Scope statements
Agriculture, Trade and Consumer Protection
Subject
Ch. ATCP 50 - Soil and water resource management.
Objective of the rule. This rule will modify DATCP's soil and water resource management program under ch. ATCP 50, Wis. Adm. Code. The current program addresses soil and water conservation on farms, county soil and water programs, grants to counties, cost-share grants to landowners, standards for soil and water professionals, local regulation, and standards for cost-shared practices.
This rule may do all of the following:
  Modify farm conservation standards and requirements.
  Modify farm conservation cost-share standards and
  requirements.
  Clarify policy related to cost-share grants to landowners
  other than farmers.
  Modify standards and procedures for DATCP grants to
  counties.
  Modify standards and requirements related to county
  land and water resource management plans (LWRM
  plans).
  Modify certification standards for agricultural
  engineering practitioners.
  Make other changes, clarifications and updates as
  necessary.
Policy Analysis
DATCP administers Wisconsin's soil and water conservation program under ch. 92, Stats. DATCP has adopted rules for the program under ch. ATCP 50, Wis. Adm. Code. DATCP comprehensively revised ch. ATCP 50 effective in 2002. This rule will update the current rules, based on nearly 5 years of experience with rule implementation.
Farm Conservation Standards and Requirements
Current DATCP rules spell out conservation standards for farms. The standards incorporate Department of Natural Resources (DNR) standards for nonpoint source pollution control. DNR has published a rulemaking scope statement (Wis. Adm. Register No. 610), announcing that it plans to modify those standards. Among other things, DNR is proposing to add or update standards related to buffer strips, manure runoff and manure storage facility closures.
Under s. 281.16, Stats., DATCP must prescribe conservation practices and technical standards to implement DNR nonpoint pollution standards. If DNR modifies its standards, this rule will modify DATCP rules as necessary to implement the modified DNR standards. This rule may also make other changes to current conservation standards.
Cost-Share Standards and Requirements
Under current law, enforcement of conservation standards on farms is generally contingent on cost-sharing (there are some exceptions). Current DATCP rules spell out cost-sharing standards and procedures. Some of the current standards and procedures have been somewhat difficult for counties to implement, and have not provided adequate clarity for landowners. Among other things, current rules do not clearly articulate DATCP policy related to cost-sharing for landowners other than farmers. DATCP may modify current cost-share standards and procedures, where appropriate, to facilitate clear and practical cost-share implementation.
Grant Allocations to Counties
Current DATCP rules spell out standards and procedures for allocating conservation staffing and cost-share grant funds to counties. The current rules are designed to ensure a transparent and fiscally accountable allocation system. Grants are based on an annual grant allocation plan that identifies the amount allocated to each county. The current rules provide a basic minimum level of funding for every county that has adopted an LWRM plan. Remaining funds are allocated between counties on a discretionary, competitive basis. Generally speaking, DATCP does not have statutory authority to distribute grant funds to entities other than counties.
This rule may refine current grant allocation standards and procedures, as appropriate. Among other things, this rule may expand the share of grant funds that are allocated between counties on a discretionary competitive basis, based on statewide water quality priorities. This rule may make other changes, as appropriate, to streamline the grant process and ensure effective use of grant funds. This rule will not expand the types of entities that may receive grant funds from DATCP, unless the legislature gives DATCP statutory authority to award grants to those entities.
Under current DATCP rules, every county must adopt an approved LWRM plan in order to qualify for state funding. Among other things, the LWRM plan must identify county conservation priorities and strategies. Under current rules, a county must update its LWRM plan every 5 years. This rule may modify current standards for LWRM plans, including standards to improve consistency with statewide water quality objectives.
Agricultural Engineering Practitioners; Certification Standards
Current DATCP rules spell out standards and procedures for certifying agricultural engineering practitioners who design, install or approve agricultural engineering practices funded by DATCP. The current rules are largely based on standards adopted by the United States Department of Agriculture, Natural Resources Conservation Service (NRCS). The NRCS standards are updated on a regular basis. This rule may update DATCP rules, based in part on changes to the NRCS standards.
Policy Alternatives
If DATCP takes no action, current rules will remain in effect. Some current rule provisions are outdated in certain respects, and may not adequately address stakeholder needs. The current rules do not address possible changes in DNR standards related to nonpoint source pollution. Some current rule provisions may hinder effective future operation of the DATCP programs, or may limit DATCP's ability to respond to changing conditions. Some provisions may also hinder future coordination of federal, state and local conservation programs.
Statutory Authority
Staff Time Required To Develop The Proposed Rule
DATCP estimates that it will use the equivalent of 1.0 FTE staff to revise this rule. This anticipates an 18 month period for investigation and analysis, rule drafting, preparing related documents, coordinating advisory committee meetings, holding public hearings and communicating with affected persons and groups. DATCP will use existing staff to develop this rule.
Entities That May Be Affected By The Proposed Rules
County Conservation Programs. This rule may revise standards and procedures for county conservation programs, including funding standards and procedures. New grant allocation procedures may ultimately affect grant allocations between counties (this rule will not directly alter grant allocations). Some counties may need to revise their LWRM plans. County staff may need to become familiar with modified conservation standards and procedures. Rule changes may affect the certification of county agricultural engineering practitioners.
Farmers and Other Landowners. Farmers may be affected by changes to current farm conservation standards and requirements. Farmers may also be affected by changes to current cost-share standards and procedures. To the extent that this rule may ultimately affect grant allocations between counties, farmers in those counties may also be affected. This rule may also affect non-farmer landowners, to the extent that it clarifies DATCP cost-share policy related to those landowners.
Farm-Related Businesses. Farm supply organizations, nutrient management planners, soil testing laboratories, agricultural engineering practitioners, agricultural engineers, construction contractors and others provide goods and services to farmers related to farm conservation. Those entities may be affected by this rule, including changes related to conservation standards and cost-share grants to farmers.
Comparison With Federal Regulations
NRCS Conservation Standards:
NRCS has adopted standards for conservation practices cost-shared by NRCS. Current DATCP rules incorporate many NRCS standards by reference. In most cases, the standards apply only to conservation practices cost-shared with DATCP funds. But in some cases (such as nutrient management), DATCP rules incorporate the NRCS standards as mandatory pollution control standards. Enforcement of these mandatory standards is generally contingent on cost-sharing (there are limited exceptions).
NRCS standards vary, to some extent, between states. NRCS coordinates its Wisconsin standard-setting process with DATCP, DNR and others. For purposes of Wisconsin's soil and water conservation program, DATCP may incorporate NRCS standards as written or may modify the standards as appropriate. DATCP tries to ensure that state standards are reasonably consistent with NRCS standards.
This rule may modify current DATCP rules that incorporate NRCS standards by reference. This rule may incorporate updated NRCS standards, or may modify NRCS standards to make them more clear or workable in Wisconsin's soil and water conservation program.
Agricultural Engineering Practitioners; NRCS Certification Standards:
NRCS certifies agricultural engineering practitioners who design, install or approve agricultural engineering practices cost-shared by NRCS. DATCP certifies practitioners who perform similar functions under DATCP rules. DATCP rules are based on NRCS standards (but include some modifications based on Wisconsin program needs). DATCP works with NRCS and county land conservation departments to ensure that standards are reasonably consistent and meet federal, state and local needs.
Federal Conservation Funding:
The United States Department of Agriculture administers a number of federal programs that offer voluntary conservation incentives to farmers. The Environmental Quality Incentives Program (EQIP) is a key program offering cost-sharing for conservation improvements, including nutrient management plans, manure storage improvements and others.
Other programs, such as the Conservation Reserve Program (CRP) and the Conservation Reserve Enhancement Program (CREP) also provide cost-sharing and other incentives for conservation practices. DATCP attempts to coordinate state conservation funding programs with relevant federal programs.
Agriculture, Trade and Consumer Protection
Subject
Ch. ATCP 74 - Retail food establishments, local government regulation, and cost reimbursement.
Objective of the rule. Increase the reimbursement rate that DATCP receives for training, technical assistance, and evaluation services that DATCP provides to agent cities and counties that license and inspect retail food establishments on behalf of DATCP. The higher reimbursement rate is needed to cover DATCP costs, which currently exceed reimbursement amounts. This rule will restore the reimbursement rate to the former rate of 20%, which is the rate authorized under s. 97.41 (5), Stats.
Policy Analysis
DATCP licenses and inspects retail food establishments under s. 97.30, Stats. Under s. 97.41, Stats., DATCP may contract with a city or county (“local agent") to license and inspect retail food establishments in that locality on behalf of DATCP. Retail food establishments licensed by a local agent do not require a separate license from DATCP. A local agent may establish its own license fee, which may be higher than the state fee that would have applied if DATCP had licensed the retail food establishments directly.
DATCP trains local agent staff, establishes local agent performance standards, and evaluates the consistency and adequacy of local agent performance. The local agent reimburses DATCP for its training, evaluation and other services. DATCP rules specify a reimbursement rate to cover DATCP costs. The reimbursement rate is calculated as a percentage of the state license fee for retail food establishments, even if the local license fee is higher.
The statutes authorize DATCP to charge a maximum reimbursement rate of 20%. DATCP originally charged 20%, but in 2000 DATCP reduced the rate to 10%. The 10% rate has not been adequate to cover DATCP costs for the services it provides to local agents. The problem is magnified by an expansion in the local agent program. In 2000, there were only 21 local agents compared to 37 today. The current inadequate reimbursement rate, combined with growing local agent participation, has produced a substantial DATCP budget deficit.
This rule will restore the reimbursement rate to the former rate of 20%, which is the rate authorized under s. 97.41 (5), Stats. DATCP projects that the higher rate will generate adequate revenue to cover, but not exceed, DATCP's actual and reasonable costs. Under s. 97.41 (4) (b), Stats., DATCP may not require reimbursement in excess of actual and reasonable DATCP costs.
Policy Alternatives
Do nothing. If DATCP does not increase the local agent reimbursement rate, local reimbursement will not cover actual and reasonable costs and DATCP's local agent program will fall further into deficit. That situation is not sustainable. DATCP will have to cancel local agent contracts or fail its statutory and contract obligation to train and evaluate local agents. There are no statutory alternatives at this time. Section 97.41 (5), Stats., authorizes a reimbursement rate of up to 20%.
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