An order creating s. NR 19.30, relating to requiring criminal history checks on all vollunteer all-terrain vehicle (ATV), boating, bowhunter, hunter education and snowmobile safety instructors.
Effective 08-01-96.
An order creating s. NR 1.52, relating to a policy on promulgation of environmental quality standards.
Effective 08-01-96.
An order creating s. NR 19.02, relating to requiring a handling fee for certain approvals required for hunting, trapping or fishing.
Effective 08-01-96.
An order affecting ss. NR 28.03 and 28.04, relating to wild ginseng.
Effective 08-01-96.
An order creating ch. RL 7 and Appendix I, relating to the impaired professionals procedure.
Effective 08-01-96.
An order affecting ch. RL 1, relating to procedures to review denials of credentials.
Effective 08-01-96.
An order affecting ch. RL 4, relating to examination fees, refunds and fees for test reviews.
Effective 08-01-96.
An order creating s. SEC 2.01 (3) (e), relating to designating the Chicago stock exchange under s. 551.22 (7), Stats.
Effective 08-01-96.
An order amending s. Trans 201.16 (2) (e), relating to on-private property political signs next to interstates and freeways.
Effective 08-01-96.
An order repealing and recreating ch. Trans 104, relating to examination procedures for operator's license.
Effective 08-01-96.
An order amending s. Trans 6.04 (1) (e), relating to administration of the federal section 18 program.
Effective 08-01-96.
An order affecting ss. Tour 1.02, 1.03 and 1.05, relating to the joint effort marketing program.
Effective 08-01-96.
Final Regulatory Flexibility Analyses
1.
Agriculture, Trade & Consumer Protection
(CR 95-146)
Ch. ATCP 116 - Relating to work recruitment schemes.
Summary of Final Regulatory Flexibility Analysis:
This rule strengthens and clarifies the department's current rules. Like the current rules, this rule regulates recruitment schemes that are aimed at getting money from job applicants, not just recruiting them as workers. This rule does not affect other businesses that recruit and hire workers.
This rule expands the coverage of the current rules. The current rules apply when a business requires a “purchase or investment” from prospective employees, agents or independent contractors whom the business recruits to sell “products.” This rule applies, more broadly, when a businesses requires or solicits a “purchase or investment” from either of the following:
○ Prospective employees, regardless of the work for which they are recruited.
○ Prospective sales workers, regardless of whether they are recruited as employees, agents or independent contractors. “Sales work” means any work that involves soliciting persons to purchase or lease goods, services or contract rights (not just “products”) which the recruiter is in the business of selling or leasing.
The current rules do not define what is meant by a “purchase or investment.” This rule clarifies that a “purchase or investment” means a direct or indirect payment to the recruiter and provides an inclusive list of such purchases and investments.
Like the current rules, this rule requires that the amount of a required purchase or investment must be disclosed. This rule clarifies what kind of disclosures comply with the rule.
Unlike the current rule, this rule provides that, if an earnings claim is made, that claim be accurately and clearly stated. Also, this rule specifically prohibits certain practices related to the solicitation of a purchase or investment from a recruit.
A small business is affected by this rule only if, as a condition to hire a job applicant, it effectively requires that job applicant to make a “purchase or investment” involving a payment to the small business. Since most small businesses do not require such payments from prospective workers, they will not be affected.
Even if a legitimate business requires job applicants to make a “purchase or investment” in order to get a job, it should not be difficult or costly for that business to comply with this rule. Compliance will not require specialized professional skills or significant recordkeeping. In order to comply, the business must do the following:
○ Disclose the nature and amount of the required “
purchase or investment” in its advertisements for that job.
○ Document the required “purchase or investment” in writing, and give a copy to the job applicant before the applicant agrees to make the “purchase or investment.” The documentation must include certain disclosures about the job, such as type of work, source of earnings, and form and amount of earnings.
○ If the business makes any earnings claim to prospective workers from whom the business solicits a “purchase or investment,” the business must disclose the source of the earnings (if other than the business), the form of earnings (e.g., wages, commissions or profits on sales), and the basis on which the earnings will be paid.
○ The business must also disclose any requirements, such as training or probationary service requirements, which a recruit must meet in order to qualify for the stated earnings. These disclosures are required so that job applicants will have a fair chance to evaluate earnings claims before they make a required “purchase or investment.”
○ Refrain from making false, deceptive or misleading advertisements or representations to prospective workers from whom the business solicits a “purchase or investment.”
Compliance with this rule should be difficult only for small businesses engaged in fraudulent work recruitment schemes. The purpose of this rule is to eliminate those schemes.
Summary of Comments from Legislative Committees:
The rule was referred to the Legislature on December 20, 1995. In response to concerns raised by the Wisconsin Merchants Federation, the department offered possible changes to the final draft rule at a hearing before the Senate Committee on February 14, 1996. The Merchants Federation endorsed the proposed changes at that hearing.
On February 14, 1996, the Senate Committee adopted a motion asking the department to modify the final draft rule to address the concerns of the Merchants Federation. The Assembly Committee took similar action on February 16, 1996.
The revised final draft rule, fully addressing the committees' requests, was approved by the DATCP Board on March 12, 1996. The revised final draft rule was referred to the Senate Committee on Transportation, Agriculture, and Local Affairs and to the Assembly Committee on Consumer Affairs on March 29, 1996. The department received no comments or request for hearing from either committee.
2.
Agriculture, Trade & Consumer Protection
(CR 95-014)
Ch. ATCP 123 - Telecommunications and cable television service.
Summary of Final Regulatory Flexibility Analysis:
This rule regulates businesses that sell telecommunications or cable television service services. The rule provides methods whereby buyers who contract for provision of services can be informed of their agreements with the providers of those services, can be alerted to changes in the agreements and be allowed to cancel the contract before the changes are enacted.
Scope
This proposed rule regulates certain practices by businesses engaged in providing continuing or ongoing delivery of telecommunications and cable television services. The rules do not apply to these activities regulated by the Public Service Commission of Wisconsin.
Negative Options
This proposed rule prohibits billing for services which the consumer has not affirmatively ordered. Silence or inaction by the buyer when offered the contract does not constitute an affirmative order. It does allow for expansion of existing services without affirmative orders as long as the expansion does result in the addition of a service which is optional. this should have no impact on small business.
Price Increases
The proposed rule also requires the seller to inform the buyer of price increases and allow the buyer the opportunity to cancel the amended contract.
Providers of continuing service periodically increase prices. Buyers who do not pay close attention to their bill or whose bill is combined with other bills, such as automatic deductions, are unaware of these increases. The requirement that the seller notify the buyer of the change should not significantly increase costs under this rule. Offering a method of rejecting the service at the new price should have no impact since the nature of continuing service contracts is to operate until canceled by one of the parties.
Promotional Offers
The proposed rule requires a seller who offers a good or service for free or at reduced price to clearly inform the buyer of that fact and notify the buyer of the date when the regular price will be billed.
Businesses that furnish promotional products generally provide the product free or at reduced price for one billing cycle. Notification on the regular invoice of the impending date of full charge for the product should not significantly increase costs.
Contracts
Under this proposed rule, sellers who contract orally or through telecommunication devices to provide goods or services must furnish the buyer with a written statement describing the terms and conditions of the order. This statement must be furnished no later than billing for the service or 15 days whichever is greater.
Businesses generally protect themselves by documenting customer orders in writing. Including that statement with the first invoice is already be common practice. For some businesses, the information on the invoice may be sufficient to satisfy this requirement. The department anticipates no increased cost to business under this section.
Billing Practices
Under this proposed rule, a seller may not bill for goods or services which are not itemized on the invoice. The seller may not bill for cancellation or late penalty fees unless those charges were previously disclosed to the buyer.
It is common business practice to produce itemized invoices. Additionally, businesses that following the contract requirements should have already disclosed late payment or cancellation fees on the original contract. These requirements should have no impact on small business.
Summary of Comments from Legislative Committees:
On March 14, 1996, this department transmitted the above rule for legislative committee review. On March 28, the rule was assigned to the Assembly committee on Environment and Utilities and the Joint Committee on Information Policy.
The Assembly Committee on Environment and Utilities did not take any action on the rule during its review period. However, the Joint Committee on Information Policy held a hearing and approved a minor modification to the rule. That committee also waived further jurisdiction over the rule under s. 227.19 (4) (c), Stats., based on the department's agreement to make the proposed modification.
The modification consists of a note inserted before the definition section of the rule. The note merely acknowledges that under federal law, the federal government may take action to preempt portion of state rules.
The note reads:
“Federal law recognizes that state administrative rules may under certain circumstance be preempted by federal law or administrative action. It is the position of the department that any provision of this rule which specifically conflicts with any federal law which now exists, or is later enacted or amended, would be superseded by the federal law.”
On May 6, 1996, the Assembly Committee on Environment and Utilities received the rule as modified for another 10 days review period. The department received no comments or request for hearing from that committee.
