AB892,1,15 1An Act to repeal 157.065 (1) (b) 6., 157.065 (1) (b) 7., 442.06 and 452.12 (2) (b);
2to renumber 440.01 (1) (a); to amend 440.05 (intro.), 440.08 (2) (a) (intro.),
3440.08 (2) (a) 3., 440.08 (2) (a) 66., 440.26 (2) (a) 1., 440.26 (2) (b), 440.26 (4),
4440.42 (5) (a) 5., 440.47 (5), 440.48 (1) (e), 440.91 (1), 440.93 (1) (intro.), 442.02
5(5m) (a), 442.02 (5m) (b), 442.02 (6), 442.02 (7), 442.02 (9), 442.03 (1), 442.03 (2),
6442.03 (3), 442.07 (2), 442.07 (3), 442.08, 442.10 (1), 442.10 (2), 442.11 (2),
7442.11 (3), 442.11 (4), 442.11 (8), 442.11 (13), 442.12 (3), 442.13, 443.08 (title),
8443.08 (1), 443.08 (2), 443.08 (4) (a), 443.08 (4) (b), 443.08 (5), 443.08 (6), 443.11
9(2), 443.14 (4), 443.15 (2), 445.01 (8), 445.105 (4), 448.08 (1), 448.08 (2), 452.09
10(1) (b), 452.09 (1) (d), 452.09 (1) (e), 452.10 (1), 452.12 (2) (a), 452.12 (2) (c),
11452.133 (3) (b), 452.14 (4), 452.22 (2), 458.22, 459.02 (2), 480.01 (3) (b) and
12480.08 (3) (c); to repeal and recreate 440.47 (5); and to create 157.065 (1) (b)
136m., 440.01 (1) (ag), 440.01 (1) (ah) and 440.92 (6) (b) 1m. of the statutes; relat
14ing to:
authorizing the department of regulation and licensing to regulate and
15license certain business entities for certain occupations.
Analysis by the Legislative Reference Bureau
Under current law, the department of regulation and licensing (DORL) and the
examining boards and affiliated credentialing boards attached to DORL regulate

individuals and business entities that engage in a variety of occupations and profes
sions. If a business entity must obtain a credential to engage in a particular occupa
tion or profession, at least one individual involved in that business entity (such as
an officer, partner or director) must have the credential that is required for individu
als who engage in that occupation or profession. Generally, if a business entity must
have a credential to engage in an occupation or profession, current law allows the
business entity to use any form of business organization permitted under state law.
However, current law sometimes uses language that limits the organizational form
of regulated business entities to certain organization forms, such as partnerships
and corporations, thus prohibiting the business entity from organizing itself, for ex
ample, as a limited liability company.
This bill explicitly permits business entities regulated by DORL or an examin
ing board or affiliated credentialing board to use any form of business organization
permitted under state law. The bill defines "business entity" to mean any organiza
tion or enterprise, other than a sole proprietorship, which is operated for profit or
that is nonprofit and nongovernmental, including an association, business trust, cor
poration, joint venture, limited liability company, limited liability partnership, part
nership or syndicate. The bill also specifies that, when at least one individual in
volved in that business entity must have a credential, that individual must be a
"business representative" of the business entity. The bill defines "business represen
tative" to mean a director, manager, member, officer, owner or partner of a business
entity.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB892, s. 1 1Section 1. 157.065 (1) (b) 6. of the statutes is repealed.
AB892, s. 2 2Section 2. 157.065 (1) (b) 6m. of the statutes is created to read:
AB892,2,33 157.065 (1) (b) 6m. A business entity, as defined in s. 440.01 (1) (ag).
AB892, s. 3 4Section 3. 157.065 (1) (b) 7. of the statutes is repealed.
AB892, s. 4 5Section 4. 440.01 (1) (a) of the statutes is renumbered 440.01 (1) (ar).
AB892, s. 5 6Section 5. 440.01 (1) (ag) of the statutes is created to read:
AB892,3,27 440.01 (1) (ag) "Business entity" means any organization or enterprise, other
8than a sole proprietorship, which is operated for profit or that is nonprofit and non

1governmental, including an association, business trust, corporation, joint venture,
2limited liability company, limited liability partnership, partnership or syndicate.
AB892, s. 6 3Section 6. 440.01 (1) (ah) of the statutes is created to read:
AB892,3,54 440.01 (1) (ah) "Business representative" means a director, manager, member,
5officer, owner or partner of a business entity.
AB892, s. 7 6Section 7. 440.05 (intro.) of the statutes, as affected by 1995 Wisconsin Act 27,
7is amended to read:
AB892,3,10 8440.05 Standard fees. (intro.) The following standard fees apply to all initial
9credentials, except as provided in ss. 440.42, 440.43, 440.44, 440.51, 442.06, 444.03,
10444.05, 444.11, 449.17, 449.18 and 459.46:
AB892, s. 8 11Section 8. 440.08 (2) (a) (intro.) of the statutes, as affected by 1995 Wisconsin
12Act 27
, section 6479, is amended to read:
AB892,3,1513 440.08 (2) (a) (intro.) Except as provided in par. (b) and in ss. 440.51, 442.04,
14442.06, 444.03, 444.05, 444.11, 448.065, 449.17, 449.18 and 459.46, the renewal
15dates and renewal fees for credentials are as follows:
AB892, s. 9 16Section 9. 440.08 (2) (a) 3. of the statutes, as affected by 1995 Wisconsin Act
1727
, is amended to read:
AB892,3,1918 440.08 (2) (a) 3. Accounting corporation or partnership business entity: Janu
19ary 1 of each even-numbered year; $41.
AB892, s. 10 20Section 10. 440.08 (2) (a) 66. of the statutes, as affected by 1995 Wisconsin Act
2127
, is amended to read:
AB892,3,2322 440.08 (2) (a) 66. Real estate corporation or partnership business entity: Janu
23ary 1 of each odd-numbered year; $72.
AB892, s. 11 24Section 11. 440.26 (2) (a) 1. of the statutes is amended to read:
AB892,4,7
1440.26 (2) (a) 1. A private detective agency license may be issued to an individu
2al, partnership, limited liability company or corporation or to a business entity. An
3individual, the members of a partnership or limited liability company and the offi
4cers or directors of a corporation, having
who has a private detective agency license,
5or a business representative of a business entity that has
a private detective agency
6license, are is not required to have a private detective license unless actually engaged
7in the work of a private detective.
AB892, s. 12 8Section 12. 440.26 (2) (b) of the statutes is amended to read:
AB892,4,149 440.26 (2) (b) Applications. The department shall prescribe forms for original
10and renewal applications. A partnership or limited liability company business entity
11application shall be executed by all members of the partnership or limited liability
12company. A corporate application shall be executed by the secretary and the presi
13dent or vice president and, in addition, in the case of a foreign corporation, by the reg
14istered agent
a business representative of the business entity.
AB892, s. 13 15Section 13. 440.26 (4) of the statutes is amended to read:
AB892,4,2216 440.26 (4) Bonds or liability policies required. No license may be issued un
17der this section until a bond or liability policy, approved by the department, in the
18amount of $10,000 if the applicant for the license is an agency and includes all princi
19pals, partners, members or corporate officers
business representatives, or in the
20amount of $2,000 if the applicant is a private detective, has been executed and filed
21with the department. Such bonds or liability policies shall be furnished by an insurer
22authorized to do a surety business in this state in a form approved by the department.
AB892, s. 14 23Section 14. 440.42 (5) (a) 5. of the statutes is amended to read:
AB892,5,3
1440.42 (5) (a) 5. An educational institution and its authorized charitable
2foundations which solicit contributions only from its students and their families,
3alumni, faculty, trustees, corporations business entities, foundations and patients.
AB892, s. 15 4Section 15. 440.47 (5) of the statutes is amended to read:
AB892,5,195 440.47 (5) Substitute service upon secretary of state. A charitable organiza
6tion, fund-raising counsel, professional fund-raiser or commercial coventurer that
7has its principal place of business outside of this state or is organized under laws oth
8er than the laws of this state and that is subject to this subchapter shall be considered
9to have irrevocably appointed the secretary of state as its agent for the service of pro
10cess or notice directed to the charitable organization, fund-raising counsel, profes
11sional fund-raiser or commercial coventurer or to any of its partners, principal offi
12cers or directors
business representatives in an action or proceeding brought under
13this subchapter. Service of process or notice upon the secretary of state shall be made
14by personally delivering to and leaving with the secretary of state a copy of the pro
15cess or notice. That service shall be sufficient service if the secretary of state immedi
16ately sends notice of the service and a copy of the process or notice to the charitable
17organization, fund-raising counsel, professional fund-raiser, commercial coventur
18er or other person to whom it is directed by registered mail, with return receipt re
19quested, at the last address known to the secretary of state.
AB892, s. 16 20Section 16. 440.47 (5) of the statutes, as affected by 1995 Wisconsin Acts 27
21and .... (this act), is repealed and recreated to read:
AB892,6,1222 440.47 (5) Substitute service upon department of financial institutions. A
23charitable organization, fund-raising counsel, professional fund-raiser or commer
24cial coventurer that has its principal place of business outside of this state or is orga
25nized under laws other than the laws of this state and that is subject to this sub

1chapter shall be considered to have irrevocably appointed the department of
2financial institutions as its agent for the service of process or notice directed to the
3charitable organization, fund-raising counsel, professional fund-raiser or commer
4cial coventurer or to any of its business representatives in an action or proceeding
5brought under this subchapter. Service of process or notice upon the department of
6financial institutions shall be made by personally delivering to and leaving with the
7department of financial institutions a copy of the process or notice. That service shall
8be sufficient service if the department of financial institutions immediately sends no
9tice of the service and a copy of the process or notice to the charitable organization,
10fund-raising counsel, professional fund-raiser, commercial coventurer or other per
11son to whom it is directed by registered mail, with return receipt requested, at the
12last address known to the department of financial institutions.
AB892, s. 17 13Section 17. 440.48 (1) (e) of the statutes is amended to read:
AB892,6,1814 440.48 (1) (e) No charitable organization may indemnify an officer, employe or
15director
a business representative for any costs, fees, restitution or forfeitures as
16sessed against that individual by the court under par. (b), (c) or (d) unless the court
17determines that the individual acted in good faith and reasonably believed the con
18duct was in or not opposed to the best interests of the charitable organization.
AB892, s. 18 19Section 18. 440.91 (1) of the statutes is amended to read:
AB892,6,2520 440.91 (1) Except as provided in sub. (6m), every cemetery authority that sells
21or solicits the sale of a total of 10 or more cemetery lots or mausoleum spaces during
22a calendar year and that pays any commission or other compensation to any person
23for selling or soliciting the sale of its cemetery lots or mausoleum spaces shall register
24with the department. The registration shall be in writing and shall include the
25names of all of the officers business representatives of the cemetery authority.
AB892, s. 19
1Section 19. 440.92 (6) (b) 1m. of the statutes is created to read:
AB892,7,52 440.92 (6) (b) 1m. If the preneed seller is a business entity other than a corpora
3tion specified in subd. 1., the name, residence address and business address of each
4business representative who beneficially owns or has the power to vote 5% or more
5of any interest in a business entity.
AB892, s. 20 6Section 20. 440.93 (1) (intro.) of the statutes is amended to read:
AB892,7,147 440.93 (1) (intro.) The department may reprimand a registrant or deny, limit,
8suspend or revoke a certificate of a cemetery authority, cemetery salesperson or pre
9need seller if it finds that the applicant or registrant has done any of the following,
10or, if the applicant or registrant, is an association, partnership, limited liability com
11pany or corporation
a business entity. that any officer, director, trustee, member or
12shareholder
business representative who beneficially owns, holds or has the power
13to vote 5% or more of any class of security issued by the interest in the applicant or
14registrant, has done any of the following:
AB892, s. 21 15Section 21. 442.02 (5m) (a) of the statutes is amended to read:
AB892,7,2016 442.02 (5m) (a) Who signs or affixes his or her name or any trade or assumed
17name used by the person in his or her business or profession to an opinion or certifi
18cate attesting to the reliability of any representation or estimate in regard to any per
19son, business entity or organization embracing financial information, financial
20transactions or accounting records.
AB892, s. 22 21Section 22. 442.02 (5m) (b) of the statutes is amended to read:
AB892,8,222 442.02 (5m) (b) This subsection does not prohibit any officer, employe, partner
23or principal business representative of any organization business entity or any sole
24proprietor
from affixing his or her signature to any statement or report in reference
25to the affairs of that organization with any wording designating the position, title or

1office which he or she holds in that organization. This subsection does not prohibit
2any act of a public official or public employe in the performance of his or her duties.
AB892, s. 23 3Section 23. 442.02 (6) of the statutes is amended to read:
AB892,8,74 442.02 (6) Every member of a partnership and every officer and director busi
5ness representative
of a corporation business entity who, in such capacity, does any
6of the things enumerated in subs. (1) to (5m), shall be deemed to be in practice as a
7public accountant.
AB892, s. 24 8Section 24. 442.02 (7) of the statutes is amended to read:
AB892,8,179 442.02 (7) Nothing contained in this chapter shall prevent the employment by
10a certified public accountant, or by a public accountant, or by a firm or corporation
11business entity, furnishing public accounting services as principal, of persons to
12serve as accountants in various capacities, as needed; provided, that such persons
13work under the control and supervision of certified public accountants or accoun
14tants with certificates of authority as hereinafter provided, that such employes shall
15not issue any statements or reports over their own names except such office reports
16to their employer as are customary and that such employes are not in any manner
17held out to the public as public accountants as described in this chapter.
AB892, s. 25 18Section 25. 442.02 (9) of the statutes is amended to read:
AB892,8,2519 442.02 (9) Nothing contained in this chapter shall apply to any persons who
20may be employed by more than one person, partnership or corporation, business enti
21ty
for the purpose of keeping books, making trial balances or statements, and prepar
22ing audits or reports, provided such audits or reports are not used or issued by the
23employers as having been prepared by a public accountant and provided such per
24sons do not do any of the things enumerated in sub. (5m) (a), without complying with
25sub. (5m) (b).
AB892, s. 26
1Section 26. 442.03 (1) of the statutes is amended to read:
AB892,9,92 442.03 (1) No person may lawfully practice in this state as a certified public
3accountant either in the person's own name, or as an employe, or under an assumed
4name, or as an officer, member a business representative or employe of a firm, or as
5an officer or employe of a corporation
business entity or sole proprietorship, unless
6the person has been granted by the examining board a certificate as a certified public
7accountant, and unless the person, firm or corporation jointly and severally, has and
8the business entity have
complied with all of the provisions of this chapter, including
9licensure.
AB892, s. 27 10Section 27. 442.03 (2) of the statutes is amended to read:
AB892,9,1811 442.03 (2) No person may lawfully practice in this state as a public accountant
12either in the person's own name, or as an employe or under an assumed name, or as
13an officer, a business representative or employe or member of a firm, or as an officer
14or employe of a corporation
business entity or sole proprietorship, unless the person
15has been granted by the examining board a certificate of authority as a public accoun
16tant and unless the person, firm or corporation, jointly and severally, has and the
17business entity have
complied with all of the provisions of this chapter, including li
18censure.
AB892, s. 28 19Section 28. 442.03 (3) of the statutes is amended to read:
AB892,9,2420 442.03 (3) No corporation or other business entity and no officer, partner, stock
21holder
business representative or employe thereof may lawfully practice in this state
22as a public accountant or a certified public accountant either in the entity's or per
23son's name, or as an employe or under an assumed name, unless the natural person
24has been granted by this examining board a certificate of authority as a public

1accountant and unless the person or entity, jointly and severally, has and the busi
2ness entity have
complied with all the provisions of this chapter, including licensure.
AB892, s. 29 3Section 29. 442.06 of the statutes is repealed.
AB892, s. 30 4Section 30. 442.07 (2) of the statutes is amended to read:
AB892,10,135 442.07 (2) No person may practice in this state as a certified public accountant
6or a public accountant, either in the person's name, under an assumed name, or as
7a member business representative or employe of a partnership business entity, ex
8cept as provided in s. 442.02 (10), unless the person has been granted a certificate
9by the examining board and secured a license for the current licensure period. No
10person may practice in this state as a public accountant, as an officer or director a
11business representative
of a corporation business entity engaged in the practice of
12public accounting, unless the corporation business entity, other than a sole propri
13etorship,
has secured a license for the current licensure period.
AB892, s. 31 14Section 31. 442.07 (3) of the statutes is amended to read:
AB892,11,415 442.07 (3) Any partnership, which business entity that is entitled to practice
16as a certified public accountant or as certified public accountants in this state or any
17other state, every resident member business representative and resident manager
18of which is a certified public accountant of this state, after registering the partner
19ship
business entity name with the examining board, may use the designation "certi
20fied public accountant" or
"certified public accountants" in connection with the part
21nership
business entity name. Any partnership business entity, every member
22business representative and resident manager of which is a certified public accoun
23tant of this state or any other state or holds a certificate of authority under this chap
24ter, after registering the partnership business entity name with the examining
25board, may use the designation "public accountant" or "public accountants" in con

1nection with the partnership business entity name. An assumed name, in use prior
2to September 21, 1935, may be used the same as a partnership name, provided the
3individual persons practicing as principals under that name hold certificates
4granted by the examining board and register the name with the examining board.
AB892, s. 32 5Section 32. 442.08 of the statutes is amended to read:
AB892,11,12 6442.08 Licensure. Upon application by a holder of an unrevoked Wisconsin
7certificate as a certified public accountant or an unrevoked Wisconsin certificate of
8authority as provided for in this chapter, the department shall issue a license to the
9holder. A license shall also be issued to any partnership or corporation business enti
10ty
, upon application, which has complied with this chapter. The renewal date and
11renewal fee for licenses issued under this chapter are specified under s. 440.08 (2)
12(a).
AB892, s. 33 13Section 33. 442.10 (1) of the statutes is amended to read:
AB892,11,2514 442.10 (1) Whenever any person, as a certified public accountant or public ac
15countant, signs or certifies any report, schedule or statement relative to the affairs
16of any corporation, association or partnership business entity in which the person is
17financially interested or by which the person is regularly engaged as an officer a busi
18ness representative
or employe, the signature or certification shall be accompanied
19by a specific statement setting forth the fact that the person is financially interested
20in or is an officer a business representative or regular employe of the corporation,
21association or partnership
business entity. If the person is both financially inter
22ested and an officer a business representative or regular employe, the statement
23shall cover both financial interest and employment. In the case of a corporation hold
24ing a certificate of authority signing or certifying as above, the interest of any of its
25stockholders shall be disclosed.
AB892, s. 34
1Section 34. 442.10 (2) of the statutes is amended to read:
AB892,12,92 442.10 (2) Notwithstanding sub. (1), no person licensed under this chapter, and
3no firm business entity of which the person is a partner or shareholder business rep
4resentative
, may express an opinion as an independent certified public accountant
5on financial statements of any enterprise unless the person and the firm business
6entity
are independent of the enterprise. The requirement for independence under
7this subsection also extends to the spouse of such a person and to other relatives hav
8ing a financial or business relationship with the enterprise which, in the opinion of
9the examining board, may impair independence.
AB892, s. 35 10Section 35. 442.11 (2) of the statutes is amended to read:
AB892,12,1611 442.11 (2) Who, when practicing under an assumed name, or as a member busi
12ness representative
of a partnership business entity, other than one which is regis
13tered under s. 442.07 as composed of certified public accountants, or as an officer a
14business representative
of a corporation business entity, announces, either in writ
15ing or by printing, that the assumed name, partnership or corporation business enti
16ty
is practicing as a certified public accountant; or
AB892, s. 36 17Section 36. 442.11 (3) of the statutes is amended to read:
AB892,12,2118 442.11 (3) Who, as a member of a partnership business entity, announces, ei
19ther in writing or by printing, that the partnership business entity is practicing as
20"public accountant" or "public accountants" unless the partnership business entity
21is registered as such under s. 442.07; or
AB892, s. 37 22Section 37. 442.11 (4) of the statutes is amended to read:
AB892,13,223 442.11 (4) Who, as an officer a business representative of a corporation busi
24ness entity
, permits it to practice as a public accountant unless it is registered with

1the examining board, and holds an unrevoked certificate of authority from the ex
2amining board; or
AB892, s. 38 3Section 38. 442.11 (8) of the statutes is amended to read:
AB892,13,84 442.11 (8) Who shall as an individual, or, as a member of a partnership or as
5an officer or director
business representative of a corporation business entity, prac
6tice or permit the partnership or corporation business entity to practice as a certified
7public accountant or as a public accountant unless a license has been secured for the
8current licensure period; or
AB892, s. 39 9Section 39. 442.11 (13) of the statutes is amended to read:
AB892,13,1610 442.11 (13) Who shall, as an individual, or as a member business representa
11tive or employe
of a partnership or as an officer of a corporation business entity, per
12mit to be announced by printed or written statement that any report, certificate, ex
13hibit, schedule or statement has been prepared by or under supervision of a certified
14public accountant or by or under supervision of a public accountant when the person
15who prepared the same was not such certified public accountant or public accoun
16tant.
AB892, s. 40 17Section 40. 442.12 (3) of the statutes is amended to read:
AB892,13,2318 442.12 (3) In the case of a corporation or a partnership business entity, revoke,
19limit or suspend the license of the partnership or corporation business entity, or rep
20rimand it, if it is found that any officer, director or member business representative
21or employe
has been guilty of such act or omission as would be cause for revoking,
22limiting or suspending a certificate or license to the person as an individual or for
23reprimanding the person.
AB892, s. 41 24Section 41. 442.13 of the statutes is amended to read:
AB892,14,11
1442.13 Ownership of accountant's working papers. All statements, re
2cords, schedules, working papers and memoranda made by a certified public accoun
3tant or public accountant incident to or in the course of professional service to clients
4by such accountant, except reports submitted by a certified public accountant or pub
5lic accountant to a client, shall be and remain the property of such accountant, in the
6absence of an express agreement between such accountant and the client to the con
7trary. No such statement, record, schedule, working paper or memorandum shall
8be sold, transferred or bequeathed, without the consent of the client or the client's
9personal representative or assignee, to anyone other than one or more a surviving
10partners business entity or new or a successor partners of such accountant business
11entity
.
AB892, s. 42 12Section 42. 443.08 (title) of the statutes is amended to read:
AB892,14,14 13443.08 (title) Registration requirement: firms, partnerships and corpo
14rations
business entities.
AB892, s. 43 15Section 43. 443.08 (1) of the statutes is amended to read:
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