Rule-Making Notices
Notice of Hearing
Agriculture, Trade and Consumer Protection
Rule Relating to the Grow Wisconsin Dairy Producer Grant and Loan Program
The Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) announces that it will hold public hearing on both an emergency rule and a proposed rule revising Chapter
ATCP 161, relating to the Grow Wisconsin Dairy Producer Grant and Loan Program.
Hearing Information
DATCP will hold one public hearing at the time and place shown below:
Date: Thursday, June 28, 2012
Time: 10:00 a.m. to 12.:00 p.m.
Location: Department of Agriculture, Trade and
Consumer Protection
Board Room (1st Floor)
2811 Agriculture Drive
Madison, WI 53718-6777
Hearing impaired persons may request an interpreter for this hearing. Please make reservations for a hearing interpreter by
June 15, 2012, by writing to Nicole Breunig, Division of Agriculture Development, P.O. Box 8911, Madison, WI 53708-8911; by emailing
nicole.breunig@wisconsin.gov or by telephone at (608) 224-5080. Alternatively, you may contact the DATCP TDD at (608) 224-5058. The hearing facility is handicap accessible.
Appearances at the Hearing and Submittal of Written Comments
DATCP invites the public to attend the hearing and comment on the emergency and proposed rule. Following the public hearings, the hearing record will remain open until
July 12, 2012 for additional written comments. Comments may be sent to the Division of Agricultural Development at the address below, or to
nicole.breunig@wisconsin.gov, or to
http://adminrules.wisconsin.gov.
Copies of the Proposed Rule
You can obtain a free copy of the emergency and hearing draft rule and related documents including the economic impact analysis by contacting the Wisconsin Department of Agriculture, Trade and Consumer Protection, Division of Agriculture Development, 2811 Agriculture Drive, P.O. Box 8911, Madison, WI 53708. You can also obtain a copy by calling (608) 224-5080 or by emailing
nicole.breunig@wisconsin.gov. Copies will also be available at the hearing. To view the emergency and hearing draft rule online, go to:
http://adminrules.wisconsin.gov.
DATCP Small Business Regulatory Coordinator
Comments or concerns relating to small business may also be addressed to DATCP's small business regulatory coordinator Keeley Moll at the address above, by email to
keeley.moll@wisconsin.gov, or by telephone at (608) 224-5039.
Analysis Prepared by the Department of Agriculture, Trade and Consumer Protection
This rule implements the “grow Wisconsin dairy producer" grant and loan program created under s.
20.115 (4) (d) and
93.40 (1) (g), Stats., by
2011 Wisconsin Act 32 (biennial budget act). Under s.
93.40 (1) (g), Stats., the Department of Agriculture, Trade and Consumer Protection (“DATCP") is authorized to award grants and loans to dairy producers for projects designed to promote the growth of the dairy industry. The budget act transferred an annual appropriation of $200,000 for each year of the biennium from the then Department of Commerce to DATCP. (See s.
20.115 (4) (d), Stats.)
This rule does all of the following:
•
Authorizes DATCP to make grant and loan awards and distribute grant and loan funds appropriated for the “grow Wisconsin dairy producer" grant and loan program.
• Specifies the procedures and criteria that DATCP will use to evaluate grant and loan proposals, make grant and loan awards and distribute grant and loan payments.
• Specifies the purposes for which grant and loan funds may be used, subject to the terms of the grant or loan contract.
Statutes interpreted
Statutory authority
Explanation of statutory authority
Section
93.07 (1), Stats., directs DATCP to make such regulations as are necessary for the discharge of all the powers and duties of the department. While granting the authority to make grants and loans to dairy producers, the budget language does not specify the bases for grant and loan determinations. The agency considers it necessary to adopt rules to establish the bases for grant and loan determinations in order to effectuate the purposes of s.
20.114 (4) (d) and
93.40 (1) (g), Stats. This rule implements the “grow Wisconsin dairy producer" grant and loan program on an interim basis, pending the adoption of “permanent" rules.
Related rules or statutes
There are no directly related rules or statutes, other than those cited above. DATCP rules for the “grow Wisconsin dairy producer" grant and loan program will be incorporated as a subchapter of Ch.
ATCP 161, Wis. Adm. Code (agricultural development and market promotion).
Plain language analysis
The “grow Wisconsin dairy producer" grant and loan program is designed to promote the growth of the dairy industry by providing grants and loans to dairy producers. The biennial budget act transferred $200,000 in grant funding for each year of the FY 2011-13 fiscal biennium. This rule spells out grant and loan procedures and criteria. Under this rule, the “grow Wisconsin dairy producer" grant and loan program will support projects proposed by dairy producers intended to expand and diversify the dairy industry.
Grant and Loan Purposes
Under this rule, DATCP may award grants and loans for projects that create, expand, diversify or promote any of the following:
•
New capital investment in the dairy industry.
•
New technologies or practices related to dairy production.
•
Improvement of the competitive position of the Wisconsin dairy industry.
•
Efficient use of farmland and other agricultural resources for dairy production.
•
Employment in the dairy industry.
Grant and Loan Limits
Under this rule, DATCP may award no more than $50,000 of grant funding nor more than $200,000 in loans to any person or entity in any state fiscal biennium. Once DATCP makes a grant award, DATCP may make the actual grant payments over an original contract term of up to 3 years. Loan awards may be for a term of up to 7 years.
Matching Contribution
DATCP may give preference to applicants providing matching funds which may be in the form of capital, land, labor, equipment or cash related to the grant or loan project.
Use of Grant and Loan Funds
Under this rule, grant funds may be used to reimburse any of the following expenses if those expenses are a reasonable and necessary part of the grant project:
•
Operating expenses, including expenses for salaries and wages, contract and consulting services, travel, supplies and public information.
• Equipment rental.
• The purchase of equipment whose full value is ordinarily depreciable within one year.
Grant funds may not reimburse any of the following expenses:
•
Real estate purchases.
•
Repayment of loans or mortgages.
•
Rent or contract payments for time periods extending beyond the term of the grant contract.
•
Equipment purchases, except for certain equipment purchases and depreciation expenses specifically authorized by this rule.
•
Administrative or overhead costs that are not direct costs of the grant project.
Loan funds are subject to the same use limitations as grant funds except that loan funds may be used for purchase of land and equipment without restriction so long as the purchase is related to the loan project.
Grant and Loan Proposals
Under this rule, DATCP must issue at least one request for grant and loan proposals in each state fiscal biennium (DATCP may issue more frequent requests, if it chooses to do so). The request for proposals must describe the required form and content of grant and loan proposals, and must specify a deadline for submitting grant and loan proposals. Applicants must submit grant and loan proposals to DATCP, in the manner prescribed by DATCP's request for proposals.
Grant and Loan Awards
Under this rule, DATCP must evaluate grant and loan proposals and issue its grant awards within 90 days after the application deadline. DATCP must clearly identify each award recipient, the amount of the award, and the purposes for which the award is given. DATCP must consider all of the following criteria when evaluating grant proposals and making grant and loan awards:
•
The extent to which a proposed project will benefit the dairy industry.
• Whether the proposal complies with DATCP's request for proposals.
