AB649-ASA1,58,2
1c. Implementation of the program will enhance the ability of the state to meet
2its greenhouse gas emission reduction goals under s. 299.03 (2).
AB649-ASA1,58,43 d. Considering alternatives to the program, the costs of the program are
4reasonable.
AB649-ASA1,58,55 e. The benefits of the program exceed the costs of the program.
AB649-ASA1, s. 116 6Section 116. 196.374 (3) (d) of the statutes is amended to read:
AB649-ASA1,58,177 196.374 (3) (d) Audits. Annually, the commission shall contract with one or
8more independent auditors to prepare a financial and performance audit of the
9statewide, utility-administered, supplemental utility, and large energy customer
10programs specified in par. (b) 1. The purpose of the performance audit shall be to
11evaluate the programs and measure the performance of the programs against the
12goals and targets set approved by the commission under par. (b) 1. The person or
13persons with whom the energy utilities contract for program administration under
14sub. (2) (a) 1. shall pay the costs of the audits from the amounts paid under the
15contracts under sub. (2) (a) 1
(c) 2. or established under par. (bn) 1. e. or 2. c. The audit
16shall also determine the amount of reduction in the demand for and use of each target
17fuel that has resulted in the year under the programs
.
AB649-ASA1, s. 117 18Section 117. 196.374 (3) (dm) of the statutes is created to read:
AB649-ASA1,58,2319 196.374 (3) (dm) Consultations. If an audit under par. (d) indicates that a
20program has failed to achieve one or more goals for the year of the audit, the
21commission shall consult with the statewide programs contractor or person
22administering the program regarding ways to modify the program to ensure that, as
23determined under sub. (8) (a), it will achieve its goals.
AB649-ASA1, s. 118 24Section 118. 196.374 (3) (e) of the statutes is renumbered 196.374 (3) (e) 1m.,
25and 196.374 (3) (e) 1m. a. and b., as renumbered, are amended to read:
AB649-ASA1,59,4
1196.374 (3) (e) 1m. a. The expenses of the commission, energy utilities, and
2program administrators contracted under sub. (2) (a) 1. statewide programs
3contractors
in administering or participating in the statewide programs under sub.
4(2) (a) 1
.
AB649-ASA1,59,85 b. The effectiveness of the statewide, utility-administered, supplemental
6utility, large energy customer, and commitment to community
programs specified in
7par. (b) 1. and sub. (7)
in reducing demand for electricity target fuels, and increasing
8the use of renewable resources owned by customers or members.
AB649-ASA1, s. 119 9Section 119. 196.374 (3) (e) 2m. of the statutes is created to read:
AB649-ASA1,59,2110 196.374 (3) (e) 2m. No later than January 1, 2014, the commission shall submit
11a report to the legislature in the manner described under s. 13.172 (3) on the
12status, development, and use of small-scale renewable technologies and the costs,
13benefits, and alternatives for providing additional incentives for the deployment of
14such technologies on a distributed generation basis. The report shall also
15recommend goals and mechanisms for encouraging the deployment of such
16technologies on such a basis, examine any obstacles to achieving the goals, and
17examine the relationship between the goals and the voluntary tariff offerings of
18energy utilities, the statewide energy programs, and any relevant federal programs.
19In preparing the report, the commission shall consult with the office of energy
20independence, the department of commerce, and the department of agriculture,
21trade and consumer protection.
AB649-ASA1, s. 120 22Section 120. 196.374 (3) (f) 1. of the statutes is amended to read:
AB649-ASA1,60,223 196.374 (3) (f) 1. Procedures for energy utilities to collectively contract with
24program administrators for administration of statewide programs under sub. (2) (a)

11. and to receive contributions from municipal utilities and retail electric
2cooperatives under sub. (7) (b) 2.
statewide programs contractors.
AB649-ASA1, s. 121 3Section 121. 196.374 (3) (f) 2. of the statutes is amended to read:
AB649-ASA1,60,74 196.374 (3) (f) 2. Procedures and criteria for commission review and approval
5of contracts for administration of statewide programs under sub. (2) (a) 1., including
6criteria for the selection of program administrators under sub. (2) (a) 1. statewide
7programs contractors.
AB649-ASA1, s. 122 8Section 122. 196.374 (3) (f) 3. of the statutes is amended to read:
AB649-ASA1,60,129 196.374 (3) (f) 3. Procedures and criteria for commission review and approval
10of utility-administered, supplemental utility, and large energy customer programs
11under sub. (2) (b) 1. and 2., customer programs under sub. (2) (c), and requests under
12sub. (2) (b) 3.
AB649-ASA1, s. 123 13Section 123. 196.374 (3) (f) 4. of the statutes is amended to read:
AB649-ASA1,60,1714 196.374 (3) (f) 4. Minimum requirements for energy efficiency and renewable
15resource
the statewide, utility-administered, supplemental utility, and large energy
16customer
programs under sub. (2) (a) 1. and customer energy efficiency programs
17under sub. (2) (c)
.
AB649-ASA1, s. 124 18Section 124. 196.374 (4) (a) (intro.) of the statutes is amended to read:
AB649-ASA1,60,2319 196.374 (4) (a) (intro.) In implementing the statewide programs under sub. (2)
20(a) 1.
or administering a commitment to community program under a contract under
21sub. (7) (am) 2.
, including the awarding of grants or contracts, a person who contracts
22with the utilities under sub. (2) (a) 1.,
a statewide programs contractor or a person
23who subcontracts with such a person a statewide programs contractor:
AB649-ASA1, s. 125 24Section 125. 196.374 (4) (a) 1. of the statutes is amended to read:
AB649-ASA1,61,3
1196.374 (4) (a) 1. May not discriminate against an energy utility provider or
2its affiliate or a wholesale supplier or its affiliate solely on the basis of its status as
3an energy utility provider or its affiliate or wholesale supplier or its affiliate.
AB649-ASA1, s. 126 4Section 126. 196.374 (4) (a) 2. of the statutes is amended to read:
AB649-ASA1,61,65 196.374 (4) (a) 2. Shall provide services to utility customers target fuel users
6on a nondiscriminatory basis and subject to a customer's user's choice.
AB649-ASA1, s. 127 7Section 127. 196.374 (4) (b) of the statutes is amended to read:
AB649-ASA1,61,158 196.374 (4) (b) An energy utility that provides financing under an energy
9efficiency program under sub. (2) (b) 1. or 2.
a utility-administered or supplemental
10utility program
for installation, by a customer, of energy efficiency or renewable
11resource processes, equipment, or appliances, or an affiliate of such a utility, may not
12sell to or install for the customer those processes, equipment, appliances, or related
13materials. The customer shall acquire the installation of the processes, equipment,
14appliances, or related materials from an independent contractor of the customer's
15choice.
AB649-ASA1, s. 128 16Section 128. 196.374 (5) (a) of the statutes is amended to read:
AB649-ASA1,61,2117 196.374 (5) (a) Rate-making orders. The commission shall ensure in
18rate-making orders that an energy utility recovers from its ratepayers the amounts
19the energy utility spends for pays for statewide programs and the costs the energy
20utility incurs for utility-administered and supplemental utility
programs under sub.
21(2) (a) 1
.
AB649-ASA1, s. 129 22Section 129. 196.374 (5) (b) 1. and (bm) 3. of the statutes are consolidated,
23renumbered 196.374 (5) (b) 1. and amended to read:
AB649-ASA1,62,824 196.374 (5) (b) 1. Except as provided in sub. (2) (c) and par. (bm) 2. subds. 3.
25and 4.
, if the commission has determined that a customer of an energy utility is a

1large energy customer under 2005 Wisconsin Act 141, section 102 (8) (b), then, each
2month, the energy utility shall collect from the customer, for recovery of amounts
3under par. (a), the amount determined by the commission under 2005 Wisconsin Act
4141
, section 102 (8) (c). (bm) 3. Until the proposal under subd. 1. takes effect, the
5The commission may not include the revenues received from a large energy customer
6in the calculation of operating revenues for purposes of sub. (3) (b) 2. this subdivision
7for an energy utility that in 2005 did not collect revenues from its customers under
8s. 196.374 (3), 2003 stats.
AB649-ASA1, s. 130 9Section 130. 196.374 (5) (b) 2. of the statutes is amended to read:
AB649-ASA1,62,2310 196.374 (5) (b) 2. A customer of an energy utility that the commission has not
11determined is a large energy customer under 2005 Wisconsin Act 141, section 102 (8)
12(b), may petition the commission for a determination that the customer is a large
13energy customer. The commission shall determine that a petitioner is a large energy
14customer if the petitioner satisfies the definition of large energy customer for any
15month in the 12 months preceding the date of the petition. If the commission makes
16such a determination, the commission shall also determine the amount that the
17energy utility may collect from the customer each month for recovery of the amounts
18under par. (a). The commission shall determine an amount that ensures that the
19amount collected from the customer is similar to the amounts collected from other
20customers that have a similar level of energy costs as the customer. Except as
21provided in sub. (2) (c) and par. (bm) 2. subds. 3. and 4., each month, the energy utility
22shall collect from the customer, for recovery of amounts under par. (a), the amount
23determined by the commission under this subdivision.
AB649-ASA1, s. 131 24Section 131. 196.374 (5) (b) 4. of the statutes is created to read:
AB649-ASA1,63,6
1196.374 (5) (b) 4. In addition to the amounts that an energy utility may collect
2from a large energy customer under subd. 1. or 2., the energy utility may collect from
3the customer the customer's share of any amount that the energy utility is required
4to pay a statewide programs contractor which exceeds 1.2 percent of the energy
5utility's annual operating revenues for a year and the customer's share is subject to
6par. (d).
AB649-ASA1, s. 132 7Section 132. 196.374 (5) (bm) (title) of the statutes is repealed.
AB649-ASA1, s. 133 8Section 133. 196.374 (5) (bm) 1. of the statutes, as affected by 2009 Wisconsin
9Act 180
, is repealed.
AB649-ASA1, s. 134 10Section 134. 196.374 (5) (bm) 2. of the statutes is renumbered 196.374 (5) (b)
113. and 196.374 (5) (b) 3. (intro.), as renumbered, is amended to read:
AB649-ASA1,63,1612 196.374 (5) (b) 3. If, by July 1, 2009, legislation based on the proposal under
13subd. 1. has not been enacted, the
The commission shall, beginning on July 1, 2009,
14annually increase the amount that an energy utility may recover from a large energy
15customer each month under par. (b) subd. 1. or 2. only by a percentage that is the
16lesser of the following:
AB649-ASA1, s. 135 17Section 135. 196.374 (5) (d) of the statutes is amended to read:
AB649-ASA1,63,2218 196.374 (5) (d) Equitable contributions. Subject to pars. (b) and (bm) 2. par. (b)
191. to 3.
, the commission shall ensure that the cost of energy efficiency and renewable
20resource
the statewide and utility-administered programs is equitably divided
21among customer classes so that similarly situated ratepayers contribute equivalent
22amounts for the programs.
AB649-ASA1, s. 136 23Section 136. 196.374 (5m) (a) of the statutes is amended to read:
AB649-ASA1,64,1224 196.374 (5m) (a) The commission shall ensure that, on an annual basis, each
25customer class of an energy utility has the opportunity to receive grants and benefits

1under energy efficiency the statewide and utility-administered programs in an
2amount equal to the amount that is recovered from the customer class under sub. (5)
3(a)
equitable manner that meets the reasonable needs of the class for the grants and
4benefits and that is consistent with par. (am). The commission shall also ensure that
5the amounts recovered from ratepayers under sub. (5) (a) are used for the benefit of
6ratepayers and that end users of unregulated fuels receive grants and benefits under
7the statewide programs in an amount equal to the amount paid by prime suppliers
8to statewide program contractors under sub. (3) (bw) 4
. Biennially, the commission
9shall submit a report to the governor, and the chief clerk of each house of the
10legislature for distribution to the legislature under s. 13.172 (2), that summarizes the
11total amount recovered from each energy utility customer class and the total amount
12of grants made to, and benefits received by, each customer class.
AB649-ASA1, s. 137 13Section 137. 196.374 (5m) (am) of the statutes is created to read:
AB649-ASA1,64,1914 196.374 (5m) (am) The commission shall ensure that the statewide and
15utility-administered programs are administered in a manner that targets
16agricultural, commercial, industrial, and institutional sectors in order to achieve the
17available, most cost-effective energy conservation and efficiency measures that have
18the greatest potential to enable the state to meet or exceed the goals specified in s.
19299.03 (2) and (3m) (a) and (b) at the lowest costs.
AB649-ASA1, s. 138 20Section 138. 196.374 (5m) (b) of the statutes is amended to read:
AB649-ASA1,65,221 196.374 (5m) (b) The commission shall ensure that customers target fuel users
22throughout the state have an equivalent opportunity to receive the benefits of the
23statewide and utility-administered programs under sub. (2) (a) 1. and (b) 1. The
24commission shall ensure that the statewide programs are designed to ensure that
25retail customers target fuel users in areas not served by utility-administered

1programs under sub. (2) (b) 1. receive equivalent opportunities as those in areas
2served by utility-administered programs under sub. (2) (b) 1.
AB649-ASA1, s. 139 3Section 139. 196.374 (6) of the statutes is amended to read:
AB649-ASA1,65,94 196.374 (6) Annual statements. Annually, the commission shall prepare a
5statement that describes the statewide, utility-administered, supplemental utility,
6and large energy customer
programs under sub. (2) (a) 1., (b) 1. and 2., and (c), and
7ordered programs, administered or funded by the energy utility
and presents cost
8and benefit information for those programs. An energy utility shall provide each of
9its customers with a copy of the statement.
AB649-ASA1, s. 140 10Section 140. 196.374 (7) (a) of the statutes is repealed.
AB649-ASA1, s. 141 11Section 141. 196.374 (7) (am) of the statutes is created to read:
AB649-ASA1,65,1612 196.374 (7) (am) Quadrennial funding of goals. Except as provided in par. (bg),
13in each year of the quadrennium following the proceeding under sub. (3) (bc), each
14municipal utility and retail electric cooperative shall spend the amount determined
15by the municipal utility or retail electric cooperative under sub. (3) (br) 2. for that
16year on the following:
AB649-ASA1,65,1917 1. Commitment to community programs administered individually by the
18municipal utility or retail electric cooperative or jointly by the municipal utility or
19retail cooperative and other municipal utilities or retail electric cooperatives.
AB649-ASA1,65,2220 2. Contracts with a statewide programs contractor to administer commitment
21to community programs in the service territory of the municipal utility or retail
22electric cooperative.
AB649-ASA1,65,2523 3. Contracts with a wholesale supplier to administer commitment to
24community programs in the service territory of the municipal utility or retail electric
25cooperative.
AB649-ASA1,66,2
14. Any combination of commitment to community programs or contracts under
2subds. 1. to 3.
AB649-ASA1, s. 142 3Section 142. 196.374 (7) (b) (title) of the statutes is renumbered 196.374 (7)
4(br) (title).
AB649-ASA1, s. 143 5Section 143. 196.374 (7) (b) 1. of the statutes is renumbered 196.374 (7) (br)
6and amended to read:
AB649-ASA1,66,117 196.374 (7) (br) Except as provided in subd. 2., each retail electric cooperative
8and municipal utility shall spend the fees that it charges under par. (a) on
9commitment to community programs.
The purpose of the commitment to community
10programs under this paragraph shall be to help achieve environmentally sound and
11adequate energy supplies at reasonable cost.
AB649-ASA1, s. 144 12Section 144. 196.374 (7) (b) 2. of the statutes is repealed.
AB649-ASA1, s. 145 13Section 145. 196.374 (7) (bg) of the statutes is created to read:
AB649-ASA1,66,1914 196.374 (7) (bg) Wholesale supplier assignments. A municipal utility or retail
15electric cooperative may assign to a wholesale supplier the duty to achieve a goal
16determined for the municipal utility or retail electric cooperative under sub. (3) (bn)
171. f. for a regulated fuel. If a wholesale supplier accepts an assignment, the wholesale
18supplier shall notify the commission. A wholesale supplier that accepts an
19assignment shall do all of the following:
AB649-ASA1,66,2020 1. Determine the amount of funds necessary to achieve the assigned goal.
AB649-ASA1,66,2321 2. Spend the amount determined under subd. 1. in administering commitment
22to community programs on behalf of the municipal utility or retail electric
23cooperative.
AB649-ASA1,66,2524 3. Prepare and provide statements on behalf of the municipal utility or retail
25electric cooperative under par. (dm).
AB649-ASA1,67,2
14. Provide for audits and submit reports on behalf of the municipal utility or
2retail electric cooperative under par. (e).
AB649-ASA1,67,63 5. If the wholesale supplier accepts an assignment from more than one
4municipal utility or retail electric cooperative, carry out the duties specified in subds.
51. to 4. on an aggregate basis for all the municipal utilities and retail electric
6cooperatives for which the wholesale supplier has accepted an assignment.
AB649-ASA1, s. 146 7Section 146. 196.374 (7) (c) of the statutes is repealed.
AB649-ASA1, s. 147 8Section 147. 196.374 (7) (cm) of the statutes is created to read:
AB649-ASA1,67,119 196.374 (7) (cm) Cost recovery. The commission shall ensure in rate-making
10orders that a municipal utility recovers from its ratepayers the amounts the
11municipal utility spends to comply with this section.
AB649-ASA1, s. 148 12Section 148. 196.374 (7) (d) of the statutes is repealed.
AB649-ASA1, s. 149 13Section 149. 196.374 (7) (dm) of the statutes is created to read:
AB649-ASA1,67,1714 196.374 (7) (dm) Annual statements. Annually, a municipal utility or retail
15electric cooperative shall prepare a statement that describes the municipal utility's
16or retail electric cooperative's commitment to community programs and provide
17customers or members with a copy of the statement.
AB649-ASA1, s. 150 18Section 150. 196.374 (7) (e) (title) of the statutes is repealed and recreated to
19read:
AB649-ASA1,67,2020 196.374 (7) (e) (title) Audits and reports.
AB649-ASA1, s. 151 21Section 151. 196.374 (7) (e) 1. (intro.) of the statutes is amended to read:
AB649-ASA1,68,222 196.374 (7) (e) 1. (intro.) Annually, each municipal utility and retail electric
23cooperative that spends the fee that it charges under par. (a) for commitment to
24community programs under par. (b)
shall provide for an independent financial and
25program
audit of its the commitment to community programs that it administers or

1for which it contracts under par. (am)
and submit a report to the commission that
2describes all of the following:
AB649-ASA1, s. 152 3Section 152. 196.374 (7) (e) 1. a. of the statutes is amended to read:
AB649-ASA1,68,94 196.374 (7) (e) 1. a. An accounting of any fees charged to customers or members
5under par. (a) in the year in order to comply with the spending required under par.
6(am)
and an accounting of the expenditures in the year on commitment to community
7programs under par. (b), including any amounts included in the municipal utility's
8or retail electric cooperative's calculations under par. (c)
that the municipal utility
9or retail electric cooperative administers or for which it contracts under par. (am)
.
AB649-ASA1, s. 153 10Section 153. 196.374 (7) (e) 1. b. of the statutes is amended to read:
AB649-ASA1,68,1311 196.374 (7) (e) 1. b. A description of the commitment to community programs
12established by the municipal utility or retail electric cooperative in the year
13described in subd. 1. a.
AB649-ASA1, s. 154 14Section 154. 196.374 (7) (e) 1. c. of the statutes is amended to read:
AB649-ASA1,68,1715 196.374 (7) (e) 1. c. The effectiveness of the commitment to community
16programs described in subd. 1. a. in reducing demand for electricity by customers or
17members
regulated fuels.
AB649-ASA1, s. 155 18Section 155. 196.374 (7) (e) 1. e. of the statutes is created to read:
AB649-ASA1,68,2119 196.374 (7) (e) 1. e. An assessment, based on the program audit, of whether the
20commitment to community programs described in subd. 1. a. have met the goal for
21each regulated fuel for the year determined under sub. (3) (bn) 1. f.
AB649-ASA1, s. 156 22Section 156. 196.374 (8) of the statutes is renumbered 196.374 (8) (d) and
23amended to read:
AB649-ASA1,69,524 196.374 (8) (d) Exceptions. An energy utility that spends pays to a statewide
25programs contractor
the full amount required under sub. (3) (b) 2. (bw) 3. or 3g. in

1any year is considered to have satisfied its requirements under this section for that
2year. A municipal utility or retail electric cooperative that contracts with a statewide
3programs contractor under sub. (7) (am) 2. to achieve each of the utility's or
4cooperative's goals determined under sub. (3) (bn) 1. f. for a year is considered to have
5satisfied its requirements under this section for that year.
AB649-ASA1, s. 157 6Section 157. 196.374 (8) (a), (b) and (c) of the statutes are created to read:
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