SB567: Bill Text

LRB-1335/1

JEO:skg:jlb

1995 - 1996 LEGISLATURE

1995 Senate BILL 567

February 21, 1996 - Introduced by Senators Zien, Cowles, Buettner and Schultz, cosponsored by Representatives Vrakas, Freese, Grothman, Green, Lehman, Musser and Plombon. Referred to Committee on Human Resources, Labor, Tourism, Veterans and Military Affairs.

SB567,1,8 An Act to repeal 77.22 (2) (c), 77.22 (2) (d), 101.122 (6) and 101.122 (6r); to amend 101.122 (4) (a), 101.122 (7) (d) and 706.05 (12); and to create 101.122 (3) (c), 101.122 (8) and 101.122 (9) of the statutes; relating to: eliminating the rental unit energy efficiency requirements, compliance with existing stipula tions relating to the rental unit energy efficiency requirements, creating a pro cedure for issuing citations to certain persons who fail to comply with existing stipulations relating to the rental unit energy efficiency requirements and granting rule-making authority.

Analysis by the Legislative Reference Bureau

Under current law, the department of industry, labor and human relations (DILHR) administers a rental unit energy efficiency program. Under the program, DILHR promulgates rules establishing minimum energy efficiency standards for certain rental units. No owner of a rental unit covered by the standards may transfer ownership of the rental unit unless a DILHR inspector or an inspector approved by DILHR certifies that a rental unit meets the minimum energy efficiency standards established by DILHR. The requirement for certification that a rental unit covered by the minimum energy efficiency standards meets the standards does not apply if: 1) the inspector waives the requirement because the rental unit is scheduled for de molition within 2 years of the transfer of ownership; or 2) the new owner of the rental unit and DILHR or the city, village or town in which the rental unit is located enter into a stipulation that provides that the owner will bring the rental unit into com pliance with the minimum energy efficiency standards no later than 12 months after the date of the first transfer of the rental unit after the standards take effect. Current law provides penalties for violation of various statutory provisions relating to the rental unit energy efficiency program. One of the penalties provides that a person who fails to comply with the requirements of such a stipulation may be required to forfeit not more than $500.

Also, under current law a real estate transfer fee form must be filed at the time a legal document conveying property is submitted to the register of deeds for record ing. On that form, the parties to the change of ownership of the property must indi cate whether the property is subject to the rental unit energy efficiency certification requirement, whether the requirement has been waived because of scheduled de molition, whether a stipulation regarding compliance has been entered into, or whether the rental unit energy efficiency program does not apply to the property. Every legal document that conveys an interest in real property and that is offered for recording must be accompanied by the real estate transfer fee form and, if the property is subject to the rental unit energy efficiency certification requirement, by a copy of the certification, of the waiver of that certification due to scheduled demoli tion or of a stipulation regarding compliance.

This bill sunsets the rental unit energy efficiency program on the day that the bill takes effect. Thus, under the bill, a transfer of the ownership of a rental unit that occurs anytime after the day the bill takes effect does not have to be certified as meet ing the rental unit energy efficiency standards, nor does the owner of a rental unit that does not meet the rental unit energy efficiency standards have either to seek a waiver based on demolition or enter into a stipulation agreeing to bring the rental unit into compliance with the standards. The bill also eliminates the requirements that: 1) a real estate transfer fee form indicate whether the requirements of the rent al unit energy efficiency program have been met, whether there has been a waiver or stipulation or whether the requirements do not apply; and 2) a legal instrument offered for recording have attached to it a copy of the certification, waiver or stipula tion required under the program.

In addition, the bill establishes a citation procedure for enforcing stipulations that were entered into before the sunset of the requirements of the rental unit energy efficiency program. Under the citation procedure, DILHR or a city, village or town that is party to a stipulation may issue a citation to any person who has not complied with a stipulation. A citation may be issued once the person is one month past the date for compliance specified in the stipulation. A citation issued under the bill does not relieve the person from complying with the stipulation, and a person may be charged with multiple violations if each violation covers a period of at least 90 consec utive days of continued failure to comply and if there is no overlap between periods.

Under the bill, a citation specifies a date on which the person who has been is sued the citation should appear in court to contest or plead no contest to the citation. The citation also specifies that the person may, without appearing in court, make a deposit of money in an amount set in a schedule by DILHR and may in writing plead no contest to the citation, in which case the money deposited is forfeited as a penalty for the noncompliance with the stipulation. If a person issued a citation pays a depos it but neither enters a written plea of no contest nor appears in court on the date spe cified in the citation, the court may either: a) consider the nonappearance as a no contest plea and order the deposit forfeited as a penalty for the noncompliance; or 2) refuse to accept forfeiture of the deposit and require the issuance of a summons or an arrest warrant for the person. A person who fails to appear in court and whose nonappearance is considered by the court to be a no contest plea may, within 90 days of the date of the court appearance, withdraw the plea and contest the citation if the court finds that the person's failure to appear was due to mistake, inadvertence, sur prise or excusable neglect.

For further information see the state and local 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:

SB567, s. 1 Section 1. 77.22 (2) (c) of the statutes is repealed.

SB567, s. 2 Section 2. 77.22 (2) (d) of the statutes is repealed.

SB567, s. 3 Section 3. 101.122 (3) (c) of the statutes is created to read:

SB567,3,6 101.122 (3) (c) Enforce stipulations entered into under sub. (4) (c) before the effective date of this paragraph .... [revisor inserts date], by use of the citation proce dure under sub. (8).

SB567, s. 4 Section 4. 101.122 (4) (a) of the statutes is amended to read:

SB567,3,13 101.122 (4) (a) The rules adopted under sub. (2) (a) shall take effect on the first day of the 24th month after adoption of the rules. After the rules take effect, except as provided under pars. (b) and (c) and sub. (9), no owner may transfer a rental unit unless, within the previous 5 years, an inspector has inspected the unit and has is sued a certificate stating that the unit satisfies applicable standards under sub. (2) (a) 1. or 2.

SB567, s. 5 Section 5. 101.122 (6) of the statutes is repealed.

SB567, s. 6 Section 6. 101.122 (6r) of the statutes is repealed.

SB567, s. 7 Section 7. 101.122 (7) (d) of the statutes is amended to read:

SB567,4,7 101.122 (7) (d) Stipulation. Any person who fails to comply with the require ments of a stipulation under sub. (4) (c) may be issued a citation under sub. (8) and required to forfeit not more than $500 per dwelling unit. A person may be charged with multiple violations under this paragraph if each violation covers a period of at least 90 consecutive days of continued failure to comply, if there is no overlap between periods and if each period begins after the date by which a rental unit was to have been brought into compliance.

SB567, s. 8 Section 8. 101.122 (8) of the statutes is created to read:

SB567,4,15 101.122 (8) Citation procedure. (a) 1. If a person fails to bring a rental unit covered by a stipulation under sub. (4) (c) into compliance with the requirements of the stipulation by the date specified in the stipulation, the department or the city, village or town which entered into the stipulation with the person may, anytime after the first day of the 13th month beginning after the date of the transfer of the rental unit, proceed under this subsection to recover a forfeiture, penalty assessment and jail assessment under sub. (7) (d).

SB567,4,18 2. All actions to recover a forfeiture, penalty assessment and jail assessment under this subsection are civil actions in the name of the state of Wisconsin and shall be heard in the circuit court for the county where the rental unit is located.

SB567,4,20 (b) The form of a citation issued under this subsection shall provide for the fol lowing:

SB567,4,21 1. The name and address of the alleged violator.

SB567,4,22 2. The name and department of the issuing department deputy or official.

SB567,5,4 3. The location, including the street address, of the rental unit to which the stip ulation under sub. (4) (c) applies, the date by which the rental unit covered by the requirements of the stipulation was to have been brought into compliance, a state ment that the alleged violator has failed to bring the rental unit into compliance, the statute or administrative rule violated and a description of the failure to comply with the stipulation in language which can be readily understood by a person making a reasonable effort to do so.

SB567,5,6 4. The maximum forfeiture, penalty assessment and jail assessment for which the alleged violator might be found liable.

SB567,5,7 5. A date, time and place for the court appearance, and a notice to appear.

SB567,5,8 6. Provisions for deposit and stipulation in lieu of a court appearance.

SB567,5,18 7. Notice that if the alleged violator makes a deposit and fails to appear in court at the time fixed in the citation, the alleged violator will be considered to have ten dered a plea of no contest and submitted to a forfeiture, penalty assessment and jail assessment plus costs, including any applicable fees prescribed in ch. 814, not to ex ceed the amount of the deposit. The notice shall also state that the court may decide to summon the alleged violator rather than accept the deposit and plea, that making a deposit obligates the alleged violator to bring the rental unit into compliance with the requirements of the stipulation under sub. (4) (c) and that continued failure to bring the rental unit into compliance may result in the issuance of additional cita tions.

SB567,6,4 8. Notice that if the alleged violator makes a deposit and signs the citation, the alleged violator will be considered to have tendered a plea of no contest and sub mitted to a forfeiture, penalty assessment and jail assessment plus costs, including any applicable fees prescribed in ch. 814, not to exceed the amount of the deposit. The notice shall also state that the court may decide to summon the alleged violator rather than accept the deposit and signed citation, that the alleged violator may, at any time before or at the time of the court appearance date, move the court for relief from the effects of signing the citation, that making a deposit and signing the citation obligates the alleged violator to bring the building into compliance with the require ments of the stipulation under sub. (4) (c) and that continued failure to bring the rent al unit into compliance may result in the issuance of additional citations.

SB567,6,6 9. Notice that the alleged violator may, either in person or by certified mail, en ter a plea of not guilty and request a trial.

SB567,6,9 10. Notice that if the alleged violator does not make a deposit and fails to appear in court at the time fixed in the citation, the court may issue a summons or an arrest warrant.

SB567,6,13 11. Notice that if the alleged violator completes any work necessary to comply with the requirements of the stipulation under sub. (4) (c) the department or the city, village or town may request the court to reduce the amount of or waive the requested forfeiture.

SB567,6,14 12. Any other pertinent information.

SB567,6,17 (c) 1. If a court requires an alleged violator to be summoned under pars. (i) and (j), the summons shall be in the form specified under subd. 2. and shall be accompa nied by a complaint in the form specified in subd. 3.

SB567,6,18 2. A summons shall contain all of the following:

SB567,6,20 a. The title of the cause, specifying the name of the court and county in which the action is brought and the names of all parties to the action.

SB567,6,23 b. A direction summoning and requiring the alleged violator to appear in a spe cified court on a particular date not less than 10 days following service of the sum mons to answer the accompanying complaint.

SB567,7,3 c. A notice that in case of failure to appear, judgment may be rendered against the alleged violator according to the demand of the complaint, or the court may issue a warrant for the alleged violator's arrest.

SB567,7,7 3. A complaint shall contain sufficient information to provide probable cause to believe that the alleged violator has not complied with the requirements of a stipu lation under sub. (4) (c). The complaint shall accompany the summons and shall con tain the information set forth in par. (b) 1. and 2. and all of the following:

SB567,7,9 a. The title of the cause, specifying the name of the court and county in which the action is brought and the names and addresses of the parties to the action.

SB567,7,15 b. A plain and concise statement of the alleged violator's failure to comply with the requirements of a stipulation under sub. (4) (c) and showing that the plaintiff is entitled to relief, the statute upon which the cause of action is based and a demand for a forfeiture, the amount of which shall not exceed the maximum set by the statute involved, a penalty assessment, a jail assessment and any other relief that is sought by the plaintiff.

SB567,7,17 c. In an action against a corporation the complaint must state that the alleged violator is a corporation and state whether it is a domestic or foreign corporation.