Wisconsin 2023-2024 Regular Session

Wisconsin Assembly Bill AB275 Compare Versions

Only one version of the bill is available at this time.

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3	3	2023 - 2024 LEGISLATURE
4	4	2023 ASSEMBLY BILL 275
5	5	May 17, 2023 - Introduced by Representatives STEFFEN, EDMING, BODDEN, GREEN,
6	6	MAXEY, MURSAU, PLUMER, RETTINGER, SCHMIDT, SPIROS, SWEARINGEN,
7	7	VANDERMEER and WITTKE, cosponsored by Senators TOMCZYK, COWLES, TESTIN
8	8	and JAMES. Referred to Committee on Transportation.
9	9	*AUTHORS SUBJECT TO CHANGE*
10	10	AN ACT to renumber 84.063 (1) (a) and 84.063 (1) (b); to amend 84.01 (31) and
11	11	84.062 (1) (L); and to create 84.063 (1) (c), 84.063 (1) (e), 84.063 (1) (g) and
12	12	84.063 (4m) of the statutes; relating to: damages claims relating to delayed
13	13	relocation of utilities in a highway right-of-way and modifying administrative
14	14	rules promulgated by the Department of Transportation.
15	15	Analysis by the Legislative Reference Bureau
16	16	This bill creates a process for a highway improvement contractor to seek
17	17	damages for project delays that are the result of an uncompleted relocation or
18	18	adjustment of a utility facility located in the right-of-way of the highway. “Utility
19	19	facility” means any pipe, pipeline, duct, wire line, conduit, pole, tower, equipment,
20	20	or other structure used for transmission, distribution, or delivery of electrical power,
21	21	light, heat, water, gas, sewer, telegraph, or telecommunication services.
22	22	Under current law, if a utility facility is within the right-of-way of a proposed
23	23	highway project, the Department of Transportation must notify the owner, who must
24	24	then provide DOT with a description and general location of each utility facility. DOT
25	25	must then provide the owner with a set of plans for the proposed project. The owner
26	26	must submit a work plan to DOT proposing any relocations or adjustments to utility
27	27	facilities required by the proposed project. DOT must review work plans for
28	28	compliance with permit requirements and, once approved, notify the owner when
29	29	utility facility relocation work may begin.
30	30	Under the bill, a contractor that incurs costs as a result of a utility relocation
31	31	delay may file a utility delay damages claim with the department. “Utility relocation
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39	39	delay” means a change in operations of a contractor or the rescheduling of work by
40	40	a contractor that is caused by the uncompleted relocation or adjustment of a utility
41	41	facility located in the right-of way, regardless of whether the relocation or
42	42	adjustment of the utility facility is identified in a plan.
43	43	The bill requires DOT to notify the owner of the relevant utility facility upon
44	44	receipt of a damages claim. The owner may respond to the claim by providing
45	45	additional information related to the claim. DOT must consider all information
46	46	provided and, if DOT determines that a utility relocation delay occurred, must
47	47	compensate the contractor for costs incurred as a result.
48	48	Under the bill, if a utility relocation delay was caused by a utility facility
49	49	owner's failure to complete a relocation in accordance with an approved plan, the
50	50	utility facility owner is liable to DOT for any compensation paid to a contractor as
51	51	a result of a utility relocation delay. The owner must make payment to DOT within
52	52	60 days, subject to the right to appeal DOT's determination. If the owner fails to
53	53	make the required payment, DOT may seek remedy by filing a civil suit against the
54	54	owner.
55	55	The bill requires DOT to submit a report to the Joint Committee on Finance
56	56	within four years providing specified information about utility relocation damages
57	57	claims received by DOT. Within six months of receipt of the report, JFC must make
58	58	a recommendation as to whether the process created by the bill should be amended
59	59	or repealed.
60	60	For further information see the state fiscal estimate, which will be printed as
61	61	an appendix to this bill.
62	62	The people of the state of Wisconsin, represented in senate and assembly, do
63	63	enact as follows:
64	64	SECTION 1. 84.01 (31) of the statutes is amended to read:
65	65	84.01 (31) ACCOMMODATION OF UTILITY FACILITIES WITHIN HIGHWAY RIGHTS-OF-WAY.
66	66	Notwithstanding ss. 84.06 (4), 84.063, 84.065, and 84.093, the department may, upon
67	67	finding that it is feasible and advantageous to the state, negotiate and enter into an
68	68	agreement to accept any plant or equipment used for the conveyance, by wire, optics,
69	69	radio signal, or other means, of voice, data, or other information at any frequency
70	70	over any part of the electromagnetic spectrum, or to accept any services associated
71	71	with the collection, storage, forwarding, switching, and delivery incidental to such
72	72	communication, as payment for the accommodation of a utility facility, as defined in
73	73	s. 84.063 (1) (b) (f), within a highway right-of-way. Any agreement under this
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86	86	SECTION 1
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88	88	subsection is exempt from ss. 16.70 to 16.75, 16.755 to 16.82, and 16.85 to 16.89, but
89	89	ss. 16.528, 16.752, and 16.754 apply to such agreement.
90	90	SECTION 2. 84.062 (1) (L) of the statutes is amended to read:
91	91	84.062 (1) (L) “Project” means a project involving a highway improvement, as
92	92	defined in s. 84.063 (1) (a) (d).
93	93	SECTION 3. 84.063 (1) (a) of the statutes is renumbered 84.063 (1) (d).
94	94	SECTION 4. 84.063 (1) (b) of the statutes is renumbered 84.063 (1) (f).
95	95	SECTION 5. 84.063 (1) (c) of the statutes is created to read:
96	96	84.063 (1) (c) “Contractor” means a person who is seeking or has entered into
97	97	a highway improvement contract with the department under s. 84.06.
98	98	SECTION 6. 84.063 (1) (e) of the statutes is created to read:
99	99	84.063 (1) (e) “Owner” means an owner of a utility facility.
100	100	SECTION 7. 84.063 (1) (g) of the statutes is created to read:
101	101	84.063 (1) (g) “Utility relocation delay” means a change in operations of a
102	102	contractor or the rescheduling of work by a contractor that is caused by the
103	103	uncompleted relocation or adjustment of a utility facility located in the right-of way,
104	104	regardless of whether the relocation or adjustment of the utility facility is identified
105	105	in a plan under sub. (3).
106	106	SECTION 8. 84.063 (4m) of the statutes is created to read:
107	107	84.063 (4m) UTILITY RELOCATION DELAY DAMAGES CLAIMS. (a) A contractor that
108	108	incurs costs as a result of a utility relocation delay may file a utility relocation delay
109	109	damages claim with the department.
110	110	(b) The department shall notify the owner of the relevant utility facility upon
111	111	receipt of a claim under par. (a). The owner may respond to the claim by providing
112	112	additional information related to the claim.
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139	139	SECTION 8 ASSEMBLY BILL 275
140	140	(c) The department shall consider all information provided by the contractor
141	141	under par. (a) and, if applicable, the owner under par. (b). If the department
142	142	determines that a utility relocation delay occurred, the department shall compensate
143	143	the contractor for costs incurred as a result of the utility relocation delay and may
144	144	not impose liquidated damages. The amount of compensation under this paragraph
145	145	shall be calculated and paid in accordance with the department's standard
146	146	specifications for compensable delays.
147	147	(d) 1. If a utility relocation delay identified under par. (c) was caused by an
148	148	owner's failure to complete a relocation in accordance with a work plan approved by
149	149	the department under sub. (3), the owner shall be liable to the department for
150	150	compensation paid to a contractor under par. (c). An owner shall not be liable under
151	151	this subdivision when the failure to complete a relocation is caused by circumstances
152	152	outside of the owner's reasonable control. The department may not assess against
153	153	the owner any fees, costs, or expenses in excess of the compensation paid under par.
154	154	(c). Subject to subd. 2., an owner shall make payment to the department no later than
155	155	60 days after receiving notice of the amount owed.
156	156	2. An owner may appeal the decision of the department under subd. 1. as
157	157	provided in s. 227.42 if the owner previously responded to the claim as provided in
158	158	par. (b). Any amount that the owner owes to the department under subd. 1. shall be
159	159	stayed pending the appeal.
160	160	3. If an owner fails to make payment of amounts owed to the department under
161	161	this paragraph, the department may seek remedy by filing a civil suit against the
162	162	owner.
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188	188	SECTION 8
189	189	ASSEMBLY BILL 275
190	190	(e) The department may not consider amounts paid or owed under par. (d) when
191	191	making a determination on an owner's permit application, amounts paid to the
192	192	owner under par. (4) (a) or s. 84.09, or any other matter involving the owner.
193	193	SECTION 9. Trans 220.06 (7) (c) of the administrative code is amended to read:
194	194	Trans 220.06 (7) (c) If the owner fails to provide a work plan as provided in s.
195	195	Trans 220.05, or fails to complete the alteration or relocation of its facilities in
196	196	accordance with the work plan approved by the department as provided in s. Trans
197	197	220.05, the owner shall be liable to the contractor for all delay costs and liquidated
198	198	damages incurred by the contractor which are The department shall compensate the
199	199	contractor for any costs caused by or which grow out of failure of the owner to carry
200	200	out and complete its work in accordance with the approved work plan attributed to
201	201	a utility relocation delay as defined in s. 84.063 (1) (g), Stats., and may not impose
202	202	liquidated damages. The owner shall be liable, subject to the right to appeal the
203	203	decision of the department under s. 227.42, Stats., for compensation paid by the
204	204	department to a contractor under this paragraph for a utility relocation delay, as
205	205	defined in s. 84.063 (1) (g), Stats., that was caused by the owner's failure to complete
206	206	a relocation in accordance with the work plan approved by the department as
207	207	provided in s. Trans 220.05. The owner shall not be liable to the department for any
208	208	delay if the owner's failure to complete the relocation in accordance with the work
209	209	plan approved by the department was due to circumstances outside of the owner's
210	210	reasonable control.
211	211	SECTION 10.0Nonstatutory provisions.
212	212	(1) No later than the last day of the first month following the effective date of
213	213	this subsection, the department of transportation shall update its standard
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239	239	SECTION 10 ASSEMBLY BILL 275
240	240	specifications for compensable delays to conform with the requirements under s.
241	241	84.063 (4m).
242	242	(2) No later than 4 years after the effective date of this subsection, the
243	243	department of transportation shall submit a report to the joint committee on finance
244	244	detailing utility relocation damages claims received by the department, including
245	245	total claims received, claims denied, payments made to contractors, damages
246	246	recovered from owners, the length and impact of delays, and net expenditures by the
247	247	department. No later than 6 months after receipt of the report under this subsection,
248	248	the joint committee on finance shall make a recommendation to the legislature as to
249	249	whether s. 84.063 (4m) should be amended or repealed.
250	250	(END)
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