SB148: Bill Text

SB148,147,11 235.84 (3) Eligible loans. (intro.) A loan is eligible for guarantee of collection from the Wisconsin job training reserve fund under s. 234.932 235.932 if all of the following apply:

SB148,147,13 (c) The interest rate on the loan, including any origination fees or other charges, is approved by the corporation authority.

SB148,458 Section 458. 234.84 (4) of the statutes is renumbered 235.84 (4) and amended to read:

SB148,147,23 235.84 (4) Guarantee of collection. (a) Subject to par. (b), the authority shall guarantee collection of a percentage of the principal of, and all interest and any other amounts outstanding on, any loan eligible for a guarantee under sub. (2). The corporation authority shall establish the percentage of the principal of an eligible loan that will be guaranteed, using the procedures described in the agreement under s. 234.932 235.932 (3) (a). The corporation authority may establish a single percentage for all guaranteed loans or establish different percentages for eligible loans on an individual basis.

SB148,148,3 (b) Except as provided in s. 234.932 235.932 (4), the total outstanding guaranteed principal amount of all loans that the authority may guarantee under par. (a) may not exceed $8,000,000.

SB148,459 Section 459. 234.84 (5) (a) of the statutes is repealed.

SB148,460 Section 460. 234.84 (5) (b) of the statutes is renumbered 235.84 (5) and amended to read:

SB148,148,9 235.84 (5) The corporation authority may charge a premium, fee, or other charge to a borrower of a guaranteed loan under this section for the administration of the loan guarantee.

SB148,461 Section 461. 234.86 of the statutes is renumbered 235.86, and 235.86 (2) (intro.) and (c) and (4) (a) and (b), as renumbered, are amended to read:

SB148,148,14 235.86 (2) Guarantee requirements. (intro.) The authority may use money from the Wisconsin drinking water reserve fund under s. 234.933 235.933 to guarantee a loan under this section if all of the following apply:

SB148,148,16 (c) The lender is a financial institution that enters into an agreement under s. 234.933 235.933 (3) (a).

SB148,148,23 (4) (a) Subject to par. (b), the authority may guarantee collection of a percentage, not exceeding 80%, of the principal of any loan eligible for a guarantee under this section. The authority shall establish the percentage of the unpaid principal of an eligible loan that will be guaranteed using the procedures described in the guarantee agreement under s. 234.933 235.933 (3) (a). The authority may establish a single percentage for all guaranteed loans or establish different percentages for eligible loans on an individual basis.

SB148,148,25 (b) Except as provided in s. 234.933 235.933 (4), the total outstanding principal amount of all guaranteed loans under par. (a) may not exceed $3,000,000.

SB148,462 Section 462. 234.88 of the statutes is renumbered 235.88, and 235.88 (1) (c), (2) (intro.) and (6), as renumbered, are amended to read:

SB148,149,6 235.88 (1) (c) "Participating lender" means a bank, production credit association, credit union, savings bank, savings and loan association, or other person who makes emergency heating assistance loans and who has entered into an agreement with the authority under s. 234.93 235.93 (2) (a).

SB148,149,10 (2) Eligible loans. (intro.) An emergency heating assistance loan made by a participating lender is eligible for guarantee of collection under sub. (5) from the Wisconsin development reserve fund under s. 234.93 235.93 if all of the following apply:

SB148,149,14 (6) Interest reduction. The authority shall pay, from the moneys in the Wisconsin development reserve fund under s. 234.93 235.93, to each participating lender an amount equal to 3.5 percent of the principal amount of any guaranteed loan to reduce interest payments on the guaranteed loan paid by an individual.

SB148,463 Section 463. 234.90 of the statutes is renumbered 235.90, and 235.90 (1) (d) and (2) (intro.), as renumbered, are amended to read:

SB148,149,20 235.90 (1) (d) "Participating lender" means a bank, production credit association, credit union, savings bank, savings and loan association or other person who makes agricultural production loans and who has entered into an agreement with the authority under s. 234.93 235.93 (2) (a).

SB148,149,24 (2) Eligible loans. (intro.) Except as provided in sub. (3j), an agricultural production loan made by a participating lender is eligible for guarantee of collection from the Wisconsin development reserve fund under s. 234.93 235.93 if all of the following apply:

SB148,464 Section 464. 234.905 of the statutes is renumbered 235.905, and 235.905 (1) (f), (2) (intro.) and (4) (b), as renumbered, are amended to read:

SB148,150,6 235.905 (1) (f) "Participating lender" means a bank, production credit association, credit union, savings bank, savings and loan association or other person who makes agricultural production drought assistance loans and who has entered into an agreement with the authority under s. 234.93 235.93 (2) (a).

SB148,150,10 (2) Eligible loans. (intro.) An agricultural production drought assistance loan made by a participating lender is eligible for guarantee of collection from the Wisconsin development reserve fund under s. 234.93 235.93 if all of the following apply:

SB148,150,13 (4) (b) Except as provided in s. 234.93 235.93 (3), the total principal amounts of all agricultural production drought assistance loans which the authority may guarantee under par. (a) may not exceed $30,000,000.

SB148,465 Section 465. 234.907 of the statutes is renumbered 235.907, and 235.907 (1) (e), (2) (intro.) and (3), as renumbered, are amended to read:

SB148,150,19 235.907 (1) (e) "Participating lender" means a bank, credit union, savings bank, savings and loan association or other person, who makes loans for working capital or to finance physical plant needs, equipment or machinery and who has entered into an agreement with the authority under s. 234.93 235.93 (2) (a).

SB148,150,22 (2) Eligible loans. (intro.) A loan made by a participating lender is eligible for guarantee of collection from the Wisconsin development reserve fund under s. 234.93 235.93 if all of the following apply:

SB148,151,4 (3) Guarantee of collection. The authority shall guarantee collection of a percentage, not exceeding 90%, of the principal of any loan eligible for a guarantee under sub. (2). The authority shall establish the percentage of the unpaid principal of an eligible loan that will be guaranteed, using the procedures described in the guarantee agreement under s. 234.93 235.93 (2) (a). The authority may establish a single percentage for all guaranteed loans or establish different percentages for eligible loans on an individual basis.

SB148,466 Section 466. 234.91 of the statutes is renumbered 235.91, and 235.91 (1) (e) and (2) (intro.), as renumbered, are amended to read:

SB148,151,11 235.91 (1) (e) "Participating lender" means a bank, farm credit service, credit union, savings bank, savings and loan association or other person who makes loans for the acquisition or improvement of agricultural assets and who has entered into an agreement with the authority under s. 234.93 235.93 (2) (a). The term does not include a seller under a land contract.

SB148,151,14 (2) Eligible loans. (intro.) A loan made by a participating lender is eligible for guarantee of collection from the Wisconsin development reserve fund under s. 234.93 235.93 if all of the following apply:

SB148,467 Section 467. 234.92 of the statutes is renumbered 235.92.

SB148,468 Section 468. 234.93 of the statutes is renumbered 235.93, and 235.93 (1) (a), (b), (cm) and (d) and (4) (a) 2. and 3. and (b) (intro.), as renumbered, are amended to read:

SB148,151,21 235.93 (1) (a) Moneys appropriated to the authority under s. 20.490 (5) (a), (q) 20.885 (3) (ap), (qm), (r), and (s) or received by the authority for the Wisconsin development reserve fund from any other source.

SB148,151,23 (b) Any income from investment of money in the Wisconsin development reserve fund by the authority under s. 234.03 (18) 235.012 (19).

SB148,152,3 (cm) Any moneys transferred under 1999 Wisconsin Act 9, section 9125 (1), or under s. 234.75 235.75 (5) (c), from the housing rehabilitation loan program administration fund.

SB148,152,5 (d) To be used for guaranteeing loans under s. 234.91 235.91, fees collected under s. 234.91 235.91 (4).

SB148,152,10 (4) (a) 2. To fund guarantees under all of the programs guaranteed by funds from the Wisconsin development reserve fund, except for the program under s. 234.935, 1997 stats., and the program under s. 234.75 235.75, at a ratio of $1 of reserve funding to $4.50 of total outstanding principal and outstanding guaranteed principal that the authority may guarantee under all of those programs.

SB148,152,14 3. To fund guarantees under the program under s. 234.935, 1997 stats., and the program under s. 234.75 235.75 at a ratio of $1 of reserve funding to $4 of total principal and outstanding guaranteed principal that the authority may guarantee under that program.

SB148,152,17 (b) (intro.) Annually on August 31, the executive director of the authority shall provide to the secretary of administration and to the joint committee on finance a signed statement that includes all of the following:

SB148,469 Section 469. 234.932 of the statutes is renumbered 235.932, and 235.932 (2) (intro.) and (b), as renumbered, are amended to read:

SB148,152,23 235.932 (2) Establishment of fund. (intro.) There is established under the jurisdiction and control of the authority, for the purpose of providing funds for guaranteeing loans under s. 234.84 235.84, a Wisconsin job training reserve fund, consisting of all of the following:

SB148,152,25 (b) Any income from investment of money in the Wisconsin job training reserve fund by the authority under s. 234.03 (18) 235.012 (19).

SB148,470 Section 470. 234.933 of the statutes is renumbered 235.933, and 235.933 (1), (2) (intro.) and (b), as renumbered, are amended to read:

SB148,153,4 235.933 (1) Definition. In this section, "drinking water loan guarantee program" means the program under s. 234.86 235.86.

SB148,153,8 (2) Establishment of fund. (intro.) There is established under the jurisdiction and control of the authority, for the purpose of providing funds for guaranteeing loans under s. 234.86 235.86, a Wisconsin drinking water reserve fund, consisting of all of the following:

SB148,153,10 (b) Any income from investment of money in the Wisconsin drinking water reserve fund by the authority under s. 234.03 (18) 235.012 (19).

SB148,471 Section 471. Subchapter III (title) of chapter 234 [precedes 234.94] of the statutes is renumbered subchapter VI (title) of chapter 235 [precedes 235.94].

SB148,472 Section 472. 234.94 of the statutes is renumbered 235.94, and 235.94 (2) (b) 5. and (3), as renumbered, are amended to read:

SB148,153,17 235.94 (2) (b) 5. The corporation's purpose is to promote the employment of members of a target group through projects that meet the conditions specified in s. 234.96 235.96 (1) (a) to (d).

SB148,153,19 (3) "Community development finance company" means a corporation or a limited partnership organized for profit under s. 234.95 235.95.

SB148,473 Section 473. 234.95 of the statutes is renumbered 235.95, and 235.95 (1) and (2), as renumbered, are amended to read:

SB148,154,7 235.95 (1) The community development finance company is the corporation organized for profit under ch. 180, or limited partnership organized under ch. 179, which was created under s. 233.05 (1), 1985 stats. The chairperson of the authority board, or his or her designee, is a director of the community development finance company. The shareholders of the community development finance company shall elect 4 other people to the company's board of directors. To the extent practicable, 3 people elected to the board of directors shall have substantial business and financial experience and one person shall represent a community development corporation. If the community development finance company is organized as a limited partnership its general partner shall, to the extent practicable, have substantial business and financial experience.

SB148,154,11 (2) The community development finance company shall issue stock or partnership interests. The community development finance company shall invest funds it receives from the sale of stock or partnership interests by purchasing capital participation instruments under s. 234.96 235.96.

SB148,474 Section 474. 234.96 of the statutes is renumbered 235.96.

SB148,475 Section 475. 234.97 of the statutes is renumbered 235.97, and 235.97 (intro.) and (2), as renumbered, are amended to read:

SB148,154,16 235.97 Sale or purchase of stock or interest. (intro.) Subject to s. 234.96 235.96 (1) (h), the authority shall do all of the following:

SB148,154,19 (2) Use funds received from contributions, gifts, or grants under s. 234.03 (32) to purchase community development finance company stock or partnership interests or make grants or loans to community development corporations.

SB148,476 Section 476. 234.98 of the statutes is renumbered 235.98.

SB148,477 Section 477. Chapter 235 (title) and subchapter I of chapter 235 [precedes 235.001] of the statutes are created to read:

SB148,154,23 chapter 235

SB148,154,25 Forward Wisconsin Development Authority

SB148,155,1 Subchapter i

SB148,155,2 general provisions

SB148,478 Section 478. 235.001 of the statutes is created to read:

SB148,155,12 235.001 Legislative declaration. The legislature determines that the provision of assistance by state agencies to the authority, all appropriations of funds to the authority, and all moral obligation pledges under this chapter serve a statewide public purpose by assisting the development of housing in this state, especially housing for persons and families of low and moderate income, and by encouraging economic development, reducing unemployment, and bringing needed capital into the state for the benefit and welfare of people throughout the state. The legislature reaffirms its declarations in chapter 287, laws of 1971, section 1, with respect to the housing-related purposes of the authority.

SB148,479 Section 479. 235.01 of the statutes is created to read:

SB148,155,14 235.01 Definitions. In this chapter:

SB148,155,15 (1) "Authority" means the Forward Wisconsin Development Authority.

SB148,155,16 (2) "Board" means the board of directors of the authority.

SB148,155,17 (3) "Housing-related purpose" means any of the following:

SB148,155,20 (a) Any program or project that the authority develops, implements, or administers, or any power the authority exercises or duty or function it carries out, pursuant to s. 235.013 (1) or subch. IV.

SB148,155,25 (b) Any program or project that the Wisconsin Housing and Economic Development Authority developed, implemented, or administered under subch. I of ch. 234, 2013 stats., including any power exercised or duty or function carried out with respect to the program or project, that the authority has assumed as successor to the Wisconsin Housing and Economic Development Authority.

SB148,156,3 (c) Any other activity, function, or cost, including operational costs, of the authority that the authority determines is necessary with respect to a program, project, power, duty, or function specified in par. (a) or (b).

SB148,480 Section 480. 235.011 of the statutes is created to read:

SB148,156,13 235.011 Creation and organization. (1) There is created a public body corporate and politic, to be known as the "Forward Wisconsin Development Authority." The members of the board shall consist of 8 public members nominated by the governor, and with the advice and consent of the senate appointed, to serve 4-year terms; 2 members appointed by the speaker of the assembly, consisting of one majority and one minority party representative to the assembly, appointed as are the members of standing committees in the assembly, and 2 members appointed by the senate majority leader, consisting of one majority and one minority party senator, appointed as are members of standing committees in the senate.

SB148,156,17 (2) Seven members of the board constitutes a quorum for the purpose of conducting its business and exercising its powers and for all other purposes. Action may be taken by the board upon a vote of a majority of a quorum. The board shall elect a chairperson.

SB148,156,19 (3) A vacancy on the board shall be filled in the same manner as the original appointment to the board for the remainder of the unexpired term.

SB148,156,22 (4) (a) A chief executive officer shall be nominated by the governor, approved by the board, and with the advice and consent of the senate appointed, to serve at the pleasure of the governor.

SB148,156,24 (b) A chief operating officer shall be nominated by the governor, and with the approval of the board appointed, to serve at the pleasure of the governor.

SB148,157,4 (c) The board may delegate to the chief executive officer and chief operating officer any powers and duties the board considers proper. The chief executive officer and chief operating officer shall receive such compensation as may be determined by the board.

SB148,157,7 (d) The governor shall coordinate with the chief executive officer as if the chief executive officer were the secretary of a department in the executive branch of state government who is appointed by the governor.

SB148,157,10 (5) All powers and duties assigned to the authority under this chapter shall be exercised or carried out by the board, unless the board delegates the power or duty to an employee of the authority or a committee established by the board.

SB148,157,14 (6) The authority shall continue in existence until terminated by law, but no such law shall take effect while the authority has obligations outstanding. Upon termination, all assets of the authority shall transfer to the state or as provided otherwise by law.

SB148,481 Section 481. 235.012 of the statutes is created to read:

SB148,157,18 235.012 Powers of the authority. The authority shall have all the powers necessary or convenient to carry out the purposes and provisions of this chapter. In addition to all other powers granted the authority by law, the authority may:

SB148,157,20 (1) Adopt, amend, and repeal any bylaws, policies, and procedures for the regulation of its affairs and the conduct of its business.

SB148,157,21 (2) Have a seal and alter the seal at pleasure.

SB148,157,22 (3) Maintain offices.