.
SB459-SSA1-SA1,7,2 2125. Page 28, line 17: after "(b) 1." insert "The person or persons with whom
22the energy utilities contract for program administration under sub. (2) (a) 1. shall

1pay the costs of the audits from the amounts paid under the contracts under sub. (2)
2(a) 1.".
SB459-SSA1-SA1,7,3 326. Page 29, line 19: delete "and (b) 1. and 2.".
SB459-SSA1-SA1,7,4 427. Page 30, line 13: delete that line and substitute:
SB459-SSA1-SA1,7,5 5"(5) Cost recovery. (a) Rate-making orders. The commission shall ensure".
SB459-SSA1-SA1,7,7 628. Page 30, line 15: delete "is required to spend under sub. (3) (b) 2." and
7substitute "spends for programs under sub. (2) (a) 1.".
SB459-SSA1-SA1,7,9 829. Page 30, line 16: delete the material beginning with that line and ending
9with page 31, line 3, and substitute:
SB459-SSA1-SA1,7,15 10"(b) Large energy customers. 1. Except as provided in sub. (2) (c) and par. (bm)
112., if the commission has determined that a customer of an energy utility is a large
12energy customer under 2005 Wisconsin Act .... (this act), section 102 (8) (b), then,
13each month, the energy utility shall collect from the customer, for recovery of
14amounts under par. (a), the amount determined by the commission under 2005
15Wisconsin Act .... (this act), section 102 (8) (c).
SB459-SSA1-SA1,8,516 2. A customer of an energy utility that the commission has not determined is
17a large energy customer under 2005 Wisconsin Act .... (this act), section 102 (8) (b),
18may petition the commission for a determination that the customer is a large energy
19customer. The commission shall determine that a petitioner is a large energy
20customer if the petitioner satisfies the definition of large energy customer for any
21month in the 12 months preceding the date of the petition. If the commission makes
22such a determination, the commission shall also determine the amount that the
23energy utility may collect from the customer each month for recovery of the amounts
24under par. (a). The commission shall determine an amount that ensures that the

1amount collected from the customer is similar to the amounts collected from other
2customers that have a similar level of energy costs as the customer. Except as
3provided in sub. (2) (c) and par. (bm) 2., each month, the energy utility shall collect
4from the customer, for recovery of amounts under par. (a), the amount determined
5by the commission under this subdivision.
SB459-SSA1-SA1,8,146 (bm) Allocation proposal. 1. The commission shall commence a proceeding for
7for creating a proposal for allocating within different classes of customers an
8equitable distribution of the recovery of the amounts under par. (a) by all energy
9utilities. The purpose of the allocation is to ensure that customers of an energy utility
10within a particular class are treated equitably with respect to customers of other
11energy utilities within the same class. No later than December 31, 2008, the
12commission shall submit the proposal to the governor and chief clerk of each house
13of the legislature for distribution to the appropriate standing committees of the
14legislature under s. 13.172 (3).
SB459-SSA1-SA1,8,1815 2. If, by July 1, 2009, legislation based on the proposal under subd. 1. has not
16been enacted, the commission shall, beginning on July 1, 2009, annually increase the
17amount that an energy utility may recover from a large energy customer each month
18under par. (b) only by a percentage that is the lesser of the following:
SB459-SSA1-SA1,8,2019 a. The percentage increase in the energy utility's operating revenues during the
20preceding year.
SB459-SSA1-SA1,8,2321 b. The percentage increase in the consumer price index for all urban
22consumers, U.S. city average, as determined by the U.S. department of labor, during
23the preceding year.".
SB459-SSA1-SA1,8,24 2430. Page 31, line 4: after "(c)" insert "Accounting.".
SB459-SSA1-SA1,9,2
131. Page 31, line 7: delete "(d) The commission" and substitute "(d) Equitable
2contributions.
Subject to pars. (b) and (bm) 2., the commission".
SB459-SSA1-SA1,9,4 332. Page 31, line 9: delete the material beginning with "The" and ending with
4"amounts." on line 12.
SB459-SSA1-SA1,9,5 533. Page 31, line 13: delete that line and substitute:
SB459-SSA1-SA1,9,7 6"(5m) Benefit and grant opportunities. (a) The commission shall ensure that,
7on an annual basis, each customer class of".
SB459-SSA1-SA1,9,12 834. Page 31, line 16: delete "par. (a)." and substitute "sub. (5) (a). Biennially,
9the commission shall submit a report to the governor, and the chief clerk of each
10house of the legislature for distribution to the legislature under s. 13.172 (2), that
11summarizes the total amount recovered from each customer class and the total
12amount of grants made to, and benefits received by, each customer class.".
SB459-SSA1-SA1,9,13 1335. Page 31, line 17: delete "(e)" and substitute "(b)".
SB459-SSA1-SA1,9,14 1436. Page 32, line 10: delete lines 10 to 17 and substitute:
SB459-SSA1-SA1,9,17 15"2. Notwithstanding subd. 1., in any month, the monthly fee under subd. 1. may
16not exceed 1.5 percent of the total of every other charge for which the member or
17customer is billed for that month or $375 per month, whichever is less.".
SB459-SSA1-SA1,9,21 1837. Page 32, line 20: delete the material beginning with "A commitment to"
19and ending with "sub. (3) (f) 4." on line 22 and substitute "The purpose of the
20programs under this paragraph shall be to help achieve environmentally sound and
21adequate energy supplies at reasonable cost.".
SB459-SSA1-SA1,9,22 2238. Page 35, line 13: delete "for" and substitute "in".
SB459-SSA1-SA1,9,23 2339. Page 35, line 14: delete "for" and substitute "in".
SB459-SSA1-SA1,10,1
140. Page 38, line 6: delete lines 6 to 12 and substitute:
SB459-SSA1-SA1,10,5 2"196.378 (2) (b) 1m. The amount of electricity derived from hydroelectric
3renewable resources that an electric provider may count toward satisfying the
4requirements of par. (a) 2. shall be all electricity provided by hydroelectric power that
5the electric provider purchased in the reporting year plus all of the following:
SB459-SSA1-SA1,10,106 a. The average of the amounts of hydroelectric power generated by facilities
7owned or operated by the electric provider for 2001, 2002, and 2003, adjusted to
8reflect the permanent removal from service of any of those facilities and adjusted to
9reflect any capacity increases from improvements made to those facilities on or after
10January 1, 2004.
SB459-SSA1-SA1,10,1311 b. The amount of hydroelectric power generated in the reporting year by
12facilities owned or operated by the electric provider that are initially placed in service
13on or after January 1, 2004.".
SB459-SSA1-SA1,10,14 1441. Page 38, line 14: delete lines 14 to 18 and substitute:
SB459-SSA1-SA1,10,16 15" Section 87m. 196.378 (2) (b) 4. of the statutes is repealed and recreated to
16read:
SB459-SSA1-SA1,10,2017 196.378 (2) (b) 4. A wholesale supplier may sell credits that it creates and may
18aggregate and allocate the credits that it creates among its members or customers.
19A member or customer may sell credits or portions of a credit allocated to the member
20or customer by the wholesale supplier.".
SB459-SSA1-SA1,10,21 2142. Page 43, line 1: before "The" insert "(a)".
SB459-SSA1-SA1,10,22 2243. Page 43, line 6: delete "subsection" and substitute "paragraph".
SB459-SSA1-SA1,10,23 2344. Page 43, line 8: after that line insert:
SB459-SSA1-SA1,11,4
1"(b) An electric utility may, with commission approval, administer or fund a
2program that increases the electric utility's renewable energy percentage beyond
3that required under sub. (2) (a) 2. The commission may not order an electric utility
4to administer or fund a program under this paragraph.".
SB459-SSA1-SA1,11,5 545. Page 46, line 14: delete lines 14 to 21.
SB459-SSA1-SA1,11,6 646. Page 47, line 1: delete lines 1 to 9 and substitute:
SB459-SSA1-SA1,11,11 7"(b) No later than July 1, 2008, the public service commission shall submit a
8report to the governor and chief clerk of each house of the legislature for distribution
9to the legislature under section 13.172 (2) of the statutes that consists of the
10commission's recommendations on whether any component of an energy utility's
11revenue requirements should be itemized on ratepayer bills.".
SB459-SSA1-SA1,11,12 1247. Page 47, line 9: after that line insert:
SB459-SSA1-SA1,11,13 13"(8) Large energy customers.
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