(1)    In the administration and enforcement of ss. 463.10 and 463.12, the department may enter into a written agreement with a local health department with a jurisdictional area that has a population greater than 5,000 that designates the local health department as the department’s agent in issuing licenses to and making investigations or inspections of tattooists and tattoo establishments and body piercers and body-piercing establishments. In a jurisdictional area of a local health department without agent status, the department of safety and professional services may issue licenses, collect license fees established under s. 440.03 (9), and make investigations or inspections of tattooists and tattoo establishments and body piercers and body-piercing establishments. If the designation is made and the services are furnished, the department of safety and professional services shall reimburse the local health department furnishing the service at the rate of 80 percent of the net license fee per license per year issued in the jurisdictional area.

   (2)   A local health department designated as the department’s agent under this section shall meet standards promulgated under ss. 463.10 (4) (a) and 463.12 (4) (a). The department shall annually evaluate the licensing, investigation and inspection program of each local health department granted agent status. If, at any time, a local health department designated as the department’s agent fails to meet the standards, the department of safety and professional services may revoke its agent status.

   (3)   The department shall provide education and training to agents designated under this section to ensure uniformity in the enforcement of s. 463.10 or 463.12 and rules promulgated under s. 463.10 or 463.12.

   (4)   Except as provided in sub. (4m), a local health department designated as the department’s agent under this section shall establish and collect the license fee for each tattooist or tattoo establishment and for each body piercer or body-piercing establishment. The local health department may establish separate fees for preinspections of new tattoo or body-piercing establishments, for preinspections of existing establishments for which a person intends to be the new operator or for the issuance of duplicate licenses. No fee may exceed the local health department’s reasonable costs of issuing licenses to, making investigations and inspections of, and providing education, training and technical assistance to the tattooists and tattoo establishments or body piercers and body-piercing establishments, plus the state fee established under sub. (9).

   (4m)   A local health department designated as the department’s agent under this section may contract with the department of safety and professional services for the department of safety and professional services to collect fees and issue licenses under s. 463.10 or 463.12. The department of safety and professional services shall collect from the local health department the actual and reasonable cost of providing the services.

   (5)   If, under this section, a local health department becomes an agent or its agent status is discontinued during a licensee’s license year, the department of safety and professional services and the local health department shall divide any license fee paid by the licensee for that license year according to the proportions of the license year occurring before and after the local health department is designated as an agent or the agent status is discontinued. No additional fee may be required during the license year due to the change in agent status.

   (6)   If a local health department is designated as the department’s agent under this section, a city, village, town, or county may enact or enforce ordinances and a local board of health may adopt regulations regarding the licensees and premises for which the local health department is the designated agent under this section that are stricter than s. 463.10 or 463.12 or rules promulgated by the department of safety and professional services under s. 463.10 or 463.12, but no such provision may conflict with s. 463.10 or 463.12 or with department rules. A county ordinance enacted as provided in this subsection applies only in towns within that county that have not enacted an ordinance as provided in this subsection.

   (7)   This section does not limit the authority of the department to inspect establishments in jurisdictional areas of local health departments that are designated as agents if it inspects in response to an emergency, for the purpose of monitoring and evaluating the local health department’s licensing, inspection and enforcement program or at the request of the local health department.

   (8)   The department shall hold a hearing under ch. 227 if, in lieu of proceeding under ch. 68, any interested person in the jurisdictional area of a local health department that is designated as the department’s agent under this section appeals to the department of safety and professional services alleging that a license fee for a tattooist or tattooist establishment or for a body piercer or body-piercing establishment exceeds the license issuer’s reasonable costs of issuing licenses to, making investigations and inspections of, and providing education, training and technical assistance to the tattooist or tattooist establishment or to the body piercer or body-piercing establishment.

   (9)   The department shall promulgate rules establishing state fees for its costs related to setting standards under ss. 463.10 and 463.12 and monitoring and evaluating the activities of, and providing education and training to, agent local health departments. The department may not promulgate a rule under which a local health department may charge an individual who is eligible for the veterans fee waiver program under s. 45.44 a state fee to obtain a license under s. 463.10 (3) or 463.12 (3). Agent local health departments shall include the state fees in the license fees established under sub. (4), collect the state fees and reimburse the department for the state fees collected. For tattooists or tattoo establishments and for body piercers or body-piercing establishments, the state fee may not exceed 20 percent of the license fees established under s. 440.03 (9).