LRB-4711/1
JTK:jlg:hmh
1999 - 2000 LEGISLATURE
March 28, 2000 - Introduced by Representative Albers, cosponsored by Senator
Burke. Referred to Committee on Rules.
AB932,1,2
1An Act relating to: expenditure of $23,053.80 from the general fund in payment
2of a claim against the state made by Jerome and Theresa Wagner.
Analysis by the Legislative Reference Bureau
This bill directs expenditure of $23,053.80 from the general fund in payment
of a claim made by Jerome and Theresa Wagner against the department of
agriculture, trade and consumer protection (DATCP). The claimants shipped milk
on credit to a plant operated by Ryser Brothers Dairy of Wisconsin, Inc., in the village
of Mount Horeb. On or about April 16, 1991, the plant closed and subsequently, its
parent corporation filed for bankruptcy protection. At the time of the closing, the
claimants assert that the plant owed them $69,860. The records of the plant
confirmed this figure. The claimants were unable to recover any of this amount in
the bankruptcy settlement. The claimants assert that DATCP did not properly
monitor the financial condition of the plant under s. 100.06, 1989 stats. (the dairy
plant security law). DATCP asserts that while it initially allowed the plant to
operate based on its financial statements, when the financial position of the plant
deteriorated, it required security to be posted. Ryser Brothers Dairy of Wisconsin,
Inc., was unable to post the required security. DATCP also asserts that the dairy
plant security law is not designed to insure against losses but rather to provide some
level of assurance that dairy plants are operated in a financially responsible manner,
and that it acted appropriately to carry out its responsibilities under the law. In
addition, DATCP asserts that the claimants provided no itemized documentation of
their claim. On March 6, 2000, the claims board recommended payment of
$23,053.80, representing one-third of the amount claimed by the claimants, on the
basis of equitable principles (see Senate Journal, pp. 483-484).
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:
AB932, s. 1
1Section
1.
Claim against the state. There is directed to be expended from
2the appropriation under section 20.505 (4) (d) of the statutes, as affected by the acts
3of 1999, $23,053.80 in payment of a claim against the state made by Jerome and
4Theresa Wagner, Middleton, Wisconsin, to compensate them for the value of milk
5that they shipped to a plant operated by Ryser Brothers Dairy of Wisconsin, Inc.,
6prior to April 16, 1991, for which they have not been paid as a result of bankruptcy
7proceedings, and the alleged failure of the department of agriculture, trade and
8consumer protection to properly monitor the financial condition of the plant under
9section 100.06, 1989 stats. Acceptance of this payment releases this state and its
10officers, employes and agents from any further liability resulting from losses
11incurred by the claimants for milk shipped to this plant.
