Senate Bill 40 aims to regulate the display of flags on state and local government buildings in Wisconsin. The bill establishes that only the U.S. flag, the state flag of Wisconsin, and flags of state agencies may be flown, hung, or displayed from flagpoles or the exteriors of state office buildings, local government buildings, and school buildings. However, there are several exceptions that allow for the display of other flags, including those commemorating veterans, flags of federally recognized American Indian tribes, and flags for special or ceremonial purposes. The bill also includes restrictions on flags that can be displayed, prohibiting those associated with political parties, social causes, or extremist groups.

Additionally, the bill repeals an existing administrative rule that previously allowed the governor to direct exceptions to flag display regulations. The new statute clarifies that the rights of federally recognized American Indian tribes to display flags on their own property are unaffected, and it specifies that the regulations do not apply to properties leased to private entities. Overall, the bill seeks to standardize flag display practices while allowing for certain ceremonial exceptions.