f. Include requirements that a piping installer must notify the certified inspector before starting construction of a power piping system, and give the inspector a minimum of 5 business days notice to schedule the inspection. [Comm 41.16 (2) (c) and 41.41 (2) (c)]
g. Eliminate the testing and maintenance requirements for historical boilers since the national standard that includes these requirements will be adopted by reference. [Comm 41.92]
h. Clarify that mechanical refrigeration relief discharge piping must be compatible with the refrigerant used. [Comm 45.31 (4) (b)]
Comparison with federal regulations
An Internet-based search of the Code of Federal Regulations(CFR) found the following existing federal regulations relating to the activities to regulated by this rule:
Title
10 CFR Part 50 – Domestic Licensing of Production and Utilization Facilities. This regulation of the Nuclear Regulatory Commission applies to systems and components of boiling and pressurized water-cooled nuclear power reactors. This regulation adopts portions of the ASME Boiler and Pressure Vessel Code.
An Internet-based search of the 2005 through 2008 issues of the
Federal Register found a final rule published September 29, 2005 concerning Title
10 CFR Part 50, the Nuclear Regulatory Commission (NRC). The rule amends the NRC regulations to incorporate by reference the latest edition of the ASME Boiler and Pressure Vessel Code pertaining to construction and in-service inspection of nuclear power plant components.
Comparison with rules in adjacent states
Originating in 1914, the ASME Boiler and Pressure Vessel Code is now adopted in part or in its entirety, by 49 states and numerous municipalities and territories of the United States and all the provinces of Canada.
An Internet-based search found that all adjacent states adopt by reference various editions and addenda of the ASME Boiler and Pressure Vessel Code. These states also create amendments to the adopted standard similar to Wisconsin's administrative rules for boilers and pressure vessels.
The following states and their respective departments have adopted and enforced the following ASME code editions:
a. The Illinois Office of the State Fire Marshal, Division of Boiler and Pressure Vessel Safety regulates the construction, installation, operation, inspection and repair of boilers and pressure vessels throughout the state of Illinois. The Illinois Boiler and Pressure Vessel Safety Rules and Regulations are similar to the requirements in the Wisconsin Boiler and Pressure Vessel Code, including the Illinois incorporation by reference of the ASME Boiler and Pressure Vessel Code (2001 with 2003 addenda) the National Board Inspection Code (2001 with 2003 addenda) and the API 510 standard (8th edition).
b. The Iowa Department of Workforce Development, Division of Labor Services administers and enforces the Boilers and Unfired Pressure Vessels Chapter of the Iowa Code. That chapter requires new installations of boilers and pressure vessels to be designed, manufactured, installed, inspected and stamped in accordance with the applicable requirements of the ASME Boiler and Pressure Vessel Code (2004 with 2005 addenda).
c. The Michigan Department of Labor and Economic Growth administers the Michigan Boiler Law and rules. The rules are similar to the Wisconsin rules, and establish minimum standards of safety for the use, construction, installation, inspection, alteration and repair of boilers with limited rules for specified pressure vessels. The rules adopt the National Board Inspection Code (2004 with addenda), the ASME Boiler and Pressure Vessel Code (2004 with addenda) and the ASME B31.1 Power Piping standard (2004 with addenda).
d. The Minnesota Department of Labor and Industry, Division of Boiler Inspection administers rules that address the manufacture, installation, repair, operation, safety and inspection of boilers, pressure vessels and appurtenances. The rules contain provisions for licensing of boiler operations and include minimal requirements for hobby boilers (steam traction engines). The rules are similar to Wisconsin rules and incorporate the most recent editions and addenda of the ASME Boiler and Pressure Vessel Code and the National Board Inspection Code.
Summary of factual data and analytical methodologies
The primary methodology for updating the Wisconsin Boilers and Pressure Vessels Code, chapter Comm 41 has been a review and assessment of the latest editions of the national model codes that serve as the basis for Wisconsin codes. The department's review and assessment process involved the participation of the Boiler and Pressure Vessel Code Advisory Council. The members of that Council represent the many stakeholders involved in the boilers and pressure vessels industry including manufacturers, inspectors, building contractors, regulators, labor, insurance and the public. (A listing of the Boiler and Pressure Vessel Code Advisory Council is provided at the end of this analysis.)
The department believes 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 boilers and pressure vessels in commercial and public buildings and places of employment.
The ASME Boiler and Pressure Vessel Code is kept current by the Boiler and Pressure Committee, a volunteer group of more than 950 engineers. The Committee meets regularly to consider requests for interpretations, revision and to develop new rules. In the formulation of its rules and in the establishment of maximum design and operating pressures, the Committee considers technological advances including materials, construction, methods of fabrication, inspection, certification and overpressure protection. More information on the development of these standards may be obtained from the ASME web site at
www.asme.org.
Analysis and supporting documents used to determine effect on small business
The department used the Boiler and Pressure Vessel Code Advisory Council to gather and analyze information on potential impacts in complying with both the technical and administrative requirements of the codes. A responsibility of council members is to bring forth concerns that their respective organizations may have with the requirements including economic impact.
In addition to posting rule development and council activities on the department's web site, the department offers an Email subscription service, which is available to all small businesses. This service provides Email notification of council meetings, meeting, agendas and council meeting progress reports so small businesses can follow proposed code changes.
Adopting the most current edition of the ASME national standards will not impose a significant impact on small businesses involved in the inspection, maintenance, servicing, and reporting requirements for boilers and pressure vessels.
Initial Regulatory Flexibility Analysis
Summary
The department believes the rules will not increase the effect on small businesses from what the current rules impose on them. An economic impact report is not required pursuant to s.
227.137, Stats.
Types of small businesses that will be affected by the rules.
The proposed rules will affect any business involved with the design, construction, installation, operation, inspection, testing, maintenance, repair or alteration of boilers or pressure vessels and mechanical refrigeration. The Department believes the rules will provide additional options for small businesses who want to use a solid fuel-fired water-heating appliance since the rules will permit an automatic feed system and the use of other fuels.
Reporting, bookkeeping and other procedures required for compliance with the rules.
There is no new reporting, bookkeeping or other procedure necessary for compliance with the rules.
Types of professional skills necessary for compliance with the rules.
There are no types of professional skills necessary for compliance with the rules.
Rules have a significant economic impact on small businesses?
No.
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.
Fiscal Estimate
Summary
The Safety and Buildings Division is responsible for administering and enforcing rules relating to boilers and pressure vessels. The proposed rules adopt by reference the latest edition of ASME Standards and clarify existing technical requirements. The existing requirements relating to solid fuel-fired water-heating appliances have been reorganized and modified to permit an automatic feed system and the use of other fuels. The proposed rules for solid fuel-fired water-heating appliances may slightly increase the Division's workload, but it is anticipated the work can be absorbed within the agency's budget.
The proposed rules will require inspection of solid fuel-fired water-heating appliances but it is anticipated this inspection cost will not have a significant effect on the private sector.
State fiscal effect
None
Local government fiscal effect
None
Long-range fiscal implications
None known
Notice of Hearing
Commerce
Financial Resources for Businesses and Communities, Chs.
Comm 104—
NOTICE IS HEREBY GIVEN that pursuant to section
560.207 (4) of the Statutes, the Department of Commerce will hold a public hearing on emergency rules and proposed permanent rules creating chapter Comm 132, relating to certifying applicants and allocating dairy manufacturing facility investment tax credits, and affecting small businesses.
Hearing Information
The public hearing will be held as follows:
Date and Time:
|
Location:
|
May 14, 2008
Wednesday
9:30 a.m.
|
Thompson Commerce Bldg.
Third Floor, Room 3B
201 W. Washington Avenue
Madison, Wisconsin
|
This hearing will be held in an accessible facility. If you have special needs or circumstances that may make communication or accessibility difficult at the hearing, please call Sam Rockweiler at (608) 266-0797 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.
Submission of Written Comments
Interested persons are invited to appear at the hearing and present comments on the emergency rules and proposed permanent rules.
Persons making oral presentations are requested to submit their comments in writing, via e-mail. Persons submitting comments will not receive individual responses. The hearing record on this rulemaking will remain open until May 19, 2008, 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. E-mail comments should be sent to srockweiler@commerce. state.wi.us. If e-mail submittal is not possible, written comments may be submitted to Sam Rockweiler, Department of Commerce, Division of Environmental and Regulatory Services, P.O. Box 14427, Madison, WI 53708-0427.
Copies of Proposed Rule
The emergency rules and proposed permanent rules and an analysis of the rules are available on the Internet by entering “Comm 132" 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.
Agency Contact Person
Steven Sabatke, Wisconsin Department of Commerce, Bureau of Business Finance and Compliance, P.O. Box 7970, Madison, WI, 53707-7970; telephone (608) 267-0762; e-mail
Steven.Sabatke@Wisconsin.gov.
Small Business Regulatory Coordinator
The small business regulatory coordinator for the Department of Commerce is Carol Dunn, who may be contacted at telephone (608) 267-0297, or at
cdunn@commerce.state.wi.us.
Analysis Prepared by Department of Commerce
Statutes interpreted
Statutory authority
Explanation of agency authority
Section
560.207 (4) of the Statutes requires the Department to promulgate rules for implementing and administering a program to certify applicants and allocate tax credits for the dairy manufacturing investments addressed in sections
71.07 (3p),
71.28 (3p), and
71.47 (3p) 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.
Related statute or rule
The Department has rules for several other programs associated with tax credits, but none of those programs relate specifically to investments in dairy manufacturing facilities. For example, section
560.798 of the Statutes and chapter Comm 118 both refer to the Department's Agricultural Development Zone Program, which provides tax credits to agricultural businesses for job creation, capital investment, and environmental remediation. Those businesses must be located in specific geographic agricultural development zones in the State in order to qualify.
Plain language analysis
The proposed rules in this order specify (1) the eligibility requirements for applicants; (2) the documentation that must be submitted by applicants to become certified as eligible for the dairy manufacturing facility investment credit, and to receive acceptance of incurred expenses for dairy manufacturing modernization or expansion; (3) the Department's response to the submitted documentation; and (4) use of the Department's response when filing a claim with the Department of Revenue for the corresponding tax credit.
Comparison with federal regulations
Neither the Department nor the Department of Revenue is aware of any existing or proposed federal regulations that address these tax credits.
Comparison with rules in adjacent states
Michigan. Michigan provides tax abatement to agricultural processing facilities that qualify for the Agricultural Processing Renaissance Zones (APRZ) program. There are no administrative rules for the program, but guidelines are available through the Michigan Economic Development Corporation's Web site at
http://www.themedc. org.
Minnesota. Minnesota offers various tax credit programs, but none that are similar to the dairy manufacturing facility investment credit in Wisconsin.
Iowa. In Iowa, the High Quality Job Creation Program offers tax credits, exemptions and refunds to qualifying businesses to offset the cost incurred to locate, expand, or modernize an Iowa facility. Qualifying businesses must meet several eligibility requirements, including producing value-added goods or being in one of 11 targeted industries. Administrative rules for this program are available in the Iowa Administrative Code, 261-Chapter
68. Further information is available through the Iowa Department of Economic Development Web site at
www.iowalifechanging.com.
Illinois. Illinois offers various tax credit programs, but none that are similar to the dairy manufacturing facility investment credit in Wisconsin.
Summary of factual data and analytical methodologies
The data and methodology for developing these proposed rules were derived from and consisted of (1) incorporating the criteria in
2007 Wisconsin Act 20; (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 the Department of Agriculture, Trade and Consumer Protection, 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.
Analysis and supporting documents used to determine effect on small business
The primary document that was used to determine the effect of the proposed rules on small business was
2007 Wisconsin Act 20. This Act requires the Department to implement a program to certify taxpayers as eligible for the dairy manufacturing facility investment credit under sections
71.07 (3p),
71.28 (3p), and
71.47 (3p) of the Statutes, and requires the Department to promulgate rules for administering the program. The proposed rules apply their private-sector requirements only to dairy manufacturing facilities for which a corresponding tax credit is desired.
Initial Regulatory Flexibility Analysis
Summary
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 applicants who choose to pursue tax credits for dairy manufacturing modernization or expansion activities.
Types of small businesses that will be affected by the rules.
