3. Explanation of Agency Authority. Sections
560.206 (1) and
(4) of the Statutes require the Department to promulgate rules for implementing and administering a program to accredit film productions for the purposes of sections
71.07 (5f) and
(5h),
71.28 (5f) and
(5h), and
71.47 (5f) and
(5h) of the Statutes. Section
227.11 (2) (a) of the Statutes authorizes the Department to promulgate rules interpreting the provisions of any Statute administered by the Department.
4. Related Statute or Rule. The Department has rules for several other programs associated with tax credits, but none of those programs relate to accrediting film productions or establishing film production companies.
5. Plain Language Analysis. The proposed rules specify (1) the eligibility requirements for film productions to become accredited; (2) the documentation that must be submitted to receive accreditation and to receive acceptance of incurred expenses that are related to tax credits for producing a film production in Wisconsin; (3) the documentation that must be submitted to receive acceptance of incurred expenses that are related to tax credits for establishing a film production company in Wisconsin; (4) the Department's response to the submitted documentation; and (5) use of the Department's response when filing claims with the Department of Revenue for the corresponding tax credits.
6. Summary of, and Comparison With, Existing or Proposed Federal Regulations. A federal tax incentive program for film and television productions is available under Section
181 of the Internal Revenue Code. Under the program, investors in qualifying film and television productions may elect to immediately deduct the cost of qualifying film expenditures in the year the expenditures occur. The program is in effect for qualifying productions commencing before January 1, 2009. The federal deduction applies to qualifying productions up to $15 million, or up to $20 million if the production occurs in a qualifying distressed area. The incentive can be used in conjunction with any state film incentive. The Web site reference for the section in the Code is
http://www.law.cornell.edu/uscode/html/uscode26/ usc_sec_26_00000181----000-.html.
7. Comparison With Rules in Adjacent States.
Michigan. In Michigan, rebates range from 12 to 20 percent, depending on the amount of the production spending in the state. According to the Director of the Michigan Film Office, there are no administrative rules for the program, but guidelines are available through the Office's Web site at
http://www.michigan.gov/hal/0,1607,7-160-17445_19275_37781---,00.html.
Minnesota. Minnesota offers exemptions from sales and lodging taxes, and a rebate of 15 percent for eligible production costs incurred in the state. An Internet based search did not reveal any administrative rules for the program, but guidelines are available through the following Web site:
http://www.mnfilmtv.org.
Iowa. Iowa enacted legislation on May 17, 2007, that (1) offers producers a transferable income tax credit of 25 percent of qualified in-state expenditures, (2) offers investors the same credit, and (3) offers Iowa-based companies or Iowa residents a 100-percent income exclusion for monies earned from certified projects. No administrative rules have been developed yet for this program. Further information is available through the following Web site:
http://www.traveliowa.com/film/incentives.html.
Section
528.20 of the rules defines “Illinois resident" as “an individual who is domiciled in this State during the accredited production. Except in a case where the applicant has actual knowledge, as shown in its books and records, that an individual is not an Illinois resident, the possession by an individual of an driver's license or other identification issued by this State prior to the commencement of the accredited production shall be sufficient proof that the individual is an Illinois resident and the address on the license or identification shall be deemed correct." The proposed Wisconsin rules do not include a definition of resident, but require residents to meet Department of Revenue residency criteria.
Under section 528.30, an applicant must file a written statement or other documentation showing that receiving the tax credits was essential to the decision to locate the accredited production in Illinois. According to the rules, “The documentation must show that the applicant has multi-state or international location options and could reasonably locate outside the State, or can demonstrate that at least one other state or nation is being considered for the accredited production, or other documentation showing that the receipt of the credit is a major factor in the applicant's decision to locate the accredited production in Illinois." The proposed Wisconsin rules require that in order for a production to become accredited, the production would not occur in Wisconsin without the tax benefits.
Under section 528.40, an application must be submitted at least 24 hours prior to the start of principal filming or taping. The proposed Wisconsin rules do not specify a submittal deadline prior to filming or taping. Section
528.40 also clarifies whether one or more applications can be filed for television shows with two or more episodes. The proposed Wisconsin rules do not differentiate for television shows with multiple episodes.
Section
528.50 gives an applicant 30 days to correct any deficiencies in the application, and provides 30 days to amend and re-submit an application after a denial. There are no similar timing deadlines in the proposed Wisconsin rules. Also in Section
528.50, Illinois will consider, in its evaluation of the application, whether awarding the credit will result in an overall positive impact to Illinois. Under the general eligibility criteria in the proposed Wisconsin rules, an accredited production must enhance economic development in Wisconsin.
Section
528.62 requires an applicant to quarterly submit economic impact data on jobs created and retained, and production costs. There is no such reporting requirement in the proposed Wisconsin rules, other than the information and documentation that must be submitted following completion of the accredited production, for the Department's verification and release of the tax credits.
Section
528.65 describes issuance of an “accredited production certificate" upon approval of an application. Section
528.70 details the procedures for the applicant to request a “tax credit certificate," certifying the actual amount of the credit awarded to the applicant at any time following the completion of the accredited production, but in no event later than two years following the completion of the production. This process is similar to what is described in the proposed Wisconsin rules, other than the two-year restriction. The Illinois rules also require attestation by a certified public accountant supporting the expenditures incurred by the applicant, which is not required in the Wisconsin rules.
Section
528.75 specifies the amount and duration of the tax credits. The amounts consist of (1) for productions commencing before May 1, 2006, a credit of 25 percent of the approved Illinois labor expenditures, plus an additional 10 percent for employees who earn more than $1,000 on the production and who live in geographic areas of high poverty or high unemployment; and (2) for productions commencing on or after May 1, 2006, a credit of 20 percent of the approved Illinois labor expenditures, plus an additional 15 percent for employees who earn more than $1,000 on the production and who live in geographic areas of high poverty or high unemployment. For tax years ending prior to July 11, 2005, the credit cannot be carried forward or back. For tax years ending on or after July 11, 2005, any excess credits may be carried forward for five years. The Wisconsin amounts differ by including (1) a credit of 25 percent of the salary or wages for all employees of the claimant – but capped at $25,000 per employee, and not including the two highest paid employees; (2) a credit of 25 percent of the production expenditures; and (3) a credit of 100 percent of the sales or use taxes paid for tangible personal property and taxable services that are used directly in producing an accredited production. The Wisconsin duration differs by (1) not allowing any credits to be carried forward, but (2) allowing unlimited refund of any unused credits for production expenditures.
Section
528.85 provides details for the transfer of the tax credits. The Wisconsin rules and legislation do not allow any transfer of credits.
The Illinois rules do not include any requirement that is similar to the proposed Wisconsin requirement that the production must not conflict with a desired brand image of Wisconsin.
8. Summary of Factual Data and Analytical Methodologies. The data and methodology for developing these rules were derived from and consisted of (1) incorporating the criteria in
2005 Wisconsin Act 483; (2) incorporating applicable best practices the Department has developed in administering similar programs for economic development, business development, and tax-credit verification; (3) soliciting and utilizing input from the Department of Revenue, and from representatives of the stakeholders who are expected to participate in this program; and (4) reviewing Internet-based sources of related federal, state, and private-sector information. Particular attention was focused on input from producers of advertisement commercials that they need very quick responses to submitted estimates of expenses.
9. Analysis and Supporting Documents Used to Determine Effect on Small Business or in Preparation of an Economic Impact Report. The primary document that was used to determine the effect of the proposed rules on small business was
2005 Wisconsin Act 483. This Act requires the Department to implement a program to accredit film productions for the purposes of sections
71.07 (5f) and
(5h),
71.28 (5f) and
(5h), and
71.47 (5f) and
(5h) of the Statutes, and requires the Department to promulgate rules for administering the program. This Act applies its private-sector requirements only to film productions and to film production companies, for which a corresponding tax credit is desired.
10. Effect on Small Business. The proposed rules are not expected to impose significant costs or other impacts on small businesses because the rules address submittal of documentation only by businesses that choose to pursue tax credits for producing film productions or for establishing film production companies.
Agency Contact Person
Steven Sabatke, Wisconsin Department of Commerce, Bureau of Business Development, P.O. Box 7970, Madison, WI, 53707-7970; telephone (608) 267-0762; e-mail
ssabatke@commerce.state.wi.us.
Place Where Comments Are to Be Submitted, and Deadline for Submission.
Comments on the proposed rules may be submitted by e-mail to
srockweiler@commerce.state.wi.us, no later than July 20, 2007. If e-mail submittal is not possible, written comments may be mailed, by the same date, to Sam Rockweiler, Department of Commerce, Division of Environmental and Regulatory Services, P.O. Box 14427, Madison, WI 53708-0427.
Copy of Rule
The proposed rules and an analysis of the rules are available on the internet, by entering “Comm 133" in the search engine at the following web site:
http://adminrules.wisconsin.gov. Paper copies may be obtained without cost from Steven Sabatke at the Department of Commerce, Bureau of Business Development, P.O. Box 7970, Madison, WI, 53707-7970; or at telephone (608) 267-0762 or (608) 264-8777 (TTY); or at
ssabatke@commerce.state.wi.us. Copies will also be available at the public hearing.
Environmental Assessment
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.
Any entity which chooses to apply for the tax credits established by
2005 Wisconsin Act 483 – and which either (1) produces films, videos, electronic games, broadcast advertisement, or television productions; or (2) establishes a film production company in Wisconsin.
2. Reporting, bookkeeping and other procedures required for compliance with the rules.
Applicants for tax credits relating to producing a Department-accredited production in Wisconsin must submit an application for accreditation that includes documentation of estimated, qualifying expenses – and must subsequently submit proof of incurring those expenses.
Applicants for tax credits relating to establishing a film production company in Wisconsin must submit documentation of estimated, qualifying expenses – and must subsequently submit proof of incurring those expenses.
3. Types of professional skills necessary for compliance with the rules. None.
4. Will the rules have a significant economic impact on small businesses? No.
The small business regulatory coordinator for the Department of Commerce is Carol Dunn, who may be contacted at telephone (608) 267-0297, or by e-mail at
cdunn@commerce.state.wi.us.
Fiscal Estimate
Although the proposed rules would newly result in review and approval of documentation relating to tax credits for producing film productions or for establishing film production companies, the number of these reviews and approvals is expected to be too small to result in significant changes in the Department's costs for administering its business development programs. Therefore, the proposed rules are not expected to have any significant fiscal effect on the Department.
The overall revenue impact on the state is uncertain and could be significant. The actual revenue impact will depend on the effectiveness of the tax credits in inducing new activity, the extent to which benefits accrue primarily to film productions and to film production companies that would not occur in Wisconsin without the credits, and the magnitude and nature of the expenditures associated with the new film productions.
The proposed rules are not expected to impose any significant costs on the private sector, because the rules address only voluntary submittal of documentation relating to tax credits for producing film productions or for establishing film production companies.
The long-range fiscal implications are not known at this time, because there is too much uncertainty about whether the tax benefits will actually accrue only to film productions and to film production companies that would not occur in Wisconsin without the benefits.
Notice of Hearing
Dentistry Examining Board
NOTICE IS HEREBY GIVEN that pursuant to authority vested in the Dentistry Examining Board in ss.
15.08 (5) (b),
227.11 (2) and
447.02 (2) (b), Stats., and interpreting s.
447.02 (2) (b), Stats., the Dentistry Examining Board will hold a public hearing at the time and place indicated below on emergency rules to amend the effective date of
CR 04-095, relating to the requirements for administering the office facilities and equipment for safe and effective administration and the applicable standards of care, and to provide for reporting of adverse occurrences related to anesthesia administration.
Hearing Date, Time and Location
Date: July 11, 2007
Time: 9:00 a.m.
Location: 1400 East Washington Avenue
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 Administrative Rules, P.O. Box 8935, Madison, Wisconsin 53708. Written comments must be received by July 12, 2007, to be included in the record of rule-making proceedings. Analysis prepared by the Department of Regulation and Licensing.
Analysis
Explanation of agency authority: The Dentistry Examining Board has the authority under s.
447.02, Stats., to establish the standards, conditions, and any educational requirements that must be met by a dentist in order to induce anesthesia in connection with the practice of dentistry. Presently, those standards are set forth in Ch.
DE 11. The adopted rules better identify the different levels of anesthesia, including nitrous oxide, anxiolysis, conscious sedation-enteral, conscious sedation-parenteral, deep sedation, and general anesthesia, and the requirements for each level. The rule is intended to ensure that practitioners are adequately trained before they induce anesthesia and that the public is sufficiently protected.
Related statute or rule: There are no related statutes or rules other than those listed above.
Plain language analysis: The purpose of this rule is to delay the effective date of
CR04-095, from July 1, 2007 to November 1, 2007, by amending the emergency rule that moved the effective date of
CR04-095 from January 1, 2007, to July 1, 2007.
CR04-095 rule establishes and modifies the training, certification and staffing requirements for administering sedation and anesthesia at all levels performed in the course of dental practice. A system of permits issued by the Department of Regulation and Licensing, which designates by class the various levels of sedation and anesthesia practice, was established. Office facility and equipment prerequisites for safe and effective administration are delineated, the applicable standards of care are specified, and the procedure necessary for reporting adverse occurrences related to anesthesia administration is described.
These requirements emerged from recent efforts by state licensing boards to regulate “oral conscious sedation." Oral conscious sedation drugs are being marketed to dentists for the purpose of managing patient anxiety surrounding dental work in patients that remain conscious throughout the procedure.
Federal Regulations
No proposed or existing federal regulation intended to address oral conscious sedation currently exists.
Comparison with Rules in Adjacent States
Illinois
The Illinois Dental Practice Act contains specific provisions governing anesthesia. Permits are required for the administration of conscious sedation. Dentists are required to have specialized training and office facilities must contain certain equipment Adverse occurrences are also required to be reported. Permits must be renewed biennially. Additional information is available at the Illinois website:
http://www.ildpr.com/WHO/ARpropsd/WEBdentrules.pdf
Indiana
The Indiana State Board of Dentistry requires dentists to obtain a permit prior to administering general anesthesia, deep sedation, or light parenteral conscious sedation. Education and training are required to obtain such permits. Permits must be renewed biennially. Five hours of continuing education are required for permit renewal. Certain emergency equipment is also required. Additional information is available at Indiana's website:
http://www.ai.org/legislative/iac/T08280/A00030.PDF
Iowa
Michigan
The Michigan Board of Dentistry has rules governing general anesthesia and intravenous conscious sedation. The Michigan Board is currently contemplating a rules' revision to include specific rules for conscious sedation. Additional information is available at Michigan's website:
Minnesota
The Minnesota Board of Dentistry has rules governing general anesthesia and conscious sedation. Education and training are required for both. However, no special permit is issued. Additional information is available at Minnesota's website:
Summary of factual data and analytical methodologies
The Dentistry Examining Board gathered information from various entities involved in promoting oral conscious sedation and others experienced in regulating the practice. Dr. Joseph Best, Clinical Assistant Professor at Marquette University School of Dentistry, presented information to the board in March, 2003. Dr. Jason Goodchild, representing The Dental Organization for Conscious Sedation, delivered a presentation to the board in May, 2003. Initially, the board decided its focus in regulating oral conscious sedation should be on how it is advertised, how it is titrated so that overdosing is prevented, and how many hours of adequate training and what level of clinical experience should be required to administer it. The subject was further discussed at the American Association of Dental Examiners' 2003 annual meeting in San Francisco. The board held open session discussions as the rules process advanced, and legal counsel reviewed the rules of other states. Eventually the focus of the board broadened, resulting in revision of the board's anesthesia rule with sedation levels identified and a system of permits required for various levels of anesthesia.
Anticipated Costs incurred by Private Sector
The Department of Regulation and Licensing has determined that this rule has no significant fiscal effect on the private sector.
Fiscal Estimate
Implementing the provisions of these rule changes will cost the Department of Regulation and Licensing the value of salary and fringe for one time of $18,611 and on-going annually $10,100.
Develop Course List for Specialty Code
|
|
|
Forms development -- 60 hours PA Time @ 17 hr including fringe
|
1,020
|
|
Database Update -- 50 hrs (1 hr/wk)
|
850
|
|
Intake, correspondence -- 600 hrs (1 hr per course)
|
10,200
|
|
Calls@10 min ea, 2/crse -- 200 hrs
|
3,400
|
Office of Legal Council – Rules development
|
|
|
10 hr. paralegal @ 29 hr including fringe
|
290
|
|
5 hr. attorney @ 59 hr including fringe
|
295
|
|
|
|
Changes to IT systems for new permit
|
|
|
2 hours programmer @ $48 per hour including overhead
|
96
|
|
|
|
Credentialing--develop forms and applications
|
|
|
20 Credentialing program manger @ 36 hr including fringe
|
720
|
|
40 hours PA 3 @ $17 including fringe
|
680
|
|
20 hours legal counsel @ $53 including fringe
|
1,060
|
|
|
|
|
Total One Time
|
18,611
|
On-going Costs
:
Increased Complaint Costs approx 10 additional
complaints per year
|
All staff hourly amounts include fringe
|
|
|
2 complaints to full hearing
|
|
Screen
|
4 hrs prog asst @ 17 hr X 2
|
136
|
|
1hr leg couns @ 53 X 2
|
106
|
|
|
|
Investigate
|
6 hrs invest @ 26 X 2
|
312
|
|
|
|
Formal action
|
32 hrs pros @ 53 X 2
|
3,392
|
|
40 rs alj @ 51 X 2
|
4,080
|
|
|
|
Close
|
1 hr pa3 @ 17 hr X 2
|
34
|
|
|
|
|
8 other through invest
|
|
Screen
|
4 hrs prog asst @ 17 hr X 8
|
544
|
|
1hr leg couns @ 53 X 8
|
424
|
|
|
|
Investigate
|
6 hrs invest @ 26 X 8
|
1,248
|
|
|
|
Close
|
1 hr pa3 @ 17 hr X 8
|
136
|
|
|
|
Total On-going
|
|
10,100
|
Effect on Small Business
These proposed rules will have no significant economic impact on small businesses, as defined in s.
227.114 (1) (a), 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 person:
Pamela Haack, Department of Regulation and Licensing, Office of Legal Counsel, 1400 East Washington Avenue, Room 171, P.O. Box 8935, Madison, Wisconsin 53708-8935. Telephone: (608) 266-0495. Email: pamela.haack@ drl.state. wi.us.
Text of Rule
SECTION 1. This emergency rule amends the effective date of
CR04-095 by amending the emergency rule currently in effect which amended the effective date of
CR04-095 from January 1, 2007 to July 1, 2007. This emergency rule changes the effective date of
CR04-095 from July 1, 2007, to November 1, 2007.
Notice of Proposed Rule
