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LRBa1061/1
MG/MD/CH/ZW:all
August 2017 Special Session
2017 - 2018 LEGISLATURE
ASSEMBLY AMENDMENT 25,
TO ASSEMBLY SUBSTITUTE AMENDMENT 1,
TO ASSEMBLY BILL 1
August 17, 2017 - Offered by Representatives Sinicki, Ohnstad, Stuck, Fields,
Crowley, Barca, Billings, Hebl, Hesselbein, Kessler, Mason, Shankland,
Spreitzer, Vruwink, Zamarripa, Zepnick, Kolste and Young.
AB1-ASA1-AA25,1,11 At the locations indicated, amend the substitute amendment as follows:
AB1-ASA1-AA25,1,3 21. Page 2, line 10: delete “and making appropriations" and substitute “ making
3appropriations; and providing a penalty".
AB1-ASA1-AA25,1,4 42. Page 2, line 10: after “authority;" insert “procurement for public contracts;".
AB1-ASA1-AA25,1,5 53. Page 10, line 14: after that line insert:
AB1-ASA1-AA25,1,6 6 Section 2p. 16.855 (1q) of the statutes is created to read:
AB1-ASA1-AA25,1,87 16.855 (1q) (a) 1. A bid submitted by a qualified responsible bidder shall be
8considered as if the bid amount submitted was reduced as follows:
AB1-ASA1-AA25,1,109 a. By 1 percent if the bidder participates in an apprenticeship program under
10ch. 106 and ch. DWD 295, Wis. Adm. Code, or under 29 USC 50 and 29 CFR part 29.
AB1-ASA1-AA25,2,3
1b. By 1 percent if the bidder contributes at least 75 percent of the premium cost
2for individual health insurance coverage for each employee that is to perform work
3under the contract.
AB1-ASA1-AA25,2,64 c. By 1 percent if the bidder submits a written plan meeting the requirements
5of s. 103.503 (3) and proof that at least 5 percent of the employees that are to perform
6work under the contract are subject to random annual drug and alcohol testing.
AB1-ASA1-AA25,2,77 d. By 1 percent if the bidder is a tier I or tier II participant under s. 299.83.
AB1-ASA1-AA25,2,108 2. The department may request and receive information from the department
9of workforce development or the department of natural resources when determining
10if a bidder qualifies for reduction under subd. 1.
AB1-ASA1-AA25,2,1111 (b) 1. In this paragraph:
AB1-ASA1-AA25,2,1412 a. “First tier subcontractor” means a person who is awarded a subcontract
13directly by the bidder for the purposes of acquiring supplies or services for
14performance of the contract.
AB1-ASA1-AA25,2,1615 b. “Resident” means a person domiciled in Wisconsin for not less than 12
16consecutive months preceding the submission of a bid.
AB1-ASA1-AA25,2,1817 2. A submitted bid by a qualified responsible bidder shall be considered as if
18the bid amount submitted was reduced as follows:
AB1-ASA1-AA25,2,2019 a. By 6 percent if at least 75 percent of the bidder's employees performing work
20on the contract are residents.
AB1-ASA1-AA25,2,2221 b. By 3 percent if at least 50 percent but less than 75 percent of the bidder's
22employees performing work on the contract are residents.
AB1-ASA1-AA25,2,2423 c. By 1 percent if at least 25 percent but less than 50 percent of the bidder's
24employees performing work on the contract are residents.
AB1-ASA1-AA25,3,5
13. The reduction under subd. 2. may not be applied unless all first tier
2subcontractors working under the bidder also meet the criteria under subd. 2. a., b.,
3or c., whichever is appropriate, unless the first tier contractor demonstrates that
4there is a lack of journeymen in Wisconsin available and qualified to perform the
5work required by the subcontract.
AB1-ASA1-AA25,3,106 (c) A bid reduction under this subsection may not be applied if the reduction
7would jeopardize the receipt of federal funds or would violate federal law. If a bid
8reduction under par. (b) is prohibited under this paragraph, the remaining bid
9reductions shall be increased proportionately so that the the available bid reductions
10total 10 percent.
AB1-ASA1-AA25,3,1111 (d) The department shall do all of the following:
AB1-ASA1-AA25,3,1412 1. Enforce this subsection and enforce conforming bid reductions under ss.
1359.52 (29) (a), 60.47 (3), 62.15 (1), 66.0901 (1m) (a) 3., 84.06 (2) (a), 85.077 (1), and
1486.31 (2) (b).
AB1-ASA1-AA25,3,1515 2. Promulgate rules necessary to do all of the following:
AB1-ASA1-AA25,3,1816 a. Establish criteria and procedures for determining if bidders are eligible for
17bid reductions under this subsection and ss. 59.52 (29) (a), 60.47 (3), 62.15 (1),
1866.0901 (1m) (a) 3., 84.06 (2) (a), 85.077 (1), and 86.31 (2) (b).
AB1-ASA1-AA25,3,2119 b. Establish procedures for bidders to certify their eligibility for bid reductions
20under this subsection and ss. 59.52 (29) (a), 60.47 (3), 62.15 (1), 66.0901 (1m) (a) 3.,
2184.06 (2) (a), 85.077 (1), and 86.31 (2) (b).
AB1-ASA1-AA25,3,2422 c. Establish procedures to audit bids that make a claim for bid reductions under
23this subsection or s. 59.52 (29) (a), 60.47 (3), 62.15 (1), 66.0901 (1m) (a) 3., 84.06 (2)
24(a), 85.077 (1), or 86.31 (2) (b).
AB1-ASA1-AA25,4,7
13. Monitor awards that are based on bid reductions under this subsection or s.
259.52 (29) (a), 60.47 (3), 62.15 (1), 66.0901 (1m) (a) 3., 84.06 (2) (a), 85.077 (1), or 86.31
3(2) (b) to ensure that the person awarded the contract continues to meet the criteria
4for the bid reduction until the completion of the contract. If the department
5determines that the person no longer meets the criteria for the bid reduction, the
6contract is void and the department shall assess a penalty against the person of not
7more than 10 percent of the person's bid on the project.”.
AB1-ASA1-AA25,4,8 84. Page 10, line 19: delete lines 19 and 20 and substitute: - See PDF for table PDF
AB1-ASA1-AA25,4,9 95. Page 13, line 18: after that line insert:
AB1-ASA1-AA25,4,10 10 Section 14p. 59.52 (29) (a) of the statutes is amended to read:
AB1-ASA1-AA25,5,611 59.52 (29) (a) All public work, including any contract for the construction,
12repair, remodeling or improvement of any public work, building, or furnishing of
13supplies or material of any kind where the estimated cost of such work will exceed
14$25,000 shall be let by contract to the lowest responsible bidder. Each bid submitted
15by a responsible bidder shall be considered as if the bid amount submitted was
16reduced as provided under s. 16.855 (1q).
Any public work, the estimated cost of
17which does not exceed $25,000, shall be let as the board may direct. If the estimated
18cost of any public work is between $5,000 and $25,000, the board shall give a class
191 notice under ch. 985 before it contracts for the work or shall contract with a person
20qualified as a bidder under s. 66.0901 (2). A contract, the estimated cost of which
21exceeds $25,000, shall be let and entered into under s. 66.0901, except that the board
22may by a three-fourths vote of all the members entitled to a seat provide that any

1class of public work or any part thereof may be done directly by the county without
2submitting the same for bids. This subsection does not apply to public construction
3if the materials for such a project are donated or if the labor for such a project is
4provided by volunteers. This subsection does not apply to highway contracts which
5the county highway committee or the county highway commissioner is authorized by
6law to let or make.
AB1-ASA1-AA25,14r 7Section 14r. 60.47 (3) of the statutes is amended to read:
AB1-ASA1-AA25,5,128 60.47 (3) Contracts to lowest responsible bidder. The town board shall let
9a public contract for which advertising for proposals is required under sub. (2) (b) to
10the lowest responsible bidder. Each bid submitted by a responsible bidder shall be
11considered as if the bid amount submitted was reduced as provided under s. 16.855
12(1q).
Section 66.0901 applies to public contracts let under sub. (2) (b).”.
AB1-ASA1-AA25,5,13 136. Page 14, line 8: after that line insert:
AB1-ASA1-AA25,5,14 14 Section 16p. 62.15 (1) of the statutes is amended to read:
AB1-ASA1-AA25,6,315 62.15 (1) Contracts; how let; exception for donated materials and labor. All
16public construction, the estimated cost of which exceeds $25,000, shall be let by
17contract to the lowest responsible bidder; all other public construction shall be let as
18the council may direct. If required to be let by contract, each bid submitted by a
19responsible bidder shall be considered as if the bid amount submitted was reduced
20as provided under s. 16.855 (1q).
If the estimated cost of any public construction
21exceeds $5,000 but is not greater than $25,000, the board of public works shall give
22a class 1 notice, under ch. 985, of the proposed construction before the contract for
23the construction is executed. This provision does not apply to public construction if
24the materials for such a project are donated or if the labor for such a project is

1provided by volunteers. The council may also by a vote of three-fourths of all the
2members-elect provide by ordinance that any class of public construction or any part
3thereof may be done directly by the city without submitting the same for bids.”.
AB1-ASA1-AA25,6,4 47. Page 15, line 24: after that line insert:
AB1-ASA1-AA25,6,5 5 Section 18p. 66.0901 (1m) (a) 3. of the statutes is created to read:
AB1-ASA1-AA25,6,86 66.0901 (1m) (a) 3. Each bid submitted by a responsible bidder shall be
7considered as if the bid amount submitted was reduced as provided under s. 16.855
8(1q).”.
AB1-ASA1-AA25,6,11 98. Page 22, line 7: after “$30,000" insert “, who is required to file a Wisconsin
10income tax return for the same taxable year for which the employee's employer
11claims a credit under par. (b),".
AB1-ASA1-AA25,6,14 129. Page 26, line 11: after “$30,000" insert “, who is required to file a Wisconsin
13income tax return for the same taxable year for which the employee's employer
14claims a credit under par. (b),".
AB1-ASA1-AA25,6,15 1510. Page 30, line 12: after that line insert:
AB1-ASA1-AA25,6,16 16 Section 35p. 84.06 (2) (a) of the statutes is amended to read:
AB1-ASA1-AA25,7,1417 84.06 (2) (a) All such highway improvements shall be executed by contract
18based on bids unless the department finds that another method as provided in sub.
19(3) or (4) would be more feasible and advantageous. Bids shall be advertised for in
20the manner determined by the department. Except as provided in s. 84.075, the
21contract shall be awarded to the lowest competent and responsible bidder as
22determined by the department. Each bid submitted by a competent and responsible
23bidder shall be considered as if the bid amount submitted was reduced as provided
24under s. 16.855 (1q).
If the bid of the lowest competent bidder is determined by the

1department to be in excess of the estimated reasonable value of the work or not in
2the public interest, all bids may be rejected. The department shall, so far as
3reasonable, follow uniform methods of advertising for bids and may prescribe and
4require uniform forms of bids and contracts. Except as provided in par. (b), the
5secretary shall enter into the contract on behalf of the state. Every such contract is
6exempted from ss. 16.70 to 16.75, 16.755 to 16.82, 16.87 and 16.89, but ss. 16.528,
716.752, 16.753, and 16.754 apply to the contract. Any such contract involving an
8expenditure of $1,000 or more shall not be valid until approved by the governor. The
9secretary may require the attorney general to examine any contract and any bond
10submitted in connection with the contract and report on its sufficiency of form and
11execution. The bond required by s. 779.14 (1m) is exempt from approval by the
12governor and shall be subject to approval by the secretary. This subsection also
13applies to contracts with private contractors based on bids for maintenance under s.
1484.07.”.
AB1-ASA1-AA25,7,15 1511. Page 30, line 17: after that line insert:
AB1-ASA1-AA25,7,16 16 Section 36d. 85.077 (1) of the statutes is amended to read:
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