AB 665 — Relating to: authorizing the Wisconsin Propane Education and Research Council to levy an assessment.

- 2020 LEGISLATURE LRBa1317/1LRB-4297/1 JK:cjsMCP:cdc ASSEMBLY AMENDMENTBILL 1,665 TODecember ASSEMBLY5, BILL2019 665- FebruaryIntroduced 20,by 2020Representatives -P OfferedETERSEN, CONSIDINE, BORN , NOVAK , WEARINGEN , TUSLER, HANKLAND , .M EYERS , AUCHEN , PREITZER and KUGLITSCH , cosponsored by RepresentativTEINEKE.Senators P ETROWSKI , OLSEN , WANGGAARD and BEWLEY .

AtReferred theto locationsCommittee indicated,on amendEnergy theand billUtilities. as follows:

1.A N A CT to amend 100.26 (1);

Pageand 1,to linecreate 3:100.90 of the statutes;

afterrelating “assessment"to: insert “ and changes to the fuel suppliers administrative allowance".

2.authorizing the Wisconsin Propane Education and Research Council to levy an assessment.

PageAnalysis 4,by linethe 22:Legislative Reference Bureau This bill allows the Wisconsin Propane Education and Research Council to levy an assessment on odorized propane against certain licensed propane retailers.

afterThe thatbill linerequires insert:the Wisconsin Propane Gas Association to conduct a referendum among its retailer members on the question of whether to allow the council to levy an assessment on odorized propane.

“SECTIONThe 2m.bill defines a “retailer" as a person who sells propane at retail to the ultimate consumer and who is licensed to do so by the Department of Safety and Professional Services.

2019If Wisconsinapproved Actin 9,the sectionreferendum, 9437the (5f)council ishas amendedthe authority to read:levy an initial annual assessment amount of no more than two-tenths of one cent per gallon of odorized propane sold for use in this state.

[2019After the initial assessment, the council is required to set annual assessments in an amount sufficient to cover the costs of programs developed by the council, but the assessment amount may not be raised by more than one-twentieth of one cent per gallon of odorized propane annually unless approved in a referendum among retailer members of the Wisconsin ActPropane 9]Gas SectionAssociation 9437and (5f)approved Theby treatmentthe council's board of s.directors.

78.12Under (4)the (a)bill, 2.,the 3.,owner andof 4.propane immediately prior to its odorization or the owner of odorized propane at the time of its import into this state is responsible for collecting the assessments from retailers who purchase the odorized propane for use - 2020 Legislature - 2 - LRB-4297/1 MCP:cdc ASSEMBLY BILL 665 in this state.

andThe (5)owner takesis effectrequired onto remit the firstcollected dayassessments ofto the yearcouncil thaton occursa aftermonthly thebasis effectiveor datebe ofsubject thisto subsectionan Januaryinterest 1,penalty 2024.”.on any amount that is not timely remitted.

The bill also allows the council to establish an alternative means of collecting assessments.

The bill provides that a propane purchaser who pays an assessment may secure a refund by submitting a written refund application to the council with proof of the assessment that was charged.

A purchaser who obtains a refund is not eligible for any benefits provided under the council's programs.

The bill also allows the council to bring an action in circuit court to compel the remittance of collected assessments and allows the council to recover its costs and disbursements, including reasonable attorney fees, for bringing the action.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

S ECTION 1.

100.26 (1) of the statutes is amended to read:

100.26 (1) Any person who violates any provision of this chapter, except s.

100.18, 100.20, 100.206 or , 100.51, or 100.90, for which no specific penalty is prescribed shall be fined not to exceed $200, or imprisoned in the county jail not more than 6 months or both.

S ECTION 2.

100.90 of the statutes is created to read:

100.90 Propane Education and Research Council.

(1) D EFINITIONS.

In this section:

(a) “Council" means the organization with the name “Wisconsin Propane Education and Research Council" that is designated as a nonprofit corporation under section 501 (c) (3) of the Internal Revenue Code.

(b) “Distributor” means a person whose primary business is the sale of liquefied petroleum gas to a retailer and who owns the gas immediately prior to its odorization or who owns the gas at the time of its import into this state.

(c) “Retailer" means a person who sells propane at retail to the ultimate consumer and is licensed under s.

101.16 (3g) (a).

LRB-4297/1 - 2020 Legislature - 3 - MCP:cdc SECTION 2 ASSEMBLY BILL 665 (2) REFERENDUM;

AUTHORITY TO LEVY ASSESSMENT.No later than 120 days after the effective date of this subsection ....

[LRB inserts date], the Wisconsin Propane Gas Association shall conduct, at its own expense, a referendum among its members who are retailers on the question of whether to allow the council to levy the assessment described under sub.

(3).

Each member who is a retailer shall be entitled to one vote in the referendum.

Upon approval of a majority of the members voting in the referendum, the council shall be authorized to levy an assessment on odorized propane as provided under sub.

(3).

(3) ASSESSMENT.

(a) The council shall set the initial annual assessment at no greater than two-tenths of one cent per gallon of odorized propane sold for use in this state.