2. An analysis of alternative to the proposed rule, including the alternative of
not promulgating the rule.

3. A determination made in consultation with the businesses and individuals
that may be affected by the proposed rule as to whether the proposed rule would
adversely affect in a material way the economy, a sector of the economy, productivity,
jobs, or the overall economic competitiveness of this state.
4. Comparisons with the approaches used by the federal government and by
Illinois, Iowa, Michigan, and Minnesota to address the policy problem that the
proposed rule is intending to address and, if the approach chosen by the agency to
address that policy problem is different from those approaches, a statement as to why
the agency chose a different approach.
5. An assessment of how effective the proposed rule will be in addressing the
policy problem that the rule is intended to address.
In addition, the bill requires all of the following:
1. An agency to submit an economic impact statement not only to the legislative
council staff and DOA as under current law but also to the governor and to the chief
clerk of each house of the legislature for distribution to the presiding officers of each
house, the chairpersons of the appropriate standing committees of each house, and
the cochairpersons of the Joint Committee for Review of Administrative Rules
(JCRAR).
2. DOA to issue a report on a proposed rule, and the secretary to approve a
proposed rule, if the economic impact analysis indicates that a total of $20,000,000
or more in implementation and compliance costs are reasonably expected to be
incurred by or passed along to businesses and individuals as a result of the proposed
rule.
3. An agency to prepare a revised economic impact analysis if a proposed rule
is modified after the original economic impact analysis is submitted so as to
significantly change the economic impact of the proposed rule.
4. The legislative council staff to provide on its Internet site an economic impact
analysis submitted to the legislative council staff or a link to that analysis.
5. A notice of a public hearing on a proposed rule to include the economic impact
analysis for the proposed rule and any report on the proposed rule prepared by DOA,
or a summary of that analysis and report and a description of how the full analysis
and report may be obtained from the agency at no charge.
6. An agency to prepare an economic impact analysis for a proposed emergency
rule and to submit that analysis to DOA, to the governor, and to the chief clerks of
each house of the legislature for distribution to the presiding officers of each house,
to the chairpersons of the appropriate standing committees of each house, and to the
cochairpersons of JCRAR. If the economic impact analysis indicates that a total of
$20,000,000 or more in implementation and compliance costs are reasonably
expected to be incurred by or passed along to businesses and individuals as a result
of the proposed emergency rule, DOA must review the proposed rule and issue a
report, and the agency may not file the proposed emergency rule with the LRB until
the agency receives a copy of that report and the approval of the secretary.
Venue in judicial review actions and in actions against state
Under current law, subject to certain exceptions, the exclusive means of judicial
review of the validity of a rule is by an action for declaratory judgment as to the

validity of the rule brought in the circuit court for Dane County. This bill permits a
declaratory judgment action seeking judicial review of the validity of a rule to be
brought in the county where the party asserting the invalidity of the rule resides or
has its principal place of business.
Under current law, any civil action or special proceeding in which the state, a
state board or commission, or a state officer, employee, or agent acting in his or her
official capacity is the sole defendant, is venued in Dane County. Under the bill, those
actions are venued in the county where the plaintiff resides unless a different venue
is specifically authorized by law. Under the bill, if a plaintiff is not a resident of the
state or is not a natural person, the action is venued in the county where the dispute
arose.
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:
AB8, s. 1 1Section 1. 227.10 (2m) of the statutes is created to read:
AB8,6,72 227.10 (2m) No agency may implement or enforce any standard, requirement,
3or threshold as a term or condition of any license issued by the agency unless such
4implementation or enforcement is expressly required or permitted by statute or by
5a rule that has been promulgated in accordance with this subchapter. The governor,
6by executive order, may prescribe standards to ensure that rules are promulgated in
7compliance with this subchapter.
AB8, s. 2 8Section 2. 227.11 (2) (a) of the statutes is renumbered 227.11 (2) (a) (intro.) and
9amended to read:
AB8,6,1510 227.11 (2) (a) (intro.) Each agency may promulgate rules interpreting the
11provisions of any statute enforced or administered by it the agency, if the agency
12considers it necessary to effectuate the purpose of the statute, but a rule is not valid
13if it the rule exceeds the bounds of correct interpretation. All of the following apply
14to the promulgation of a rule interpreting the provisions of a statute enforced or
15administered by an agency:
AB8, s. 3
1Section 3. 227.11 (2) (a) 1. to 3. of the statutes are created to read:
AB8,7,62 227.11 (2) (a) 1. A statutory or nonstatutory provision containing a statement
3or declaration of legislative intent, purpose, findings, or policy does not confer
4rule-making authority on the agency or augment the agency's rule-making
5authority beyond the rule-making authority that is expressly conferred on the
6agency by the legislature.
AB8,7,107 2. A statutory provision describing the agency's general powers or duties does
8not confer rule-making authority on the agency or augment the agency's
9rule-making authority beyond the rule-making authority that is expressly
10conferred on the agency by the legislature.
AB8,7,1511 3. A statutory provision containing a specific standard, requirement, or
12threshold does not confer on the agency the authority to promulgate, enforce, or
13administer a rule that contains a standard, requirement, or threshold that is more
14restrictive than the standard, requirement, or threshold contained in the statutory
15provision.
AB8, s. 4 16Section 4. 227.135 (2) of the statutes is amended to read:
AB8,8,1017 227.135 (2) Until An agency that has prepared a statement of the scope of the
18proposed rule shall present the statement to the governor and to
the individual or
19body with policy-making powers over the subject matter of a the proposed rule
20approves a statement of the scope of the proposed rule, a state employee or official
21may not perform any activity in connection with drafting the proposed rule except
22for an activity necessary to prepare the statement
for approval. The agency may not
23send the statement to the legislative reference bureau for publication under sub. (3)
24until the governor issues a written notice of approval of the statement
. The
25individual or body with policy-making powers may not approve a the statement

1until at least 10 days after publication of the statement in the register as required
2under sub. (3). If the individual or body with policy-making powers does not
3disapprove the statement within 30 days after the statement is presented to the
4individual or body, or by the 11th day after publication of the statement in the
5register, whichever is later, the statement is considered to be approved
No state
6employee or official may perform any activity in connection with the drafting of a
7proposed rule except for an activity necessary to prepare the statement of the scope
8of the proposed rule until the governor and the individual or body with
9policy-making powers over the subject matter of the proposed rule approves the
10statement
.
AB8, s. 5 11Section 5. 227.135 (3) of the statutes is amended to read:
AB8,8,1612 227.135 (3) The agency shall send the If the governor approves a statement of
13the scope of a proposed rule under sub. (2), the agency shall send the statement to
14the legislative reference bureau for publication in the register. On the same day that
15the agency sends the statement to the legislative reference bureau, the agency shall
16send a copy of the statement to the secretary of administration.
AB8, s. 6 17Section 6. 227.135 (4) of the statutes is repealed and recreated to read:
AB8,9,318 227.135 (4) If at any time after a statement of the scope of a proposed rule is
19approved under sub. (2) the agency changes the scope of the proposed rule in any
20meaningful or measurable way, including changing the scope of the proposed rule so
21as to include in the scope any activity, business, material, or product that is not
22specifically included in the original scope of the proposed rule, the agency shall
23prepare and obtain approval of a revised statement of the scope of the proposed rule
24in the same manner as the original statement was prepared and approved under
25subs. (1) and (2). No state employee or official may perform any activity in connection

1with the drafting of the proposed rule except for an activity necessary to prepare the
2revised statement of the scope of the proposed rule until the revised statement is so
3approved.
AB8, s. 7 4Section 7. 227.137 (title) of the statutes is amended to read:
AB8,9,5 5227.137 (title) Economic impact reports analyses of proposed rules.
AB8, s. 8 6Section 8. 227.137 (1) of the statutes is repealed.
AB8, s. 9 7Section 9. 227.137 (2) (intro.) of the statutes is renumbered 227.137 (2) and
8amended to read:
AB8,9,249 227.137 (2) After an agency publishes a statement of the scope of a proposed
10rule under s. 227.135, and before the agency submits the proposed rule to the
11legislature for review under s. 227.19 (2), a municipality, an association that
12represents a farm, labor, business, or professional group, or 5 or more persons that
13would be directly and uniquely affected by the proposed rule may submit a petition
14to the department of administration asking that the secretary of administration
15direct the agency to prepare an economic impact report for the proposed rule. The

16An agency shall prepare an economic impact report analysis for a proposed rule
17before submitting the proposed rule to the legislature for review under s. 227.19 (2)
18if the secretary of administration directs the agency to prepare that report. The
19secretary of administration may direct the agency to prepare an economic impact
20report for the proposed rule before submitting the proposed rule to the legislature for
21review under s. 227.19 (2). The secretary of administration shall direct the agency
22to prepare an economic impact report for the proposed rule before submitting the
23proposed rule to the legislature for review under s. 227.19 (2) if the secretary
24determines that all of the following apply:
legislative council staff under s. 227.15.
AB8, s. 10 25Section 10. 227.137 (2) (a) of the statutes is repealed.
AB8, s. 11
1Section 11. 227.137 (2) (b) of the statutes is repealed.
AB8, s. 12 2Section 12. 227.137 (3) (intro.) of the statutes is amended to read:
AB8,10,133 227.137 (3) (intro.) An economic impact report analysis of a proposed rule shall
4contain information on the economic effect of the proposed rule on specific
5businesses, business sectors, public utility ratepayers, and the state's economy as a
6whole
. When preparing the report analysis, the agency shall solicit information and
7advice from the department of commerce, and from governmental units,
8associations,
businesses, associations representing businesses, local governmental
9units,
and individuals that may be affected by the proposed rule. The agency may
10request information that is reasonably necessary for the preparation of an economic
11impact report analysis from other state agencies, governmental units, associations,
12businesses, associations, local governmental units, and individuals and from other
13agencies
. The economic impact report shall include all of the following:
AB8, s. 13 14Section 13. 227.137 (3) (a) of the statutes is amended to read:
AB8,10,2015 227.137 (3) (a) An analysis and quantification of the policy problem, including
16any risks to public health or the environment,
that the proposed rule is intending to
17address, including comparisons with the approaches used by the federal government
18and by Illinois, Iowa, Michigan, and Minnesota to address that policy problem and,
19if the approach chosen by the agency to address that policy problem is different from
20those approaches, a statement as to why the agency chose a different approach
.
AB8, s. 14 21Section 14. 227.137 (3) (b) of the statutes is amended to read:
AB8,11,222 227.137 (3) (b) An analysis and detailed quantification of the economic impact
23of the proposed rule, including the implementation and compliance costs that are
24reasonably expected to be incurred by the state, governmental units, associations,

1or passed along to the businesses, and affected individuals that may be affected by
2the proposed rule
.
AB8, s. 15 3Section 15. 227.137 (3) (c) of the statutes is amended to read:
AB8,11,74 227.137 (3) (c) An analysis of the actual and quantifiable benefits of the
5proposed rule, including how the rule reduces the risks and addresses the problems
6an assessment of how effective the proposed rule will be in addressing the policy
7problem
that the rule is intended to address.
AB8, s. 16 8Section 16. 227.137 (3) (d) of the statutes is created to read:
AB8,11,109 227.137 (3) (d) An analysis of alternatives to the proposed rule, including the
10alternative of not promulgating the proposed rule.
AB8, s. 17 11Section 17. 227.137 (3) (e) of the statutes is created to read:
AB8,11,1512 227.137 (3) (e) A determination made in consultation with the businesses and
13individuals that may be affected by the proposed rule as to whether the proposed rule
14would adversely affect in a material way the economy, a sector of the economy,
15productivity, jobs, or the overall economic competitiveness of this state.
AB8, s. 18 16Section 18. 227.137 (4) of the statutes is amended to read:
AB8,12,417 227.137 (4) The On the same day that the agency shall submit submits the
18economic impact report analysis to the legislative council staff, under s. 227.15 (1),
19the agency shall also submit that analysis
to the department of administration, and
20to the petitioner
to the governor, and to the chief clerks of each house of the
21legislature, who shall distribute the analysis to the presiding officers of their
22respective houses, to the chairpersons of the appropriate standing committees of
23their respective houses, as designated by those presiding officers, and to the
24cochairpersons of the joint committee for review of administrative rules. If a
25proposed rule is modified after the economic impact analysis is submitted under this

1subsection so that the economic impact of the proposed rule is significantly changed,
2the agency shall prepare a revised economic impact analysis for the proposed rule as
3modified. A revised economic impact analysis shall be prepared and submitted in the
4same manner as an original economic impact analysis is prepared and submitted
.
AB8, s. 19 5Section 19. 227.137 (5) of the statutes is repealed.
AB8, s. 20 6Section 20. 227.138 (title) and (1) of the statutes are repealed.
AB8, s. 21 7Section 21. 227.138 (2) (intro.) of the statutes is renumbered 227.137 (6)
8(intro.) and amended to read:
AB8,12,179 227.137 (6) (intro.) If an economic impact report will be prepared under s.
10227.137 (2)
analysis regarding a proposed rule indicates that a total of $20,000,000
11or more in implementation and compliance costs are reasonably expected to be
12incurred by or passed along to businesses and individuals as a result of the proposed
13rule
, the department of administration shall review the proposed rule and issue a
14report. The agency shall may not submit a proposed rule to the legislature for review
15under s. 227.19 (2) until the agency receives a copy of the department's report and
16the approval of the secretary of administration. The report shall include all of the
17following findings:
AB8, s. 22 18Section 22. 227.138 (2) (a) of the statutes is renumbered 227.138 (6) (a) and
19amended to read:
AB8,12,2220 227.138 (6) (a) That the economic impact report and the analysis required
21under s. 227.137 (3) are
is supported by related documentation contained or
22referenced
in the economic impact report analysis.
AB8, s. 23 23Section 23. 227.138 (2) (b) of the statutes is renumbered 227.137 (6) (b).
AB8, s. 24 24Section 24. 227.138 (2) (c) of the statutes is renumbered 227.137 (6) (c).
AB8, s. 25 25Section 25. 227.138 (2) (d) of the statutes is renumbered 227.137 (6) (d).
AB8, s. 26
1Section 26. 227.138 (3) of the statutes is renumbered 227.137 (7) and amended
2to read:
AB8,13,93 227.137 (7) Before issuing a report under sub. (2) (6), the department of
4administration
may return a proposed rule to the agency for further consideration
5and revision with a written explanation of why the proposed rule is being returned.
6If the agency head disagrees with the department's reasons for returning the
7proposed rule, the agency head shall so notify the department in writing. The
8secretary of administration shall approve the proposed rule when the agency has
9adequately addressed the issues raised during the department's review of the rule.
AB8, s. 27 10Section 27. 227.138 (4) of the statutes is repealed.
AB8, s. 28 11Section 28. 227.14 (2) (a) 6. of the statutes is amended to read:
AB8,13,1512 227.14 (2) (a) 6. Any analysis and supporting documentation that the agency
13used in support of the agency's determination of the rule's effect on small businesses
14under s. 227.114 or that was used when the agency prepared an economic impact
15report analysis under s. 227.137 (3).
AB8, s. 29 16Section 29. 227.15 (1) of the statutes is amended to read:
AB8,14,217 227.15 (1) Submittal to legislative council staff. Prior to a public hearing
18on a proposed rule or, if no public hearing is required, prior to notice under s. 227.19,
19an agency shall submit the proposed rule to the legislative council staff for review.
20The proposed rule shall be in the form required under s. 227.14 (1), and shall include
21the material required under s. 227.14 (2) to (4), (3), and (4) and the economic impact
22analysis required under s. 227.137 (2)
. An agency may not hold a public hearing on
23a proposed rule or give notice under s. 227.19 until after it has received a written
24report of the legislative council staff review of the proposed rule or until after the
25initial review period of 20 working days under sub. (2) (intro.), whichever comes first.

1An agency may give notice of a public hearing prior to receipt of the legislative council
2staff report. This subsection does not apply to rules promulgated under s. 227.24.
AB8, s. 30 3Section 30. 227.15 (1m) (bm) of the statutes is created to read:
AB8,14,44 227.15 (1m) (bm) The economic impact analysis required under s. 227.137 (2).
AB8, s. 31 5Section 31. 227.17 (3) (em) of the statutes is created to read:
AB8,14,96 227.17 (3) (em) The economic impact analysis required under s. 227.137 (2) and
7any report prepared by the department of administration under s. 227.137 (6), or a
8summary of that analysis and report and a description of how a copy of the full
9analysis and report may be obtained from the agency at no charge.
AB8, s. 32 10Section 32. 227.185 of the statutes is created to read:
AB8,14,18 11227.185 Approval by governor. After a proposed rule is in final draft form,
12the agency shall submit the proposed rule to the governor for approval. The governor,
13in his or her discretion, may approve, modify, or reject the proposed rule. If the
14governor approves a proposed rule, the governor shall provide the agency with a
15written notice of that approval. No proposed rule may be submitted to the legislature
16for review under s. 227.19 (2) or filed with the legislative reference bureau under s.
17227.20 for publication under s. 227.21 unless the governor has approved the proposed
18rule in writing.
AB8, s. 33 19Section 33. 227.19 (3) (intro.) of the statutes is amended to read:
AB8,15,220 227.19 (3) Form of report. (intro.) The report required under sub. (2) shall be
21in writing and shall include the proposed rule in the form specified in s. 227.14 (1),
22the material specified in s. 227.14 (2) to, (3), and (4), a copy of any economic impact
23report analysis prepared by the agency under s. 227.137 (2), a copy of any report
24prepared by the department of administration under s. 227.138 227.137 (6), a copy
25of any energy impact report received from the public service commission under s.

1227.117 (2), and a copy of any recommendations of the legislative council staff. The
2report shall also include all of the following:
AB8, s. 34 3Section 34. 227.24 (1) (e) 1. of the statutes is renumbered 227.24 (1) (e) 1m.
AB8, s. 35 4Section 35. 227.24 (1) (e) 1d. of the statutes is created to read:
AB8,15,125 227.24 (1) (e) 1d. Prepare a statement of the scope of the proposed emergency
6rule as provided in s. 227.135 (1), obtain approval of the statement as provided in s.
7227.135 (2), and send the statement to the legislative reference bureau for
8publication in the register under s. 227.135 (3) at the same time that the proposed
9emergency rule is published. If the agency changes the scope of a proposed
10emergency rule as described in s. 227.135 (4), the agency shall prepare and obtain
11approval of a revised statement of the scope of the proposed emergency rule as
12provided in s. 227.135 (4).
AB8, s. 36 13Section 36. 227.24 (1) (e) 1g. of the statutes is created to read:
AB8,15,1614 227.24 (1) (e) 1g. Submit the proposed emergency rule in final draft form to the
15governor for approval as provided in s. 227.185. An agency may not file an emergency
16rule for publication until the governor approves the emergency rule in writing.
AB8, s. 37 17Section 37. 227.24 (3g) of the statutes is created to read:
AB8,16,718 227.24 (3g) Economic impact analysis. Before filing a proposed emergency rule
19under sub. (3), an agency shall prepare an economic impact analysis for the proposed
20emergency rule in the manner required under s. 227.137 (3) and shall submit that
21analysis to the department of administration, to the governor, and to the chief clerks
22of each house of the legislature, who shall distribute the analysis to the presiding
23officers of their respective houses, to the chairpersons of the appropriate standing
24committees of their respective houses, as designated by those presiding officers, and
25to the cochairpersons of the joint committee for review of administrative rules. If the

1economic impact analysis indicates that a total of $20,000,000 or more in
2implementation and compliance costs are reasonably expected to be incurred by or
3passed along to businesses and individuals as a result of the proposed emergency
4rule, the department of administration shall review the proposed rule and issue a
5report under s. 227.137 (6). The agency may not file the proposed emergency rule
6until the agency receives a copy of the department of administration's report and the
7approval of the secretary of administration under s. 227.137 (7).
AB8, s. 38 8Section 38. 227.40 (1) of the statutes is amended to read:
AB8,16,249 227.40 (1) Except as provided in sub. (2), the exclusive means of judicial review
10of the validity of a rule shall be an action for declaratory judgment as to the validity
11of such the rule brought in the circuit court for the county where the party asserting
12the invalidity of the rule resides or has its principal place of business or, if that party
13is a nonresident or does not have its principal place of business in this state,
in the
14circuit court for Dane County. The officer, board, commission or other agency whose
15rule is involved shall be the party defendant. The summons in such the action shall
16be served as provided in s. 801.11 (3) and by delivering a copy to such that officer or,
17if the agency is composed of more than one person,
to the secretary or clerk of the
18agency where composed of more than one person or to any member of such the agency.
19The court shall render a declaratory judgment in such the action only when it
20appears from the complaint and the supporting evidence that the rule or its
21threatened application interferes with or impairs, or threatens to interfere with or
22impair, the legal rights and privileges of the plaintiff. A declaratory judgment may
23be rendered whether or not the plaintiff has first requested the agency to pass upon
24the validity of the rule in question.
AB8, s. 39 25Section 39. 801.50 (3) of the statutes is amended to read:
AB8,17,5
1801.50 (3) All actions in which the sole defendant is the state, any state board
2or commission or any state officer, employee or agent in an official capacity shall be
3venued in Dane County the county where the plaintiff resides unless another venue
4is specifically authorized by law. If the plaintiff is a nonresident or is not a natural
5person, the action shall be venued in the county where the dispute arose.
AB8, s. 9309 6Section 9309. Initial applicability; Circuit Courts.
AB8,17,97 (1) Venue in declaratory judgment actions. The treatment of section 227.40
8(1) of the statutes first applies to an action for declaratory judgment commenced on
9the effective date of this subsection.
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