Scope Statements
Agriculture, Trade and Consumer Protection
Subject
The rule affects ch. ATCP 123, relating to sales and billing practices related to telecommunications and television programming services (updated coverage).
Objective of the Rule
Chapter ATCP 123, Wis. Adm. Code, currently protects consumers against unfair sales and billing practices related to telecommunications and cable television services. This rule will update the coverage of the current rule to include newly emerging video programming services and technologies. The updated coverage will continue to afford protection for consumers, regardless of the service form or delivery method. The updated coverage will also provide a “level playing field" between competing providers of similar video programming services. This rule will not make major changes in rule content, but may make some content adjustments as necessary to address new service delivery methods, technologies and “bundling" practices.
Policy Analysis
DATCP promulgated ATCP 123 in 1997 to prevent unfair sales and billing practices related to telecommunications, cable television, satellite television and other information services delivered to consumers over wires or through the air.
2007 Wisconsin Act 42 changed the way that Wisconsin regulates cable TV and other video services. The act was partly motivated by the need to accommodate new technologies and methods for delivering video services to consumers.
This rule will make corresponding changes in the coverage of ATCP 123 to ensure that video service consumers are not deprived of current rule protections. This rule will update current rule coverage to ensure that protection is afforded to video service consumers on an equal basis, regardless of the technology or method used to deliver the service. In particular, this rule will update current definitions so that equivalent protection will be afforded to consumers of video services provided by satellite, cable or telecommunications networks.
Policy Alternatives
Do nothing. If DATCP does nothing, some consumers of video services may be deprived of current basic protections against unfair subscription and billing practices, based solely on the method or technology used to deliver those services. That would be unfair to consumers, and unfair to competing providers of video services (who would be subject to unequal regulatory standards).
Statutory Authority
Entities Affected by the Rule
This rule protects residential consumers from unfair trade practices by regulating the billing and sales practices of businesses that provide telecommunications, cable, video and satellite television services.
Comparison with Federal Regulations
The Federal Communications Commission has authority to regulate businesses that provide telecommunications, cable, video, and satellite television services, but does not regulate their sales and billing practices. The Federal Trade Commission has authority to regulate unfair trade practices in business, but has not adopted rules related to unfair sales and billing practices related to these businesses.
Estimate of Time Needed to Develop the Rule
DATCP estimates that it will use approximately .5 FTE staff time to develop this rule. This includes research, drafting, preparing related documents, holding public hearings, coordinating advisory council discussions and communicating with affected persons and groups. DATCP will assign existing staff to develop this rule.
Agriculture, Trade and Consumer Protection
Subject
The rule affects ch. ATCP 123, relating to customer access to video services and discriminatory practices by video service providers.
Objective of the Rule
Interpret and establish procedures for the administration of s. 66.0420(8), Wis. Stats. Among other things, the rule may do the following:
  Define “low-income households," a critical term used but not defined by the statute.
  Require a video service provider to submit information to DATCP showing whether it has met the standards for establishing a defense to an allegation of discrimination.
  Describe procedures to be followed by a video service provider when applying for a waiver or extension of local access requirements, including information that must be submitted and standards that must be met to become eligible for the waiver or extension.
Policy Analysis
2007 Wisconsin Act 42, enacted on December 21, 2007, regulates video service providers. Among other things, the act creates s. 66.0420(8), Wis. Stats., which regulates customer access to video services and prohibits discrimination in the provision of video services based on race or income.
The act provides a video service provider with a defense to a claim of discrimination based on income if the provider can show that within 3 years after the provider first provides video services, 30% of its customers are “low-income households." The act does not define “low-income households."
The act also requires large telecommunication video service providers to provide service access to 35% of households in its local exchange service area within 3 years, and 50% within 5 years. A large provider may apply to DATCP for a waiver or extension of these requirements.
DATCP believes it is necessary to create rules that interpret and establish procedures for the administration of s. 66.0420(8), Wis. Stats.
Policy Alternatives
Do nothing. If DATCP does nothing, portions of s. 66.0420 (8), Wis. Stats., will be rendered meaningless because there will be no definition of “low income households." There will also be no clear procedures for granting extensions or waivers of service access requirements.
Statutory Authority
Sections 66.0420 (8), 66.0420 (13) (a), and 93.07 (1), Stats.
Entities Affected by the Rule
The rule interprets, and establishes procedures for the administration of a law that promotes video service access to residential consumers. The rule will enable video service providers, incumbent cable operators, municipalities and residential customers to understand the law, so that they can comply with or secure the protection afforded by the law.
Comparison with Federal Regulations
No federal authority interprets or establishes procedures for the administration of s. 66.0420 (8), Wis. Stats. Federal law generally regulates telecommunications, cable, video, and cable television service providers under 47 USC s. 97.01, et seq.
Estimate of Time Needed to Develop the Rule
DATCP estimates that it will use approximately .5 FTE staff time to develop this rule. This includes research, drafting, preparing related documents, holding public hearings, coordinating advisory council discussions and communicating with affected persons and groups. DATCP will assign existing staff to develop this rule.
Agriculture, Trade and Consumer Protection
Subject
The rule affects ch. ATCP 161, relating to the “Buy local" grant program.
Objective of the Rule
This rule will implement the “buy local" grant program created under s. 93.48, Stats., by 2007 Wisconsin Act 20 (biennial budget act). Under s. 93.48, Stats., the Department of Agriculture, Trade and Consumer Protection (“DATCP") may award grants for projects designed to increase local purchases of Wisconsin agricultural products.
The “buy local" legislation requires DATCP to adopt rules for the program. It also authorizes DATCP to adopt temporary “emergency" rules pending the adoption of “permanent" rules. This “permanent" rule will be similar to the “emergency" rule. This “permanent" rule will:
  Authorize DATCP to make grant awards and distribute grant funds appropriated for the “buy local" grant program.
  Spell out the procedures and criteria that DATCP will use to evaluate grant proposals, make grant awards and distribute grant payments.
  Spell out the purposes for which grant funds may be used, subject to the terms of the grant contract.
Policy Analysis
The “buy local" grant program is designed to increase local sales of Wisconsin agricultural products. The biennial budget act appropriated $225,000 in grant funding for the FY 2007-09 biennium.
This rule will spell out grant procedures and criteria. Under this rule, the “buy local" grant program may focus primarily on food products, rather than other agricultural products such as timber, feed, fiber or nursery products. However, projects may have incidental benefits related to sales of other agricultural products.
This rule will authorize DATCP to award grants for projects designed to increase the sale of Wisconsin food products to local purchasers. For example, this rule may authorize DATCP to award grants for projects to create, expand, diversify or promote any of the following:
  Local food marketing systems and market outlets.
  Local food and cultural tourism trails.
  Production, processing, marketing and distribution of Wisconsin food products primarily for sale to local purchasers.
This rule will identify procedures and criteria that DATCP will use to solicit and evaluate grant proposals, and to make grant awards. This rule may limit the maximum size of individual grant awards, and may require grant recipients to make percentage matching contributions to funded projects.
This rule may spell out grant contract requirements and payment procedures, to ensure that grant payments reimburse bona fide project costs and that projects are completed as promised. This rule may identify the types of costs that are reimbursable with grant funds.
Policy Alternatives
Section 93.48, Stats, requires DATCP to adopt rules for the “buy local" grant program. Without these rules, DATCP will not be able to award “buy local" grants. The statute spells out the basic goal of the grant program to increase local sales of Wisconsin agricultural products. Rule contents may reflect some policy choices related to eligible projects, grant procedures and criteria, maximum grant amounts, “matching" requirements, reimbursable expenses, etc. However, some of those provisions will be based on typical standards for other grant programs.
Statutory Authority
Sections 93.48 and 93.07 (1), Stats.
Entities Affected by the Rule
The “buy local" grant program will benefit farmers, businesses and communities that participate in production, distribution or marketing of locally produced foods. Grant recipients will benefit directly, while others will benefit indirectly from the creation of stronger local food networks and systems. This rule will establish standards and procedures for the “buy local" grant program to ensure that the program is effective and accountable.
Comparison with Federal Regulations
The United States Department of Agriculture (USDA) administers a farmers' market promotion program. That program offers grants to help improve and expand domestic farmers' markets, roadside stands, community-supported agriculture programs and other direct farmer-to-consumer marketing mechanisms.
USDA also provides food assistance programs for pregnant women, women with infants, children up to 5 years old, and seniors who are at nutritional risk. Those programs provide or promote fresh, locally grown foods to program participants.
Estimate of Time Needed to Develop the Rule
DATCP estimates that it will use approximately 0.50 FTE staff to develop this rule. The estimate includes time required for investigation and analysis, rule drafting, preparing related documents, coordinating advisory committee meetings, holding public hearings and communicating with affected persons and groups. DATCP will use existing staff to develop this rule.
Financial Institutions—
Corporate and Consumer Services
Subject
The rule creates ch. DFI-CCS 20, relating to video service.
Objective of the Rule
The objective of the rule is to create ch. DFI—CCS 20. Sections 66.0420 (3) (f) 4. and 66.0420 (13) (a), Stats., authorize the department to promulgate rules regarding video service provider franchises interpreting and establishing procedures for s. 66.0420. The purpose of this rule is to set forth certain qualifications, interpretations and procedures.
Statutory Authority
Entities Affected by the Rule
Video service providers, video service customers, municipalities.
Comparison with Federal Regulations
The federal regulation addressing the activities is 47 USC 541 et seq.
Estimate of Time Needed to Develop the Rule
250 hours
Insurance
Subject
The rule affects ch. Ins 50, relating to audit, control and financial reporting requirements and affecting small businesses.
Objective of the Rule
The proposed rule would foster improved financial oversight of Wisconsin-domiciled insurers including by establishing standards for the creation of independent audit committees and documentation of controls over financial reporting.
Policy Analysis
The existing requirements are contained in subch. I of ch. 50, Wis. Adm. Code. These provisions establish the requirement to file an annual audited financial report (CPA audit) and the related standards including applicability, auditor qualification requirements and the auditor duty to report adverse financial conditions. The proposed rule will update or add certain general requirements including those related to auditor independence, the scope of the audit and report, communication of internal control matters noted in an audit, an audit committee, and management's report of internal control over financial reporting. The proposed rule will be based on a model regulation adopted by the National Association of Insurance Commissioners (NAIC) at the June, 2006, national meeting. The proposed rule is under consideration as it has been recommended by the NAIC, will increase the ability of management and regulators to monitor financial status, and will provide control documentation contemplated in the enhanced financial surveillance procedures adopted by the NAIC and required as an accreditation standard for statutory examinations conducted after January 1, 2010.
Statutory Authority
Sections 601.41 (3) and 601.42 and ch. 623, Stats.
Entities Affected by the Rule
The proposed rule will affect Wisconsin-domiciled insurers required to file annual audited financial reports. The most significant impact will involve only those companies with premium volume in excess of $300 million per year.
Comparison with Federal Regulations
The office is unaware of any proposed or existing federal regulation that is intended to address the activities to be regulated by this proposed rule.
Estimate of Time Needed to Develop the Rule
200 hours and no other resources are necessary
Natural Resources
Subject
The rule affects ch. NR 198, relating to aquatic invasive species control grants.
Objective of the Rule
The Bureau of Watershed Management requests authorization to revise ch. NR 198 Aquatic Invasive Species (AIS) Control Grants to implement enabling legislation, facilitate investing a substantial increase in the funding allocation and make general housekeeping and programmatic improvements.
Policy Analysis
Act 20 increases the state cost-share rate for AIS Control grants to “up to 75%" (from “up to 50%") for the costs of projects and deletes a former requirement that grants be awarded to local government units, thus making any public or private entity eligible for a grant. Annual funding levels are increased from $1.5 million in FY 07 to $3.3 million in FY 08 and $4.3 million in FY 09 and thereafter, creating the opportunity to expand the scope of these grants. Act 20 also segregated the AIS Control Grant appropriation from Lake Protection and changed it to a biennial appropriation.
After four years of this grant program, both the state and local community grant sponsors are learning what it takes to prevent and control AIS. Each biennium the Legislature increased available grant funds. We can now incorporate these lessons in the rule to make it more effective and efficient to administer a larger grant appropriation.
With the substantial increases in the available funding and no increase in staffing support, the department seeks to expand the list of eligible recipients who can apply for grants to do AIS prevention and control. We propose broadening the scope of eligible projects and activities to better reflect the breadth and diversity of aquatic invasive species and the problems they cause in aquatic habitats. Originally, projects were “capped" at $75,000 when funding was more limited. This policy will be reviewed and revised. Increasing the maximum amount of a grant award will improve efficiency and allow the scope and scale of the projects commensurate with the scale at which these issues need to be approached. Along the same lines, the types of projects and the eligibility of certain costs can be expanded as we've listened to sponsor's needs and learned more about the most effective techniques for managing particular species. The Department recommends revising the code's eligible activities to allow grant funds to be used as an incentive for community-based project sponsors who control AIS in an environmentally sound manner according to a department approved plan. Application requirements, recordkeeping and reporting requirements and other financial and administrative policies can be improved and streamlined now that the department and local communities are experienced and more familiar with AIS prevention and control approaches.
Consideration of an Emergency Rule
We are interpreting the substantial increase in AIS grant funding as a strong message from the Legislature that concern over the welfare of our public waters is growing, along with the expectation that these additional funds be put to work as soon as possible. The timeline for permanent rule promulgation will impede the Department's ability to fully invest the authorized spending by the end of the biennium because of the current rule's limitations. Therefore, the Department is considering a request for enacting the proposed rule as an emergency rule to allow immediate implementation of the policies that will aide in effective investment of these funds. Given that the appropriation from which these funds are spent is a biennial appropriation, meaning that any unspent funds at the end of the biennium automatically lapse back to the Water Resources Account of the Conservation Fund, an emergency rule will help to minimize or eliminate the amount of funds that are lapsed.
Statutory Authority
Authority for the rule comes from s. 23.22, Stats., Invasive Species, sub. (2) (c), and general department rule making authority under s. 227.11 (2) (a), Stats.
Entities Affected by the Rule
Lake organizations and other grant sponsors will benefit from a higher cost state share rate and grant awards and expanded eligibility. Commercial herbicide applicators and consultants providing aquatic plant management services will be interested in the rule but should also be positively affected by increased business opportunities.
Comparison with Federal Regulations
There are no comparable federal regulations or grant programs that directly relate to the promulgation of this rule.
Estimate of Time Needed to Develop the Rule
The Department will bring a proposed revision to the Board for public hearing authorization at its March meeting. Due to the program's popularity, we expect considerable public interest during the hearing process. After incorporating comments, a final rule will be brought to the Board for approval late fall or early winter of 2008. The final rule can be in effect in late spring or early summer 2009.
Contact Information
Contacts for more information on the proposal are Carroll Schaal, Lake Partnership Team Leader (608) 261-6423 or Carroll.Schaal@dnr.state.wi.us.
Natural Resources
Subject
The rule affects chs. NR 504 and 812, relating to setback distances from private water supply wells to landfills.
Objective of the Rule
Modify procedures and criteria for variances to required setback distance of 1200 feet between a private water supply well and a landfill to eliminate inconsistencies between applicable language in chs. NR 812 and NR 504, Wis. Adm. Code.
Policy Analysis
Both ch. NR 812 and ch. NR 504, Wis. Adm. Code, specify a minimum distance of 1200 feet between a water supply well and the waste fill area of a landfill. Chapter NR 504 applies to a landfill owner applying for permission to site a new or expanded landfill under s. 289, Wis. Stats. Chapter NR 812 applies to a well owner who wishes to locate a new well within 1200 feet of an existing landfill, or to a well owner whose existing well lies within 1200 feet of a new or expanded landfill. Both codes allow exceptions to the 1200-foot setback distance, but the information required by the respective code provisions to support a variance request, the criteria the department must use to evaluate the request, and the timeframe for the department to consider the request, differ between the two applicable codes.
In a recent case in southeast Wisconsin, the differences in the code requirements were significant enough that for several wells near a landfill that had applied for an expansion permit, NR 812 setback variances were granted but exemptions to the NR 504 setback were denied. The department would like to reconcile the variance provisions in the two codes so that a unified decision regarding the setback can be made at one point in time on the basis of protection of the water quality to the well and the integrity of the aquifer, in a manner that protects the rights both of the landfill owner and the private well owner.
Statutory Authority
Chapters 280 and 289, Stats.
Entities Affected by the Rule
Parties most affected by the proposed rule changes include landfill owners and owners of private water supply wells near existing or proposed landfill sites. Parties secondarily affected would include environmental consultants and attorneys working on landfill siting projects, and public interest groups and private citizens with an interest in waste management issues.
Comparison with Federal Regulations
There are no comparable federal regulations that establish minimum setback distances from private water supply wells to landfills.
Estimate of Time Needed to Develop the Rule
Approximately 500 hours of staff time will be needed to complete the rule revision.
Contact Information
Jack Connelly
Bureau of Waste and Materials Management
P.O. Box 7921
Madison, WI 53707
(608) 267-7574
Mark Putra
Bureau of Drinking Water and Groundwater
P.O. Box 7921
Madison, WI 53707
(608) 267-7649
Transportation
Subject
This rule affects ch. Trans 139, relating to motor vehicle dealers' sales practices.
Objective of the Rule
The information in this rule making supplements a rule effort and Scope Statement previously published on 8-1-07. This rule making proposes to amend the following regulation governing motor vehicle dealers' sales practices:
  Amend ch. Trans 139 to clarify that if the dealer proposes to make changes to the warranty and service contract language in the Buyers Guide or in the Purchase Contract, the dealer shall send the proposed changes to DOT, which will reply within a certain time frame approving or denying the changes.
Policy Analysis
Currently, ch. Trans 139 requires absolute verbatim wording to disclose manufacturers' or dealers' warranties in the Buyers Guide and in the Purchase Contract. In recent years, manufacturers have begun to offer “manufacturer certified used vehicle" programs, which often have their own warranty language. This rule amendment would allow dealers to request DOT approval of language to accommodate these new types of warranties.
Statutory Authority
Sections 85.16 (1), 218.0152 and 227.11, Stats.
Entities Affected by the Rule
Motor vehicle dealers licensed in Wisconsin, motor vehicle purchasers and persons who are considering purchasing a motor vehicle.
Comparison with Federal Regulations
No federal regulations apply to these activities.
Estimate of Time Needed to Develop the Rule
80 hours
Links to Admin. Code and Statutes in this Register are to current versions, which may not be the version that was referred to in the original published document.