SB550,13,221 102.03 (4) The right to compensation and the amount of the compensation shall
22in all cases be determined in accordance with the provisions of law in effect as of the
23date of the injury except as to employees whose rate of compensation is changed as
24provided in ss. 102.43 (7) or 102.44 (1), (1m), (4m), or (5) or, before May 1, 2014 2016,
25as provided in s. 102.43 (5) (c) and employees who are eligible to receive private

1rehabilitative counseling and rehabilitative training under s. 102.61 (1m) and except
2as provided in s. 102.555 (12) (b).
SB550,5 3Section 5. 102.04 (1) (a) of the statutes is amended to read:
SB550,13,64 102.04 (1) (a) The state, and each county, city, town, village, school district,
5sewer district, drainage district, long-term care district and other public or
6quasi-public corporations therein
local governmental unit in this state.
SB550,6 7Section 6. 102.04 (2m) of the statutes is amended to read:
SB550,13,168 102.04 (2m) A temporary help agency is the employer of an employee whom
9the temporary help agency has placed with or leased to another employer that
10compensates the temporary help agency for the employee's services. A temporary
11help agency is liable under s. 102.03 for all compensation and other payments
12payable under this chapter to or with respect to that employee, including any
13payments required under s. 102.16 (3), 102.18 (1) (b) 3. or (bp), 102.22 (1), 102.35 (3),
14102.57, or 102.60. Except as permitted under s. 102.29, a temporary help agency may
15not seek or receive reimbursement from another employer for any payments made
16as a result of that liability.
SB550,7 17Section 7. 102.07 (1) (a) of the statutes is amended to read:
SB550,14,418 102.07 (1) (a) Every person, including all officials, in the service of the state,
19or of any municipality therein local governmental unit in this state, whether elected
20or under any appointment, or contract of hire, express or implied, and whether a
21resident of the state or employed or injured within or without the state. The state
22and or any municipality local governmental unit may require a bond from a
23contractor to protect the state or municipality local governmental unit against
24compensation to employees of such the contractor or to employees of a subcontractor
25under the contractor. This paragraph does not apply beginning on the first day of the

1first July beginning after the day that the secretary files the certificate under s.
2102.80 (3) (a), except that if the secretary files the certificate under s. 102.80 (3) (ag)
3this paragraph does apply to claims for compensation filed on or after the date
4specified in that certificate.
SB550,8 5Section 8. 102.07 (1) (b) of the statutes is amended to read:
SB550,14,136 102.07 (1) (b) Every person, including all officials, in the service of the state,
7or of any municipality therein local governmental unit in this state, whether elected
8or under any appointment, or contract of hire, express or implied, and whether a
9resident of the state or employed or injured within or without the state. This
10paragraph first applies on the first day of the first July beginning after the day that
11the secretary files the certificate under s. 102.80 (3) (a), except that if the secretary
12files the certificate under s. 102.80 (3) (ag) this paragraph does apply to claims for
13compensation filed on or after the date specified in that certificate.
SB550,9 14Section 9. 102.07 (3) of the statutes is amended to read:
SB550,14,2115 102.07 (3) Nothing herein contained shall prevent municipalities in this
16chapter prevents a local governmental unit
from paying teachers, police officers, fire
17fighters and other employees
a teacher, police officer, fire fighter, or any other
18employee his or her
full salaries salary during a period of disability, nor interfere
19interferes with any pension funds fund, nor prevent prevents payment to teachers,
20police officers or fire fighters therefrom
a teacher, police officer, fire fighter, or any
21other employee from a pension fund
.
SB550,10 22Section 10. 102.07 (7) (a) of the statutes is amended to read:
SB550,15,723 102.07 (7) (a) Every member of a volunteer fire company or fire department
24organized under ch. 213, a legally organized rescue squad, or a legally organized
25diving team is considered to be an employee of that company, department, squad, or

1team. Every member of a company, department, squad, or team described in this
2paragraph, while serving as an auxiliary police officer at an emergency, is also
3considered to be an employee of that company, department, squad, or team. If a
4company, department, squad, or team described in this paragraph has not insured
5its liability for compensation to its employees, the municipality or county political
6subdivision
within which that company, department, squad, or team was organized
7shall be liable for that compensation.
SB550,11 8Section 11. 102.07 (10) of the statutes is amended to read:
SB550,15,199 102.07 (10) Further to effectuate the policy of the state that the benefits of this
10chapter shall extend and be granted to employees in the service of the state, or of any
11municipality therein local governmental unit in this state, on the same basis, in the
12same manner, under the same conditions, and with like right of recovery as in the
13case of employees of persons, firms, or private corporations, any question whether
14any person is an employee under this chapter shall be governed by and determined
15under the same standards, considerations, and rules of decision in all cases under
16subs. (1) to (9). Any statutes, ordinances, or administrative regulations which
17statute, ordinance, or rule that may be otherwise applicable to the classes of
18employees enumerated in sub. (1) shall not be controlling in deciding whether any
19person is an employee for the purposes of this chapter.
SB550,12 20Section 12. 102.07 (12m) of the statutes is renumbered 102.07 (12m) (b) and
21amended to read:
SB550,16,522 102.07 (12m) (b) A student of a public school, as described in s. 115.01 (1), or
23a private school, as defined in s. 115.001 (3r), or an institution of higher education,
24while he or she is engaged in performing services as part of a school work training,
25work experience, or work study program, and who is not on the payroll of an employer

1that is providing the work training or work experience or who is not otherwise
2receiving compensation on which a worker's compensation carrier could assess
3premiums on that employer, is an employee of a school district or, private school, or
4institution of higher education
that elects under s. 102.077 to name the student as
5its employee.
SB550,13 6Section 13. 102.07 (12m) (a) of the statutes is created to read:
SB550,16,77 102.07 (12m) (a) In this subsection:
SB550,16,128 1. "Institution of higher education" means an institution within the University
9of Wisconsin System, a technical college, a tribally controlled college controlled by
10an Indian tribe that has elected under s. 102.05 (2) to become subject to this chapter,
11a school approved under s. 38.50, or a private, nonprofit institution of higher
12education located in this state.
SB550,16,1313 2. "Private school" has the meaning given in s. 115.001 (3r).
SB550,16,1414 3. "Public school" means a school described in s. 115.01 (1).
SB550,14 15Section 14. 102.077 (1) of the statutes is amended to read:
SB550,17,216 102.077 (1) A school district or a , private school, as defined in s. 115.001 (3r),
17or institution of higher education may elect to name as its employee for purposes of
18this chapter a student described in s. 102.07 (12m) (b) by an endorsement on its policy
19of worker's compensation insurance or, if the school district or, private school, or
20institution of higher education
is exempt from the duty to insure under s. 102.28 (2)
21(a), by filing a declaration with the department in the manner provided in s. 102.31
22(2) (a) naming the student as an employee of the school district or, private school, or
23institution of higher education
for purposes of this chapter. A declaration under this
24subsection shall list the name of the student to be covered under this chapter, the
25name and address of the employer that is providing the work training or work

1experience for that student, and the title, if any, of the work training, work
2experience, or work study program in which the student is participating.
SB550,15 3Section 15. 102.077 (2) of the statutes is amended to read:
SB550,17,94 102.077 (2) A school district or, private school, or institution of higher
5education
may revoke a declaration under sub. (1) by providing written notice to the
6department in the manner provided in s. 102.31 (2) (a), the student , and the employer
7who is providing the work training or work experience for that student. A revocation
8under this subsection is effective 30 days after the department receives notice of that
9revocation.
SB550,16 10Section 16. 102.11 (1) (intro.) of the statutes is amended to read:
SB550,18,211 102.11 (1) (intro.) The average weekly earnings for temporary disability,
12permanent total disability, or death benefits for injury in each calendar year on or
13after January 1, 1982, shall be not less than $30 nor more than the wage rate that
14results in a maximum compensation rate of 110 percent of the state's average weekly
15earnings as determined under s. 108.05 as of June 30 of the previous year. The
16average weekly earnings for permanent partial disability shall be not less than $30
17and, for permanent partial disability for injuries occurring on or after April 17, 2012,
18and before January 1, 2013, not more than $468, resulting in a maximum
19compensation rate of $312, and, for permanent partial disability for injuries
20occurring on or after January 1, 2013, not more than $483, resulting in a maximum
21compensation rate of $322, except as provided in 2011 Wisconsin Act 183, section 30
22(2) (a) 1
the effective date of this subsection .... [LRB inserts date], and before January
231, 2015, not more than $506, resulting in a maximum compensation rate of $337, and,
24for permanent partial disability for injuries occurring on or after January 1, 2015,

1not more than $528, resulting in a maximum compensation rate of $352
. Between
2such limits the average weekly earnings shall be determined as follows:
SB550,17 3Section 17. 102.125 (title) of the statutes is amended to read:
SB550,18,5 4102.125 (title) Fraudulent claims Fraud reporting and, investigation,
5and prosecution
.
SB550,18 6Section 18. 102.125 of the statutes is renumbered 102.125 (1) and amended
7to read:
SB550,18,178 102.125 (1) Fraudulent claims reporting and investigation. If an insurer or
9self-insured employer has evidence that a claim is false or fraudulent in violation of
10s. 943.395 and if the insurer or self-insured employer is satisfied that reporting the
11claim to the department will not impede its ability to defend the claim, the insurer
12or self-insured employer shall report the claim to the department. The department
13may require an insurer or self-insured employer to investigate an allegedly false or
14fraudulent claim and may provide the insurer or self-insured employer with any
15records of the department relating to that claim. An insurer or self-insured
16employer that investigates a claim under this section subsection shall report on the
17results of that investigation to the department.
SB550,18,23 18(3) Prosecution. If based on the an investigation under sub. (1) or (2) the
19department has a reasonable basis to believe that a violation of s. 943.20, 943.38,
20943.39, 943.392,
943.395, 943.40, or any other criminal law has occurred, the
21department shall refer the results of the investigation to the department of justice
22or
to the district attorney of the county in which the alleged violation occurred for
23prosecution.
SB550,19 24Section 19. 102.125 (2) of the statutes is created to read:
SB550,19,5
1102.125 (2) Assistance by department of justice. The department of workforce
2development may request the department of justice to assist the department of
3workforce development in an investigation under sub. (1) or in the investigation of
4any other suspected fraudulent activity on the part of an employer, employee,
5insurer, health care provider, or other person related to worker's compensation.
SB550,20 6Section 20. 102.13 (2) (b) of the statutes is amended to read:
SB550,19,177 102.13 (2) (b) A physician, chiropractor, podiatrist, psychologist, dentist,
8physician assistant, advanced practice nurse prescriber, hospital, or health service
9provider shall furnish a legible, certified duplicate of the written material requested
10under par. (a) in paper format upon payment of the actual costs of preparing the
11certified duplicate, not to exceed the greater of 45 cents per page or $7.50 per request,
12plus the actual costs of postage, or shall furnish a legible, certified duplicate of that
13material in electronic format upon payment of $26 per request
. Any person who
14refuses to provide certified duplicates of written material in the person's custody that
15is requested under par. (a) shall be liable for reasonable and necessary costs and,
16notwithstanding s. 814.04 (1), reasonable attorney fees incurred in enforcing the
17requester's right to the duplicates under par. (a).
SB550,21 18Section 21. 102.13 (2) (c) of the statutes is amended to read:
SB550,20,919 102.13 (2) (c) Except as provided in this paragraph, if an injured employee has
20a period of temporary disability that exceeds 3 weeks or a permanent disability, if the
21injured employee has undergone surgery to treat his or her injury, other than surgery
22to correct a hernia, or if the injured employee sustained an eye injury requiring
23medical treatment on 3 or more occasions off the employer's premises, the
24department may by rule require the insurer or self-insured employer to submit to
25the department a final report of the employee's treating practitioner. The

1department may not require an insurer or self-insured employer to submit to the
2department a final report of an employee's treating practitioner when the insurer or
3self-insured employer denies the employee's claim for compensation in its entirety
4and the employee does not contest that denial. A treating practitioner may charge
5a reasonable fee for the completion of the final report, but may not require
6prepayment of that fee. An Subject to s. 102.16 (2) (i), an insurer or self-insured
7employer that disputes the reasonableness of a fee charged for the completion of a
8treatment practitioner's final report may submit that dispute to the department for
9resolution under s. 102.16 (2).
SB550,22 10Section 22. 102.16 (1m) (a) of the statutes is amended to read:
SB550,21,211 102.16 (1m) (a) If an insurer or self-insured employer concedes by compromise
12under sub. (1) or stipulation under s. 102.18 (1) (a) that the insurer or self-insured
13employer is liable under this chapter for any health services provided to an injured
14employee by a health service provider, but disputes the reasonableness of the fee
15charged by the health service provider, the department may include in its order
16confirming the compromise or stipulation a determination as to the reasonableness
17of the fee or the department may notify, or direct the insurer or self-insured employer
18to notify, the health service provider under sub. (2) (b) that the reasonableness of the
19fee is in dispute. The department shall deny payment of a health service fee that the
20department determines under this paragraph to be unreasonable. A health service
21provider and an insurer or self-insured employer that are parties to a fee dispute
22under this paragraph are bound by the department's determination under this
23paragraph on the reasonableness of the disputed fee, unless that determination is
24set aside, reversed, or modified by the department under sub. (2) (f) or is set aside
25on judicial review as provided in sub. (2) (f). This paragraph does not apply to a

1health service provided to an injured employee beginning on the date on which the
2notice under s. 102.423 (1) (a) is published in the Wisconsin Administrative Register.
SB550,23 3Section 23. 102.16 (2) (d) of the statutes is amended to read:
SB550,21,194 102.16 (2) (d) The department shall analyze the information provided to the
5department under par. (c) according to the criteria provided in this paragraph to
6determine the reasonableness of the disputed fee. Except as provided in 2011
7Wisconsin Act 183, section 30 (2) (b), the
The department shall determine that a
8disputed fee is reasonable and order that the disputed fee be paid if that fee is at or
9below the mean fee for the health service procedure for which the disputed fee was
10charged, plus 1.2 0.7 standard deviations from that mean, as shown by data from a
11database that is certified by the department under par. (h). Except as provided in
122011 Wisconsin Act 183, section 30 (2) (b), the
The department shall determine that
13a disputed fee is unreasonable and order that a reasonable fee be paid if the disputed
14fee is above the mean fee for the health service procedure for which the disputed fee
15was charged, plus 1.2 0.7 standard deviations from that mean, as shown by data from
16a database that is certified by the department under par. (h), unless the health
17service provider proves to the satisfaction of the department that a higher fee is
18justified because the service provided in the disputed case was more difficult or more
19complicated to provide than in the usual case.
SB550,24 20Section 24. 102.16 (2) (i) of the statutes is created to read:
SB550,21,2321 102.16 (2) (i) This subsection does not apply to a health service provided to an
22injured employee beginning on the date on which the notice under s. 102.423 (1) (a)
23is published in the Wisconsin Administrative Register.
SB550,25 24Section 25. 102.17 (1) (a) 3. of the statutes is amended to read:
SB550,22,5
1102.17 (1) (a) 3. If a party in interest claims that the employer or insurer has
2acted with malice or bad faith as described in s. 102.18 (1) (b) 3. or (bp), that party
3shall provide written notice stating with reasonable specificity the basis for the claim
4to the employer, the insurer, and the department before the department schedules
5a hearing on the claim of malice or bad faith.
SB550,26 6Section 26. 102.17 (4) of the statutes is amended to read:
SB550,23,47 102.17 (4) Except as provided in this subsection and s. 102.555 (12) (b), in the
8case of occupational disease,
the right of an employee, the employee's legal
9representative, or a dependent to proceed under this section shall not extend beyond
1012 years after the date of the injury or death or after the date that compensation,
11other than for treatment or burial expenses, was last paid, or would have been last
12payable if no advancement were made, whichever date is latest, and in the case of
13traumatic injury, that right shall not extend beyond 9 years after that date
. In the
14case of occupational disease; a traumatic injury resulting in the loss or total
15impairment of a hand or any part of the rest of the arm proximal to the hand or of
16a foot or any part of the rest of the leg proximal to the foot, any loss of vision, or any
17permanent brain injury; or a traumatic injury causing the need for an artificial
18spinal disc or a total or partial knee or hip replacement, there shall be no statute of
19limitations, except that benefits or treatment expense for an occupational disease
20becoming due 12 years after the date of injury or death or last payment of
21compensation, other than for treatment or burial expenses, shall be paid from the
22work injury supplemental benefit fund under s. 102.65 and in the manner provided
23in s. 102.66 and benefits or treatment expense for such a traumatic injury becoming
24due 12 9 years after that date shall be paid from that fund and in that manner if the
25date of injury or death or last payment of compensation, other than for treatment or

1burial expenses, is before April 1, 2006. Payment of wages by the employer during
2disability or absence from work to obtain treatment shall be considered payment of
3compensation for the purpose of this section if the employer knew of the employee's
4condition and its alleged relation to the employment.
SB550,27 5Section 27. 102.18 (1) (b) of the statutes is renumbered 102.18 (1) (b) 1. and
6amended to read:
SB550,23,127 102.18 (1) (b) 1. Within 90 days after the final hearing and close of the record,
8the department shall make and file its findings upon the ultimate facts involved in
9the controversy, and its order, which shall state its determination as to the rights of
10the parties. Pending the final determination of any controversy before it, the
11department may in its discretion after any hearing make interlocutory findings,
12orders, and awards, which may be enforced in the same manner as final awards.
SB550,23,17 132. The department may include in any interlocutory or final award or order an
14order directing the employer or insurer to pay for any future treatment that may be
15necessary to cure and relieve the employee from the effects of the injury or to pay for
16a future course of instruction or other rehabilitation training services provided
17under a rehabilitation training program developed under s. 102.61 (1) or (1m)
.
SB550,23,22 183. If the department finds that the employer or insurer has not paid any amount
19that the employer or insurer was directed to pay in any interlocutory order or award
20and that the nonpayment was not in good faith, the department may include in its
21final award a penalty not exceeding 25% 25 percent of each amount that was not paid
22as directed.
SB550,24,3 234. When there is a finding that the employee is in fact suffering from an
24occupational disease caused by the employment of the employer against whom the
25application is filed, a final award dismissing the application upon the ground that

1the applicant has suffered no disability from the disease shall not bar any claim the
2employee may thereafter have after the date of the award for disability sustained
3after the that date of the award.
SB550,28 4Section 28. 102.18 (1) (bg) 1. of the statutes is amended to read:
SB550,24,215 102.18 (1) (bg) 1. If the department finds under par. (b) that an insurer or
6self-insured employer is liable under this chapter for any health services provided
7to an injured employee by a health service provider, but that the reasonableness of
8the fee charged by the health service provider is in dispute, the department may
9include in its order under par. (b) a determination as to the reasonableness of the fee
10or the department may notify, or direct the insurer or self-insured employer to notify,
11the health service provider under s. 102.16 (2) (b) that the reasonableness of the fee
12is in dispute. The department shall deny payment of a health service fee that the
13department determines under this subdivision to be unreasonable. An insurer or
14self-insured employer and a health service provider that are parties to a fee dispute
15under this subdivision are bound by the department's determination under this
16subdivision on the reasonableness of the disputed fee, unless that determination is
17set aside, reversed, or modified by the department under sub. (3) or by the
18commission under sub. (3) or (4) or is set aside on judicial review under s. 102.23.
19This subdivision does not apply to a health service provided to an injured employee
20beginning on the date on which the notice under s. 102.423 (1) (a) is published in the
21Wisconsin Administrative Register.
SB550,29 22Section 29. 102.18 (3) of the statutes is amended to read:
SB550,25,1523 102.18 (3) A party in interest may petition the commission for review of an
24examiner's decision awarding or denying compensation if the department or
25commission receives the petition within 21 days after the department mailed a copy

1of the examiner's findings and order to the party's last-known address. The
2commission shall dismiss a petition which that is not timely filed within those 21
3days
unless the petitioner shows probable good cause that the petition was filed late
4for a
reason for failure to timely file that was beyond the petitioner's control. If no
5petition is filed within those 21 days from the date that a copy of the findings or order
6of the examiner is mailed to the last-known address of the parties in interest
, the
7findings or order shall be considered final unless set aside, reversed , or modified by
8the examiner within that time. If the findings or order are set aside by the examiner,
9the status shall be the same as prior to the setting aside of the findings or order set
10aside
. If the findings or order are reversed or modified by the examiner, the time for
11filing a petition commences with on the date that notice of the reversal or
12modification is mailed to the last-known address of the parties in interest. The
13commission shall either affirm, reverse, set aside, or modify the findings or order in
14whole or in part, or direct the taking of additional evidence. This The commission's
15action shall be based on a review of the evidence submitted.
SB550,30 16Section 30. 102.18 (4) (b) of the statutes is amended to read:
SB550,25,1917 102.18 (4) (b) Within 28 days after the date of a decision of the commission is
18mailed to the last-known address of each party in interest
, the commission may, on
19its own motion, set aside the decision for further consideration.
SB550,31 20Section 31. 102.21 of the statutes is amended to read:
SB550,26,9 21102.21 Payment of awards by municipalities. Whenever When an award
22is made by the department under this chapter or s. 66.191, 1981 stats., against any
23municipality local governmental unit, the person in whose favor it the award is made
24shall file a certified copy thereof of the award with the municipal clerk of the local
25governmental unit
. Within 20 days thereafter, unless an appeal is taken, such after

1the filing of the award, the
clerk shall draw an order on the municipal treasurer of
2the local governmental unit
for the payment of the award, unless an appeal is taken.
3If upon appeal such the award is affirmed in whole or in part, the order for payment
4shall be drawn within 10 days after a certified copy of such the judgment on appeal
5is filed with the proper clerk. If more than one payment is provided for in the award
6or judgment, orders shall be drawn as the payments become due. No statute relating
7to the filing of claims against, and or the auditing, allowing and, or payment of claims
8by municipalities, local governmental units shall apply to the payment of an award
9or judgment under this section.
SB550,32 10Section 32. 102.23 (1) (a) of the statutes is renumbered 102.23 (1) (a) 1. and
11amended to read:
SB550,26,1712 102.23 (1) (a) 1. The findings of fact made by the commission acting within its
13powers shall, in the absence of fraud, be conclusive. The order or award granting or
14denying compensation, either interlocutory or final, whether judgment has been
15rendered on it or not, is subject to review only as provided in this section and not
16under ch. 227 or s. 801.02. The commission shall identify in the order or award the
17persons that must be made parties to an action for the review of the order or award.
SB550,27,8 182. Within 30 days after the date of an order or award made by the commission
19either originally or after the filing of a petition for review with the department under
20s. 102.18
, any party aggrieved thereby by the order or award may commence an
21action in circuit court for the review of the order or award
by serving a complaint as
22provided in par. (b) and filing the summons and complaint with the clerk of the circuit
23court commence, in circuit court, an action against the commission for the review of
24the order or award, in which action the adverse party shall also be made a defendant
.
25The summons and complaint shall name the party commencing the action as the

1plaintiff and shall name as defendants the commission and all persons identified by
2the commission under subd. 1. If the circuit court determines that any other person
3is necessary for the proper resolution of the action, the circuit court may join that
4person as a party to the action, unless joinder of the person would unduly delay the
5resolution of the action
. If the circuit court is satisfied that a party in interest has
6been prejudiced because of an exceptional delay in the receipt of a copy of any finding
7or order, it the circuit court may extend the time in within which an action may be
8commenced by an additional 30 days.
SB550,27,12 93. The proceedings shall be in the circuit court of the county where the plaintiff
10resides, except that if the plaintiff is a state agency, the proceedings shall be in the
11circuit court of the county where the defendant resides. The proceedings may be
12brought in any circuit court if all parties stipulate and that court agrees.
SB550,33 13Section 33. 102.23 (1) (c) of the statutes is amended to read:
SB550,27,2114 102.23 (1) (c) Except as provided in par. (cm), the The commission shall serve
15its answer within 20 days after the service of the complaint, and, within the like time,
16the adverse party
. Except as provided in par. (cm), any other defendant may serve
17an answer to the complaint within 20 days after the service of the complaint, which
18answer may, by way of counterclaim or cross complaint, ask for the review of the
19order or award referred to in the complaint, with the same effect as if the party
20defendant had commenced a separate action for the review thereof of the order or
21award
.
SB550,34 22Section 34. 102.23 (1) (cm) of the statutes is amended to read:
SB550,27,2523 102.23 (1) (cm) If an adverse party to the proceeding a defendant in an action
24brought under par. (a) is an insurance company, the insurance company may serve
25an answer to the complaint within 45 days after the service of the complaint.
SB550,35
1Section 35. 102.28 (2) (a) of the statutes is amended to read:
SB550,28,112 102.28 (2) (a) Duty to insure payment for compensation. Unless exempted by
3the department
under par. (b) or (bm) or sub. (3), every employer, as described in s.
4102.04 (1), shall insure payment for that compensation under this chapter in an
5insurer authorized to do business in this state. A joint venture may elect to be an
6employer under this chapter and obtain insurance for payment of compensation. If
7a joint venture that is subject to this chapter only because the joint venture elected
8to be an employer under this chapter is dissolved and cancels or terminates its
9contract for the insurance of compensation under this chapter, that joint venture is
10deemed to have effected withdrawal, which shall be effective on the day after the
11contract is canceled or terminated.
SB550,36 12Section 36. 102.28 (2) (b) (title) of the statutes is amended to read:
SB550,28,1313 102.28 (2) (b) (title) Exemption from duty to insure; employers generally.
SB550,37 14Section 37. 102.28 (2) (bm) of the statutes is created to read:
SB550,28,2415 102.28 (2) (bm) Exemption from duty to insure; governmental employers. 1.
16Subject to subds. 2. to 4., if the state or a local governmental unit that has
17independent taxing authority is not partially insured or fully insured for its liability
18for the payment of compensation under this chapter, or to the extent that the state
19or a local governmental unit that has independent taxing authority is not partially
20insured for that liability under one or more contracts issued with the consent of the
21department under s. 102.31 (1) (b), and if the state or local governmental unit agrees
22to report faithfully all compensable injuries and to comply with this chapter and all
23rules of the department, the state or local governmental unit may elect to self-insure
24that liability without further order of the department.
SB550,29,7
12. Notwithstanding the absence of an order of exemption from the duty to
2insure under par. (a), the state or a local governmental unit that elects to self-insure
3as provided in subd. 1. is exempt from that duty. Notwithstanding that exemption,
4if the state or a local governmental unit that elects to self-insure as provided in subd.
51. desires partial insurance or divided insurance, the state or local governmental
6unit shall obtain the consent of the department under s. 102.31 (1) (b) to the issuance
7of a contract providing such insurance.
SB550,29,148 3. a. A local governmental unit that elects to self-insure its liability for the
9payment of compensation under this chapter shall notify the department of that
10election in writing before commencing to self-insure that liability and shall notify
11the department of its intent to continue to self-insure that liability every 3 years
12after that initial notice. A local government unit that wishes to withdraw that
13election shall notify the department of that withdrawal not less than 30 days before
14the effective date of that withdrawal.
SB550,29,2115 b. A notice under subd. 3. a. shall be accompanied by a resolution adopted by
16the governing body of the local governmental unit and signed by the elected or
17appointed chief executive of the local governmental unit stating that the governing
18body intends and agrees to self-insure the liability of the local governmental unit for
19the payment of compensation under this chapter and that the local government unit
20agrees to report faithfully all compensable injuries and to comply with this chapter
21and all rules of the department.
SB550,30,422 4. An election to self-insure under subd. 1. is subject to revocation under par.
23(c) 2. Once such an election is revoked, the employer whose election is revoked may
24not elect to self-insure its liability for the payment of compensation under this
25chapter unless at least 3 calendar years have elapsed since the revocation and the

1department finds that the employer's financial condition is adequate to pay its
2employees' claims for compensation, that the employer has not received an excessive
3number of claims for compensation, and that the employer has faithfully discharged
4its obligations under this chapter and the rules of the department.
SB550,38 5Section 38. 102.28 (2) (c) (title) of the statutes is amended to read:
SB550,30,66 102.28 (2) (c) (title) Revocation of exemption or election.
SB550,39 7Section 39. 102.28 (2) (c) of the statutes is renumbered 102.28 (2) (c) 1. and
8amended to read:
SB550,30,159 102.28 (2) (c) 1. The department, after seeking the advice of the self-insurers
10council, may revoke an exemption granted to an employer under par. (b), upon giving
11the employer 10 days' written notice, if the department finds that the employer's
12financial condition is inadequate to pay its employees' claims for compensation, that
13the employer has received an excessive number of claims for compensation , or that
14the employer has failed to discharge faithfully its obligations according to the
15agreement contained in the application for exemption. The employer may, within
SB550,31,2 163. Within 10 days after receipt of the a notice of revocation, under subd. 1. or
172., the employer may
request in writing a review of the revocation by the secretary
18or the secretary's designee and the secretary or the secretary's designee shall review
19the revocation within 30 days after receipt of the request for review. If the employer
20is aggrieved by the determination of the secretary or the secretary's designee, the
21employer may, within 10 days after receipt of notice of that determination, request
22a hearing under s. 102.17. If the secretary or the secretary's designee determines
23that the employer's exemption or election should be revoked, the employer shall
24obtain insurance coverage as required under par. (a) immediately upon receipt of
25notice of that determination and, notwithstanding the pendency of proceedings

1under ss. 102.17 to 102.25, shall keep that coverage in force until another exemption
2under par. (b) is granted or another election under par. (bm) is made.
SB550,40 3Section 40. 102.28 (2) (c) 2. of the statutes is created to read:
SB550,31,94 102.28 (2) (c) 2. The department may revoke an election made by an employer
5under par. (bm), upon giving the employer 10 days' written notice, if the department
6finds that the employer's financial condition is inadequate to pay its employees'
7claims for compensation, that the employer has received an excessive number of
8claims for compensation, or that the employer has failed to discharge faithfully its
9obligations under this chapter and the rules of the department.
SB550,41 10Section 41. 102.28 (2) (d) of the statutes is amended to read:
SB550,31,1611 102.28 (2) (d) Effect of insuring with unauthorized insurer. An employer who
12procures an exemption under par. (b) and thereafter
If an employer that is exempted
13under par. (b) or (bm) from the duty to insure under par. (a)
enters into any agreement
14for excess insurance coverage with an insurer not authorized to do business in this
15state, the employer shall report that agreement to the department immediately. The
16placing of such coverage shall not by itself be grounds for revocation of the exemption.
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