SB205: Bill Text

SB205,23,16 (o) Execute all instruments necessary or convenient in the exercise of the powers granted under this section or in the performance of covenants or duties, which may contain such covenants and provisions as a purchaser of the bonds of the authority may reasonably require.

SB205,24,3 (10) Refunding bonds. An authority may issue refunding bonds for the purpose of paying any of its bonds at or prior to maturity or upon acceleration or redemption. An authority may issue refunding bonds at such time prior to the maturity or redemption of the refunded bonds as the authority deems to be in the public interest. The refunding bonds may be issued in sufficient amounts to pay or provide the principal of the bonds being refunded, together with any redemption premium on the bonds, any interest accrued or to accrue to the date of payment of the bonds, the expenses of issue of the refunding bonds, the expenses of redeeming the bonds being refunded, and such reserves for debt service or other capital or current expenses from the proceeds of such refunding bonds as may be required by the resolution, trust indenture, or other security instruments. To the extent applicable, refunding bonds are subject to subs. (8) and (9).

SB205,24,5 (11) Bonds eligible for investment. (a) Any of the following may invest funds, including capital in their control or belonging to them, in bonds of the authority:

SB205,24,6 1. Public officers and agencies of the state.

SB205,24,7 2. Political subdivisions.

SB205,24,8 3. Insurance companies.

SB205,24,9 4. Trust companies.

SB205,24,10 5. Banks.

SB205,24,11 6. Savings banks.

SB205,24,12 7. Savings and loan associations.

SB205,24,13 8. Investment companies.

SB205,24,14 9. Personal representatives.

SB205,24,15 10. Trustees.

SB205,24,16 11. Other fiduciaries not listed in this paragraph.

SB205,24,20 (b) The authority's bonds are securities that may be deposited with and received by any officer or agency of the state or any political subdivision for any purpose for which the deposit of bonds or obligations of the state or any political subdivision is authorized by law.

SB205,25,3 (12) Budgets; rates and charges; audit. The board of directors of an authority shall annually prepare a budget for the authority. Rates and other charges received by the authority shall be used only for the general expenses and capital expenditures of the authority, to pay interest, amortization, and retirement charges on bonds, and for specific purposes of the authority and may not be transferred to any political subdivision. The authority shall maintain an accounting system in accordance with generally accepted accounting principles and shall have its financial statements and debt covenants audited annually by an independent certified public accountant.

SB205,25,5 (13) Withdrawal from authority. (a) A participating political subdivision may withdraw from an authority if all of the following conditions are met:

SB205,25,8 1. The governing body of the political subdivision adopts a resolution by a majority vote of the members of the governing body requesting withdrawal of the political subdivision from the authority.

SB205,25,11 2. The political subdivision has paid, or made provision for the payment of, all obligations of the political subdivision to the authority, including its obligations relative to any outstanding bonds issued by the authority.

SB205,25,16 3. Any tax authorized under sub. (4) (s) that is levied by the authority within the political subdivision continues to be levied for the period of time for which the authority has authorized the tax in a resolution imposing the tax under sub. (4) (s) if such a resolution specifies a time period for the tax or until the effective date of a tax repeal resolution under sub. (4) (s), whichever occurs first.

SB205,26,6 (b) Unless an earlier date for the termination of the provision of transit services has been agreed upon by the withdrawing political subdivision and the authority, if a political subdivision has withdrawn from an authority as provided in par. (a), the political subdivision shall continue to receive services from the authority, in the same manner and to the same extent as those provided to the remaining participating political subdivisions, for so long as the tax continues to be levied as provided in par. (a) 3. Nothing in this paragraph prohibits an authority from changing the manner and extent to which it provides services, including in the withdrawing political subdivision, as long as the services provided in the withdrawing political subdivision remain comparable to those provided in the remaining political subdivisions while the tax continues to be levied in the withdrawing political subdivision. The remaining political subdivisions may choose to increase the tax under sub. (4) (s) and are not required to extend the additional services provided by such additional tax to the withdrawing political subdivision if the additional tax is not also collected in the withdrawing political subdivision.

SB205,26,11 (c) If a political subdivision has withdrawn from an authority as provided in par. (a), the articles of incorporation of the authority shall be amended to reflect the withdrawal of the political subdivision and this amendment shall be filed and published, in the same manner as a resolution, by the withdrawing political subdivision and each participating political subdivision.

SB205,26,13 (d) Withdrawal of a political subdivision from an authority is subject to the resolution provisions specified in sub. (2) (c) 12.

SB205,26,25 (14) Dissolution of authority. An authority may be dissolved if the authority adopts a resolution dissolving the authority. Dissolution of an authority is subject to the resolution provisions specified in sub. (2) (c) 12. Dissolution of an authority may not occur until all outstanding indebtedness of the authority has been paid and all unexpended funds returned to the participating political subdivisions that supplied them, or until adequate provision has been made for the outstanding indebtedness or unexpended funds. An authority may not be dissolved so long as it has bonds outstanding, unless provision for full payment of such bonds, by escrow or otherwise, has been made pursuant to the terms of the bonds or the resolution, trust indenture, or security instrument securing the bonds. The authority shall notify the department of revenue of the authority's dissolution at least 120 days before the dissolution's effective date.

SB205,27,5 (15) Other statutes. This section does not limit the powers of political subdivisions to enter into intergovernmental cooperation or contracts or to establish separate legal entities under s. 66.0301 or 66.1021 or any other applicable law, or otherwise to carry out their powers under applicable statutory provisions. Section 66.0803 (2) does not apply to an authority.

SB205, s. 12 Section 12. 67.01 (5) of the statutes is amended to read:

SB205,27,14 67.01 (5) "Municipality" means any of the following which is authorized to levy a tax: a county, city, village, town, school district, board of park commissioners, technical college district, metropolitan sewerage district created under ss. 200.01 to 200.15 or 200.21 to 200.65, town sanitary district under subch. IX of ch. 60, transit authority created under s. 66.1039, public inland lake protection and rehabilitation district established under s. 33.23, 33.235, or 33.24 , and any other public body empowered to borrow money and issue obligations to repay the money out of public funds or revenues. "Municipality" does not include the state.

SB205, s. 13 Section 13. 70.11 (2) of the statutes is amended to read:

SB205,28,5 70.11 (2) Municipal property and property of certain districts, exception. Property owned by any county, city, village, town, school district, technical college district, public inland lake protection and rehabilitation district, metropolitan sewerage district, municipal water district created under s. 198.22, joint local water authority created under s. 66.0823, transit authority created under s. 66.1039, long-term care district under s. 46.2895 or town sanitary district; lands belonging to cities of any other state used for public parks; land tax-deeded to any county or city before January 2; but any residence located upon property owned by the county for park purposes that is rented out by the county for a nonpark purpose shall not be exempt from taxation. Except as to land acquired under s. 59.84 (2) (d), this exemption shall not apply to land conveyed after August 17, 1961, to any such governmental unit or for its benefit while the grantor or others for his or her benefit are permitted to occupy the land or part thereof in consideration for the conveyance. Leasing the property exempt under this subsection, regardless of the lessee and the use of the leasehold income, does not render that property taxable.

SB205, s. 14 Section 14. 71.26 (1) (b) of the statutes is amended to read:

SB205,28,11 71.26 (1) (b) Political units. Income received by the United States, the state and all counties, cities, villages, towns, school districts, technical college districts, joint local water authorities created under s. 66.0823, transit authorities created under s. 66.1039, long-term care districts under s. 46.2895 or other political units of this state.

SB205, s. 15 Section 15. Chapter 77 (title) of the statutes is amended to read:

SB205,29,2 Chapter 77 TAXATION OF FOREST CROPLANDS; REAL ESTATE TRANSFER FEES; SALES AND USE TAXES; COUNTY, transit authority, AND SPECIAL DISTRICT SALES AND USE TAXES; MANAGED FOREST LAND; RECYCLING SURCHARGE; LOCAL FOOD AND BEVERAGE TAX; LOCAL RENTAL CAR TAX; PREMIER RESORT AREA TAXES; STATE RENTAL VEHICLE FEE; DRY CLEANING FEES; REGIONAL TRANSIT AUTHORITY FEE

SB205, s. 16 Section 16. 77.54 (9a) (er) of the statutes is created to read:

SB205,29,4 77.54 (9a) (er) Any transit authority created under s. 66.1039.

SB205, s. 17 Section 17. Subchapter V (title) of chapter 77 [precedes 77.70] of the statutes is amended to read:

SB205,29,7 Chapter 77

SB205,29,11 SUBCHAPTER V COUNTY, transit authority, AND SPECIAL DISTRICT SALES AND USE TAXES

SB205, s. 18 Section 18. 77.708 of the statutes is created to read:

SB205,29,19 77.708 Adoption by resolution; transit authority. (1) A transit authority created under s. 66.1039, by resolution under s. 66.1039 (4) (s), may impose a sales tax and a use tax under this subchapter at a rate not to exceed 0.5 percent of the gross receipts or sales price or, if lower, not to exceed the maximum rate established by resolution under s. 66.1039 (2) (c) 10. Those taxes may be imposed only in their entirety. The resolution shall be effective on the first day of the first calendar quarter that begins at least 120 days after the adoption of the resolution.

SB205,29,25 (2) Retailers and the department of revenue may not collect a tax under sub. (1) for any transit authority created under s. 66.1039 after the calendar quarter during which the transit authority adopts a repeal resolution under s. 66.1039 (4) (s) or dissolves as provided under s. 66.1039 (14), except that the department of revenue may collect from retailers taxes that accrued before such calendar quarter and fees, interest, and penalties that relate to those taxes.

SB205, s. 19 Section 19. 77.71 (intro.) of the statutes is amended to read:

SB205,30,6 77.71 Imposition of county, transit authority, and special district sales and use taxes. (intro.) Whenever a county sales and use tax ordinance is adopted under s. 77.70, a transit authority resolution is adopted under s. 77.708, or a special district resolution is adopted under s. 77.705 or 77.706, the following taxes are imposed:

SB205, s. 20 Section 20. 77.71 (1) of the statutes is amended to read:

SB205,30,17 77.71 (1) For the privilege of selling, leasing, or renting tangible personal property and for the privilege of selling, performing, or furnishing services a sales tax is imposed upon retailers at the rate of 0.5% in the case of a county tax, at the rate under s. 77.708 in the case of a transit authority tax, or at the rate under s. 77.705 or 77.706 in the case of a special district tax of the gross receipts from the sale, lease, or rental of tangible personal property, except property taxed under sub. (4), sold, leased, or rented at retail in the county or, special district, or transit authority's jurisdictional area, or from selling, performing, or furnishing services described under s. 77.52 (2) in the county or, special district, or transit authority's jurisdictional area.

SB205, s. 21 Section 21. 77.71 (2) of the statutes is amended to read:

SB205,31,7 77.71 (2) An excise tax is imposed at the rate of 0.5% in the case of a county tax, at the rate under s. 77.708 in the case of a transit authority tax, or at the rate under s. 77.705 or 77.706 in the case of a special district tax of the sales price upon every person storing, using, or otherwise consuming in the county or, special district, or transit authority's jurisdictional area tangible personal property or services if the property or service is subject to the state use tax under s. 77.53, except that a receipt indicating that the tax under sub. (1), (3), or (4) has been paid relieves the buyer of liability for the tax under this subsection and except that if the buyer has paid a similar local tax in another state on a purchase of the same property or services that tax shall be credited against the tax under this subsection and except that for motor vehicles that are used for a purpose in addition to retention, demonstration, or display while held for sale in the regular course of business by a dealer the tax under this subsection is imposed not on the sales price but on the amount under s. 77.53 (1m).

SB205, s. 22 Section 22. 77.71 (3) of the statutes is amended to read:

SB205,31,20 77.71 (3) An excise tax is imposed upon a contractor engaged in construction activities within the county or, special district, or transit authority's jurisdictional area, at the rate of 0.5% in the case of a county tax, at the rate under s. 77.708 in the case of a transit authority tax, or at the rate under s. 77.705 or 77.706 in the case of a special district tax of the sales price of tangible personal property that is used in constructing, altering, repairing, or improving real property and that becomes a component part of real property in that county or special district or in the transit authority's jurisdictional area, except that if the contractor has paid the sales tax of a county in the case of a county tax, transit authority, or of a special district in the case of a special district tax in this state on that property, or has paid a similar local sales tax in another state on a purchase of the same property, that tax shall be credited against the tax under this subsection.

SB205, s. 23 Section 23. 77.71 (4) of the statutes is amended to read:

SB205,32,8 77.71 (4) An excise tax is imposed at the rate of 0.5 percent in the case of a county tax, at the rate under s. 77.708 in the case of a transit authority tax, or at the rate under s. 77.705 or 77.706 in the case of a special district tax of the sales price upon every person storing, using or otherwise consuming a motor vehicle, boat, snowmobile, recreational vehicle, as defined in s. 340.01 (48r), trailer, semitrailer, all-terrain vehicle or aircraft, if that property must be registered or titled with this state and if that property is to be customarily kept in a county that has in effect an ordinance under s. 77.70, the jurisdictional area of a transit authority that has in effect a resolution under s. 77.708, or in a special district that has in effect a resolution under s. 77.705 or 77.706, except that if the buyer has paid a similar local sales tax in another state on a purchase of the same property that tax shall be credited against the tax under this subsection.

SB205, s. 24 Section 24. 77.73 of the statutes is amended to read:

SB205,32,15 77.73 Jurisdiction to tax. (1) Retailers making deliveries in their company-operated vehicles of tangible personal property, or of property on which taxable services were performed, to purchasers in a county or, special district, or transit authority's jurisdictional area are doing business in that county or, special district, or jurisdictional area, and that county or, special district, or transit authority has jurisdiction to impose the taxes under this subchapter on them.

SB205,32,22 (2) Counties and, special districts, and transit authorities do not have jurisdiction to impose the tax under s. 77.71 (2) in regard to tangible personal property purchased in a sale that is consummated in another county or special district in this state, or in another transit authority's jurisdictional area, that does not have in effect an ordinance or resolution imposing the taxes under this subchapter and later brought by the buyer into the county or, special district, or jurisdictional area of the transit authority that has imposed a tax under s. 77.71 (2).

SB205, s. 25 Section 25. 77.75 of the statutes is amended to read:

SB205,33,4 77.75 Reports. Every person subject to county, transit authority, or special district sales and use taxes shall, for each reporting period, record that person's sales made in the county or special district, or jurisdictional area of a transit authority, that has imposed those taxes separately from sales made elsewhere in this state and file a report of the measure of the county or special district sales and use taxes and the tax due thereon separately.

SB205, s. 26 Section 26. 77.76 (1) of the statutes is amended to read:

SB205,33,12 77.76 (1) The department of revenue shall have full power to levy, enforce, and collect county, transit authority, and special district sales and use taxes and may take any action, conduct any proceeding, impose interest and penalties, and in all respects proceed as it is authorized to proceed for the taxes imposed by subch. III. The department of transportation and the department of natural resources may administer the county, transit authority, and special district sales and use taxes in regard to items under s. 77.61 (1).

SB205, s. 27 Section 27. 77.76 (2) of the statutes is amended to read:

SB205,33,17 77.76 (2) Judicial and administrative review of departmental determinations shall be as provided in subch. III for state sales and use taxes, and no county, transit authority, or special district may intervene in any matter related to the levy, enforcement, and collection of the taxes under this subchapter.

SB205, s. 28 Section 28. 77.76 (3r) of the statutes is created to read:

SB205,34,11 77.76 (3r) From the appropriation under s. 20.835 (4) (gc) the department of revenue shall distribute 98.5 percent of the taxes reported for each transit authority that has imposed taxes under this subchapter, minus the transit authority portion of the retailers' discount, to the transit authority no later than the end of the 3rd month following the end of the calendar quarter in which such amounts were reported. At the time of distribution the department of revenue shall indicate the taxes reported by each taxpayer. In this subsection, the "transit authority portion of the retailers' discount" is the amount determined by multiplying the total retailers' discount by a fraction the numerator of which is the gross transit authority sales and use taxes payable and the denominator of which is the sum of the gross state and transit authority sales and use taxes payable. The transit authority taxes distributed shall be increased or decreased to reflect subsequent refunds, audit adjustments, and all other adjustments of the transit authority taxes previously distributed. Interest paid on refunds of transit authority sales and use taxes shall be paid from the appropriation under s. 20.835 (4) (gc) at the rate paid by this state under s. 77.60 (1) (a). Any transit authority receiving a report under this subsection is subject to the duties of confidentiality to which the department of revenue is subject under s. 77.61 (5).

SB205, s. 29 Section 29. 77.76 (4) of the statutes is amended to read:

SB205,34,18 77.76 (4) There shall be retained by the state 1.5% of the taxes collected for taxes imposed by special districts under ss. 77.705 and 77.706 and transit authorities under s. 77.708 and 1.75% of the taxes collected for taxes imposed by counties under s. 77.70 to cover costs incurred by the state in administering, enforcing, and collecting the tax. All interest and penalties collected shall be deposited and retained by this state in the general fund.

SB205, s. 30 Section 30. 77.76 (5) of the statutes is created to read:

SB205,35,2 77.76 (5) If a retailer receives notice from the department of revenue that the retailer is required to collect and remit the taxes imposed under s. 77.708, but the retailer believes that the retailer is not required to collect such taxes because the retailer is not doing business within the transit authority's jurisdiction, the retailer shall notify the department of revenue no later than 30 days after receiving notice from the department. The department of revenue shall affirm or revise its original determination no later than 30 days after receiving the retailer's notice.

SB205, s. 31 Section 31. 77.77 (1) of the statutes is amended to read:

SB205,35,9 77.77 (1) The gross receipts from services subject to the tax under s. 77.52 (2) are not subject to the taxes under this subchapter, and the incremental amount of tax caused by a rate increase applicable to those services is not due, if those services are billed to the customer and paid for before the effective date of the county ordinance, special district resolution, transit authority resolution, or rate increase, whether the service is furnished to the customer before or after that date.

SB205, s. 32 Section 32. 77.77 (1) of the statutes, as affected by 2009 Wisconsin Acts 2 and .... (this act), is repealed and recreated to read:

SB205,35,20 77.77 (1) (a) The sales price from services subject to the tax under s. 77.52 (2) or the lease, rental, or license of tangible personal property and property, items, and goods specified under s. 77.52 (1) (b), (c), and (d), is subject to the taxes under this subchapter, and the incremental amount of tax caused by a rate increase applicable to those services, leases, rentals, or licenses is due, beginning with the first billing period starting on or after the effective date of the county ordinance, special district resolution, transit authority resolution, or rate increase, regardless of whether the service is furnished or the property, item, or good is leased, rented, or licensed to the customer before or after that date.

SB205,36,4 (b) The sales price from services subject to the tax under s. 77.52 (2) or the lease, rental, or license of tangible personal property and property, items, and goods specified under s. 77.52 (1) (b), (c), and (d), is not subject to the taxes under this subchapter, and a decrease in the tax rate imposed under this subchapter on those services first applies, beginning with bills rendered on or after the effective date of the repeal or sunset of a county ordinance, transit authority resolution, or special district resolution imposing the tax or other rate decrease, regardless of whether the service is furnished or the property, item, or good is leased, rented, or licensed to the customer before or after that date.

SB205, s. 33 Section 33. 77.77 (2) of the statutes is amended to read:

SB205,36,10 77.77 (2) Lease or rental receipts from tangible personal property that the lessor is obligated to furnish at a fixed price under a contract entered into before the effective date of a county ordinance, transit authority resolution, or special district resolution are subject to the taxes under this subchapter on the effective date of the ordinance or resolution, as provided for the state sales tax under s. 77.54 (18).

SB205, s. 34 Section 34. 77.77 (2) of the statutes, as affected by 2009 Wisconsin Act .... (this act), is repealed.

SB205, s. 35 Section 35. 77.77 (3) of the statutes is amended to read:

SB205,36,23 77.77 (3) The sale of building materials to contractors engaged in the business of constructing, altering, repairing or improving real estate for others is not subject to the taxes under this subchapter, and the incremental amount of tax caused by the rate increase applicable to those materials is not due, if the materials are affixed and made a structural part of real estate, and the amount payable to the contractor is fixed without regard to the costs incurred in performing a written contract that was irrevocably entered into prior to the effective date of the county ordinance, special district resolution, transit authority resolution, or rate increase or that resulted from the acceptance of a formal written bid accompanied by a bond or other performance guaranty that was irrevocably submitted before that date.

SB205, s. 36 Section 36. 77.78 of the statutes is amended to read:

SB205,37,7 77.78 Registration. No motor vehicle, boat, snowmobile, recreational vehicle, as defined in s. 340.01 (48r), trailer, semitrailer, all-terrain vehicle or aircraft that is required to be registered by this state may be registered or titled by this state unless the registrant files a sales and use tax report and pays the county tax, transit authority tax, and special district tax at the time of registering or titling to the state agency that registers or titles the property. That state agency shall transmit those tax revenues to the department of revenue.

SB205, s. 37 Section 37. 345.05 (1) (a) of the statutes is renumbered 345.05 (1) (am).

SB205, s. 38 Section 38. 345.05 (1) (ag) of the statutes is created to read:

SB205,37,10 345.05 (1) (ag) "Authority" means a transit authority created under s. 66.1039.

SB205, s. 39 Section 39. 345.05 (2) of the statutes is amended to read:

SB205,37,20 345.05 (2) A person suffering any damage proximately resulting from the negligent operation of a motor vehicle owned and operated by a municipality or authority, which damage was occasioned by the operation of the motor vehicle in the course of its business, may file a claim for damages against the municipality or authority concerned and the governing body thereof of the municipality, or the board of directors of the authority, may allow, compromise, settle and pay the claim. In this subsection, a motor vehicle is deemed owned and operated by a municipality or authority if the vehicle is either being rented or leased, or is being purchased under a contract whereby the municipality or authority will acquire title.

SB205, s. 40 Section 40. 611.11 (4) (a) of the statutes is amended to read:

SB205,37,23 611.11 (4) (a) In this subsection, "municipality" has the meaning given in s. 345.05 (1) (c), but also includes any transit authority created under s. 66.1039.

SB205, s. 41 Section 41. Effective dates. This act takes effect on the day after publication, except as follows:

SB205,38,2 (1) The repeal and recreation of section 40.02 (28) of the statutes takes effect on January 1, 2010.

SB205,38,4 (2) The repeal and recreation of section 77.77 (1) of the statutes takes effect on October 1, 2009, or on the day after publication, whichever is later.

SB205,38,5 (3) The repeal of section 77.77 (2) of the statutes takes effect on October 1, 2009.