SB 873

This bill makes a number of changes to the laws governing the Wisconsin

Economic Development Corporation, including the following:

1. Currently, the board of directors of WEDC includes six members who are

nominated by the governor and appointed with the advice and consent of the senate

and who serve at the pleasure of the governor; three members appointed by the

speaker of the assembly, consisting of one majority and one minority party

representative to the assembly and one person employed in the private sector; and

three members appointed by the senate majority leader, consisting of one majority

and one minority party senator and one person employed in the private sector.

Under the bill, the members of the board nominated by the governor no longer

serve at the pleasure of the governor but serve six-year, staggered terms. In

addition, the members of the board employed in the private sector and appointed by

the speaker of the assembly and senate majority leader no longer serve at the

pleasure of the speaker or majority leader but serve six-year terms.

2. Under current law, the WEDC board elects a chairperson from among its

public members. Under the bill, the board must also elect one of its public members

to serve as the board's lead director for a two-year term. The lead director must have

significant corporate management experience. Under the bill, the lead director is to

chair meetings of the board in the chairperson's absence, chair the governance

committee, described below, serve as a liaison between the chairperson and the other

board members, work with the chairperson to ensure adequate committee structure

for any committees the board establishes, and carry out other duties as assigned by

the board or the governance committee.

3. The bill further requires WEDC's board to establish a governance committee.

In addition to the lead director, who serves as chair of the governance committee, the

governance committee must include two of the board's public members. The bill

directs the governance committee to develop principles for the board's oversight of

WEDC, oversee the board's operations, recommend membership for committees the

board establishes, assist the chairperson to identify qualified candidates to fill

vacancies on the board, and facilitate communication between the members of the

board and the chief executive officer of WEDC.

4. Under current law, the Legislative Audit Bureau is required to conduct a

financial audit of WEDC every two years and a program evaluation audit of the

economic development programs administered by WEDC every two years. The bill

requires that the financial audit be conducted annually until June 30, 2023, after

which point, the financial audit reverts to being conducted every two years.

5. Under current law, with certain exceptions, the Department of

Administration must purchase, or may delegate the authority to purchase, all

necessary materials, supplies, equipment, all other permanent personal property

and miscellaneous capital, and contractual services for all agencies. DOA, or its