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New State Legislative Updates
January 9, 2018
Dear WH&LA Lodging Member:
FAST TRACTION
All estimates of an extremely fast-paced January as the state legislature begins the rush to wrap up their legislative sessions are coming to light right now. Our internal Legislative Tracker now changes on an hourly - versus weekly or even daily pace basis.
Listed below are just a few items that are new on our radar, along with some issues that have come back in new formats after being dormant for many months. Should you wish to express your opinion on any, please use the links to the assigned committees when available to send emails to committee members (listed on the left of the linked page partway down) or if no committee is noted (for bills being circulated that have no assigned committee as of today) contact your state senator and state assembly representative. You will need to act fast to have your voice count, as some hearings and votes are this week.
HISTORIC REHABILITATION TAX CREDITS - INCREASE IN LIMITS
EMPLOYMENT LAW STANDARDIZATION ACT
Certain to attract a lot of attention as it proposes a number of components that protect employers and restrict municipalities in placing mandates relating to employment, SB 634 (
and AB 748 propose a package of business protections supported by business groups that prohibit municipalities from imposing more strict requirements than the state in areas like Employee Benefits, Employee Scheduling, hour and overtime regulations, wage claims, employment discrimination, and the employers right to solicit salary history for prospective employees. The Senate Labor & Regulatory Reform Committee (
h
ttp://docs.legis.wisconsin.gov/2017/committees/senate/1757
) is holding a hearing tomorrow (Wednesday Jan. 10) that includes SB 634. The WH&LA encourages members to send an email to Committee members asking them to support SB 634 to help businesses such as hospitality to address scheduling and other needs that are necessary to service our guests. We also suggest that you copy your own state senator so they are aware as well.
CONDO LAW CHANGES
DOJ ADMINISTRATIVE SUBPOENA'S FOR HOTELS RELATING TO HUMAN TRAFFICKING
SB 541 AND AB 634 (http://docs.legis.wisconsin.gov/2017/related/proposals/ab634.pdf) propose enabling the state Dept. of Justice to issue an administrative subpoena to a hotel/motel to retain limited information on a guest suspected of Human Trafficking at the property. The WH&LA has testified in support of both bills at recent hearings as it not only helps to prevent this crime but it also provides properties with liability protection in providing the limited information they can subpoena. Both Committees are voting on these bills this Thursday Jan. 11 and are expected to move forward for floor votes in the coming weeks in both houses.
SPECIAL LOCAL EXHIBITION DISTRICTS FOR EAU CLAIRE AND SUPERIOR
While a proposal originally was floated during the budget process for special changes for the City of Superior to fund a much broader exhibition district, LRB-4340/1(http://www.thewheelerreport.com/wheeler_docs/files/17lrb4340.pdf) is a bill draft being circulated by legislators from both the Eau Claire and Superior areas to provide a special exception just for those two cities that would authorize these new districts to impose an up to 2% additional room tax. Currently, Eau Claire's room tax is 8% (plus 5.5% state & county sales tax) and Superior is 7.5% (plus 5.5% state and county sales tax). The WH&LA expressed concerns when the first proposal for Superior was routed (with a 2.75% added room tax), not only because that would put Superior at an over 15% room tax while their main competition of Duluth was only at 13.875%, but also because of the new much broader definitions of what facilities could be covered by the funding. While the added room tax was reduced from 2.75% to 2% in this proposal, this still puts Superior higher than Duluth, and the definitions are still broad. In addition, while the creation of a new Exhibition Center District in both areas requires approval of local voters in a referendum first, there is a built-in waiver that since Superior already did a referendum for a similar (not same) proposal they would not need to sell this to voters again.
We would strongly encourage properties in both Eau Claire and in Superior to look more closely at this proposal, ask questions of your city government to get more details than is shown in the seemingly simple language changes in the bill, and determine if the tax amount, controls and limits on spending are what you support as worthy. While we still have many concerns in the freedoms provided with these changes and that this could easily expand around the state as a precedent with more of the burden of funding placed on more room tax, we will not stand in the way if lodging members want this legislation. To express your preference, please email me at [email protected] as soon as possible.
HISTORIC BARN RENTALS
SB 137 AND AB 187 (http://docs.legis.wisconsin.gov/2017/related/proposals/ab187.pdf) were introduced back in March, but hit opposition at a hearing in June that sent the authors back to the drawing board. Last week Rep. Tranel introduced a Substitute Amendment 1 (http://docs.legis.wisconsin.gov/2017/related/amendments/ab187/asa1_ab187.pdf) , which replaces the original bill with a complete replacement. The issue at hand was Rep. Tranel, a dairy farmer, wanted to find a way to safely allow former barns used historically for farming for rentals for weddings and events, with certain restrictions. The WH&LA met with both bill sponsors on multiple occasions to find a reasonable balance. The substitute amendment incorporated most of our recommendations and tightened the safety restrictions requested by the fire chiefs organization, which overall helps to level the competitive playing field while also recognizing the public interest in using these historic barn structures for social events. The Assembly Housing and Real Estate Committee (http://docs.legis.wisconsin.gov/2017/committees/assembly/1739) will hold a hearing this Thursday Jan. 11 with consideration of the Substitute Amendment in place of the original bill.
New $6.8 MILLION FUNDING TO ATTRACT & RETAIN WISCONSIN WORKERS
SB 679 and AB 811(http://docs.legis.wisconsin.gov/2017/related/proposals/ab811.pdf) were introduced recently to add $6.8 million in funding for WEDC to develop and implement a marketing campaign to attract and retain workers for Wisconsin, with part earmarked for targeting veterans and expanding the Dept. of Workforce Development (DWD) job center capabilities. While assigned to committees, no hearings are yet scheduled, but are anticipated soon.
Once again, the above select issues are only a few of the over 70 bills we are watching and engaging in over the coming weeks. We will do our best to provide updates when possible.
As always, thank you for your interest and support.
Best,
Trisha
Trisha A. Pugal, CAE | President, CEO | Wisconsin Hotel & Lodging Association
1025 South Moorland Road - Suite 200, Brookfield, WI 53005
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