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SB577: Bill Text
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2025 - 2026 LEGISLATURE
LRB-4721/1
JC/CH/MM/SB/JK:wlj
2025 SENATE BILL 577
October 24, 2025 - Introduced by Senators
Wanggaard
,
Larson
,
Cabral-Guevara
,
Ratcliff
,
Roys
and
Spreitzer
, cosponsored by Representatives
Rodriguez
,
Stubbs
,
Behnke
,
DeSmidt
,
Dittrich
,
Goodwin
,
Kaufert
,
Knodl
,
Melotik
,
Miresse
,
Mursau
,
Novak
,
Ortiz-Velez
,
Sinicki
,
Steffen
,
Stroud
,
Subeck
,
Wichgers
and
Zimmerman
. Referred to Committee on Judiciary and Public Safety.
SB577,1,10
1
An Act
to renumber and amend
775.05 (2);
to amend
20.505 (4) (d), 40.51
2
(1), 227.03 (5), 775.05 (4) and 775.05 (5);
to repeal and recreate
775.05 (3);
to
3
create
20.515 (1) (ds), 20.515 (1) (g), 40.516, 71.05 (6) (b) 57., 227.43 (1) (bw),
4
301.051, 775.05 (2) (b) and (c), 775.05 (2m), 775.05 (4c) and (4d), 775.05 (4g),
5
775.05 (4m) and (4r), 808.085, 977.05 (4) (jr) and 977.05 (4) (jw) of the
6
statutes;
relating to:
resolution of claims against the state for wrongful
7
imprisonment of innocent persons, exempting from taxation certain amounts
8
an individual receives from the claims board or legislature, health benefits
9
and other assistance for wrongfully imprisoned persons, and making an
10
appropriation.
Analysis by the Legislative Reference Bureau
Under current law, any person who is imprisoned as the result of a conviction for a crime, who claims to be innocent of that crime, and who is released from imprisonment for that crime may petition the Claims Board for compensation for such imprisonment. The Claims Board must hear petitions for relief of innocent persons who have been convicted of a crime and, after hearing the evidence on the petition, find either that the evidence is clear and convincing that the petitioner was innocent of the crime for which he or she was imprisoned or that the evidence is not clear and convincing that he or she was innocent. If the Claims Board finds that the petitioner is innocent and that he or she did not by his or her act or failure to act contribute to bring about the conviction and imprisonment for which he or she seeks compensation, the Claims Board must find the amount that will equitably compensate the petitioner, not to exceed $25,000 and at a rate of compensation not greater than $5,000 per year for the imprisonment. Compensation awarded by the Claims Board must include any amount to which the board finds the petitioner is entitled for attorney fees, costs, and disbursements. If the Claims Board finds that the amount it can award is not an adequate compensation, the Claims Board must submit a report to the legislature specifying an amount that it considers adequate.
This bill makes changes to the process for innocent convicts to petition the Claims Board for compensation for imprisonment and provides health care coverage and other assistance to certain innocent convicts.
Claims against the state for wrongful imprisonment of innocent persons
The bill provides that any petition for compensation for an innocent convict received by the Claims Board must be referred, within five days, to the Division of Hearings and Appeals in the Department of Administration. No later than 30 days after the Claims Board receives the petition, the bill provides that DOA or the office of the prosecutor who was responsible for prosecuting the petitioner may file a written request with the Claims Board for an evidentiary hearing on the petition. DOA must refer any request for an evidentiary hearing to the Division of Hearings and Appeals within five days after the Claims Board receives the request. If a request for an evidentiary hearing is filed, or if the Division of Hearings and Appeals concludes that it cannot determine the petitioner’s eligibility for compensation without a hearing, then the Division of Hearings and Appeals must hold a hearing on the petition no later than 60 days after the petition is filed. If no request for an evidentiary hearing is filed and the Division of Hearings and Appeals can determine whether the petitioner is eligible for compensation without a hearing, then the Division of Hearings and Appeals must decide the matter without a hearing. However, the bill provides that the Division of Hearings and Appeals may not deny a petition for compensation for an innocent convict without affording the petitioner an opportunity for a hearing. The bill directs the State Public Defender to represent any petitioner who requests representation if he or she is determined to be indigent or if he or she is referred to SPD by any court. With respect to each petition for compensation for an innocent convict, the bill provides that the Division of Hearings and Appeals must find either that the evidence is clear and convincing that the petitioner was innocent of the crime for which he or she suffered imprisonment or that the evidence is not clear and convincing that he or she was innocent.
If the Division of Hearings and Appeals finds that the evidence is clear and convincing that the petitioner was innocent of the crime for which he or she was imprisoned, the bill directs the Division of Hearings and Appeals to transmit its findings to the Claims Board. The bill directs the Claims Board to find the amount that will equitably compensate the petitioner for the imprisonment at a yearly rate of compensation of $50,000, adjusted annually on the basis of the U.S. consumer price index for all urban consumers, U.S. city average, as determined by the federal Department of Labor, rounded to the nearest thousand, but not to exceed a total award of $1,000,000. The bill provides that the Claims Board must also find any amount to which the petitioner is entitled for reasonable, actual attorney fees together with all costs and disbursements incurred by the petitioner in his or her defense, post-conviction, and compensation proceedings and all fees, surcharges, and restitution paid by the petitioner as a result of his or her arrest and imprisonment. The bill allows the Claims Board to award the compensation described above in an annuity payable over an amount of time determined by the Claims Board but not to exceed the time the petitioner was imprisoned. Further, the bill provides that, as a condition of eligibility for compensation, a petitioner automatically assigns to the Claims Board his or her right to any settlement, judgment, or award that may be obtained against any third party in any federal or state action for damages related to wrongful imprisonment for the crime for which the petitioner claims to be innocent. The assignment is considered a statutory lien on any settlement, judgment, or award received by the petitioner from the third party in an amount equal to the amount of the settlement, judgment, or award, or the amount of compensation awarded to the petitioner, whichever is less.
The bill provides that no person may file a petition with the Claims Board for compensation for wrongful imprisonment if the person was imprisoned as the result of his or her conviction for a felony in any court of this state arising from the same course of conduct that resulted in conviction for the crime of which the person claims to be innocent if the person does not claim to be innocent of that felony. Further, the bill provides that no person may file a petition with the Claims Board for compensation for wrongful imprisonment if the person is convicted of a violent crime after his or her release from imprisonment.
The bill allows certain family members of a deceased person who had the right to petition the Claims Board for compensation for wrongful imprisonment at the time of his or her death to petition the Claims Board for compensation on behalf of the decedent within one year after the death of the decedent. If more than one family member may petition the Claims Board for compensation for wrongful imprisonment of the same decedent, the bill provides that multiple family members may file a joint petition. If the Claims Board finds that a decedent was innocent of the crime for which he or she was imprisoned and finds an amount that would equitably compensate the decedent pursuant to the procedures discussed above, then the bill provides that the Claims Board must equitably allocate the award to the decedent’s eligible family members. The bill provides that the right of a family member to petition the Claims Board for compensation on behalf of a decedent may not be modified by the decedent’s will.
The bill exempts from taxation the payments that a person, or his or her estate, receives from the Claims Board or from the state legislature as a result of Claims Board action.
Health care coverage and other assistance
Under current law, the Group Insurance Board contracts on behalf of the state for the purpose of providing health care coverage to state employees. The bill allows petitioners who receive compensation from the state for wrongful imprisonment to elect health care coverage under plans offered by the GIB to state employees. Such a petitioner may elect coverage for a period equal to the time he or she was imprisoned, but not to exceed five years. However, a petitioner who is eligible to obtain health care coverage offered by his or her employer or by the employer of his or her spouse may not elect or continue health care coverage as provided in the bill. Under the bill, if such petitioners elect coverage under plans offered by the GIB, they are required to pay the same health insurance premium amounts that state employees are required to pay, with the balance of the premium cost paid by the state.
Under the bill, if a person is released from imprisonment on the basis of a claim of innocence, the person may petition the court for 1) a court order directing the Department of Corrections to create a transition-to-release plan; 2) a financial assistance award not to exceed 133 percent of the federal poverty level; and 3) sealing of all records related to the case. If the person pursues a successful petition for wrongful imprisonment, any temporary financial assistance he or she received upon release from prison is subtracted from any compensation he or she receives for wrongful imprisonment.
Because this bill relates to an exemption from state or local taxes, it may be referred to the Joint Survey Committee on Tax Exemptions for a report to be printed as an appendix to the bill.
For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SB577,1
1
Section
1
.
20.505 (4) (d) of the statutes is amended to read:
SB577,2,7
2
20.505
(4)
(d)
Claims awards.
A sum sufficient for payment of awards made
3
by the claims board or department of administration under ss. 16.007, 775.05 (4),
4
775.06 and 775.11
, awards of financial assistance under s. 808.085,
and awards
5
made by an act of the legislature arising from a claim filed with the claims board
6
which are not directed by law or under s. 16.007 (6m) to be paid from another
7
appropriation.
SB577,2
1
Section
2
.
20.515 (1) (ds) of the statutes is created to read:
SB577,3,5
2
20.515
(1)
(ds)
Payment of health insurance premiums for petitioners who
3
receive compensation for wrongful imprisonment.
A sum sufficient to pay the state’s
4
share of premium costs for health care benefits and the cost of administering the
5
benefits for petitioners under s. 40.516.
SB577,3
6
Section
3
.
20.515 (1) (g) of the statutes is created to read:
SB577,3,11
7
20.515
(1)
(g)
Benefit and coverage payments; health care coverage for
8
petitioners who receive compensation for wrongful imprisonment.
All moneys
9
received from petitioners under s. 40.516 who elect to be included in a health care
10
coverage plan under s. 40.51 (6), for the payment of benefits and the cost of
11
administering benefits for the petitioners.
SB577,4
12
Section
4
.
40.51 (1) of the statutes is amended to read:
SB577,3,16
13
40.51
(1)
The procedures and provisions pertaining to enrollment, premium
14
transmitted and coverage of eligible employees
and petitioners eligible for health
15
care coverage under s. 40.516
for health care benefits shall be established by
16
contract or rule except as otherwise specifically provided by this chapter.
SB577,5
17
Section
5
.
40.516 of the statutes is created to read:
SB577,4,2
18
40.516
Health care coverage for petitioners who receive
19
compensation for wrongful imprisonment.
(1)
Any petitioner who receives
20
compensation under s. 775.05 may elect coverage under any health care coverage
21
plan offered under s. 40.51 (6). Coverage under this subsection shall continue for a
22
period equal to the time he or she was imprisoned, but not to exceed 5 years. Any
23
petitioner who receives compensation under s. 775.05 and who is eligible to obtain
1
health care coverage offered by his or her employer or by the employer of his or her
2
spouse cannot elect or continue coverage under this subsection.
SB577,4,4
3
(2)
(a) Any petitioner who receives compensation under s. 775.05 and who
4
elects coverage under sub. (1) shall jointly pay with the state all of the following:
SB577,4,5
5
1. The full premium cost of health care coverage.
SB577,4,6
6
2. The cost of administering the benefits under sub. (1).
SB577,4,13
7
(b) The amount that the petitioner is required to pay in health insurance
8
premiums under par. (a) shall equal the amount required to be paid by state
9
employees, as determined by the administrator of the division of personnel
10
management in the department of administration under s. 40.05 (4) (ah). The
11
remainder of the premium cost for health care coverage for petitioners who elect
12
coverage under sub. (1) shall be paid from the appropriation account under s.
13
20.515 (1) (ds).
SB577,6
14
Section
6
.
71.05 (6) (b) 57. of the statutes is created to read:
SB577,4,21
15
71.05
(6)
(b) 57. In the taxable year that relates to the year in which a
16
payment is received, any amount received by an individual, or the individual’s
17
estate, from the claims board under s. 775.05 (4), from the legislature under the
18
process described in s. 775.05 (4), from the state as a result of the state’s payment of
19
a petitioner’s premium costs under s. 40.516 (2) to the extent that the amount is
20
recognized by the individual as income, or from a financial assistance award
21
granted under s. 808.085.
SB577,7
22
Section
7
.
227.03 (5) of the statutes is amended to read:
SB577,5,2
23
227.03
(5)
This chapter does not apply to proceedings of the claims board,
24
except as provided in ss.
775.05 (5),
775.06 (7) and 775.11 (2)
, and except that
1
proceedings under s. 775.05 are subject to this chapter, unless otherwise provided
2
in s. 775.05
.
SB577,8
3
Section
8
.
227.43 (1) (bw) of the statutes is created to read:
SB577,5,5
4
227.43
(1)
(bw) Assign a hearing examiner to preside over each hearing
5
conducted under s. 775.05.
SB577,9
6
Section
9
.
301.051 of the statutes is created to read:
SB577,5,10
7
301.051
Wrongful imprisonment; transition plan.
Not more than 5 days
8
after a court issues an order for a plan requested by an inmate pursuant to s.
9
808.085 (1) (a), the department shall create a transition-to-release plan for the
10
inmate. The plan shall do all of the following:
SB577,5,15
11
(1)
Provide the inmate with a written list of community resources available to
12
the inmate upon his or her release from prison, including temporary housing and
13
emergency shelters, food banks, education and job assistance, and health care
14
services in the county into which the inmate will be released. The department shall
15
maintain up−to−date lists with contact information for each county in the state.
SB577,5,18
16
(2)
Provide the inmate with an individual counseling session with a person
17
trained by the department or the county into which the inmate will be released to
18
assist inmates in the transition to release from prison.
SB577,5,21
19
(3)
Schedule an appointment, set for not later than 2 weeks after the inmate’s
20
date of release, for the inmate to meet with a social worker or aid program
21
administrator for the county into which the inmate will be released.
SB577,10
22
Section
10
.
775.05 (2) of the statutes is renumbered 775.05 (2) (a) and
23
amended to read:
SB577,6,8
24
775.05
(2)
(a)
Any
Except as provided in pars. (b) and (c), any
person who is
1
imprisoned as the result of his or her conviction for a crime in any court of this
2
state, of which crime the person claims to be innocent, and who is released from
3
imprisonment for that crime after March 13, 1980, may petition the claims board
4
for compensation for such imprisonment.
Upon receipt of the
Within 5 days after
5
the claims board receives a
petition, the
claims board
department of administration
6
shall transmit a copy thereof to the prosecutor who prosecuted the petitioner and
7
the judge who sentenced the petitioner for the conviction which is the subject of the
8
claim, or their successors in office, for the information of these persons.
SB577,11
9
Section
11
.
775.05 (2) (b) and (c) of the statutes are created to read:
SB577,6,14
10
775.05
(2)
(b) Paragraph (a) does not apply to a person who is imprisoned as
11
the result of his or her conviction for a felony in any court of this state arising from
12
the same course of conduct that resulted in conviction for the crime of which the
13
person claims to be innocent if the person does not claim to be innocent of that
14
felony.
SB577,6,18
15
(c) Paragraph (a) does not apply to a person who is convicted of a violent crime
16
specified in s. 939.632 (1) (e) 1. or 2. after his or her release from imprisonment. A
17
person who is ineligible to petition for compensation under this paragraph is also
18
ineligible to receive any award of compensation that has not been paid.
SB577,12
19
Section
12
.
775.05 (2m) of the statutes is created to read:
SB577,6,20
20
775.05
(2m)
(a) In this subsection:
SB577,6,22
21
1. “Decedent” means a deceased person who had the right to petition the
22
claims board for compensation under sub. (2) at the time of his or her death.
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