-The payor's name.
-The number of payments, if more than one.
-A telephone number for consumer inquiries that is answered during normal business hours.
-The date of the consumer's authorization.
-A procedure by which the consumer can obtain a refund from the seller if the written confirmation is inaccurate.
Credit Card Laundering
This rule prohibits "credit card laundering" related to home solicitation transactions. In "credit card laundering" schemes, unscrupulous sellers gain access to the credit card system -- from which they might otherwise be excluded -- by processing credit card transactions under the name of another merchant.
This rule prohibits a merchant from presenting for payment, to a credit card system, any credit card sales draft generated by a home solicitation transaction that is not a sale by that merchant to that credit card holder. No home solicitation seller may obtain access to a credit card system under the name of another merchant unless that access is authorized by that merchant's written agreement with the credit card system operator, or with an acquirer licensed by the credit card system operator.
Misrepresentations
This rule prohibits a seller from doing any of the following in a home solicitation transaction:
• Misrepresenting seller's identity, affiliation, location or characteristics.
• Misrepresenting the nature, purpose or intended length of a home solicitation.
• Misrepresenting the nature or terms of a home solicitation transaction, or any document related to that transaction.
• Misrepresenting the cost of goods or services offered or promoted by the seller, or failing to disclose material costs payable by the consumer.
• Misrepresenting the nature, quantity, material characteristics, performance or efficacy of the goods or services offered or promoted by the seller.
• Misrepresenting or failing to disclose material restrictions, limitations or conditions on the purchase, receipt, use or return of goods or services offered or promoted by the seller.
• Misrepresenting the material terms of a seller's refund, cancellation, exchange, repurchase or warranty policies.
• Misrepresenting that a seller is offering consumer goods or services free of charge or at a reduced price.
• Misrepresenting that a seller is affiliated with, or endorsed by, any government or 3rd-party organization.
• Misrepresenting that a seller has specially selected the consumer, or misrepresenting the basis on which a consumer has been selected.
• Misrepresenting any material aspect of an investment opportunity, including risk, liquidity, earnings potential or profitability.
• Failing to disclose, in connection with every purported offer of free goods or services in a home solicitation transaction, any costs which the consumer must incur and any conditions which the consumer must meet in order to receive those free goods or services.
• Making any other false, deceptive or misleading representation to a consumer.
Prohibited Practices; General
This rule prohibits a seller from doing any of the following in a home solicitation transaction:
• Threatening, intimidating or harassing a consumer.
• Failing to leave a consumer's premises upon request.
• Requesting or receiving payment for "credit repair" services until the seller provides the consumer with all of the following:
*All of the "credit repair services" for which the seller is requesting or receiving payment.
*A consumer report, from a bona fide consumer reporting agency, which demonstrates that the "credit repair services" have achieved all of the results promised to the consumer.
• Requesting or receiving payment for helping a consumer recover money lost in a prior home solicitation transaction until at least 7 days after that consumer recovers that money. (This provision addresses so-called "recovery room" schemes, which prey on previously victimized consumers.)
• Requesting or receiving payment for "loan finder" services until the consumer actually receives the promised loan.
Fiscal Estimate
See page 33 of the Mid-September, 1998 Wis. Adm. Register.
Initial Regulatory Flexibility Analysis
See page 33 of the Mid-September, 1998 Wis. Adm. Register.
Notice of Hearing
Health & Family Services
(Community Services,
Chs. HFS/HSS 30--)
Notice is hereby given that pursuant to ss. 51.37 (9), 51.375 (3), 971.17 (3) (e), 980.06 (2) (d) and 980.08 (6), Stats., the Department of Health and Family Services will hold a public hearing to consider the amendment of ss. HSS 98.01, 98.03 and 98.04 and the creation of ss. HSS 98.28 to 98.32, relating to lie detector testing of sex offenders who have been committed to the Department for treatment and who are in community placements.
Hearing Information
October 15, 1998 Room B139
Thursday State Office Building
11:00 a.m. to 1:00 p.m. 1 West Wilson Street
MADISON WI
The hearing site is fully accessible to people with disabilities. Parking for people with disabilities is available in the parking lot behind the building, in the Monona Terrace Convention Center Parking Ramp or in the Doty Street Parking Ramp. People with disabilities may enter the building directly from the parking lot at the west end of the building or from Wilson Street through the side entrance at the east end of the building and take a central elevator to Level 1B.
Analysis Prepared by the Department of Health and Family Services
Section 51.375 (3), Stats., directs the Department of Health and Family Services to establish a lie detector testing program for sex offenders who are in community placements. Lie detector testing of clients who are sex offenders and are on conditional or supervised release is recognized as an effective supervision tool for determining the nature and extent of deviant sexual behavior and developing appropriate intervention strategies. In addition, it is anticipated that testing will improve treatment outcomes by overcoming client denial and by detecting behaviors that lead to re-offending.
This order does all of the following:
1. Creates a definition for lie detector examination process.
2. Adopts the statutory definitions for lie detector, polygraph and sex offender.
3. Establishes the authority, purpose and applicability of the lie detector examination process.
4. Requires a client who is a sex offender to submit to a lie detector test if required by the Department.
5. Establishes criteria for the selection of clients who are required to participate in the lie detector examination process.
6. Requires that the Department provide notice to a client who is required to participate in the lie detector examination process of the lie detector program requirements, instructions to complete any necessary questionnaires and the date, time and location of the scheduled test.
7. Provides that an agent and an examiner will determine the questions the client may be asked during the lie detector examination process.
8. Allows an agent to consult with a treatment provider regarding the questions the client may be asked during the lie detector examination process.
9. Provides that the Department may administer the lie detector tests or contract with an outside vendor or the Department of Corrections to administer the tests.
10. Provides for sanctions if a sex offender refuses to participate in the lie detector examination process.
11. Provides that a client's conditional release or supervised release may not be revoked based solely on a finding of deception as disclosed by a lie detector test.
12. Identifies the circumstances under which the Department may disclose information regarding the lie detector tests or the information derived from the lie detector examination process.
13. Provides that the department may not use the lie detector examination process as a method of punishment or sanction.
14. Provides that a client shall pay the costs of the lie detector test and include a $5.00 administrative fee with each payment. The cost of the lie detector test may vary, depending on the type of test used.
15. Establishes procedures for the collection of lie detector fees.
16. Provides for sanctions for a client's failure to pay the lie detector fees.
17. Provides criteria for lie detector fee deferrals.
18. Provides for the reporting and notice to the client when payment of lie detector fees is not received.
The order inserts the rules for the lie detector testing program in ch. HFS 98, the Department's rules for field supervision of persons committed to the Department for treatment.
Contact Person
To find out more about the hearing or to request a copy of the proposed rules, write or phone:
Linda Harris
Division of Care and Treatment Facilities
P. O. Box 7851
Madison, Wisconsin 53707-7851
(608) 267-7909 or,
if you are hearing impaired,
266-7376 (TTY)
If you are hearing or visually impaired, do not speak English, or have other personal circumstances which might make communication at the hearing difficult and if you, therefore, require an interpreter, or a non-English, large print or taped version of the hearing document, contact the person at the address or phone number above. A person requesting a non-English or sign language interpreter should make that request at least 10 days before the hearing. With less than 10 days notice, an interpreter may not be available.
Written Comments
Written comments on the proposed rule changes received at the above address no later than October 22, 1998 will be given the same consideration as testimony presented at the hearing.
Fiscal Estimate
This rulemaking order will not affect the expenditures or revenues of state government or local governments.
Section 51.375 (3), Stats., directs the Department to promulgate rules establishing a lie detector testing program for sex offenders committed to the Department for treatment who are in community placements. Section 51.375 (2), Stats., permits the Department to require, as a condition for community placement, that a sex offender submit to a lie detector test when directed by the Department to do so.
