The Department through this rulemaking order is amending ch. HFS 119 in order to update HIRSP Plan 2 premium rates by just over 10% in accordance with the authority and requirements set out in s. 149.143 (3) (a), Stats. The Department is required to set premium rates by rule and the rates must be calculated in accordance with generally accepted actuarial principles.
The Department through this order is also adjusting the total HIRSP insurer assessments and provider payment rates in accordance with the authority and requirements set Out in s. 149.143 (2)(a)3. and 4., Stats., as affected by Act 27.
Publication Date:
December 31, 1998
Effective Date:
January 1, 1999
Expiration Date:
May 31, 1999
Hearing Date:
March 11, 1999
Extension Through:
July 29, 1999
2. Rules were adopted revising ch. HFS 119, relating to the Health Insurance Risk-Sharing Plan.
Exemption From Finding of Emergency
Section 149.143 (4), Stats., permits the Department to promulgate rules required under s. 149.143(2) and (3), Stats. by using emergency rulemaking procedures, except that the Department is specifically exempted from the requirement under s. 227.24(1) and (3), Stats., that it make a finding of emergency. These are the rules. Department staff consulted with the HIRSP Board of Governors on April 30, 1999 on the proposed rules, as required by s. 149.20, Stats.
Analysis Prepared by the Department of Health and Family Services
The State of Wisconsin in 1981 established a Health Insurance Risk-Sharing Plan (HIRSP) for the purpose of making health insurance coverage available to medically uninsured residents of the state. One type of coverage provided by HIRSP is supplemental coverage for persons eligible for Medicare. This coverage is called Plan 2. Medicare (Plan 2) has a $500 deductible. Approximately 17% of the 7,291 HIRSP policies in effect on March 31, 1999 were of the Plan 2 type.
The Department through this rulemaking order is amending ch. HFS 119 in order to update HIRSP Plan 2 premium rates in accordance with the authority and requirements set out in s. 149.143 (2) (a) 2., Stats. The Department is required to set premium rates by rule. These rates must be calculated in accordance with generally accepted actuarial principles. Policyholders are to pay 60% of the costs of HIRSP.
There are separate sets of tables in ch. HFS 119 that show unsubsidized and subsidized Plan 2 premium rates. Both sets of tables are amended by this order to increase the premium rates because Plan 2 costs, which historically have been running about 50% less than Plan 1 costs, began to increase several years ago and now are running at about 67% of Plan 1 costs. The Plan 2 premium rates need to be increased to cover increased costs of treatment for individuals enrolled under Plan 2. The order increases these premium rates by about 18%.
In January 1999, the Department published an emergency rule order to increase HIRSP unsubsidized Plan 2 premium rates by about 10%, with the intention of increasing those rates again in July 1999 to the level provided for in this order. However, in May 1999 the Legislature's Joint Committee for the Review of Administrative Rules (JCRAR) refused to extend the effective period of that part of the January 1999 emergency rule order relating to premium rate increases, with the result that effective May 31, 1999, the rates reverted back to the rates in effect before January 1, 1999. Consequently, to increase rates effective July 1, 1999, the Department through this rulemaking order has based the increased rates on the rates in effect prior to January 1, 1999.
The Department through this order is also adjusting the total HIRSP insurer assessments and provider payment rates in accordance with the authority and requirements set out in s. 149.143 (2)(a)3. and 4., Stats. With the approval of the HIRSP Board of Governors and as required by statute, the Department reconciled total costs for the HIRSP program for calendar year 1998. The Board of Governors approved a reconciliation methodology that reconciles the most recent calendar year actual HIRSP program costs, policyholder premiums, insurance assessments and health care provider contributions collected with the statutorily required funding formula. By statute, the adjustments for the calendar year are to be applied to the next plan year budget beginning July 1, 1999.
The result of this reconciliation process for calendar year 1998 indicated that insurance assessments collected were greater than the 20% of costs (net of the GPR contribution from appropriation s. 20.435(5)(af), Stats.), required of insurers. Also, the calendar year 1998 reconciliation process showed that an insufficient amount was collected from health care providers. As a result of this reconciliation, the insurer assessments for the time periods July 1, 1999 through December 31, 1999 and January 1, 2000 through June 30, 2000, are reduced to offset the overpayment in 1998. The total adjustments to the provider payment rates for the same time periods are sharply increased in order to recoup the provider contribution that was not collected in calendar year 1998. The budget for the plan year ending June 30, 2000 and the calendar year 1998 reconciliation process were approved by the HIRSP Board of Governors in April 1999.
Publication Date:
June 30, 1999
Effective Date:
July 1, 1999
Expiration Date:
November 28, 1999
EMERGENCY RULES NOW IN EFFECT
Insurance
Rules adopted amending ss. Ins 17.01 (3) (intro.) and17.28 (6a) repealing and recreating s. Ins 17.28 (6), relating to annual patients compensation fund and mediation fund fees for the fiscal year beginning July 1, 1999.
Finding of Emergency
The commissioner of insurance (commissioner) finds that an emergency exists and that promulgation of this emergency rule is necessary for the preservation of the public peace, health, safety or welfare. The facts constituting the emergency are as follows:
The commissioner was unable to promulgate the permanent rule corresponding to this emergency rule, clearinghouse rule No. 99-70, in time for the patients compensation fund (fund) to bill health care providers in a timely manner for fees applicable to the fiscal year beginning July 1, 1999.
The commissioner expects that the permanent rule will be filled with the secretary of state in time to take effect September 1, 1999. Because the fund fee provisions of this rule first apply on July 1, 1999, it is necessary to promulgate the fee portion of the rule on an emergency basis. A hearing on the permanent rule, pursuant to published notice thereof, was held on May 17, 1999.
Publication Date:
June 4, 1999
Effective Date:
July 1, 1999
Expiration Date:
November 28, 1999
EMERGENCY RULES NOW IN EFFECT (2)
Natural Resources
(Environmental Protection-Water Regulation,
Chs. NR 300-)
1. Rules adopted creating ch. NR 303, relating to department determinations of navigability for farm drainage ditches.
Exemption From Finding of Emergency
The Department was directed by the JCRAR under s. 227.26 (2) (b), Stats., to promulgate emergency rules regarding navigability
Analysis prepared by the Department of Natural Resources
Statutory authority: s. 227.26 (2)(b)
Statute interpreted: s. 30.10 (4)(c)
This order codifies present department program guidance for staff making navigability determinations for farm drainage ditches, identifying various methods and information to be relied on when making such determinations.
Publication Date:
May 1, 1999
Effective Date:
May 1, 1999
Expiration Date:
September 28, 1999
Hearing Dates:
June 16 and 17, 1999
2. Rules adopted creating ch. NR 328, relating to regulation of water ski platforms and water ski jumps.
Analysis by the Department of Natural Resources
Statutory authority: ss. 30.135, 227.11 (2) (a) and 227.24
Statutes interpreted: ss. 30.66, 30.69 and 30.135
Chapter NR 328 describes the conditions where a water ski jump or platform will require a permit. It explains what constitutes a substantive written objection to a water ski jump or platform and provides a list of reasons that support a substantive written objection. It specifies the contents of a public notice and the process for making a substantive written objection. It details how the department will respond to complaints about an existing water ski jump or platform.
These rules were promulgated as emergency rules at the direction of the joint committee for review of administrative rules.
Publication Date:
July 9, 1999
Effective Date:
July 9, 1999*
Expiration Date:
December 6, 1999
*Rule suspended by Joint Committee for Review of Administrative Rules on July 5, 1999.
EMERGENCY RULES NOW IN EFFECT (2)
Public Service Commission
1. Rules adopted revising ch. PSC 4, relating to small generating plants.
Finding of Emergency
In order to preserve the health, safety, and welfare of Wisconsin ratepayers by ensuring a reliable energy supply in 2000 and beyond, the Commission's review process of proposed new generating plants that are less than 100 MW in size must be amended. A revision is needed so the review process for such projects can be completed in time to allow construction of necessary projects, if approved, by June 1, 2000. Permanent rules cannot be adopted in time to affect the Commission's review period. An emergency rule is necessary to change the Commission's review process immediately.
Publication Date:
January 19, 1999
Effective Date:
January 19, 1999
Expiration Date:
June 18, 1999
Hearing Date:
February 22, 1999
Extension Through:
August 16, 1999
2. Rules adopted creating ch. PSC 186, relating to standards for water and sewer service in mobile home parks.
Exemption From Finding of Emergency
These rules are now being adopted as emergency rules effective May 1, 1999, as directed by section 22(2) of 1997 Wis. Act 229.
Publication Date:
May 1, 1999
Effective Date:
May 1, 1999
Expiration Date:
September 28, 1999
EMERGENCY RULES NOW IN EFFECT
Revenue
A rule was adopted creating s. Tax 11.20, relating to the sales and use tax treatment of machinery and equipment used in waste reduction and recycling activities.
Exemption From Finding of Emergency
On February 25, 1999, the Joint Committee for Review of Administrative Rules, pursuant to s. 227.26, (2) (b), Stats., directed the Department of Revenue to use the emergency rule making process to promulgate as an emergency rule, within 30 days, its policies interpreting s. 77.54 (26m), Stats.
Analysis by the Department of Revenue
Statutory authority: ss. 227.11 (2) (a) & 227.26 (2) (b)
Statute interpreted: s. 77.54 (26m)
Section Tax 11.20 is created to address the sales and use tax exemptions for waste reduction and recycling activities.
Publication Date:
March 27, 1999
Effective Date:
March 27, 1999
Expiration Date:
August 24, 1999
EMERGENCY RULES NOW IN EFFECT
Workforce Development
(Economic Support, Chs. DWD 11-59)
Rules adopted renumbering ch. HFS 55 and revising DWD 55, relating to criminal background checks in daycare.
Finding of Emergency
The Department of Workforce Development finds that an emergency exists and that a rule is necessary for the immediate preservation of the public peace, health, safety and welfare. A statement of the facts constituting the emergency is:
