Rule-making notices
Notice of Hearing
Insurance
Notice is hereby given that pursuant to the authority granted under s.
601.41 (3), Stats., and the procedures set forth under s.
227.18, Stats., OCI will hold a public hearing to consider the adoption of the proposed rulemaking order affecting ss.
Ins 50.01,
50.08 (1),
50.10, Wis. Adm. Code, relating to annual audited financial reports, annual financial statements and examinations and affecting small business.
Hearing Information
Date: May 18, 2007
Time: 10:00 a.m., or as soon thereafter as the matter
may be reached
Place: OCI, Room 227, 125 South Webster St 2nd Floor
Madison, WI
Written comments can be mailed to:
James W. Harris
Legal Unit - OCI Rule Comment for Rule Ins 5000
Office of the Commissioner of Insurance
PO Box 7873
Madison WI 53707-7873
Written comments can be hand delivered to:
James W. Harris
Legal Unit - OCI Rule Comment for Rule Ins 5000
Office of the Commissioner of Insurance
125 South Webster St – 2nd Floor
Madison WI 53702
Comments can be emailed to:
James W. Harris
The deadline for submitting comments is 4:00 p.m. on the 14th day after the date for the hearing stated in this Notice of Hearing.
Analysis Prepared by the Office of the Commissioner of Insurance (OCI)
3. Explanation of OCI's authority to promulgate the proposed rule under these statutes: OCI has set standards for accounting practices related to the preparation and submission of annual audited financial reports, annual financial statements and examinations required of insurers doing business in Wisconsin. The present rule has been in existence since 1993, and this change is to clarify several aspects of the rule.
4. Related statutes or rules: See the statutes interpreted in paragraph 1, above.
5. The plain language analysis and summary of the proposed rule: This rule clarifies the requirements for qualification of an independent certified public accountant to be retained by an insurer for the purpose of expressing an opinion on financial statements in annual audited financial reports required to be filed with the commissioner. The rule establishes that an accountant or accounting firm is not qualified if an agreement of indemnity or release from liability has been entered into with an insurer with the intent or effect to shift or limit the liability of the accountant or accounting firm for failure to adhere to applicable auditing or professional standards. The rule requires that an independent certified public accountant consider procedures illustrated in the National Association of Insurance Commissioners (NAIC) financial condition examiner's handbook as the accountant deems necessary.
6. Summary of and preliminary comparison with any existing or proposed federal regulation that is intended to address the activities to be regulated by the proposed rule: There are no federal regulations which address annual financial reports, annual financial statements and examinations to be prepared by insurers doing business in Wisconsin.
7. Comparison of similar rules in adjacent states as found by OCI:
Illinois: Il. Adm. Code Title 50, Part 925, Section
925.70, requires annual audited financial reports from insurers doing business in the state that are prepared by a qualified independent certified public accountant that has not either directly or indirectly entered into an agreement of indemnity or release from liability (collectively referred to as indemnification) with respect to the audit of the insurer. In conducting an audit consideration should also be given to procedures illustrated in the Financial Examiner's Handbook promulgated by the National Association of Insurance Commissioners as the accountant deems necessary.
Iowa: Iowa Adm. Code 191-5.25, requires annual audited financial reports from insurers doing business in the state that are prepared by a qualified independent certified public accountant that has not either directly or indirectly entered into an agreement of indemnity or release from liability with respect to the audit of the insurer. In conducting an audit consideration should also be given to procedures illustrated in the Financial Condition Examiner's Handbook promulgated by the National Association of Insurance Commissioners as the independent certified public accountant deems necessary.
Michigan: Mich. Comp. Laws, Ch.
500, requires annual audited financial reports from insurers authorized to do business in the state that are prepared by an independent certified public accountant.
Minnesota: Minn. Stat. Ch. 60A.129, Subd. 3, requires annual audited financial reports from insurers doing business in the state that are prepared by an independent certified public accountant. In conducting an examination of an insurer's financial statements consideration should be given to other procedures illustrated in the Financial Condition Examiner's Handbook issued by the National Association of Insurance Commissioners as the independent certified public accountant considers necessary.
8. A summary of the factual data and analytical methodologies that OCI used in support of the proposed rule and how any related findings support the regulatory approach chosen for the proposed rule:
Under the existing rule, certain qualifications of independent certified public accountants have been set forth, generally in accord with the National Association of Insurance Commissioners (NAIC) annual financial reporting model regulation. Indemnification agreements may provide an auditor an unacceptably broad opportunity to avoid responsibility for failure to find or disclose erroneous or false information put forth by management of an insurer. In the event of a receivership a regulator standing in place of management may be precluded by an indemnity agreement from taking appropriate action if professional negligence has occurred. The NAIC has revised the model to provide that an independent certified public accountant is not qualified if the accountant or firm has entered into an indemnification agreement with respect to an audit of the insurer. This rule amendment brings the Wisconsin rule in conformity with the model regulation.
9. Any analysis and supporting documentation that OCI used in support of OCI's determination of the rule's effect on small businesses under s.
227.114: This rule clarifies the level of independence required of a certified public accountant or firm in its engagement with an insurer, and there is no significant effect on small business.
10. If these changes may have a significant fiscal effect on the private sector, the anticipated costs that will be incurred by private sector in complying with the rule:
These changes will not have a significant fiscal effect on the private sector.
11. A description of the Effect on Small Business: Because this rule applies to all insurers doing business in the state, it may have an effect on the smallest insurers or accounting firms with respect to the engagement agreements utilized. However because the audit rule has been in effect since 1993, any effect should be negligible.
12. Agency contact person: A copy of the full text of the proposed rule changes, analysis and fiscal estimate may be obtained from the Web site at:
http://oci.wi.gov/ocirules.htm
or by contacting Inger Williams, OCI Services Section, at:
Phone: (608) 264-8110
Address: 125 South Webster St – 2nd Floor,
Madison WI 53702
Mail: PO Box 7873, Madison, WI 53707-7873
13. Place where comments are to be submitted and deadline for submission:
The deadline for submitting comments is 4:00 p.m. on the 14th day after the date for the hearing stated in the Notice of Hearing.
Mailing address:
James W. Harris
Legal Unit - OCI Rule Comment for Rule Ins 5000
Office of the Commissioner of Insurance
PO Box 7873
Madison WI 53707-7873
Street address:
James W. Harris
Legal Unit - OCI Rule Comment for Rule Ins 5000
Office of the Commissioner of Insurance
125 South Webster St – 2nd Floor
Madison WI 53702
Email address:
James W. Harris
Fiscal Effect
There will be no state or local government fiscal effect.
Initial Regulatory Flexibility Analysis
Because this rule applies to all insurers doing business in the state, it may have an effect on the smallest insurers or accounting firms with respect to the engagement agreements utilized. However because the audit rule has been in effect since 1993, and this change clarifies the level of independence required of a certified public accountant or firm in its engagement with an insurer, any effect should be negligible.
OCI Small Business Regulatory Coordinator
The OCI small business coordinator is Eileen Mallow and may be reached at phone number (608) 266-7843 or at email address
Eileen.Mallow@oci.state.wi.us
Contact Person
A copy of the full text of the proposed rule changes, analysis and fiscal estimate may be obtained from the OCI internet Web site at
http://oci.wi.gov/ocirules.htm or by contacting Inger Williams, Public Information and Communications, OCI, at:
Inger.Williams@oci.state.wi.us, (608) 264-8110, 125 South Webster Street – 2
nd Floor, Madison WI or PO Box 7873, Madison WI 53707-7873.
Notice of Hearing
Natural Resources
(Fish, Game, etc., Chs.
NR 1—)
NOTICE IS HEREBY GIVEN that pursuant to ss.
23.091,
23.09 (2) (intro.),
23.11 (1),
23.28 (3),
23.293,
27.01 (2) (j),
27.01 (10) (b) and
(f) and
227.11 (2) (a), Stats., interpreting ss.
23.091,
23.09 (2) (intro.),
23.11 (4),
23.17,
23.175,
23.28 (3),
23.293,
27.01 (2) (i) and
(j),
27.01 (10) (f) and
28.04 (2), Stats., the Department of Natural Resources will hold public hearings on revisions to chs.
NR 1,
45 and
51, Wis. Adm. Code, relating to use of department properties. The proposed rule contains a number of changes for the purpose of improving or clarifying existing rules, creating a few property specific rules and amending a number of rules affecting fees and reservations in state parks and forests.
Seven state parks are being proposed to be added to the list of parks that charge an additional $3.00 per day for camping due to local market conditions and there is also a proposal that the fee be applied year round to all 15 parks that charge this differential. A state trail season pass fee increase of $5.00 is being proposed to meet increasing costs of maintaining and managing the trails. This would increase the annual fee from $15 to $20. Other proposals are aimed at simplifying the fee system in response to requests by the users.
A change in facility reservations would allow reservations to be made 11 months in advance for picnic areas, shelters, auditoriums, amphitheaters, tepees and yurts. The current rule allows reservations to be taken on the first business day in January.
Rules are being proposed for the newly established Lake Shore State Park that will establish hours and prohibit alcohol consumption outside or organized events.
Language has been included in ch.
NR 1 to clarify the purpose and management of State Ice Age Trail areas, and to identify allowed uses and activities in order to provide consistency and improve management.
Other miscellaneous changes are proposed.
NOTICE IS HEREBY FURTHER GIVEN that pursuant to s.
227.114, Stats., it is not anticipated that the proposed rule will have an economic impact on small businesses. The Department's Small Business Regulatory Coordinator may be contacted at
SmallBusiness@dnr.state.wi.us or by calling (608) 266-1959.
NOTICE IS HEREBY FURTHER GIVEN that the Department has made a preliminary determination that this action does not involve significant adverse environmental effects and does not need an environmental analysis under ch.
NR 150, Wis. Adm. Code. However, based on the comments received, the Department may prepare an environmental analysis before proceeding with the proposal. This environmental review document would summarize the Department's consideration of the impacts of the proposal and reasonable alternatives.
NOTICE IS HEREBY FURTHER GIVEN that the hearings will be held on:
April 16, 2007
Monday at 4:00 p.m.
|
Gathering Waters Room, DNR South Central Region Hdqrs.
3911 Fish Hatchery Road
Fitchburg
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April 23, 2007
Monday at 4:00 p.m.
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Auditorium
Havenwoods State Forest
6141 N. Hopkins Street
Milwaukee
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April 25, 2007
Wednesday at 4:00 p.m.
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Council Chambers
Wausau City Hall
407 Grant Street
Wausau
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NOTICE IS HEREBY FURTHER GIVEN that the hearing record will be open until at least 6:00 p.m. at each hearing.
NOTICE IS HEREBY FURTHER GIVEN that pursuant to the Americans with Disabilities Act, reasonable accommodations, including the provision of information material in an alternative format, will be provided for qualified individuals with disabilities upon request. Please call Kate Fitzgerald at (608) 267-2764 with specific information on your request at least 10 days before the date of the scheduled hearing.
Fiscal Effect
The department is proposing to add seven properties to the existing list of high-demand properties, and proposes the elimination of the seasonal limitation on this fee. In addition, the department is proposing to increase the state trail fee from its current price of $15 per year to $20 per year. The increased revenues are identified below.
Adding seven properties to the current list of eight high demand properties allows the department to charge an additional $3 per night at the additional properties, and eliminating the seasonal aspect to this fee allows the department to apply the fee year around. Based on visitation rates at the seven properties, these changes are expected to generate an additional $112,000 annually beginning in FY 09.
Increasing the Trail pass from $15 to $20 per year is expected to generate an additional $158,800 annually beginning in FY 09, based on estimated sales of 31,760 trail passes (31,760 x $5 = $158,800).
The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site: http;//adminrules.wisconsin.gov. Written comments on the proposed rule may be submitted via U.S. mail to Ms. Kate Fitzgerald, Bureau of Facilities and Lands, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until May 4, 2007. Written comments whether submitted electronically or by U.S. mail will have the same weight and effect as oral statements presented at the public hearings. A personal copy of the proposed rule and fiscal estimate may be obtained from Ms. Fitzgerald.
Notice of Hearing
Natural Resources
(Fish, Game, etc., Chs.
NR 1—)
1. Revises the annual stumpage rates for the period between November 1, 2007 and October 31, 2008 as required in ss.
77.06(2) and
77.91(1), Stats. The average change for saw timber is a 0.32% increase over current rates. The pulpwood prices, on average, would increase 1.52%.
2. Amends the catastrophic loss provisions to more fairly assess the yield and severance taxes for timber harvested as a result of a catastrophic loss. Catastrophic loss (30% reduction in stumpage value) is granted when timber harvested meets requirements in s.
NR 46.30(1). The proposal is to reduce the acreage requirement from 10 to 5 contiguous acres and to increase the reduction in stumpage value from 30% to 70% for catastrophic loss caused by fire mortality.
3. Amends the rule to comply with
2005 Wis. Act 299 changing the requirement that the contiguous acres must be in one municipality to be enrolled under the Managed Forest Law. Under the amended rule, all land under the same ownership will be included on one petition. If there is more than one county, the order of designation must be recorded in each county. The proposal requires an application fee of $20 per county to cover the recording costs in each county.
NOTICE IS HEREBY FURTHER GIVEN that pursuant to s.
227.114, Stats., the proposed rule may have an impact on small businesses. The initial regulatory flexibility analysis is as follows:
a. Types of small businesses affected: Any business with land enrolled in either the Managed Forest Law or the Forest Crop Law or wishing to enroll land under the Managed Forest Law
b. Description of reporting or bookkeeping procedures required: No procedures not already required.
c. Description of professional skills required: No new skills are required.
NOTICE IS HEREBY FURTHER GIVEN that the Department has made a preliminary determination that this action does not involve significant adverse environmental effects and does not need an environmental analysis under ch.
NR 150, Wis. Adm. Code. However, based on the comments received, the Department may prepare an environmental analysis before proceeding with the proposal. This environmental review document would summarize the Department's consideration of the impacts of the proposal and reasonable alternatives.
NOTICE IS HEREBY FURTHER GIVEN that the hearing will be held on:
April 18, 2007
Wednesday at 10:00 a.m.
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Rib Mountain Town Hall
3700 N. Mountain Road
Wausau
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NOTICE IS HEREBY FURTHER GIVEN that pursuant to the Americans with Disabilities Act, reasonable accommodations, including the provision of information material in an alternative format, will be provided for qualified individuals with disabilities upon request. Please call Carol Nielsen at (608) 266-8019 with specific information on your request at least 10 days before the date of the scheduled hearing.
Fiscal Effect
This proposed rule change addresses the annual stumpage rate changes used in the calculation of severance and yield tax collections under Forest Cop Law (FCL) and Managed Forest Law (MFL) when timber is harvested from the private lands enrolled in the programs. Other changes proposed include a revision to the qualifications for granting catastrophic loss reductions for yield/severance taxes, revising the stumpage value reduction for fire-caused catastrophic loss, and revising the application and transfer fee to cover recording costs.
There is no net state fiscal effect from the proposed changes.
There is an estimated net increase in local revenues of approximately $16,400 due to the increase in stumpage rates.
The proposed 2008 stumpage rate schedule includes an average 0.32% increase in sawtimber prices and an average 1.53% increase in cordwood prices. The average combined severance and yield tax collection from CY 2002 through CY 2006 was $1,600,000. Of this, about 42% of the gross revenue is from sawtimber harvests. Fifty-eight percent of the revenue was related to cordwood harvests. As a result, a 0.32% increase in sawtimber prices could generate an estimated additional $2,150 in revenues. A 1.53% increase in cordwood prices could result in an estimated increase in revenue of $14,200. The cumulative effect would be a net increase in revenues of $16,350 -- rounded to $16,400.
Estimates are based on the average change in rates across species and zone for each product type (cordwood and sawtimber), the volumes reported and paid for in CY 2005, and the assumption that the volume and the ratio of the cordwood and sawtimber will remain the same.
The net fiscal impact of the stumpage rate changes in this rule change will be an increase of approximately $16,400 to local revenues. Actual impact for a county and municipality will vary by harvests completed and actual species and products harvested.
The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site:
http://adminrules.wisconsin.gov. Written comments on the proposed rule may be submitted via U.S. mail to Ms. Carol Nielsen, Forest Tax Section, Bureau of Forest Management, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until April 27, 2007. Written comments whether submitted electronically or by U.S. mail will have the same weight and effect as oral statements presented at the public hearings. A personal copy of the proposed rule and fiscal estimate may be obtained from Ms. Nielsen.
Notice of Hearing
Natural Resources
(Environmental Protection-Water Supply)
NOTICE IS HEREBY GIVEN that pursuant to ss.
280.11 and
281.17 (8), Stats., interpreting ss.
280.11 and
281.17 (8), Stats., the Department of Natural Resources will hold a public hearing on revisions to ch.
NR 809, Wis. Adm. Code, relating to drinking water standards. On January 14, 2002, U.S. EPA published National Drinking Water Regulations for Long-Term 1 Enhanced Surface Water Treatment (LT1). These changes impact all public drinking water systems using surface water or groundwater under the direct influence of surface water (GWUDI) and serve fewer than 10,000 people. In order to maintain primacy, Wisconsin must adopt all federal requirements under the Safe Drinking Water Act (SWDA) or have requirements that are equal to or more stringent than the SDWA. The proposed rule will also include revisions to correct minor errors in and updates to the following: the existing interim enhanced surface water treatment rule; the stage 1 disinfection and disinfection byproducts rules; the lead and copper rule; the drinking water public notification rule; the radionuclide rule; and updating analytical methods. Additionally, language is to be clarified with regard to total coliform rule maximum contaminant level determinations impacting systems collecting less than 40 samples per month.
NOTICE IS HEREBY FURTHER GIVEN that pursuant to s.
227.114, Stats., it is not anticipated that the proposed rule will have an economic impact on small businesses since these regulations are already in effect at the federal level. The Department's Small Business Regulatory Coordinator may be contacted at
SmallBusiness@dnr.state.wi.us or by calling (608) 266-1959.
NOTICE IS HEREBY FURTHER GIVEN that the Department has made a preliminary determination that this action does not involve significant adverse environmental effects and does not need an environmental analysis under ch.
NR 150, Wis. Adm. Code. However, based on the comments received, the Department may prepare an environmental analysis before proceeding with the proposal. This environmental review document would summarize the Department's consideration of the impacts of the proposal and reasonable alternatives.
NOTICE IS HEREBY FURTHER GIVEN that the hearing will be held on:
April 11, 2007
Wednesday
at 10:00 a.m.
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Video conference participation will be available at:
Room 138
Eau Claire State Office Building
718 W. Clairemont Avenue
Eau Claire
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Room 618
Green Bay State Office Building
200 N. Jefferson Street
Green Bay
|
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Room G11
GEF #2 State Office Building
101 South Webster Street
Madison
|
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Room 98
Milwaukee State Office Building
819 North 6th Street
Milwaukee
|
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Conference Room
DNR Northern Region Headquarters
810 W. Maple Street
Spooner
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NOTICE IS HEREBY FURTHER GIVEN that pursuant to the Americans with Disabilities Act, reasonable accommodations, including the provision of information material in an alternative format, will be provided for qualified individuals with disabilities upon request. Please call Carol McCurry at (608) 267-2449 with specific information on your request at least 10 days before the date of the scheduled hearing.
Fiscal Effect
There is no state or local fiscal impact.
The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site:
http://adminrules.wisconsin.gov. Written comments on the proposed rule may be submitted via U.S. mail to Ms. Carol McCurry, Bureau of Drinking Water and Groundwater, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until April 20, 2007. Written comments whether submitted electronically or by U.S. mail will have the same weight and effect as oral statements presented at the public hearings. A personal copy of the proposed rule and fiscal estimate may be obtained from Ms. McCurry.
Notice of Hearing
Veterans Affairs
The Wisconsin Department of Veterans Affairs announces that a public hearing will be held on the 20th day of April, 2007, at 9:45 a.m., at the Municipal Building, Council Chambers, 2nd Floor, 421 Michigan Street, Sturgeon Bay, Wisconsin on amendments to chapter VA 8, relating to the county veterans service officer grant program.
Analysis Prepared by the Department of Veterans Affairs
Statute interpreted: s.
45.82, Stats.
Explanation of agency authority: The legislature has authorized the department to award grants to counties for the improvement of service to veterans residing in the State of Wisconsin. The board of veterans affairs is authorized to promulgate rules necessary to carry out the purposes of chapter 45 of the statutes. An essential element of the county veterans service officer (CVSO) grant program is the establishment of the eligibility criteria for that program.
Related statute or rule: None.
Plain language analysis: The proposed order eliminates references to an obsolete pay schedule that had established a minimum pay level for CVSOs. The pay schedule was initiated in 1989, in an attempt to raise CVSO pay to an acceptable minimal level. The State Office of Employment Relations has repealed the referenced pay schedule. Data establish that the current salaries of CVSOs significantly exceed the current minimum levels. In fact, 43 out of 72 counties exceed the applicable pay schedule maximums. In consultation with the CVSO Association and the CVSO Advisory Council, the department determined that the obsolete pay schedule is not necessary nor is a new pay schedule required to assure the maintenance of the current CVSO salary structure.
Summary of, and comparison with, existing or proposed federal regulations: There are no current or pending federal regulations that address this issue.
Comparison with rules in adjacent states: There are no similar rules in adjacent states.
Summary of factual data and analytical methodologies: The department reviewed salary data from each county over the last several years. As indicated above, the analysis establishes that the salary levels significantly exceed the applicable pay schedule minimums.
Analysis and supporting documents used to determine the effect on small business or in preparation of an economic impact statement: The department has determined that the repeal of the salary schedule references would have no fiscal impact. Grant amounts are determined under a distinct statutory provision. The proposed order has no regulatory aspect to it, has no effect upon small business, nor any fiscal impact upon the private sector.
Effect on small business: None.
Agency Contact
Place where comments are to be submitted and deadline for submission: To the agency contact person at Wisconsin Department of Veterans Affairs, 30 West Mifflin Street, P.O. Box 7843, Madison, WI 53707-7843 or at the above internet address, within 5 days after the public hearing, which is scheduled for April 20, 2007.
Initial Regulatory Flexibility Analysis
The proposed rule has no effect upon small businesses.
Fiscal Estimate
The proposed rule has no fiscal impact. A copy of the full fiscal estimate may be obtained by contacting the agency contact person, John Rosinski, as indicated above.
Text of Rule
SECTION 1. VA 8.01 is repealed.
SECTION 2. VA 8.03 (1) is repealed.
