LRBs0097/1
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2015 - 2016 LEGISLATURE
ASSEMBLY SUBSTITUTE AMENDMENT 2,
TO ASSEMBLY BILL 210
June 10, 2015 - Offered by Representative Knudson.
AB210-ASA2,1,3 1An Act to renumber and amend 77.70; and to create 77.70 (2) of the statutes;
2relating to: an additional local sales and use tax for maintenance of streets and
3highways.
Analysis by the Legislative Reference Bureau
Under current law, a county may impose a sales and use tax at the rate of 0.5
percent of the sales price of tangible personal property, goods, and services sold or
used in the county. The county sales and use tax may be imposed only for the purpose
of reducing the county's property tax levy.
Under this substitute amendment, with the approval of the electors in the
county at a referendum, a county may impose an additional sales and use tax at the
rate of 0.5 percent of the sales price of tangible personal property, goods, and services
sold or used in the county for maintenance of streets and highways. The county may
impose the tax for four years. If the county wishes to extend the tax, it must be
approved again at a referendum. The substitute amendment requires the county to
retain a portion of the tax revenue and distribute the remainder to the towns, cities,
and villages in the county to maintain, repair, and construct streets and roads. The
county distributes the revenue using a formula based on road miles and population.
Finally, for each year in which a county imposes the tax, the county and each
municipality that receives the tax revenue must expend on highway or street
maintenance and repair an amount equal to the average of the amount it spent for

such purposes in the previous five years from sources other than the tax, plus the
average amount of the tax revenues it received in the previous five years.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB210-ASA2,1 1Section 1. 77.70 of the statutes is renumbered 77.70 (1) and amended to read:
AB210-ASA2,2,142 77.70 (1) Any county desiring to impose county sales and use taxes under this
3subchapter may do so by the adoption of an ordinance, stating its purpose and
4referring to this subchapter. The rate of the tax imposed under this section
5subsection is 0.5 percent of the sales price or purchase price. The Except as provided
6in sub. (2), the
county sales and use taxes may be imposed only for the purpose of
7directly reducing the property tax levy and only in their entirety as provided in this
8subchapter. That ordinance shall be effective on the first day of January, the first day
9of April, the first day of July or the first day of October
January 1, April 1, July 1, or
10October 1
. A certified copy of that ordinance shall be delivered to the secretary of
11revenue at least 120 days prior to its effective date. The repeal of any such ordinance
12shall be effective on December 31. A certified copy of a repeal ordinance shall be
13delivered to the secretary of revenue at least 120 days before the effective date of the
14repeal.
AB210-ASA2,2 15Section 2. 77.70 (2) of the statutes is created to read:
AB210-ASA2,3,1416 77.70 (2) (a) In addition to the taxes imposed under sub. (1), if the electors of
17the county approve the ordinance at a referendum at the spring election or general
18election, a county may adopt an ordinance to impose a sales and use tax under this
19subchapter at the rate of 0.5 percent of the sales price or purchase price in order to
20maintain and repair highways in the county and to ensure that all county roads are
21all-weather roads. The taxes may be imposed only in their entirety. An ordinance

1adopted under this paragraph shall be effective on January 1, April 1, July 1, or
2October 1. A certified copy of the ordinance shall be delivered to the secretary of
3revenue at least 120 days prior to its effective date. The repeal of any such ordinance
4shall be effective on December 31. A certified copy of a repeal ordinance shall be
5delivered to the secretary of revenue at least 120 days before the effective date of the
6repeal. An ordinance adopted to impose the tax under this paragraph is valid for 4
7years but may be renewed by the approval of the electors of the county at a
8referendum at the spring election or general election. The county shall provide a
9certified copy of the renewal ordinance to the secretary of revenue at least 120 days
10prior to its effective date. If the county holds a referendum during the 4-year period
11when the tax is imposed in order to renew the ordinance for another 4 years and the
12referendum is not approved, the county may not hold another referendum to renew
13the ordinance until one year after the previous period for imposing the tax has
14expired.
AB210-ASA2,3,1815 (b) If a county holds a referendum under par. (a), the question appearing on the
16ballot shall be "Shall .... (name of the county) impose a local sales and use tax for ....
17(4 years) (an additional 4 years) at the rate of one-half of one percent to provide for
18the maintenance and repair of county highways and municipal streets?".
AB210-ASA2,3,2219 (c) The county shall distribute 50 percent of the revenue it received in the
20previous calendar year from the taxes imposed under par. (a) to each town, city, and
21village in the county, and retain for the county, to use for maintaining and repairing
22streets, roads, and highways, an amount determined as follows:
AB210-ASA2,3,2323 1. Compute the total center line road miles of the county as follows:
AB210-ASA2,3,2524 a. Determine the number of miles for urban arterial roads and multiply that
25number by 1.51.
AB210-ASA2,4,2
1b. Determine the number of miles for rural arterial roads and multiply that
2number by 1.51.
AB210-ASA2,4,43 c. Determine the number of miles for urban collector roads and multiply that
4number by 1.26.
AB210-ASA2,4,65 d. Determine the number of miles for rural collector roads and multiply that
6number by 1.23.
AB210-ASA2,4,87 e. Determine the number of miles for urban local roads and multiply that
8number by 1.01.
AB210-ASA2,4,99 f. Determine the number of miles for rural local roads.
AB210-ASA2,4,1010 2. Sum the numbers determined under subd. 1. a. to f.
AB210-ASA2,4,1311 3. Compute the total road miles for each town, city, and village in the county,
12not including county roads, and the total road miles of county roads, as provided
13under subd. 1. a. to f.
AB210-ASA2,4,1514 4. Divide the number determined under subd. 3. for each town, city, and village
15and for the county by the number determined under subd. 2.
AB210-ASA2,4,1916 5. For each town, city, and village and for the county, multiply the amount equal
17to 50 percent of the revenue the county received from the taxes imposed under par.
18(a) in the previous calendar year by the number determined for the town, city, village,
19or county under subd. 4.
AB210-ASA2,4,2320 (d) The county shall distribute 25 percent of the revenue it received in the
21previous calendar year from the taxes imposed under par. (a) to each town, city, and
22village in the county to use for maintaining and repairing streets and roads an
23amount determined as follows:
AB210-ASA2,4,2424 1. Determine the population of the county.
AB210-ASA2,4,2525 2. Determine the population of each town, city, or village.
AB210-ASA2,5,2
13. Divide the number determined for each town, city, or village under subd. 2.
2by the number determined under subd. 1.
AB210-ASA2,5,53 4. For each town, city, and village, multiply the amount equal to 25 percent of
4the revenue the county received from the taxes imposed under par. (a) in the previous
5calendar year by the number determined for the town, city, or village under subd. 3.
AB210-ASA2,5,86 (e) In addition to the amount the county receives under par. (c), the county shall
7retain 25 percent of the revenue it receives from the taxes imposed under par. (a) in
8each calendar year to maintain and repair roads and highways.
AB210-ASA2,5,159 (f) For each year in which a county imposes the tax under par. (a), the county
10and each town, city, or village in the county that receives revenue under par. (c), (d),
11or (e) shall expend for the purposes of maintaining and repairing roads, streets, and
12highways no less than an amount equal to the average of the amount it spent for such
13purposes in the previous 5 years from all sources other than from the tax imposed
14under par. (a), plus the average of the amounts received under par. (c), (d), or (e) in
15the previous 5 years.
AB210-ASA2,5,1816 (g) No county, town, city, or village that receives revenue under par. (c), (d), or
17(e) may use such revenue in order to receive matching federal funds or to secure
18federal funds.
AB210-ASA2,5,2119 (h) Notwithstanding s. 86.30, revenue received under this subsection shall not
20be included as transportation revenues nor as transportation expenditures for
21purposes of calculating general transportation aids.
AB210-ASA2,6,222 (i) All counties and municipalities that receive revenue under this subsection
23shall deposit the revenue into a segregated fund called the "local transportation sales
24tax revenue fund." Any project of highway improvement, as defined in s. 84.06 (1)

1(a) 1., that is financed in whole or in part from such a fund, and that has an estimated
2cost exceeding $100,000, shall be let by contract to the lowest responsible bidder.
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