Farmers who choose to enter into farmland preservation agreements (in order to qualify for tax credits) may incur some costs to keep their land in agricultural use for 15 years, and to comply with state soil and water conservation requirements. Some of these farmers may already be complying with conservation standards. In any case, the decision to enter into a farmland preservation agreement is voluntary. The cost of compliance for participating (if any) may be outweighed by the tax credit benefit.

Many of the farmers who will benefit from this rule are “small businesses." This rule will have a positive effect on those small businesses. This rule will impose no new mandates on small business (farmland preservation agreements are entirely voluntary). This rule is not subject to the small business delayed effective date under s. 227.22 (2) (e), Stats.

As a result of this rule, farmers in the designated AEAs will be able to enter into voluntary farmland preservation agreements with DATCP. That will enable them to claim farmland preservation tax credits under s. 71.613, Stats. For farms covered by agreements, farm owners may claim an income tax credit of $5.00 per acre. If the land is also covered by a certified farmland preservation zoning ordinance, the farm owner may claim a tax credit of $10.00 per acre. The tax credits, paid by the Wisconsin Department of Revenue, will be an annual cost to the State of Wisconsin. It is not possible to know exactly how many of the acres designated as an AEA will be entered into a farmland preservation agreement. An estimate of the cost of tax credits to the state assuming 40% of the acres are covered by an agreement can be found in the fiscal estimate.

The Department of Revenue will incur some added costs for personnel, supplies and services to process tax credit claim forms and pay the tax credits. However, those costs can likely be absorbed within DOR's current operating budget.

DATCP will incur some added costs to publish in the state newspaper and for personnel, supplies and services to enter into farmland preservation agreements with farmers in the designated AEAs. However, those costs will be relatively small and can be absorbed within DATCP's current operating budget.

Farmers claiming tax credits in the designated AEAs must comply with state soil and water conservation requirements. Counties monitor compliance, and may suspend a farmer's tax credit eligibility if the farmer fails to comply. Counties in which the AEAs are located may incur some additional costs for personnel, supplies and services to monitor conservation compliance by farmers claiming tax credits pursuant to farmland preservation agreements in the designated AEAs. In many instances, that cost can be absorbed within the counties' current operating budgets.

Questions and comments related to this rule may be directed to:

NOTICE IS HEREBY GIVEN That pursuant to s. 218.04 (7) (d) and 227.11 (2), Stats., the Wisconsin Department of Financial Institutions, Division of Banking will hold a public hearing to consider a rule to revise section DFI-Bkg 74.01 and to create section DFI-Bkg 74.18, relating to the exemption of health care billing companies from the definition of a collection agency.

To obtain a copy of the proposed rule or fiscal estimate at no charge, to submit written comments regarding the proposed rule, or for questions regarding the agency's internal processing of the proposed rule, contact Mark Schlei, Deputy General Counsel, Department of Financial Institutions, Office of the Secretary, P.O. Box 8861, Madison, WI 53708-8861, tel. (608) 267-1705, e-mail mark.schlei@wisconsin.gov.

A copy of the proposed rule may also be obtained and reviewed at the Department of Financial Institution's website, www.wdfi.org.

Written comments must be received by the conclusion of the department's hearing regarding the proposed rule.

Section 218.04 (1) (a), Stats.

Sections 218.04 (7) (d) and 227.11 (2), Stats.

Section 256.01 (3), Stats., provides the definition of “ambulance service provider" as used in this rule.

Pursuant to s. 218.04, Stats., the department regulates collections agencies.

The objective of the rule is to renumber ss. DFI—Bkg 74.01(3) and DFI—Bkg 74.01(4); and create ss. DFI—Bkg 74.01(3), DFI—Bkg 74.01(5), DFI—Bkg 74.01(6) and DFI—Bkg 74.18, relating to the exemption of health care billing companies from the definition of a collection agency. The purpose of the rule is to provide definitions and requirements regarding this exemption. Pursuant to 2009 Wisconsin Act 404, the legislature has determined that the definition of a collection agency as set forth in s. 218.04(1)(a) does not include health care billing companies. The rule provides definitions related to this exemption. The rule also sets forth the criteria to qualify for an exemption as a health care billing company and certain requirements for the health care billing company to meet regarding the exemption.

29 CFR s. 825.125 provides the definition of “health care provider" as used in this rule.

Illinois, Michigan, Minnesota and Iowa do have comparable rules.

Because the department regulates collection agencies for the state, the division could also rely on extensive staff expertise and experience in drafting regulations for these entities. The department is also experienced with health care billing companies as collection agencies because, until the enactment of 2009 Wisconsin Act 404, the department licensed these companies as collection agencies.

The rule removes health care billing companies from state regulation. The rule also provides clarity in setting forth the criteria to qualify for an exemption as a health care billing company and the requirements for the health care billing company to meet regarding the exemption.

The rule does not have a significant economic impact on small business.

The rule places no additional duties or burdens on state government, and hence has no affect on costs to it.

For substantive questions on the rule, contact:

NOTICE IS HEREBY GIVEN That pursuant to ss. 138.10 (2m), 138.14 (8) (b), 138.14 (14) (g), and 227.11 (2), Stats., the Department of Financial Institutions, Division of Banking will hold a public hearing to consider a rule to create Chapter DFI-Bkg 75, relating to payday lending.

To obtain a copy of the proposed rule or fiscal estimate at no charge, to submit written comments regarding the proposed rule, or for questions regarding the agency's internal processing of the proposed rule, contact Mark Schlei, Deputy General Counsel, Department of Financial Institutions, Office of the Secretary, P.O. Box 8861, Madison, WI 53708-8861, telephone (608) 267-1705, e-mail mark.schlei@wisconsin.gov.

A copy of the proposed rule may also be obtained and reviewed at the Department of Financial Institution's website, www.wdfi.org.

Written comments must be received by the conclusion of the department's hearing regarding the proposed rule.

Sections 138.10 (2m), 138.14 (8) (b) and (14) (g), Stats.

Sections 138.10 (2m), 138.14 (8) (b), (14) (g), and 227.11 (2), Stats.

None.

Pursuant to 2009 Wisconsin Act 405, the department is to enact rules regarding payday lending reforms.

The objective of the rule is to create ch. DFI—Bkg 75. The purpose of the rule is to establish clear standards and requirements for payday lenders; notice and other protections to payday lending customers; and database requirements for the secure entry, retention and transmission of customer information. The rule provides definitions; identifies transactions not deemed payday loans; lists prohibited practices; sets forth loan disclosure requirements; sets forth fees and interest, and addresses defaults; sets forth the calculations to be used to determine income; provides details on repayments and repayments loans; and provides for a database and the secure transmission of information regarding payday loans.

None.

Illinois, Michigan, Minnesota and Iowa all now regulate payday lending.

In developing these rules, the department extensively reviewed payday lending laws in states across the country. The department also received input from payday lenders and consumer organizations. Because the department regulates licensed financial services for the state, the division could also rely on extensive staff expertise and experience in drafting regulations for these entities. The department is also experienced with payday loans and payday lending practices because the department licenses these lenders.

The mandates addressed by the rule are the result of and set forth in 2009 Wisconsin Act 405, and not by the rule. The rule does provide substantial clarity to the payday lending industry on the types of loans covered, and notice as to what practices are prohibited. The rule provides the industry with clear and itemized requirements for disclosures and repayment plans, and standard calculations for income determination. The rule provides for the safe and secure transmission of data, and the required information to be entered into the database. Permissible fees and interest are addressed, as well as default matters. Overall the information required by the rule should be readily available to payday lenders in the normal course of business. Standardizing requirements for disclosures, repayments and calculations provides both ease of transaction for the lenders and certainty for their practices. The fees, interest and default provisions likewise provide the same, and are de minimis in comparison with the overall operational costs and income of these entities. Overall the requirements of the rule are straight-forward for ease in compliance.

The rule itself does not have a significant economic impact on small business and should have a beneficial affect for both the business and consumer.