1999 - 2000 LEGISLATURE
February 16, 2000 - Introduced by Joint Legislative Council. Referred to
Economic Development, Housing and Government Operations.
SB393,2,18 1An Act to repeal 15.155 (4), 20.143 (1) (cb), 560.033, 560.037, 560.038 and
2560.039, 560.045 (2), 560.06, 560.14 (1) (a), (ar), (b), (fm), (g) and (h), 560.14 (2),
3560.14 (3), 560.14 (3m) and (3r), 560.14 (4), 560.14 (4m), 560.14 (5), 560.145,
4560.147, 560.16 (title) and (1) (intro.), (a) and (b), 560.16 (1) (g) and (h), 560.16
5(2), (3), (4) and (6), 560.167, 560.17 (1) (a), (am), (bm) and (c), 560.17 (2), 560.17
6(3), 560.17 (4), 560.17 (4m), 560.17 (5), 560.17 (5c) and (5m), 560.17 (5r), 560.17
7(6), 560.17 (6m), 560.17 (6r), 560.17 (7), 560.175, 560.20 (1) (title), (cf) and (cm),
8560.20 (1) (f), 560.20 (1) (g), 560.20 (1m), 560.20 (2), 560.20 (3) (title), 560.20 (3)
9(a), 560.20 (3) (b) and (c), 560.20 (3) (cm), 560.20 (3) (d) and (e), 560.20 (3) (f) 1.
10to 3., 560.25, 560.26, 560.60 (1m), (1s) and (1v), 560.60 (4), 560.60 (6), 560.60
11(10), 560.60 (15), (17) and (18m), 560.602, 560.605, 560.607 (2), 560.61, 560.62,
12560.63, 560.65 (title), (1), (1m), (2) and (3), 560.65 (4), 560.65 (5) (a), 560.66,
13560.68 (title) and (2), 560.68 (4), (5), (5m), (6) and (7) and 560.685; to renumber
14560.16 (1) (c), (e) and (f); to renumber and amend 560.045 (1), 560.20 (3) (g)

1and (h), 560.65 (5) (b) and 560.68 (3); to consolidate, renumber and amend
2560.20 (3) (f) (intro.) and 4.; to amend 20.143 (1) (c), 20.143 (1) (fg), 20.143 (1)
3(fm), 20.143 (1) (gm), 20.143 (1) (ie), 20.143 (1) (im), 20.143 (1) (in), 38.04 (4) (ag),
466.407 (2) (c) 3., 66.431 (2m) (d) 8., 84.185 (1) (b), 84.185 (1) (ce), 234.01 (4n) (a)
53m. e., 292.11 (7) (d) 1m. b., 292.255, 560.03 (intro.), 560.03 (18), 560.135 (5) (a),
6560.135 (5) (b), 560.135 (7), 560.15 (2) (d), 560.607 (1), subchapter VII (title) of
7chapter 560 [precedes 560.80], 560.84 (1) (intro.) and 560.85 (1); to repeal and
8recreate
66.407 (2) (a) 2., 66.431 (2m) (t), 560.01 (2) (a) and 560.137 (1) (b); and
9to create 1.14, 20.143 (1) (ih), 560.03 (24), 560.14 (2c), 560.14 (3c), 560.14 (4c),
10560.14 (5c), 560.14 (6), 560.168, 560.17 (1) (cm), 560.17 (2c), 560.17 (3c), 560.17
11(4c), 560.17 (5b), 560.17 (6c), 560.20 (2c), 560.20 (3m), (4) and (5), 560.64,
12560.815, 560.82 (6), 560.83 (6) and 560.837 (3) of the statutes; relating to:
13establishing state economic development goals, directing the department of
14commerce to establish a state economic development policy, consolidating and
15revising various economic development financial assistance programs
16administered by the department of commerce, modifying the department of
17commerce's export plan, creating a sister state program, granting rule-making
18authority and making an appropriation.
Analysis by the Legislative Reference Bureau
This bill is explained in the Notes provided by the joint legislative council in
the bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
Prefatory note: This bill was prepared for the joint legislative council's special
committee on state strategies for economic development. The bill does the following:
1. Creates statewide economic goals based on the goals in the committee's mission
statement and directs all executive branch agencies, including the department of

commerce (the department), and state authorities to consider these goals when
implementing a statutory prescribed power or duty and to implement the power or duty
in a manner that contributes to the expeditious attainment of the goals.
2. Replaces the department's duty to develop a state economic policy and
implement 11 specific types of economic development activities with the general duty to
develop and provide leadership in implementing a state economic development policy
that is designed, to the extent practicable, to assist the state in achieving all of the
statewide economic development goals.
3. Directs the department to develop and implement economic development
programs consistent with the state economic development policy that it develops under
the bill and to submit annual reports, starting no later than September 1, 2002, to the
governor and the legislature on the progress in implementing the policy.
4. Simplifies economic development financial assistance programs and provides
the department more flexibility in implementing these programs by replacing 41
statutorily specified economic development grant or loan programs (based on the power
or duty to award financial assistance) funded under 6 appropriations to the department
with one grant or loan program for each appropriation, as described below.
5. Establishes that the department's current export plan must apply to countries
in all inhabited continents.
6. Directs the department to create a sister state program under which the
secretary of commerce may enter into a sister state affiliation on behalf of the state.
The bill modifies the economic development financial assistance programs funded
under 6 appropriations to the department, including community-based economic
development programs, small cities community development block grants (CDBG), rural
economic development programs, the business development initiative, Wisconsin
development fund programs and minority business projects, in the following ways:
1. For each of these appropriations, other than the federally funded CDBG, the bill
consolidates all of the statutory grant or loan programs funded by the appropriation into
one grant or loan program. The CDBG programs are not consolidated, as the current
statute, s. 560.045, does not prescribe specific assistance programs to be funded by CDBG
funds.
2. The purpose of the assistance provided by the programs funded by each of the
6 appropriations must be to contribute to the implementation of the department's
economic development policy.
3. Statutory specification of the types of projects eligible for funding, funding
priorities and criteria, and conditions placed on the assistance is replaced with delegation
of these items to the department.
The bill does not change, in its treatment of these programs, the amount of
appropriations, the general type of project eligible for funding, the authorized positions
to administer the program or who is eligible to receive assistance under the program for
each appropriation. As a result of this treatment, if the department determines that a
current program's design contributes to implementing its state economic development
policy, the department could continue the program in its present form.
In general, the bill takes effect on January 1, 2001, except that the modification of
the export plan and the creation of the sister state program take effect on the day after
publication.
SB393, s. 1 1Section 1. 1.14 of the statutes is created to read:
SB393,4,5
11.14 State economic development policy. (1) Definition. In this section,
2"state agency" means an office, department, agency or other body in state
3government that is created or authorized to be created by the constitution or any law
4and that is entitled to expend moneys appropriated by law, including an authority
5created under ch. 231, 233 or 234, but not including the legislature or the courts.
SB393,4,7 6(2) Economic development goals. All of the following are economic
7development goals of the state:
SB393,4,88 (a) To have the most highly skilled professional and technical work force.
SB393,4,99 (b) To have the best system of encouraging entrepreneurial ventures.
SB393,4,1110 (c) To have a tax, regulatory and financial climate that is conducive to a healthy
11statewide economy and that is competitive in the global economy.
SB393,4,15 12(3) Agency duty. Each state agency, in exercising a power or duty vested in the
13state agency by statute shall, to the extent practicable, consider the goals set out in
14sub. (2) and implement the power or duty in a manner that contributes to the
15expeditious attainment of those goals.
Note: This Section specifies state goals for economic development and directs
executive branch state agencies and state authorities to consider them in implementing
their statutorily prescribed powers and duties. These goals are based on the committee's
mission statement. The goals are also referenced in the purpose of the department's
economic development policy established under this bill. [See the treatment of s. 560.01
(2) (a).]
SB393, s. 2 16Section 2. 15.155 (4) of the statutes is repealed.
Note: This Section repeals the rural economic development board, as the program
under which financial assistance is awarded by this board is repealed in the bill as part
of the consolidation of financial assistance programs by the bill. The minority business
development board and the development finance board are not repealed, since the bill
does not affect the minority business recycling development grants and loans program
under existing s. 560.835 or the mining economic development grants and loans program
under existing s. 560.135.
SB393, s. 3 17Section 3. 20.143 (1) (c) of the statutes, as affected by 1999 Wisconsin Act 9,
18is amended to read:
SB393,5,13
120.143 (1) (c) Wisconsin development fund; grants, loans, reimbursements and
2assistance.
Biennially, the amounts in the schedule for grants under ss. 560.145,
3560.16, 560.175, 560.26;
for grants and loans under ss. 560.62, 560.63 and 560.66 s.
4560.64
; for loans under s. 560.147; for reimbursements under s. 560.167; for
5providing assistance under s. 560.06;
for the costs specified in s. 560.607; for the loan
6under 1999 Wisconsin Act 9, section 9110 (4); and for the grants under 1995
7Wisconsin Act 27
, section 9116 (7gg), 1995 Wisconsin Act 119, section 2 (1), 1997
8Wisconsin Act 27
, section 9110 (6g), and
grant under 1999 Wisconsin Act 9, section
99110 (5). Of the amounts in the schedule, $50,000 shall be allocated in each of fiscal
10years 1997-98 and 1998-99 for providing the assistance under s. 560.06 (1).
11Notwithstanding s. 560.607, of the amounts in the schedule, $125,000 shall be
12allocated in each of 4 consecutive fiscal years, beginning with fiscal year 1998-99,
13for grants and loans under s. 560.62 (1) (a).
SB393, s. 4 14Section 4. 20.143 (1) (cb) of the statutes is repealed.
SB393, s. 5 15Section 5. 20.143 (1) (fg) of the statutes, as affected by 1999 Wisconsin Act 9,
16is amended to read:
SB393,5,2017 20.143 (1) (fg) Community-based economic development programs. The
18amounts in the schedule for grants and loans under ss. 560.037 and s. 560.14 and for
19the grants under 1993 Wisconsin Act 16, section 9115 (1c) and 1999 Wisconsin Act
209
, section 9110 (6e) and (7v).
SB393, s. 6 21Section 6. 20.143 (1) (fm) of the statutes is amended to read:
SB393,5,2522 20.143 (1) (fm) Minority business projects; grants and loans. Biennially, the
23amounts in the schedule for grants under ss. 560.033, 560.038, 560.039, 560.82 and
24560.837, and grants and loans under s. ss. 560.83, the grant under 1993 Wisconsin
25Act 110
, section 3, and the loans under 1997 Wisconsin Act 9, section 3
and 560.815.
SB393, s. 7
1Section 7. 20.143 (1) (gm) of the statutes is amended to read:
SB393,6,52 20.143 (1) (gm) Wisconsin development fund, administration of grants and
3loans.
All moneys received from origination fees under s. 560.68 (3) 560.64 (4) for
4administering the programs under subch. V of ch. 560 and for the costs of
5underwriting grants and loans awarded under subch. V of ch. 560.
SB393, s. 8 6Section 8. 20.143 (1) (ie) of the statutes, as affected by 1999 Wisconsin Act 9,
7is amended to read:
SB393,6,188 20.143 (1) (ie) Wisconsin development fund, repayments. All moneys received
9in repayment of grants or loans under s. 560.085 (4) (b), 1985 stats., s. 560.147, 1997
10stats.,
s. 560.16, 1995 stats., s. 560.165, 1993 stats., subch. V of ch. 560, 1997 stats.,
11except for s. 560.65, 1997 stats., s. 560.64, 1989 Wisconsin Act 336, section 3015 (1m),
121989 Wisconsin Act 336, section 3015 (2m), 1989 Wisconsin Act 336, section 3015
13(3gx), 1997 Wisconsin Act 27, section 9110 (7f), 1997 Wisconsin Act 310, section 2
14(2d), and 1999 Wisconsin Act 9, section 9110 (4), to be used for grants and loans under
15subch. V of ch. 560 except s. 560.65, for loans under s. 560.147, for grants under ss.
16560.16, 560.175 and 560.25, for assistance under s. 560.06 (2), s. 560.64 and for the
17loan under 1999 Wisconsin Act 9, section 9110 (4), and for reimbursements under s.
18560.167
.
SB393, s. 9 19Section 9. 20.143 (1) (ih) of the statutes is created to read:
SB393,6,2220 20.143 (1) (ih) Community-based economic development loan repayments. All
21moneys received in repayment of loans under s. 560.14, to be used for grants and
22loans under s. 560.14.
SB393, s. 10 23Section 10. 20.143 (1) (im) of the statutes is amended to read:
SB393,7,324 20.143 (1) (im) Minority business projects; repayments. All moneys received in
25repayment of grants or loans under s. ss. 560.815 and 560.83 and loans under 1997

1Wisconsin Act 9, section 3, to be used for grants and loans under ss. 560.82, 560.83
2and 560.837, the grant under 1993 Wisconsin Act 110, section 3, and the loans under
31997 Wisconsin Act 9, section 3
s. 560.815.
SB393, s. 11 4Section 11. 20.143 (1) (in) of the statutes is amended to read:
SB393,7,105 20.143 (1) (in) Business development initiative loan repayments. All moneys
6received in repayment of loans under s. 560.20 (3), any proceeds from equity
7investments made by the community development finance company under s.
8234.965, 1991 stats., and any unencumbered grant funds returned to the department
9under 1993 Wisconsin Act 437, section 9115 (1t), to be used for loans and grants
10under s. 560.20 (3).
SB393, s. 12 11Section 12. 38.04 (4) (ag) of the statutes is amended to read:
SB393,7,1412 38.04 (4) (ag) A program approved by the development finance board
13department of commerce under subch. IV of ch. 560 is exempt from board approval
14under par. (a).
SB393, s. 13 15Section 13. 66.407 (2) (a) 2. of the statutes is repealed and recreated to read:
SB393,7,1716 66.407 (2) (a) 2. "Technology-based incubator" means a facility that provides
17a new or expanding technically oriented business with all of the following:
SB393,7,1818 a. Office and laboratory space.
SB393,7,1919 b. Shared clerical and other support service.
SB393,7,2020 c. Managerial and technical assistance.
SB393, s. 14 21Section 14. 66.407 (2) (c) 3. of the statutes is amended to read:
SB393,7,2422 66.407 (2) (c) 3. Apply for a grant under s. 560.14 (3) in connection with a
23technology-based incubator if the department of commerce provides grants for
24projects or activities related to technology-based incubators under s. 560.14
.
SB393, s. 15 25Section 15. 66.431 (2m) (d) 8. of the statutes is amended to read:
SB393,8,5
166.431 (2m) (d) 8. Studying the feasibility of an initial design for a
2technology-based incubator, developing and operating a technology-based
3incubator and, if the department of commerce provides grants for projects or
4activities related to technology-based incubators under s. 560.14,
applying for a
5grant under s. 560.14 (3) in connection with a technology-based incubator.
SB393, s. 16 6Section 16. 66.431 (2m) (t) of the statutes is repealed and recreated to read:
SB393,8,87 66.431 (2m) (t) "Technology-based incubator" means a facility that provides
8a new or expanding technically oriented business with all of the following:
SB393,8,99 1. Office and laboratory space.
SB393,8,1010 2. Shared clerical and other support service.
SB393,8,1111 3. Managerial and technical assistance.
SB393, s. 17 12Section 17. 84.185 (1) (b) of the statutes is amended to read:
SB393,8,1513 84.185 (1) (b) "Governing body" has the meaning specified in s. 560.60 (6)
14means a county board, city council, village board, town board, regional planning
15commission or transit commission under s. 59.58 (2) or 66.943
.
SB393, s. 18 16Section 18. 84.185 (1) (ce) of the statutes is amended to read:
SB393,8,2017 84.185 (1) (ce) "Job" has the meaning specified in s. 560.60 (10) means a regular,
18nonseasonal full-time position in which an individual, as a condition of employment,
19is required to work at least 2,080 hours per year, including paid leave and holidays.
20"Job" does not include initial training before an employment position begins
.
SB393, s. 19 21Section 19. 234.01 (4n) (a) 3m. e. of the statutes is amended to read:
SB393,8,2422 234.01 (4n) (a) 3m. e. The facility is located in a targeted area, as determined
23by the authority after considering the factors set out in s. 560.605 (2m) (a) to (h), 1997
24stats
.
SB393, s. 20
1Section 20. 292.11 (7) (d) 1m. b. of the statutes, as created by 1999 Wisconsin
2Act 9
, is amended to read:
SB393,9,63 292.11 (7) (d) 1m. b. An area designated by the local governmental unit if the
4area consists of 2 or more properties affected by a contiguous region of groundwater
5contamination or contains 2 or more properties that are brownfields, as defined in
6s. 560.60 (1v) 560.13 (1) (a).
SB393, s. 21 7Section 21. 292.255 of the statutes, as created by 1999 Wisconsin Act 9, is
8amended to read:
SB393,9,13 9292.255 Report on brownfield efforts. The department of natural
10resources, the department of administration, the department of commerce shall
11submit a report evaluating the effectiveness of this state's efforts to remedy the
12contamination of, and to redevelop, brownfields, as defined in s. 560.60 (1v) 560.13
13(1) (a)
.
SB393, s. 22 14Section 22. 560.01 (2) (a) of the statutes is repealed and recreated to read:
SB393,9,2015 560.01 (2) (a) State economic development policy. The department shall
16develop, and provide leadership in implementing, a state economic development
17policy that is designed, to the extent practicable, to assist the state in achieving all
18of the goals set out in s. 1.14 (2). The policy shall foster, encourage and advocate
19public and private economic development programs that are designed to achieve
20those goals.
Note: This Section replaces the current directive to the department to develop a
state economic policy with 11 specified components with a directive to develop and
implement a state economic development policy that is designed to achieve all of the
economic development goals created by this bill.
SB393, s. 23 21Section 23. 560.03 (intro.) of the statutes is amended to read:
SB393,9,23 22560.03 Business and industrial development. (intro.) The department
23shall foster, encourage and advocate develop and implement economic development

1programs designed to broaden and strengthen the economy of the state, and it shall
2provide specific leadership in the following instances among others
that are
3consistent with the economic development policy developed under s. 560.01 (2) (a).
4To further this goal, the department shall do at least all of the following
:
Note: This Section coordinates the department's 21 specific responsibilities on
business and industrial development with its state economic development policy
established under this bill.
SB393, s. 24 5Section 24. 560.03 (18) of the statutes is amended to read:
SB393,11,26 560.03 (18) Develop and implement a plan to promote and increase exports
7from this state, including agricultural products, and to other countries in Africa,
8Asia, Australia, Europe, North America and South America and to promote and
9increase
foreign investment in this state by businesses in those other countries. The
10plan shall provide for the secretary to take a leadership role in assuring collaboration
11and coordination among international trade activities conducted by governmental
12entities to assure efficiency and to avoid duplication and may include provisions for
13participation in trade fairs and missions, establishment and maintenance of foreign
14trade offices and preparation of research on foreign markets for exports from this
15state and on opportunities for foreign investment in this state. The plan shall
16describe the allocation of funds for support staff in this state to implement the plan
17and for all other costs in implementing each provision of the plan. In developing and
18implementing the plan, the department shall consult with the department of
19agriculture, trade and consumer protection, the University of Wisconsin System, the
20technical college system and other public and private agencies and institutions
21supporting international trade education or activities. Any plan to establish a
22foreign trade office shall include the feasibility of establishing a system of graduated

1fees which a trade office may use to offset its operating costs, or a system of
2commissions for execution of successful transactions, or both.
Note: This section clarifies the department's export plan to specify that the plan
must address increasing exports to and foreign investments in the state by businesses in
other countries in all of the inhabited continents.
SB393, s. 25 3Section 25. 560.03 (24) of the statutes is created to read:
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