11:00 a.m. to 1:00 p.m.
Havenwoods State Forest
6141 North Hopkins Street
Milwaukee, Wisconsin 53209-3565
Analysis Prepared by the Department of Agriculture, Trade and Consumer Protection
This rule implements s.
100.54, Stats. (created by
2005 Wis. Act 140), related to credit report security freezes. This rule clarifies the information that credit reporting agencies may request in order to verify the identity of persons requesting credit report security freezes. Credit reporting agencies must adopt written procedures to comply with s.
100.54, Stats., and this rule.
The Wisconsin Department of Agriculture, Trade and Consumer Protection (“DATCP") has broad general authority, under s.
93.07 (1), Stats., to interpret laws under its jurisdiction. Section
100.54 (12), Stats., specifically requires DATCP to adopt rules related to identification required of consumers requesting credit report security freezes. Under s.
100.20 (2), Stats., DATCP may adopt rules (general orders) to prohibit unfair business practices and require fair practices.
Background
Section
100.54, Stats., created by
2005 Wisconsin Act 140, regulates access to consumer credit reports. The law permits a consumer to create a “security freeze" on his or her consumer credit report. A security freeze limits the release and distribution of the consumer credit report. At any time after creating a security freeze, the consumer may ask the credit reporting agency to release the consumer's credit report for a specified period of time, or to terminate the security freeze altogether.
A consumer who asks a credit reporting agency to create or release a security freeze must provide information to verify the consumer's identity. Under s.
100.54(12), Stats., DATCP must adopt rules to define what constitutes proper identification. Under s.
100.20(2), Stats., DATCP may prohibit unfair business practices (including unfair credit reporting practices) and require fair practices.
Rule Contents
This rule defines what constitutes proper identification for a consumer who wishes to place a security freeze on his or her credit report. The rule is consistent with federal law related to proper identification. The rule does all of the following:
• Spells out the information that a credit reporting agency may require of a consumer who asks the agency to create a security freeze, in order to verify the consumer's identity.
• Spells out the information that a credit reporting agency may require of a consumer who asks the agency to release or terminate a security freeze, in order to verify the consumer's identity. The agency may require the same information that it required to create the security freeze and may, in addition, require a password assigned to the consumer when the security freeze was created.
• Requires credit reporting agencies to spell out written procedures for complying with this rule and s.
100.54, Stats.
Fiscal Impact
This rule will have no significant fiscal impact on DATCP or local units of government.
Business Impact
This rule only affects credit reporting agencies by regulating how the agency may identify consumers who request security freezes or changes to their security freeze status. The rule has no effect on a business that is not a credit reporting agency. Currently, there are only 3 credit reporting agencies operating in the United States. None of these are small businesses.
Federal Regulations
The federal Fair Credit Reporting Act of 2003 allows consumers who are victims of identity theft to freeze their credit reports. If a consumer is not a victim of identity theft, they have no option under federal law to place a freeze on their credit report. For victims of identity theft, federal rules under
16 CFR § 614.1 spell out the information that a credit reporting agency may use to verify the identity of consumers who ask the agency to create or release a security freeze. Federal standards are consistent with the standards in s.
100.54, Stats., and this rule.
Regulation in Surrounding States
Approximately 17 states have enacted laws that require consumer credit reporting agencies to freeze consumer credit reports upon request. Under all of those laws, credit reporting agencies may require requesting consumers to submit information to verify their identity. Most states allow credit reporting agencies to demand “information generally deemed sufficient to identify a person." If that information is insufficient, some states allow the consumer reporting agency to request “additional information concerning the consumer's employment and personal or family history in order to verify his or her identity."
Of the states surrounding Wisconsin, Illinois and Minnesota have enacted security freeze legislation. Security freeze legislation has been introduced, but not yet enacted, in Iowa and Michigan.
The Minnesota law took effect on August 1, 2006 and the Illinois law will take effect on January 1, 2006. The Minnesota and Illinois laws, like most other state laws on the subject, allow credit reporting agencies to demand “information generally deemed sufficient to identify a person." If that information is insufficient, Illinois law allows the consumer reporting agency to request “additional information concerning the consumer's employment and personal or family history in order to verify his or her identity."
Notice of Hearings
Agriculture, Trade and Consumer Protection
The state of Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) announces that it will hold public hearings on a proposed amendment to chapter ATCP 30, Wis. Adm. Code, relating to chloropicrin and metam sodium soil fumigants.
DATCP will hold two public hearings at the times and places shown below. DATCP invites the public to attend the hearings and comment on the proposed rule. Following the public hearings, the hearing record will remain open until Friday, February 9, 2007 for additional written comments. Comments may be sent to the Division of Agricultural Resource Management at the address below, by email to
jeff.postle@datcp.state.wi.us or online at
https://apps4.dhfs.state.wi.us/admrules/public/Home.
You may obtain a free copy of this rule by contacting the Wisconsin Department of Agriculture, Trade and Consumer Protection, Division of Agricultural Resource Management, 2811 Agriculture Drive, P.O. Box 8911, Madison, WI 53708. You can also obtain a copy by calling (608) 224-4503 or emailing
jeff.postle@datcp.state.wi.us. Copies will also be available at the hearings. To view the proposed rule online, go to:
To provide comments or concerns relating to small business, please contact DATCP's small business regulatory coordinator Keeley Moll at the address above, by emailing to
Keeley.Moll@datcp.state.wi.us or by telephone at (608) 224-5039.
Hearing impaired persons may request an interpreter for these hearings. Please make reservations for a hearing interpreter by January 12, 2007, by writing to Jeff Postle, Division of Agricultural Resource Management, P.O. Box 8911, Madison, WI 53708-8911, telephone (608) 224-4503. Alternatively, you may contact the DATCP TDD at (608) 224-5058. Handicap access is available at the hearings.
Hearing Dates and Locations
Tuesday, January 23, 2007
2:00 p.m. to 5:00 p.m.
Wisconsin Department of Agriculture, Trade and Consumer Protection
2811 Agriculture Drive
Madison, WI 53718
Tuesday, January 30, 2007
3:00 p.m. to 7:00 p.m.
Elizabeth Inn
Highway 54 and 51
Stevens Point, WI 54481
Analysis Prepared by the Department of Agriculture, Trade and Consumer Protection
This rule regulates the use of soil fumigant pesticides containing chloropicrin or metam sodium active ingredients. This rule does all of the following:
Creates new rules to regulate the use of chloropicrin soil fumigants.
Modifies current rules regulating the use of metam sodium soil fumigants. Among other things, this rule relaxes current post-application monitoring requirements and current setback requirements for “tarped" applications.
Statutory Authority
The Wisconsin Department of Agriculture, Trade and Consumer Protection (“DATCP") has general authority to adopt rules interpreting statutes under its jurisdiction (
see s.
93.07 (1), Stats.). DATCP is specifically authorized to adopt rules under s.
94.69 (1) (i), Stats., to regulate the use of pesticides.
Background
DATCP administers Wisconsin's pesticide laws. Chloropicrin and metam sodium are soil fumigant pesticides, used mainly by potato growers to control nematodes. Under current DATCP rules, persons using metam sodium soil fumigants must take certain steps to prevent human exposure to volatilized fumigant (there are no equivalent rules for chloropicrin applications). Under current metam sodium rules:
Applicators must be properly certified.
No agricultural application may be made within ¼ mile of a hospital, nursing home, jail or prison, or within ¼ mile of a school that will be in session during the application or within 48 hours after the application.
Agricultural application sites must be covered by a tarp or other impermeable barrier, except when the soil fumigant is injected into the soil or applied by specified chemigation procedures. Application by knife rig injection is prohibited when soil temperatures are too high.
Applicators must pre-notify county public health authorities, and neighbors within ¼ mile, prior to any “chemigation" application. “Chemigation" applications must comply with specific rule standards.
Applicators must monitor application sites after the application, and must take appropriate steps to prevent pesticide drift. Applicators must notify Wisconsin emergency management if it appears that pesticide drift may contact residences or public buildings.
Applicators must keep specified records related to metam sodium applications.
Rule Contents
This rule regulates chloropicrin applications in the same way that current rules regulate metam sodium applications (see above). This rule also modifies current metam sodium regulations as follows (the same regulations will apply to chloropicrin):
For “tarped" agricultural applications, this rule reduces the required minimum setback from schools, hospitals, nursing homes, jails and prisons from 1/4 mile to 1/8 mile. For “untarped" agricultural applications, the required minimum setback remains at 1/4 mile.
The setback requirements applicable to schools are also made applicable to licensed daycare facilities. An exception is provided for an application to a plant nursery that was in existence prior to the first date the daycare facility was licensed if the nursery operator provides at least 24 hours prior notice of the application to the daycare facility operator.
This rule relaxes current follow-up monitoring requirements. Under current rules, a certified applicator must inspect the application site 4-6 hours after the application is completed and again 9-12 hours after the application is completed. Under this rule, a certified applicator must only conduct one follow-up inspection, within one hour of sunset on the day of application.
This rule updates current emergency government references, and makes other minor editorial changes.
Federal Regulations
The U.S. Environmental Protection Agency (EPA) regulates pesticides under the Federal Insecticide, Fungicide and Rodenticide Act. Pesticides must be registered with EPA. EPA registers pesticides and pesticide labels for specific uses. The pesticide manufacturer must provide safety, environmental and other data to support the registration. Pesticide labeling must conform to the EPA registration. Federal and state law prohibit sale or use inconsistent with label directions. Wisconsin and other states work with EPA to assure proper use and handling of pesticides.
States may regulate pesticide applications within their own territory. States may act on their own authority (independent of EPA), and may establish use restrictions that go beyond federal label restrictions. Wisconsin currently has restrictions on the use of metam sodium pesticides that go beyond federal label restrictions.
Surrounding State Regulations
Other states, like Wisconsin, regulate pesticide applications generally. However, none of the states surrounding Wisconsin has adopted specific requirements for metam sodium or chloropicrin applications, beyond requirements specified on the federally-approved pesticide labels.
Business Impact
Businesses Affected
This rule regulates commercial pesticide applicators and agricultural producers that apply or receive applications of metam sodium and chloropicrin soil fumigants. Many of the regulated businesses are small businesses, but others are large. Most of the regulated farmers are potato growers.
This rule protects neighboring farms and businesses from adverse effects of improper soil fumigant applications. Many of the protected businesses are small businesses.
Effects on Business
This rule imposes new regulations on the use of chloropicrin soil fumigants (see above). Approximately 71,000 acres of potatoes were planted in Wisconsin in 2004. Chloropicrin is currently applied on approximately 2,000 acres of potatoes and 25 acres of state-owned seedling nurseries in Wisconsin. Chloropicrin applications are made by commercial pesticide applicators that have the equipment and expertise to handle and apply chloropicrin. Chloropicrin-treated acreage is expected to increase due to pest problems and the efficacy of chloropicrin products.
DATCP estimates that this rule will cost $8,000 to $12,000 per year for the industry as a whole, mainly for increased costs of applying chloropicrin to approximately 2,000 acres of potatoes. Increased pesticide applicator costs will generally be passed on to farmers. Most of the farms that use chloropicrin are small businesses, but the single largest user (accounting for approximately 25% of the treated acreage) is not a small business.
This rule relaxes some current requirements related to metam sodium applications (post-application inspection requirements and setbacks for “tarped" applications). Farmers and pesticide application businesses that apply metam sodium soil fumigants may experience a small decrease in costs as a result of these changes.
By establishing clear application standards and procedures, this rule protects neighboring farms, businesses and individuals from improper applications. It also helps protect complying pesticide users from liability for offsite movement.
This rule applies to large and small businesses alike. An exemption for small business would undermine the effectiveness of the rule in preventing human exposure to metam sodium and chloropicrin. This rule will not have a significant adverse economic impact on small business. Therefore, it is not subject to the delayed small business effective date provision in s.
227.22 (2) (e), Stats.
Fiscal Impact
This rule will not have a significant fiscal impact on Wisconsin state or local government. DATCP will incur some costs for compliance monitoring. However, DATCP expects to absorb those costs. The fiscal estimate is based on the current use of chloropicrin in Wisconsin.
Environmental Impact
This rule regulates chloropicrin soil fumigant applications to prevent potentially hazardous off-site movement of volatilized chloropicrin. This will help prevent harm to human beings and sensitive animal species.
