LRBs0096/2
JK:kg:ch
2003 - 2004 LEGISLATURE
SENATE SUBSTITUTE AMENDMENT 1,
TO 2003 SENATE BILL 180
June 3, 2003 - Offered by Committee on Energy and Utilities.
SB180-SSA1,1,5 1An Act to renumber 79.005 (1); to amend 79.005 (3), 79.04 (1) (intro.), 79.04
2(1) (a), 79.04 (1) (b) 2., 79.04 (1) (c) 1., 79.04 (1) (c) 3., 79.04 (2) (a), 79.04 (2) (am)
32. and 79.04 (4); and to create 79.005 (1b), 79.005 (1d), 79.005 (1f), 79.005 (2m),
479.005 (4), 79.04 (3m), 79.04 (5), 79.04 (6), 79.04 (7) and 196.20 (7) of the
5statutes; relating to: payments to local governments for public utilities.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB180-SSA1, s. 1 6Section 1. 79.005 (1) of the statutes is renumbered 79.005 (1m).
SB180-SSA1, s. 2 7Section 2. 79.005 (1b) of the statutes is created to read:
SB180-SSA1,1,108 79.005 (1b) "Alternative energy resource" means a renewable resource, as
9defined in s. 196.378 (1) (h); garbage, as defined in s. 289.01 (9); or
10nonvegetation-based industrial, commercial, or household waste.
SB180-SSA1, s. 3 11Section 3. 79.005 (1d) of the statutes is created to read:
SB180-SSA1,2,2
179.005 (1d) "Baseload electric generating facility" means an electric
2generating facility that has a capacity factor that is greater than 60%.
SB180-SSA1, s. 4 3Section 4. 79.005 (1f) of the statutes is created to read:
SB180-SSA1,2,84 79.005 (1f) "Capacity factor" means the actual annual output of an electric
5generating facility expressed as a percentage of the facility's potential output or, for
6an electric generating facility that has not been in operation for one year, the
7projected annual output of an electric generating facility expressed as a percentage
8of the facility's potential output.
SB180-SSA1, s. 5 9Section 5. 79.005 (2m) of the statutes is created to read:
SB180-SSA1,2,1210 79.005 (2m) "Power generation unit" means a complete set of electric
11generating equipment, as defined in s. 196.52 (9) (a) 1., that, collectively, is sufficient
12to generate electric power.
SB180-SSA1, s. 6 13Section 6. 79.005 (3) of the statutes is amended to read:
SB180-SSA1,2,1514 79.005 (3) "Production plant" also includes does not include substations and
15general structures
.
SB180-SSA1, s. 7 16Section 7. 79.005 (4) of the statutes is created to read:
SB180-SSA1,2,1717 79.005 (4) "Repowered" means any of the following:
SB180-SSA1,2,2018 (a) Replacing the boiler on an existing fossil fuel steam unit with a combustion
19turbine and heat recovery steam generator and reusing the steam turbine and heat
20rejection system.
SB180-SSA1,2,2221 (b) Adding a heat recovery steam generator to a simple cycle combustion
22turbine.
SB180-SSA1,2,2423 (c) Demolishing or abandoning an existing power generation unit and replacing
24it with a new power generation unit at the same site.
SB180-SSA1, s. 8 25Section 8. 79.04 (1) (intro.) of the statutes is amended to read:
SB180-SSA1,3,11
179.04 (1) (intro.) Annually, except for production plants that begin operation
2after December 31, 2003, or begin operation as a repowered production plant after
3December 31, 2003,
the department of administration, upon certification by the
4department of revenue, shall distribute to a municipality having within its
5boundaries a production plant or a, general structure, including production plants
6and general structures under construction
or substation, used by a light, heat, or
7power company assessed under s. 76.28 (2) or 76.29 (2), except property described in
8s. 66.0813 unless the production plant or substation is owned or operated by a local
9governmental unit located outside of the municipality, or by an electric cooperative
10assessed under ss. 76.07 and 76.48, respectively, or by a municipal electric company
11under s. 66.0825 the amount determined as follows:
SB180-SSA1, s. 9 12Section 9. 79.04 (1) (a) of the statutes is amended to read:
SB180-SSA1,4,1013 79.04 (1) (a) An amount from the shared revenue account determined by
14multiplying by 3 mills in the case of a town, and 6 mills in the case of a city or village,
15the first $125,000,000 of the amount shown in the account, plus leased property, of
16each public utility except qualified wholesale electric companies, as defined in s.
1776.28 (1) (gm), on December 31 of the preceding year for either "production plant,
18exclusive of land" and," "general structures", or "work in progress" for production
19plants and general structures under construction,
," and "substations," in the case of
20light, heat and power companies, electric cooperatives or municipal electric
21companies, for all property within a municipality in accordance with the system of
22accounts established by the public service commission or rural electrification
23administration, less depreciation thereon as determined by the department of
24revenue and less the value of treatment plant and pollution abatement equipment,
25as defined under s. 70.11 (21) (a), as determined by the department of revenue plus

1an amount from the shared revenue account determined by multiplying by 3 mills
2in the case of a town, and 6 mills in the case of a city or village, of the first
3$125,000,000 of the total original cost of production plant, general structures, and
4work-in-progress substations less depreciation, land and approved waste treatment
5facilities of each qualified wholesale electric company, as defined in s. 76.28 (1) (gm),
6as reported to the department of revenue of all property within the municipality. The
7total of amounts, as depreciated, from the accounts of all public utilities for the same
8production plant is also limited to not more than $125,000,000. The amount
9distributable to a municipality under this subsection and sub. (6) in any year shall
10not exceed $300 times the population of the municipality.
SB180-SSA1, s. 10 11Section 10. 79.04 (1) (b) 2. of the statutes is amended to read:
SB180-SSA1,4,1812 79.04 (1) (b) 2. When a light, heat or power company no longer uses property
13described under par. (a) as production plant, substation, or general structure in a
14municipality, the amount established under subd. 1. shall be reduced by the
15proportion that the property that is no longer used bears to the total value of all
16property described in par. (a) in the municipality. The proportion shall be determined
17according to the proportional value of the property when the light, heat or power
18company stops using the property.
SB180-SSA1, s. 11 19Section 11. 79.04 (1) (c) 1. of the statutes is amended to read:
SB180-SSA1,5,220 79.04 (1) (c) 1. The payment for any municipality in which a production plant
21is located, which the public service commission certifies to the department of revenue
22will produce a nominal rated capacity of 200 megawatts or more, shall be no less than
23$75,000 annually, except that the amount distributable to a municipality in any year
24shall not exceed the per capita limit specified in par. (a). Payments under this

1paragraph may be extended to decommissioned production plants as provided in
2subd. 3.
SB180-SSA1, s. 12 3Section 12. 79.04 (1) (c) 3. of the statutes is amended to read:
SB180-SSA1,5,114 79.04 (1) (c) 3. If a production plant with a nominal rated capacity of 200
5megawatts or more is decommissioned or becomes nonutility property, the $75,000
6minimum guaranteed payment under subd. 1. shall continue but diminish by $7,500
7annually, except that the minimum guaranteed payment under this subdivision
8shall cease in the year following the first year in which the property becomes taxable
9by the taxation district. In this subdivision, "nonutility property" has the meaning
10set forth in the uniform system of accounts established by the public service
11commission. This subdivision does not apply after the distributions in 2004.
SB180-SSA1, s. 13 12Section 13. 79.04 (2) (a) of the statutes is amended to read:
SB180-SSA1,6,2113 79.04 (2) (a) Annually, except for production plants that begin operation after
14December 31, 2003, or begin operation as a repowered production plant after
15December 31, 2003,
the department of administration, upon certification by the
16department of revenue, shall distribute from the shared revenue account to any
17county having within its boundaries a production plant or a, general structure,
18including production plants and general structures under construction or
19substation
, used by a light, heat or power company assessed under s. 76.28 (2) or
2076.29 (2), except property described in s. 66.0813 unless the production plant or
21substation
is owned or operated by a local governmental unit that is located outside
22of the municipality in which the production plant or substation is located, or by an
23electric cooperative assessed under ss. 76.07 and 76.48, respectively, or by a
24municipal electric company under s. 66.0825 an amount determined by multiplying
25by 6 mills in the case of property in a town and by 3 mills in the case of property in

1a city or village the first $125,000,000 of the amount shown in the account, plus
2leased property, of each public utility except qualified wholesale electric companies,
3as defined in s. 76.28 (1) (gm), on December 31 of the preceding year for either
4"production plant, exclusive of land" and," "general structures", or "work in progress"
5for production plants and general structures under construction,
," and
6"substations,"
in the case of light, heat and power companies, electric cooperatives
7or municipal electric companies, for all property within the municipality in
8accordance with the system of accounts established by the public service commission
9or rural electrification administration, less depreciation thereon as determined by
10the department of revenue and less the value of treatment plant and pollution
11abatement equipment, as defined under s. 70.11 (21) (a), as determined by the
12department of revenue plus an amount from the shared revenue account determined
13by multiplying by 6 mills in the case of property in a town, and 3 mills in the case of
14property in a city or village, of the total original cost of production plant, general
15structures, and work-in-progress substations less depreciation, land and approved
16waste treatment facilities of each qualified wholesale electric company, as defined in
17s. 76.28 (1) (gm), as reported to the department of revenue of all property within the
18municipality. The total of amounts, as depreciated, from the accounts of all public
19utilities for the same production plant is also limited to not more than $125,000,000.
20The amount distributable to a county under this subsection and sub. (6) in any year
21shall not exceed $100 times the population of the county.
SB180-SSA1, s. 14 22Section 14. 79.04 (2) (am) 2. of the statutes is amended to read:
SB180-SSA1,7,423 79.04 (2) (am) 2. When a light, heat or power company no longer uses property
24described under par. (a) as production plant, substation, or general structure in a
25county, the amount established under subd. 1. shall be reduced by the proportion that

1the property that is no longer used bears to the total value of all property described
2in par. (a) in the county. The proportion shall be determined according to the
3proportional value of the property when the light, heat or power company stops using
4the property.
SB180-SSA1, s. 15 5Section 15. 79.04 (3m) of the statutes is created to read:
SB180-SSA1,7,116 79.04 (3m) For purposes of determining the amount of the payments under
7subs. (1) and (2), the payments for a municipality and county in which an ash disposal
8facility that is owned and operated by an electric cooperative is operating prior to the
9effective date of this subsection .... [revisor inserts date], shall be calculated to
10include an amount that is equal to the net book value of the ash disposal facility
11multiplied by 2.
SB180-SSA1, s. 16 12Section 16. 79.04 (4) of the statutes is amended to read:
SB180-SSA1,7,1913 79.04 (4) (a) Annually, in addition to the amount amounts distributed under
14sub. (1) subs. (1), (5), (6), and (7), the department of administration shall distribute
15$50,000 to a municipality if spent nuclear fuel is stored within the municipality on
16December 31 of the preceding year. If a spent nuclear fuel storage facility is located
17within one mile of a municipality, that municipality shall receive $10,000 annually
18and the municipality where that storage facility is located shall receive $40,000
19annually.
SB180-SSA1,8,220 (b) Annually, in addition to the amount amounts distributed under sub. (2)
21subs. (2), (5), (6), and (7), the department of administration shall distribute $50,000
22to a county if spent nuclear fuel is stored within the county on December 31 of the
23preceding year. If a spent nuclear fuel storage facility is located at a production plant
24located in more than one county, the payment shall be apportioned according to the
25formula under sub. (1) (c) 2., except that the formula, as it applies to municipalities

1in that subdivision, applies to counties in this paragraph. The payment under this
2paragraph may not be less than $10,000 annually.
SB180-SSA1, s. 17 3Section 17. 79.04 (5) of the statutes is created to read:
SB180-SSA1,8,144 79.04 (5) (a) Beginning with the distributions in 2005, if property that was
5exempt from the property tax under s. 70.112 (4) and that was used to generate power
6by a light, heat, or power company, except property under s. 66.0813, unless the
7production plant is owned or operated by a local governmental unit located outside
8of the municipality, or by an electric cooperative, or by a municipal electric company
9under s. 66.0825, is decommissioned, the municipality shall be paid, from the shared
10revenue account, an amount calculated by subtracting an amount equal to the
11property taxes paid for that property during the current year to the municipality for
12its general operations from the following percentages of the payment that the
13municipality received under this section during the last year that the property was
14exempt from the property tax:
SB180-SSA1,8,1515 1. In the first year that the property is taxable, 100%.
SB180-SSA1,8,1616 2. In the 2nd year that the property is taxable, 80%.
SB180-SSA1,8,1717 3. In the 3rd year that the property is taxable, 60%.
SB180-SSA1,8,1818 4. In the 4th year that the property is taxable, 40%.
SB180-SSA1,8,1919 5. In the 5th year that the property is taxable, 20%.
SB180-SSA1,9,420 (b) Beginning with the distributions in 2005, if property that was exempt from
21the property tax under s. 70.112 (4) and that was used to generate power by a light,
22heat, or power company, except property under s. 66.0813, unless the production
23plant is owned or operated by a local governmental unit located outside of the
24municipality, or by an electric cooperative, or by a municipal electric company under
25s. 66.0825, is decommissioned, the county shall be paid, from the shared revenue

1account, an amount calculated by subtracting an amount equal to the property taxes
2paid for that property during the current year to the county for its general operations
3from the following percentages of the payment the county received under this section
4during the last year that the property was exempt from the property tax:
SB180-SSA1,9,55 1. In the first year that the property is taxable, 100%.
Loading...
Loading...