(1)    Definitions. In this section:

      (am)    “Program” means the Transform Milwaukee Jobs program, or the Transitional Jobs program, under this section.

      (aw)    “Wisconsin Works” has the meaning given in s. 49.141 (1) (p).

      (b)    “Wisconsin Works employment position” has the meaning given in s. 49.141 (1) (r).

   (2)   Eligibility for program.

      (a)    The department shall establish a Transform Milwaukee Jobs program in Milwaukee County and, if funding is available, may establish a Transitional Jobs program outside of Milwaukee County. To the extent of available funds, the department shall conduct the Transitional Jobs program, if established, in one or more geographic areas in the state that are not in Milwaukee County. In selecting the geographic area or areas in which to conduct the Transitional Jobs program, the department shall give priority to those areas with relatively high rates of unemployment and childhood poverty and to other areas with special needs that the department determines should be given priority.

      (am)    To be eligible to participate in the program, an individual must satisfy all of the following criteria:

         1.    Be at least 18 years of age.

         2.    If over 25 years of age, be a biological or adoptive parent of a child under 18 years of age whose parental rights to the child have not been terminated or be a relative and primary caregiver of a child under 18 years of age.

         3.    Have an annual household income that is below 150 percent of the poverty line.

         4.    Be unemployed for at least 4 weeks.

         5.    Be ineligible to receive unemployment insurance benefits.

         6.    Not be participating in a Wisconsin Works employment position.

         7.    Satisfy all of the requirements related to substance abuse screening, testing, and treatment under s. 49.162 that apply to the individual.

      (b)    For purposes of par. (am) 3., the household income of an individual transitioning from foster care to independent living shall be based on the individual’s own income over a period determined by the department and shall not include the household income of the individual’s foster parents.

      (c)    The department may establish additional eligibility criteria consistent with its mission and the funding available.

   (3)   Program description.

      (a)    The program under this section shall include all of the following features and requirements:

         1.    An individual may participate in the program for a maximum of 1,040 hours actually worked.

         2.    The department shall determine and specify in a contract whether a contractor under sub. (4) or an employer is the individual’s employer of record. The employer of record shall pay the individual for hours actually worked at not less than the federal or state minimum wage that applies to the individual.

         3.    The department may reimburse an employer, or a contractor under sub. (4), that employs an individual participating in the program for a minimum of 20 hours per week at a location in this state for any of the following costs that are attributable to the employment of the individual under the program:

            a.    A wage subsidy that is equal to an amount negotiated between the department and the employer or contractor, that is paid for each hour the individual actually worked, not to exceed 40 hours per week, and that is not more than the federal or state minimum wage that applies to the individual.

            b.    Federal social security and Medicare taxes.

            c.    State and federal unemployment insurance contributions or taxes, if any.

            d.    Worker’s compensation insurance premiums, if any.

         4.    An employer, or, subject to the approval of the department, a contractor under sub. (4), that employs an individual participating in the program may pay the individual an amount that exceeds any wage subsidy paid to the employer or contractor by the department under subd. 3. a., except that the employer or contractor must pay the individual at least minimum wage.

         5.    The employment of an individual under this section may not do any of the following:

            a.    Have the effect of filling a vacancy created by an employer terminating a regular employee or otherwise reducing its work force for the purpose of hiring an individual under this section.

            b.    Fill a position when any other person is on layoff or strike from the same or a substantially equivalent job within the same organizational unit.

            c.    Fill a position when any other person is engaged in a labor dispute regarding the same or a substantially equivalent job within the same organizational unit.

      (b)    The department may set priorities for the program consistent with its mission and available funding.

   (4)   Contract for administration. The department may contract with any person to administer the program under this section, including a Wisconsin Works agency; county department under s. 46.215, 46.22, or 46.23; local workforce development board established under 29 U.S. Code § 2832; or community action agency under s. 49.265. The department, or the agency or agencies with which the department contracts under this subsection, shall do all of the following:

      (a)    Determine the eligibility of applicants for the program.

      (b)    Provide, or identify employers to provide, jobs for individuals transitioning to unsubsidized employment from unemployment, underemployment, limited work history, foster care, or other circumstances identified by the department.

      (c)    Conduct job orientation activities.

      (d)    Provide employment services, as specified by the department, for program participants.

      (e)    Maintain and update participant demographic, eligibility, and employment records in the manner required by the department.

   (5)   Recovery of overpayments.

      (b)    The department shall recover from a contractor under sub. (4) any overpayment resulting from the failure of the contractor to comply with the terms of the contract or to meet performance standards established by the department.

   (6)   Rules not required. Notwithstanding s. 227.10 (1), the department need not promulgate regulations, standards, or policies related to implementing or administering the program under this section as rules under ch. 227.