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2 | 2 | | EVM&FFK:wlj |
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3 | 3 | | 2023 - 2024 LEGISLATURE |
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4 | 4 | | 2023 ASSEMBLY BILL 723 |
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5 | 5 | | December 6, 2023 - Introduced by Representatives BROOKS, BEHNKE, BODDEN, |
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6 | 6 | | BRANDTJEN, DITTRICH, MOSES, O'CONNOR, ROZAR, SORTWELL, ZIMMERMAN and |
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7 | 7 | | GREEN, cosponsored by Senators STROEBEL, FELZKOWSKI and TOMCZYK. |
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8 | 8 | | Referred to Committee on Local Government. |
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9 | 9 | | ***AUTHORS SUBJECT TO CHANGE*** |
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10 | 10 | | AN ACT to renumber and amend 59.52 (29) (a), 60.47 (5) and 62.15 (1); to |
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11 | 11 | | amend 60.47 (2) (a), 60.47 (2) (b), 60.47 (3), 60.47 (4), 60.47 (5) (title), 66.0901 |
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12 | 12 | | (1) (as), 66.0901 (1m) (a) (intro.), 66.0901 (1m) (b) and 119.04 (1); and to create |
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13 | 13 | | 59.52 (29) (am), 59.52 (29) (c) 2., 60.47 (1) (am), 60.47 (2m), 60.47 (5) (c), 62.15 |
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14 | 14 | | (1) (b), 120.12 (5m) and 120.127 of the statutes; relating to: local government |
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15 | 15 | | competitive bidding thresholds and requiring school districts to utilize |
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16 | 16 | | competitive bidding. |
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17 | 17 | | Analysis by the Legislative Reference Bureau |
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18 | 18 | | This bill increases to $50,000, with an exception for certain highway projects, |
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19 | 19 | | the threshold governing sealed, competitive bids that is applicable to a local unit of |
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20 | 20 | | government. Under current law, if the estimated cost of a public works project |
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21 | 21 | | exceeds $25,000, the state or local unit of government must solicit bids and award |
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22 | 22 | | the public works contract to the lowest responsible bidder. |
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23 | 23 | | The bill also requires a school board and the board of school directors of the |
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24 | 24 | | Milwaukee Public Schools to comply with these bidding requirements if the |
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25 | 25 | | estimated cost of a contract exceeds $150,000 and the contract is for the construction, |
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26 | 26 | | repair, remodeling, or improvement of a public school building or for the furnishing |
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27 | 27 | | of supplies or materials. |
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28 | 28 | | The bill provides an exception to the bidding requirements for improvements |
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29 | 29 | | that are constructed by a person other than a town or county and donated to a town |
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36 | 36 | | 7 - 2 -2023 - 2024 Legislature LRB-4910/1 |
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37 | 37 | | EVM&FFK:wlj |
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38 | 38 | | ASSEMBLY BILL 723 |
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39 | 39 | | or county after the completion of construction. A similar exception for donated |
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40 | 40 | | improvements currently exists for improvements donated to a city or village. The bill |
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41 | 41 | | also provides an exception to the bidding requirements that apply to school boards |
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42 | 42 | | and the MPS board of school directors if the school board or board of directors |
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43 | 43 | | determines that damage or potential damage to a public school building endangers |
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44 | 44 | | the public health or welfare. |
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45 | 45 | | For further information see the state and local fiscal estimate, which will be |
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46 | 46 | | printed as an appendix to this bill. |
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47 | 47 | | The people of the state of Wisconsin, represented in senate and assembly, do |
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48 | 48 | | enact as follows: |
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49 | 49 | | SECTION 1. 59.52 (29) (a) of the statutes is renumbered 59.52 (29) (a) 1. and |
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50 | 50 | | amended to read: |
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51 | 51 | | 59.52 (29) (a) 1. All public work, including any contract for the construction, |
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52 | 52 | | repair, remodeling, or improvement of any public work, building, or furnishing of |
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53 | 53 | | supplies or material of any kind where the estimated cost of such work will exceed |
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54 | 54 | | $25,000 $50,000 shall be let by contract to the lowest responsible bidder. |
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55 | 55 | | 3. Any public work, the estimated cost of which does not exceed $25,000 |
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56 | 56 | | $50,000, shall be let as the board may direct. |
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57 | 57 | | 4. If the estimated cost of any public work is between $5,000 and $25,000 |
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58 | 58 | | $50,000, the board shall give a class 1 notice under ch. 985 before it contracts for the |
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59 | 59 | | work or shall contract with a person qualified as a bidder under s. 66.0901 (2). |
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60 | 60 | | 2. A contract, the estimated cost of which exceeds $25,000 $50,000, shall be let |
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61 | 61 | | and entered into under s. 66.0901, except that the board may by a three-fourths vote |
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62 | 62 | | of all the members entitled to a seat provide that any class of public work or any part |
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63 | 63 | | thereof may be done directly by the county without submitting the same for bids. |
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64 | 64 | | (c) 1. This subsection does not apply to public construction if the materials for |
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65 | 65 | | such a the project are donated or if the labor for such a the project is provided by |
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66 | 66 | | volunteers. |
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84 | 84 | | 18 - 3 -2023 - 2024 Legislature |
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85 | 85 | | LRB-4910/1 |
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86 | 86 | | EVM&FFK:wlj |
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87 | 87 | | SECTION 1 |
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88 | 88 | | ASSEMBLY BILL 723 |
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89 | 89 | | (d) This subsection does not apply to highway contracts which the county |
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90 | 90 | | highway committee or the county highway commissioner is authorized by law to let |
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91 | 91 | | or make. |
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92 | 92 | | SECTION 2. 59.52 (29) (am) of the statutes is created to read: |
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93 | 93 | | 59.52 (29) (am) 1. In this paragraph, “public road project” means a public work |
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94 | 94 | | project for the construction, repair, or maintenance of a public road of which the |
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95 | 95 | | county is in control or for which the county is responsible. |
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96 | 96 | | 2. Notwithstanding par. (a) 1., if the estimated cost of a public road project |
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97 | 97 | | exceeds $25,000, the board shall let the project by contract to the lowest responsible |
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98 | 98 | | bidder. Notwithstanding par. (a) 3., if the estimated cost of a public road project does |
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99 | 99 | | not exceed $25,000, the board may let the project in any manner. Notwithstanding |
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100 | 100 | | par. (a) 4., if the estimated cost of a public road project is between $5,000 and $25,000, |
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101 | 101 | | the board shall give a class 1 notice under ch. 985 before it contracts for the project |
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102 | 102 | | or shall contract with a person qualified as a bidder under s. 66.0901 (2). |
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103 | 103 | | Notwithstanding par. (a) 2., if the estimated cost of a public road project exceeds |
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104 | 104 | | $25,000, the board shall let the project by contract and enter into the contract under |
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105 | 105 | | s. 66.0901, except that the board may, by a three-fourths vote of all the members |
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106 | 106 | | entitled to a seat, provide that any portion of the project may be completed directly |
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107 | 107 | | by the county without submitting that portion of the project for bids. |
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108 | 108 | | SECTION 3. 59.52 (29) (c) 2. of the statutes is created to read: |
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109 | 109 | | 59.52 (29) (c) 2. This subsection does not apply to the construction by a person |
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110 | 110 | | other than the county of an improvement that is donated to the county after the |
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111 | 111 | | completion of construction. |
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112 | 112 | | SECTION 4. 60.47 (1) (am) of the statutes is created to read: |
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136 | 136 | | 24 - 4 -2023 - 2024 Legislature LRB-4910/1 |
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137 | 137 | | EVM&FFK:wlj |
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138 | 138 | | SECTION 4 ASSEMBLY BILL 723 |
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139 | 139 | | 60.47 (1) (am) “Public road contract” means a contract for the construction, |
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140 | 140 | | repair, or maintenance of a public road of which the town is in control or for which |
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141 | 141 | | the town is responsible. |
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142 | 142 | | SECTION 5. 60.47 (2) (a) of the statutes is amended to read: |
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143 | 143 | | 60.47 (2) (a) No town may enter into a public contract with an estimated cost |
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144 | 144 | | of more than $5,000 but not more than $25,000 $50,000 unless the town board, or a |
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145 | 145 | | town official or employee designated by the town board, gives a class 1 notice under |
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146 | 146 | | ch. 985 before execution of that public contract. |
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147 | 147 | | SECTION 6. 60.47 (2) (b) of the statutes is amended to read: |
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148 | 148 | | 60.47 (2) (b) No town may enter into a public contract with a value of more than |
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149 | 149 | | $25,000 $50,000 unless the town board, or a town official or employee designated by |
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150 | 150 | | the town board, advertises for proposals to perform the terms of the public contract |
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151 | 151 | | by publishing a class 2 notice under ch. 985. The town board may provide for |
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152 | 152 | | additional means of advertising for bids. |
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153 | 153 | | SECTION 7. 60.47 (2m) of the statutes is created to read: |
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154 | 154 | | 60.47 (2m) PUBLIC ROAD CONTRACTS. Notwithstanding sub. (2), and except as |
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155 | 155 | | provided in subs. (4) and (5), no town may enter into a public road contract with an |
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156 | 156 | | estimated cost of more than $5,000 but not more than $25,000 unless the town board, |
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157 | 157 | | or a town official or employee designated by the town board, gives a class 1 notice |
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158 | 158 | | under ch. 985 before execution of that public road contract. Notwithstanding sub. |
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159 | 159 | | (2), and except as provided in subs. (4) and (5), no town may enter into a public road |
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160 | 160 | | contract with a value of more than $25,000, unless the town board, or a town official |
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161 | 161 | | or employee designated by the town board, advertises for proposals to perform the |
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162 | 162 | | terms of the public road contract by publishing a class 2 notice under ch. 985. The |
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163 | 163 | | town board may provide for additional means of advertising for bids. |
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188 | 188 | | 25 - 5 -2023 - 2024 Legislature |
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189 | 189 | | LRB-4910/1 |
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190 | 190 | | EVM&FFK:wlj |
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191 | 191 | | SECTION 8 |
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192 | 192 | | ASSEMBLY BILL 723 |
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193 | 193 | | SECTION 8. 60.47 (3) of the statutes is amended to read: |
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194 | 194 | | 60.47 (3) CONTRACTS TO LOWEST RESPONSIBLE BIDDER. The town board shall let |
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195 | 195 | | a public contract or public road contract, for which advertising for proposals is |
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196 | 196 | | required under sub. (2) (b) or (2m) to the lowest responsible bidder. Section 66.0901 |
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197 | 197 | | applies to public contracts or public road contracts let under sub. subs. (2) (b) and |
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198 | 198 | | (2m). |
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199 | 199 | | SECTION 9. 60.47 (4) of the statutes is amended to read: |
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200 | 200 | | 60.47 (4) CONTRACTS WITH GOVERNMENTAL ENTITIES. This section does not apply |
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201 | 201 | | to public contracts or public road contracts, entered into by a town with a |
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202 | 202 | | municipality, as defined under s. 66.0301 (1) (a). |
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203 | 203 | | SECTION 10. 60.47 (5) (title) of the statutes is amended to read: |
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204 | 204 | | 60.47 (5) (title) EXCEPTION FOR EMERGENCIES AND DONATED MATERIALS AND LABOR |
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205 | 205 | | CERTAIN DONATIONS. |
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206 | 206 | | SECTION 11. 60.47 (5) of the statutes is renumbered 60.47 (5) (a) and amended |
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207 | 207 | | to read: |
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208 | 208 | | 60.47 (5) (a) This section is optional with respect to public contracts and public |
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209 | 209 | | road contracts for the repair and construction of public facilities when damage or |
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210 | 210 | | threatened damage to the facility creates an emergency, as declared by resolution of |
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211 | 211 | | the town board, that endangers the public health or welfare of the town. This |
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212 | 212 | | subsection no longer applies when the town board declares that the emergency no |
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213 | 213 | | longer exists. |
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214 | 214 | | (b) This section is optional with respect to a public contract or public road |
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215 | 215 | | contract if the materials related to the contract are donated or if the labor that is |
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216 | 216 | | necessary to execute the public contract or public road contract is provided by |
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217 | 217 | | volunteers. |
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242 | 242 | | 25 - 6 -2023 - 2024 Legislature LRB-4910/1 |
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243 | 243 | | EVM&FFK:wlj |
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244 | 244 | | SECTION 12 ASSEMBLY BILL 723 |
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245 | 245 | | SECTION 12. 60.47 (5) (c) of the statutes is created to read: |
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246 | 246 | | 60.47 (5) (c) This section does not apply to the construction by a person other |
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247 | 247 | | than the town of an improvement that is donated to the town after the completion |
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248 | 248 | | of construction. |
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249 | 249 | | SECTION 13. 62.15 (1) of the statutes is renumbered 62.15 (1) (a) and amended |
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250 | 250 | | to read: |
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251 | 251 | | 62.15 (1) (a) All public construction, the estimated cost of which exceeds |
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252 | 252 | | $25,000 $50,000, shall be let by contract to the lowest responsible bidder; all other |
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253 | 253 | | public construction shall be let as the council may direct. If the estimated cost of any |
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254 | 254 | | public construction exceeds $5,000 but is not greater than $25,000 $50,000, the board |
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255 | 255 | | of public works shall give a class 1 notice, under ch. 985, of the proposed construction |
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256 | 256 | | before the contract for the construction is executed. This provision paragraph does |
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257 | 257 | | not apply to public construction if the materials for such a the project are donated |
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258 | 258 | | or if the labor for such a the project is provided by volunteers. The council may also |
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259 | 259 | | by a vote of three-fourths of all the members-elect provide by ordinance that any |
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260 | 260 | | class of public construction or any part thereof may be done directly by the city |
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261 | 261 | | without submitting the same for bids. |
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262 | 262 | | SECTION 14. 62.15 (1) (b) of the statutes is created to read: |
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263 | 263 | | 62.15 (1) (b) 1. In this paragraph, “public road construction” means a public |
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264 | 264 | | construction project involving the construction, repair, or maintenance of a public |
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265 | 265 | | road of which the city is in control or for which the city is responsible. |
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266 | 266 | | 2. Notwithstanding par. (a), all public road construction, the estimated cost of |
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267 | 267 | | which exceeds $25,000, shall be let by contract to the lowest responsible bidder; all |
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268 | 268 | | other public road construction shall be let as the council may direct. |
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269 | 269 | | Notwithstanding par. (a), if the estimated cost of any public road construction |
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294 | 294 | | 25 - 7 -2023 - 2024 Legislature |
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295 | 295 | | LRB-4910/1 |
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296 | 296 | | EVM&FFK:wlj |
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297 | 297 | | SECTION 14 |
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298 | 298 | | ASSEMBLY BILL 723 |
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299 | 299 | | exceeds $5,000 but is not greater than $25,000, the board of public works shall give |
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300 | 300 | | a class 1 notice, under ch. 985, of the proposed construction before the contract for |
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301 | 301 | | the construction is executed. This subdivision does not apply to public road |
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302 | 302 | | construction if the materials for the project are donated or if the labor for the project |
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303 | 303 | | is provided by volunteers. The council may also by a vote of three-fourths of all the |
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304 | 304 | | members-elect provide by ordinance that any class of public road construction or any |
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305 | 305 | | part thereof may be done directly by the city without submitting the same for bids. |
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306 | 306 | | SECTION 15. 66.0901 (1) (as) of the statutes is amended to read: |
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307 | 307 | | 66.0901 (1) (as) “Municipality" means the state or a town, city, village, school |
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308 | 308 | | district, board of school directors of the school district operating under ch. 119, sewer |
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309 | 309 | | district, drainage district, technical college district or other public or quasi-public |
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310 | 310 | | corporation, officer, board or other public body charged with the duty of receiving bids |
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311 | 311 | | for and awarding any public contracts. |
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312 | 312 | | SECTION 16. 66.0901 (1m) (a) (intro.) of the statutes is amended to read: |
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313 | 313 | | 66.0901 (1m) (a) (intro.) Except when necessary to secure federal aid, |
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314 | 314 | | whenever a political subdivision, a school district, or the board of school directors of |
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315 | 315 | | the school district operating under ch. 119 lets a public contract by bidding, the |
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316 | 316 | | political subdivision, school district, or board of school directors shall comply with all |
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317 | 317 | | of the following: |
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318 | 318 | | SECTION 17. 66.0901 (1m) (b) of the statutes is amended to read: |
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319 | 319 | | 66.0901 (1m) (b) Except when necessary to secure federal aid, a political |
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320 | 320 | | subdivision, a school district, or the board of school directors of the school district |
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321 | 321 | | operating under ch. 119 may not use a bidding method that gives preference based |
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322 | 322 | | on the geographic location of the bidder or that uses criteria other than the lowest |
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323 | 323 | | responsible bidder in awarding a contract. |
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348 | 348 | | 25 - 8 -2023 - 2024 Legislature LRB-4910/1 |
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349 | 349 | | EVM&FFK:wlj |
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350 | 350 | | SECTION 18 ASSEMBLY BILL 723 |
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351 | 351 | | SECTION 18. 119.04 (1) of the statutes, as affected by 2023 Wisconsin Act 12, |
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352 | 352 | | is amended to read: |
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353 | 353 | | 119.04 (1) Subchapters IV, V and VII of ch. 115, ch. 121 and ss. 66.0235 (3) (c), |
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354 | 354 | | 66.0603 (1m) to (3), 115.01 (1) and (2), 115.28, 115.31, 115.33, 115.34, 115.343, |
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355 | 355 | | 115.345, 115.363, 115.364, 115.365 (3), 115.366, 115.367, 115.38 (2), 115.415, 115.445, |
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356 | 356 | | 118.001 to 118.04, 118.045, 118.06, 118.07, 118.075, 118.076, 118.10, 118.12, 118.124, |
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357 | 357 | | 118.125 to 118.14, 118.145 (4), 118.15, 118.153, 118.16, 118.162, 118.163, 118.164, |
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358 | 358 | | 118.18, 118.19, 118.196, 118.20, 118.223, 118.225, 118.24 (1), (2) (c) to (f), (6), (8), and |
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359 | 359 | | (10), 118.245, 118.25, 118.255, 118.258, 118.291, 118.292, 118.293, 118.2935, 118.30 |
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360 | 360 | | to 118.43, 118.46, 118.50, 118.51, 118.52, 118.53, 118.55, 118.56, 120.12 (2m), (4m), |
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361 | 361 | | (5), (5m), and (15) to (27), 120.125, 120.127, 120.13 (1), (2) (b) to (g), (3), (14), (17) to |
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362 | 362 | | (19), (26), (34), (35), (37), (37m), and (38), 120.137, 120.14, 120.20, 120.21 (3), and |
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363 | 363 | | 120.25 are applicable to a 1st class city school district and board but not, unless |
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364 | 364 | | explicitly provided in this chapter or in the terms of a contract, to the commissioner |
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365 | 365 | | or to any school transferred to an opportunity schools and partnership program. |
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366 | 366 | | SECTION 19. 120.12 (5m) of the statutes is created to read: |
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367 | 367 | | 120.12 (5m) CONTRACTS; ADVERTISING FOR BIDS; CONTRACTS TO LOWEST |
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368 | 368 | | RESPONSIBLE BIDDER; EXCEPTION FOR EMERGENCIES. (a) Subject to s. 120.127, before |
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369 | 369 | | entering into a contract for the construction, repair, remodeling, or improvement of |
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370 | 370 | | a public school building or public school facilities or for the furnishing of supplies or |
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371 | 371 | | materials with an estimated cost greater than $5,000 but not more than $150,000, |
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372 | 372 | | give or direct the school district clerk to give a class 1 notice under ch. 985 of that |
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373 | 373 | | contract or contract with a person qualified as a bidder under s. 66.0901 (2). |
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374 | 374 | | (b) 1. Except as provided in subds. 2. and 3. and subject to s. 120.127, before |
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375 | 375 | | entering into a contract for the construction, repair, remodeling, or improvement of |
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400 | 400 | | 25 - 9 -2023 - 2024 Legislature |
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401 | 401 | | LRB-4910/1 |
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402 | 402 | | EVM&FFK:wlj |
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403 | 403 | | SECTION 19 |
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404 | 404 | | ASSEMBLY BILL 723 |
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405 | 405 | | a public school building or public school facilities or for the furnishing of supplies or |
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406 | 406 | | materials with an estimated cost greater than $150,000, advertise or direct the |
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407 | 407 | | school district clerk to advertise for proposals to perform the terms of the contract |
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408 | 408 | | by publishing a class 2 notice under ch. 985. The school board may provide for |
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409 | 409 | | additional means of advertising for bids. The school board shall let a public contract |
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410 | 410 | | for which advertising for proposals is required under this paragraph to the lowest |
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411 | 411 | | responsible bidder. Section 66.0901 applies to public contracts let under this |
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412 | 412 | | paragraph. |
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413 | 413 | | 2. The school board may, by a three-fourths vote of all the members, provide |
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414 | 414 | | that any construction, repair, remodeling, or improvement described in subd. 1. or |
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415 | 415 | | any part thereof may be done directly by the school district without submitting the |
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416 | 416 | | same for bids. |
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417 | 417 | | 3. Subdivision 1. does not apply to the construction, repair, remodeling, or |
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418 | 418 | | improvement of a public school building or public school facilities or to the furnishing |
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419 | 419 | | of supplies or materials if the materials for the project are donated or if the labor for |
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420 | 420 | | the project is provided by volunteers. |
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421 | 421 | | SECTION 20. 120.127 of the statutes is created to read: |
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422 | 422 | | 120.127 Exception to requirement for notice and bidding of contracts |
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423 | 423 | | in case of emergency. The provisions of s. 120.12 (5m) are not mandatory for the |
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424 | 424 | | repair or reconstruction of a public school building or public school facilities when |
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425 | 425 | | damage or threatened damage thereto creates an emergency, as determined by |
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426 | 426 | | resolution of the school board, in which the public health or welfare of the school |
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427 | 427 | | district is endangered. Whenever the school board by majority vote at a regular or |
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428 | 428 | | special meeting determines that an emergency no longer exists, this section no longer |
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429 | 429 | | applies. |
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454 | 454 | | 25 - 10 -2023 - 2024 Legislature LRB-4910/1 |
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455 | 455 | | EVM&FFK:wlj |
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456 | 456 | | SECTION 21 ASSEMBLY BILL 723 |
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457 | 457 | | SECTION 21.0Initial applicability. |
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458 | 458 | | (1) BIDS THRESHOLD. The treatment of ss. 60.47 (2) (b), 62.15 (1), 66.0901 (1m) |
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459 | 459 | | (a) (intro.), and 120.12 (5m) (b) and the renumbering and amendment of s. 59.52 (29) |
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460 | 460 | | (a) first apply to bids solicited on the effective date of this subsection. |
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461 | 461 | | (END) |
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