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Please see http://docs.legis.wisconsin.gov for the production version.
LRB-2973/1
MPG:klm&wlj
2017 - 2018 LEGISLATURE
June 14, 2017 - Introduced by Representatives Anderson, Crowley, Young,
Kolste, C. Taylor, Berceau, Bowen, Ohnstad, Fields and Hebl, cosponsored
by Senators Johnson and Hansen. Referred to Committee on State Affairs.
AB385,1,3 1An Act to create 238.121 of the statutes; relating to: requiring controlled
2substance abuse screening, testing, and treatment for eligibility for economic
3development programs.
Analysis by the Legislative Reference Bureau
This bill requires each individual applying to the Wisconsin Economic
Development Corporation to participate in an economic development program in his
or her individual capacity and each individual who is an owner, shareholder, partner,
member, principal, officer, director, or manager, subject to certain limitations, of a
business applying to WEDC to participate in an economic development program to
complete a questionnaire or other screening instrument concerning the abuse of
controlled substances. If, on the basis of screening results, WEDC determines that
there is a reasonable suspicion that an individual is abusing a controlled substance,
WEDC must require the individual to undergo a test for the use of a controlled
substance in order for the individual or business to be eligible to participate in an
economic development program administered by WEDC. Unless an individual has
a prescription for the controlled substance, positive test results make an individual
or business ineligible to participate in an economic development program.
Under the bill, an individual or business may still participate in an economic
development program if an individual who tests positive for the use of a controlled
substance takes part in a substance abuse treatment program. Under the bill,
failure to satisfactorily complete a substance abuse treatment program results in
ineligibility to continue to participate in the economic development program and

results in the requirement to repay to WEDC all grants, loans, and other benefits the
individual or business may have received under the economic development program.
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:
AB385,1 1Section 1. 238.121 of the statutes is created to read:
AB385,2,3 2238.121 Substance abuse screening and testing for participants in
3economic development programs.
(1) In this section:
AB385,2,84 (a) “Business applicant” means any organization or enterprise operated for
5profit, including a sole proprietorship, partnership, firm, business trust, joint
6venture, syndicate, corporation, limited liability company, or association, that
7applies to participate in an economic development program administered by the
8corporation.
AB385,2,99 (b) “Controlled substance" has the meaning given in s. 961.01 (4).
AB385,2,1210 (c) “Controlled substance abuse screening” means a questionnaire, a criminal
11background check, or any other controlled substance abuse screening mechanism
12identified by the corporation in its policies and procedures.
AB385,2,1513 (d) “Individual applicant” means an individual who applies on his or her own
14behalf to participate in his or her individual capacity in an economic development
15program administered by the corporation.
AB385,2,1816 (e) “Responsible person” means each individual who is an owner, shareholder,
17partner, member, principal, officer, director, or manager of a business applicant if any
18of the following applies:
AB385,3,3
11. The individual has any level of responsibility for the day-to-day
2management of the business applicant or authority over any individual having
3responsibility for the day-to-day management of the business applicant.
AB385,3,54 2. The individual maintains at least a 20 percent ownership interest in the
5business applicant.
AB385,3,15 6(1m) In order to participate in an economic development program
7administered by the corporation, an individual applicant and each responsible
8person of a business applicant shall complete a controlled substance abuse
9screening. If, on the basis of the controlled substance abuse screening results, the
10corporation determines that there is a reasonable suspicion that an individual
11applicant who is otherwise eligible to participate in an economic development
12program or any responsible person of a business applicant that is otherwise eligible
13to participate in an economic development program is abusing a controlled
14substance, the corporation shall require the individual applicant or responsible
15person to undergo a test for the use of a controlled substance.
AB385,3,20 16(2) If an individual applicant or responsible person refuses to submit to a test
17under sub. (1m), the individual applicant or business applicant is not eligible to
18participate in an economic development program administered by the corporation
19until the individual applicant or responsible person complies with the requirement
20to undergo a test for the use of a controlled substance.
AB385,4,2 21(3) If an individual applicant or responsible person who undergoes a test under
22sub. (1m) tests negative for the use of a controlled substance, or tests positive for the
23use of a controlled substance but presents evidence satisfactory to the corporation
24that the individual applicant or responsible person possesses a valid prescription for
25each controlled substance for which he or she tests positive, the individual applicant

1or responsible person will have satisfactorily completed the substance abuse testing
2requirements under this section.
AB385,4,13 3(4) (a) If an individual applicant or responsible person who undergoes a test
4under sub. (1m) tests positive for the use of a controlled substance without
5presenting evidence of a valid prescription as described in sub. (3), the corporation
6shall require the individual applicant or responsible person to participate in
7substance abuse treatment for the individual applicant or business applicant to
8remain eligible to participate in an economic development program administered by
9the corporation. If the individual applicant or responsible person refuses to
10participate in substance abuse treatment, the individual applicant or business
11applicant is not eligible to participate in an economic development program
12administered by the corporation until the individual applicant or responsible person
13complies with the requirement to participate in substance abuse treatment.
AB385,5,814 (b) During the time that an individual applicant or responsible person is
15receiving substance abuse treatment under par. (a), the corporation shall require he
16or she to undergo random testing for the use of a controlled substance. For the
17individual applicant or business applicant to remain eligible for an economic
18development program administered by the corporation, the individual applicant or
19responsible person must cooperate with the testing and the results of the tests must
20be negative or, if any results are positive, the individual applicant or responsible
21person must present evidence of a valid prescription as described in sub. (3). If the
22results of any test during treatment are positive for the use of a controlled substance
23and the individual applicant or responsible person does not present evidence of a
24valid prescription for the controlled substance as described in sub. (3), the individual
25applicant or responsible person shall have the opportunity to begin the treatment

1again one time, as determined by the corporation. If the individual applicant or
2responsible person begins the substance abuse treatment again, the individual
3applicant or business applicant shall remain eligible for an economic development
4program administered by the corporation as long as the results of all tests of the
5individual applicant or responsible person for the use of a controlled substance
6during the subsequent treatment are negative for the use of a controlled substance
7or, if any results are positive, the individual applicant or responsible person presents
8evidence of a valid prescription for the controlled substance as described in sub. (3).
AB385,5,159 (c) If an individual applicant or responsible person receiving treatment under
10par. (b) completes treatment and, at the conclusion of the treatment, tests negative
11for the use of a controlled substance or presents evidence of a valid prescription for
12any controlled substance as described in sub. (3) for which the individual applicant
13or responsible person tests positive, the individual applicant or responsible person
14will have satisfactorily completed the substance abuse testing requirements under
15this section.
AB385,5,23 16(5) If an individual applicant or responsible person fails to satisfactorily
17complete the substance abuse testing requirements under this section, the
18individual applicant or business applicant shall repay to the corporation all grants,
19loans, and other benefits the individual applicant or business applicant received
20under the economic development program in which the individual applicant or
21business applicant is participating when the individual applicant or responsible
22person fails to satisfactorily complete the substance abuse testing requirements
23under this section.
AB385,2 24Section 2. Initial applicability.
AB385,6,6
1(1) Screening and testing under economic development programs.. This act
2first applies to an individual applicant, as defined in section 238.121 (1) (d) of the
3statutes, or business applicant, as defined in section 238.121 (1) (a) of the statutes,
4that applies on the effective date of this subsection to participate in an economic
5development program, as defined in section 238.01 (3) of the statutes, administered
6by the Wisconsin Economic Development Corporation.
AB385,6,77 (End)
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