Amendment SA8-AB40

AB40-SA8,53,6 111.075 Fair-share and maintenance of membership agreements. (1) (a) No fair-share or maintenance of membership agreement is effective unless authorized by a referendum. The commission shall order a referendum whenever it receives a petition supported by proof that at least 30 percent of the employees in a collective bargaining unit desire that a fair-share or maintenance of membership agreement be entered into between the employer and a labor organization. A petition may specify that a referendum is requested on a maintenance of membership agreement only, in which case the ballot shall be limited to that question.

AB40-SA8,53,13 (b) For a fair-share agreement to be authorized, at least two-thirds of the eligible employees voting in a referendum must vote in favor of the agreement. For a maintenance of membership agreement to be authorized, at least a majority of the eligible employees voting in a referendum must vote in favor of the agreement. In a referendum on a fair-share agreement, if less than two-thirds but more than one-half of the eligible employees vote in favor of the agreement, a maintenance of membership agreement is authorized.

AB40-SA8,54,2 (c) If a fair-share or maintenance of membership agreement is authorized in a referendum, the employer shall enter into a fair-share or maintenance of membership agreement with the labor organization named on the ballot in the referendum. Each fair-share or maintenance of membership agreement must contain a provision requiring the employer to deduct the amount of dues as certified by the labor organization from the earnings of the employees affected by the agreement and to pay the amount deducted to the labor organization. Unless the parties agree to an earlier date, the agreement takes effect 60 days after certification by the commission that the referendum vote authorized the agreement. The employer shall be held harmless against any claims, demands, suits, and other forms of liability made by employees or local labor organizations which may arise for actions taken by the employer in compliance with this section. All lawful claims, demands, suits, and other forms of liability are the responsibility of the labor organization entering into the agreement.

AB40-SA8,54,9 (d) Under each fair-share or maintenance of membership agreement, an employee who has religious convictions against dues payments to a labor organization based on teachings or tenets of a church or religious body of which he or she is a member shall, on request to the labor organization, have his or her dues paid to a charity mutually agreed upon by the employee and the labor organization. Any dispute concerning this paragraph may be submitted to the commission for adjudication.

AB40-SA8,54,23 (2) (a) Once authorized, a fair-share or maintenance of membership agreement continues, subject to the right of the employer or labor organization concerned to petition the commission to conduct a new referendum. The petition must be supported by proof that at least 30 percent of the employees in the collective bargaining unit desire that the fair-share or maintenance of membership agreement be discontinued. Upon so finding, the commission shall conduct a new referendum. If the continuance of the fair-share or maintenance of membership agreement is approved in the referendum by at least the percentage of eligible voting employees required for its initial authorization, it shall continue, subject to the right of the employer or labor organization to later initiate a further vote following the procedure prescribed in this subsection. If the continuation of the agreement is not supported in any referendum, it terminates at the expiration of the collective bargaining agreement, or one year from the date of the certification of the result of the referendum, whichever is earlier.

AB40-SA8,55,6 (b) The commission shall declare any fair-share or maintenance of membership agreement suspended upon such conditions and for such time as the commission decides whenever it finds that the labor organization involved has refused on the basis of race, color, sexual orientation, or creed to receive as a member any employee in the collective bargaining unit involved, and the agreement shall be subject to the findings and orders of the commission. Any of the parties to the agreement, or any employee covered thereby, may come before the commission, as provided in s. 111.07, and petition the commission to make such a finding.

AB40-SA8,55,9 (3) A stipulation for a referendum executed by an employer and a labor organization may not be filed until after the representation election has been held and the results certified.

AB40-SA8,55,12 (4) The commission may, under rules adopted for that purpose, appoint as its agent an official of the University of Wisconsin Hospitals and Clinics Authority to conduct the referenda provided for in this section.

AB40-SA8,55,19 (5) Notwithstanding sub. (1), if on July 1, 1997, there is a fair-share or maintenance of membership agreement in effect in any of the collective bargaining units specified in s. 111.825 (1) (f) 1., 5. or 9., that fair-share or maintenance of membership agreement shall apply to the corresponding collective bargaining unit under s. 111.05 (5) (a) 1. to 3. without the necessity of filing a petition or conducting a referendum, subject to the right of the employees in each collective bargaining unit to file a petition requesting a referendum under sub. (2) (a).

AB40-SA8,55,21 (6) This section applies only in collective bargaining units comprised of employees of the University of Wisconsin Hospitals and Clinics Authority.

AB40-SA8, s. 2404rw Section 2404rw. 111.115 (title) of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,55,24 111.115 (title) Notice of certain proposed lockouts or strikes.

AB40-SA8, s. 2404rx Section 2404rx. 111.115 (1) of the statutes, as affected by 2011 Wisconsin Act 10, is renumbered 111.115 (1) (intro.) and amended to read:

AB40-SA8,56,3 111.115 (1) (intro.) In this section, "strike" subsection:

AB40-SA8,56,7 (b) "Strike" includes any concerted stoppage of work by employees, and any concerted slowdown or other concerted interruption of operations or services by employees, or any concerted refusal of employees to work or perform their usual duties as employees, for the purpose of enforcing demands upon an employer.

AB40-SA8, s. 2404ry Section 2404ry. 111.115 (1) (a) of the statutes is created to read:

AB40-SA8,56,14 111.115 (1) (a) "Lockout" means the barring of one or more employees from their employment in an establishment by an employer as a part of a labor dispute, which is not directly subsequent to a strike or other job action of a labor organization or group of employees of the employer, or which continues or occurs after the termination of a strike or other job action of a labor organization or group of employees of the employer.

AB40-SA8, s. 2404rz Section 2404rz. 111.115 (2) of the statutes is created to read:

AB40-SA8,56,23 111.115 (2) If no collective bargaining agreement is in effect between the University of Wisconsin Hospitals and Clinics Authority and the recognized or certified representative of employees of that authority in a collective bargaining unit, the employer may not engage in a lockout affecting employees in that collective bargaining unit without first giving 10 days' written notice to the representative of its intention to engage in a lockout, and the representative may not engage in a strike without first giving 10 days' written notice to the employer of its intention to engage in a strike.

AB40-SA8, s. 2404rza Section 2404rza. 111.17 of the statutes, as affected by 2011 Wisconsin Act 10, is renumbered 111.17 (intro.) and amended to read:

AB40-SA8,57,3 111.17 Conflict of provisions; effect. (intro.) Wherever the application of the provisions of other statutes or laws conflict with the application of the provisions of this subchapter, this subchapter shall prevail, except that in for the following:

AB40-SA8,57,5 (1) In any situation where the provisions of this subchapter cannot be validly enforced the provisions of such other statutes or laws shall apply.

AB40-SA8, s. 2404rzb Section 2404rzb. 111.17 (2) of the statutes is created to read:

AB40-SA8,57,18 111.17 (2) All fringe benefits authorized or required to be provided by the University of Wisconsin Hospitals and Clinics Authority to its employees under ch. 40 shall be governed exclusively by ch. 40, except that if any provision of ch. 40 specifically permits a collective bargaining agreement under this subchapter to govern the eligibility for or the application, cost, or terms of a fringe benefit under ch. 40, or provides that the eligibility for or the application, cost, or terms of a fringe benefit under ch. 40 shall be governed by a collective bargaining agreement under this subchapter, a collective bargaining agreement may contain a provision so governing and such a provision supersedes any provision of ch. 40 with respect to the employees to whom the agreement applies. The employer is prohibited from engaging in collective bargaining concerning any matter governed exclusively by ch. 40 under this subsection.".

AB40-SA8,57,20 53. Page 973, line 21: delete the material beginning with that line and ending with page 975, line 8, and substitute:

AB40-SA8,57,22 " Section 2405b. 111.70 (1) (a) of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,58,13 111.70 (1) (a) "Collective bargaining" means the performance of the mutual obligation of a municipal employer, through its officers and agents, and the representative of its municipal employees in a collective bargaining unit, to meet and confer at reasonable times, in good faith, with the intention of reaching an agreement, or to resolve questions arising under such an agreement, with respect to wages, hours, and conditions of employment for public safety employees and with respect to wages for general municipal employees, and with respect to a requirement of the municipal employer for a municipal employee to perform law enforcement and fire fighting services under s. 60.553, 61.66, or 62.13 (2e) and for a school district with respect to any matter under sub. (4) (n) or (o), except as provided in sub. subs. (3m), (3p), and (4) (mb) (m) and (mc) and s. 40.81 (3) and except that a municipal employer shall not meet and confer with respect to any proposal to diminish or abridge the rights guaranteed to any public safety municipal employees under ch. 164. Collective bargaining includes the reduction of any agreement reached to a written and signed document.

AB40-SA8, s. 2405c Section 2405c. 111.70 (1) (cm) of the statutes, as created by 2011 Wisconsin Act 10, is repealed.

AB40-SA8, s. 2405d Section 2405d. 111.70 (1) (f) of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,58,23 111.70 (1) (f) "Fair-share agreement" means an agreement between a municipal employer and a labor organization that represents public safety employees under which all or any of the public safety employees in the collective bargaining unit are required to pay their proportionate share of the cost of the collective bargaining process and contract administration measured by the amount of dues uniformly required of all members.

AB40-SA8, s. 2405e Section 2405e. 111.70 (1) (fm) of the statutes, as created by 2011 Wisconsin Act 10, is repealed.

AB40-SA8, s. 2406mb Section 2406mb. 111.70 (1) (j) of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,59,10 111.70 (1) (j) "Municipal employer" means any city, county, village, town, metropolitan sewerage district, school district, long-term care district, transit authority under s. 59.58 (7) or 66.1039, local cultural arts district created under subch. V of ch. 229, or any other political subdivision of the state, or instrumentality of one or more political subdivisions of the state, that engages the services of an employee and includes any person acting on behalf of a municipal employer within the scope of the person's authority, express or implied, but specifically does not include a local cultural arts district created under subch. V of ch. 229.

AB40-SA8, s. 2406n Section 2406n. 111.70 (1) (mm) of the statutes, as created by 2011 Wisconsin Act 10, is repealed.

AB40-SA8, s. 2406o Section 2406o. 111.70 (1) (n) of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,59,18 111.70 (1) (n) "Referendum" means a proceeding conducted by the commission in which public safety employees in a collective bargaining unit may cast a secret ballot on the question of authorizing a labor organization and the employer to continue a fair-share agreement that covers public safety employees.

AB40-SA8, s. 2406p Section 2406p. 111.70 (1g) of the statutes is created to read:

AB40-SA8,60,2 111.70 (1g) Declaration of policy. (a) The public policy of the state as to labor disputes arising in municipal employment is to encourage voluntary settlement through the procedures of collective bargaining. Accordingly, it is in the public interest that municipal employees so desiring be given an opportunity to bargain collectively with the municipal employer through a labor organization or other representative of the employees' own choice. If such procedures fail, the parties should have available to them a fair, speedy, effective and, above all, peaceful procedure for settlement as provided in this subchapter.

AB40-SA8,60,8 (b) In creating this subchapter the legislature recognizes that the municipal employer must exercise its powers and responsibilities to act for the government and good order of the jurisdiction which it serves, its commercial benefit and the health, safety, and welfare of the public to assure orderly operations and functions within its jurisdiction, subject to those rights secured to municipal employees by the constitutions of this state and of the United States and by this subchapter.

AB40-SA8, s. 2406q Section 2406q. 111.70 (2) of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,61,13 111.70 (2) Rights of municipal employees. Municipal employees have the right of self-organization, and the right to form, join, or assist labor organizations, to bargain collectively through representatives of their own choosing, and to engage in lawful, concerted activities for the purpose of collective bargaining or other mutual aid or protection. Municipal employees have the right to refrain from any and all such activities. A general municipal employee has the right to refrain from paying dues while remaining a member of a collective bargaining unit. A public safety employee, however, except that employees may be required to pay dues in the manner provided in a fair-share agreement; a fair-share agreement covering a public safety employee must contain a provision requiring the municipal employer to deduct the amount of dues as certified by the labor organization from the earnings of the public safety municipal employee affected by the fair-share agreement and to pay the amount deducted to the labor organization. A fair-share agreement covering a public safety employee is subject to the right of the municipal employer or a labor organization to petition the commission to conduct a referendum. Such petition must be supported by proof that at least 30% of the public safety employees in the collective bargaining unit desire that the fair-share agreement be terminated. Upon so finding, the commission shall conduct a referendum. If the continuation of the agreement is not supported by at least the majority of the eligible public safety employees, it shall terminate. The commission shall declare any fair-share agreement suspended upon such conditions and for such time as the commission decides whenever it finds that the labor organization involved has refused on the basis of race, color, sexual orientation, creed, or sex to receive as a member any public safety employee of the municipal employer in the bargaining unit involved, and such agreement is subject to this duty of the commission. Any of the parties to such agreement or any public safety municipal employee covered by the agreement may come before the commission, as provided in s. 111.07, and ask the performance of this duty.

AB40-SA8, s. 2406r Section 2406r. 111.70 (3) (a) 3. of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,61,19 111.70 (3) (a) 3. To encourage or discourage a membership in any labor organization by discrimination in regard to hiring, tenure, or other terms or conditions of employment; but the prohibition shall not apply to a fair-share agreement that covers public safety employees.

AB40-SA8, s. 2406s Section 2406s. 111.70 (3) (a) 5. of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,62,5 111.70 (3) (a) 5. To violate any collective bargaining agreement previously agreed upon by the parties with respect to wages, hours and conditions of employment affecting public safety municipal employees, including an agreement to arbitrate questions arising as to the meaning or application of the terms of a collective bargaining agreement or to accept the terms of such arbitration award, where previously the parties have agreed to accept such award as final and binding upon them or to violate any collective bargaining agreement affecting general municipal employees, that was previously agreed upon by the parties with respect to wages.

AB40-SA8, s. 2406t Section 2406t. 111.70 (3) (a) 6. of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,62,14 111.70 (3) (a) 6. To deduct labor organization dues from the an employee's or supervisor's earnings of a public safety employee, unless the municipal employer has been presented with an individual order therefor, signed by the public safety municipal employee personally, and terminable by at least the end of any year of its life or earlier by the public safety municipal employee giving at least 30 days' written notice of such termination to the municipal employer and to the representative organization, except when a fair-share agreement is in effect.

AB40-SA8, s. 2406u Section 2406u. 111.70 (3) (a) 7. of the statutes is created to read:

AB40-SA8,62,17 111.70 (3) (a) 7. To refuse or otherwise fail to implement an arbitration decision lawfully made under sub. (4) (cm).

AB40-SA8, s. 2406v Section 2406v. 111.70 (3) (a) 9. of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,62,23 111.70 (3) (a) 9. If the collective bargaining unit contains a public safety employee, after After a collective bargaining agreement expires and before another collective bargaining agreement takes effect, to fail to follow any fair-share agreement in the expired collective bargaining agreement.

AB40-SA8, s. 2406w Section 2406w. 111.70 (3) (b) 6. of the statutes is created to read:

AB40-SA8,63,2 111.70 (3) (b) 6. To refuse or otherwise fail to implement an arbitration decision lawfully made under sub. (4) (cm).

AB40-SA8, s. 2406x Section 2406x. 111.70 (3g) of the statutes, as created by 2011 Wisconsin Act 10, is repealed.

AB40-SA8, s. 2406y Section 2406y. 111.70 (3m) of the statutes is created to read:

AB40-SA8,63,11 111.70 (3m) Milwaukee county enrollment services unit. A collective bargaining agreement that covers municipal employees performing services for the Milwaukee County enrollment services unit under s. 49.825 shall contain a provision that permits the terms of the agreement to be modified with respect to hours and conditions of employment by a memorandum of understanding under s. 49.825 (3) (b) 4.

AB40-SA8, s. 2406z Section 2406z. 111.70 (3p) of the statutes is created to read:

AB40-SA8,63,17 111.70 (3p) Child care provider services unit. A collective bargaining agreement that covers municipal employees performing services for the child care provider services unit under s. 49.826 shall contain a provision that permits the terms of the agreement to be modified with respect to hours and conditions of employment by a memorandum of understanding under s. 49.826 (3) (b) 4.

AB40-SA8, s. 2407b Section 2407b. 111.70 (4) (c) (title) of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,63,21 111.70 (4) (c) (title) Methods for peaceful settlement of disputes; public safety employees law enforcement and fire fighting personnel.

AB40-SA8, s. 2407ba Section 2407ba. 111.70 (4) (c) 1. of the statutes, as affected by 2011 Wisconsin Act 10, is renumbered 111.70 (4) (c) 1m. and amended to read:

AB40-SA8,64,4 111.70 (4) (c) 1m. `Mediation.' The commission may function as a mediator in labor disputes involving a collective bargaining unit containing a public safety employee. Such mediation may be carried on by a person designated to act by the commission upon request of one or both of the parties or upon initiation of the commission. The function of the mediator is to encourage voluntary settlement by the parties but no mediator has the power of compulsion.

AB40-SA8, s. 2407bb Section 2407bb. 111.70 (4) (c) 1g. of the statutes is created to read:

AB40-SA8,64,7 111.70 (4) (c) 1g. `Applicability.' This paragraph applies only to municipal employees who are engaged in law enforcement or fire fighting functions.".

AB40-SA8,64,8 54. Page 975, line 6: delete lines 6 and 7 and substitute:

AB40-SA8,64,10 " Section 2407dg. 111.70 (4) (c) 2. of the statutes, as affected by 2011 Wisconsin Act 10, is renumbered 111.70 (4) (c) 2. and amended to read:

AB40-SA8,64,15 111.70 (4) (c) 2. Parties to a dispute pertaining to the meaning or application of the terms of a written collective bargaining agreement involving a collective bargaining unit containing a public safety employee may agree in writing to have the commission or any other appropriate agency serve as arbitrator or may designate any other competent, impartial and disinterested person to so serve.".

AB40-SA8,64,16 55. Page 975, line 8: after that line insert:

AB40-SA8,64,18 " Section 2407di. 111.70 (4) (c) 3. (intro.) of the statutes, as affected by 2011 Wisconsin Act 10, is amended to read:

AB40-SA8,65,2 111.70 (4) (c) 3. `Fact-finding.' (intro.) Unless s. 111.77 applies, if a dispute involving a collective bargaining unit containing a public safety employee has not been settled after a reasonable period of negotiation and after the settlement procedures, if any, established by the parties have been exhausted, and the parties are deadlocked with respect to any dispute between them arising in the collective bargaining process, either party, or the parties jointly, may petition the commission, in writing, to initiate fact-finding, and to make recommendations to resolve the deadlock, as follows:

AB40-SA8, s. 2407dj Section 2407dj. 111.70 (4) (cm) (title), 1., 2., 3. and 4. of the statutes, as affected by 2011 Wisconsin Act 10, are amended to read:

AB40-SA8,65,6 111.70 (4) (cm) (title) Methods for peaceful settlement of disputes; general municipal employees other personnel.

AB40-SA8,65,16 1. `Notice of commencement of contract negotiations.' For the purpose of advising the commission of the commencement of contract negotiations involving a collective bargaining unit containing general municipal employees, whenever either party requests the other to reopen negotiations under a binding collective bargaining agreement, or the parties otherwise commence negotiations if no such agreement exists, the party requesting negotiations shall immediately notify the commission in writing. Upon failure of the requesting party to provide such notice, the other party may so notify the commission. The notice shall specify the expiration date of the existing collective bargaining agreement, if any, and shall set forth any additional information the commission may require on a form provided by the commission.

AB40-SA8,65,24 2. `Presentation of initial proposals; open meetings.' The meetings between parties to a collective bargaining agreement or proposed collective bargaining agreement under this subchapter that involve a collective bargaining unit containing a general municipal employee and that are held for the purpose of presenting initial bargaining proposals, along with supporting rationale, shall be open to the public. Each party shall submit its initial bargaining proposals to the other party in writing. Failure to comply with this subdivision is not cause to invalidate a collective bargaining agreement under this subchapter.

AB40-SA8,66,5 3. `Mediation.' The commission or its designee shall function as mediator in labor disputes involving general municipal employees upon request of one or both of the parties, or upon initiation of the commission. The function of the mediator shall be to encourage voluntary settlement by the parties. No mediator has the power of compulsion.

AB40-SA8,66,11 4. `Grievance arbitration.' Parties to a dispute pertaining to the meaning or application of the terms of a written collective bargaining agreement involving a collective bargaining unit containing a general municipal employee may agree in writing to have the commission or any other appropriate agency serve as arbitrator or may designate any other competent, impartial and disinterested person to so serve.

AB40-SA8, s. 2407dk Section 2407dk. 111.70 (4) (cm) 5. of the statutes is created to read:

AB40-SA8,66,24 111.70 (4) (cm) 5. `Voluntary impasse resolution procedures.' In addition to the other impasse resolution procedures provided in this paragraph, a municipal employer and labor organization may, as a permissive subject of bargaining, agree in writing to a dispute settlement procedure, including authorization for a strike by municipal employees or binding interest arbitration, that is acceptable to the parties for resolving an impasse over terms of any collective bargaining agreement under this subchapter. The parties shall file a copy of the agreement with the commission. If the parties agree to any form of binding interest arbitration, the arbitrator shall give weight to the factors enumerated under subds. 7. and 7g. for a collective bargaining unit consisting of municipal employees who are not school district employees and under subd. 7r. for a collective bargaining unit consisting of municipal employees.

AB40-SA8, s. 2407dL Section 2407dL. 111.70 (4) (cm) 6. of the statutes is created to read:

AB40-SA8,67,15 111.70 (4) (cm) 6. `Interest arbitration.' a. If in any collective bargaining unit a dispute relating to any issue has not been settled after a reasonable period of negotiation and after mediation by the commission under subd. 3. and other settlement procedures, if any, established by the parties have been exhausted, and the parties are deadlocked with respect to any dispute between them over wages, hours, or conditions of employment to be included in a new collective bargaining agreement, either party, or the parties jointly, may petition the commission, in writing, to initiate compulsory, final, and binding arbitration, as provided in this paragraph. At the time the petition is filed, the petitioning party shall submit in writing to the other party and the commission its preliminary final offer containing its latest proposals on all issues in dispute. Within 14 calendar days after the date of that submission, the other party shall submit in writing its preliminary final offer on all disputed issues to the petitioning party and the commission. If a petition is filed jointly, both parties shall exchange their preliminary final offers in writing and submit copies to the commission at the time the petition is filed.

AB40-SA8,69,5 am. Upon receipt of a petition to initiate arbitration, the commission shall investigate, with or without a formal hearing, whether arbitration should be commenced. If in determining whether an impasse exists the commission finds that the procedures under this paragraph have not been complied with and that the compliance would tend to result in a settlement, it may order compliance before ordering arbitration. The validity of any arbitration award or collective bargaining agreement is not affected by failure to comply with the procedures. Prior to the close of the investigation each party shall submit in writing to the commission its single final offer containing its final proposals on all issues in dispute that are subject to interest arbitration under this subdivision. If a party fails to submit a single, ultimate final offer, the commission shall close the investigation based on the last written position of the party. Such final offers may include only mandatory subjects of bargaining, except that a permissive subject of bargaining may be included by a party if the other party does not object and shall then be treated as a mandatory subject. No later than such time, the parties shall also submit to the commission a stipulation, in writing, with respect to all matters that are agreed upon for inclusion in the new or amended collective bargaining agreement. The commission, after receiving a report from its investigator and determining that arbitration should be commenced, shall issue an order requiring arbitration and immediately submit to the parties a list of 7 arbitrators. The parties shall alternately strike names from the list until a single name is left, who shall be appointed as arbitrator. The petitioning party shall notify the commission in writing of the identity of the arbitrator selected. Upon receipt of the notice, the commission shall formally appoint the arbitrator and submit to him or her the final offers of the parties. The final offers are public documents and shall be available from the commission. In lieu of a single arbitrator and upon request of both parties, the commission shall appoint a tripartite arbitration panel consisting of one member selected by each of the parties and a neutral person designated by the commission who shall serve as a chairperson. An arbitration panel has the same powers and duties as provided in this section for any other appointed arbitrator, and all arbitration decisions by a panel shall be determined by majority vote. In place of selection of the arbitrator by the parties and upon request of both parties, the commission shall establish a procedure for randomly selecting names of arbitrators. Under the procedure, the commission shall submit a list of 7 arbitrators to the parties. Each party shall strike one name from the list. From the remaining 5 names, the commission shall randomly appoint an arbitrator. Unless both parties to an arbitration proceeding otherwise agree in writing, every individual whose name is submitted by the commission for appointment as an arbitrator must be a resident of this state at the time of submission and every individual who is designated as an arbitration panel chairperson must be a resident of this state at the time of designation.

AB40-SA8,69,16 b. The arbitrator shall, within 10 days of his or her appointment, establish a date and place for the conduct of the arbitration hearing. Upon petition of at least 5 citizens of the jurisdiction served by the municipal employer, filed within 10 days after the date on which the arbitrator is appointed, the arbitrator shall hold a public hearing in the jurisdiction to provide the opportunity to both parties to explain or present supporting arguments for their positions and to members of the public to offer their comments and suggestions. The final offers of the parties, as transmitted by the commission to the arbitrator, are the basis for continued negotiations, if any, between the parties with respect to the issues in dispute. At any time prior to the arbitration hearing, either party, with the consent of the other party, may modify its final offer in writing.

AB40-SA8,70,2 c. Prior to the arbitration hearing, either party may, within a time limit established by the arbitrator, withdraw its final offer and mutually agreed upon modifications, if any, and shall immediately provide written notice of any withdrawal to the other party, the arbitrator, and the commission. If both parties withdraw their final offers and mutually agreed upon modifications, the labor organization, after giving 10 days' written advance notice to the municipal employer and the commission, may strike. Unless both parties withdraw their final offers and mutually agreed upon modifications, the final offer of neither party is considered withdrawn and the arbitrator shall proceed to resolve the dispute by final and binding arbitration as provided in this paragraph.

AB40-SA8,70,14 d. Before issuing his or her arbitration decision, the arbitrator shall, on his or her own motion or at the request of either party, conduct a meeting open to the public to provide the opportunity to both parties to explain or present supporting arguments for their complete offer on all matters to be covered by the proposed agreement. The arbitrator shall adopt without further modification the final offer of one of the parties on all disputed issues submitted under subd. 6. am., except those items that the commission determines not to be mandatory subjects of bargaining and those items that have not been treated as mandatory subjects by the parties, and including any prior modifications of the offer mutually agreed upon by the parties under subd. 6. b., which decision is final and binding on both parties and shall be incorporated into a written collective bargaining agreement. The arbitrator shall serve a copy of his or her decision on both parties and the commission.

AB40-SA8,70,16 e. Arbitration proceedings may not be interrupted or terminated by reason of any prohibited practice complaint filed by either party at any time.

AB40-SA8,70,18 f. The parties shall equally divide the costs of arbitration. The arbitrator shall submit a statement of his or her costs to both parties and to the commission.

AB40-SA8,71,2 g. If a question arises as to whether any proposal made in negotiations by either party is a mandatory, permissive, or prohibited subject of bargaining, the commission shall determine the issue pursuant to par. (b). If either party to the dispute petitions the commission for a declaratory ruling under par. (b), the proceedings under subd. 6. c. and d. may not occur until the commission renders a decision in the matter and the decision is final. The arbitrator's award shall be made in accordance with the commission's ruling, subject to automatic amendment by any subsequent court reversal.

AB40-SA8, s. 2407dm Section 2407dm. 111.70 (4) (cm) 7. of the statutes is created to read:

AB40-SA8,71,12 111.70 (4) (cm) 7. `Factor given greatest weight.' In making any decision under the arbitration procedures authorized by this paragraph, except for any decision involving a collective bargaining unit consisting of school district employees, the arbitrator or arbitration panel shall consider and shall give the greatest weight to any state law or directive lawfully issued by a state legislative or administrative officer, body, or agency that limits expenditures that may be made or revenues that may be collected by a municipal employer. The arbitrator or arbitration panel shall give an accounting of the consideration of this factor in the arbitrator's or panel's decision.