The proposed rules consist of a revision to the requirements relating to the inspection and testing of fire extinguishing systems for food preparation equipment. The revision allows the inspection and testing to be performed by a properly trained person rather than only by a factory-authorized person. This change is consistent with national standards published by the National Fire Protection Association.
The proposed rules also contain corrections of references to national standards adopted in the Wisconsin Commercial Building Code.
The proposed rules have been recommended by the Wisconsin Fire Prevention Council. The members of that citizen advisory committee are as follows:
Name
Representing
Neil Cameron
Wisconsin AFL-CIO
Martin Collins
City of Milwaukee
George Deel
Wisconsin Insurance Alliance
Charles Elliott
Wisconsin Petroleum Council
John Fulcher
Wisconsin State Fire Chiefs Association
Steven Hook
Professional Fire Fighters of Wisconsin
Thomas Jahn
Wisconsin Manufactures & Commerce
Matthew Kerschner
Wisconsin Propane Gas Association
Dallas Millard
Wisconsin State Firefighters Association
Mark Noah
Wisconsin Utilities Association
Robert Vajgrt
Wisconsin Fire Inspectors Association
David Wheaton
Wisconsin Building Inspectors Association
Copies of the Rules
A copy of the rules to be considered may be obtained from the State Department of Industry, Labor and Human Relations, Division of Safety and Buildings, 201 E. Washington Ave., P.O. Box 7969, Madison, WI 53707, by calling (608) 266-9375 or at the appointed time and place the hearing is held.
Written Comments and Contact Person
Interested persons are invited to appear at the hearings and will be afforded the opportunity of making an oral presentation of their positions. Persons making oral presentations are requested to submit their facts, views and suggested rewording in writing. Written comments from persons unable to attend the public hearing, or who wish to supplement testimony offered at the hearing, may be submitted no later than July 15, 1996, for inclusion in the summary of public comments submitted to the Legislature. Any such comments should be submitted to Ronald Acker at the address noted above. Written comments will be given the same consideration as testimony presented at the hearings. Persons submitted comments will not receive individual responses.
The hearing is held in an accessible facility. If you have special needs or circumstances which may make communication or accessibility difficult at the hearing, please call (608) 266-9375 or Telecommunication Device for the Deaf (TDD) at (608) 264-8777 at least 10 days prior to the hearing date. Accommodations such as interpreters, English translators or materials in audio tape format will, to the fullest extent possible, be made available on request by a person with a disability.
Initial Regulatory Flexibility Analysis
1. Types of small businesses that will be affected by the rules.
The proposed rules will affect any business that provides inspection and testing services for fire extinguishing systems used in food preparation equipment.
2. Reporting, bookkeeping and other procedures required for compliance with the rules.
The proposed rules require no reporting, bookkeeping or other procedures beyond those required by current rules.
3. Types of professional skills necessary for compliance with the rules.
There are no types of professional skills necessary for compliance with the proposed rules.
Fiscal Estimate
The proposed rules will not affect the administration and enforcement of the fire prevention program. Also, the proposed rules do not contain any new fees or revisions to existing fees. Therefore, no fiscal impact is anticipated as a result of the proposed rules.
Notice of Hearing
Insurance
The Commissioner of Insurance, pursuant to the authority granted under s. 601.41 (3), Stats., and according to the procedures under s. 227.18, Stats., will hold a public hearing in Room 23, 121 East Wilson Street, Madison, Wisconsin, on Tuesday, July 2, 1996, at 10:00 a.m., or as soon thereafter as the matter may be reached, to amend s. Ins 51.75 (2), as renumbered, to renumber s. Ins 14.02; to repeal ch. Ins 14 (title); and to create ch. Ins 51, Wis. Adm. Code, relating to financial standards for insurers.
Summary of Proposed Rule
Statutory authority: ss. 601.41 (3) and 601.42
Statutes interpreted: ss. 601.465, 611.19, 613.19. 628.34 and chs. 623 and 645
This rule adopts supplemental risk based capital and surplus requirements for most insurers doing business in this state. The rule also requires insurers which are insurance service corporations to comply with the same capital, compulsory surplus and security surplus requirements that apply to other insurers engaged in the same type of insurance business in this state.
Risk Based Capital Requirements.
The rule requires a property and casualty, life or health domestic insurer to calculate and report its “risk based capital.” The insurer is required by the rule to maintain capital and surplus that reflects the risk associated with the insurer$s operations relating to certain specified categories such as liabilities and assets. An insurer is required to calculate its “risk based capital” using forms and instructions developed by the National Association of Insurance Commissioners.
The rule establishes four levels of capital and surplus standards. These are the “company action”, “regulatory action”, “ authorized control” and “mandatory control” levels. At each level the rule requires the insurer or OCI to take appropriate action to remedy any financial deficiency.
An insurer which maintains capital and surplus in excess of the company action level is not subject to those requirements. If capital decreases to company action level the insurer must file and follow a plan to correct its condition; at regulatory action level OCI must require the insurer to take corrective action; at the authorized control level OCI must make a determination of whether a formal proceeding should be commenced; and at the mandatory control level OCI must take control of the insurer through legal proceedings. The rule includes only limited exceptions from these requirements.
A domestic insurer is required to by March 1 annually file a risk based capital calculation and report with OCI. OCI may also require non-domestic insurers to file such a report.
An insurer may request a hearing to contest an OCI determination of its level of risk based capital or with respect to a plan submitted by the insurer. The commissioner may keep risk based capital reports confidential. However financial statements from which risk based capital is calculated are public. The use of risk based capital levels of competitors for marketing purposes is prohibited as misleading.
The risk based capital requirements do not apply to a health maintenance organization insurer, limited service health organizations, town mutual insurers, school benefit plans, motor vehicle clubs, fraternal insurers, or to insurance plans administered under the direct supervision of OCI. The risk based capital requirements will apply to insurance service corporations after the commissioner makes a determination that appropriate risk based capital reporting forms and instructions have been developed through the NAIC. The commissioner may by order subject an exempt insurer to the risk based capital requirement. Also, the commissioner may by order exempt any domestic property and casualty insurer which does business only in this state, and no more than $3,000,000 in annual premium, from risk based capital requirements.
Permanent Capital, Compulsory Surplus And Security Surplus Requirements.
This rule supplements, is in addition to, and does not replace the existing capital, compulsory surplus and security surplus requirements which apply to domestic and non-domestic insurers. Also, the procedural rights and process prescribed in the rule for risk based capital apply solely to risk based capital requirements and not to proceedings or determinations made under the existing capital, compulsory surplus or security surplus requirements and not to grounds asserted in a delinquency proceeding.
The rule does apply the existing capital, compulsory surplus and security surplus requirements to insurance service corporations.
The rule is effective on January 1, 1997, and applies to reports for year end calendar year 1996.
Summary of Fiscal Estimate
There will be no state or local government fiscal effect.
Initial Regulatory Flexibility Analysis
This rule may have an impact on insurers which are small businesses. The rule includes exceptions or provisions form exemptions which will be available to small insurers. The professional skills, reporting, and record keeping required to comply with this rule are primarily accounting and actuarial in nature and will not significantly differ from existing requirements.
Contact Person
A copy of the text of the proposed rule and fiscal estimate may be obtained from Meg Gunderson, Services Section, Office of the Commissioner of Insurance, 121 East Wilson Street, P. O. Box 7873, Madison, Wisconsin 53707-7873, (608) 266-0110.
Notice of Submission of Proposed Rules to the Presiding Officer of each House of the Legislature, Under S. 227.19, Stats.
Please check the Bulletin of Proceedings for further information on a particular rule.
Agriculture, Trade & Consumer Protection (CR 95-190):
Ch. ATCP 42 - Relating to commercial feed.
Agriculture, Trade & Consumer Protection (CR 96-15):
Ch. ATCP 99 - Relating to grain warehouse keepers and grain dealers.
Architects, Landscape Architects, Professional Geologists, Professional Engineers, Designers and Land Surveyors Examining Board (CR 96-49):
S. A-E 3.05, 4.08, 5.04, 6.05, 9.05 and 10.05 - Relating to examination reviews.
Dentistry Examining Board (CR 96-50):
S. DE 12.01 (3) - Relating to the delegation of the polishing portion of an oral prophylaxis by a dentist to an unlicensed person.
Health & Social Services (CR 95-236):
Ch. HSS 89 - Relating to assisted living facilities.
Industry, Labor & Human Relations (CR 95-228):
Ch. ILHR 5 - Relating to credentials.
Industry, Labor & Human Relations (CR 96-13):
Ch. ILHR 16 - Relating to Electrical Code, Volume 2.
Insurance, Commissioner of (CR 96-45):
SS. Ins 17.01, 17.26 and 17.28 - Relating to annual patients compensation fund and mediation fund fees for the fiscal year beginning July 1, 1996, future medical expense attachment point changing from $25,000 to $100,000.
Medical Examining Board (CR 96-27):
S. Med 10.02 (2) (q) - Relating to unprofessional conduct.
Natural Resources (CR 95-195):
Ch. NR 48 - Relating to the applications to withdraw lands entered as county forest.
Natural Resources (CR 96-19):
SS. NR 10.102 and 10.30 - Relating to bear hunting.
Natural Resources (CR 96-20):
SS. NR 10.01, 10.09, 10.117, 11.04 and 15.024 - Relating to hunting and trapping.
Revenue (CR 95-161):
Ch. Tax 9 - Relating to cigarette taxes.
Transportation (CR 96-57):
Ch. Trans 258 - Relating to seed potato overweight permits.
Administrative Rules Filed With The
Revisor Of Statutes Bureau
The following administrative rules have been filed with the Revisor of Statutes Bureau and are in the process of being published. The date assigned to each rule is the projected effective date. It is possible that the publication of these rules could be delayed. Contact the Revisor of Statutes Bureau at (608) 266-7275 for updated information on the effective dates for the listed rules.
Chiropractic Examining Board (CR 95-232):
An order amending s. Chir 9.03 (6), relating to approved chiropractic college preceptorship programs.
Effective 08-01-96.
Elections Board (CR 96-12):
An order amending s. ElBd 6.04, relating to filing documents with filing officers by means of facsimile (FAX) transmission.
Effective 07-01-96.
Health & Social Services (CR 95-229):
An order affecting ss. HSS 201.30 and 201.303, relating to participation of Aid to Families with Dependent Children (AFDC) recipients in the AFDC Benefit Cap Demonstration Project.
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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.