Amendment SE3 SSA1-SB1

LRBs0124/1

ALL:all

September 2023 Special Session

2023 - 2024 LEGISLATURE

SENATE SUBSTITUTE AMENDMENT 1, TO SENATE BILL 1

October 13, 2023 - Offered by Senator LeMahieu.

SB1-SSA1,4,13 An Act to repeal 89.073 (1), 89.073 (2) (b), 89.073 (2m), 106.276, 440.09 (1), 440.09 (2) (b), 440.09 (2m), 440.094 (1) (b), 440.992 (6), 452.10 (2) and 456.07 (1) and (3); to renumber 252.14 (1) (ar) 14., 440.08 (2) (d), 440.08 (2) (e), 440.09 (2) (intro.), 440.09 (2) (d), 448.978 (1), 448.978 (2) (d) 1. and 2., 457.16 (1) and 457.25 (1); to renumber and amend 71.07 (9g) (b), 108.04 (2) (a) 4., 108.04 (15) (a) 2., 440.03 (13) (c), 440.08 (2) (a) 1. to 72., 440.08 (2) (c), 440.09 (2) (a), 440.09 (2) (c), 440.09 (2) (f), 440.09 (3), 440.09 (4) and (5), 446.025 (3) (a), 446.026 (3) (a), 448.015 (4) (am) 2m., 448.974 (2), 448.978 (2) (d) (intro.), 457.12 and 459.24 (3m); to consolidate, renumber and amend 108.04 (15) (a) (intro.) and 1.; to amend 15.405 (7c) (a) 1., 15.405 (7c) (a) 2., 15.405 (7c) (a) 3., 15.405 (7c) (a) 4., 15.405 (7c) (am) 1., 15.405 (7c) (am) 3., 15.405 (7c) (c), 45.40 (1g) (a), 46.297 (2) (a), 46.298, 46.90 (4) (ab) 4., 48.56 (2), 48.561 (2), 49.45 (9r) (a) 7. e., 49.45 (30j) (a) 1., 51.03 (6) (a), 55.043 (1m) (a) 4., 71.05 (6) (b) 49. h., 71.05 (6) (b) 49. i., 71.06 (1q) (c), 71.06 (2) (i) 3., 71.06 (2) (j) 3., 89.073 (title), 89.073 (2) (c), 89.073 (2) (f), 97.67 (5m) (a) 3., 101.022, 108.04 (2) (a) 3., 108.133 (2) (a) (intro.), 108.133 (2) (am), 118.2925 (1) (f), 146.81 (1) (eu), 146.81 (1) (hg), 146.81 (1) (hm), 146.89 (1) (r) 6., 146.89 (1) (r) 7., 146.997 (1) (d) 4., 146.997 (1) (d) 11., 146.997 (1) (d) 12., 154.01 (3) (b), 155.01 (1g) (c), 155.01 (7), 180.1901 (1m) (f), 252.14 (1) (ar) 7., 252.14 (1) (ar) 8., 252.15 (1) (er), 253.10 (2) (f), 256.215 (2) (b), 257.01 (1) (a), 257.01 (1) (b), 303.08 (1) (f), 440.03 (9) (a) (intro.), 440.03 (9) (a) 2., 440.03 (13) (b) (intro.), 440.03 (14) (am), 440.03 (14) (c), 440.03 (15), 440.032 (5), 440.043 (1), 440.08 (2) (title), 440.08 (2) (a) (intro.), 440.08 (2) (b), 440.08 (4) (a), 440.09 (title), 440.09 (1m) (c) 1., 440.094 (title), (1) (c) (intro.), 3., 4. and 5. and (2), 440.094 (1) (c) 14., 440.094 (3), 440.15, 440.26 (3), 440.26 (5m) (b), 440.313 (1), 440.415 (2) (a), 440.71 (3), 440.88 (4), 440.905 (2), 440.91 (1) (c), 440.91 (1m) (c), 440.91 (4), 440.92 (1) (c), 440.972 (2), 440.974 (2), 440.98 (6), 440.983 (1), 440.9935, 441.06 (3), 441.10 (6), 441.15 (3) (b), 442.083 (1), 442.083 (2) (a), 443.015 (1e), 443.07 (6), 443.08 (3) (b), 443.10 (2) (e), 443.10 (5), 445.06 (1), 445.07 (1) (a) and (b), 445.095 (1) (c), 445.105 (3), 446.01 (1v) (m), 446.02 (1) (b), 446.02 (4), 446.025 (3) (b), 446.026 (3) (b), 447.05 (1) (a), 447.055 (1) (a), 447.055 (1) (b) 1., 447.055 (1) (b) 2., 447.056 (1) (intro.), 447.056 (3), 447.058 (2) (b), 448.07 (1) (a), 448.08 (4), 448.13 (1) (a) 1., 448.13 (1) (a) 2., 448.13 (1m), 448.55 (2), 448.65 (2) (intro.), 448.665, 448.67 (4), 448.86 (2), 448.9545 (1) (a), 448.9545 (1) (b) (intro.), 448.955 (1), 448.955 (2) (a), 448.955 (3) (a), 448.956 (1) (c), 448.964 (1), 448.967 (2), 448.9703 (3) (a), 448.9706 (2), 448.971 (2), 448.972 (1), 448.973 (2), 448.974 (title), 448.974 (2) (am) 1., 448.978 (2) (intro.), 448.978 (2) (a), 448.978 (2) (g), 449.06 (1), 449.06 (2m), 450.08 (1), 450.08 (2) (a), 450.08 (2) (b), 450.085 (1), 450.10 (3) (a) 5., 450.10 (3) (a) 10., 450.10 (3) (a) 11., 451.04 (4), 452.05 (1) (d), 452.12 (1), 452.12 (5) (a), 452.12 (5) (c), 452.132 (2) (c), 454.06 (8), 454.08 (9), 454.23 (5), 454.25 (9), 455.06 (1) (a), 455.065 (7), 456.07 (2), 456.07 (5), chapter 457 (title), 457.01 (intro.), 457.01 (1c), 457.01 (1g), 457.01 (1r), 457.01 (1w), 457.01 (2r), 457.01 (7), 457.01 (10), 457.02 (intro.), (1), (2), (3), (4), (5), (5m) and (6) (c), 457.03 (1), (1m) and (2), 457.033, 457.035 (1) and (2), 457.04 (1), (2), (3), (4), (5) (a) and (b), (6) and (7), 457.06 (intro.), 457.09 (2) (b) and (4) (b) 1. and 2., 457.12 (title), 457.13 (1) (c), 457.14 (1) (f), 457.15 (3), 457.20 (1) and (2), 457.20 (2), 457.22 (2), 457.24 (1), 457.26 (1) and (2) (intro.) and (h), 458.085 (3), 458.09 (3), 458.11, 458.13, 458.33 (5), 459.09 (1) (intro.), 459.09 (1) (b), 459.22 (2) (b), 459.24 (1) (a), 459.24 (1) (b), 459.24 (5) (intro.), 459.24 (5) (b), 459.34 (2) (intro.), 459.34 (2m) (a) (intro.), 459.34 (2m) (b), 459.34 (2m) (c), 459.34 (3), 460.07 (2) (intro.), 460.10 (1) (a), 462.02 (2) (e), 462.04, 462.05 (1), 466.04 (3) (a) (intro.), 470.045 (3) (b), 470.07, 480.08 (5), 632.89 (1) (e) 4., 632.895 (16) (b) 1. a., 800.035 (2m), 895.48 (1m) (a) (intro.), 905.04 (1) (bm), 905.04 (1) (dm), 905.04 (1) (g), 971.14 (4) (a) and 990.01 (27s); to repeal and recreate 16.417 (1) (e) 3m., 252.15 (1) (am), 448.13 (title), 456.07 (title) and 632.89 (1) (dm); and to create 13.0963, 14.835, 14.896, 14.8965, 14.897, 15.407 (19), 38.04 (34), 39.381, 71.05 (6) (b) 49. L., 71.07 (9g) (b) 2., 71.07 (9g) (c) 5., 89.073 (2) (g) and (h), 106.276, 108.01 (2m), 108.04 (2) (a) 4. c., 108.04 (2) (a) 5., 108.04 (15) (a) 2. b., 108.04 (15) (am) and (ao), 108.14 (8o), 108.14 (30), 111.335 (4) (jm), 440.023, 440.03 (11m) (c) 2c., 440.03 (11m) (c) 2u., 440.03 (11m) (c) 2ub., 440.03 (11m) (c) 2w., 440.03 (13) (bp), (bt) and (bx), 440.03 (13) (c) 1. i., 440.03 (13) (c) 1. ic., 440.03 (13) (c) 1. id., 440.03 (13) (c) 1. ie., 440.08 (2) (a) 1n., 2n., 3n. and 4n., 440.08 (2) (ag) (intro.), 440.08 (2) (ar), 440.08 (2r) (title), 440.08 (2r) (b), 440.08 (3m), 440.09 (1m) (title), 440.09 (1m) (b) 6. and 7., 440.09 (2g), 440.09 (2r), 440.094 (1) (c) 9g., 9m., 17. and 19., (d), (e) and (f), 440.094 (4), 440.20 (6), 440.88 (3) (d), 441.16 (3m), 443.015 (1c), 446.025 (3) (a) 2., 446.026 (3) (a) 2., 448.05 (6) (av), 448.964 (3), 448.971 (1L), 448.971 (1m), 448.974 (1m), 448.974 (2) (bm), subchapter XIII of chapter 448 [precedes 448.988], 450.04 (4), subchapter I (title) of chapter 457 [precedes 457.01], 457.01 (1t), 457.01 (5g), 457.01 (5m), 457.01 (5r), 457.01 (12), 457.08 (4m), 457.12 (1m) (bm) and (2m) to (4m), 457.125, 457.16 (1) (b), 457.18, 457.25 (1g), subchapter II of chapter 457 [precedes 457.50], subchapter III of chapter 457 [precedes 457.70], 459.20 (2k), 459.20 (2m), 459.20 (3v), 459.24 (3c), 459.24 (3e), 459.30 and subchapter III of chapter 459 [precedes 459.70] of the statutes; relating to: fall workforce package; modifying administrative rules; extending the time limit for emergency rule procedures; providing an exemption from emergency rule procedures; and granting rule-making authority.

Analysis by the Legislative Reference Bureau

Income tax rates

Beginning with the 2023 tax year, this bill decreases the individual income tax rate in the third tax bracket from 5.3 percent to 4.40 percent.

Under current law, there are four income tax brackets for single individuals, certain fiduciaries, heads of households, and married persons, and the brackets are indexed for inflation. The rate of taxation under current law for the lowest bracket for single individuals, certain fiduciaries, heads of households, and married persons is 3.50 percent of taxable income. The rate for the second bracket is 4.40 percent. The rate for the third bracket is 5.3 percent. And the rate for the highest bracket is 7.65 percent. Before bracket indexing, the four brackets for individuals, certain fiduciaries, and heads of households, to which the above rates apply, are as follows: 1) taxable income from $0 to $7,500; 2) taxable income exceeding $7,500 but not exceeding $15,000; 3) taxable income exceeding $15,000 but not exceeding $225,000; and 4) taxable income exceeding $225,000.

Child and dependent care tax credit

Under current law, an individual who is eligible to claim the federal child and dependent care tax credit may claim a state income tax credit equal to 50 percent of the amount the individual may claim as a federal income tax credit. However, the amount of employment-related expenses that an individual may claim to determine the amount of the federal credit is limited to $3,000 if the individual has only one qualifying dependent, and $6,000 if the individual has two or more qualifying dependents.

The bill increases the amount of the state credit that an individual may claim by increasing the employment-related expense limitation to $10,000 for one qualifying dependent and $20,000 for two or more qualifying dependents, and by allowing an individual to claim a state income tax credit equal to the full amount that the individual could claim for the federal child and dependent care credit determined using the individual's employment-related expenses.

Private school tuition deduction

Under current law, an individual, when computing income for income tax purposes, may deduct the tuition paid during the year to send his or her dependent child to private school. The maximum deduction is $4,000 for an elementary school pupil and $10,000 for a secondary school pupil.

This bill increases the maximum deduction to $5,070 for an elementary school pupil and $12,660 for a secondary school pupil. The bill also increases the amounts by the annual percentage change in the consumer price index for future tax years.

Reciprocal credentials

This bill creates a process for certain individuals who hold a license, certification, registration, or permit that was granted by another state to apply for and receive a reciprocal credential in this state. Under current law, an individual may not engage in certain professions or assume certain titles in this state unless the individual holds a credential issued by a department, examining board, or credentialing board with authority to oversee the profession or practice. Current law requires the Department of Safety and Professional Services, the Veterinary Examining Board, and any credentialing board attached to DSPS, with certain exceptions, to issue a reciprocal credential to a service member, former service member, or the spouse of a service member or former service member who resides in this state if certain conditions are met, including that the individual holds a license, certification, registration, or permit that was granted by a governmental authority in a jurisdiction outside this state that qualifies the individual to perform the acts authorized under an appropriate credential granted in this state and that the individual's certification, registration, or permit is in good standing with the governmental authorities in every jurisdiction outside this state that have granted the individual such a license, certification, registration, or permit.

The bill expands who may apply for reciprocal credentials to include all individuals and adds the further requirements that to receive a reciprocal credential in this state an individual may not have an arrest or conviction record; may not have any limitation, restriction, or other encumbrance on any credential issued by a governmental authority in another state that qualifies the individual to perform acts authorized under the appropriate reciprocal credential granted in this state; and may not be under investigation in another state related to any credential possessed by the individual that qualifies the individual to perform acts authorized under the appropriate reciprocal credential granted in this state. The bill does not allow individuals to receive a reciprocal credential from the Accounting Examining Board or the Real Estate Examining Board that would grant the holder of the credential a limited right to practice law in this state, unless the applicant is licensed to practice law in this state.

Investigations of conviction records by DSPS

Current law prohibits employment discrimination on the basis of a conviction record and prohibits DSPS and the credentialing boards attached to DSPS from discriminating against applicants for credentials on the basis of a conviction record. However, current law allows DSPS and the credentialing boards attached to DSPS to refuse, bar, or terminate a credential due to a prior arrest, conviction, or other offense if the circumstances of the arrest, conviction, or offense are substantially related to the circumstances of the licensed activity. The bill allows DSPS to complete its investigation as to whether the circumstances of an arrest, conviction, or other offense are substantially related to the circumstances of a credentialed activity without reviewing the specific circumstances of the arrest, conviction, or other offense if the arrest, conviction, or other offense is a certain violation of state or local law, including all of the following:

1. A first conviction for a violation of a law or local ordinance that prohibits driving or operating a motor vehicle while intoxicated or under the influence of alcohol, a controlled substance, or a controlled substance analog, or a combination of those, or of any drug that renders the person incapable of safely driving, if that first conviction occurred more than five years before the applicant applied for the credential.

2. A violation of a law or local ordinance that prohibits underage procurement, possession, or consumption of alcohol.

3. A minor, nonviolent ordinance violation, as determined by DSPS.

Further, the bill allows DSPS to accept, in lieu of completing its own investigation, a determination made by an applicant's employer or by a contracted entity on behalf of an applicant's employer that the applicant does not have an arrest, conviction, or other offense record or that the circumstances of an arrest, conviction, or other offense are not substantially related to the licensed activity. The bill requires that an applicant's employer, or a contracted entity on behalf of an applicant's employer, must attest that the determination was made to the best of the employer's or entity's knowledge and with a reasonable degree of certainty. Under the bill, DSPS must accept or reject such a determination within 30 days of receipt. Within the 30 days following receipt of a determination by an applicant's employer or a contracted entity on behalf of an applicant's employer that the applicant does not have an arrest, conviction, or other offense record, DSPS may review the determination and request additional information from the applicant before accepting or rejecting the determination. Finally, the bill provides that neither DSPS nor any credentialing board attached to DSPS may be subject to suit or found liable for damages resulting from acceptance of an employer's or entity's determination.

Prohibiting statutes and rules examinations for certain professions

The bill prohibits DSPS, the Board of Nursing, the Medical Examining Board, the Occupational Therapists Affiliated Credentialing Board, the Pharmacy Examining Board, and the Marriage and Family Therapy, Professional Counseling, and Social Work Examining Board from requiring an applicant to pass a statutes and rules examination as a condition of licensure or certification for all of the following professions:

1. Substance abuse counselors, clinical substance abuse counselors, and substance abuse counselors-in-training.

2. Advanced practice nurse prescribers.

3. Respiratory care practitioners.

4. Occupational therapists and occupational therapy assistants.

5. Pharmacists.

6. Professional counselors.

The bill allows DSPS and the examining and credentialing boards to require an applicant for a credential to practice any of the professions listed above to affirm that the applicant has read and understands the statutes and rules that apply to the applicant's practice.

Credential renewal periods

Under current law, a two-year renewal period applies to many health and business credentials administered by DSPS or a credentialing board. The renewal date for each two-year period is specified by statute. The bill revises each two-year renewal period in the health and business professions to four-year renewal periods and makes various changes related to continuing education requirements for these credentials.

Current law requires DSPS to grant a temporary state credential to a health care provider who is credentialed in good standing in another state, pending an application for a permanent credential. The provider must apply for the temporary credential within 30 days of first providing services in Wisconsin and attest that the person is in good standing under the out-of-state credential and has applied for a permanent credential. The health care provider's employer must notify DSPS within 10 days of the person first providing services in Wisconsin and attest that the provider's credential and good standing have been confirmed to a reasonable degree of certainty. An employer's notification and attestation are not required if the person is only providing telehealth services.

To be in good standing under a credential from another state, the provider must hold a valid, unexpired credential and must not be under investigation or have any active restrictions or limitations on the person's credential. While practicing in Wisconsin under the temporary credential, a health care provider is subject to all responsibilities and limitations in the applicable practice.

The bill expands this process from health care providers to also include persons classified in the business professions with credentials in good standing in another state or territory. The bill revises the terminology for all health care and business profession applicants from a “temporary” credential to a “preliminary” credential. If an individual with a valid, unexpired credential from another state or territory applies for a preliminary credential under the process described above, the individual may provide health care or business services for an employer, under the preliminary credential, while an application for a permanent credential is pending. While providing services under the preliminary credential, the person is subject to all responsibilities and limitations of the applicable state-issued credential.

The bill also adds the following health care professions that may apply for a preliminary credential, who are not included in current law: dental hygienists, expanded function dental auxiliaries, genetic counselors, radiographers, and naturopathic doctors.

Reciprocal credential information

Under current law, for health and business credentials administered by DSPS or a credentialing board, a specific reciprocal credential standard is typically specified for each credential, which establishes the eligibility criteria for issuing a reciprocal credential. A reciprocal credential is a credential issued to a person who already possesses a similar credential in another jurisdiction. Also known as licensure by endorsement, the process for granting a reciprocal credential typically allows an applicant who is already credentialed in another jurisdiction to receive a credential without having to provide all of the documentation or satisfy all of the criteria that would otherwise be required to be granted a credential. A commonly used standard specifies that a reciprocal credential may be granted if the other state's credentialing requirements are “substantially equivalent” to Wisconsin's credentialing requirements for the profession.

The bill requires DSPS to determine, for each health care provider credential, whether the profession's reciprocity standard requires an examination of the equivalence, comparability, or similarity of a prior issuing state's or territory's credentialing requirements. For each health care provider credential that DSPS determines applies this reciprocity standard, DSPS must review all other states' and territories' health care provider credentialing requirements, in consultation with the appropriate credentialing boards, to determine whether each other state's or territory's laws qualify for purposes of granting a reciprocal health care provider credential under state law.

DSPS must post the results of its review on its website and must update the review at least every four years.

Audiology and Speech-Language Pathology Interstate Compact

This bill ratifies and enters Wisconsin into the Audiology and Speech-Language Pathology Interstate Compact, which allows a speech-language pathologist or audiologist licensed in one member state to obtain a “compact privilege” to practice in a remote state without obtaining a license in that remote state.

PA Licensure Compact

This bill ratifies and enters Wisconsin into the PA Licensure Compact, which provides for the ability of a physician assistant to become eligible to practice in other compact states.

Social Work Licensure Compact

This bill ratifies and enters Wisconsin into the Social Work Licensure Compact, which provides for the ability of a social worker to become eligible to practice in other compact states.