AB571, s. 16
1Section 16. 77.53 (1) of the statutes is amended to read:
AB571,11,102 77.53 (1) Except as provided in sub. (1m), an excise tax is levied and imposed
3on the use or consumption in this state of taxable services under s. 77.52 purchased
4from any retailer, at the rate of 5% 7.5 percent of the sales price of those services; on
5the storage, use or other consumption in this state of tangible personal property
6purchased from any retailer, at the rate of 5% 7.5 percent of the sales price of that
7property; and on the storage, use or other consumption of tangible personal property
8manufactured, processed or otherwise altered, in or outside this state, by the person
9who stores, uses or consumes it, from material purchased from any retailer, at the
10rate of 5% 7.5 percent of the sales price of that material.
AB571, s. 17 11Section 17. 111.70 (1) (b) of the statutes is amended to read:
AB571,11,1512 111.70 (1) (b) "Collective bargaining unit" means a unit consisting of municipal
13employees who are school district professional employees or of municipal employees
14who are not school district professional employees
that is determined by the
15commission to be appropriate for the purpose of collective bargaining.
AB571, s. 18 16Section 18. 111.70 (1) (dm) of the statutes is repealed.
AB571, s. 19 17Section 19. 111.70 (1) (fm) of the statutes is repealed.
AB571, s. 20 18Section 20. 111.70 (1) (nc) of the statutes is repealed.
AB571, s. 21 19Section 21. 111.70 (4) (cm) 5. of the statutes is amended to read:
AB571,12,420 111.70 (4) (cm) 5. `Voluntary impasse resolution procedures.' In addition to the
21other impasse resolution procedures provided in this paragraph, a municipal
22employer and labor organization may at any time, as a permissive subject of
23bargaining, agree in writing to a dispute settlement procedure, including
24authorization for a strike by municipal employees or binding interest arbitration,
25which is acceptable to the parties for resolving an impasse over terms of any

1collective bargaining agreement under this subchapter. A copy of such agreement
2shall be filed by the parties with the commission. If the parties agree to any form of
3binding interest arbitration, the arbitrator shall give weight to the factors
4enumerated under subds. 7., 7g. and subd. 7r.
AB571, s. 22 5Section 22. 111.70 (4) (cm) 5s. of the statutes is repealed.
AB571, s. 23 6Section 23. 111.70 (4) (cm) 6. a. of the statutes is amended to read:
AB571,12,227 111.70 (4) (cm) 6. a. If in any collective bargaining unit a dispute relating to one
8or more issues, qualifying for interest arbitration under subd. 5s. in a collective
9bargaining unit to which subd. 5s. applies,
has not been settled after a reasonable
10period of negotiation and after mediation by the commission under subd. 3. and other
11settlement procedures, if any, established by the parties have been exhausted, and
12the parties are deadlocked with respect to any dispute between them over wages,
13hours, and conditions of employment to be included in a new collective bargaining
14agreement, either party, or the parties jointly, may petition the commission, in
15writing, to initiate compulsory, final, and binding arbitration, as provided in this
16paragraph. At the time the petition is filed, the petitioning party shall submit in
17writing to the other party and the commission its preliminary final offer containing
18its latest proposals on all issues in dispute. Within 14 calendar days after the date
19of that submission, the other party shall submit in writing its preliminary final offer
20on all disputed issues to the petitioning party and the commission. If a petition is
21filed jointly, both parties shall exchange their preliminary final offers in writing and
22submit copies to the commission at the time the petition is filed.
AB571, s. 24 23Section 24. 111.70 (4) (cm) 6. am. of the statutes is amended to read:
AB571,14,1724 111.70 (4) (cm) 6. am. Upon receipt of a petition to initiate arbitration, the
25commission shall make an investigation, with or without a formal hearing, to

1determine whether arbitration should be commenced. If in determining whether an
2impasse exists the commission finds that the procedures set forth in this paragraph
3have not been complied with and such compliance would tend to result in a
4settlement, it may order such compliance before ordering arbitration. The validity
5of any arbitration award or collective bargaining agreement shall not be affected by
6failure to comply with such procedures. Prior to the close of the investigation each
7party shall submit in writing to the commission its single final offer containing its
8final proposals on all issues in dispute that are subject to interest arbitration under
9this subdivision or under subd. 5s. in collective bargaining units to which subd. 5s.
10applies
. If a party fails to submit a single, ultimate final offer, the commission shall
11close the investigation based on the last written position of the party. The municipal
12employer may not submit a qualified economic offer under subd. 5s. after the close
13of the investigation.
Such final offers may include only mandatory subjects of
14bargaining, except that a permissive subject of bargaining may be included by a
15party if the other party does not object and shall then be treated as a mandatory
16subject. No later than such time, the parties shall also submit to the commission a
17stipulation, in writing, with respect to all matters which are agreed upon for
18inclusion in the new or amended collective bargaining agreement. The commission,
19after receiving a report from its investigator and determining that arbitration should
20be commenced, shall issue an order requiring arbitration and immediately submit
21to the parties a list of 7 arbitrators. Upon receipt of such list, the parties shall
22alternately strike names until a single name is left, who shall be appointed as
23arbitrator. The petitioning party shall notify the commission in writing of the
24identity of the arbitrator selected. Upon receipt of such notice, the commission shall
25formally appoint the arbitrator and submit to him or her the final offers of the

1parties. The final offers shall be considered public documents and shall be available
2from the commission. In lieu of a single arbitrator and upon request of both parties,
3the commission shall appoint a tripartite arbitration panel consisting of one member
4selected by each of the parties and a neutral person designated by the commission
5who shall serve as a chairperson. An arbitration panel has the same powers and
6duties as provided in this section for any other appointed arbitrator, and all
7arbitration decisions by such panel shall be determined by majority vote. In lieu of
8selection of the arbitrator by the parties and upon request of both parties, the
9commission shall establish a procedure for randomly selecting names of arbitrators.
10Under the procedure, the commission shall submit a list of 7 arbitrators to the
11parties. Each party shall strike one name from the list. From the remaining 5
12names, the commission shall randomly appoint an arbitrator. Unless both parties
13to an arbitration proceeding otherwise agree in writing, every individual whose
14name is submitted by the commission for appointment as an arbitrator shall be a
15resident of this state at the time of submission and every individual who is
16designated as an arbitration panel chairperson shall be a resident of this state at the
17time of designation.
AB571, s. 25 18Section 25. 111.70 (4) (cm) 7. of the statutes is repealed.
AB571, s. 26 19Section 26. 111.70 (4) (cm) 7g. of the statutes is repealed.
AB571, s. 27 20Section 27. 111.70 (4) (cm) 7r. (intro.) of the statutes is amended to read:
AB571,14,2321 111.70 (4) (cm) 7r. `Other factors Factors considered.' (intro.) In making any
22decision under the arbitration procedures authorized by this paragraph, the
23arbitrator or arbitration panel shall also give weight to the following factors:
AB571, s. 28 24Section 28. 111.70 (4) (cm) 8m. a. and c. of the statutes are consolidated,
25renumbered 111.70 (4) (cm) 8m. and amended to read:
AB571,15,14
1111.70 (4) (cm) 8m. `Term of agreement; reopening of negotiations.' Except for
2the initial collective bargaining agreement between the parties and except as the
3parties otherwise agree, every collective bargaining agreement covering municipal
4employees subject to this paragraph other than school district professional
5employees
shall be for a term of 2 years. No, but in no case may a collective
6bargaining agreement for any collective bargaining unit consisting of municipal
7employees subject to this paragraph other than school district professional
8employees shall
be for a term exceeding 3 years. c. No arbitration award may
9contain a provision for reopening of negotiations during the term of a collective
10bargaining agreement, unless both parties agree to such a provision. The
11requirement for agreement by both parties does not apply to a provision for
12reopening of negotiations with respect to any portion of an agreement that is
13declared invalid by a court or administrative agency or rendered invalid by the
14enactment of a law or promulgation of a federal regulation.
AB571, s. 29 15Section 29. 111.70 (4) (cm) 8m. b. of the statutes is repealed.
AB571, s. 30 16Section 30. 111.70 (4) (cm) 8p. of the statutes is repealed.
AB571, s. 31 17Section 31. 111.70 (4) (cm) 8s. of the statutes is amended to read:
AB571,16,1418 111.70 (4) (cm) 8s. `Forms for determining costs.' The commission shall
19prescribe forms for calculating the total increased cost to the municipal employer of
20compensation and fringe benefits provided to school district professional employees.
21The cost shall be determined based upon the total cost of compensation and fringe
22benefits provided to school district professional employees who are represented by
23a labor organization on the 90th day before expiration of any previous collective
24bargaining agreement between the parties, or who were so represented if the
25effective date is retroactive, or the 90th day prior to commencement of negotiations

1if there is no previous collective bargaining agreement between the parties, without
2regard to any change in the number, rank, or qualifications of the school district
3professional employees. For purposes of such determinations, any cost increase that
4is incurred on any day other than the beginning of the 12-month period commencing
5with the effective date of the agreement or any succeeding 12-month period
6commencing on the anniversary of that effective date shall be calculated as if the cost
7increase were incurred as of the beginning of the 12-month period beginning on the
8effective date or anniversary of the effective date in which the cost increase is
9incurred. In each collective bargaining unit to which subd. 5s. applies, the municipal
10employer shall transmit to the commission and the labor organization a completed
11form for calculating the total increased cost to the municipal employer of
12compensation and fringe benefits provided to the school district professional
13employees covered by the agreement as soon as possible after the effective date of the
14agreement.
AB571, s. 32 15Section 32. 111.70 (4) (cn) of the statutes is repealed.
AB571, s. 33 16Section 33. 111.70 (4) (d) 2. a. of the statutes is amended to read:
AB571,17,2017 111.70 (4) (d) 2. a. The commission shall determine the appropriate collective
18bargaining unit for the purpose of collective bargaining and shall whenever possible,
19unless otherwise required under this subchapter, avoid fragmentation by
20maintaining as few collective bargaining units as practicable in keeping with the size
21of the total municipal work force. In making such a determination, the commission
22may decide whether, in a particular case, the municipal employees in the same or
23several departments, divisions, institutions, crafts, professions, or other
24occupational groupings constitute a collective bargaining unit. Before making its
25determination, the commission may provide an opportunity for the municipal

1employees concerned to determine, by secret ballot, whether or not they desire to be
2established as a separate collective bargaining unit. The commission shall not
3decide, however, that any group of municipal employees constitutes an appropriate
4collective bargaining unit if the group includes both municipal employees who are
5school district professional employees and municipal employees who are not school
6district professional employees.
The commission shall not decide , however, that any
7other group of municipal employees constitutes an appropriate collective bargaining
8unit if the group includes both professional employees and nonprofessional
9employees, unless a majority of the professional employees vote for inclusion in the
10unit. The commission shall not decide that any group of municipal employees
11constitutes an appropriate collective bargaining unit if the group includes both craft
12employees and noncraft employees unless a majority of the craft employees vote for
13inclusion in the unit. The commission shall place the professional employees who are
14assigned to perform any services at a charter school, as defined in s. 115.001 (1), in
15a separate collective bargaining unit from a unit that includes any other professional
16employees whenever at least 30% of those professional employees request an election
17to be held to determine that issue and a majority of the professional employees at the
18charter school who cast votes in the election decide to be represented in a separate
19collective bargaining unit. Any vote taken under this subsection shall be by secret
20ballot.
AB571, s. 34 21Section 34. 115.34 (3) of the statutes is created to read:
AB571,17,2322 115.34 (3) The department may not make any payments under this section
23after June 30, 2004.
AB571, s. 35 24Section 35. 115.341 (3) of the statutes is created to read:
AB571,18,2
1115.341 (3) The department may not make any payments under this section
2after June 30, 2004.
AB571, s. 36 3Section 36. 115.343 (6) of the statutes is created to read:
AB571,18,54 115.343 (6) The department may not make any payments under this section
5after June 30, 2004.
AB571, s. 37 6Section 37. 115.345 (10) of the statutes is created to read:
AB571,18,87 115.345 (10) The department may not make any payments under this section
8after June 30, 2004.
AB571, s. 38 9Section 38. 115.36 (4) of the statutes is created to read:
AB571,18,1110 115.36 (4) The department may not make any payments under this section
11after June 30, 2004.
AB571, s. 39 12Section 39. 115.361 (3) of the statutes is created to read:
AB571,18,1413 115.361 (3) The department may not make any payments under this section
14after June 30, 2004.
AB571, s. 40 15Section 40. 115.366 (3) of the statutes is created to read:
AB571,18,1716 115.366 (3) The department may not make any payments under this section
17after June 30, 2004.
AB571, s. 41 18Section 41. 115.405 (4) of the statutes is created to read:
AB571,18,2019 115.405 (4) The department may not make any payments under this section
20after June 30, 2004.
AB571, s. 42 21Section 42. 115.42 (5) of the statutes is created to read:
AB571,18,2322 115.42 (5) The department may not make any payments under this section
23after June 30, 2004.
AB571, s. 43 24Section 43. 115.43 (3) of the statutes is created to read:
AB571,19,2
1115.43 (3) Termination of scholarships. The department may not make any
2payments under this section after June 30, 2004.
AB571, s. 44 3Section 44. 115.435 (4) of the statutes is created to read:
AB571,19,54 115.435 (4) The department may not make any payments under this section
5after June 30, 2004.
AB571, s. 45 6Section 45. 115.45 (11) of the statutes is created to read:
AB571,19,87 115.45 (11) The department may not make any payments under this section
8after June 30, 2004.
AB571, s. 46 9Section 46. 115.88 (10) of the statutes is created to read:
AB571,19,1110 115.88 (10) Termination of state aid. The department may not make any
11payments under this section after June 30, 2004.
AB571, s. 47 12Section 47. 115.93 of the statutes is amended to read:
AB571,19,22 13115.93 State aid. If upon receipt of the reports under s. 115.92 (2) the state
14superintendent is satisfied that the school age parents program has been maintained
15during the preceding school year in accordance with the rules under s. 115.92 (3), the
16state superintendent shall certify to the department of administration in favor of
17each school district maintaining the program a sum equal to the amount expended
18by the school district during the preceding school year for salaries of teachers and
19instructional aides, special transportation and other expenses approved by the state
20superintendent as costs eligible for reimbursement from the appropriation under s.
2120.255 (2) (b). The department may not make any payments under this section after
22June 30, 2004.
AB571, s. 48 23Section 48. 115.995 (3) of the statutes is created to read:
AB571,19,2524 115.995 (3) The department may not make any payments under this section
25after June 30, 2004.
AB571, s. 49
1Section 49. 116.08 (6) of the statutes is created to read:
AB571,20,32 116.08 (6) The department may not make any payments under this section
3after June 30, 2004.
AB571, s. 50 4Section 50. 118.153 (8) of the statutes is created to read:
AB571,20,65 118.153 (8) The department may not make any payments under this section
6after June 30, 2004.
AB571, s. 51 7Section 51. 118.255 (4) of the statutes is amended to read:
AB571,20,188 118.255 (4) If the state superintendent is satisfied that the health treatment
9services program has been maintained during the preceding school year in
10accordance with law, the state superintendent shall certify to the department of
11administration in favor of each school board, cooperative educational service agency
12and county children with disabilities education board maintaining such health
13treatment services, an amount equal to the amount expended for items listed in s.
14115.88 (1m) by the school board, cooperative educational service agency and county
15children with disabilities education board during the preceding year for these health
16treatment services as costs eligible for reimbursement from the appropriation under
17s. 20.255 (2) (b). The department may not make any payments under this subsection
18after June 30, 2004.
AB571, s. 52 19Section 52. 118.43 (9) of the statutes is created to read:
AB571,20,2120 118.43 (9) Termination of state aid. The department may not make any
21payments under this section after June 30, 2004.
AB571, s. 53 22Section 53. 118.51 (16) (b) of the statutes is amended to read:
AB571,21,223 118.51 (16) (b) 1. If the number determined in par. (a) 1. is greater than the
24number determined in par. (a) 2. for a school district, the department shall increase

1that school district's state aid payment under s. 121.08 121.085 by an amount equal
2to the difference multiplied by the amount determined under par. (a) 3.
AB571,21,123 2. If the number determined in par. (a) 1. is less than the number determined
4in par. (a) 2. for a school district, the department shall decrease that school district's
5state aid payment under s. 121.08 121.085 by an amount equal to the difference
6multiplied by the amount determined under par. (a) 3. If the state aid payment under
7s. 121.08 121.085 is insufficient to cover the reduction, the department shall decrease
8other state aid payments made by the department to the school district by the
9remaining amount. If the state aid payment under s. 121.08 121.085 and other state
10aid payments made by the department to the school district are insufficient to cover
11the reduction, the department shall use the moneys appropriated under s. 20.255 (2)
12(cg) to pay the balance to school districts under subd. 1.
AB571, s. 54 13Section 54. 118.51 (16) (d) of the statutes is amended to read:
AB571,21,1614 118.51 (16) (d) The department shall ensure that the aid adjustment under par.
15(b) does not affect the amount determined to be received by a school district as state
16aid under s. 121.08 121.085 for any other purpose.
AB571, s. 55 17Section 55. 120.145 of the statutes is created to read:
AB571,21,20 18120.145 School tax levy. (1) Notwithstanding ss. 119.46, 120.10 (6) to (8),
19(10m), and (11), and 120.12 (3), beginning in 2004, a school board may not levy a tax
20at a rate that exceeds 3 mills except as follows:
AB571,21,2321 (a) The levy rate may exceed 3 mills for the purpose of paying the principal and
22interest on debt outstanding on the effective date of this paragraph .... [revisor
23inserts date].
AB571,22,3
1(b) The levy rate may exceed 3 mills if the department approves a higher levy
2rate for the school district. The department may approve a higher levy rate only for
3emergencies, as defined by the department by rule.
AB571,22,5 4(2) The school board may not use revenue from the tax levy to fund employee
5salaries or benefits.
AB571, s. 56 6Section 56. 121.08 (1) (intro.) of the statutes is amended to read:
AB571,22,87 121.08 (1) (intro.) The In the 2002-03 school year and the 2003-04 school year,
8the
state shall pay to the school district the sum of the following amounts:
AB571, s. 57 9Section 57. 121.08 (4) (a) (intro.), 2., 3. and (b) of the statutes, as affected by
102003 Wisconsin Act 33, are amended to read:
AB571,22,1311 121.08 (4) (a) (intro.) The amount of state aid that a school district is eligible
12to be paid from the appropriations under s. 20.255 (2) (ac) and (r) and (t) shall be
13reduced by the amount determined as follows:
AB571,22,1614 2. Divide the sum under subd. 1. by the total amount of state aid that all school
15districts are eligible to be paid from the appropriations under s. 20.255 (2) (ac) and
16(r) and (t), calculated as if the reduction under par. (b) had not occurred.
AB571,22,1917 3. Multiply the amount of state aid that the school district is eligible to be paid
18from the appropriations under s. 20.255 (2) (ac) and (r) and (t), calculated as if the
19reduction under par. (b) had not occurred, by the quotient under subd. 2.
AB571,22,2320 (b) The amount of state aid that the school district operating under ch. 119 is
21eligible to be paid from the appropriations under s. 20.255 (2) (ac) and (r) and (t) shall
22also be reduced by 45% of the amounts paid under s. 119.23 (4) and (4m) in the
23current school year.
AB571, s. 58 24Section 58. 121.085 of the statutes is created to read:
AB571,22,25 25121.085 School aid. (1) In this section:
AB571,23,2
1(a) "Average membership" means the average membership of the 3 school years
2out of the 5 preceding school years that have the highest membership.
AB571,23,63 (b) "Educational cost" means the total cost of instruction and instructional
4support services that is attributable to pupils who reside in the school district, less
5transportation costs, facility acquisition costs, food and community service costs, and
6costs funded by any grant other than a state grant, as determined by the department.
AB571,23,97 (c) "Rate of increase" means the percentage rate that, when applied annually
8for 20 years, results in an aid payment in the 2023-24 school year of $19,000 per pupil
9under sub. (2).
AB571,23,12 10(2) (a) In the 2004-05 school year, the department shall pay to each school
11district, from the appropriations under s. 20.255 (2) (r) and (t), the amount
12determined as follows:
AB571,23,1613 1. Divide the educational cost in the previous school year by the membership
14in the 2003-04 school year, except that if the membership in the 2003-04 school year
15is less than the membership in the 2002-03 school year, divide the educational cost
16in the previous school year by the average membership.
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