Other Wisconsin works
Currently, an eligible custodial parent of a child who is 12 weeks old or less may
receive a monthly grant of $673 without being required to work. This bill increases
the permissible age of the child to one year.
Tax credits
This bill creates an income tax and franchise tax credit for a corporation that
constructs and equips a day care center or pays a day care center to care for the
children of the corporation's employes during the employes' working hours. Sole
proprietorships, corporations and insurers may claim the credit. Partnerships,
limited liability companies and tax-option corporations compute the credit but pass
it on to the partners, members and shareholders in proportion to their ownership
interests.
The credit is an amount equal to 50% of the amount paid by the corporation
during a taxable year to construct and equip a day care center that is owned and
operated by the corporation or an amount equal to 50% of the amount paid by the
corporation during a taxable year to a day care center to care for the children of the
corporation's employes during the employes' working hours. A corporation may also
claim a credit equal to $50 a month for each child of a corporation's employe enrolled
in the corporation's day care center for a taxable year.
If the credit claimed by a corporation exceeds the corporation's tax liability, the
state will not issue a refund check, but the corporation may carry forward any
remaining credit to the next five taxable years. If a day care center that is
constructed and equipped by a corporation ceases its operation within five years from
the date that construction of the day care center was completed, the corporation must
pay back the credit received in proportion to the period of time that the day care
center operated.
Finally, the bill creates an income tax and franchise tax credit for five percent
of child care costs, up to a maximum annual credit of $15,000. The expenses that may
be counted in calculating the credit are those of acquiring, constructing and
rehabilitating child care facilities; operating costs of day care facilities; and amounts
paid under a contract for child care services for the claimant's employes.
Under current federal law there is an individual income tax credit for a portion
of qualifying child or dependent care expenses that are paid for the purpose of
enabling a taxpayer to be gainfully employed. An eligible claimant must maintain
a household for a "qualifying individual", which is defined as a dependent under the
age of 13, a disabled spouse or another disabled individual who is a dependent of the
taxpayer. The federal credit is nonrefundable, meaning that no refund is paid if the
amount of the credit exceeds the taxpayer's tax liability. The maximum credit is $720
if the taxpayer has one qualifying individual or $1,440 if the taxpayer has more than
one qualifying individual.
This bill creates a nonrefundable individual income tax credit that is equal to
50% of the amount that is claimed by an individual under this federal credit.

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:
SB199, s. 1 1Section 1. 20.005 (3) (schedule) of the statutes: at the appropriate place, insert
2the following amounts for the purposes indicated: - See PDF for table PDF - See PDF for table PDF
SB199, s. 2 3Section 2. 20.235 (1) (cw) of the statutes is created to read:
SB199,6,64 20.235 (1) (cw) Child care worker loan repayment assistance. Biennially, the
5amounts in the schedule for the child care worker loan repayment assistance
6program under s. 39.385.
SB199, s. 3 7Section 3. 20.435 (5) (bc) of the statutes is amended to read:
SB199,6,118 20.435 (5) (bc) Health care for low-income families and eligible individuals.
9As a continuing appropriation, the amounts in the schedule A sum sufficient for the
10badger care health care program for low-income families and eligible individuals
11under s. 49.665.
SB199, s. 4
1Section 4. 20.435 (5) (jz) of the statutes is amended to read:
SB199,7,42 20.435 (5) (jz) Badger care premiums. All moneys received from payments
3under s. 49.665 (5) to be used for the badger care health care program for low-income
4families and eligible individuals under s. 49.466 49.665.
SB199, s. 5 5Section 5. 20.435 (5) (o) of the statutes is amended to read:
SB199,7,86 20.435 (5) (o) Federal aid; medical assistance. All federal moneys received for
7meeting costs of medical assistance administered under ss. s. 49.45 and, to the extent
8permitted under federal law, s.
49.665.
SB199, s. 6 9Section 6. 20.435 (5) (p) of the statutes is amended to read:
SB199,7,1410 20.435 (5) (p) Federal aid; health care for low-income families. All federal
11moneys received for the badger care health care program for low-income families
12under s. 49.665, to be used for that the purpose of providing health care coverage to
13low-income families that are eligible under s. 49.665 (4) (a) for the badger care health
14care program
.
SB199, s. 7 15Section 7. 20.445 (3) (cm) of the statutes is amended to read:
SB199,7,2316 20.445 (3) (cm) Wisconsin works child care. The As a continuing appropriation,
17the
amounts in the schedule for paying child care subsidies under s. 49.155. Before
18October 1, 1997, moneys appropriated under this paragraph may be used to fund
19child care costs of individuals who secure unsubsidized employment and lose
20eligibility for aid to families with dependent children as provided under s. 49.191 (2),
21for child care and related transportation costs under s. 49.26 (1) (e), for at-risk and
22low-income child care under s. 49.132, 1995 stats., and for child care costs under ss.
2349.191 (1) and 49.193 (8).
SB199, s. 8 24Section 8. 20.445 (3) (ct) of the statutes is created to read:
SB199,8,3
120.445 (3) (ct) Local early childhood council grants. As a continuing
2appropriation, the amounts in the schedule for grants for local early childhood
3councils under s. 49.135.
SB199, s. 9 4Section 9. 39.385 of the statutes is created to read:
SB199,8,7 539.385 Child care worker loan repayment assistance program. (1)
6There is established, to be administered by the board, a loan repayment assistance
7program for resident child care workers who meet all of the following requirements:
SB199,8,118 (a) Have graduated on or after May 1, 1999, with a bachelor's degree from an
9institution of higher education, as defined in s. 39.32 (1) (a), located in this state or
10a degree under an associate degree program, as defined in s. 38.01 (1), in an area
11relating to early childhood education.
SB199,8,1312 (b) Are currently in loan repayment on any student loan, which loan repayment
13status is not in default, as determined by the applicable lender.
SB199,8,1514 (c) Have been continuously employed on a full-time basis in this state for at
15least 12 months as a child care worker.
SB199,8,16 16(2) The board shall:
SB199,8,2417 (a) Reimburse a child care worker for 10% of the outstanding principal amount
18of any student loans of the child care worker or $1,000, whichever is less, for the
1912-month period of eligibility under sub. (1). As a condition of eligibility for loan
20repayment assistance under this paragraph, the child care worker shall submit to
21the board, on a form prescribed by the board, a statement certified by the lender of
22an applicable student loan, within 30 days previous to the filing of the submission,
23certifying that the loan repayment status of the borrower is not in default and the
24outstanding principal amount of the applicable student loan.
SB199,9,3
1(b) For each succeeding 12-month period of eligibility under sub. (1), reimburse
2the child care worker as determined under par. (a). No child care worker is eligible
3for more than 5 loan repayment assistance payments under this section.
SB199,9,54 (c) Make the loan repayment assistance payments under pars. (a) and (b) from
5the appropriation account under s. 20.235 (1) (cw), subject to the availability of funds.
SB199,9,116 (d) Promulgate rules to implement and administer this section, including rules
7establishing the criteria and procedures for loan repayment assistance and, after
8first consulting with the department of health and family services, defining "child
9care worker" for the purposes of this section. The definition of "child care worker"
10shall include any child care position specified in rules of the department of health and
11family services relating to day care and family day care centers for children.
SB199, s. 10 12Section 10 . 49.135 of the statutes is created to read:
SB199,9,16 1349.135 Local early childhood council grants. (1) Purpose. From the
14appropriation under s. 20.445 (3) (ct), the department shall provide grants, awarded
15under sub. (2), to public agencies or private, nonprofit organizations for the
16establishment or operation, or both, of local early childhood councils.
SB199,9,20 17(2) Grant awards; amounts. (a) Grants shall be awarded by a body consisting
18of 2 representatives of the department of health and family services, 2
19representatives of the department of workforce development and 2 representatives
20of the department of public instruction.
SB199,9,2321 (b) A grant may be awarded only to an applicant that agrees to match the grant
22or to secure a match from local sources, through money or in-kind services, or both,
23as follows:
SB199,9,2524 1. During the first year of the grant, in the amount of at least 25% of the amount
25received for that year.
SB199,10,2
12. During the 2nd and subsequent years of the grant, in the amount of at least
250% of the amount received for each year.
SB199,10,53 (c) Each grant application shall include proof of the applicant's ability to comply
4with par. (b). Any in-kind services proposed under par. (b) are subject to the approval
5of the body awarding grants under par. (a).
SB199,10,17 6(3) Grant awards; criteria. In evaluating applications for grants, the body
7under sub. (2) (a) shall give priority to proposals that involve the planning and
8participation of multiple individuals and organizations, including child care
9providers, as defined in s. 49.001 (1), employers, parents, head start agencies
10designated under 42 USC 9836, child care resource and referral service grant
11recipients under s. 49.134, school districts, private schools, counties, cities, villages,
12towns, tribal governments, providers of early childhood education, early childhood
13family education center grant recipients under s. 48.982 (6), right from the start
14grant recipients under s. 48.982 (7), the Wisconsin works community steering
15committee under s. 49.143 (2) (a) and other individuals and organizations that have
16a demonstrated interest in or knowledge of child care, early childhood education or
17other services for young children and their families.
SB199,10,21 18(4) Use of funds; functions of local early childhood councils. Any amounts
19granted under this section shall be used for the establishment or operation, or both,
20of a local early childhood council. A local early childhood council funded under this
21section shall do all of the following:
SB199,10,2322 (a) Designate an individual to serve as the facilitator of the local early
23childhood council.
SB199,11,224 (b) Conduct an assessment of child care and early childhood education
25programs and other services for young children and their families that are available

1in the community and an assessment of the need for those programs and services in
2the community.
SB199,11,33 (c) Develop a plan to do all of the following:
SB199,11,54 1. Increase the supply and accessibility of high-quality child care and early
5childhood education programs in the community.
SB199,11,116 2. Foster coordination and communication between providers of child care and
7early childhood education, employers, the local public schools, parents, the
8Wisconsin works community steering committee under s. 49.143 (2) (a) and other
9appropriate individuals and organizations in the community to maximize the
10accessibility and quality of, and to minimize duplication in, the programs and
11services that are available in the community for young children and their families.
SB199,11,1412 3. Promote and increase public awareness of the characteristics and
13importance of high-quality child care and early childhood education for young
14children.
SB199,11,1715 (d) Advise the county department under s. 46.215, 46.22 or 46.23 on the
16development of the county department's proposed budget for the expenditure of
17funds allocated under s. 49.175 (1) (o) and (p).
SB199,11,2218 (5) Membership of local early childhood councils. Membership on a local
19early childhood council funded under this section shall be open to all persons and
20organizations in the community with a demonstrated interest in or knowledge of
21child care, early childhood education or other services for young children and their
22families and shall include all of the following persons as members:
SB199,11,2323 (a) One or more parents of young children.
SB199,11,2424 (b) One or more providers of family child care.
SB199,11,2525 (c) One or more providers of center-based child care.
SB199,12,1
1(d) One elected county official.
SB199,12,22 (e) One or more representatives of each of the following:
SB199,12,33 1. A local employer.
SB199,12,44 2. The local school district.
SB199,12,65 3. The county department receiving child care funds under s. 49.175 (1) (o) or
6(p) and any entity administering those funds if different from the county department.
SB199,12,77 4. The local health department, as defined in s. 250.01 (4).
SB199,12,98 5. A local agency providing child care resource and referral services funded by
9a grant under s. 49.134.
SB199,12,11 10(6) Rules. The department, in consultation with the department of public
11instruction, shall promulgate rules to implement this section.
SB199, s. 11 12Section 11. 49.136 (7) (a) of the statutes is amended to read:
SB199,12,1813 49.136 (7) (a) The department shall establish guidelines for eligibility for a
14grant under this section. In establishing those guidelines, the department shall
15provide that no person may be awarded a grant under this section unless that person
16and all employes of that person who provide care and supervision for children have
17received not less than 20 hours of training in child development and safety.
The
18department need not promulgate those guidelines as rules under ch. 227.
SB199, s. 12 19Section 12. 49.137 (6) of the statutes is renumbered 49.137 (6) (b).
SB199, s. 13 20Section 13. 49.137 (6) (a) of the statutes is created to read:
SB199,13,221 49.137 (6) (a) The department shall establish guidelines for eligibility for a
22grant under this section. In establishing those guidelines, the department shall
23provide that no person may be awarded a grant under sub. (2) or (3) unless that
24person and all employes of that person who provide care and supervision for children

1have received not less than 20 hours of training in child development and safety. The
2department need not promulgate those guidelines as rules under ch. 227.
SB199, s. 14 3Section 14. 49.139 of the statutes is created to read:
SB199,13,12 449.139 Child care career education. (1) Child care career education
5scholarships.
From the allocation under s. 49.155 (1g) (d), the department may
6award scholarships of not less than $500 per year nor more than $5,000 per year to
7individuals who are child care providers and to individuals who are employed by a
8child care provider or by a head start agency designated under 42 USC 9836 in the
9direct provision of child care services or in the administration of child care services
10to enable those individuals to earn associate degrees, bachelor's degrees or other
11credentials approved by the department in the fields of child care or early childhood
12education.
SB199,13,18 13(2) Child care career education scholarship contracts. The department
14shall require a scholarship recipient under sub. (1) and, if applicable, and the child
15care provider or head start agency employing the scholarship recipient to enter into
16a contract with the department specifying the commitments required of each party
17to the contract. A contract under this subsection shall specify all of the following
18terms and conditions:
SB199,13,2219 (a) The amount of the scholarship, which, subject to the $5,000 maximum limit
20specified in sub. (1), may cover up to 100% of the cost of the scholarship recipient's
21tuition and books and which, subject to that limit, may provide for not more than 3
22hours per week of paid leave from work to study or attend classes.
SB199,13,2423 (b) The number of credit hours of instruction that the scholarship recipient will
24take during the time period of the contract.
SB199,14,6
1(c) A commitment by the scholarship recipient's employer to provide a pay raise
2or a bonus to the scholarship recipient on completion of the scholarship recipient's
3course of study and the amount of that pay raise or bonus; or, if the scholarship
4recipient is an individual who is a child care provider, a commitment by the
5department to pay that individual a bonus upon completion of the individual's course
6of study and the amount of that bonus.
SB199,14,147 (d) A commitment by the scholarship recipient not to resign from employment
8with the child care provider or head start agency that employed the scholarship
9recipient during the time period of the contract for not less than 6 months nor more
10than one year after the end of that time period, as specified in the contract; or, if the
11scholarship recipient is an individual who is a child care provider, a commitment by
12the individual to remain a child care provider for not less than 6 months nor more
13than one year after the end of the time period in the contract, as specified in the
14contract.
SB199,14,17 15(3) Grant administration. The department may administer the scholarship
16program under this section or contract for the administration of that scholarship
17program.
SB199, s. 15 18Section 15. 49.143 (2) (a) 8. of the statutes is amended to read:
SB199,14,2119 49.143 (2) (a) 8. Work with participants, employers, child care providers, the
20local early childhood council under s. 49.135
and the community to identify child care
21needs, improve access to child care and expand availability of child care.
SB199, s. 16 22Section 16. 49.148 (1m) (a) of the statutes is amended to read:
SB199,15,1223 49.148 (1m) (a) A custodial parent of a child who is 12 weeks old one year old
24or less and who meets the eligibility requirements under s. 49.145 (2) and (3) may
25receive a monthly grant of $673 $628 unless another adult member of the custodial

1parent's Wisconsin works group is participating in, or is eligible to participate in, a
2Wisconsin works employment position or is employed in unsubsidized employment,
3as defined in s. 49.147 (1) (c). A Wisconsin works agency may not require a
4participant under this subsection to participate in any employment positions.
5Receipt of a grant under this subsection does not constitute constitutes participation
6in a Wisconsin works employment position for purposes the purpose of calculating
7the time limits limit under s. 49.145 (2) (n) or, but does not constitute participation
8in a Wisconsin works employment position for the purpose of calculating the time
9limits under s.
49.147 (3) (c), (4) (b) 2. or (c) 4. or (5) (b) 2. if the child is born to the
10participant not more than 10 months after the date that the participant was first
11determined to be eligible for assistance under s. 49.19 or for a Wisconsin works
12employment position.
SB199, s. 17 13Section 17. 49.155 (1) (aL) of the statutes is created to read:
SB199,15,1514 49.155 (1) (aL) "Disabled" means physically or mentally incapable of caring for
15oneself.
SB199, s. 18 16Section 18. 49.155 (1d) (a) of the statutes is amended to read:
SB199,15,2117 49.155 (1d) (a) The department shall promulgate rules establishing standards
18for the certification of child care providers under s. 48.651. In establishing the
19requirements for certification as a Level II certified family day care provider, the
20department may not shall include a requirement for training for that providers have
21at least 20 hours of training in child development and safety
.
SB199, s. 19 22Section 19. 49.155 (1g) (d) of the statutes is created to read:
SB199,16,323 49.155 (1g) (d) From the appropriation under s. 20.445 (3) (mc), distribute
24$1,000,000 in fiscal year 1999-2000 and $2,500,000 in fiscal year 2000-01 for the
25purpose of providing child care career education scholarships under s. 49.139 (1).

1The department may carry forward moneys allocated under this paragraph that are
2not encumbered by June 30 of any year for allocation under this paragraph in the
3next fiscal year.
SB199, s. 20 4Section 20. 49.155 (1m) (intro.) of the statutes is amended to read:
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