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LRB-2961/1
JK:cjs&amn
2021 - 2022 LEGISLATURE
July 21, 2021 - Introduced by Senators Ballweg, Cowles, Petrowski, Pfaff and
Wanggaard, cosponsored by Representatives Oldenburg, Plumer,
Cabral-Guevara, Considine, Gundrum, Krug, Rozar, Snyder, Spiros,
Tauchen, Tittl and VanderMeer. Referred to Committee on Utilities,
Technology and Telecommunications.
SB468,1,6 1An Act to renumber 79.04 (5) (a) 1. to 5. and 79.04 (5) (b) 1. to 5.; to amend
266.0602 (3) (n) 1., 66.0602 (3) (n) 2., 79.04 (5) (a) (intro) and 79.04 (5) (b) (intro);
3and to create 79.005 (1h), 79.04 (5) (a) 1m. (intro.), 79.04 (5) (a) 2m., 79.04 (5)
4(b) 1m. (intro.), 79.04 (5) (b) 2m. and 79.04 (8) of the statutes; relating to:
5changing the phase-out of utility aid payments for decommissioned power
6plants.
Analysis by the Legislative Reference Bureau
This bill provides that if a power production plant that is exempt from property
taxes is decommissioned, and therefore becomes taxable, the county and
municipality where the plant is located will receive a utility aid payment for the first
10 years in which the plant is subject to the property tax in an amount equal to a
percentage of the utility aid payment that the county or municipality received for the
last year in which the plant was exempt. Under the bill, “decommissioned” means,
with regard to a production plant, the earliest of the following: 1) the production
plant is no longer recovered through the utility's rates; or 2) the production plant is
sold to a person who is not subject to the annual license fees imposed by the state.
Under current law, the county and municipality where a decommissioned or
closed plant is located each receive a utility aid payment for the first five years in
which the plant is subject to the property tax in an amount equal to a percentage of
the utility aid payment received for the last year in which the plant was exempt.

The bill also provides that, with regard to a power production plant that has
multiple power generation units, the utility aid payment received by a county or
municipality will not be reduced on the basis that one or more, but not all, of the
power generation units are no longer generating electricity, and the amount of the
payment will be the same as the payment received in the year before the year the first
power generation unit stopped generating electricity. In addition, the 10-year phase
out of utility aid payments under the bill does not begin until the production plant
is decommissioned, and the amounts of the phase-out payments are determined on
the basis of the amount of the payment received in the year before the year the first
power generation unit stopped generating electricity.
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:
SB468,1 1Section 1. 66.0602 (3) (n) 1. of the statutes is amended to read:
SB468,2,132 66.0602 (3) (n) 1. For a political subdivision that receives a payment under s.
379.04 (5) (a) or (b), the limit otherwise applicable under this section is increased by
4the amount that the political subdivision levies in that year to replace a revenue
5reduction incurred under s. 79.04 (5) (a) or (b). Subject to subd. 2., the amount levied
6under this paragraph for a particular property may not exceed the amount paid to
7the political subdivision under s. 79.04 (5) (a) 1. or , 2019 stats., s. 79.04 (5) (b) 1., 2019
8stats., or s. 79.04 (5) (a) 1m. a. or 2m. a. or (b) 1m. a. or 2m. a.,
less the amount to be
9paid to the political subdivision under s. 79.04 (5) (a) or (b) in the year in which the
10levy is imposed and less any amounts previously levied under this paragraph. A
11revenue reduction is incurred under this paragraph when the amount received by a
12political subdivision under s. 79.04 (5) (a) or (b) in the current year is less than the
13amount received under s. 79.04 (5) (a) or (b) in the previous year.
SB468,2 14Section 2. 66.0602 (3) (n) 2. of the statutes is amended to read:
SB468,3,7
166.0602 (3) (n) 2. This paragraph applies to revenue reductions for which a
2payment under s. 79.04 (5) (a) or (b) is made after November 23, 2019. If the first
3payment made under s. 79.04 (5) (a) or (b) after November 23, 2019, is under s. 79.04
4(5) (a) 2. to 5. or, 2019 stats., s. 79.04 (5) (b) 2. to 5., 2019 stats., or s. 79.04 (5) (a) 1m.
5b. to e. or 2m. b. to j. or (b) 1m. b. to e. 2m. b. to j.,
the amount of the payment made
6under s. 79.04 (5) (a) or (b) in the previous year shall be used in determining the
7maximum amount of revenue reduction incurred.
SB468,3 8Section 3. 79.005 (1h) of the statutes is created to read:
SB468,3,109 79.005 (1h) “Decommissioned” means, with regard to a production plant, the
10earliest of the following:
SB468,3,1111 (a) The production plant is no longer recovered through the utility's rates.
SB468,3,1312 (b) The production plant is sold to a person who is not subject to the annual
13license fee imposed under s. 76.28 (2) or 76.29 (2).
SB468,4 14Section 4. 79.04 (5) (a) (intro) of the statutes is amended to read:
SB468,3,2315 79.04 (5) (a) (intro.) If property that was exempt from the property tax under
16s. 70.112 (4) and that was used to generate power by a light, heat, or power company,
17except property under s. 66.0813, unless the production plant is owned or operated
18by a local governmental unit located outside of the municipality, or by an electric
19cooperative, or by a municipal electric company under s. 66.0825, is decommissioned
20or closed, the municipality shall be paid, from the public utility account, an amount
21equal to the following percentages of the payment that the municipality received
22under this section during the last year that the property was exempt from the
23property tax:
SB468,5 24Section 5 . 79.04 (5) (a) 1. to 5. of the statutes are renumbered 79.04 (5) (a) 1m.
25a. to e.
SB468,6
1Section 6. 79.04 (5) (a) 1m. (intro.) of the statutes is created to read:
SB468,4,22 79.04 (5) (a) 1m. (intro.) For property decommissioned before January 1, 2021:
SB468,7 3Section 7 . 79.04 (5) (a) 2m. of the statutes is created to read:
SB468,4,44 79.04 (5) (a) 2m. For property decommissioned after December 31, 2020:
SB468,4,55 a. In the first year that the property is taxable, 100 percent.
SB468,4,66 b. In the 2nd year that the property is taxable, 90 percent.
SB468,4,77 c. In the 3rd year that the property is taxable, 80 percent.
SB468,4,88 d. In the 4th year that the property is taxable, 70 percent.
SB468,4,99 e. In the 5th year that the property is taxable, 60 percent.
SB468,4,1010 f. In the 6th year that the property is taxable, 50 percent.
SB468,4,1111 g. In the 7th year that the property is taxable, 40 percent.
SB468,4,1212 h. In the 8th year that the property is taxable, 30 percent.
SB468,4,1313 i. In the 9th year that the property is taxable, 20 percent.
SB468,4,1414 j. In the 10th year that the property is taxable, 10 percent.
SB468,8 15Section 8. 79.04 (5) (b) (intro) of the statutes is amended to read:
SB468,4,2316 79.04 (5) (b) (intro.) If property that was exempt from the property tax under
17s. 70.112 (4) and that was used to generate power by a light, heat, or power company,
18except property under s. 66.0813, unless the production plant is owned or operated
19by a local governmental unit located outside of the municipality, or by an electric
20cooperative, or by a municipal electric company under s. 66.0825, is decommissioned
21or closed, the county shall be paid, from the public utility account, an amount equal
22to the following percentages of the payment the county received under this section
23during the last year that the property was exempt from the property tax:
SB468,9 24Section 9 . 79.04 (5) (b) 1. to 5. of the statutes are renumbered 79.04 (5) (b) 1m.
25a. to e.
SB468,10
1Section 10. 79.04 (5) (b) 1m. (intro.) of the statutes is created to read:
SB468,5,22 79.04 (5) (b) 1m. (intro.) For property decommissioned before January 1, 2021:
SB468,11 3Section 11 . 79.04 (5) (b) 2m. of the statutes is created to read:
SB468,5,44 79.04 (5) (b) 2m. For property decommissioned after December 31, 2020:
SB468,5,55 a. In the first year that the property is taxable, 100 percent.
SB468,5,66 b. In the 2nd year that the property is taxable, 90 percent.
SB468,5,77 c. In the 3rd year that the property is taxable, 80 percent.
SB468,5,88 d. In the 4th year that the property is taxable, 70 percent.
SB468,5,99 e. In the 5th year that the property is taxable, 60 percent.
SB468,5,1010 f. In the 6th year that the property is taxable, 50 percent.
SB468,5,1111 g. In the 7th year that the property is taxable, 40 percent.
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