Assembly Bill 165 seeks to establish regulations regarding local guaranteed income programs in Wisconsin. The bill defines a "guaranteed income program" as one that provides individuals with regular, unearned cash payments that can be used for any purpose, explicitly excluding programs that require work or training. To enforce this definition, the bill introduces new legal language under section 66.0601 (1) (d) of the statutes.

The key provision of the bill prohibits any political subdivision—defined as a city, village, town, or county—from using its funds, including tax revenues and fees, to make payments to individuals under a guaranteed income program. This restriction aims to prevent local governments from implementing or funding such programs, thereby limiting the scope of guaranteed income initiatives at the local level.