Rule-making notices
Notice of Hearing
Commerce
NOTICE IS HEREBY GIVEN that pursuant to ss. Sections
101.12 and
145.02 (g) and
145.26, Stats., the Department of Commerce will hold a public hearing on proposed rules under chapters Comm 2 and others relating to plan review processing times.
The public hearing will be held as follows:
Date and Time: Tuesday, December 19, 2006 at 1:00 p.m.
Location: Room 3C, 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 December 29, 2006, 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 Jim Quast, at the Department of Commerce, P.O. Box 2689, Madison, WI 53701-2689, or Email at
jim.quast@wisconsin.gov.
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 (608) 266-8741 or (608) 264-8777 (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 a request from a person with a disability.
Analysis
3. Related Statute or Rule. Section
227.116, Stats.
4. Explanation of Agency Authority. Chapters
101 and
145, Stats., grant 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 dwellings, public buildings and places of employment and for the protection of the waters of the state.
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 proposed rules consist of miscellaneous changes in chapter Comm 2 and various other chapters in order to address inconsistencies related to the administrative processing of plan submittals to the Safety and Buildings Division.
The proposed rules also correct a typographical error in recently enacted rules pertaining to continuing education obligations for the renewal registrations as automatic fire sprinkler contractor-maintenance. The proposed rules will require 12 hours of continuing education instead of 24 hours.
6. Summary of, and Comparison with, Existing or Proposed Federal Regulations. The activities to be regulated by the rule are specific to the Department's administrative procedures relating to plan review processing times. There are no existing or proposed federal regulations that address the activities to be regulated by the rule.
7. Comparison with Rules in Adjacent States. The proposed rules consist of administrative changes specific to the Department's procedures relating to plan review processing times. An internet review of Illinois, Iowa, Michigan and Minnesota building and construction rules did not reveal processing times for similar plan review activities.
8. Summary of factual Data and Analytical Methodologies.
A periodic Legislative Audit of the Department's administration of the Multifamily Code program included a review of the Safety and Buildings Division's handling of plan reviews relative to codified processing times. An evaluation by the Division has concluded that the code provisions do not reflect how processing times are determined in light of current management practices and technological improvements that have occurred over the past several years to facilitate the submittal process.
9. Analysis and Supporting Documents used to Determine Effect on Small Business or in Preparation of Economic Impact Report.
The proposed rules will not have an impact on small business in that the revisions clarify Department plan review processes. An economic impact report was not required pursuant to s.
227.137, Stats.
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.wi.gov/SB/. Paper copies may be obtained without cost from Roberta Ward, at the Department of Commerce, Program Development Bureau, P.O. Box 2689, Madison, WI 53701-2689, or Email at
roberta.ward@wisconsin.gov, or at telephone (608) 266-8741 or (608) 264-8777 (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 proposed rule revisions will affect individuals and businesses that submitted plans for review to the Department Commerce, Safety and Buildings Division. Plans required to be submitted to Division for construction or installation include, commercial buildings, plumbing, elevators, boilers, fire protection systems, amusement rides, swimming pools, ski lifts and tows, private onsite wastewater treatment systems and manufactured home communities. This would involve a variety of businesses, those engaged in engineering, architecture, and construction that typically submit plans on behalf of owners of any of the aforementioned structures or components thereof.
2. Reporting, bookkeeping and other procedures required for compliance with the rules.
The proposed rule revisions do not necessitate any new or additional recording, bookkeeping or other procedures for compliance.
3. Types of professional skills necessary for compliance with the rules.
The proposed rule revisions do not necessitate any new or additional professional skills for compliance.
4. Rules have a significant economic impact on small businesses.
No. Rules not submitted to Small Business Regulatory Review Board
Fiscal Estimate
No fiscal impact anticipated.
The small business regulatory coordinator for the Department of Commerce is Carol Dunn, who may be contacted at telephone (608) 267-0297, or Email at
carol.dunn@wisconsin.gov.
Notice of Hearing
Commerce
NOTICE IS HEREBY GIVEN that pursuant to chapter 101, Stats., the Department of Commerce will hold a public hearing on proposed rules under chapters Comm 14 and Comm 60 to 66 relating to the Fire Prevention Code and the Commercial Building Code.
The public hearing will be held as follows:
Date and Time:
Thursday, December 21, 2006 at 9:30 a.m.
Location: First Floor Conference Room
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 January 5, 2007, 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 James Quast, at the Department of Commerce, P.O. Box 2689, Madison, WI 53701-2689, or Email at
jquast@commerce.state.wi.us.
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 (608) 266-8741 or (608) 264-8777 (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 a request from a person with a disability.
Analysis
1. Statutes Interpreted
2. Statutory Authority
3. Related Statute or Rule
4. Explanation of Agency Authority
Under the statutes cited, the Department of Commerce protects public health, safety, and welfare by promulgating comprehensive requirements for design, construction, use and maintenance of public buildings and places of employment, and for fire departments. The Department also updates these requirements as necessary to be consistent with nationally recognized standards that are incorporated by reference into the Wisconsin Commercial Building Code (WCBC) and the Wisconsin Fire Prevention Code, specifically, the building code requirements developed by the International Code Council® (ICC) and the fire prevention requirements developed by the National Fire Protection Association (NFPA).
5. Summary of Proposed Rules
5A. Summary of Chapters
Comm 7,
9 and
14 Relating to Fire Prevention and Comm 60 to 66 Relating to the Commercial Building Code
Currently, the Department adopts by reference the 2000 editions of the ICC suite of building codes - the International Building Code® (IBC), the International Energy Conservation Code®, (IECC), the International Mechanical Code® (IMC) and the International Fuel Gas Code® (IFGC) - and makes Wisconsin modifications to these codes within the WCBC. The Department also adopts by reference the 2000 edition of the NFPA fire prevention code, NFPA 1. The department proposes to adopt the 2006 editions of these ICC and NFPA codes.
Many of the current Wisconsin modifications under the WCBC are proposed to be repealed as a result of changes occurring in the 2006 editions of ICC codes. The proposed update of the WCBC would apply to design and construction of new buildings and modifications to existing buildings.
The following summaries identify the substantive changes based on the topic area reviewed by the Department's various advisory councils.
5B. General Requirements Under the IBC
The IBC general requirements that require elevators to accommodate an ambulance-type stretcher in buildings 4 or more stories in height have been revised to increase the minimal length from 76 inches to 84 inches. This dimensional increase will require the use of a 4,000 pound elevator to satisfy the requirement. Currently, a 2500 pound elevator is acceptable to accommodate the 76-inch ambulance-type stretcher. The current Wisconsin modification to require ambulance-type stretchers in all health care facilities and outpatient clinics regardless of the height of the building will be eliminated, and the IBC requirement to provide the larger elevators only in those buildings 4 stories or more in height will be maintained without modification.
5C. Fire Protection Systems
The prominent change with incorporating the latest edition of the IBC relating to fire protection systems is the requirement for automatic fire sprinkler system protection throughout all buildings with a Group R (Residential Occupancies) fire area, regardless of the number of dwelling units or the size of the building. Similar to the IBC, a proposed Wisconsin provision would not require providing sprinklers throughout all townhouses of 3 stories or less. For these types of townhouses, the Wisconsin proposed modifications reflect the statutory options and thresholds under s.
101.14 (4m), Stats., requiring either two-hour fire resistance construction or sprinkler protection when the building contains more than 20 dwelling units or the accumulative floor areas of the dwelling units exceed 16,000 square feet.
Rules are proposed to clarify the necessity of providing automatic fire sprinkler protection for buildings greater than 60 feet in height as required by the statutes. A proposed Wisconsin modification will address the protection of exterior balconies and ground-floor patios serving dwelling units in buildings of Type V construction and protected by a 13R sprinkler system
5D. Fire Safety
Some of the current Wisconsin modifications to the IBC relating to fire safety, under sections
Comm 62.0706 to
62.0715, are being eliminated because they are covered under the latest edition of the IBC. No new Wisconsin modifications are being added in this topic area.
5E. Means of Egress and Accessibility
The major change starting with the 2003 edition of the IBC relating to means of egress (IBC chapter 10) was the reorganization and renumbering of the requirements to be more user-friendly.
Many of the current Wisconsin modifications to the IBC relating to means of egress are being eliminated because they are covered under the more recent editions of the IBC. Since most of the section numbers changed with the renumbering of the IBC, the current Wisconsin modifications that will be maintained have been repealed and recreated using the new IBC numbering system. No new Wisconsin modifications are being added. [See sections
Comm 62.1004 to
Comm 62.1018.]
The major change starting with the 2003 edition of the IBC relating to accessibility was the inclusion of fair housing design requirements, for consistency with the federal fair housing law. The Wisconsin modifications to the accessibility requirements are repealed and recreated, since the reprinting of the entire chapter to include the federal fair housing requirements is no longer necessary. Many of the retained Wisconsin modifications are those based on Wisconsin fair housing laws and other requirements relating to clear floor space and maneuverability within bathrooms in dwelling units and sleeping units. No new Wisconsin modifications are being added. [See Comm 62.1101 to Comm 62.1110.]
5F. Structural
Some of the current Wisconsin modifications to the IBC relating to structural requirements are being eliminated because they are addressed under the more recent editions of the IBC; or they are no longer needed, for other reasons. One current modification that is to be eliminated will result in the adoption of requirements in IBC sections 1711 to 1714 for structural tests. These tests do not duplicate the supervising-professional process under s.
Comm 61.40, and provide information and assurance when utilizing unusual construction practices or components.
5G. Energy
Many of the current Wisconsin modifications to the IECC are being eliminated, because the 2006 edition of the IECC and the 2004 edition of the ASHRAE 90.1 standard reflect these requirements. The 2006 edition of the IECC has been significantly revised in comparison to the 2000 edition. Proposed by the U.S. Department of Energy, the energy conservation requirements for residential buildings have been simplified in order to achieve greater compliance and enforcement. The IECC energy conservation requirements regarding commercial buildings reflect the 2004 edition of the ASHRAE 90.1 Standard, Energy Standard for Buildings Except Low-Rise Residential Buildings. In light of these IECC revisions, the Department is proposing to eliminate many of the Wisconsin modifications currently under chapter Comm 63, subchapter III. The 2006 IECC provisions and proposed Wisconsin modifications include:
Prescriptive envelope requirements for low-rise residential buildings with no limit on the amount of glazed openings.
A new residential energy performance section.
For commercial buildings, the required use of energy recovery ventilation systems in certain situations where individual fan systems have a design supply air capacity of 5,000 cfm or greater.
For commercial buildings, the triggers for using economizers is equal to or greater than 33,000 Btu/h for simple cooling systems and equal to or greater than 54,000 Btu/h for complex cooling systems.
5H. HVAC
The 2006 editions of the IMC and the IFGC are proposed to serve as the basis for the Commercial Building Code's requirements under chapters Comm 64 and 65 concerning heating, ventilation and air conditioning. A number of current Wisconsin modifications under these chapters are being eliminated in light of the 2003 and 2006 revisions for the IMC and IFGC. The proposed rules do not significantly alter the current Wisconsin modifications regarding ventilation. However, the proposed rules do provide some flexibility in allowing the use of engineered natural ventilation as an option. Other IMC revisions, IFGC revisions and proposed Wisconsin modifications include:
Expanding the time period defining seasonal buildings from May 1 through October 15 with respect to not having to provide heat.
Referencing the 2001 edition of the American Institute of Architects Guidelines for Design and Construction of Hospital and Health Care Facilities regarding heating and ventilation requirements.
Providing the option to determine the minimum kitchen hood exhaust quantities through engineering analysis.
Incorporating chapter 12 of the IMC regarding hydronic piping.
Establishing provisions for gaseous hydrogen systems.
5I. Alteration and Change of Occupancy
The Department is proposing to incorporate the 2006 edition of the International Existing Buildings Code
® (IEBC) as part of the WCBC. The IEBC provides clarity in identifying which code provisions apply for repairs, alterations, additions and changes in occupancies to existing buildings or portions thereof. The IEBC and the associated Wisconsin modifications will be incorporated as chapter Comm 66 under the Commercial Building Code. The IEBC also includes provisions concerning historic buildings. In light of this, the current administrative rules under chapter Comm 70, Historic Buildings, are proposed to be eliminated. The IEBC also provides an evaluation methodology as an option to determine compliance for repairs, alterations, additions and changes in occupancy.
5J. Fire Prevention
The major change from the 2000 edition of the NFPA fire prevention code, NFPA 1, to the 2006 edition was to enroll numerous requirements from other NFPA codes and standards that previously were included only through cross-references to those codes and standards. In addition, many of the current Wisconsin modifications to NFPA 1 are being eliminated because they are covered under the 2006 edition, or they are no longer needed, for other reasons. For example, much of the administration portion of NFPA 1 that was previously deleted by Comm 14 is now retained, and merged with Wisconsin-specific administrative elements which devolve from statutory directives to the Department and local fire chiefs.
6. Summary of, and Comparison with, Existing or Proposed Federal Regulations
General Building Code
Code of Federal Regulations
An Internet-based search for “federal commercial building code" and “building code regulations" in the Code of Federal Regulations (CFR) did not identify any federal regulations pertaining to these topics.
Federal Register
An Internet-based search for “federal commercial building code" and “building code regulations" in the 2003, 2004 and 2005 issues of the Federal Register did not identify any proposed federal regulations pertaining to these topics.
Energy Conservation Requirements
Code of Federal Regulations
The portion of the CFR relating to energy conservation for commercial buildings and facilities is found under
10 CFR 420–State Energy Program. The stated purpose of this regulation is to promote the conservation of energy, to reduce the rate of growth of energy demand, and to reduce dependence on imported oil–through the development and implementation of comprehensive state energy programs. This regulation initially required that each state's energy conservation rules for new buildings be no less stringent than the provisions of the 1989 edition of ASHRAE Standard 90.1,
Energy Standard for Buildings Except Low-Rise Residential Buildings.
Federal Register
As indicated in the July 15, 2002, Federal Register, the Secretary of the Interior amended the federal energy conservation regulations in 2002 by mandating compliance with the 1999 edition of the ASHRAE 90.1 Standard. The 2006 edition of the IECC energy conservation requirements regarding commercial buildings reflect the 2004 edition of the ASHRAE 90.1 Standard which the proposed rules would adopt by reference.
Accessibility Requirements
Code of Federal Regulations
The portions of the CFR relating to accessibility in commercial buildings and facilities include the following:
1.
28 CFR 35–Nondiscrimination on the Basis of Disability in State and Local Government Services
2.
28 CFR 36–Nondiscrimination on the Basis of Disability by Public Accommodations and in Commercial Facilities
3.
24 CFR 1–Final Fair Housing Accessibility Guidelines
The purpose of
28 CFR 35 and
28 CFR 36 is to require public buildings and commercial facilities, including government-owned and -operated buildings and facilities, to be designed, constructed, and altered in compliance with the accessibility construction regulations specified under the federal Americans with Disabilities Act Accessibility Guidelines (ADAAG). The purpose of
24 CFR 1 is to provide technical guidance on the design and construction of dwelling units as required by the federal Fair Housing Amendments Act of 1988. In Wisconsin, the accessibility requirements for the design and construction of public buildings and places of employment, including government-owned and -operated facilities and dwelling units, are currently found under chapter Comm 62 and the 2000 edition of the IBC as adopted by reference under section
Comm 61.05. The intent of the IBC and the amendments included under chapter Comm 62 is to ensure the Wisconsin construction requirements related to accessibility are substantially equivalent to these applicable federal laws and regulations.
Federal Register
Proposed federal regulations and amendments to established federal regulations for accessibility are found in the following Federal Registers:
4.
Federal
Register July 23, 2004, Americans with Disabilities Act and Architectural Barriers Act Accessibility Guidelines
The ICC is actively monitoring the proposed changes to the federal standards affecting accessibility and will include these changes in future editions of the IBC and the corresponding ICC/ANSI A117.1–Accessible and Usable Buildings and Facilities Standard.
Safety Standards for Glazing Materials
Code of Federal Regulations
The portion of the CFR relating to safety glazing material in commercial buildings and facilities is found under
16 CFR 1201–Safety Standard for Architectural Glazing Materials. This standard prescribes the safety requirements for glazing materials used in architectural products, such as doors, sliding glass doors, bathtub doors and enclosures, and shower doors and enclosures. Currently, IBC section 2406 requires glazing material located in human impact locations to comply with
16 CFR 1201.
Federal Register
An Internet-based search of
16 CFR 1201 in the 2003, 2004 and the 2005 issues of the Federal Register did not identify any proposed changes to this standard.
Fire Prevention Code
Code of Federal Regulations
An Internet-based search for “fire prevention" in the CFR identified the following federal regulations that potentially address fire prevention at places of employment in Wisconsin:
1.
29 CFR 1910–Occupational Safety and Health Standards
2.
29 CFR 1926–Safety and Health Regulations for Construction
3.
30 CFR 56–Safety and Health Standards–Surface Metal and Nonmetal Mines
4.
30 CFR 57–Safety and Health Standards–Underground Metal and Nonmetal Mines
5.
33 CFR 127–Waterfront Facilities Handling Liquefied Natural Gas and Liquefied Hazardous Gas
6.
46 CFR 28–Requirements for Commercial Fishing Industry Vessels
7.
46 CFR 34–Firefighting Equipment (on tank ships)
No changes to Comm 14 are intended to supersede these federal requirements, so no comparison is made here to those requirements.
Federal Register
An Internet-based search for “fire prevention" in the 2005 and 2006 issues of the Federal Register identified the following proposed federal rulemaking and related actions that may address fire prevention at public buildings or places of employment in Wisconsin:
2.
Federal
Register November 16, 2005, 49 CFR 173 and
177–pertaining to construction, maintenance, availability and use of safe havens for storage of explosives and other high-hazard materials during transportation
3.
Federal
Register January 19, 2006, Federal Emergency Management Administration solicitation of comments on proposed revisions to the National Fire Incident Reporting System
Explosives and Fireworks
Code of Federal Regulations
An Internet-based search of the CFR found the following federal regulations relating to the activities to be regulated by the proposed rules:
1.
27 CFR 555 – Commerce in Explosives. This regulation contains extensive procedural and substantive requirements relating to (1) interstate or foreign commerce in
explosive materials; (2) licensing of manufacturers and importers of, and dealers in, explosive
materials; (3) issuance of permits; (4) conduct of business by licensees and operations by permittees; (5) storage of explosive
materials; (6) records and reports required of licensees and permittees; (7) relief from disabilities under this part; (8) exemptions, unlawful acts, penalties, seizures, and forfeitures; and (9) marking of plastic explosives. These regulations relating to the storage of explosive materials, such as separation distances and magazine construction, are the same as in chapter Comm 7. These regulations cover fireworks to the extent that display and special fireworks are classified as explosive materials.
2.
30 CFR 56 – Safety and Health Standards – Surface Metal and Nonmetal Mines, This regulation contains requirements relating to the storage, site transportation, use, extraneous electricity and equipment/tools for explosive materials at surface mines.
3.
30 CFR 57 – Safety and Health Standards – Underground Metal and Nonmetal Mines, This regulation contains requirements relating to the storage, site transportation, use, extraneous electricity and equipment/tools for explosive materials at underground mines.
Federal Register
An Internet-based search of the 2004 and 2005 issues of the Federal Register found the following regulations relating to the activities to be regulated by the proposed rules:\
1.
Federal
Register, May 27, 2005. The Department of Justice, Bureau of Alcohol, Tobacco, Firearms and Explosives published a final rule to require licensed importers to identify, by marking, all
explosive materials
they import for sale or distribution.
2.
Federal
Register, December 20, 2004. The Department of Justice, Bureau of Alcohol, Tobacco, Firearms and Explosives published a notice containing the 2004 annual List of Explosive Materials.
7. Comparison with Rules in Adjacent States
An Internet-based search of adjacent states' rules found the following regulations that include similar requirements relating to public buildings and places of employment:
• The Michigan Department of Labor and Economic Growth administers the Michigan construction codes, which adopt by reference the 2003 editions of the IBC, IRC, IECC, IEBC, and IMC, with amendments. That Department also administers a Michigan fire prevention code, which adopts by reference the 1997 editions of NFPA 1 and NFPA 101®, Life Safety Code®, with amendments. Michigan is in the process of adopting the 2006 editions of the ICC codes. The specific amendments cover differences from the adopted codes and include changes based on Michigan's laws; no amendments have been made relating to automatic fire suppression for residential occupancies.
• The Minnesota Department of Labor and Industry administers the Minnesota State Building Code, which adopts the 2000 editions of the IBC, IRC, IFGC, IMC, and IECC with amendments. The Minnesota Department of Public Safety administers the Minnesota State Fire Code, which adopts the 2000 edition of the International Fire Code® (IFC) with amendments. These Minnesota departments are in the process of adopting the 2006 editions of the ICC codes. The specific amendments cover differences from the adopted codes and include changes based on Minnesota's laws.
• Illinois does not administer a statewide building code. However, the Illinois Office of the State Fire Marshall administers the Illinois Fire Prevention and Safety Rules, which apply statewide and which adopt the 2000 edition of NFPA 101 with amendments.
• The Iowa Department of Public Safety administers the Iowa State Building Code, which adopts the 2003 editions of the IBC, IMC and IEBC. The Iowa State Building Code applies generally to buildings owned by the state of Iowa and to construction projects in local jurisdictions where the Iowa State Building Code is adopted. The only provisions of Iowa's codes that apply statewide relate to accessibility for persons with disabilities, energy efficiency and factory-built structures. The Iowa Department of Public Safety also administers the rules of the State Fire Marshall, which apply to a broad range of occupancies across the state, and which are largely based on NFPA standards, such as the exiting standards in the 2000 edition of NFPA 101, and the requirements for assembly occupancies, in the 2003 edition of NFPA 101. The rules of the State Fire Marshall also allow local jurisdictions to instead apply the IFC.
8. Summary of Factual Data and Analytical Methodologies
The primary methodology for updating the Wisconsin Fire Prevention Code, chapter Comm 14, and the Wisconsin Commercial Building Code, chapters Comm 60 to 66, has been a review and assessment of the latest editions of the national model codes that serve as the basis for the two Wisconsin codes. The department's review and assessment process involved the participation of various advisory councils. The members of the councils represent many stakeholders involved in the building industry, including designers, contractors, developers, regulators, labor, the fire service and the public. (A listing of the councils and the current members is provided at the end of this analysis.)
The department believes that the national model codes reflect current societal values with respect to protecting public health, safety and welfare in the design, construction, use, operation and maintenance of commercial buildings that serve as public buildings and places of employment. The two model code organizations (National Fire Protection Association, NFPA, and International Code Council, ICC) both utilize a process open to all parties in the development of their codes. More information, including background information in the development of the respective 2006 model code editions, may be obtained at the NFPA web site,
http://www.nfpa.org, and the ICC web site,
http://www.iccsafe.org.
For the Commercial Building Code, the review and assessment process involved an examination of the revisions that occurred in the 2003 and 2006 editions of the IBC, IECC, IMC, IFGC and IEBC. The assessment included the evaluation of the current rules under chapters Comm 61 to 65 that modified these ICC codes. In conjunction with the advisory councils, determinations are made as to whether the various technical requirements under the latest editions of the model codes are reasonable for addressing potential risks or concerns, and promoting the public health, safety and welfare. Such determinations may be made based upon experience, forecasts, intuition or projection.
The requirement for more automatic fire suppression in residential occupancies is the most prominent change in this proposal. The IBC has required automatic fire sprinklers in all buildings with Group R fire areas, other than townhouses, since 2001.
Wisconsin law under, s.
101.14 (4) (c), Stats., references the building code of the Building Officials and Code Administrators International, Inc., now the IBC, as a benchmark for establishing fire suppression rules to protect public health, safety and welfare for public buildings and places of employment, which includes multifamily dwellings.
Under the provisions of
1999 Wisconsin Act 43 and
2005 Wisconsin Act 78 the department was legislatively directed to require fire sprinklers in all new residence halls and dormitories as well as in residential facilities operated by fraternities and sororities regardless of size. These Acts correspond with the requirements for fire sprinklers contained in the 2006 edition of the IBC.
In January 2006 the fire protection systems council and the multifamily dwelling code council recommended that the department proceed to public hearing without amending the IBC sprinkler threshold requirements for residential sprinklers. A recommendation on the matter from the commercial building code council was tied.
Relating to the issue of automatic fire suppression for residential occupancies, the department conducted a survey of all 50 states and the District of Columbia. The survey was completed in May of 2006 and revealed that:
• Thirty-five states have statewide codes that apply to all new residential buildings accommodating three or more dwelling units.
• Thirty-three states have more stringent statewide fire sprinkler requirements for new residential buildings than under the current WCBC. (The WCBC requires automatic fire sprinklers in new construction at 21 or more dwelling units.)
• Twenty-three states require automatic fire sprinkler systems in all new residential buildings of three or more dwelling units, reflecting the sprinkler thresholds of the 2006 IBC.
Fire Sprinkler Triggers within the United States and District of Columbia
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*Whenever building is greater 10,000 square feet.
Residential fires cause over 80 percent of the annual civilian fire fatalities in the United States. It is estimated that 3,030 civilian fire fatalities and 13,825 civilian fire injuries occurred in residential occupancies in 2005. (National Fire Protection Association Report – Fire Loss in the United States During 2005, July 2006) A U.S. Fire Administration special report reveals that from 2001 to 2004 smoke alarms operated in 34 percent of fatal apartment fires and 12 percent of fatal one- and two- family dwelling fires. (OLS Newsletter, Vol. 21, Nos. 9 & 10)
The department surveyed all 860 Wisconsin fire departments in an attempt to identify the number of civilian and firefighter fire fatalities that had occurred in residential occupancies since 2001. As of September 1, 2006, 560 fire departments have reported:
•Two hundred forty-two civilian fire fatalities occurred in residential occupancies.
• Thirty-three fire fatalities occurred in residential buildings containing 3 to 20 dwelling units, twenty-eight of which occurred in buildings with 3 to 8 dwelling units.
• Eleven fire fatalities occurred in residential buildings containing more than 21 dwelling units.
• Eleven fire fatalities occurred in residential buildings where the number of dwelling units was unknown.
• One hundred eighty-seven of the fire fatalities occurred in one- and two- family dwellings.
• Two firefighter fatalities; one as a result of a heart attack and the other in a single family dwelling fire as a result of a collapsing floor.
The department studied the sprinkler installation costs of 64 recently constructed multifamily dwellings in Wisconsin. Sprinkler installation costs ranged from $0.59 to $3.33 per square foot of building area for the projects. The following table shows the number of buildings studied and the average cost per square foot for buildings in three size categories.
Average Reported Costs of Fire Sprinklers in Dollars/Sq. Ft.
|
No. of Dwelling Units in Building
|
3 – 8
|
9 – 16
|
17 and up
|
No. of Buildings
|
27
|
17
|
20
|
Average cost per square foot
|
$1.87/sq. ft.
|
$1.45/sq. ft.
|
$1.44/sq. ft.
|
The following table shows the estimated average sprinkler installation costs as a percentage of the estimated average total building construction cost for three building categories and whether urban or rural water supplies were available for the sprinkler system.
Average Estimated Cost of Fire Sprinklers as a Percent of Total Building Construction Cost*
|
No. of Dwelling Units in Building
|
3 – 8
|
9 – 16
|
17 and up
|
No. of Buildings Studied
|
27
|
17
|
20
|
Average % of total cost (urban water)
|
1.53%
|
1.85%
|
2.01%
|
Average % of total cost (rural water)**
|
2.98%
|
2.62%
|
2.56%
|
*Total building construction and sprinkler costs were estimated utilizing RSMeans software based upon the location and type of construction for each of the 64 buildings.
**The sprinkler installation cost included an additional $25,000 estimated to cover a water supply reservoir and pump for those projects where an urban water supply was unavailable.
The department compared the impact of increased construction costs due to fire sprinklers for residential occupancies to the cost of mortgage interest. Over the life of a 30-year mortgage, a one percent increase in the amount financed results in approximately the same cost to the consumer as a one-tenth of a percent increase in the mortgage interest rate. Put another way, a two percent increase in construction costs could be expected to impact consumers as much as a two-tenths percent increase in their mortgage rates. The department anticipates that consumers may react to increased costs due to fire sprinklers in much the same way that they react to other cost increases by reducing amenities or reducing the size of the building. A two percent reduction to a 900 square foot dwelling unit is 18 square feet or 6 inches along 36 feet of exterior wall.
Although fire sprinklers may increase the cost of construction, sprinklers do not increase the cost of land. In fact land costs on a per dwelling unit basis may decrease where fire sprinklers are utilized given that an increase in the maximum distance between a sprinklered building and fire department access roads is permitted.
The annual cost of code-required tests on fire sprinkler systems, for apartment and condominium buildings containing three to twenty dwelling units, ranges from $300 to $550, according to a major mechanical contractor active across Wisconsin.
The department found that the sprinkler installation costs in the above study were consistent with the current valuation estimates which are published by Marshall and Swift/Boeckh, LLC, as an industry benchmark for real estate appraisers throughout the country. Consequently, these costs are widely recognized as increasing the assessable or appraisable value of a building, which means these costs can be recouped when the building is sold.
Substantial insurance savings can result from the installation of fire sprinkler systems. Published accounts describe fire insurance savings of 5 to 40% for residential occupancies that are served by fire sprinklers. Savings vary by building construction type, location and type of usage. One insurance industry expert advised Commerce that reduced insurance premiums for sprinkled apartment and condominium buildings may pay for the cost of the sprinkler system over a period of 10 to 15 years.
Substantial savings can also be expected to accrue from the fire damage that would not occur because of the additional fire sprinkler protection. Reported data shows that residential fires caused an estimated $6.8 billion of direct property loss in the United States in 2005. Wisconsin's annual per capita proportion of that loss would be about $126 million.
Automatic fire sprinkler protection has an established worldwide record. Sprinkler protection has been attributed with reducing and often times eliminating the following effects from fires:
Loss of life, both human and animal
Physical injuries from smoke inhalation, burns, falls and contusions
Mental anguish and distress
Medical costs
Lost wages
Personal property loss
Real property loss
Cost of relocating and housing displaced residents
Cost fire department and other emergency services
The process for reviewing and assessing the Fire Prevention Code was accomplished in a manner similar to that for the Commercial Building Code. The 2003 and 2006 editions of NFPA 1 were evaluated in relationship to the current rules of chapter Comm 14. Chapters
Comm 7, Explosive Materials, and Comm 9, Manufacture of Fireworks, were also evaluated to determine where the various codes overlapped and whether the rules and codes could be consolidated.
9. Analysis and Supporting Documents Used to Determine Effect on Small Business or in Preparation of Economic Impact Report
The department utilized ten advisory councils in analyzing and developing the proposed revisions to the Fire Prevention Code and the Commercial Building Code. The councils involve a variety of organizations whose memberships include many types of small businesses. The department utilizes these councils to gather information on potential impacts in complying with the both technical and administrative requirements of the codes. A responsibility of council members is to bring forth concerns their respective organizations may have with the requirements, including concerns regarding economic impacts. (Copies of the council meetings summaries are available on the Safety and Building Division website:
http://www.commerce.state.wi.us/SB/ SB-CodeCouncilsComBldgSum.html
The department also offers an e-mail subscription service to anyone who is interested in rule development and/or council activities. The service provides e-mail notification of council meetings, meeting agendas and council meeting progress reports. Currently, there over one thousand subscriptions for information pertaining to the commercial building program.
An economic impact report pursuant to section
227.137, Stats., has not been required to be prepared.
10. Effect on Small Business
The requirements of the Fire Prevention Code and the Commercial Building Code impact all businesses, regardless of size, utilizing public buildings and places of employment in Wisconsin. The codes impact a variety of businesses, including small businesses, particularly those businesses that design, build, or maintain commercial buildings; provide or produce building materials or components; own commercial buildings; or occupy commercial buildings. It is indeterminable how many small businesses may be impacted by the rules in some manner.
The potential effects of the codes occur on two basic levels, administrative and technical. The codes dictate certain administrative procedural requirements that are to be followed in order to acquire various approvals. For the most part, the codes establish numerous technical standards that are to be adhered to when designing, constructing, using, operating or maintaining a commercial building in order to protect public health, safety and welfare.
The proposed rule revisions do not substantially modify the current administrative requirements of the Fire Prevention Code or the Commercial Building Code. Therefore, this type of impact on small businesses will not substantially change.
How the codes' technical standards may impact small businesses is dependent upon many variables. The proposed revisions for the Commercial Building Code do not apply retroactively to existing buildings. The proposed revisions would apply when a new building or modification to an existing building is proposed. The various advisory councils did not identify major economic concerns with the proposed technical revisions updating the Fire Prevention Code or the Commercial Building Code to the latest national model codes as amended in this proposal.
Council Members and Representation
The proposed rules were developed with the assistance of the following Advisory Councils:
Commercial Building Code Council
Janet Harter, Fire Chiefs Association
Curt Hastings, Building Contractors
Joe Jameson, Municipalities/Building Inspectors
Joseph Jurkiewicz, Architects
David Keller, Building Owners
Steve Klessig, Associated Builders and Contractors
Terry Kennedy, Engineers
Dennis Krutz, Insurance Organizations
David Lind, Fire Inspectors Association
William Napier, State Facilities
Ed Ruckriegel, Madison Fire Department
Gary Ruhl, Tradesworkers and Craftsworkers
Chris Rute, City of Milwaukee
Michael Shoys, Building Owners
Russ Spahn, Fire Chiefs Association
Fred Stier, Builders and Contractors
Multifamily Dwelling Code Council
Kraig Biefeld, Fire Service
Jeffery Brohmer, Fire Service
Emory Budzinski, Manufacturer/Supplier Wood Products
Beth Gonnering, Building Contractors/Developers
Edward Gray, Labor
Greta Hansen, Public
James Klett, Architects/Engineers/Developers
Michael Morey, Contractors/Developers
Dave Nitz, Building Inspectors
Richard Paur, Building inspectors
Nicholas Rivecca, Manufacturer/Supplier (Concrete)
William Roehr, Labor
Korrine Schneider, Public
Kevin Wippurfurth, Drywall Distributors
Alteration and Change of Occupancy
Joel Becker, Associated General Contractors of Greater Milwaukee
Steve Gleisner, Milwaukee Fire Department
Bruce Johnson, Wisconsin Builders Association
David Lind, Wisconsin State Fire Inspectors Association
Paul Menches, Onalaska, Wis. State Fire Chiefs Assn.
John Periard, Building Owners and Managers Association
Charles Quagliana, American Institute of Architects
Chris Rute, City of Milwaukee
Jim Sewell, Wisconsin Historical Society
Harry Sulzer, City of Madison
David Vos, Developer of Historic Properties
Energy Conservation
Jeffrey Boldt, Wisconsin Chapter ASHRAE
Dan Dehnert, Associated General Contractors
Ross DePaola, Clean Wisconsin
Timothy Kritter, Associated Builders and Contractors
Kevin Lichtfuss, Wisconsin Assn. of Consulting Engineers
Dave Osborne, Wisconsin Builders Association
Gerald Schulz, Wisconsin Chapter National Electrical Contractors
Harry Sulzer, League of Wisconsin Municipalities
Robert Wiedenhoefer, Sheet Metal and Air Conditioning Contractors
Fire Safety
Peter Braun, Wall-tech Inc.
Thomas Clark, Pleasant Prairie Fire and Rescue Dept.
John Eagon, American Institute of Architects, Wis. Society
Michael Gardner, Gypsum Association
Jeff Leckwee, Bricklayers Local 13
Richard Licht, International Firestop Council
David Lind, Wisconsin Fire Inspectors Association
Kerry Vondross, County Materials Corporation
David Wheaton, City of Wauwatosa
Patrick Winger, Winger Concrete Products
Fire Protection Systems
Brandon Bartow, Bartow Builders
Jeff Bateman, Pioneer Fire Protection
Ron Bergquist, Viking Supply Net
Tom Binish, A&A Fire and Security
Thomas Clark, Pleasant Prairie Fire and Rescue Dept.
John Crook, City of Fitchburg
Joseph Donato, Gentex Corporation
John Eagon, American Institute of Architects, Wis. Society
Joseph Feuling, Sentra Protective Systems
Janet Harter, Eau Claire Fire Department
Chris Schoenbeck, Sprinkler Fitters Local 183
Curt Waddell, WPI Communications Systems
HVAC
Richard Lund, Plumbing-Heating-Cooling Contractors Association
Michael Mamayek, Plumbing and Mechanical Contractors of Milwaukee and SE Wisconsin
Richard Pearson, American Society of Heating, Refrigeration and Air-Conditioning Engineers, Madison Chapter
John Periard, Building Owners and Managers Association of Wisconsin
Daniel Rehbein, American Council of Engineering Companies of Wisconsin
Dan Rogers, Sheet Metal and Air-Conditioning Contractors of Wisconsin
David Stockland, Associated Builders and Contractors of Wisconsin
Harry Sulzer, League of Municipalities
Means of Egress and Accessibility
Larry Earll, Wisconsin Department of Administration
Cleo Eliason, Easter Seal Society of Wisconsin
Joseph Jurkiewicz, American Institute of Architects, Wisconsin Society
Larry Palank, Associated General Contractors of Greater Milwaukee
Richard Pomo, Wisconsin Council of the Blind
Ed Solner, American Institute of Architects, Wis. Society
Monica Sommerfeldt, Wisconsin Builders Association
David Wheaton, Wis. Building Inspectors Association
Structural
Greg Bares, Wisconsin Department of Administration
Steven Cramer, UW Madison Department of Civil and Environmental Engineering
David Hyzer, American Institute of Architects - Wisconsin
Michael Oliva, UW Madison Department of Civil and Environmental Engineering
John Rave, Associated Builders and Contractors of Wisconsin
Robert Schumacher, American Society of Civil Engineers
Alan Wagner, American Society of Civil Engineers
Michael West, American Society of Civil Engineers
Comm 14 – Fire Prevention Council
John Ashley, Wisconsin Association of School Boards
Gregg Cleveland, Wisconsin State Fire Chiefs Association
Marty King, Professional Fire Fighters of Wisconsin
Dave Lind, Wisconsin Fire Inspectors Association
John Periard, Building Owners and Managers Association
Jim Stormer, Wis. State Fire Fighter's Association Inc.
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.wi.gov/SB/. Paper copies may be obtained without cost from Roberta Ward, at the Department of Commerce, Program Development Bureau, P.O. Box 2689, Madison, WI 53701-2689, or Email at
roberta.ward@wisconsin.gov, or at telephone (608) 266-8741 or (608) 264-8777 (TTY). Copies will also be available at the public hearing.
Environmental Analysis
Notice is hereby given that the Department has prepared a preliminary Environmental Assessment (EA) on the proposed rules. The preliminary recommendation is a finding of no significant impact. Copies of the preliminary EA are available from the Department on request and will be available at the public hearings. Requests for the EA and comments on the EA should be directed to:
Initial Regulatory Flexibility Analysis
1. Types of small businesses that will be affected by the rules.
The requirements of the Fire Prevention Code and the Commercial Building Code impact all businesses, regardless of size, utilizing public buildings and places of employment in Wisconsin. The codes impact a variety of businesses, including small businesses, particularly those businesses that design, build, or maintain commercial buildings; provide or produce building materials or components; own commercial buildings; or occupy commercial buildings. It is indeterminable how many small businesses may be impacted by the rules in some manner.
2. Reporting, bookkeeping and other procedures required for compliance with the rules.
The proposed rule revisions do not substantially modify the current administrative requirements of the Fire Prevention Code or the Commercial Building Code. Therefore, this type of impact on small businesses will not substantially change.
3. Types of professional skills necessary for compliance with the rules.
The codes establish numerous technical standards that are to be adhered to when designing, constructing, using, operating or maintaining a commercial building in order to protect public health, safety and welfare. The design, construction and maintenance of public buildings and places of employment typically necessitate building owners to acquire the services of architects, engineers, designers and various tradesmen, including plumbers, electricians, sheet metal workers, carpenters, sprinkler fitters and contractors.
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 will not have a significant effect on the private sector.
The small business regulatory coordinator for the Department of Commerce is Carol Dunn, who may be contacted at telephone (608) 267-0297, or Email at
carol.dunn@wisconsin.gov.
Notice of Hearing
Financial Institutions - Banking
NOTICE IS HEREBY GIVEN That pursuant to ss.
220.02 (2) and
(3), and
227.11 (2), Stats., and interpreting 138.10 (15), Stats., the Department of Financial Institutions, Division of Banking will hold a public hearing at the Department of Financial Institutions, 345 W. Washington Avenue, 5
th Floor, in the city of Madison, Wisconsin, on the
13th day of December, 2006, at 1:30 p.m. to consider a rule to repeal and recreate ch. DFI—Bkg 77, relating to any person licensed under s.
138.09, Stats., and operating as a pawnbroker.
Analysis Prepared by the Department of Financial Institutions, Division of Banking
The objective of the rule is to repeal and recreate ch. DFI—Bkg 77. Currently ch. DFI—Bkg 77, relates to the “Consumer Credit Review Board." However, this chapter is no longer necessary and should be repealed because this board was legislatively abolished. Currently pawnbrokers are subject to regulation under s.
138.10, Stats. However,
2005 Wisconsin Act 158 provides that, effective October 1, 2006, if a pawnbroker registers as a licensed lender under s.
138.09, Stats., the pawnbroker is exempt from the requirements of s.
138.10, Stats. The purpose of this rule is to set forth, in the recreated ch. DFI—Bkg 77, matters pertaining to the regulation of pawnbrokers, including definitions, hours and days of operation, holding periods, law enforcement requests and orders, notice of sales, effect of nonredemption, agreements and extensions, prohibited practices, and lost or damaged goods.
Fiscal Estimate
The rule's requirements place no additional duties or burdens on state or local government, and hence has no affect on costs to either.
Contact Person
To obtain a copy of the proposed rule or fiscal estimate at no charge, to submit written comments regarding the proposed rule, or for questions regarding the agency's internal processing of the proposed rule, contact Mark Schlei, Deputy General Counsel, Department of Financial Institutions, Office of the Secretary, P.O. Box 8861, Madison, WI 53708-8861, tel. (608) 267-1705. A copy of the proposed rule may also be obtained and reviewed at the Department of Financial Institution's website,
www.wdfi.org. Written comments regarding the proposed rule may also be submitted via the department's website contact page, e-mail the secretary. Written comments must be received by the conclusion of the department's hearing regarding the proposed rule. For substantive questions on the rule, contact Michael J. Mach, Administrator, Department of Financial Institutions, Division of Banking, P.O. Box 7876, Madison, WI 53707-7876, tel. (608) 266-0451.
Notice of Hearing
Financial Institutions - Banking
NOTICE IS HEREBY GIVEN That pursuant to ss.
426.104 (1) (e) and
227.11 (2), Stats., and interpreting s.
425.206 (1) (d), Stats., the Department of Financial Institutions, Office of Consumer Affairs will hold a public hearing at the Department of Financial Institutions, 345 W. Washington Avenue in the city of Madison, Wisconsin, on the
13th day of December, 2006, at 10:00 a.m. to consider a rule to amend s. DFI—Bkg 80.68, relating to nonjudicial enforcement and surrender of collateral.
Analysis Prepared by the Department of Financial Institutions, Office of Consumer Affairs
The objective of the rule is to amend s. DFI—Bkg 80.86. The purpose of this rule is to bring s. DFI—Bkg 80.68 into conformity with newly created s.
425.206 (1) (d), Stats. Under the current s. DFI—Bkg 80.68, where a merchant request or demands the return of collateral, after providing the customer with notice of default and opportunity to cure as required by s.
425.105, Stats., a release of the collateral by the customer is not a surrender under ss.
425.204 (3) and
425.206 (1), Stats., if the merchant fails to provide a notice to the customer which clearly informs the customer of the right to a hearing on the issue of default before any repossession.
2005 Wisconsin Act 255, s.
8 created s.
425.206 (1) (d), Stats. This statute section provides that notwithstanding any other provision of law, no merchant may take possession of collateral or goods subject to a consumer lease in this state except when, for motor vehicle collateral or goods subject to a motor vehicle consumer lease, the customer has not made a demand as specified in s.
425.205 (1g) (a) 3., Stats., and, no sooner than 15 days after the merchant gives the notice specified in s.
425.205 (1g) (a), Stats., the merchant has taken possession of the collateral or goods in accordance with s.
425.206 (2), Stats. The rule amends s. DFI—Bkg 80.68 to incorporate the provisions of s.
425.206 (1) (d), Stats. The rule provides that where a merchant requests or demands the return of collateral, after providing the customer with notice of default and opportunity to cure as required by s.
425.105, Stats., a release of the collateral by the customer is not a surrender under ss.
425.204 (3) and
425.206 (1), Stats., if the merchant fails to provide a notice to the customer which clearly informs the customer of the right to a hearing on the issue of default before any repossession unless the creditor has perfected its right to repossession under s.
425.206 (1) (d), Stats.
Fiscal Estimate
The rule places no additional duties or burdens on state or local government, and hence has no affect on costs to either.
Contact Person
To obtain a copy of the proposed rule or fiscal estimate at no charge, to submit written comments regarding the proposed rule, or for questions regarding the agency's internal processing of the proposed rule, contact Mark Schlei, Deputy General Counsel, Dept. of Financial Institutions, Office of the Secretary, P.O. Box 8861, Madison, WI 53708-8861, tel. (608) 267-1705. A copy of the proposed rule may also be obtained and reviewed at the Department of Financial Institution's website,
www.wdfi.org. Written comments regarding the proposed rule may also be submitted via the department's website contact page, e-mail the secretary. Written comments must be received by the conclusion of the department's hearing regarding the proposed rule.
For substantive questions on the rule, contact Paul Egide, Director, Department of Financial Institutions, Office of Consumer Affairs, P.O. Box 8041, Madison, WI 53708-8041, tel. (608) 267-3518.
Notice of Hearing
Financial Institutions - Corporate and Consumer Affairs
NOTICE IS HEREBY GIVEN That pursuant to ss.
227.11 (2) and
409.526 (1), Stats., and interpreting s.
409.519, Stats., the Department of Financial Institutions, Division of Corporate and Consumer Services will hold a public hearing at Wisconsin Department of Financial Institutions, Office of the Secretary, 345 W. Washington Avenue, 5
th Floor in the city of Madison, Wisconsin, on the
13th day of December, 2006, at 9:00 a.m. to consider a rule to repeal and recreate s. DFI—CCS 5.04 relating to UCC search requests.
Analysis Prepared by Dept. of Financial Institutions, Division of Corporate and Consumer Affairs
The objective of the rule is to repeal and recreate s. DFI—CCS 5.04. Under current law, in creating search results for records of UCC documents filed with the department, certain standardized search logic is applied to the name presented to the filing office by the person requesting the search. The purpose of this rule is to set forth, in recreated s. DFI—CCS 5.04, revised standardized search logic. Under the proposed rule, the standardized search logic set forth more accurately reflects the methodology used.
Fiscal Estimate
The rule places no additional duties or burdens on state or local government, and hence has no affect on costs to either.
Contact Person
To obtain a copy of the proposed rule or fiscal estimate at no charge, to submit written comments regarding the proposed rule, or for questions regarding the agency's internal processing of the proposed rule, contact Mark Schlei, Deputy General Counsel, Department of Financial Institutions, Office of the Secretary, P.O. Box 8861, Madison, WI 53708-8861, tel. (608) 267-1705. A copy of the proposed rule may also be obtained and reviewed at the Department of Financial Institution's website,
www.wdfi.org. Written comments regarding the proposed rule may also be submitted via the department's website contact page, e-mail the secretary. Written comments must be received by the conclusion of the department's hearing regarding the proposed rule.
For substantive questions on the rule, contact Ray Allen, Deputy Administrator, Department of Financial Institutions, Division of Corporate and Consumer Affairs, P.O. Box 7847, Madison, WI 53708-7847, tel. (608) 264-7950.
Notice of Hearing
Insurance
Notice is hereby given that pursuant to the authority granted under s.
601.41 (3), Stats., and the procedures set forth in under s.
227.18, Stats., OCI will hold a public hearing to consider the adoption of the attached proposed rulemaking order affecting Section
Ins 6.77, Wis. Adm. Code, relating to underinsured and uninsured motorist coverage in umbrella and commercial policies and affecting small business. This hearing will also be held in compliance with s.
227.24 (4) concerning the emergency rule which corresponds to the proposed rule, as this proposed rule has been issued as an emergency rule.
Hearing Information
Date: December 11, 2006
Time: 10:00 a.m., or as soon thereafter as the matter may be reached
Place: OCI, Room 227, 125 South Webster St 2nd Floor, Madison, WI
Written comments can be mailed to:
Mr. Robert Luck
Legal Unit - OCI Rule Comment for Rule Ins 6.77
Office of the Commissioner of Insurance
PO Box 7873
Madison WI 53707-7873
Written comments can be hand delivered to:
Mr. Robert Luck
Legal Unit - OCI Rule Comment for Rule Ins 6.77
Office of the Commissioner of Insurance
125 South Webster St – 2nd Floor
Madison WI 53702
Comments can be emailed to:
Robert Luck
Comments submitted through the Wisconsin Administrative Rule website at: http://adminrules. wisconsin.gov on the proposed rule will be considered.
The deadline for submitting comments is 4:00 p.m. on the 8th day after the date for the hearing stated in this Notice.
Analysis Prepared by the Office of the Commissioner of Insurance (OCI)
1. Statutes interpreted:
2. Statutory authority:
3. Explanation of the OCI's authority to promulgate the proposed rule under these statutes:
Under s.
631.01 (5), the commissioner is given authority to exempt certain classes of insurance from the requirements of 631.36 or 632.32, Stats. The commissioner has previously exercised this authority in adopting and amending Ins 6.77, Wis. Admin. Code.
4. Related Statutes or rules: Ins 6.77, Wisc. Admin. Code
5. The plain language analysis and summary of the proposed rule:
This rule would remove the requirement that umbrella and commercial policies give notice of the availability of underinsured motorists coverage. The obligation to give this notice would rest solely with the insurer writing the auto coverage.
In addition, the current exemption from the requirement to offer uninsured motorists for umbrella policies would be expanded to include commercial liability policies.
6. Summary of and comparison with any existing or proposed federal regulation that is intended to address the activities to be regulated by the proposed rule: None.
7. Comparison of similar rules in adjacent states:
Illinois: 215 ILCS 5/143a In Hartbarger v. Country Mut. Ins. Co., 107 Ill. App. 3d 391, it was found that this section was enacted to insure a minimum amount of uninsured motorist protection, but did not give the authority to rewrite unambiguous provisions of an umbrella policy in order to expand the maximum coverage afforded plaintiff.
Iowa: Iowa Code § 321A.21 Primary insurance is purchased to be the first tier of insurance coverage while an umbrella policy is intended to cover only catastrophic losses that exceed the insured's required primary insurance limit. "Umbrella" policies are not included under Iowa Code § 321A.21, the financial responsibility statute. Jalas v. State Farm Fire & Cas. Co.,
505 N.W.2d 811, 1993 Iowa Sup. LEXIS 211 (Iowa 1993).
Michigan: Sec. 257.520(a) Michigan is a no-fault state and thus is not comparable to Wisconsin. Michigan defines a “motor vehicle liability policy" as an owner's or an operator's policy of liability insurance which would appear to not include an umbrella policy.
Minnesota: 65B.49 Minnesota is a no-fault state and thus is not comparable to Wisconsin. Uninsured and underinsured coverage is required in auto policies.
8. A summary of the factual data and analytical methodologies that OCI used in support of the proposed rule and how any related findings support the regulatory approach chosen for the proposed rule:
OCI review of complaints, NAIC models, insurer's financial information
9. Any analysis and supporting documentation that OCI used in support of OCI's determination of the rule's effect on small businesses under s.
227.114:
The change will continue the existing practice used by insurers issuing umbrella and commercial policies. As such, it will have no impact.
10. If these changes may have a significant fiscal effect on the private sector, the anticipated costs that will be incurred by private sector in complying with the rule:
These changes will not have a significant fiscal effect on the private sector.
11. A description of the Effect on Small Business:
This rule will have little or no effect on small businesses.
12. Agency contact person:
A copy of the full text of the proposed rule changes, analysis and fiscal estimate may be obtained from the OCI WEB sites at:
http://oci.wi.gov/ocirules.htm or by contacting Inger Williams, OCI Services Section, at:
Phone: (608) 264-8110
Address: 125 South Webster St – 2nd Floor
Madison WI 53702
Mail: PO Box 7873, Madison WI 53707-7873
13. Place where comments are to be submitted:
Mailing address:
Robert Luck, Legal Unit
OCI Rule Comment for Rule Ins 6
Office of the Commissioner of Insurance
PO Box 7873
Madison WI 53707-7873
Street address:
Robert Luck, Legal Unit
OCI Rule Comment for Rule Ins 6
Office of the Commissioner of Insurance
125 South Webster St – 2nd Floor
Madison WI 53702
Email address:
Fiscal Estimate
There will be no state or local government fiscal effect. The full text of the proposed changes, a summary of the changes and the fiscal estimate are attached to this Notice of Hearing.
Initial Regulatory Flexibility Analysis
This rule does not impose any additional requirements on small businesses.
The OCI small business coordinator is Eileen Mallow and may be reached at phone number (608) 266- 7843 or at email address:
Eileen.Mallow@oci.state.wi.us
Contact Person
A copy of the full text of the proposed rule changes, analysis and fiscal estimate may be obtained from the OCI internet WEB site at
http://oci.wi.gov/ocirules.htm or by contacting Inger Williams, Services Section, OCI, at:
Inger.Williams@OCI.State.WI.US, (608) 264-8110, 125 South Webster Street – 2
nd Floor, Madison WI or PO Box 7873, Madison WI 53707-7873.
Notice of Hearing
Insurance
Notice is hereby given that pursuant to the authority granted under s.
601.41 (3), Stats., and the procedures set forth in under s.
227.18, Stats., OCI will hold a public hearing to consider the adoption of the attached proposed rulemaking order affecting Section
Ins 9.25 (8), Wis. Adm. Code, relating to preferred provider plan limited exemption. This hearing will also be held in compliance with s.
227.24 (4) as this proposed rule was issued as an emergency rule.
Hearing Information
Date: December 12, 2006
Time: 10:00 a.m., or as soon thereafter as the matter may be reached
Place: OCI, Room 227, 125 South Webster St 2nd Floor, Madison, WI
Written comments can be mailed to:
Julie E. Walsh
Legal Unit - OCI Rule Comment for Rule Ins 9258
Office of the Commissioner of Insurance
PO Box 7873
Madison WI 53707-7873
Written comments can be hand delivered to:
Julie E. Walsh
Legal Unit - OCI Rule Comment for Rule Ins 9258
Office of the Commissioner of Insurance
125 South Webster St – 2nd Floor
Madison WI 53702
Comments can be emailed to:
Comments submitted through the Wisconsin Administrative Rule website at:
http://adminrules.wisconsin. gov on the proposed rule will be considered.
The deadline for submitting comments is 4:00 p.m. on the 8th day after the date for the hearing stated in this Notice of Hearing.
Fiscal Estimate
There will be no state or local government fiscal effect.
Initial Regulatory Flexibility Analysis
This rule does not impose any additional requirements on small businesses.
The OCI small business coordinator is Eileen Mallow and may be reached at phone number (608) 266- 7843 or at email address
Eileen.Mallow@oci.state.wi.us
Contact Person
A copy of the full text of the proposed rule changes, analysis and fiscal estimate may be obtained from the OCI internet WEB site at
http://oci.wi.gov/ocirules.htm or by contacting Inger Williams, Services Section, OCI, at:
Inger.Williams@OCI.State.WI.US, (608) 264-8110, 125 South Webster Street – 2
nd Floor, Madison WI or PO Box 7873, Madison WI 53707-7873.
Analysis Prepared by the Office of the Commissioner of Insurance (OCI)
1. Statutes interpreted:
2. Statutory authority:
3. Explanation of the OCI's authority to promulgate the proposed rule under these statutes:
The Commissioner of Insurance is authorized to promulgate rules under ss.
628.34 (12),
601.41 and
609.20, Stats. Section
609.20, Stats., permits the Commissioner to promulgate rules relating to preferred provider plans and defined network plans in order to ensure enrollee access to health care services and ensure continuity of health care while recognizing the differences between preferred provider plans and defined network plans.
4. Related Statutes or rules:
There are no related statutes or rules.
5. The plain language analysis and summary of the proposed rule:
The proposed rule clarifies the applicability dates for ss.
Ins 9.25 and
9.27, Wis. Adm. Code, and specifies that insurers offering preferred provider plans that are issued prior to January 1, 2007 and periodically renewed after December 31, 2006 and that would otherwise be affected by ss.
Ins 9.25 and
9.27, Wis. Adm. Code, will be grandfathered from compliance with those new requirements. The requirements of ss.
Ins 9.25 and
9.27, Wis. Adm. Code, will be applicable to an insurer offering a preferred provider plan on or after January 1, 2007.
6. Summary of and preliminary comparison with any existing or proposed federal regulation that is intended to address the activities to be regulated by the proposed rule:
There is no federal regulation that addresses the activities regulated by the proposed rule.
7. Comparison of similar rules in adjacent states as found by OCI:
Illinois: None
Iowa: None
Michigan: None
Minnesota: None
8. A summary of the factual data and analytical methodologies that OCI used in support of the proposed rule and how any related findings support the regulatory approach chosen for the proposed rule:
The information OCI used in support of this proposed rule includes the information described in the analysis of
Clearinghouse Rule 05-059. However more specifically it includes the information provided by representatives of the insurance industry and preferred provider organizations to JCRAR and OCI concerning the topic addressed by the proposed rule.
9. Any analysis and supporting documentation that OCI used in support of OCI's determination of the rule's effect on small businesses under s.
227.114:
This rule does not impose any additional requirements on small businesses. Its effect will be to limit requirements otherwise applied by rules currently in effect, including
Clearinghouse rule 05-059. This is apparent from the proposed rule itself and the summary.
10. If these changes may have a significant fiscal effect on the private sector, the anticipated costs that will be incurred by private sector in complying with the rule:
This rule will not have a significant fiscal effect on the private sector. Its effect will be to limit requirements otherwise applied by rules currently in effect, including
Clearinghouse rule 05-059.
11. A description of the Effect on Small Business: This rule will have an effect on small businesses only by limiting requirements otherwise applied by rules currently in effect, including
Clearinghouse rule 05-059.
12. Agency contact person:A copy of the full text of the proposed rule changes, analysis and fiscal estimate may be obtained from the WEB sites at:
http://oci.wi.gov/ocirules.htm or by contacting Inger Williams, OCI Services Section, at:
Phone: (608) 264-8110
Address: 125 South Webster St – 2nd Floor Madison WI 53702
Mail: PO Box 7873, Madison WI 53707-7873
13. Place where comments are to be submitted and deadline for submission:
The deadline for submitting comments is 4:00 p.m. on the 8th day after the date for the hearing stated in the Notice of Hearing.
Mailing address:
Julie E. Walsh
Legal Unit - OCI Rule Comment for Rule Ins 9258
Office of the Commissioner of Insurance
PO Box 7873
Madison WI 53707-7873
Street address:
Julie E. Walsh
Legal Unit - OCI Rule Comment for Rule Ins 9258
Office of the Commissioner of Insurance
125 South Webster St – 2nd Floor
Madison WI 53702
The proposed rule changes are:
Ins 9.25 (8) This section first applies to an insurer offering a preferred provider plan beginning on January 1, 2007 This section does not apply to an insurer with respect to a preferred provider plan issued prior to January 1, 2007 and periodically renewed after December 31, 2006.
Ins 9.27 (4) This section first applies to an insurer offering a preferred provider plan beginning on January 1, 2007. This section does not apply to an insurer with respect to a preferred provider plan issued prior to January 1, 2007 and periodically renewed after December 31, 2006.
SECTION 3. This section may be enforced under ss.
601.41,
601.64,
601.65, Stats., or ch.
645, Stats., or any other enforcement provision of chs.
600 to
646, Stats.
Office of the Commissioner of Insurance
Private Sector Fiscal Analysis for Rule Sections
Ins 9.25 (8) and
9.27 (4), Wis. Adm. Code, relating to preferred provider plan applicability dates and affecting small business.
This rule change will have no significant effect on the private sector regulated by OCI.
Notice of Hearings
Natural Resources
(Environmental Protection—
Water Regulation)
NOTICE IS HEREBY GIVEN that pursuant to ss.
30.12 (1) and
(3) (br),
30.2035,
30.206 and
227.11 (2), Stats., interpreting ss.
30.12 (1),
(3) and
(3m) and
30.206, Stats., the Department of Natural Resources will hold public hearings on the creation of subch.
III of ch. NR 328, Wis. Adm. Code, relating to bank erosion control on rivers and streams. The purpose of the proposed ch.
NR 328, subch. III is to create additional general permits to streamline the review of applications for erosion control structures. The proposed subchapter establishes design, construction and location standards for bank erosion control structures placed in rivers and streams under general permits. General permits for biostabilization and integrated bank treatment meeting Natural Resources Conservation Service (NRCS) technical standards would be available throughout the predominantly agricultural and urban ecoregions of Wisconsin (where flooding is generally frequent and more severe, eroding banks and delivering sediment loads that often impair habitat and water quality and adjacent land uses frequently limit the area available for natural channel movement). A threshold level of bank erosion potential is required for sites to be eligible for the integrated bank treatment general permit so that rock armoring is avoided in areas where aquatic habitat is very good and could be harmed by such treatment. The rule establishes a standard map for identifying ecoregions and urban areas as well as a method for determining bank erosion potential.
This rule replaces and improves upon emergency orders that have been in place for similar general permits during the 2005 and 2006 construction seasons.
NOTICE IS HEREBY FURTHER GIVEN that pursuant to s.
227.114, Stats., the proposed rule may have an impact on small businesses. The initial regulatory flexibility analysis is as follows:
a. Types of small businesses affected: Any business wishing to do bank erosion control on a river or stream.
b. Description of reporting and bookkeeping procedures required: Permits were previously required under s.
30.12, Stats., and no further requirements were added as a result of this rule.
c. Description of professional skills required: Some businesses may prefer to use consulting design companies. However, the rules as designed so that lay personnel can apply the assessment protocols themselves with little formal training.
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 Department will hold an open house starting at 5:00 p.m. prior to each hearing. Department staff will be available to answer questions regarding the proposed rules.
NOTICE IS HEREBY FURTHER GIVEN that the hearings will be held on:
Monday, December 11, 2006 at 6:00 p.m.
Front Room, DNR West Central Region Hdqrs., 1300 W. Clairemont, Eau Claire
Tuesday, December 12, 2006 at 6:00 p.m.
Room 202, UW-Oshkosh Forrest Library, 800 Algoma Blvd., Oshkosh
Wednesday, December 13, 2006 at 6:00 p.m.
Upstairs Conference Room, Wausau State Highway Patrol, 2805 Martin Ave., Wausau
Thursday, December 14, 2006 at 6:00 p.m.
Gathering Waters Room, DNR South Central Region Hdqrs., 3911 Fish Hatchery Road, Fitchburg
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 Paul Cunningham at (608) 267-7502 with specific information on your request at least 10 days before the date of the scheduled hearing.
Fiscal Estimate
According to 2004 data, there are 240 permits processed annually for shore protection on rivers and streams. Of that amount, 216 require an individual permit at a cost of $300, and 24 are exempt from a permit fee because they are done by state or federal agencies. Therefore, annual permit revenue under current law totals $64,800 (216 permits x $300).
Under the proposed rule, it is estimated that 180 projects would require a $300 individual permit, 36 projects would be eligible for a new $50 general permit, and 24 would continue to be fee-exempt because they would be done by state or federal agencies. Therefore, annual permit revenue under the proposed rule is estimated to be $55,800 [(180 individual permits x $300) + (36 general permits x $50)]. This will result in a decrease of $9,000 in annual permit revenue.
By converting an estimated 36 individual permits per year to general permits, the proposed rule would streamline the permitting process and thus decrease the amount of work to process permits by 416 hours, or 0.2 FTE, with an associated cost reduction of $13,300 in salary and fringe benefits (416 hours x $32/hour salary and fringe).
Submission of Comments
The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site: http:// adminrules.wisconsin.gov. Written comments on the proposed rule may be submitted via U.S. mail to Paul Cunningham, Bureau of Watershed Management, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until January 5, 2007. 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. Cunningham.
Notice of Hearing
Natural Resources
(Environmental Protection—Water Supply)
NOTICE IS HEREBY GIVEN that pursuant to ss.
281.12,
281.34 and
227.11 (2) (a), Stats., interpreting s.
281.34, Stats., the Department of Natural Resources will hold public hearings on the creation of ch.
NR 820, Wis. Adm. Code, relating to annual reporting of groundwater pumping information from high capacity wells, designation of groundwater management areas, environmental review of high capacity well applications for impacts on groundwater protection areas and springs and evaluation of wells with greater than 95% water loss.
2003 Wisconsin Act 310 expands the Department's authority over high capacity wells to include consideration of impacts to certain sensitive water resources, requires annual reporting of groundwater pumping from high capacity wells and directs the Department to designate two groundwater management areas. The proposed ch.
NR 820, Wis. Adm. Code, implements the provisions of
2003 Wisconsin Act 310. Under the proposed code, all owners of high capacity wells will be required to submit annual pumping reports to the department. The rule also establishes the areal extent of two groundwater management areas, one in the southeast part of the state and another in the northeast part of the state. The two areas include the entire area of each city, village and town in which the level of the underlying groundwater has dropped by at least 150 feet as a result of groundwater pumping.
Proposed ch.
NR 820, Wis. Adm. Code, establishes processes and criteria to guide the review of proposed high capacity wells near springs, trout stream, outstanding resource waters (ORW) and exceptional resource waters (ERW). The rule includes screening criteria that will be used to determine the necessary level of environmental review for wells that are proposed to be located near springs or within a groundwater protection area (within 1200 feet of a trout stream, ORW or ERW). Applicants for wells near springs or in groundwater protection areas will be required to submit information to demonstrate that the proposed well will not result in significant adverse environmental impact to the surface water resource. When it is determined that a proposed well could result in a significant adverse environmental impact, the applicant may be required to submit an environmental impact report and the department will prepare an environmental assessment prior to approving or denying the proposed well. Any approval issued for a well near a spring or within a groundwater protection area must include conditions to ensure that significant adverse environmental impact does not result from construction and operation of the well. Similarly, the proposed rule requires that the department prepare an environmental assessment for any high capacity well that has a water loss of greater than 95%. In addition, the department must include conditions in its approvals to ensure that wells with high water loss do not result in significant adverse environmental impact to nearby water resources.
NOTICE IS HEREBY FURTHER GIVEN that pursuant to s.
227.114, Stats., the proposed rules may have an impact on small businesses. The initial regulatory flexibility analysis is as follows:
a. Types of small businesses affected: Any small business, including agriculture, golf courses, non-metallic mining, condominium developments, various industrial/commercial uses, recreational facilities, ethanol production and food processing.
b. Description of reporting and bookkeeping procedures required: Annual reporting of water use of all high capacity well owners and specifies informational requirements for high capacity well applications that involve wells located near springs and within groundwater protection areas. Owners will need to keep records of the amount of water pumped from each well.
c. Description of professional skills required: The owner of a high capacity well may need to hire qualified persons to install water metering devices on the wells in order to compile the annual pumpage data. In addition, owners of proposed wells that are to be constructed near springs or in a groundwater protection area will need to contract with qualified consultants to provide the necessary hydrological analysis and other information required in such instances.
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, December 13, 2006 at 1:00 p.m.
Multipurpose Room, Dunn Co. Judicial Center, 615 Stokke Parkway, Menomonie
Friday, December 15, 2006 at 10:00 a.m.
Room 207, Green Bay City Hall, 100 N. Jefferson St., Green Bay
Monday, December 18, 2006 at 1:00 p.m.
Rooms 255 & 259, Waukesha Admin. Bldg., 515 Moorland Rd, Waukesha
Enter through Courthouse
Tuesday, December 19, 2006 at 2:30 p.m.
St. Croix Room, Dept. of Admin. Bldg., 101 E. Wilson Street, Madison
Wednesday, December 20, 2006 at 6:00 p.m.
Conference Rooms 1 & 2, Portage Co. Courthouse Annex, 1462 Strongs Ave., Stevens Point
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 Larry Lynch at (608) 266-7553 with specific information on your request at least 10 days before the date of the scheduled hearing.
Fiscal Estimate
The proposed rule does not create any processes or requirements that were not contemplated and evaluated at the time that Act 310 was enacted. The fiscal impacts associated with Act 310 were recognized by the Legislature; there are no additional state or local government fiscal impacts associated with this proposed rule.
Submission of Comments
The proposed rule and fiscal estimate may be reviewed and comments electronically submitted at the following Internet site: http:// adminrules.wisconsin.gov. Search this website using Natural Resources Board Order No. DG-37-06. Written comments on the proposed rule may be submitted via U.S. mail to Mr. Lawrence Lynch, Bureau of Drinking Water and Groundwater, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until January 5, 2007. 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. If you do not have Internet access, a personal copy of the proposed rule and fiscal estimate may be obtained from Mr. Lynch.
Notice of Hearing
Regulation and Licensing
NOTICE IS HEREBY GIVEN that pursuant to authority vested in the Department of Regulation and Licensing in s.
227.11 (2), Stats., and subch.
VI of ch. 440, Stats., as created by section 2336m. of
2005 Wisconsin Act 25, and s.
440.03 (13) (a),
(b) and
(c), Stats., and interpreting subch.
VI of ch. 440, Stats., and s.
440.03 (13) (a),
(b) and
(c), Stats., the Department of Regulation and Licensing will hold a public hearing at the time and place indicated below to consider an order to create s.
RL 4.07 (66m) and chs.
RL 174 to
177, relating to the registration of sanitarians.
Hearing Date, Time and Location
Date: December 13, 2006
Time: 9:00 A.M.
Location: 1400 East Washington Avenue
(Enter at 55 North Dickinson Street)
Room 121C
Madison, Wisconsin
Appearances at the Hearing:
Interested persons are invited to present information at the hearing. Persons appearing may make an oral presentation but are urged to submit facts, opinions and argument in writing as well. Facts, opinions and argument may also be submitted in writing without a personal appearance by mail addressed to the Department of Regulation and Licensing, Office of Legal Counsel, P.O. Box 8935, Madison, Wisconsin 53708. Written comments must be received by December 13, 2006, to be included in the record of rule-making proceedings.
Analysis prepared by the Department of Regulation and Licensing
Explanation of agency authority: The Department of Regulation and Licensing has the authority to promulgate rules interpreting the provisions of any statute enforced or administered by it and to effectuate the purpose of the statute. The creation of administrative rules for the regulation of registered sanitarians is necessary to implement newly created subch.
VI of ch. 440, Stats., pursuant to
2005 Wisconsin Act 25.
Related statute or rule: The proposed rules are intended to replace the former rules in ch.
HFS 150.
Plain language analysis: The creation of administrative rules for the regulation of registered sanitarians is necessary to implement newly created subch.
VI of ch. 440, Stats., pursuant to
2005 Wisconsin Act 25, s.
2336m. Registered sanitarians were previously regulated in ch.
HFS 160.
The proposed rules shall apply to all persons educated and experienced in the field of environmental health who desire to be registered as a sanitarian. The rules will establish minimum standards and qualifications for licensure of registered sanitarians, set standards for sanitarians registered in other states to practice as registered sanitarians in this state, as well as define basis for discipline of credential holders. The rules contain definitions, registration requirements, qualifications for examination, qualifying work experience requirements, reciprocal licensure, and standards of conduct.
Section
RL 4.07 (66m) is created to include registered sanitarians in the department's rules relating to conducting investigations to determine whether an applicant for registration as a sanitarian has been charged with or convicted of a crime.
Summary of, and comparison with, existing or federal regulation: There is no existing or federal regulation pending.
Comparison with rules in adjacent states:
Minnesota: Minnesota regulates and licenses environmental health specialists and sanitarians pursuant to Minnesota Statute 214.3, to plan, develop, and enforce health and sanitation standards and prevent the spread of the communicable diseases. The regulations specify the requirements and procedures for obtaining licensure, including education, examination, work experience and fees.
Michigan: Michigan regulates and licenses sanitarians pursuant to their Public Health Code sec. 1615, with specified requirements for qualifying education, examination and experience.
Illinois: Illinois regulates and licenses environmental health practitioners pursuant to Part 1247 of the Environmental Health Practitioners Act. The Illinois rules include provisions governing licensure and examination requirements, approved educational programs, work experience, supervision, endorsement, renewals and fees.
Iowa: Iowa does not regulate or license sanitarians. A voluntary registration program is operated by the Iowa Environmental Health Association.
The comparison information with the rules in adjacent states was obtained directly from a review of the state statutes and rules. The rule revisions were based on information from various sources and recommendations from advisory committee members who were knowledgeable about the profession. The comparison of the proposed rules to the adjacent states demonstrates that the rules are comparable to those in adjacent states.
Summary of factual data and analytical methodologies:
No study resulting in the collection of factual data was used relating to this rule. The primary methodology for creating the rule is the department's analysis and determination that a rule change is necessary.
Analysis and supporting documents used to determine effect on small business or in preparation of economic impact report: The proposed rules would reflect the newly created statutory requirements for the transfer of credentialing authority of registered sanitarians to the Department of Regulation and Licensing. The rules will establish minimum standards and qualifications for licensure of registered sanitarians, set standards for sanitarians registered in other states to practice as registered sanitarians in this state, as well as define basis for discipline of credential holders and are intended to replace the former rules in ch.
HFS 160.
There are 579 registered sanitarians licensed in Wisconsin. Of the 579 registered sanitarians, a very small percentage of them probably work in small business. The field is primarily made up of state and local public health officials. This rule change will not have an effect on small business.
Section
227.137, Stats., requires an “agency" to prepare an economic impact report before submitting the proposed rule-making order to the Wisconsin Legislative Council. The Department of Regulation and Licensing is not included as an “agency" in this section.
Anticipated costs incurred by private sector: The department finds that this rule has no significant fiscal effect on the private sector.
Fiscal Estimate
The department estimates that the proposed rule will have no significant fiscal impact.
Effect on small business:
These proposed rules will have no significant economic impact on small businesses, as defined in s.
227.114 (1), Stats. The Department's Regulatory Review Coordinator may be contacted by email at
larry.martin@drl.state.wi.us, or by calling (608) 266-8608.
Agency Contact
Pamela Haack, Paralegal, Department of Regulation and Licensing, Office of Legal Counsel, 1400 East Washington Avenue, Room 152, P.O. Box 8935, Madison, Wisconsin 53708-8935. Telephone: (608) 266-0495. Email:
pamela.haack@drl.state.wi.us.
Place where comments are to be submitted and deadline for submission:
Comments may be submitted to Pamela Haack, Paralegal, Department of Regulation and Licensing, 1400 East Washington Avenue, Room 152, P.O. Box 8935, Madison, Wisconsin 53708-8935, or by email at
pamela.haack@drl.state.wi.us. Comments must be received on or before December 13, 2006, to be included in the record of rule-making proceedings.
Text of Rule
SECTION 1. RL 4.07 (66m) is created to read:
RL 4.07 (66m) Registered sanitarian.
SECTION 2. Chapters
RL 174 to
177 are created to read:
Chapter
RL 174
REGISTERED SANITARIANS AUTHORITY, SCOPE, PURPOSE AND DEFINITIONS
RL 174.01 Authority and intent. The rules in chs.
RL 174 to
177 are adopted pursuant to s.
440.98, Stats., and are intended to replace the former rules in ch.
HFS 160.
RL 174.02 Scope. The rules in chs.
RL 174 to
177 shall apply to all persons educated and experienced in the field of environmental health who desire to be registered as a “registered sanitarian."
RL 174.03 Purpose. Sanitarian registration minimum qualifications are established to:
(1) Safeguard life, health and the environment.\
(2) Identify persons qualified in environmental health services.
(3) Develop reciprocity agreements with states having equivalent registration requirements.
(4) Promote the delivery of environmental health services by qualified individuals certified on the basis of recognized examination.
RL 174.04 Definitions. (1) “Accredited college or university" means an educational institution that is accredited by a regional or national accrediting agency recognized by the U.S. Department of Education.
(2) “Department" means the department of regulation and licensing.
(3) “Environmental health" means the science and art which pertains to the protection of human health through the assessment, management, control and prevention of environmental factors that may adversely affect the health, comfort, safety or well being of individuals or the environment.
(4) “Field of environmental health" means employment, whether private or public, where the principles of environmental health are directly applied to one or more of the following areas:
(a) Air quality.
(b) Food protection.
(c) Hazardous substances.
(d) Product safety.
(e) Housing.
(f) Institutional health and safety.
(g) Radiation protection.
(h) Recreational areas and waters.
(i) Solid waste management.
(j) Vector control.
(k) Water quality.
(L) Wastewater technology and management.
(m) Hazardous waste management.
(n) Industrial hygiene.
(o) Water supply.
(5) “Full-time equivalent employment" means an accumulation of 2,080 hours for one year of creditable employment experience in the field of environmental health. All creditable hours shall be within the scope of environmental health practice.
(6) “Nationally recognized professional examination" means a department approved written examination designed to assess the knowledge and competence of professional sanitarians.
(7) “Registered sanitarian" means a sanitarian or environmental health professional registered in accordance with the provisions of chs.
RL 174 to
177 and s.
440.98, Stats.
(8) “Registered sanitarian advisory committee" means the committee established by the secretary of the department, pursuant to s.
440.042, Stats., to advise the department in matters related to the administration of chs.
RL 174 to
177.
Chapter
RL 175
APPLICATION FOR REGISTRATION
RL 175.01 Application. Any person seeking a certificate of registration as a sanitarian shall submit a completed application on forms supplied by the department.
Note: Application forms are available on request to the department located at 1400 East Washington Avenue, P.O. Box 8935, Madison, Wisconsin, 53705, or from the department's website at:
http://drl.wi.gov.
RL 175.02 Qualifications for examination. (1) The department shall issue an approval for examination to an individual who meets the educational and qualifying work experience requirements under this chapter and whose application has been approved by the department.
(2) An applicant for examination shall submit evidence, including verified college or university transcripts, and completion of one of the following combinations of education and experience:
(a) A baccalaureate or higher degree in environmental health from an accredited college or university with at least 30 semester or 45 quarter hour academic credits in environmental, physical, biological, chemical, and environmental health areas and one year of full-time equivalent employment in the field of environmental health.
(b) A baccalaureate or higher degree in physical or biological sciences from an accredited college or university with at least 30 semester or 45 quarter hour academic credits in environmental, physical, biological, chemical, and environmental health areas and 2 years of full-time equivalent employment in the field of environmental health.
(c) A baccalaureate or higher degree from an accredited college or university and 4 years of full-time equivalent employment in the field of environmental health.
(d) An associate degree from an accredited college, community college or technical institute in environmental, physical, biological and chemical sciences, and 5 years of full-time equivalent employment in the field of environmental health.
(e) An associate degree from an accredited college, community college or technical institute and 8 years of full-time equivalent employment in the field of environmental health.
(3) Proof of required education shall be submitted in the form of an original official transcript and shall be sent by the educational institution to the department.
RL 175.03 Verification of sanitarian experience. For purposes of verifying the qualified sanitarian work experience required under this chapter, an applicant shall submit a detailed description of the position held, length of employment, duties of the position, and name of work supervisor.
RL 175.04 Employer work verification. An applicant shall provide verification from their work supervisor of the applicant's work experience describing the applicant's job duties and number of hours worked per year in the field of environmental health.
RL 175.05 Application review. (1) An applicant shall submit a completed application for examination and the application fees prior to the scheduled review of applications by the department. The department application procedures and application fees policies in ch.
RL 4 shall apply to the review and processing of applications for examination.
(2) The department, in consultation with the advisory committee, shall make an investigation as it deems necessary to determine if the applicant shall be admitted to the examination for registration and may request additional documentation prior to approving an application.
(3) The applicant shall be notified in writing of the department's decision regarding their application. An applicant may appeal the application review decision of the department in accordance with ch.
RL 1 procedures.
RL 175.06 Reciprocal licensure and certification. Upon application and payment of the appropriate application fee, an applicant who holds a certificate of registration or license as a sanitarian in good standing issued by the proper authority of any state, or territory, or possession of the United States, foreign country, or any other organization that registers or certifies sanitarians, may receive a certificate in this state provided that the requirements for the registration in the other jurisdiction are comparable to the qualifications for registration in this chapter. The successful passage of a recognized professional examination of any other state, territory or possession, country or organization, may be construed as tantamount to passing the required examination recognized by the department, provided that the scope of the examination and the applicant's passing score is comparable to the examination and passing score administered under this chapter.
RL 176.01 Examination requirements. (1) All applicants for registration shall be required to pass a nationally recognized professional examination or other professional examination approved by the department.
(2) Notice of eligibility to take the national examination shall be provided to those who have completed and approved applications on file. The notice of eligibility shall be presented by the applicant to gain attendance to the examination site.
(3) The applicant shall notify the department and testing agency of any change of their mailing address.
RL 176.02 Notice of examination results. (1) An applicant for registration shall receive notification of their examination results.
(2) An applicant must receive a passing grade determined by the department to represent the minimum competence to practice. The department may accept the passing grade recommendation of a testing agency whose examination has been approved by the department.
(3) The department may refuse to release the grade or issue a certificate of registration if the department determines that an applicant violated the rules of conduct of the examination or otherwise acted dishonestly.
RL 176.03 Reexamination. An applicant who fails to achieve passing grades on the examinations required under this chapter may reapply for examination on forms provided by the department. No applicant shall make more than 3 attempts to pass the examination within any 12 month period. For each reexamination, the applicant shall pay the reexamination fee specified by the department.
Note: Application forms are available on request to the department located at 1400 East Washington Avenue, P.O. Box 8935, Madison, Wisconsin 53708 or from the department's website at:
http://drl.wi.gov.
Chapter
RL 177 - UNPROFESSIONAL CONDUCT
RL 177.01 Unprofessional conduct. A registered sanitarian shall comply with the standards of practice established by s.
440.98, Stats., and this chapter. The violation of any provision of this chapter, or the aiding or abetting of any of the following, without limitation because of enumeration, constitutes unprofessional conduct and may result in disciplinary action:
(1) Making a materially false, misleading, deceptive, or fraudulent representation in an application for a certificate of registration, including but not limited to, misrepresenting qualifications, education, experience, credentials or professional affiliations.
(2) An administrative or judicial determination that the registrant has made false, misleading, deceptive, or fraudulent representations in the course of practice as a registered sanitarian.
(3) Any sanction, suspension, or disciplinary action taken against the registrant in this state or another jurisdiction arising out of any occupational or professional conduct.
(4) Violating any rule adopted by the department relating to the practice of a registered sanitarian, or any term, provision, or condition of any order issued by the department.
(5) Failing to practice as a registered sanitarian within the scope of the registrant's competence, education, training and experience.
(6) Practicing in a manner that substantially departs from the standard of care ordinarily exercised by a registered sanitarian or any gross professional negligence, incompetence, or misconduct.
(7) Failing to notify the department of any criminal conviction within 30 days after the date of conviction and failing to provide a copy of the judgment of conviction to the department. Conviction of any crime which is substantially related to the practice of a registered sanitarian shall be grounds for discipline against the registrant.
(8) Subject to ss.
111.321,
111.322 and
111.335, Stats., to have been convicted of a felony in this state or a crime in another state that if committed in this state would be a felony.
(9) Failing to cooperate in a timely manner with the department's investigation of a complaint filed against the registrant. A registrant who takes longer than 30 calendar days to respond to a request of the department is subject to a rebuttable presumption of failing to act in a timely manner under this subsection.
Notice of Hearing
Revenue
Notice is hereby given that, pursuant to s.
227.11 (2) (a), Stats., and interpreting ss.
139.362 and
139.801, Stats., the Department of Revenue will hold a public hearing at the time and place indicated below, to consider the creation of rules relating to
cigarette and tobacco products tax bad debt deductions.
Hearing Information
The hearing will be held at 9:00 A.M. on Friday, December 15, 2006, in the Events Room (1st floor) of the State Revenue Building, located at 2135 Rimrock Road, Madison, Wisconsin.
Handicap access is available at the hearing location.
Comments on the Rule
Interested persons are invited to appear at the hearing and may make an oral presentation. It is requested that written comments reflecting the oral presentation be given to the department at the hearing. Written comments may also be submitted to the contact person shown below no later than December 22, 2006, and will be given the same consideration as testimony presented at the hearing.
Contact Person
Small Businesses: Others:
Tom Ourada Dale Kleven
Dept. of Revenue Dept. of Revenue
Mail Stop 624-A Mail Stop 6-40
2135 Rimrock Road 2135 Rimrock Road
P.O. Box 8933 P.O. Box 8933
Madison, WI 53708-8933 Madison, WI 53708-8933
Telephone (608) 266-8875 Telephone (608) 266-8253
Analysis by the Department of Revenue
Explanation of agency authority: Each agency may promulgate rules interpreting the provisions of any statute enforced or administered by it, if the agency considers it necessary to effectuate the purpose of the statute.
Related statute(s) or rule(s): There are no other applicable statutes or rules.
Plain language analysis: This proposed rule clarifies the following as to when and how a person who pays cigarette taxes or a distributor who pays tobacco taxes is to claim the deduction allowed under ss.
139.362 and
139.801, Stats. for cigarette and tobacco products tax attributable to bad debt:
The deduction shall be claimed on the monthly tax report for the month in which the debt is written off as uncollectible and is eligible to be deducted as a bad debt under s. 166 of the Internal Revenue Code. A claimant shall complete Form CT-117, Cigarette Distributor Bad Debt Deduction for Uncollectible Wisconsin Cigarette Tax, or Form TT-117, Tobacco Products Distributor Bad Debt Deduction for Uncollectible Wisconsin Tobacco Products Tax, for all amounts claimed.
Payments and credits applied to a debt before it is written off as uncollectible shall be apportioned to the amount of such debt attributable to cigarette or tobacco products tax using the ratio of the total cigarette or tobacco tax to be paid per the invoice to the total amount to be paid per the invoice. The amount so apportioned shall reduce the amount of debt attributable to cigarette or tobacco tax to arrive at the amount of the deduction.
If the deduction is claimed for a month when the cigarette or tobacco products tax rate is different from the rate in effect when the cigarettes or tobacco products were sold, the tax rate in effect when the cigarettes or tobacco products were sold shall be used to determine the deduction.
A deduction shall not be allowed for cigarette and tobacco products tax attributable to bad debt incurred on illegal sales of cigarettes or tobacco products.
A recovery of a bad debt for which a deduction was claimed shall be included in the monthly tax report for the month in which the recovery occurs, and the tax shall be paid with the report.
Summary of, and comparison with, existing or proposed federal regulation: There is no existing or proposed federal regulation that is intended to address the activities to be regulated by the rule.
Comparison with similar rules in Illinois, Iowa, Michigan, and Minnesota:
Illinois – No similar rule exists.
Iowa – No similar rule exists.
Michigan – Michigan has a provision for a tobacco products tax bad debt deduction. The amount deducted must be charged off as uncollectible on the books of the licensee and must be eligible to be claimed as a bad debt deduction for federal income tax purposes. A recovery of any amount that has been deducted must be paid back by the licensee. Only the portion of the bad debt attributable to tobacco products tax is deductible.
Minnesota – Minnesota has a provision for a credit for cigarette taxes attributable to a bad debt. The taxes must have been included in a transaction the consideration for which was a debt owed to the taxpayer and which became uncollectible, but only in proportion to the portion of debt that became uncollectible. The debt must qualify as a bad debt for federal income tax purposes. A recovery of the cigarette taxes claimed as a refund must be paid back by the taxpayer.
Summary of factual data and analytical methodologies:
2005 Wisconsin Act 25 created ss.
139.362 and
139.801, Stats., which allow a deduction for cigarette and tobacco products tax attributable to bad debt. In reviewing the statutory language providing for the deduction, the department concluded that it would need to provide clarification as to when and how the deduction may be claimed. Starting with language from s.
Tax 4.12, which clarifies when and how a supplier required to be licensed by the department may recover the motor vehicle fuel tax from the department when a purchaser is unable to pay the tax to the supplier, the department developed this proposed rule.
Analysis and supporting documents used to determine effect on small business: The proposed rule provides clarification that will help determine the allowable amount of the deduction for cigarette and tobacco products tax attributable to bad debt under ss.
139.362 and
139.801, Stats., and when the deduction may be claimed. As the proposed rule does not impose any significant financial or other compliance burden, the department has determined that it does not have a significant effect on small business.
Anticipated costs incurred by private sector: This proposed rule does not have a significant fiscal effect on the private sector.
Effect on small business: This proposed rule does not have a significant effect on small business.
Agency contact person: Please contact Dale Kleven at (608) 266-8253 or
dkleven@dor.state.wi.us, if you have any questions regarding this proposed rule.
Place where comments are to be submitted and deadline for submission: Comments may be submitted to the contact person shown below no later than one week after the public hearing on this proposed rule is conducted. Information as to the place, date, and time of the public hearing will be published in the Wisconsin Administrative Register.
Dale Kleven
Department of Revenue
Mail Stop 6-40
2135 Rimrock Road
P.O. Box 8933
Madison, WI 53708-8933
Text of Rule
SECTION 1. Tax 9.70 is created to read:
Tax 9.70 Cigarette and tobacco products tax bad debt deductions. (1) PURPOSE. This section clarifies when and how a person who pays cigarette taxes or a distributor who pays tobacco taxes may claim a deduction under ss.
139.362 and
139.801, Stats., for cigarette and tobacco products tax attributable to bad debt.
(2) DEFINITIONS. In this section:
(b) “Cigarette" has the meaning given in s.
139.30(1m), Stats.
(c) “Distributor" has the meaning given in s.
139.75(4), Stats.
(d) “Tobacco products" has the meaning given in s.
139.75(12), Stats.
(3) BAD DEBTS. (a) Deduction from measure of tax. Using form CT-117, titled “Cigarette Distributor Bad Debt Deduction for Uncollectible Wisconsin Cigarette Tax," or form TT-117, titled “Tobacco Products Distributor Bad Debt Deduction for Uncollectible Wisconsin Tobacco Products Tax," a person who pays cigarette taxes or a distributor who pays tobacco taxes may claim a deduction on the monthly tax report for the cigarette and tobacco products tax attributable to bad debt that is written off as uncollectible in their books and records and that is eligible to be deducted as bad debt under s. 166 of the internal revenue code.
(b) When to report the deduction. The deduction under par. (a) shall be claimed on the monthly tax report that is submitted for the month in which the amount of the deduction is written off as uncollectible and in which such amount is eligible to be deducted as a bad debt under s. 166 of the internal revenue code.
Example: A distributor writes off a debt attributable to tobacco products tax on September 10, 2005. At the time the debt is written off it is eligible to be deducted as a bad debt under s. 166 of the internal revenue code. The distributor may claim a bad debt deduction by attaching a completed form TT-117 to the monthly tobacco products tax report filed for the month of September 2005.
(c) Recovery of bad debt. If a person who pays cigarette taxes or a distributor who pays tobacco taxes subsequently collects in whole or in part any bad debt for which a deduction is claimed under par. (a), they shall include the amount collected in the monthly tax report filed for the month in which the amount is collected and shall pay the tax with the report.
(d) Payments and credits. Payments and credits applied to a debt before it is written off as uncollectible shall be apportioned to the amount of such debt attributable to cigarette or tobacco products tax on the basis of the ratio of the cigarette or tobacco products tax to be paid per the invoice to the total amount to be paid per the invoice. The amount so apportioned shall reduce the amount of debt attributable to cigarette or tobacco products tax to arrive at the deduction under par. (a).
Examples: 1) At a time when the cigarette tax rate is 3.85¢ per stick, Person A sells cigarettes to Customer B. The amount of the invoice is $10,000, consisting of cigarette tax of $1,540, cost of cigarettes of $6,000 and sundries of $2,460. Customer B defaults and discontinues operations, leaving a balance due to Person A of $2,100, which includes interest of $200 not included in the original invoice amount. The deductible tax is $292.60, computed as follows:
Tax per invoice $1,540.00
Invoice amount $10,000.00
Unpaid invoice amount -1,900.00
Paid invoice amount $8,100.00
Portion constituting tax* x.154
Tax paid - $1,247.40
Tax that may be deducted $292.60
*$1,540 tax P $10,000 invoice amount = .154.
2) At a time when the tobacco products tax rate is 25% of the manufacturer's wholesale list price, Distributor A sells tobacco products to Customer B. The amount of the invoice is $9,500, consisting of tobacco products tax of $1,250, cost of tobacco products of $5,000 and sundries of $3,250. Customer B defaults and discontinues operations, leaving a balance due to Distributor A of $3,000, which includes interest of $200 not included in the original invoice amount. The deductible tax is $365.60, computed as follows:
Tax per invoice $1250.00
Invoice amount $9,500.00
Unpaid invoice amount – -2,800.00
Paid invoice amount $6,700.00
Portion constituting tax* x.132
Tax paid - $884.40
Tax that may be deducted $365.60
*$1,250 tax P $9,500 invoice amount = .132.
(e) Tax rate change. If the deduction under par. (a) is claimed for a month when the cigarette or tobacco products tax rate is different from the tax rate in effect when the cigarettes or tobacco products were sold, the tax rate in effect when the cigarettes or tobacco products were sold shall be used to determine the amount of the deduction.
(f) Illegal sales. No deduction under par. (a) shall be allowed for cigarette and tobacco products tax attributable to bad debt incurred on sales of cigarettes or tobacco products sold in violation of state or federal law.
Example: Sales of banned products sold in violation of the directory of certified manufacturers and brands, s.
995.12, Stats.
The rules contained in this order shall take effect on the first day of the month following publication in the Wisconsin administrative register as provided in s.
227.22(2)(intro.), Stats.
Initial Regulatory Flexibility Analysis
This proposed rule order does not have a significant economic impact on a substantial number of small businesses.
