AB40-ASA1, s. 1128 12Section 1128. 39.437 (4) (b) of the statutes is amended to read:
AB40-ASA1,478,2213 39.437 (4) (b) By April 1 of each year, the office of the Wisconsin Covenant
14Scholars Program in the department of administration
board shall determine the
15average of the resident undergraduate academic fees charged for the current
16academic year among the institutions within the University of Wisconsin System,
17the average of the fees under s. 38.24 (1m) (a) to (c) charged for the current academic
18year among the technical colleges in this state, the average of the tuition and fees
19charged for the current academic year among the tribally controlled colleges in this
20state, and the average of the tuition and fees charged for the current academic year
21among the private, nonprofit, accredited institutions of higher education in this
22state.
AB40-ASA1, s. 1129 23Section 1129. 39.437 (4) (c) of the statutes is amended to read:
AB40-ASA1,479,324 39.437 (4) (c) To the extent permitted under 20 USC 1232g and 34 CFR part
2599, the department of public instruction shall provide pupil information to the office

1of the Wisconsin Covenant Scholars Program in the department of administration

2board as necessary for that office to fulfill its role in the administration of the grant
3program under this section.
AB40-ASA1, s. 1130 4Section 1130. 39.437 (5) (intro.) of the statutes is amended to read:
AB40-ASA1,479,65 39.437 (5) Rules. (intro.) The department of administration board shall
6promulgate rules to implement this section, including all of the following:
AB40-ASA1, s. 1131 7Section 1131. 39.437 (5) (c) of the statutes is amended to read:
AB40-ASA1,479,98 39.437 (5) (c) Any other rules the department of administration board
9considers necessary to assure the uniform administration of this section.
AB40-ASA1, s. 1132 10Section 1132. 39.437 (6) of the statutes is created to read:
AB40-ASA1,479,1411 39.437 (6) Sunset. No student may enroll in the Wisconsin Covenant Scholars
12Program after September 30, 2011. After that date, the board may designate a
13student as a Wisconsin covenant scholar under sub. (2) (a) 2. only if the student
14enrolled in the Wisconsin Covenant Scholars Program by that date.
AB40-ASA1, s. 1133 15Section 1133. 39.44 (1) (a) 3. of the statutes is amended to read:
AB40-ASA1,479,1616 39.44 (1) (a) 3. Is a Hispanic, as defined in s. 560.036 16.287 (1) (d).
AB40-ASA1, s. 1134m 17Section 1134m. 39.50 (1) of the statutes is amended to read:
AB40-ASA1,480,418 39.50 (1) University of Wisconsin System. At the end of each semester, the
19Board of Regents of the University of Wisconsin System shall certify to the board the
20number of students enrolled in the University of Wisconsin System to whom any fees
21or nonresident tuition has been remitted under s. 36.27 (3n) or (3p), the number of
22credits for which those fees or that nonresident tuition has been remitted, and the
23amount of fees and nonresident tuition remitted. Subject to sub. (3m), if the board
24approves the information certified under this subsection, the board, from the
25appropriation account under s. 20.235 (1) (fz), shall reimburse the board of regents

1for the full amount of fees and nonresident tuition remitted. The board of regents
2shall credit any amounts received under this subsection to the appropriation under
3s. 20.285 (1) (k) and shall expend those amounts received for degree credit
4instruction.
AB40-ASA1, s. 1139 5Section 1139. 40.02 (25) (b) 2c. of the statutes is amended to read:
AB40-ASA1,480,66 40.02 (25) (b) 2c. A state employee described in s. 49.825 (4) or (5) or 49.826 (4).
AB40-ASA1, s. 1139m 7Section 1139m. 40.02 (28) of the statutes is amended to read:
AB40-ASA1,480,178 40.02 (28) "Employer" means the state, including each state agency, any
9county, city, village, town, school district, other governmental unit or
10instrumentality of 2 or more units of government now existing or hereafter created
11within the state, any federated public library system established under s. 43.19
12whose territory lies within a single county with a population of 500,000 or more, a
13local exposition district created under subch. II of ch. 229, a transit authority created
14under s. 66.1039,
and a long-term care district created under s. 46.2895, except as
15provided under ss. 40.51 (7) and 40.61 (3). "Employer" does not include a local
16cultural arts district created under subch. V of ch. 229. Each employer shall be a
17separate legal jurisdiction for OASDHI purposes.
AB40-ASA1, s. 1139mb 18Section 1139mb. 40.02 (30) of the statutes is amended to read:
AB40-ASA1,481,419 40.02 (30) "Executive participating employee" means a participating employee
20in a position designated under s. 19.42 (10) (L) or 20.923 (4), (4g), (7), (8), or (9) or
21authorized under s. 230.08 (2) (e) during the time of employment, and also includes
22the president and vice presidents of the University of Wisconsin System and the
23chancellors and vice chancellors who are serving as deputies of all University of
24Wisconsin institutions, the University of Wisconsin Colleges, and the University of
25Wisconsin-Extension
. All service credited prior to May 17, 1988, as executive

1service as defined under s. 40.02 (31), 1985 stats., shall continue to be treated as
2executive service as defined under s. 40.02 (31), 1985 stats., but no other service
3rendered prior to May 17, 1988, may be changed to executive service as defined
4under s. 40.02 (31), 1985 stats.
AB40-ASA1, s. 1139r 5Section 1139r. 40.02 (41n) of the statutes is created to read:
AB40-ASA1,481,66 40.02 (41n) "Municipal employer" has the meaning given in s. 111.70 (1) (j).
AB40-ASA1, s. 1140 7Section 1140. 40.02 (48) (am) 22. of the statutes is amended to read:
AB40-ASA1,481,98 40.02 (48) (am) 22. A person employed under s. 60.553 (1), 61.66 (1), or 62.13
9(2e) (a)
.
AB40-ASA1, s. 1141 10Section 1141. 40.02 (48) (c) of the statutes is amended to read:
AB40-ASA1,481,2211 40.02 (48) (c) In s. 40.65, "protective occupation participant" means a
12participating employee who is a police officer, fire fighter, an individual determined
13by a participating employer under par. (a) or (bm) to be a protective occupation
14participant, county undersheriff, deputy sheriff, state probation and parole officer,
15county traffic police officer, conservation warden, state forest ranger, field
16conservation employee of the department of natural resources who is subject to call
17for forest fire control or warden duty, member of the state traffic patrol, state motor
18vehicle inspector, University of Wisconsin System full-time police officer, guard or
19any other employee whose principal duties are supervision and discipline of inmates
20at a state penal institution, excise tax investigator employed by the department of
21revenue, person employed under s. 60.553 (1), 61.66 (1), or 62.13 (2e) (a), or special
22criminal investigation agent employed by the department of justice.
AB40-ASA1, s. 1144 23Section 1144. 40.03 (6) (h) (intro.) and 2. of the statutes are consolidated,
24renumbered 40.03 (6) (h) and amended to read:
AB40-ASA1,482,4
140.03 (6) (h) Shall, on behalf of the state, offer as provided in s. 40.55 long-term
2care insurance policies, subject to the following conditions: 2. For purposes of this
3section, the offering by the state of long-term health insurance policies shall
4constitute a group insurance plan under par. (a) 1.
AB40-ASA1, s. 1145 5Section 1145. 40.03 (6) (h) 1. of the statutes is repealed.
AB40-ASA1, s. 1145m 6Section 1145m. 40.05 (1) (b) of the statutes, as affected by 2011 Wisconsin Act
710
, is renumbered 40.05 (1) (b) 1. and amended to read:
AB40-ASA1,482,118 40.05 (1) (b) 1. Except as otherwise provided in a collective bargaining
9agreement entered into under subch. IV or V of ch. 111 and except as provided in
10subd. 2.
, an employer may not pay, on behalf of a participating employee, any of the
11contributions required by par. (a).
AB40-ASA1, s. 1145p 12Section 1145p. 40.05 (1) (b) 2. of the statutes is created to read:
AB40-ASA1,482,1913 40.05 (1) (b) 2. a. A municipal employer shall pay, on behalf of a nonrepresented
14law enforcement or fire fighting managerial employee, who was initially employed
15by the municipal employer before the effective date of this subd. 2. a. .... [LRB inserts
16date], the same contributions required by par. (a) that are paid by the municipal
17employer for represented law enforcement or fire fighting personnel who were
18initially employed by the municipal employer before the effective date of this subd.
192. a. .... [LRB inserts date].
AB40-ASA1,483,220 b. An employer shall pay, on behalf of a nonrepresented managerial employee
21in a position described under s. 40.02 (48) (am) 7. or 8., who was initially employed
22by the state before the effective date of this subd. 2. b. .... [LRB inserts date], in a
23position described under s. 40.02 (48) (am) 7. or 8. the same contributions required
24by par. (a) that are paid by the employer for represented employees in positions

1described under s. 40.02 (48) (am) 7. or 8. who were initially employed by the state
2before the effective date of this subd. 2. b. .... [LRB inserts date].
AB40-ASA1,483,133 c. A municipal employer shall pay, on behalf of a represented law enforcement
4or fire fighting employee, who was initially employed by the municipal employer
5before the effective date of this subd. 2. c. .... [LRB inserts date], and who on or after
6the effective date of this subd. 2. c. .... [LRB inserts date], became employed in a
7nonrepresented law enforcement or fire fighting managerial position with the same
8municipal employer, or a successor municipal employer in the event of a combined
9department that is created on or after the effective date of this subd. 2. c. .... [LRB
10inserts date], the same contributions required by par. (a) that are paid by the
11employer for represented law enforcement or fire fighting personnel who were
12initially employed by a municipal employer before the effective date of this subd. 2.
13c. .... [LRB inserts date].
AB40-ASA1, s. 1145s 14Section 1145s. 40.05 (4) (at) of the statutes is created to read:
AB40-ASA1,483,2115 40.05 (4) (at) An employer shall pay, on behalf of a nonrepresented managerial
16employee in a position described under s. 40.02 (48) (am) 7. or 8., who was initially
17employed by the state before the effective date of this paragraph .... [LRB inserts
18date], the same premium contribution rates required by par. (ag) that are paid by the
19employer for represented employees in positions described under s. 40.02 (48) (am)
207. or 8. who were initially employed by the state before the effective date of this
21paragraph .... [LRB inserts date].
AB40-ASA1, s. 1146 22Section 1146. 40.05 (4) (b) of the statutes is amended to read:
AB40-ASA1,485,523 40.05 (4) (b) Except as provided under pars. (bc) and (bp), accumulated unused
24sick leave under ss. 13.121 (4), 36.30, 230.35 (2), 233.10, 238.04 (8), and 757.02 (5)
25and subch. I, V, or VI of ch. 111 of any eligible employee shall, at the time of death,

1upon qualifying for an immediate annuity or for a lump sum payment under s. 40.25
2(1) or upon termination of creditable service and qualifying as an eligible employee
3under s. 40.02 (25) (b) 6. or 10., be converted, at the employee's highest basic pay rate
4he or she received while employed by the state, to credits for payment of health
5insurance premiums on behalf of the employee or the employee's surviving insured
6dependents. Any supplemental compensation that is paid to a state employee who
7is classified under the state classified civil service as a teacher, teacher supervisor,
8or education director for the employee's completion of educational courses that have
9been approved by the employee's employer is considered as part of the employee's
10basic pay for purposes of this paragraph. The full premium for any eligible employee
11who is insured at the time of retirement, or for the surviving insured dependents of
12an eligible employee who is deceased, shall be deducted from the credits until the
13credits are exhausted and paid from the account under s. 40.04 (10), and then
14deducted from annuity payments, if the annuity is sufficient. The department shall
15provide for the direct payment of premiums by the insured to the insurer if the
16premium to be withheld exceeds the annuity payment. Upon conversion of an
17employee's unused sick leave to credits under this paragraph or par. (bf), the
18employee or, if the employee is deceased, the employee's surviving insured
19dependents may initiate deductions from those credits or may elect to delay
20initiation of deductions from those credits, but only if the employee or surviving
21insured dependents are covered by a comparable health insurance plan or policy
22during the period beginning on the date of the conversion and ending on the date on
23which the employee or surviving insured dependents later elect to initiate
24deductions from those credits. If an employee or an employee's surviving insured
25dependents elect to delay initiation of deductions from those credits, an employee or

1the employee's surviving insured dependents may only later elect to initiate
2deductions from those credits during the annual enrollment period under par. (be).
3A health insurance plan or policy is considered comparable if it provides hospital and
4medical benefits that are substantially equivalent to the standard health insurance
5plan established under s. 40.52 (1).
AB40-ASA1, s. 1147 6Section 1147. 40.05 (4) (bm) of the statutes is amended to read:
AB40-ASA1,485,207 40.05 (4) (bm) Except as provided under par. (bp), accumulated unused sick
8leave under ss. 36.30 and 230.35 (2) or, 233.10, or 238.04 (8) of any eligible employee
9shall, upon request of the employee at the time the employee is subject to layoff under
10s. 40.02 (40), be converted at the employee's highest basic pay rate he or she received
11while employed by the state to credits for payment of health insurance premiums on
12behalf of the employee. Any supplemental compensation that is paid to a state
13employee who is classified under the state classified civil service as a teacher, teacher
14supervisor or education director for the employee's completion of educational courses
15that have been approved by the employee's employer is considered as part of the
16employee's basic pay for purposes of this paragraph. The full amount of the required
17employee contribution for any eligible employee who is insured at the time of the
18layoff shall be deducted from the credits until the credits are exhausted, the
19employee is reemployed, or 5 years have elapsed from the date of layoff, whichever
20occurs first.
AB40-ASA1, s. 1153 21Section 1153. 40.05 (5) (b) 4. of the statutes is amended to read:
AB40-ASA1,485,2422 40.05 (5) (b) 4. The accrual and crediting of sick leave shall be determined in
23accordance with ss. 13.121 (4), 36.30, 230.35 (2), 233.10, 238.04 (8), and 757.02 (5)
24and subch. I, V, or VI of ch. 111.
AB40-ASA1, s. 1153d 25Section 1153d. 40.22 (2) (a) of the statutes is amended to read:
AB40-ASA1,486,4
140.22 (2) (a) Except as provided in sub. (2m), the employee was initially
2employed by a participating employer before the effective date of this paragraph ....
3[LRB inserts date], and
is not expected to work at least one-third of what is
4considered full-time employment by the department, as determined by rule.
AB40-ASA1, s. 1153h 5Section 1153h. 40.22 (2) (am) of the statutes is created to read:
AB40-ASA1,486,96 40.22 (2) (am) Except as provided in sub. (2r), the employee was initially
7employed by a participating employer on or after the effective date of this paragraph
8.... [LRB inserts date], and is not expected to work at least two-thirds of what is
9considered full-time employment by the department, as determined by rule.
AB40-ASA1, s. 1156 10Section 1156. 40.22 (2) (m) of the statutes is amended to read:
AB40-ASA1,486,1711 40.22 (2) (m) Notwithstanding sub. (3m), the employee was formerly employed
12by Milwaukee County, is a state employee described in s. 49.825 (4) or (5) or 49.826
13(4), and elects to remain is a covered employee under the retirement system
14established under chapter 201, laws of 1937, pursuant to s. 49.825 (4) (c) or (5) (c) or
1549.826 (4) (c). This paragraph shall not apply if the employee remains a state
16employee, but is no longer performing services for the Milwaukee County enrollment
17services unit under s. 49.825 or the child care provider services unit under s. 49.826.
AB40-ASA1, s. 1156c 18Section 1156c. 40.22 (2m) (intro.) of the statutes is amended to read:
AB40-ASA1,486,2519 40.22 (2m) (intro.) An employee who was initially employed by a participating
20employer before the effective date of this subsection .... [LRB inserts date], who
is not
21expected to work at least one-third of what is considered full-time employment by
22the department, as determined by rule, and who is not otherwise excluded under sub.
23(2) from becoming a participating employee shall become a participating employee
24if he or she is subsequently employed by the state agency or other participating
25employer for either of the following periods:
AB40-ASA1, s. 1156e
1Section 1156e. 40.22 (2r) of the statutes is created to read:
AB40-ASA1,487,82 40.22 (2r) An employee who was initially employed by a participating employer
3on or after the effective date of this subsection .... [LRB inserts date], who is not
4expected to work at least two-thirds of what is considered full-time employment by
5the department, as determined by rule, and who is not otherwise excluded under sub.
6(2) from becoming a participating employee shall become a participating employee
7if he or she is subsequently employed by the state agency or other participating
8employer for either of the following periods:
AB40-ASA1,487,129 (a) At least one year for at least two-thirds of what is considered full-time
10employment by the department, as determined by rule, or, for an educational support
11personnel employee, at least one year for at least two-thirds of what is considered
12full-time employment for a teacher.
AB40-ASA1,487,1313 (b) At least 1,200 hours in the immediately preceding 12-month period.
AB40-ASA1, s. 1156f 14Section 1156f. 40.22 (3) (b) of the statutes is renumbered 40.22 (3) (b) 1.
AB40-ASA1, s. 1156g 15Section 1156g. 40.22 (3) (b) 2. of the statutes is created to read:
AB40-ASA1,487,1916 40.22 (3) (b) 2. The first day after completion of one year of employment for at
17least two-thirds of what is considered full-time employment by the department, as
18determined by rule, if the person becomes a participating employee under sub. (2r)
19after the employer's effective date of participation.
AB40-ASA1, s. 1156k 20Section 1156k. 40.23 (2m) (er) of the statutes is created to read:
AB40-ASA1,487,2321 40.23 (2m) (er) For a participant who initially becomes a participating
22employee on or after the effective date of this paragraph .... [LRB inserts date], all
23of the following shall apply:
AB40-ASA1,487,2524 1. If the participant has less than 1 year of creditable service, the annuity
25amount under par. (e) shall be reduced by 50 percent.
AB40-ASA1,488,3
12. If the participant has at least 1 year of creditable service, but less than 2
2years of creditable service, the annuity amount under par. (e) shall be reduced by 40
3percent.
AB40-ASA1,488,64 3. If the participant has at least 2 years of creditable service, but less than 3
5years of creditable service, the annuity amount under par. (e) shall be reduced by 30
6percent.
AB40-ASA1,488,97 4. If the participant has at least 3 years of creditable service, but less than 4
8years of creditable service, the annuity amount under par. (e) shall be reduced by 20
9percent.
AB40-ASA1,488,1210 5. If the participant has at least 4 years of creditable service, but less than 5
11years of creditable service, the annuity amount under par. (e) shall be reduced by 10
12percent.
AB40-ASA1, s. 1156p 13Section 1156p. 40.23 (3) of the statutes is renumbered 40.23 (3) (a) and
14amended to read:
AB40-ASA1,488,2315 40.23 (3) (a) The Except as provided in par. (b), the initial monthly amount of
16any retirement annuity in the normal form shall not be less than the money purchase
17annuity which can be provided by applying the sum of the participant's accumulated
18additional and required contributions, including interest credited to the
19accumulations, plus an amount from the employer accumulation reserve equal to the
20participant's accumulated required contributions, less any accumulated
21contributions to purchase other governmental service under s. 40.25 (7), 2001 stats.,
22or s. 40.285 (2) (b) to fund the annuity in accordance with the actuarial tables in effect
23on the annuity effective date.
AB40-ASA1, s. 1156t 24Section 1156t. 40.23 (3) (b) of the statutes is created to read:
AB40-ASA1,489,4
140.23 (3) (b) For a participant who initially becomes a participating employee
2on or after the effective date of this paragraph .... [LRB inserts date], all of the
3following shall apply for purposes of calculating a money purchase annuity under
4par. (a):
AB40-ASA1,489,65 1. If the participant has less than 1 year of creditable service, there shall be no
6amount from the employer accumulation reserve.
AB40-ASA1,489,97 2. If the participant has at least 1 year of creditable service, but less than 2
8years of creditable service, the amount from the employer accumulation reserve shall
9equal 20 percent of the participant's accumulated required contributions.
AB40-ASA1,489,1210 3. If the participant has at least 2 years of creditable service, but less than 3
11years of creditable service, the amount from the employer accumulation reserve shall
12equal 40 percent of the participant's accumulated required contributions.
AB40-ASA1,489,1513 4. If the participant has at least 3 years of creditable service, but less than 4
14years of creditable service, the amount from the employer accumulation reserve shall
15equal 60 percent of the participant's accumulated required contributions.
AB40-ASA1,489,1816 5. If the participant has at least 4 years of creditable service, but less than 5
17years of creditable service, the amount from the employer accumulation reserve shall
18equal 80 percent of the participant's accumulated required contributions.
AB40-ASA1, s. 1156y 19Section 1156y. 40.51 (7) of the statutes, as affected by 2011 Wisconsin Act 10,
20is renumbered 40.51 (7) (a) and amended to read:
AB40-ASA1,490,721 40.51 (7) (a) Any employer, other than the state, may offer to all of its employees
22a health care coverage plan through a program offered by the group insurance board.
23Notwithstanding sub. (2) and ss. 40.05 (4) and 40.52 (1), the department may by rule
24establish different eligibility standards or contribution requirements for such
25employees and employers and may by rule limit the categories of employers, other

1than the state, which may be included as participating employers under this
2subchapter. Beginning on January 1, 2012, except as otherwise provided in a
3collective bargaining agreement under subch. IV of ch. 111 and except as provided
4in par. (b)
, an employer may not offer a health care coverage plan to its employees
5under this subsection if the employer pays more than 88 percent of the average
6premium cost of plans offered in any tier with the lowest employee premium cost
7under this subsection.
AB40-ASA1, s. 1156yr 8Section 1156yr. 40.51 (7) (b) of the statutes is created to read:
AB40-ASA1,490,159 40.51 (7) (b) 1. A municipal employer shall pay, on behalf of a nonrepresented
10law enforcement or fire fighting managerial employee, who was initially employed
11by the municipal employer before the effective date of this subdivision .... [LRB
12inserts date], the same percentage under par. (a) that is paid by the municipal
13employer for represented law enforcement or fire fighting personnel who were
14initially employed by the municipal employer before the effective date of this
15subdivision .... [LRB inserts date].
AB40-ASA1,491,216 2. A municipal employer shall pay, on behalf of a represented law enforcement
17or fire fighting employee, who was initially employed by the municipal employer
18before the effective date of this subdivision .... [LRB inserts date], and who on or after
19the effective date of this subdivision .... [LRB inserts date], became employed in a
20nonrepresented law enforcement or fire fighting managerial position with the same
21municipal employer, or a successor municipal employer in the event of a combined
22department that is created on or after the effective date of this subdivision .... [LRB
23inserts date], the same percentage under par. (a) that is paid by the municipal
24employer for represented law enforcement or fire fighting personnel who were

1initially employed by the municipal employer before the effective date of this
2subdivision .... [LRB inserts date].
AB40-ASA1, s. 1160 3Section 1160. 40.55 (1) of the statutes is amended to read:
AB40-ASA1,491,114 40.55 (1) Except as provided in sub. (5), the state shall offer, through the group
5insurance board, to eligible employees under s. 40.02 (25) (bm) and to state
6annuitants long-term care insurance policies which have been filed with the office
7of the commissioner of insurance and which have been approved for offering under
8contracts established by the group insurance board if the insurer requests that the
9policy be offered and the
. The state shall also allow an eligible employee or a state
10annuitant to purchase those policies for his or her spouse, domestic partner, or
11parent.
AB40-ASA1, s. 1161 12Section 1161. 40.62 (2) of the statutes is amended to read:
AB40-ASA1,491,1613 40.62 (2) Sick leave accumulation shall be determined in accordance with rules
14of the department, any collective bargaining agreement under subch. I, V, or VI of
15ch. 111, and ss. 13.121 (4), 36.30, 49.825 (4) (d) and (5) (d), 49.826 (4) (d), 230.35 (2),
16233.10, 238.04 (8), 757.02 (5) and 978.12 (3).
AB40-ASA1, s. 1163 17Section 1163. 40.95 (1) (a) 1. of the statutes is amended to read:
AB40-ASA1,491,1918 40.95 (1) (a) 1. The employee accrues accumulated unused sick leave under s.
1913.121 (4), 36.30, 230.35 (2), 233.10, 238.04 (8), or 757.02 (5).
AB40-ASA1, s. 1164 20Section 1164. 41.11 (1g) (b) (intro.) of the statutes is amended to read:
AB40-ASA1,491,2321 41.11 (1g) (b) (intro.) The department, in consultation with the department of
22commerce
Wisconsin Economic Development Corporation, shall do all of the
23following for each economic development program administered by the department:
AB40-ASA1, s. 1165 24Section 1165. 41.11 (1r) (title) of the statutes is amended to read:
AB40-ASA1,492,2
141.11 (1r) (title) Economic development assistance coordination and
2reporting.
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