2017 - 2018 LEGISLATURE
November 8, 2017 - Introduced by Senators Hansen, Carpenter, Erpenbach,
Johnson, Larson, Ringhand, Shilling, Vinehout and Wirch, cosponsored by
Representatives Kolste, Anderson, Berceau, Billings, Brostoff, Considine,
Doyle, Hebl, Hesselbein, Hintz, Pope, Riemer, Sargent, Sinicki, Spreitzer,
Stuck, Subeck, Zamarripa and Zepnick. Referred to Committee on
Government Operations, Technology and Consumer Protection.
SB519,1,5 1An Act to amend 15.01 (2) and 15.06 (2) (a); and to create 15.06 (1) (bb), 15.06
2(3) (a) 7., 15.225 (3) and 103.355 of the statutes; relating to: making companies
3that outsource jobs ineligible for state tax benefits, grants, contracts, and loans;
4providing an exemption from rule-making procedures; and granting
5rule-making authority.
Analysis by the Legislative Reference Bureau
This bill prohibits any person who operates a business in this state and who
outsources work to another state or country from receiving any grant, loan, or tax
benefit from this state for five years following the year in which the person has
outsourced work to another state or country or from entering into a contract with the
state for seven years following the year in which the person outsourced work to
another state or country. The bill also creates the Wisconsin Job Development and
Retention Commission to determine when a person who is receiving state tax
benefits, loans, or grants or who has a contract with the state is outsourcing jobs.
The commission consists of three members who represent employees, three members
who represent employers, and one member who is an employee of the Department
of Workforce Development who also serves as the nonvoting chairperson.

For further information see the state 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:
SB519,1 1Section 1. 15.01 (2) of the statutes is amended to read:
SB519,2,122 15.01 (2) “Commission" means a 3-member governing body in charge of a
3department or independent agency or of a division or other subunit within a
4department, except for the Wisconsin waterways commission which shall consist of
55 members, the elections commission which shall consist of at least 6 members, the
6ethics commission which shall consist of at least 6 members, the Wisconsin job
7development and retention commission which shall consist of 7 members,
and the
8parole commission which shall consist of 8 members. A Wisconsin group created for
9participation in a continuing interstate body, or the interstate body itself, shall be
10known as a “commission", but is not a commission for purposes of s. 15.06. The parole
11commission created under s. 15.145 (1) shall be known as a “commission", but is not
12a commission for purposes of s. 15.06.
SB519,2 13Section 2. 15.06 (1) (bb) of the statutes is created to read:
SB519,2,1614 15.06 (1) (bb) Members of the Wisconsin job development and retention
15commission shall be appointed by the secretary of workforce development as
16provided under s. 15.225 (3).
SB519,3 17Section 3. 15.06 (2) (a) of the statutes is amended to read:
SB519,3,718 15.06 (2) (a) Except as provided in par. (b), each commission may annually elect
19officers other than a chairperson from among its members as its work requires. Any
20officer may be reappointed or reelected. At the time of making new nominations to
21commissions, the governor shall designate a member or nominee of each commission,

1other than the public service commission, and except as provided in par. (b), to serve
2as the commission's chairperson for a 2-year term expiring on March 1 of the
3odd-numbered year except that the labor and industry review commission shall elect
4one of its members to serve as the commission's chairperson for a 2-year term
5expiring on March 1 of the odd-numbered year and the secretary of workforce
6development shall appoint the chairperson of the Wisconsin job development and
7retention commission, as provided under 15.225 (3)
.
SB519,4 8Section 4. 15.06 (3) (a) 7. of the statutes is created to read:
SB519,3,109 15.06 (3) (a) 7. The members of the Wisconsin job development and retention
10commission.
SB519,5 11Section 5. 15.225 (3) of the statutes is created to read:
SB519,3,1912 15.225 (3) Wisconsin job development and retention commission. There is
13created in the department of workforce development the Wisconsin job development
14and retention commission appointed by the secretary of workforce development to
15consist of 3 representatives of employers and 3 representatives of employees
16appointed to serve for 6-year terms and a permanent classified employee of the
17department of workforce development who shall serve as nonvoting chairperson. A
18member may not serve on the commission if he or she loses the status on which his
19or her appointment is based.
SB519,6 20Section 6. 103.355 of the statutes is created to read:
SB519,3,22 21103.355 Requirements for receiving state incentives. (1) Definitions.
22In this section:
SB519,3,2323 (a) “Agency" has the meaning given in s. 16.70 (1e).
SB519,4,3
1(b) “Business" means any organization or enterprise operated for profit,
2including a sole proprietorship, partnership, firm, business trust, joint venture,
3syndicate, corporation, limited liability company, or association.
SB519,4,54 (c) “Commission" means the Wisconsin job development and retention
5commission.
SB519,4,9 6(2) Outsourcing prohibited. Notwithstanding any other provision of state law
7to the contrary, a person who operates or intends to operate a business in this state
8and who outsources work from this state to another state or country is ineligible to
9do any of the following:
SB519,4,1410 (a) Receive any grants or loans from a state agency, any tax exemption under
11ch. 70, not including the exemption under s. 70.11 (27), or any credit, deduction,
12exclusion, or exemption under ch. 71 for a period of 5 years following the year in
13which the commission determines that the person has outsourced work to another
14state or country.
SB519,4,1715 (b) Enter into a contract with the state for the provision of products or services
16for a period of 7 years following the year in which the commission determines that
17the person has outsourced work to another state or country.
SB519,4,19 18(3) Rules. The commission shall promulgate rules to implement and
19administer this section.
SB519,4,21 20(4) Review. A determination of ineligibility under sub. (2) is subject to review
21under subch. III of ch. 227.
SB519,7 22Section 7. Nonstatutory provisions.
SB519,5,223 (1) Rule making; scope statement. Notwithstanding section 227.135 (1) of the
24statutes, the Wisconsin job development and retention commission is not required

1to prepare a statement of the scope of the rules required under section 103.355 (3)
2of the statutes.
SB519,5,63 (2) Rule making; governor's approval. Notwithstanding section 227.185 of the
4statutes, the Wisconsin job development and retention commission is not required
5to present the rules required under section 103.355 (3) of the statutes in final draft
6form to the governor for approval.
SB519,5,117 (3) Proposed rules. The Wisconsin job development and retention commission
8shall submit in proposed form the rules required under section 103.355 (3) of the
9statutes to the legislative council staff under section 227.15 (1) of the statutes no
10later than the first day of the 13th month beginning after the effective date of this
11subsection.
SB519,5,1612 (4) Review and reporting. Notwithstanding section 227.137 (6) of the statutes,
13the requirements for review of and reporting on the economic impact analysis by the
14department of administration and the requirement for approval by the secretary of
15administration do not apply to rules required under section 103.355 (3) of the
16statutes.
SB519,5,2117 (5) Legislative council review. Notwithstanding section 227.137 (2) and (6)
18of the statutes, the Wisconsin job development and retention commission may
19submit the rules required under section 103.355 (3) of the statutes to the legislative
20council staff for review under section 227.15 (1) of the statutes before the commission
21completes the economic impact analysis for the rules.
SB519,5,2222 (End)
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