LRB-1033/6
JK:jld:jf
2007 - 2008 LEGISLATURE
January 18, 2008 - Introduced by Representatives F. Lasee, Nygren, Van Roy,
Suder, Ballweg, Bies, Davis, Hines, Honadel, Kestell, LeMahieu, Lothian,
Meyer, Nass, Petersen, Pridemore, Strachota
and Vos, cosponsored by
Senators Schultz and Leibham. Referred to Committee on Judiciary and
Ethics.
AB712,1,5 1An Act to amend 16.75 (6) (e), 16.855 (18), 16.855 (21) and 16.855 (22); and to
2create
16.756, 16.855 (23) and 560.29 of the statutes; relating to: making
3companies that hire illegal aliens ineligible for certain tax exemptions,
4governmental contracts, grants, and loans, granting rule-making authority,
5and providing penalties.
Analysis by the Legislative Reference Bureau
Under this bill, any company that has hired illegal aliens is, for a period of two
years, ineligible to: 1) receive any income or franchise tax credit or property tax
exemption; 2) enter into a contract with the state or a local governmental unit for the
construction, remodeling, or repair of a public work or building, or for the furnishing
of supplies, services, equipment, or material of any kind; and 3) receive any grants
or loans from a local governmental unit.
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:
AB712, s. 1 6Section 1. 16.75 (6) (e) of the statutes is amended to read:
AB712,2,10
116.75 (6) (e) The governor or his or her designee may waive any requirement
2of this subchapter if the governor or his or her designee finds that there exists an
3emergency which threatens the public health, safety or welfare and the waiver is
4necessary to meet the emergency. The governor or his or her designee shall require
5the award of each contract under this paragraph to be made with such competition
6as is practicable under the circumstances. The governor or his or her designee shall
7file with the department a statement of facts constituting the emergency for each
8waiver issued under this paragraph, and a statement of the basis for selection of each
9contractor under the emergency procedure. This paragraph does not apply to the
10requirement requirements specified in sub. (7) and s. 16.756.
AB712, s. 2 11Section 2. 16.756 of the statutes is created to read:
AB712,2,16 1216.756 Companies hiring illegal aliens. No company that hires an illegal
13alien is eligible to enter into any contract with an agency for the purchase of
14materials, supplies, equipment, or contractual services for a period of 2 years
15beginning with the year in which the company is subject to penalties and sanctions
16under federal law for hiring an illegal alien.
AB712, s. 3 17Section 3. 16.855 (18) of the statutes is amended to read:
AB712,2,2118 16.855 (18) This Except as provided in sub. (23), this section shall not apply
19to restoration or reconstruction of the state capitol building, historic structures at the
20old world Wisconsin site and at Heritage Hill state park when the department
21determines that a waiver of this section would serve the best interests of this state.
AB712, s. 4 22Section 4. 16.855 (21) of the statutes is amended to read:
AB712,3,223 16.855 (21) This Except as provided in sub. (23), this section does not apply to
24contracts by the department of natural resources for construction work related to

1hazardous substance spill response under s. 292.11 or environmental repair under
2s. 292.31.
AB712, s. 5 3Section 5. 16.855 (22) of the statutes is amended to read:
AB712,3,124 16.855 (22) The provisions of this section, except sub. subs. (10m) and (23), do
5not apply to construction work for any project that does not require the prior approval
6of the building commission under s. 13.48 (10) (a) if the project is constructed in
7accordance with policies and procedures prescribed by the building commission
8under s. 13.48 (29). If the estimated construction cost of any project is at least
9$40,000, and the building commission elects to utilize the procedures prescribed
10under s. 13.48 (29) to construct the project, the department shall provide adequate
11public notice of the project and the procedures to be utilized to construct the project
12on a publicly accessible computer site.
AB712, s. 6 13Section 6. 16.855 (23) of the statutes is created to read:
AB712,3,1814 16.855 (23) No company that hires an illegal alien is eligible to enter into any
15contract with an agency for engineering or architectural services or for construction
16work, as defined in s. 16.87 (1) (a), for a period of 2 years beginning with the year in
17which the company is subject to penalties and sanctions under federal law for hiring
18an illegal alien.
AB712, s. 7 19Section 7. 560.29 of the statutes is created to read:
AB712,3,20 20560.29 Hiring illegal aliens. (1) Definitions. In this section:
AB712,3,2321 (a) "Company" means any organization or enterprise operated for profit,
22including a proprietorship, partnership, firm, business trust, joint venture,
23syndicate, corporation, limited liability company, or association.
AB712,3,2424 (b) "Local governmental unit" has the meaning given in s. 66.0131 (1) (a).
AB712,4,3
1(c) "Public contract" means a contract for the construction, execution, repair,
2remodeling, or improvement of a public work or building or for the furnishing of
3supplies services, equipment, or material of any kind.
AB712,4,8 4(2) Penalties. (a) Notwithstanding the provisions of any tax exemption under
5ch. 70 or tax credit under ch. 71 for which a company would otherwise be eligible, any
6company that has hired an illegal alien shall, for a period of 2 years beginning with
7the year in which the company is subject to penalties and sanctions under federal law
8for hiring an illegal alien, be ineligible to:
AB712,4,99 1. Receive any tax exemption under ch. 70 or any tax credit under ch. 71.
AB712,4,1010 2. Enter into a public contract with a local governmental unit.
AB712,4,1111 3. Receive any grants or loans from a local governmental unit.
AB712,4,1312 4. Enter into a contract for the sale of materials, supplies, equipment, or
13contractual services with any agency, as defined in s. 16.70 (1e).
AB712,4,1614 5. Enter into a contract for engineering or architectural services or for
15construction work, as defined in s. 16.87 (1) (a), with any agency, as defined in s. 16.70
16(1e).
AB712,4,1817 (b) Any company that has hired an illegal alien is subject to a fine of not more
18than $5,000 for each illegal alien that the company hires.
AB712,5,319 (c) Paragraphs (a) and (b) do not apply to any company that makes a good faith
20effort to determine whether any person the company hires is not an illegal alien,
21except that this paragraph does not apply to a company that receives notice from the
22federal government that an employee has provided a false or incorrect social security
23number, unless the company corrects the problem described in the notice, in the
24manner prescribed under federal law, no later than 30 days after receiving the notice.
25An entity doing business in this state that receives a notice described in this

1paragraph shall keep the notice for the period prescribed by the department and
2shall submit the notice to the department at the department's request. An entity that
3fails to submit the notice is subject to the penalties under pars. (a) and (b).
AB712,5,5 4(3) Rules. The department shall promulgate rules to implement and
5administer this section.
AB712,5,66 (End)
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