Amendment ASA1-AB973

LRBs0374/1

MED/JK/ARG:cjs

2021 - 2022 LEGISLATURE

ASSEMBLY SUBSTITUTE AMENDMENT 1, TO ASSEMBLY BILL 973

February 14, 2022 - Offered by Representative Oldenburg.

AB973-ASA1,2,2 An Act to renumber 106.05 (1) (a) and 106.05 (1) (b); to renumber and amend 38.04 (26), 106.273 (2) (b) and 118.34 (1); to amend 106.05 (title), 106.05 (2) (a) (intro.), 106.05 (2) (b) (intro.), 106.05 (2) (c), 106.05 (3) (a) and 106.05 (3) (b) (intro.); and to create 38.04 (26) (b), 38.40 (2g), 71.05 (6) (b) 57., 106.05 (1) (e) to (f), 106.05 (1) (v), 106.05 (2) (a) 3., 106.05 (2m), 106.273 (2) (b) 1. and 118.34 (1) (c) of the statutes; relating to: apprenticeship and youth apprenticeship completion awards, career and technical education incentive grants and completion awards, technical preparation programs in school districts and technical colleges, creating an individual income tax subtraction for expenses paid for apprenticeship programs, extending the time limit for emergency rule procedures, providing an exemption from emergency rule procedures, and making an appropriation.

Analysis by the Legislative Reference Bureau

This substitute amendment differs from 2021 Assembly Bill 973 in the following respects:

1. Allows costs incurred by nonsponsor employers to be reimbursed under the Apprenticeship Completion Award Program (ACAP).

2. Explicitly allows books and instructional guides and parking costs to be reimbursed under the ACAP and Youth Apprenticeship Completion Award Program.

3. Provides that that an individual may not, for purposes of the tax subtraction, include expenses that have been reimbursed under the ACAP.

4. Allows the Department of Workforce Development to promulgate emergency rules to implement this act.

5. Slightly modifies the award to a high school student of apprenticeship course credit at a technical college.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB973-ASA1,1 Section 1. 38.04 (26) of the statutes is renumbered 38.04 (26) (intro.) and amended to read:

AB973-ASA1,2,8 38.04 (26) Technical preparation programs. (intro.) In consultation with the state superintendent of public instruction, the board shall approve courses for technical preparation programs under s. 118.34 (1) (b). By July 1, 1994, and annually thereafter Annually by July 1, the board shall publish a list of the all of the following:

AB973-ASA1,2,11 (a) The approved courses that indicates under s. 118.34 (1) (b), indicating the high schools in which each course is taught and the credit equivalency available in each technical college district for each course.

AB973-ASA1,2 Section 2. 38.04 (26) (b) of the statutes is created to read:

AB973-ASA1,2,14 38.04 (26) (b) Courses offered to high school students that meet all of the following criteria:

AB973-ASA1,3,2 1. The course is offered to adults in an approved apprenticeship program, as defined in s. 106.001 (4).

AB973-ASA1,3,3 2. The course is an approved technical college district course.

AB973-ASA1,3,6 3. The course is taught by school district faculty, by technical college faculty, or by industry professionals who teach, or are qualified to teach, the course to adults in an approved apprenticeship program, as defined in s. 106.001 (4).

AB973-ASA1,3 Section 3. 38.40 (2g) of the statutes is created to read:

AB973-ASA1,3,9 38.40 (2g) Apprenticeship courses. (a) In this subsection, “apprenticeship courses” means those courses identified under s. 38.04 (26) (b).

AB973-ASA1,3,11 (b) The board shall facilitate dual enrollment programs between school boards and technical college district boards for apprenticeship courses.

AB973-ASA1,3,14 (c) The board shall ensure that an individual's successful completion of an apprenticeship course allows the individual to receive technical college course credit while in high school.

AB973-ASA1,4 Section 4. 71.05 (6) (b) 57. of the statutes is created to read:

AB973-ASA1,3,20 71.05 (6) (b) 57. a. For taxable years beginning after December 31, 2021, and subject to the definition and limitations in subd. 57. b. to d., eligible apprenticeship expenses that are paid in the taxable year by an individual for the individual or the individual's dependent, as defined in section 152 of the Internal Revenue Code, to participate in an apprenticeship program.

AB973-ASA1,3,23 b. In this subdivision, “apprenticeship program” has the meaning given in s. 106.001 (4) and “eligible apprenticeship expenses” has the meaning given in s. 106.05 (1) (e).

AB973-ASA1,4,2 c. No subtraction may be made under this subdivision for an amount paid for an apprenticeship program if the source of the payment is an amount withdrawn from a college savings account, as described in s. 224.50, or from a college tuition and expenses program, as described in s. 224.48.

AB973-ASA1,4,7 d. The subtraction that may be claimed under this subdivision for an amount paid for an apprenticeship program is reduced by the amount paid for an apprenticeship program that is being claimed as a modification for tuition expenses or mandatory student fees under subd. 28. or that has been reimbursed to the individual under s. 106.05.

AB973-ASA1,5 Section 5. 106.05 (title) of the statutes is amended to read:

AB973-ASA1,4,10 106.05 (title) Apprenticeship and youth apprenticeship completion award program programs .

AB973-ASA1,6 Section 6. 106.05 (1) (a) of the statutes is renumbered 106.05 (1) (p).

AB973-ASA1,7 Section 7. 106.05 (1) (b) of the statutes is renumbered 106.05 (1) (t).

AB973-ASA1,8 Section 8. 106.05 (1) (e) to (f) of the statutes are created to read:

AB973-ASA1,4,16 106.05 (1) (e) “Eligible apprenticeship expenses” means any of the following costs incurred by an apprentice or the apprentice's sponsor in connection with the apprenticeship:

AB973-ASA1,4,19 1. Tools, books and instructional guides, and other materials, including personal protective equipment, that are used in the apprentice's trade, craft, or business.

AB973-ASA1,4,20 2. Tuition costs.

AB973-ASA1,4,22 3. Travel costs, including mileage reimbursement, mass transit-related costs, parking costs, and taxicab and transportation network company ride fares.

AB973-ASA1,4,25 (f) “Eligible youth apprenticeship expenses” means any of the following incurred by a youth apprentice or an employer described in s. 106.13 (3m) (b) 1. in connection with the youth apprenticeship program:

AB973-ASA1,5,3 1. Tools, books and instructional guides, and other materials, including personal protective equipment, that are used in the youth apprentice's youth apprenticeship program.

AB973-ASA1,5,5 2. Travel costs, including mileage reimbursement, mass transit-related costs, parking costs, and taxicab and transportation network company ride fares.

AB973-ASA1,5,6 3. Worksite mentor expenses.

AB973-ASA1,9 Section 9. 106.05 (1) (v) of the statutes is created to read:

AB973-ASA1,5,9 106.05 (1) (v) “Youth apprenticeship program” means a program undertaken by a youth apprentice under the youth apprenticeship program under s. 106.13

AB973-ASA1,10 Section 10. 106.05 (2) (a) (intro.) of the statutes is amended to read:

AB973-ASA1,5,14 106.05 (2) (a) (intro.) The department shall administer an apprenticeship completion award program as provided in this section subsection to partially reimburse tuition costs eligible apprenticeship expenses that are incurred by any of the following:

AB973-ASA1,11 Section 11. 106.05 (2) (a) 3. of the statutes is created to read:

AB973-ASA1,5,17 106.05 (2) (a) 3. The employer to which an apprentice described in subd. 1. is assigned under s. 106.01 (5m), if other than the sponsor described in subd. 2.

AB973-ASA1,12 Section 12. 106.05 (2) (b) (intro.) of the statutes is amended to read:

AB973-ASA1,5,25 106.05 (2) (b) (intro.) Subject to par. (c) and sub. (3), from the appropriation under s. 20.445 (1) (dr), the department may provide to an apprentice described in par. (a) 1. or, the apprentice's sponsor, or the apprentice's employer a completion award equal to 25 percent of the cost of tuition eligible apprenticeship expenses that are incurred by the apprentice or, sponsor, or employer or $1,000, whichever is less. If the department provides a completion award under this subsection, the department shall pay the award as follows:

AB973-ASA1,13 Section 13. 106.05 (2) (c) of the statutes is amended to read:

AB973-ASA1,6,5 106.05 (2) (c) The total amount of a completion award that the department may pay to an apprentice and, his or her sponsor, and his or her employer may not exceed 25 percent of the cost of tuition eligible apprenticeship expenses that are incurred by the apprentice and, sponsor , and employer or $1,000, whichever is less.