2019 - 2020 LEGISLATURE
February 20, 2020 - Introduced by Senators Shilling, Schachtner, Bewley,
Carpenter, Johnson, Ringhand, Smith, Wirch and Larson, cosponsored by
Representatives McGuire, Doyle, Stuck, Anderson, Billings, Bowen,
Considine, Emerson, Gruszynski, Hesselbein, Kolste, B. Meyers, Neubauer,
Ohnstad, Pope, Sargent, Shankland, Sinicki, Spreitzer, C. Taylor, Vruwink,
Zamarripa, Fields and Hintz. Referred to Committee on Government
Operations, Technology and Consumer Protection.
1An Act to renumber and amend
16.754 (2); to amend
16.754 (3) (intro.) and 2
(a) and 66.0901 (1m) (b); and to create
16.754 (2) (b) and 66.0901 (10) of the 3
statutes; relating to: preference in state and local government contracts and
4procurement for materials manufactured in the United States and requiring
5the exercise of rule-making authority.
Analysis by the Legislative Reference Bureau
Under this bill, with limited exceptions, the state must purchase materials that
are manufactured to the greatest extent in the United States, regardless of whether
all other factors are substantially equal. The bill also requires, with limited
exceptions, that a contract for a public works or public improvement project must
contain a provision requiring the contractor to use materials that are manufactured
in the United States. The bill also creates a similar provision for local governments.
Current law generally authorizes the Department of Administration to
purchase, or delegate the authority to purchase, all necessary materials and
contractual services for all state agencies. With some exceptions, orders or contracts
must be awarded to the lowest bidder. One such exception requires, if all other
factors are substantially equal, the purchasing agent to purchase materials that are
mined, produced, manufactured, fabricated, or assembled to the greatest extent in
the United States.
Generally under current law, if a city, village, town, county, school district,
sewer district, technical college district, or other local unit of government wishes to
let a public contract involving the construction or repair of any public work or
building, or the furnishing of supplies or materials, there are a number of bidding
requirements that apply to such contracts. For example, if the value of the contract
is above a certain amount, or between certain amounts, certain local units of
government must publish a notice in the newspaper before it contracts for the work.
This bill adds another requirement to public contracts entered into by local units of
government. Under this bill, such a public contract must contain a provision that the
contractor will use materials that are manufactured in the United States in the
performance of the contract.
For further information see the state and local 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:
16.754 (2) of the statutes is renumbered 16.754 (2) (a) and amended 2
(a) Notwithstanding s. 16.75 (1) (a) 2., (2), (2m) and (6), when all
4other factors are substantially equal making purchases,
the state shall purchase 5
materials which that
are manufactured to the greatest extent in the United States,
6as defined by the department by rule, unless prohibited by federal law or a treaty or
7other international agreement
16.754 (2) (b) of the statutes is created to read:
(b) Each contract entered into by the state for the construction, 10
repair, or modification of a public works or public improvement project shall contain 11
a provision requiring the contractor to use materials that are manufactured in the 12
United States in the performance of the contract, unless prohibited by federal law 13
or a treaty or other international agreement.
16.754 (3) (intro.) and (a) of the statutes are amended to read:
16.754 (3) Exemptions.
(intro.) Subsection (2) (a)
does not apply if the 16
materials are purchased for the purpose of commercial resale or for the purpose of
use in the production of goods for commercial sale. Subsection (2) does not apply to 2
the purchase of stationery and printing materials. Subsection (2) does not apply if
3the department determines, under s. 16.75 (1) (a) 2., that the foreign nation or
4subdivision thereof in which the vendor is domiciled does not give preference to
5vendors domiciled in that nation or subdivision in making governmental purchases.
Subsection (2) does not apply if the department or other person having contracting 7
authority in respect to the purchase determines that
any of the following
(a) The materials are not manufactured in the United States in sufficient or 9
reasonably available quantities; or.
66.0901 (1m) (b) of the statutes is amended to read:
(b) Except when necessary to secure federal aid and except as
12provided in sub. (10)
, a political subdivision may not use a bidding method that gives 13
preference based on the geographic location of the bidder or that uses criteria other 14
than the lowest responsible bidder in awarding a contract.
66.0901 (10) of the statutes is created to read:
66.0901 (10) Materials manufactured in the United States.
Each public 17
contract entered into by a municipality shall contain a provision that the contractor 18
will use materials that are manufactured in the United States in the performance 19
of the contract, unless prohibited by federal law or a treaty or other international 20
(1) This act first applies to contracts entered into in the fiscal year that begins 23
in the year after this subsection takes effect.