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LRB-0187/1
JK:ahe
2021 - 2022 LEGISLATURE
November 19, 2021 - Introduced by Senator Bernier, cosponsored by
Representatives Wichgers, Cabral-Guevara, Murphy and Spiros. Referred
to Committee on Elections, Election Process Reform and Ethics.
SB720,1,7 1An Act to repeal 13.685 (7), 16.753, 19.45 (12), 19.48 (11) and 20.9305 (2) (e); to
2renumber and amend
19.42 (12); to amend 16.298 (5), 19.43 (1), 23.41 (5),
325.18 (1) (a), 25.18 (1) (f), 25.18 (1) (m), 84.01 (13), 84.01 (36) (e), 84.06 (2) (a),
484.06 (3), 84.06 (4), 85.015, 102.81 (2) and 655.27 (2); and to create 19.42 (12)
5(b), 19.42 (12) (c), 19.42 (12) (d), 19.42 (12) (e), 19.42 (12) (f), 19.43 (2m), 19.45
6(14) and 19.59 (1b) of the statutes; relating to: changes to the administration
7of the code of ethics, as recommended by the Ethics Commission.
Analysis by the Legislative Reference Bureau
This bill bill makes various changes to the administration of the code of ethics,
as recommended by the Ethics Commission.
The bill eliminates a requirement that the Ethics Commission compile and post
on its Internet site for access by the public information received by the commission
from state agencies and related to certain pending contracts and orders with the
agencies. The bill also eliminates a requirement that the commission regularly,
during the course of a legislative session, give reports to the legislature that provide
information about licensed lobbyists, principals, and their lobbying activities.
The bill changes the definition of “security” as that term is used in connection
with the types of financial information an individual required to file with the Ethics
Commission must disclose on his or her statement of economic interests. Current law

requires state public office holders and certain state employees to annually file a
statement of economic interests and to identify the employers, investments, real
estate, commercial clients, and creditors of the individual and his or her family
members.
Current law requires a state public official to file a statement of economic
interests with the commission no later than April 30 of any year in which the
individual held office on January 1 of that year. The bill modifies current law so that
an official must file the statement only if he or she held office on January 1 and for
at least 14 days. The bill also requires an official to file a statement no later than 21
days following the date on which the official leaves office. The individual is then not
required to file another statement of economic interests until such time as the
individual again becomes a state public official.
Under the bill, if a state or local public official receives an item that the code of
ethics does not permit the official to accept or retain, the official must do one of the
following:
1. Give the item to the official's agency to use or sell, except that the agency may
not sell the item to any government employee or official.
2. Give the item to another state or local agency or to a public institution, such
as a local school, library, or museum, that can use the item.
3. Give the item to a charitable organization, not including a charitable
organization to which the official or his or her immediate family is associated.
4. Return the item to the donor.
5. If the donor is neither a lobbyist nor a principal (a person who employs a
lobbyist), purchase the item at its full retail value and keep the item.
This provision codifies the guideline issued by the Ethics Commission for the
disposition of gifts received by state and local public officials.
Finally, the bill repeals a provision that prohibits an officer or employee of a
state agency from requesting appropriations for that agency in excess of the
appropriations already requested. The U.S. District Court in the Eastern District
of Wisconsin, in Barnett v. State Ethics Board, 817 F. Supp. 67 (1993), found this to
be an unconstitutional infringement on free speech.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB720,1 1Section 1 . 13.685 (7) of the statutes is repealed.
SB720,2 2Section 2 . 16.298 (5) of the statutes is amended to read:
SB720,2,43 16.298 (5) Purchasing exemption. A contract is subject to ss. 16.753 and s.
416.765, but is otherwise exempt from subch. IV.
SB720,3 5Section 3 . 16.753 of the statutes is repealed.
SB720,4
1Section 4. 19.42 (12) of the statutes is renumbered 19.42 (12) (intro.) and
2amended to read:
SB720,3,43 19.42 (12) (intro.) “Security" has the meaning given under s. 551.102 (28),
4except that the term does not include a any of the following:
SB720,3,6 5(a) A certificate of deposit or a deposit in a savings and loan association, savings
6bank, credit union or similar association organized under the laws of any state.
SB720,5 7Section 5 . 19.42 (12) (b) of the statutes is created to read:
SB720,3,88 19.42 (12) (b) A defined benefit retirement plan.
SB720,6 9Section 6 . 19.42 (12) (c) of the statutes is created to read:
SB720,3,1010 19.42 (12) (c) An annuity.
SB720,7 11Section 7 . 19.42 (12) (d) of the statutes is created to read:
SB720,3,1212 19.42 (12) (d) A money market fund.
SB720,8 13Section 8 . 19.42 (12) (e) of the statutes is created to read:
SB720,3,1414 19.42 (12) (e) A mutual fund.
SB720,9 15Section 9 . 19.42 (12) (f) of the statutes is created to read:
SB720,3,1616 19.42 (12) (f) An exchange-traded fund.
SB720,10 17Section 10 . 19.43 (1) of the statutes is amended to read:
SB720,3,2218 19.43 (1) Each individual who in January of any year is an official required to
19file, and who is an official required to file for at least 14 days in that year, shall file
20with the commission no later than April 30 of that year a statement of economic
21interests meeting each of the requirements of s. 19.44 (1). The information contained
22on the statement shall be current as of December 31 of the preceding year.
SB720,11 23Section 11 . 19.43 (2m) of the statutes is created to read:
SB720,4,624 19.43 (2m) Each individual who is an official required to file shall file with the
25commission a statement of economic interests meeting each of the requirements of

1s. 19.44 (1) no later than 21 days following the date on which the individual's term
2of office ends or the individual leaves the office. The information contained on the
3statement shall be current as of the date on which the individual's term of office ends
4or the individual leaves the office. An individual who files a statement as provided
5under this subsection is not required to file another statement of economic interests
6until such time as the individual again becomes an official required to file.
SB720,12 7Section 12 . 19.45 (12) of the statutes is repealed.
SB720,13 8Section 13 . 19.45 (14) of the statutes is created to read:
SB720,4,119 19.45 (14) If a state public official receives an item that the official is not
10permitted to accept or retain under this subchapter or subch. III of ch. 13, the official
11shall do one of the following:
SB720,4,1312 (a) Give the item to the official's agency to use or sell, except that the agency
13may not sell the item to any government employee or official.
SB720,4,1514 (b) Give the item to another state agency or to a public institution, such as a
15local school, library, or museum, that can use the item.
SB720,4,1816 (c) Give the item to a charitable organization, as defined in s. 11.0101 (4), not
17including a charitable organization with which the official or his or her immediate
18family is associated.
SB720,4,1919 (d) Return the item to the donor.
SB720,4,2120 (e) If the donor is neither a lobbyist, as defined in s. 13.62 (11), nor a principal,
21as defined in s. 13.62 (12), purchase the item at its full retail value and keep the item.
SB720,14 22Section 14 . 19.48 (11) of the statutes is repealed.
SB720,15 23Section 15 . 19.59 (1b) of the statutes is created to read:
SB720,5,3
119.59 (1b) If a local public official receives an item that the official is not
2permitted to accept or retain under this subchapter or subch. III of ch. 13, the official
3shall do one of the following:
SB720,5,54 (a) Give the item to the official's agency to use or sell, except that the agency
5may not sell the item to any government employee or official.
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