AB591,54,17 13(2) Administration. The department of health and family services shall
14provide health services and benefits under sub. (4) to individuals who have been
15determined by a Wisconsin works agency to be eligible under sub. (3) for such services
16and benefits. The Wisconsin works agency shall provide the department of health
17and family services with a list of eligible individuals.
AB591,55,2 18(3) Eligibility. (a) General provisions. 1. A Wisconsin works agency shall
19determine eligibility for benefits and services under this section, in accordance with
20rules promulgated by the department of industry, labor and job development. An
21individual who applies for and receives benefits and services under this section is
22considered to have assigned to the state any rights to medical support or other
23payment of medical expenses from any other person, including rights to unpaid
24amounts accrued at the time of application for benefits and services under this
25section and any rights to support accruing during the time for which benefits and

1services under this section are provided. Eligibility for benefits and services under
2this section begins on the first day of the month in which the application is made.
AB591,55,63 2. An individual who is eligible for the health care coverage under this section
4remains eligible under this section for 12 consecutive months or until the individual
5has access to unsubsidized employer-offered health care coverage, whichever is
6later.
AB591,55,97 (b) Wisconsin works groups. Except as provided in pars. (d) and (e), an
8individual who is a member of a Wisconsin works group is eligible for benefits and
9services under this section if all of the following conditions apply:
AB591,55,1110 1. The individual meets the criteria under s. 49.145 (2) (c), (f), (g), (i), (L) and
11(m) and resides in this state.
AB591,55,1312 2. The Wisconsin works group meets the resource limitation under s. 49.145 (3)
13(a).
AB591,55,1814 3. The gross income of the Wisconsin works group is at or below 165% of the
15poverty line, or, for a Wisconsin works group that is already receiving health care
16coverage under this section, the gross income is at or below 200% of the poverty line.
17In calculating the gross income of the Wisconsin works group, the department shall
18include income described under s. 49.145 (3) (b) 1. to 3.
AB591,55,2119 (c) Pregnant women. Except as provided in par. (e), a pregnant woman whose
20pregnancy has been medically verified and who has no dependent children is eligible
21for benefits and services under this section if she meets the following conditions:
AB591,55,2322 1. The woman meets the criteria under s. 49.145 (2) (c), (g), (i), (L) and (m) and
23resides in this state.
AB591,55,2424 2. The woman meets the resource limitation under s. 49.145 (3) (a).
AB591,56,3
13. The gross income of the woman is at or below 165% of the poverty line. In
2calculating gross income under this subdivision, the Wisconsin works agency shall
3include income described under s. 49.145 (3) (b) 1. and 3.
AB591,56,74 (d) Minor parents. An individual who is a custodial parent and who is under
5the age of 18, and any dependent children with respect to whom the individual is a
6custodial parent, are eligible for benefits and services under this section only if the
7individual meets any of the following conditions:
AB591,56,118 1. The individual resides with his or her custodial parent and the gross income
9of the parent does not exceed 165% of the poverty line. In calculating the gross
10income of the custodial parent, the department shall include income described under
11s. 49.145 (3) (b) 1. to 3.
AB591,56,1612 2. The individual is in a court-ordered out-of-home placement or an
13independent living arrangement supervised by an adult and the gross income of the
14individual does not exceed 165% of the poverty line. In calculating the gross income
15of the individual, the department shall include income described under s. 49.145 (3)
16(b) 1. to 3.
AB591,56,2117 (e) Access to employer-subsidized health care coverage. An individual is eligible
18for health care coverage under this section only if the individual has not had access
19to employer-subsidized health care coverage for the 18 months immediately
20preceding application for health care coverage under this section. This paragraph
21does not apply to any of the following:
AB591,57,222 1. An individual who has lost access to employer-subsidized health care
23coverage within the 18 months immediately preceding application for health care
24coverage under this subsection because of the termination by the employer of the
25employment relationship for a reason other than misconduct on the part of the

1employe and who has not had access to employer-subsidized health care coverage
2since the termination.
AB591,57,63 2. An individual who has lost access to employer-subsidized health care
4coverage within the 18 months immediately preceding application for health care
5coverage under this subsection because of the termination by the employe of the
6employment relationship for just cause.
AB591,57,87 3. A dependent child who has lost eligibility for employer-subsidized health
8care coverage for any reason.
AB591,57,119 (f) Ineligibility. No individual is eligible for health care coverage under this
10section in a month in which that individual is eligible for employer-subsidized health
11care coverage.
AB591,57,18 12(4) Wisconsin works health plan. (a) Health maintenance organization
13contract.
The department of health and family services shall contract with one or
14more health maintenance organizations or other health care providers to provide
15health care services under this subsection. Each contract for the provision of health
16care services entered into by the department of health and family services under this
17subsection shall be awarded on the basis of a competitive process in accordance with
18procedures established by the department of health and family services.
AB591,57,2219 (b) Health care services provided. 1. Except as provided in subd. 2., the
20Wisconsin works health plan shall cover the care and services required under a state
21plan for medical assistance under 42 USC 1396d and any additional care and
22services established by the department of health and family services by rule.
AB591,57,2423 2. The Wisconsin works health plan shall not cover the following goods and
24services:
AB591,57,2525 a. Nonpreventive dental care.
AB591,58,1
1b. Eyeglasses.
AB591,58,22 c. Hearing aids.
AB591,58,43 d. Home health, private duty nursing and personal care services in excess of
440 visits per year.
AB591,58,55 e. Nursing home services in excess of 30 days.
AB591,58,66 f. Over-the-counter drugs.
AB591,58,87 g. Treatment of nervous or mental disorders and alcoholism or other drug abuse
8problems in excess of the minimum coverage required under s. 632.89 (2).
AB591,58,149 (c) Distribution of payments. From the appropriations under s. 20.435 (1) (b)
10and (o), the department of health and family services shall make payments to a
11health maintenance organization or other health care provider with which the
12department of health and family services has contracted under par. (a) in accordance
13with the payment schedule established by the department of health and family
14services by rule.
AB591,58,2515 (d) Premiums. An individual who receives the Wisconsin works health plan
16shall pay to the Wisconsin works agency a monthly premium in accordance with
17criteria based on income, resources and family size and established by the
18department of industry, labor and job development by rule. The employer of a
19participant in a trial job shall deduct the premium established by the department of
20industry, labor and job development from the participant's wages and shall pay the
21premium amount withheld to the Wisconsin works agency. The Wisconsin works
22agency shall deduct the established premium on a prorated basis from the biweekly
23grant payment of a participant in a community service job and shall deduct the
24established premium from the monthly grant of a participant in a transitional
25placement.
AB591, s. 78
1Section 78. 49.155 of the statutes is created to read:
AB591,59,5 249.155 Wisconsin works; child care subsidy. (1) Eligibility. A Wisconsin
3works agency shall determine eligibility for a child care subsidy under this section.
4An individual may receive a child care subsidy under this section if the individual
5meets all of the following conditions:
AB591,59,116 (a) The individual is a custodial parent of a child who is under the age of 10,
7or is a person who, under s. 48.57 (3m), is providing care and maintenance for a child
8who is under the age of 10, and child care services are needed in order for the
9individual to meet the school attendance requirement under s. 49.26 (1) (ge) or to
10work, seek work, or participate in any of the following activities approved by the
11Wisconsin works agency:
AB591,59,1212 1. Training provided by an employer during the regular hours of employment.
AB591,59,1413 2. Other employment skills training, as defined by the department by rule, if
14the individual meets any of the following conditions:
AB591,59,1615 a. The individual has been employed in unsubsidized employment for 9
16consecutive months and continues to be so employed.
AB591,59,1817 b. The individual has successfully participated in a trial job or community
18service job for 60 consecutive days and continues to so participate.
AB591,59,2219 (b) The individual meets the eligibility conditions under s. 49.145 (2) (c) to (g)
20and (3) (a), except that an individual may be eligible for a child care subsidy under
21this section regardless of the number of days the individual has resided in this state
22prior to applying for the child care subsidy.
AB591,60,223 (c) The individual is a member of a Wisconsin works group whose gross income
24is at or below 165% of the poverty line. In calculating the gross income of the

1Wisconsin works group, the department shall include income described under s.
249.145 (3) (b) 1. to 3.
AB591,60,43 (d) The individual satisfies other eligibility criteria established by the
4department by rule.
AB591,60,7 5(2) Distribution of child care funds. From the appropriation under s. 20.445
6(3 (dz), the department shall distribute funds allocated for child care services under
7this section.
AB591,60,14 8(3) Use of child care funds. (a) A Wisconsin works agency may provide child
9care services itself; purchase child care services from a child care provider; provide
10vouchers to an eligible parent for the payment of child care services provided by a
11child care provider; reimburse an eligible parent for payments made by the parent
12to a child care provider for child care services; adopt, with the approval of the
13department, any other arrangement that the Wisconsin works agency considers
14appropriate; or use any combination of these methods to provide child care.
AB591,60,1815 (b) With the approval of the department, a Wisconsin works agency may spend
16moneys distributed under this section for start-up, improvement or expansion of
17child care services or facilities or for the recruitment, education or training of persons
18providing child care.
AB591,60,22 19(4) Choice of provider. An eligible individual shall choose whether the child
20care will be provided by a day care provider licensed under s. 48.65, a day care
21provider certified under s. 48.651, or a provider of provisional certified family care,
22as defined by the department by rule.
AB591,61,2 23(5) Liability for payment. An individual who receives aid under this section
24is liable for a portion of the cost of child care received, payable in accordance with a

1sliding scale formula established by the department that is based on the individual's
2ability to pay.
AB591,61,7 3(6) Child care rates and quality standards. (a) The department shall
4establish the maximum rate that a Wisconsin works agency may pay for child care
5services provided under this section. The department shall set the rate at a
6reasonable and customary level that does not preclude eligible individuals from
7having a reasonable selection of child care providers.
AB591,61,168 (b) 1. The department shall promulgate rules to establish quality of care
9standards for child care providers that are higher than the quality of care standards
10required for licensure under s. 48.65 or for certification under s. 48.651. The
11standards established by rules promulgated under this subdivision shall consist of
12the standards provided for the accreditation of day care centers by the National
13Association for the Education of Young Children or any other comparable standards
14that the department may establish, including standards regarding the turnover of
15child care provider staff and the training and benefits provided for child care
16provider staff.
AB591,61,2217 2. To the extent permitted under federal law, the department shall also
18promulgate rules to establish a system of rates or a program of grants that the
19department will pay to child care providers that meet the higher quality of care
20standards established by rules promulgated under subd. 1. If a system of rates is
21established by the rules promulgated under this subdivision, the rates under that
22system shall be higher than the rates established under par. (a).
AB591,62,2 23(7) Refusal to pay child care providers. A Wisconsin works agency may refuse
24to pay a child care provider for child care provided under this section if any of the

1following applies to the child care provider, employe or person living on the premises
2where child care is provided:
AB591,62,43 (a) The person has been convicted of a felony or misdemeanor that the
4Wisconsin works agency determines substantially relates to the care of children.
AB591,62,65 (b) The person is the subject of a pending criminal charge that the Wisconsin
6works agency determines substantially relates to the care of children.
AB591,62,87 (c) The person has been determined under s. 48.981 to have abused or neglected
8a child.
AB591, s. 79 9Section 79. 49.157 of the statutes is created to read:
AB591,62,14 1049.157 Wisconsin works; transportation assistance. (1) Eligibility. In
11accordance with rules promulgated by the department, a Wisconsin works agency
12shall determine the eligibility of an individual for financial assistance for
13transportation costs associated with transporting a child to and from a child care
14provider.
AB591,62,16 15(2) Distribution of Funds. The department shall distribute the funds allocated
16under s. 49.181 (1) (h) for transportation assistance to Wisconsin works agencies.
AB591, s. 80 17Section 80. 49.159 of the statutes is created to read:
AB591,62,24 1849.159 Wisconsin works; noncustodial and minor and other custodial
19parents. (1)
Noncustodial parents. An individual who would be eligible under s.
2049.145 except that the individual is the noncustodial parent of a dependent child, is
21eligible for services under this subsection if the dependent child's custodial parent
22is a participant. The Wisconsin works agency may provide job search assistance and
23case management designed to enable eligible noncustodial parents to obtain and
24retain employment.
AB591,63,8
1(2) Minor custodial parents; financial and employment counseling. A
2custodial parent who is under the age of 18 is eligible, regardless of that individual's
3or that individual's parent's income or assets, to meet with a financial and
4employment planner. The financial and employment planner may provide the
5individual with information regarding Wisconsin works eligibility, available child
6care services, employment and financial planning, family planning services,
7community resources, eligibility for food stamps and other food and nutrition
8programs.
AB591,63,12 9(3) Other custodial parents. A custodial parent in a Wisconsin works group
10in which the other custodial parent is a participant in a Wisconsin works
11employment position is eligible for employment training and job search assistance
12services provided by the Wisconsin works agency.
AB591, s. 81 13Section 81. 49.161 of the statutes is created to read:
AB591,63,17 1449.161 Wisconsin works; overpayments. The department shall recover an
15overpayment of benefits paid under s. 49.148 from an individual who continues to
16receive benefits under s. 49.148 by reducing the amount of the individual's benefit
17payment by no more than 10%.
AB591, s. 82 18Section 82. 49.181 of the statutes is created to read:
AB591,63,22 1949.181 Public assistance and local assistance funding. (1) Funds
20distribution.
Except as provided in sub. (2), within the limits of the appropriation
21under s. 20.435 (4) (dz), the department shall allocate the following amounts for the
22following purposes:
AB591,64,223 (a) Child care for recipients and former recipients of aid to families with
24dependent children.
For child care services under s. 49.50 (6g) and for child care
25services and related transportation costs under s. 49.50 (6e) (a) or (b) and (6k) (b),

1the department shall allocate $4,713,000 in fiscal year 1995-96 and $5,687,400 in
2fiscal year 1996-97.
AB591,64,53 (b) Low-income and at-risk child care. For low-income and at-risk child care
4services under s. 46.98 (2m) to (4), the department shall allocate $21,404,100 in fiscal
5year 1995-96 and $21,504,800 in fiscal year 1996-97.
AB591,64,116 (c) Income maintenance payments to individuals. For income maintenance
7payments to individuals under s. 49.52 and for foster care and treatment foster care
8provided by nonlegally responsible relatives under state or county administered
9programs, if the relatives are licensed to operate foster homes or treatment foster
10homes under s. 48.62, the department shall allocate $141,277,600 in fiscal year
111995-96 and $132,968,700 in fiscal year 1996-97.
AB591,64,1812 (d) Public assistance administration and medical assistance eligibility
13determination.
For payment distribution under s. 49.52 (1) for county
14administration of public assistance benefits and medical assistance eligibility
15determination, for payments to American Indian tribes for administration of public
16assistance benefits, and for fraud investigation and error reduction under s. 49.197
17(1m) and (4), the department shall allocate $28,189,100 in fiscal year 1995-96 and
18$28,864,400 in fiscal year 1996-97.
AB591,64,2219 (e) Emergency assistance for families with needy children. For emergency
20assistance for families with needy children under s. 49.19 (11) (b), the department
21shall allocate $1,659,700 in fiscal year 1995-96 and $1,659,700 in fiscal year
221996-97.
AB591,65,323 (f) Learnfare; job opportunities and basic skills program; food stamp
24employment and training; parental responsibility pilot program.
For the learnfare
25program under s. 49.50 (7), the job opportunities and basic skills program under s.

149.193, the food stamp employment and training project under s. 49.124 and the
2parental responsibility pilot program under s. 49.25, the department shall allocate
3$25,045,800 in fiscal year 1995-96 and $26,447,100 in fiscal year 1996-97.
AB591,65,64 (g) Learnfare case management. For case management for learnfare pupils
5under s. 46.62, the department shall allocate $1,289,300 in fiscal year 1995-96 and
6$1,309,500 in fiscal year 1996-97.
AB591,65,147 (h) Wisconsin works administration. For payments to Wisconsin works
8agencies under s. 49.52 (1) for administration of Wisconsin works benefits under ss.
949.141 to 49.151 and 49.155 to 49.161, for Wisconsin works health care coverage
10eligibility determination under s. 49.153 and for fraud investigation and error
11reduction under s. 49.197 (1m) and (4) and for payments to individuals under s.
1249.148 for Wisconsin works employment positions and under ss. 49.155 and 49.157
13for child care and related transportation services, the department shall allocate $0
14for fiscal year 1996-97.
AB591,65,18 15(2) Transfer of funds. With the approval of the secretary of administration,
16the department may use up to 30% of the amounts required to be allocated under any
17paragraph under sub. (1) for any other purpose described under sub. (1) (a) to (g) in
18each fiscal year.
AB591, s. 83 19Section 83. 49.181 (1) (intro.), (a), (c), (d), (f) and (g) and (2) of the statutes, as
20created by 1995 Wisconsin Act .... (this act), are amended to read:
AB591,65,2321 49.181 (1) Funds distribution. (intro.) Within the limits of the appropriation
22under s. 20.435 (4) (dz) 20.445 (3) (dz), the department shall allocate the following
23amounts for the following purposes:
AB591,66,324 (a) Child care for recipients and former recipients of aid to families with
25dependent children.
For child care services under s. 49.50 (6g) 49.191 (2) and for child

1care services and related transportation costs under s. 49.50 (6e) 49.191 (1) (a) or (b)
2and (6k) (3) (b), the department shall allocate $4,713,000 in fiscal year 1995-96 and
3$5,687,400 in fiscal year 1996-97.
AB591,66,104 (c) Income maintenance payments to individuals. For income maintenance
5payments to individuals under s. 49.52 and 49.33, for foster care and treatment foster
6care provided by nonlegally responsible relatives under state or county administered
7programs, if the relatives are licensed to operate foster homes or treatment foster
8homes under s. 48.62 and for kinship care under s. 48.57 (3m), the department shall
9allocate $141,277,600 in fiscal year 1995-96 and $132,968,700 in fiscal year
101996-97.
AB591,66,1711 (d) Public assistance administration and medical assistance eligibility
12determination.
For payment distribution under s. 49.52 (1) 49.33 for county
13administration of public assistance benefits and medical assistance eligibility
14determination, for payments to American Indian tribes for administration of public
15assistance benefits, and for fraud investigation and error reduction under s. 49.197
16(1m) and (4), the department shall allocate $28,189,100 in fiscal year 1995-96 and
17$28,864,400 in fiscal year 1996-97.
AB591,66,2318 (f) Learnfare; job opportunities and basic skills program; food stamp
19employment and training; parental responsibility pilot program.
For the learnfare
20program under s. 49.50 (7) 49.26 (1), the job opportunities and basic skills program
21under s. 49.193, the food stamp employment and training project under s. 49.124 and
22the parental responsibility pilot program under s. 49.25, the department shall
23allocate $25,045,800 in fiscal year 1995-96 and $26,447,100 in fiscal year 1996-97.
AB591,67,3
1(g) Learnfare case management. For case management for learnfare pupils
2under s. 46.62 49.26 (2), the department shall allocate $1,289,300 in fiscal year
31995-96 and $1,309,500 in fiscal year 1996-97.
AB591,67,7 4(2) Transfer of funds. With the approval of the secretary of administration,
5the department may use up to 30% of the amounts required to be allocated under any
6paragraph under sub. (1) for any other purpose described under sub. (1) (a) to (g) (h)
7in each fiscal year.
AB591, s. 84 8Section 84. 49.19 (4e) (a) of the statutes is amended to read:
AB591,67,159 49.19 (4e) (a) Except as provided in par. (b), if If a person applying for aid is
10under 18 years of age, has never married and is pregnant or has a dependent child
11in his or her care, the person is not eligible for aid unless he or she lives in a place
12maintained by his or her parent, legal guardian or other adult relative as the
13parent's, guardian's or other adult relative's own home or lives in a foster home,
14treatment foster home, maternity home or other supportive living arrangement
15supervised by an adult.
AB591, s. 85 16Section 85. 49.19 (4e) (c) of the statutes is created to read:
AB591,67,2117 49.19 (4e) (c) The department shall request a waiver from the secretary of the
18federal department of health and human services to require, without exception, that
19a person applying for aid who is under 18 years of age, has never married and is
20pregnant or has a dependent child in his or her care meet the requirements of par.
21(a). If a waiver is granted and in effect, par. (b) does not apply.
AB591, s. 86 22Section 86. 49.19 (11) (a) 1. a. (intro.) of the statutes, as affected by 1995
23Wisconsin Act 12
, is amended to read:
AB591,68,324 49.19 (11) (a) 1. a. (intro.) Except as provided in subs. (11m) and (11s), monthly
25payments made under s. 20.435 (4) (d) (dz) and (p) to persons or to families with

1dependent children shall be based on family size and shall be at 80% of the total of
2the allowances under subds. 2. and 4. plus the following standards of assistance
3beginning on September 1, 1987:
AB591, s. 87 4Section 87. 49.19 (11) (a) 1. a. (intro.) of the statutes, as affected by 1995
5Wisconsin Acts 12, 27 and .... (this act), is repealed and recreated to read:
AB591,68,106 49.19 (11) (a) 1. a. (intro.) Except as provided in subs. (11m) and (11s), monthly
7payments made under s. 20.445 (3) (dz) and (p) to persons or to families with
8dependent children shall be based on family size and shall be at 80% of the total of
9the allowances under subds. 2. and 4. plus the following standards of assistance
10beginning on September 1, 1987:
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