Rule-Making Notices (Hearing Notices)

Wisconsin Administrative Register No. 593, 5/31/2005

Rule-making notices

Notice of Hearings

Agriculture, Trade and Consumer Protection

[CR 05-044]

The State of Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) issues dairy and food licenses. DATCP announces that it will hold a public hearing on a rule related to dairy and food license fees under chs. ATCP 59, 60, 70, 71, 75, 77, 80, 81, 82, and 85, Wis. Adm. Codes.

DATCP will hold public hearings on June 14, June 15, June 16 and one by videoconference on June 17, 2005, at the places shown below. DATCP invites the public to attend the hearing at these locations and comment on the proposed rule. Following the public hearing date, the hearing record will remain open until Ju1y 1, 2005, for additional written comments. Comments may be sent by e-mail to: [e-mail]

This proposed rule is posted at on the Wisconsin Legislative Council web site at http://www.legis.state.wi.us/lc/adm_rules.htm. You may also obtain a free copy of this rule by contacting the Wisconsin Department of Agriculture, Trade and Consumer Protection, Division of Food Safety, P.O. Box 8911, Madison, WI 53708-8911, telephone [phone] or e-mail [e-mail]. Copies will also be available at the public hearing.

Wisconsin Department Agriculture, Trade, and Consumer Protection's small business regulatory coordinator is Keeley Moll. She can be contacted at the following address: Keeley Moll, Wisconsin Department of Agriculture, Trade and Consumer Protection, P.O. Box 8911, Madison, WI 53708-8911, telephone [phone], e-mail [e-mail]

Hearing impaired persons may request an interpreter for these hearings. Please make reservations for a hearing interpreter by Friday, June 3, 2005 by writing to Debbie Mazanec, P.O. Box 8911, Madison WI 53708-8911, telephone [phone], e-mail:
[e-mail] or by telephoning the message relay system (TTY) at [phone] to forward your call to the department at [phone]. Handicap access is available at all locations for the hearings.

Four hearings are scheduled at the following Dates, Times and Locations:

Tuesday June 14, 2005

11:00 a.m. to 1:00 p.m.

Eau Claire

Eau Claire Division of Food Safety Area Office

Conference Room

3610 Oakwood Hills Parkway

Eau Claire, WI 54701

Wednesday June 15, 2005

11:00 a.m. to 1:00 p.m.

Appleton

Fox Valley Technical College

Room B126

1825 N. Bluemound Drive

Appleton, WI 54912

Thursday June 16, 2005

11:00 a.m. to 1:00 p.m.

Waukesha

Waukesha State Office Building

Department of Transportation Offices

Room 247

141 NW Barstow St.

Waukesha, WI 53188

Video Conference Hearing

June 17, 2005

11:00 a.m. 1:00 p.m.

At the following sites:

Main Broadcast Center

Madison

UW Pyle Center

Room 227

702 Langdon Street

Madison, WI 53706

Green Bay

Green Bay State Office Building

Room 618

200 N. Jefferson St.

Green Bay, WI 54301

Monroe

Monroe High School

Distance Learning Lab - B01

Use Gymnasium Entrance

1600 26th St

Monroe, WI 53566

La Crosse

La Crosse State Office Building

Dept of Transportation

Room B29

3550 Mormon Coulee Rd.

La Crosse, WI 54601

Wausau

UW Marathon County -Wausau

Distance Education & Instructional Technology

Room 218

518 South 7th Avenue

Wausau, WI 54401

Background Summary

This rule increases current license and reinspection fees for milk producers, dairy plants, food processing plants, food warehouses, milk distributors, retail food stores, dairy, food or water-testing laboratories, milk haulers, buttermakers, cheesemakers and butter or cheese graders. This rule increases fees beginning in 2006.

This rule also provides for annual license fee adjustments (up or down) beginning in 2007, based on the prevailing cash balance in Wisconsin's food safety program revenue account. Any upward adjustment of fees must be submitted to an industry advisory council and approved by the Board of Agriculture Trade and Consumer Protection. All annual fee adjustments, whether up or down, must be published in the Wisconsin administrative register.

Analysis Prepared by the Department of Agriculture, Trade and Consumer Protection (DATCP)

The Department of Agriculture, Trade and Consumer Protection (“DATCP") administers Wisconsin's dairy and food safety program. The program is funded, in part, by dairy and food license fees. This rule modifies current license fees. It also provides a mechanism and criteria for future license fee adjustments.

Rulemaking Authority

Statutory authority: 93.07 (1), 93.09 (10), 93.12 (7), 97.17 (4), 97.175 (2), 97.20 (2c) (b), (2g) (b), (2n) (b), (2w) and (4), 97.21 (4m) and (6), 97.22 (2) (b), (4) (am) and (8), 97.27 (3m) and (5), 97.29 (3) (am), (cm) and (5), 97.30 (3m) and (5), and 98.146 (4), Stats.

Statutes interpreted: 93.09, 93.12, 97.17, 97.175, 97.20, 97.21, 97.22, 97.27, 97.29, 97.30 and 98.146 (4), Stats.

Rule Content

General

This rule increases current license and reinspection fees for milk producers, dairy plants, food processing plants, food warehouses, milk distributors, retail food stores, dairy, food or water testing laboratories, milk haulers, buttermakers, cheesemakers and butter or cheese graders. This rule increases fees beginning in 2006.

This rule also provides for annual license fee adjustments (up or down) beginning in 2007, based on the prevailing cash balance in Wisconsin's food safety program revenue account. Any upward adjustment of fees must be submitted to an industry advisory council and approved by the Board of Agriculture Trade and Consumer Protection. All annual fee adjustments, whether up or down, must be published in the Wisconsin administrative register.

Initial Fee Increase

DATCP currently licenses certain businesses that produce, process or handle dairy or food products. These businesses must pay license fees and comply with food safety and labeling laws administered by DATCP. License fees pay for part of DATCP's food safety and labeling program. DATCP may adjust most license fees by rule. This rule increases current license and reinspection fees as follows:

Entity   Current Fee(s)   Proposed Fee(s)

Dairy Farm   $20 annual license fee   $24

  (paid by dairy plant operator)

  $20 or $40 reinspection fee   $24 or $48

  (paid by dairy plant operator

  if reinspection is required)

Dairy Plant   Annual license fee:

  $80 for a Basic Plant fee   $96

  $580 or $730 for grade A   $699 or $879

  processing plant (based on size)  

  $330 for grade A receiving station   $397

  $80 for grade A transfer station   $96

  $80 to $350 for grade B

  processing plant   $96 or $421

  (based on size)

  $80 for grade B receiving station   $96

  or transfer station

  Grade A milk procurement fee:

  0.6 cent per 100 lbs. 0.0096 cent per 100 lbs.

  Grade B milk procurement fee

  0.2 cent per 100 lbs.   No change

  Reinspection fee:

  $165 or $200 for grade A   $203 or $246

  processing plant

  $180 for grade B processing plant   $221

  $100 for grade A receiving station   $123

  $40 for grade B receiving station,   $48

  or grade A or B transfer station

  Butter and cheese grading fee:

  1.09 cents per 100 lbs. of product   No change

Food Processing

Plant   $60-$525 annual license fee   $78 - $685

  (based on size and type)

  $200 surcharge for canning   $261

  $40-$350 reinspection fee   $49 - $431

  (based on size and type)

Food Warehouse $50-$200 annual license fee   $65-261

  (based on size and type)

  $75-$200 reinspection fee   $92 - $246

  (based on size and type)

Milk Distributor $50 annual license fee   $60

  per facility

  $20 reinspection fee   $25

  per facility

Retail Food

Store   $30-$450 annual license fee   $39-587

  (based on size and type)

  $60-$300 reinspection fee   $74 - $369

  (based on size and type)

Dairy, Food or

Water Testing

Lab   $336 annual lab certification fee   No change

  for each dairy or food test (other

  than milk drug residue screening)

  $276 annual lab certification fee for   No change

  each water test

  $25 annual certification fee for each   No change

  dairy or food analyst (other than milk

  drug residue screening analyst)

  $50-$500 initial fee and $25-$50   No change

  annual renewal fee for lab

  performing milk drug residue

  screening

  $25 initial evaluation fee for milk drug   No change

  residue screening analysts

  (if more than 3 per lab)

Milk Hauler   $30 annual milk hauler license fee   $36

  $30 milk hauler reinspection fee   $36

  $40 milk weigher and sampler license   $48

  fee (2-year license)

  $40 milk weigher and sampler   $48

  reinspection fee

Buttermaker or

Cheesemaker $50 license fee (2-year license)   $60

  $25 Buttermaker or Cheesemaker   $30

  reinspection fee

Butter or Cheese

Grader   $50 license fee (2-year license)   $60

Annual Fee Adjustment

This rule provides for annual adjustment of the above fees (up or down), based on the prevailing cash balance in Wisconsin's food safety program revenue account on June 30 of each year. Fees are subject to the following adjustments (adjustments take effect on September 1 of each year):

• If the program revenue account balance on June 30 is less than $400,000, DATCP may increase the fees by the percent necessary to increase the account balance by an amount equal to the difference between $500,000 and the account balance. Before increasing any fee, DATCP must consult with an advisory council of food and dairy processors. The fee increase, if any, must be approved by the DATCP Board and published in the Wisconsin administrative register.

• If the program revenue account balance on June 30 is greater than $600,000, DATCP must reduce the fees by the percent necessary to reduce the account balance by an amount equal to the difference between $500,000 and the account balance.

• If the program revenue account balance on June 30 is between $400,000 and $600,000, the fees do not change.

Exemptions

This rule does not affect any of the following:

• Fees that DATCP charges for certain services, such as review of food processing equipment plans, or the testing, timing and sealing of pasteurizers. DATCP is authorized to charge fees for such services in order to cover its cost of providing the services. DATCP may adjust these service fees by written notice, in order to keep fees consistent with service costs.

• License fees for milk and cream testers. DATCP is not authorized to adjust these fees by rule. Milk and cream testers currently pay a license fee of $50 (for a 2-year license) and a reinspection fee of $25.

This rule exempts ungraded barrel cheese from current and proposed cheese grading fees (paid by dairy plants).

Technical Changes

This rule makes certain non-substantive editorial and drafting changes to current rules.

Fiscal Impact

State Fiscal Effect

This rule will increase food safety program revenues by $1.2 million in 2006. This is necessary to offset a projected deficit in DATCP's food safety program revenue account beginning in FY 2005-06. Fees have not been increased since 1998. DATCP proposes to increase license fees for all food and dairy license categories. A complete fiscal estimate is attached.

Wisconsin's food safety program is funded by a combination of general tax dollars (GPR) and program revenue from license fees (PR). In 1991, license fees funded about 40% of program costs. The 1995-97 biennial budget act reduced GPR funding, so that PR accounted for about 50% of food safety funding. Because of further GPR reductions in recent state budgets, the current PR funding share is about 60%.

Other developments have combined to deplete the food safety PR account balance. Recent state budgets have lapsed a substantial amount of license fee revenue to the state general fund (to help remedy state budget deficits). DATCP has delayed fee increases (none since 1998), but has experienced a modest increase in operating costs. DATCP also incurred a significant increase in PR costs when the legislature transferred the grade A milk certification program to DATCP (without any attached funding). DATCP currently projects a PR account deficit in FY 2005-06.

DATCP is working to deliver effective food safety protection as efficiently as possible. DATCP's bureau of food safety and inspection currently has 88 staff -- 12.75 fewer than in 1997 and 15.5 fewer than in 1991. Dairy farm inspection frequency is based on milk quality tests and past inspection performance (DATCP is exploring ways to expand this risk-based approach). DATCP is also working with other agencies to share resources and minimize duplication. For example:

• DATCP works with local government to license and inspect retail food establishments. Twenty-seven local entities license and inspect on behalf of DATCP, compared to 15 in 1997. Local entities now license and inspect 3,800 retail food establishments, and DATCP licenses and inspects the remaining 4,700 establishments.

• DATCP coordinates dairy plant inspection with the United States Department of Agriculture, Agricultural Marketing Service, to avoid duplicate inspection.

• Since 1997, DATCP has worked with the Wisconsin Department of Health and Family Services (DHFS) to eliminate duplicate licensing and inspection of grocery stores, restaurants, and combination grocery-restaurants. DATCP and DHFS have adopted uniform rules for grocery stores and restaurants, to avoid conflicting standards. Standards are based on the federal model food code.

Local Fiscal Effect

DATCP currently provides administrative support to local governments that license and inspect retail food establishments as agents of DATCP. Local governments establish their own license fees, and reimburse DATCP for administrative services costs. The reimbursement amount equals 10% of the license fee that DATCP would charge local license holders, if DATCP licensed them directly. An increase in DATCP license fees therefore increases local reimbursement payments.

In FY 2004, local governments made a total of $50,005 in reimbursement payments. If DATCP adopts the fee increases proposed in this rule, the reimbursement rate will remain at 10%, but the total reimbursement amount will increase to $61,505. This rule thus increases local costs by $11,500 (statewide total). Local governments can (and likely will) pass this increased cost on to retail food businesses. Local governments can set license fees to recover up to 100% of their reasonable operating costs.

Business Impact

This rule increases current license fees for milk producers, dairy plants, food processing plants, food warehouses, milk distributors, retail food stores, dairy, food or water testing laboratories, milk haulers, buttermakers, cheesemakers and butter or cheese graders licensed by DATCP. Many of these licensed entities are “small businesses."

The proposed fee increase is necessary to prevent a deficit in Wisconsin's food safety program revenue account. Fees have not been increased since 1998. The proposed fee increase will have an impact on the affected businesses, but not a dramatic impact. DATCP has worked to maintain a fair and equitable license fee schedule.

Fees are based on actual food safety costs related to each license sector. Fees are also based on business size, food product type, and type of food handling operations. Smaller businesses generally pay lower fees than large businesses, and lower-risk businesses generally pay lower fees than higher-risk businesses.

This rule increases food safety license fees, but does not change other license requirements. This rule requires no additional recordkeeping, and no added professional services to comply. A complete small business analysis (“initial regulatory flexibility analysis") is attached.

Under 2003 Wis. Act 145, DATCP and other agencies must adopt rules spelling out their rule enforcement policy for small businesses. DATCP has not incorporated a small business enforcement policy in this rule, but will propose a separate rule on that subject. Food and dairy businesses must pay required license fees in order to obtain a license from DATCP.

Federal Regulation

There are no existing or proposed federal regulations related to license fees for food and dairy businesses operating in Wisconsin.

Surrounding State Programs

All of the surrounding states charge license fees to food and dairy businesses. License structure and fees vary between states. Differences in license fees may partly reflect differences in general tax dollar support for food and dairy programs in different states.

Minnesota

Minnesota has a license and fee structure that is similar, but not identical to, Wisconsin's structure:

Dairy Fees – Minnesota
Grade A pasteurizing plant	$500
Grade A farm	$50
Grade A farm reinspection fee	$45
Manufacturing plant	$140 per pasteurizer unit
Manufactured farm	$25
Manufactured farm reinspection fee	$45
Processor assessment	$.07 per cwt for fluid milk products sold for retail sale in Minnesota
Farm bulk milk pick-up tanker	$25
Milk procurement fee	$.0071 per cwt of raw milk purchased

Food Fees – Minnesota
Retail food handler	$50-$2,001 based on sales volume
Wholesale food handler	$57-$1,502 based on sales volume
Food broker	$150
Wholesale food processor or manufacturer	$169-$2,571 based on sales volume

Michigan

Michigan has a license and fee structure that is similar, but not identical to, Wisconsin's structure“

Dairy fees – Michigan
Milk plant	$175
Farms sending milk to plant	$5-$10
Receiving or transfer station	$50
Milk tank truck cleaning facility	$50
Milk transportation company	$20
Milk tank truck	$10
Grade A milk distributor	$50
Single service container and closure plant	$50
Bulk milk hauler/sampler	$40 for 2 years

Food Fees – Michigan
Retail food establishment	$70
Limited wholesale food processor	$70
Food warehouse	$70
Extended retail food establishment	$175
Wholesale food processor	$175
Mobile food establishment	$175
Temporary food establishment	$28
Bottled water manufacturer	$25 for each product registered and $25 for each water dispensing machine

Iowa

Iowa has a license and fee structure that is similar, but not identical to, Wisconsin's structure:

Dairy Fees – Iowa
Milk plant	$2,000 for 2 years
Transfer station	$400 for 2 years
Receiving station	$400 for 2 years
Milk hauler	$20 for 2 years
Milk grader	$20 for 2 years
Bulk milk tanker permit	$50 for 2 years
Reinspection fee	$40
Resealing pasteurizer fee	$100 per reseal
Purchaser of milk fee - Grade A	$.015 per cwt of raw milk purchased
Purchaser of milk fee - Grade B	$.005 per cwt of raw milk purchased

Food Fees – Iowa
Mobile food unit or pushcart	$20
Temporary food establishment	$25
*Food establishment	$30-$225 based on sales volume
*Food service establishment	$50-$225 based on sales volume
Food processing plant	$50-$250 based on sales volume
Egg handler	$15-$250 based on cases sold

*If one establishment must hold both a food establishment and a food service establishment license, each license fee is 75% of the established fee.

Illinois

Illinois has a license and fee structure that is substantially different from the Wisconsin structure:

Dairy Fees – Illinois
Milk plant permit	$100
Receiving or transfer station	$50
Cleaning and sanitizing facility	$50
Milk hauler-sampler	$25
Milk tank truck	$25
Certified pasteurizer sealer	$100

Illinois does not license or charge a fee to most food establishments. The following are fees charged to Illinois food establishments:

Food Fees
Salvage Operator	$100 plus inspection fee based on size
Bottled water manufacturer or distributor	$150
Egg handlers, distributors and breakers	$15-$200 plus inspection fee per case of eggs sold

Notice of Hearing

Commerce
(Fee Schedule)

[CR 05-038]

NOTICE IS HEREBY GIVEN that pursuant to ss. 101.02 (15) (h) to (j), and 101.19, Stats., the Department of Commerce will hold a public hearing on proposed rules under chapter Comm 2, relating to miscellaneous fee schedule changes.

The public hearing will be held as follows:

Date and Time:

Wednesday, June 15, 2005 at 2:00 p.m.

Location:

Room 3B, Thompson Commerce Center

201 West Washington Avenue

Madison

Interested persons are invited to appear at the hearing and present comments on the proposed rules. Persons making oral presentations are requested to submit their comments in writing. Persons submitting comments will not receive individual responses. The hearing record on this proposed rulemaking will remain open until June 30, 2005, to permit submittal of written comments from persons who are unable to attend the hearing or who wish to supplement testimony offered at the hearing. Written comments should be submitted to Ronald Acker, Department of Commerce, P.O. Box 2689, Madison, WI 53701-2689, or Email at [e-mail].

This hearing is held in an accessible facility. If you have special needs or circumstances that may make communication or accessibility difficult at the hearing, please call [phone] or [phone] (TTY) 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 upon request by a person with a disability.

Analysis

1. Statutes Interpreted.

Sections 101.02 (15) (h) to (j), and 101.19, Stats.

2. Statutory Authority.

Sections 101.02 (15) (h) to (j), and 101.19, Stats.

3. Related Statute or Rule.

None.

4. Explanation of Agency Authority.

Section 101.02 (15) (h) to (j), Stats., grants the Department general authority for protecting the health, safety and welfare of the public by establishing reasonable and effective safety standards for the construction, repair and maintenance of public buildings and places of employment. Section 101.19, Stats., grants the Department authority to promulgate rules to fix and collect fees.

5. Summary of Proposed Rules.

The Division of Safety and Buildings within the Department of Commerce is responsible for administering and enforcing safety and health rules relating to the construction and inspection of dwellings, public buildings and places of employment. The Division of Environmental and Regulatory Services within the Department is responsible for administering and enforcing safety and health rules relating to underground and aboveground flammable and combustible liquid storage tank systems. In the administration and enforcement of those rules, the Department provides numerous services such as plan examination, inspection and certification. The Department, by rule promulgated under chapter 227 of the Wisconsin Statutes, is required to fix and collect fees which must, as closely as possible, equal the cost of providing those services.

Most of the fees charged by the Division of Safety and Buildings and the Division of Environmental and Regulatory Services are contained in chapter Comm 2. The proposed rules consist of miscellaneous changes in chapter Comm 2 in order to address inconsistencies, omissions, format and administration problems that have been discovered since the complete update of chapter Comm 2 in 2000. The proposed rules do not involve a general fee increase.

6. Summary of, and Comparison with, Existing or Proposed Federal Regulations.

There are no existing or proposed federal regulations that address the activities to be regulated by the proposed rules.

7. Comparison with Rules in Adjacent States.

The proposed rules consist of administrative changes specific to the Department's schedule of fees charged for the services provided by the Safety and Buildings Division and the Environmental and Regulatory Services Division. There are no similar rules in the states of Illinois, Iowa, Michigan and Minnesota.

8. Summary of factual Data and Analytical Methodologies.

There were no factual data or analytical methodologies used to develop the proposed rules.

9. Analysis and Supporting Documents used to Determine Effect on Small Business or in Preparation of Economic Impact Report.

The proposed rules should have a minimal effect on small business. There were no supporting documents used to determine the effect on small business, and an economic impact report was not prepared.

The proposed rules and an analysis of the proposed rules are available on the Internet at the Safety and Buildings Division web site at:
www.commerce.state.wi.us/SB/SB-HomePage.html. Paper copies may be obtained without cost from Roberta Ward, Department of Commerce, Program Development Bureau, P.O. Box 2689, Madison, WI 53701-2689, Email [e-mail], telephone [phone] or [phone] (TTY). Copies will also be available at the public hearing.

Environmental Analysis

Notice is hereby given that the Department has considered the environmental impact of the proposed rules. In accordance with chapter Comm 1, the proposed rules are a Type III action. A Type III action normally does not have the potential to cause significant environmental effects and normally does not involve unresolved conflicts in the use of available resources. The Department has reviewed these rules and finds no reason to believe that any unusual conditions exist. At this time, the Department has issued this notice to serve as a finding of no significant impact.

Initial Regulatory Flexibility Analysis

1. Types of small businesses that will be affected by the rules.

The rules will affect any businesses that pay fees to the Safety and Buildings Division or the Environmental and Regulatory Services Division for the Divisions' costs of providing certain plan examination and inspection services. Because the proposed rules basically consist of clarifications to address inconsistencies, omissions, format and administration problems, the rules will have a minimal affect on small businesses.

2. Reporting, bookkeeping and other procedures required for compliance with the rules.

There are no reporting, bookkeeping or other procedures required for compliance with the rules.

3. Types of professional skills necessary for compliance with the rules.

There are no types of professional skills necessary for compliance with the rules.

4. Rules have a significant economic impact on small businesses.

No. Rules not submitted to Small Business Regulatory Review Board.

Fiscal Estimate

The proposed rules consist of miscellaneous changes in ch. Comm 2 to address inconsistencies, omissions, format and administration problems, resulting in no significant changes in the Department's costs or revenues. The proposed rules will also not have any fiscal effect on local governments or the private sector.

The major format change in the proposed rules consists of modifying the fees related to reviewing storage tank plans and inspecting storage tank installations for Aboveground Storage Tanks (AST) and Underground Storage Tanks (UST). These fees are based on the costs related to staff time for reviewing owner's proposed petroleum storage tank plans and time worked inspecting tank installations.

The Department proposes to change the fee structure to make the total fee easier to calculate. The Department deposits all fees collected into the Petroleum Inspection Fund, which is the funding mechanism behind the positions associated with these activities. Below is a sampling of typical tank systems that are reviewed and the fees assessed by the Department.

Tank Plan Current Proposed Difference

Commercial business with

1,100 gallon capacity UST $163 $160 -$3

Service station with 12,000

gallon capacity UST   $366 $375 $9

Based on departmental analysis, the Department estimates that revenues collected under the proposed plan will closely mirror those currently collected. However, by moving to a new fee methodology based on tank size, year-end revenues are difficult to estimate as they will depend on the changing market demand for these storage systems. Similarly, while the Department predicts decreased costs, they will likely be negligible as they will result from lowered mailing and telephone costs associated with fewer fee issues.

The small business regulatory coordinator for the Department of Commerce is Carol Dunn, who may be contacted at telephone [phone], or Email at [e-mail].

Notice of Hearing

Natural Resources
(Environmental Protection - Water Management)

[CR 05-037]

NOTICE IS HEREBY GIVEN that pursuant to ss. 30.12 (1), (1p) and (3) (br), 30.20 (1), (1k), (1t) and (2), 30.206 and 227.11 (2), Stats., interpreting ss. 30.12 (1g) (a), (g), (h) and (km), (2m), (2r), (3) and (3m), 30.20 (1), (1g), (1k), (1m), (1t) and (2), and 30.206, Stats., the Department of Natural Resources will hold public hearings on revisions to chs. NR 329 and 345, Wis. Adm. Code, relating to miscellaneous structures and dredging in navigable waterways. The purpose of this rule is to establish five additional general permits for waterway activities, with appropriate conditions. Revisions to ch. NR 329 establish a general permit for pea gravel blankets. Revisions to ch. NR 345 establish general permits for non-exempt manual dredging, maintenance dredging, jetting to remove aquatic plants, and dredging less than 25 cubic yards from a river or stream. All activities authorized by general permits must follow technical standards similar to those previously used for short form permits, in Department guidance, or as developed with key stakeholders.

NOTICE IS HEREBY FURTHER GIVEN that pursuant to s. 227.114, Stats., it is not anticipated that the proposed rule will have an economic impact on small businesses. The Department's Small Business Regulatory Coordinator may be contacted at:
[e-mail] or by calling [phone].

NOTICE IS HEREBY FURTHER GIVEN that the Department has made a preliminary determination that this action does not involve significant adverse environmental effects and does not need an environmental analysis under ch. NR 150, Wis. Adm. Code. However, based on the comments received, the Department may prepare an environmental analysis before proceeding with the proposal. This environmental review document would summarize the Department's consideration of the impacts of the proposal and reasonable alternatives.

NOTICE IS HEREBY FURTHER GIVEN that the hearings will be held on:

Wednesday, June 15, 2005 at 3:00 p.m.

Video conference participation will be available at:

Room 8F, State Office Building

101 E. Wilson Street

Madison

Room 220, UW-Marathon County

518 S. 7th Avenue

Wausau

Fiscal Estimate

The purpose of these permanent rule revisions is to establish five additional general permits for waterway activities, with appropriate conditions.

NR 329

NR 329 revisions establish a general permit for the placement of pea gravel. There will be a revenue impact, consisting of a decrease in revenue of about $5,900 annually. This revenue is from permit fees. Currently, the placement of pea gravel requires a $500 permit fee, and the revenue from 13 permits a year is $6,500. With adoption of this rule, the placement will be eligible for a $50 general permit, and the revenue from 13 permits a year would be $650. There will be a reduction in work related to review of permits, reflecting that general permits will require less staff review. The staff savings is estimated at 137 hours annually, or 0.07 FTE, which would equate to a cost reduction of $4,400 in salary and fringe benefits.

NR 345

NR 345 revisions establish four general permits for various dredging activities. There will be a revenue impact, consisting of a decrease in permit revenue of about $25,200 annually. Currently, an estimated 314 dredging activities require a $500 permit fee, yielding revenue of $157,000 annually. Another 62 dredging projects require a $50 general permit, and 25 projects are exempt from a permit and pay no fee. With adoption of this rule, an estimated 251 dredging activities will be subject to a $500 individual permit, 125 will be eligible for a $50 general permit, and 25 will be exempt from any permit, for a total annual revenue from dredging of $131,800. There will be a reduction in work related to review of permits, reflecting that general permits will require less staff review. The staff savings is estimated at 661 hours annually, or 0.32 FTE, which would equate to a cost reduction of $21,000 in salary and fringe benefits.

NOTICE IS HEREBY FURTHER GIVEN that pursuant to the Americans with Disabilities Act, reasonable accommodations, including the provision of information material in an alternative format, will be provided for qualified individuals with disabilities upon request. Please call Roberta Lund at [phone] with specific information on your request at least 10 days before the date of the scheduled hearing.

The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site: adminrules.wisconsin.gov. Written comments on the proposed rule may be submitted via U.S. mail to Mr. Dale Simon, Bureau of Fisheries Management and Habitat Protection, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until June 22, 2005. Written comments whether submitted electronically or by U.S. mail will have the same weight and effect as oral statements presented at the public hearings. A personal copy of the proposed rule and fiscal estimate may be obtained from Ms. Roberta Lund, Bureau of Fisheries Management and Habitat Protection, P.O. Box 7921, Madison, WI 53707.

Notice of Hearing

Natural Resources
(Environmental Protection - Air Pollution Control)

[CR 05-039]

NOTICE IS HEREBY GIVEN that pursuant to ss. 227.11 (2) (a) and 285.11 (1), Stats., interpreting s. 285.11 (6), Stats., the Department of Natural Resources will hold a public hearing on revisions to chs. NR 460, 463 and 466, Wis. Adm. Code, relating to incorporation of federal amendments in National Emission Standards for Hazardous Air Pollutants (NESHAP) into chs. NR 460 and 463.

The proposed rule will incorporate federal changes promulgated by U.S. EPA on April 5, 2002, May 30, 2003 and April 22, 2004 to the general provisions in ch. NR 460. These changes make the general provisions more flexible, thus reducing the regulatory burden on industry while improving compliance and compatibility with other regulations governing sources of federal air toxics. The proposed amendments extend the period of time available for an owner or operator of a facility to request a one-year compliance extension for the installation of pollution controls, change some provisions relating to startup, shutdown and malfunction plans and add a new section which specifies requirements for sources which are members of the U.S. EPA Performance Track program.

The proposed rule will also incorporate federal changes to NESHAP for chromium electroplating promulgated by U.S. EPA on July 19, 2004 into ch. NR 463 and make the state rule consistent with the federal rule. The proposed amendments add an option that allows hard chrome platers to meet the requirements of NESHAP by controlling the surface tension of their plating baths, establishing an emission rate appropriate for closed tanks, broadening the definition of chromium plating and anodizing tanks to include all the ancillary equipment and relaxing the operating limit for mesh pad scrubbers and making it easier for sources using this type of control equipment to demonstrate compliance.

NOTICE IS HEREBY FURTHER GIVEN that pursuant to s. 227.114, Stats., it is not anticipated that the proposed rule will have an economic impact on small businesses. The Department's Small Business Regulatory Coordinator may be contacted at:
[e-mail] or by calling [phone].

Fiscal Impact

There is no fiscal impact on state or local governments.

NOTICE IS HEREBY FURTHER GIVEN that the Department has made a preliminary determination that this action does not involve significant adverse environmental effects and does not need an environmental analysis under ch. NR 150, Wis. Adm. Code. However, based on the comments received, the Department may prepare an environmental analysis before proceeding with the proposal. This environmental review document would summarize the Department's consideration of the impacts of the proposal and reasonable alternatives.

NOTICE IS HEREBY FURTHER GIVEN that the hearing will be held at:

Tuesday, June 21, 2005 at 11:00 a.m.

Room 413, GEF #2

101 South Webster Street

Madison

NOTICE IS HEREBY FURTHER GIVEN that pursuant to the Americans with Disabilities Act, reasonable accommodations, including the provision of information material in an alternative format, will be provided for qualified individuals with disabilities upon request. Please call Robert Park at [phone] with specific information on your request at least 10 days before the date of the scheduled hearing.

The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site: adminrules.wisconsin.gov. Written comments on the proposed rule may be submitted via U.S. mail to Mr. Eric Mosher, Bureau of Air Management, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until July 1, 2005. Written comments whether submitted electronically or by U.S. mail will have the same weight and effect as oral statements presented at the public hearings. A personal copy of the proposed rule and fiscal estimate may be obtained from Mr. Mosher.

Notice of Hearing

Natural Resources

[CR 05-040]
(Environmental Protection - Air Pollution Control)

NOTICE IS HEREBY GIVEN that pursuant to ss. 227.11 (2) (a) and 285.11 (1), Stats., interpreting s. 285.11 (6), Stats., the Department of Natural Resources will hold a public hearing on revisions to chs. NR 460, 465 and 484, Wis. Adm. Code, relating to national emission standards for hazardous air pollutants (NESHAP) for the surface coating of plastic parts and products and of miscellaneous metal parts and products.

The proposed rules will regulate the emissions of hazardous air pollutants from major sources of federal hazardous air pollutants which perform surface coating of miscellaneous metal parts and products or surface coating of plastic parts and products. Coating operations, including the use of thinners and cleaning materials are addressed by the proposed rules. Under the proposed plastic parts rule, emission limits are specified as pounds of organic hazardous air pollutants emitted per pound of coating solids used during each 12-month compliance period. Under the proposed miscellaneous metal parts rule, emission limits are specified as pounds of organic hazardous air pollutants emitted per gallon of coating solids used during each 12-month compliance period. Three compliance options are provided in each rule. These are the compliant material option, the emission rate without add-on controls option and the emission rate with add-on controls options.

Under the surface coating of plastic parts and products rule, existing affected sources have until April 19, 2007 to achieve compliance. New or reconstructed affected sources must achieve compliance by the later of April 19, 2004 or the date of initial startup. Under the surface coating of miscellaneous metal parts and products rule, existing affected sources have until January 2, 2007 to achieve compliance. New or reconstructed affected sources must achieve compliance by the later of January 2, 2004 or the date of initial startup. Sources have until their final compliance date to reduce hazardous air pollutant emissions below the major source level and thereby avoid the rule. Sources may also become a synthetic minor hazardous air pollutant source to avoid the rule by obtaining and complying with a federally enforceable permit prior to the final compliance date that restrict hazardous air pollutant emissions.

The proposed rules are identical to the federal NESHAP, except for punctuation, capitalization, numbering and nonsubstantive wording and the organizational changes made to accommodate state rule form and style requirements and, in some cases, to improve clarity.

NOTICE IS HEREBY FURTHER GIVEN that pursuant to s. 227.114, Stats., it is not anticipated that the proposed rule will have an economic impact on small businesses. The Department's Small Business Regulatory Coordinator may be contacted at:
[e-mail] or by calling [phone].

Fiscal Impact

There is no significant fiscal impact on state or local government entities.

NOTICE IS HEREBY FURTHER GIVEN that the Department has made a preliminary determination that this action does not involve significant adverse environmental effects and does not need an environmental analysis under ch. NR 150, Wis. Adm. Code. However, based on the comments received, the Department may prepare an environmental analysis before proceeding with the proposal. This environmental review document would summarize the Department's consideration of the impacts of the proposal and reasonable alternatives.

NOTICE IS HEREBY FURTHER GIVEN that the hearing will be held at:

Tuesday, June 21, 2005 at 11:00 a.m.

Room 413, GEF #2

101 South Webster Street

Madison

NOTICE IS HEREBY FURTHER GIVEN that pursuant to the Americans with Disabilities Act, reasonable accommodations, including the provision of information material in an alternative format, will be provided for qualified individuals with disabilities upon request. Please call Robert Park at [phone] with specific information on your request at least 10 days before the date of the scheduled hearing.

The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site: adminrules.wisconsin.gov. Written comments on the proposed rule may be submitted via U.S. mail to Mr. Eric Mosher, Bureau of Air Management, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until July 1, 2005. Written comments whether submitted electronically or by U.S. mail will have the same weight and effect as oral statements presented at the public hearings. A personal copy of the proposed rule and fiscal estimate may be obtained from Mr. Mosher.

Notice of Hearing

Workforce Development
(Labor Standards)

NOTICE IS HEREBY GIVEN that pursuant to Sections 104.04 and 227.11, Stats., the Department of Workforce Development will hold a public hearing to consider emergency and proposed permanent rules relating to increasing Wisconsin's minimum wages.

Hearing Information

Tuesday, June 14, 2005 @ 10:00 a.m.

Madison

G.E.F. 1 Building, Room H305

201 E. Washington Avenue

Interested persons are invited to appear at the hearings and will be afforded the opportunity to make an oral presentation of their positions. Persons making oral presentations are requested to submit their facts, views, and suggested rewording in writing.

Visitors to the GEF 1 building are requested to enter through the left East Washington Avenue door and register with the customer service desk. The entrance is wheelchair accessible via a ramp from the corner of Webster Street and East Washington Avenue. If you have special needs or circumstances regarding communication or accessibility at the hearing, please call [phone] at least 10 days prior to the hearing date. Accommodations such as ASL interpreters, English translators, or materials in audiotape format will be made available on request to the fullest extent possible.

Analysis Prepared by the Department of Workforce Development

Statutory authority: Sections 104.04 and 227.11, Stats.

Statutes interpreted: Chapter 104, Stats.

Wisconsin needs a minimum wage increase

Creating good paying jobs and a “high end" economy is a top priority for Governor Jim Doyle's administration. A key focus of the Governor's Grow Wisconsin economic development plan is investing in people and helping families climb the economic ladder. One of the most important initiatives in the Governor's plan is raising the state minimum wage. Such an increase ensures that Wisconsin's lowest wage workers will share in the benefits of economic growth as Wisconsin's economy moves forward.

This is a critical time for Wisconsin to support low-wage workers by increasing the minimum wage. It has been nearly 8 years since the federal minimum wage has been increased, and in 2005 it will fall to its lowest inflation-adjusted value of all time. The buying power of the federal minimum wage in 1970 equaled about $8.00 in 2004 dollars. Given the declining value of the minimum wage and the lack of federal action to increase it, 16 other states have already enacted minimum wages above the federal level.

When wages are so low that workers and their families can't afford their most basic needs, the costs that society, particularly taxpayers, must bear related to poverty are so insidious that anything that helps divert those expenses back to the consumers of the services provided by those low-wage workers is worthwhile. Educational failure, workforce failure, citizenship failure can very often be traced back to families forced to live in poverty. An adequate minimum wage supports workers, helps strengthen families and communities, and promotes the state's overall economic and fiscal health. Family-supporting wages reduce dependence on the state and increase tax revenue from these families, decreasing the burden on Wisconsin's taxpayers.

It is estimated that 200,000 workers will be affected by Wisconsin's minimum wage increase. Many of these workers are adults and a larger than proportionate share are minorities. Putting more money in the hand of these low-wage workers will result in $175 million in consumer expenditures in Wisconsin's economy. Low-wage workers spend nearly their entire income in the local economy on basics. This spending stimulates the local economy and benefits local businesses because spending is concentrated locally on food, clothing, shelter, and transportation. Most studies considering a potential negative effect on employment opportunities available to low-wage workers as a result of a moderate minimum wage increase show little to no effect, although both advocates and opponents are able to produce studies supporting their side of the issue.

Minimum wage increases

Chapter 104, Stats., and Chapter DWD 272 provide that Wisconsin's minimum wage should be sufficient to enable the employee receiving it to maintain himself or herself under conditions consistent with his or her reasonable comfort, physical well-being, decency, and moral well-being. Section 104.04, Stats., directs the Department of Workforce Development to determine the state's minimum wage taking into consideration the effect of the wage on the economy of the state, including employment opportunities for low-wage workers and regional economic conditions within the state.

In January 2004, Governor Doyle and the Department of Workforce Development convened a Minimum Wage Advisory Council to assist with determining whether there should be an increase in Wisconsin's minimum wage. The Council included leaders from the business community, labor organizations, community organizations, and both houses of the legislature. The Department's Office of Economic Advisors provided the Advisory Council with data from the U.S. Census; Current Population Survey; and the U.S. Department of Labor, Bureau of Labor Statistics, Occupational Employment Statistics. The council issued its recommendations in March 2004.

Taking into consideration the Council's recommendations, the Department orders and proposes the following increases:

General minimum wage rate

•$5.70/hour effective 6/1/05 (currently $5.15/hour)

•$6.50/hour effective 6/1/06

Minor minimum wage rate

• $5.30/hour effective 6/1/05 (currently same as adult rate $5.15/hour)

• $5.90/hour effective 6/1/06

Opportunity minimum wage rate

• $5.30/hour effective 6/1/05 (currently $4.25/hour)

• $5.90/hour effective 6/1/06

Agriculture minimum wage rate for workers age 18 and over

$5.15/hour effective 6/1/05 (currently $4.05/hour)

Agricultural minimum wage rate for workers age 17 and under

$4.25/hour effective 6/1/05 (currently $3.70/hour)

Camp counselor minimum wage rate for workers age 18 and over

If no room or board provided (currently $140/week)

$215/week effective 6/1/05, $270/week effective 6/1/06, and $315/week effective 6/1/07

If board provided (currently $110/week)

$164/week effective 6/1/05, $217/week effective 6/1/06, and $240/week effective 6/1/07

If room and board provided (currently $91/week)

$129/week effective 6/1/05, $171/week effective 6/1/06, and $189/week effective 6/1/07

Camp counselor minimum wage rate for workers age 17 and under

If no room or board provided (currently $123/week)

$175/week effective 6/1/05, $225/week effective 6/1/06, and $275 effective 6/1/07

If board provided (currently $92/week)

$133/week effective 6/1/05, $171/week effective 6/1/06, and $209 effective 6/1/07

If room and board provided (currently $74/week)

$105/week effective 6/1/05, $135/week effective 6/1/06, and $165 effective 6/1/07

Golf caddy minimum wage rate

$10.50 for 18 holes effective 6/1/05 (currently $5.95)

$5.90 for 9 holes effective 6/1/05 (currently $3.35)

Effect of minimum wage increases on Wisconsin's economy

The Department of Workforce Development estimates that 200,000 workers will be affected by the minimum wage increases.

First increase – June 1, 2005. The first increase in the minimum wage from $5.15 to $5.70 per hour is estimated to directly affect the wages of 50,000 hourly paid workers currently earning at or below $5.15 per hour, plus an additional 75,000 hourly paid workers currently earning between $5.16 and $5.69 per hour. Thus, the total number of workers directly affected by this first wage increase is estimated to be 125,000 hourly paid workers.

This first increase to $5.70 per hour will also result in wage compression among those who had previously earned slightly higher hourly wages than the new minimum wage. It is estimated that approximately 50,000 workers who earn between $5.70 and $6.50 per hour could be indirectly affected and receive wage increases as a result of this first minimum wage increase.

Second increase – June 1, 2006. The second increase in the minimum wage from $5.70 to $6.50 will directly affect the hourly wages of an estimated 150,000 workers who would at that time be earning at or below $6.50 per hour. The Department estimates that another 50,000 workers earning at or higher than $6.50 to a cap of about $7.00 per hour will also see their hourly wages indirectly rise due to resultant wage compression.

Industries and occupations. The majority of workers affected by the wage increase are in food preparation and serving related occupations and in personal care and services occupations. The vast majority of these workers are employed in the broad leisure and hospitality sector, which includes the food and accommodation industry. Retail trade employment also shows moderately higher than average number of minimum wage workers.

Workers affected by the wage increases include food service workers, retail clerks, cleaning and housekeeping laborers, personal care attendants, child care workers, telemarketers, laundry and dry cleaning workers, veterinary assistants, home health care aides, office workers, gaming change and booth cashiers, building and grounds maintenance laborers, and many other occupations in virtually all industries in the state.

Demographics of affected workers. It is estimated that nearly 80% of these low-wage workers are over 18 years of age, 65% are female, and over one-third are heads of their household. These workers are African-American, Hispanic, and Asian in numbers larger than their proportion in the population. Over two-thirds of these low-wage workers work more than half-time:

30% work 1-19 hours per week

35% work 20-34 hours per week

35% work 35+ hours per week

Effect on business. The effect of the wage increase on business will be $175 million in increased payroll costs. Low-wage workers will circulate this money back into the economy immediately, representing a 0.1 percent increase in the gross state product. The increased spending by affected workers may be a revenue growth for some businesses. The effects may be slightly greater in northern, rural regions of the state where minimum wage jobs make up a greater percentage of the workforce. Higher wages also have a positive impact on both workers and their employers by reducing turnover, increasing work experience, and saving on training and recruitment costs for both workers and employers. Any increase in the cost of doing business will likely be passed on to consumers as part of the price of the product or service being purchased.

Effect on small businesses. The proposed rule will have an effect on small businesses, which s. 227.114 (1), Stats., defines as 25 or fewer employees or less than $5 million in gross annual sales. The primary businesses affected by the proposed rule will be those related to food preparation and serving, personal care and services, and retail trade. The Department has considered the methods listed in s. 227.114 (2), Stats., for reducing the impact of the rule on small businesses. There are no reporting, bookkeeping, or professional skills required for compliance with the proposed rule. The rule requires businesses to pay affected employees at least the specified minimum wage.

The exemption of small businesses from the requirements of the rule would be contrary to the statutory objectives which are the basis for the proposed rule. Pursuant to Chapter 104, Stats., the primary purpose of the minimum wage is to require that every wage paid by any employer to any employee is sufficient to enable the employee receiving it to maintain himself or herself under conditions of reasonable comfort, reasonable physical well-being, decency, and moral well-being. The Department estimates that a very high percentage of workers affected by this minimum wage increase work for employers with 25 or fewer employees or less than $5 million in gross annual sales. If the rule exempted these employers from minimum wage coverage, it would render the minimum wage nearly meaningless.

Fiscal effect on state and local government

It is estimated that 35% of the additional $175 million in consumer expenditures will be on items subject to the sales tax. This translates to increased revenue of approximately $3 million for the state and some increased revenue for counties with a local sales tax.

There may be increased state revenue from the income tax on higher incomes for workers. The Department of Revenue estimates that the additional individual income tax revenue on the additional wages paid due to the minimum wage increase will be $4.725 million. This amount will be offset by the decline of business tax revenue estimated at $5.495 million. The net effect on income tax revenue is estimated to be a decline of $770,000.

It is estimated that 100-200 local governmental employees across the state who work as seasonal summer helpers may be affected by the increase. The increased cost is estimated at approximately $20,000 across all local governments in the state. The minimum wage increase is not expected to affect state employees.

Federal law and adjacent states

Section 227.14 (2)3. and 4., Stats., requires the Department to compare the proposed rule to any existing or proposed federal regulation and rules in adjacent states.

General rate:

Federal     $5.15

Iowa     $5.15

Michigan     $5.15

Minnesota     $5.15 for employers with annual gross sales of at least $500,000; effective 8/1/05, increasing to $6.15 for employers with annual gross sales of at least $625,000

$4.90 for employers with annual gross sales of less than $500,000; effective 8/1/05, increasing to $5.25 for employers with annual gross sales of less than $625,000

Illinois   $6.50

Minor rate:

Federal   None

Iowa   None

Michigan   None

Minnesota   None

Illinois   $6.00

Opportunity rate:

Federal   $4.25 for employees under 20 years old for first 90 days of employment

Iowa   $4.25 for all employees for first 90 days of employment

Michigan   $4.25 for 16- to 19-year-olds for first 90 days of employment

Minnesota   $4.25 for employees under 20 years old for first 90 days of employment; increasing to $4.90 effective 8/1/05

Illinois   No opportunity wage of general application. Employers may apply for a license from the Illinois Department of Labor to pay adult learners 70% of minimum wage rate for initial six months of employment.

Agricultural rate:

Federal   None

Iowa   None

Michigan   None

Minnesota   None

Illinois   None

Camp counselor rate:

Federal   None

Iowa   None

Michigan   None

Minnesota   None

Illinois   $260 per week

Golf caddy rate:

Federal   None

Iowa:   None

Michigan:   None

Minnesota   None

Illinois:   Exempt from minimum wage

Technical correction

The proposed rule also repeals and recreates the policy that travel time for the benefit of the employer is work time. It is rewritten for clarity and with no change in substance.

Small Business Regulatory Coordinator

The Department's Small Business Regulatory Coordinator is Jennifer Jirschele. She may be reached at [phone] or [e-mail].

Contact Information and Written Comments

A copy of the emergency rule is available at the website http://www.dwd.state.wi.us/er/. Due to statutory restrictions on the rule promulgation process, the proposed permanent rule may not be drafted until after June 10. A paper copy of the emergency rule is available and the proposed permanent will be available by contacting:

Elaine Pridgen

Office of Legal Counsel

Dept. of Workforce Development

201 E. Washington Avenue

P.O. Box 7946

Madison, WI 53707-7946

[phone]

[e-mail]

Written Comments

Written comments on the proposed and emergency rules received at the above address or email no later than June 13, 2005, will be given the same consideration as testimony presented at the hearing.