SB529: Bill Text

SB529,2,4 1m. "End user" has the meaning given in s. 196.378 (1) (b).

SB529,3,1 2. "Low-income household" has the meaning given in s. 16.006 (1) (b).

SB529,3,4 (b) There is created a low-income energy board that is attached to the department of administration under s. 15.03. The board shall consist of the following members appointed for 3-year terms:

SB529,3,7 1. Four residential end users of electric or gas providers. At least 2 of the members appointed under this subdivision shall be members of low-income households or organizations that represent the interests of low-income households.

SB529,3,8 2. Two nonresidential end users of electric or gas providers.

SB529,3,11 3. Five representatives, directors or officers of electric or gas providers or retailers or wholesalers of electric or gas service who are not public utilities, as defined in s. 196.01 (5).

SB529, s. 2 Section 2. 16.006 of the statutes is created to read:

SB529,3,13 16.006 Low-income energy board. (1) In this section:

SB529,3,14 (a) "Board" means the low-income energy board.

SB529,3,19 (b) "Low-income household" means any individual or group of individuals who are living together as one economic unit for whom residential energy is customarily purchased in common or who make undesignated payments for energy in the form of rent and whose household income is not more than 150% of the poverty line as determined under 42 USC 9902 (2).

SB529,3,25 (c) "Total funding" means the sum of all moneys received under 42 USC 8621 to 8629 and 42 USC 6861 to 6873 in a fiscal year, contributions specified in s. 196.378 (2) that are collected in that fiscal year, assessments paid under the rules promulgated under s. 196.378 (4m) (a) in that fiscal year and fees specified in s. 168.12 (1c) that are collected in that fiscal year, less the amount used for the board's administrative expenses under sub. (3).

SB529,4,1 (2) The board shall do all of the following:

SB529,4,2 (a) Monitor the effectiveness of the programs under ss. 16.385 and 16.39.

SB529,4,5 (b) In consultation with the advisory body required under 42 USC 6864 (b) (1), establish programs to be administered by the division of housing to provide assistance to low-income households for all of the following:

SB529,4,6 1. Early identification and prevention of energy crises.

SB529,4,7 2. Furnace or boiler replacement or repair.

SB529,4,8 3. Heating assistance, as defined in s. 16.385 (1) (bm).

SB529,4,9 4. Weatherization and energy conservation.

SB529,4,11 (c) In establishing and administering the programs under par. (b), the board shall ensure, in each fiscal year, all of the following:

SB529,4,15 1. That the programs specified in par. (b) 1., 2. and 3. receive from the appropriation under s. 20.505 (4) (t) an amount necessary to ensure that at least 52% of the total funding is used for the programs specified in par. (b) 1., 2. and 3. and s. 16.385.

SB529,4,18 2. That the program specified in par. (b) 4. receives from the appropriation under s. 20.505 (4) (t) an amount necessary to ensure that at least 47% of the total funding is used for the programs specified in par. (b) 4. and s. 16.39.

SB529,4,20 (d) Biennially, determine the amount of resources and types of programs necessary to meet the energy needs of low-income households.

SB529,5,2 (e) In consultation with the advisory body required under 42 USC 6864 (b) (1) and based on a determination under par. (d), recommend additional energy programs and, if necessary, additional funding sources and amounts, that are required to meet the needs of low-income households. The board shall also recommend, based on a determination under par. (d), whether any adjustments to the percentages of total funding specified in par. (c) 1. and 2. are required to meet the needs of low-income households.

SB529,5,7 (f) Annually, on or before May 1, submit to the governor, and to the chief clerk of each house of the legislature for distribution to the legislature under s. 13.172 (2), a report that evaluates the effectiveness of the programs under pars. (a) and (b) and that includes the results of the determination under par. (d) and the recommendations under par. (e).

SB529,5,14 (3) Notwithstanding sub. (2) (b), the board may contract with a community action agency described in s. 46.30 (2) (a) 1., a nonstock, nonprofit corporation organized under ch. 181, a county or a city to administer the programs specified in sub. (2) (b). In each fiscal year, the board may not encumber funds from the appropriation under s. 20.505 (4) (t) for administrative expenses if the amounts encumbered in that fiscal year for administrative expenses exceed 5% of the total expenditures from the appropriation for the fiscal year.

SB529,5,15 (4) The board shall promulgate rules to implement and administer this section.

SB529, s. 3 Section 3. 16.395 of the statutes is created to read:

SB529,5,19 16.395 Low-income energy board programs. Except for programs that are subject to a contract under s. 16.006 (3), the division of housing shall administer the programs under s. 16.006 (2) (b).

SB529, s. 4 Section 4. 20.505 (4) (t) of the statutes is created to read:

SB529,5,23 20.505 (4) (t) Low-income energy fund. From the low-income energy fund, a sum sufficient for the administrative expenses of the low-income energy board and for the establishment and administration of the programs under s. 16.006 (2) (b).

SB529, s. 5 Section 5. 25.17 (1) (jx) of the statutes is created to read:

SB529,5,25 25.17 (1) (jx) Low-income energy fund (s. 25.96);

SB529, s. 6 Section 6. 25.96 of the statutes is created to read:

SB529,6,5 25.96 Low-income energy fund. There is established a separate nonlapsible trust fund designated as the low-income energy fund, consisting of the fee collected under s. 168.12 (1c), the contributions collected under s. 196.378 (2) and the assessments paid under the rules promulgated under s. 196.378 (4m) (a).

SB529, s. 7 Section 7. 168.01 (1m) of the statutes is created to read:

SB529,6,8 168.01 (1m) "Heating oil" means liquid propane or a number 2 technical grade of fuel oil.

SB529, s. 8 Section 8. 168.01 (2) of the statutes, as created by 1997 Wisconsin Act 27, is amended to read:

SB529,6,24 168.01 (2) "Supplier" includes a person who imports, or acquires immediately upon import, petroleum products or heating oil by pipeline or marine vessel from a state, territory or possession of the United States or from a foreign country into a terminal and who is registered under 26 USC 4101 for tax-free transactions in gasoline. "Supplier" also includes a person who produces in this state; or imports into a terminal or bulk plant; or acquires immediately upon import by truck, railcar or barge into a terminal; alcohol or alcohol derivative products. "Supplier" also includes a person who produces, manufactures or refines petroleum products or heating oil in this state. "Supplier" also includes a person who acquires petroleum products or heating oil pursuant to an industry terminal exchange agreement. "Supplier" does not include a retail dealer or wholesaler who merely blends alcohol with gasoline before the sale or distribution of the product and does not include a terminal operator who merely handles in a terminal petroleum products consigned to the terminal operator.

SB529, s. 9 Section 9. 168.12 (1c) of the statutes is created to read:

SB529,7,5 168.12 (1c) (a) Except as provided in subs. (1g) and (1r), the department shall impose a heating oil fee on all heating oil that is received for sale in this state or for sale for export to this state. The fee shall be sufficient to generate in each fiscal year an amount equal to 17% of the difference between $105,000,000 and all moneys received under 42 USC 8621 to 8629 and 42 USC 6861 to 6873 in that fiscal year.

SB529,7,9 (b) The department of revenue shall determine when heating oil is received under this subsection in the same manner that it determines under s. 78.07 when motor vehicle fuel is received. The requirements for payment of the motor vehicle fuel tax under s. 78.12 (5) apply to the fee under this subsection.

SB529, s. 10 Section 10. 168.12 (1g) of the statutes is amended to read:

SB529,7,15 168.12 (1g) The fee under sub. subs. (1) and (1c) is not imposed on petroleum products that are or heating oil shipped from storage at a refinery, marine terminal, pipeline terminal, pipeline tank farm or place of manufacture to a person for storage at another refinery, marine terminal, pipeline terminal, pipeline tank farm or place of manufacture.

SB529, s. 11 Section 11. 168.12 (1r) of the statutes is amended to read:

SB529,7,19 168.12 (1r) The fee under sub. subs. (1) and (1c) is not imposed on petroleum products or heating oil exported from this state by a person who is licensed under sub. (7) or s. 78.09.

SB529, s. 12 Section 12. 168.12 (5) of the statutes is amended to read:

SB529,7,24 168.12 (5) No fee may be charged on a commingled or blended petroleum product or heating oil when such commingling or blending is approved by the inspector as a satisfactory means of disposing of contaminated or substandard products.

SB529, s. 13 Section 13. 168.12 (8) (a), (c) and (d) of the statutes are amended to read:

SB529,8,12 168.12 (8) (a) To protect the revenues of this state, the department of revenue may require any person who is liable to that department for the fee under sub. (1) or (1c) to place with it security in the amount that that department determines. The department of revenue may increase or decrease the amount of the security, but that amount may not exceed 3 times the person's average monthly liability for the fee under sub. (1) as estimated by that department. If any person fails to provide that security, the department of revenue may refuse to issue a license under sub. (7) or s. 78.09 or may revoke the person's license under sub. (7) or s. 78.09. If any taxpayer is delinquent in the payment of the fee under sub. (1), the department of revenue may, upon 10 days' notice, recover the fee, interest, penalties, costs and disbursements from the person's security. The department of revenue may not pay interest on any security deposit.

SB529,8,22 (c) The surety of a bond under par. (b) may conditionally cancel the bond by filing written notice with the person who is liable for the fee under sub. (1) or (1c) and with the department of revenue. A surety who files that notice is not discharged from any liability that has accrued or from any liability that accrues within 60 days after the filing. If the person who is liable for the fee under sub. (1) does not, within 60 days after receiving the notice, file with the department of revenue a new bond that is satisfactory to that department, that department shall revoke the person's license under sub. (7) or s. 78.09. If the person furnishes a new bond, the department of revenue shall cancel and surrender the old bond when it is satisfied that all liability under the old bond has been discharged.

SB529,9,2 (d) If the liability on the bond is discharged or reduced or if the department of revenue determines that the bond is insufficient, that department shall require additional surety or new bonds. If any person who is liable for the fee under sub. (1) or (1c) fails to file that additional bond within 5 days after the department of revenue provides written notice, that person's license under sub. (7) or s. 78.09 is revoked.

SB529, s. 14 Section 14. 168.12 (9) of the statutes is amended to read:

SB529,9,5 168.12 (9) Sections 78.65 to 78.74 and 78.79 to 78.81 as they apply to the taxes under ch. 78 apply to the fee fees under sub. subs. (1) and (1c).

SB529, s. 15 Section 15. 168.125 of the statutes is amended to read:

SB529,9,11 168.125 Reports; payment. Persons who are liable for the fee under this chapter s. 168.12 shall state the number of gallons of petroleum products on which the fee is due and the amount of their liability for the fee in the reports under s. 78.12 (1) to (3). The requirements for payment of the motor vehicle fuel tax under s. 78.12 (5) apply to the fee under this chapter s. 168.12.

SB529, s. 16 Section 16. 168.13 of the statutes is amended to read:

SB529,9,21 168.13 Required records. Every person receiving petroleum products and heating oil in this state shall keep books and records of all petroleum products and oil so received, together with bills of lading, waybills and other pertinent documents. Such books and records and other papers and documents shall, at all times during business hours of the day, be subject to inspection by the department and its inspectors, and are subject to inspection by the department of revenue in regard to the fee under s. 168.12 (1) and (1c). Such books, records and other papers and documents shall be preserved for not less than 4 years, unless the department, in writing, authorizes their destruction or disposal at an earlier date.

SB529, s. 17 Section 17. 168.15 of the statutes is amended to read:

SB529,9,24 168.15 Penalty. Every person who violates any provision of this chapter that is not related to the fee under s. 168.12 (1) or (1c) shall forfeit not less than $10 nor more than $100 for each violation. Each day a person fails to comply with any provision of this chapter is a separate violation.

SB529, s. 18 Section 18. 168.17 of the statutes is amended to read:

SB529,10,7 168.17 Attorney general and district attorney to prosecute. Upon request of the department, the attorney general or proper district attorney shall prosecute any action to enforce this chapter except the fee that is imposed under s. 168.12 (1) or (1c).

SB529, s. 19 Section 19. 196.374 (2) of the statutes is amended to read:

SB529,10,17 196.374 (2) The commission may prescribe all or part of any program to be funded under sub. (1). The commission may require that a utility establish a program funded under sub. (1) which is applicable only to a group of consumers specified by the commission because the group has special energy conservation needs. Such a group may include, but is not limited to, low-income utility consumers, under guidelines established by the commission. The commission may reduce the amount that a utility is required to spend on a program under this subsection by the amount of the contribution that a utility is required to make under s. 196.378 (2) in a fiscal year.

SB529, s. 20 Section 20. 196.378 of the statutes is created to read:

SB529,10,19 196.378 Low-income energy fund contributions. (1) In this section:

SB529,10,23 (a) "Electric or gas provider" means a public utility that is involved in the generation, distribution or sale of electricity or gas or a cooperative association organized under ch. 185 for the purpose of generating, distributing or furnishing electricity or gas at retail or wholesale to its members only.

SB529,10,25 (b) "End user" means the ultimate user of electricity or gas that is generated, distributed or sold by an electric or gas provider.

SB529,11,2 (2) The commission shall require each electric or gas provider to contribute to the low-income energy fund each fiscal year.

SB529,11,5 (3) The commission shall designate the method by which contributions under sub. (2) shall be calculated and collected. The method shall ensure each of the following:

SB529,11,8 (a) That, in each fiscal year, the contributions are sufficient to generate an amount equal to 83% of the difference between $105,000,000 and all moneys received under 42 USC 8621 to 8629 and 42 USC 6861 to 6873 for that fiscal year.

SB529,11,11 (b) That 41.5% of the difference specified in par. (a) is generated from contributions from electric or gas providers that generate, distribute, furnish or sell electricity.

SB529,11,14 (c) That 41.5% of the difference specified in par. (a) is generated from contributions from electric or gas providers that generate, distribute, furnish or sell gas.

SB529,11,17 (d) That the total amount that an electric or gas provider is required to contribute in a fiscal year is calculated on the basis of the total number of the provider's end users in the fiscal year.

SB529,11,25 (4) An electric or gas provider shall charge an access fee to each class of end users for the purpose of recovering the entire amount of its contributions required under sub. (2). An access fee under this subsection shall be uniform within each class of end users and may not be based on the volume of gas or electricity used by an end user. An electric or gas provider may recover no more than 80% of the contributions that it is required to make under sub. (2) from end users who use electricity or gas for residential purposes and no more than 20% of the contributions from end users who use electricity or gas for nonresidential purposes.

SB529,12,2 (4m) The commission shall promulgate rules establishing requirements and procedures for each of the following:

SB529,12,6 (a) If the contribution collected from an electric or gas provider in a fiscal year is less than the amount that the electric or gas provider recovered in access fees in the fiscal year, requiring the electric or gas provider to pay an assessment equal to the difference in a subsequent fiscal year.

SB529,12,10 (b) If the contribution collected from an electric or gas provider in a fiscal year is more than the amount that the electric or gas provider recovered in access fees in the fiscal year, reducing the contribution required of the electric or gas provider in a subsequent fiscal year by an amount equal to the difference.

SB529,12,12 (5) An electric or gas provider may not state a surcharge on the bill of an end user for an access fee that is charged under sub. (4).

SB529, s. 21 Section 21. Nonstatutory provisions.

SB529,12,16 (1) Initial appointments. Notwithstanding the length of the term specified in section 15.105 (27) (b) (intro.) of the statutes, as created by this act, the initial members of the low-income energy board shall be appointed for the following terms:

SB529,12,20 (a) Two of the members under section 15.105 (27) (b) 1. of the statutes, as created by this act, one of the members under section 15.105 (27) (b) 2. of the statutes, as created by this act, and 2 of the members under section 15.105 (27) (b) 3. of the statutes, as created by this act, for terms expiring on May 1, 2002.

SB529,12,24 (b) One of the members under section 15.105 (27) (b) 1. of the statutes, as created by this act, one of the members under section 15.105 (27) (b) 2. of the statutes, as created by this act, and 2 of the members under section 15.105 (27) (b) 3. of the statutes, as created by this act, for terms expiring on May 1, 2003.

SB529,13,3 (c) One of the members under section 15.105 (27) (b) 1. of the statutes, as created by this act, and one of the members under section 15.105 (27) (b) 3. of the statutes, as created by this act, for terms expiring on May 1, 2004.

SB529, s. 22 Section 22. Effective dates. This act takes effect on July 1, 1999, except as follows:

SB529,13,7 (1) The treatment of section 15.105 (27) of the statutes takes effect on the day after publication.

SB529,13,8 (End)