•
Encouraging entrepreneurs through education, training, and mentoring.
•
Improving access to capital.
•
Accelerating technology commercialization of federal research and development.
•
Strengthening interagency collaboration and coordination.
•
Providing data, research and technical resources for entrepreneurs.
•
Exploring policy incentives to support entrepreneurs and investors.
The Minority Business Development Agency in the U.S. Commerce Department has recently allocated $900,000 to seven minority business centers across the country to increase minority business access to contracting opportunities under the federal American Recovery and Reinvestment Act (ARRA). The funding will allow each center to hire at least one business development specialist to focus exclusively on ARRA to ensure minority businesses have access to federal, state and local contracting opportunities that are expected to create jobs, jumpstart growth and rebuild the economy.
Comparison with rules in adjacent states
None of the adjacent states were found to have rules that are likewise primarily directed at innovatively fostering business and community investment, job creation and retention, workforce development, and diversification of the state's economy, particularly in economically distressed areas and through minority businesses. However, the following programs in the adjacent states for enhancing community-based economic development and minority businesses appear to address some of the activities that are expected to occur under these proposed rules, for achieving this objective.
Michigan:
Michigan helps minority-owned businesses access State purchasing contracts by requiring bidders on State construction contracts to submit an equal-employment- opportunity plan. This plan describes in detail the equal-employment-opportunity efforts that the potential contract recipient has engaged in.
The Michigan State Housing Development Authority Board oversees several community and faith-based grant programs that focus on rural housing and economic development, housing counseling, community reinvestment, and Community Development Block Grants.
Minnesota:
Minnesota supports minority and inner-city business development through a Small Business Administration (SBA) Microloan program. The program helps women, low-income individuals, and minority entrepreneurs and business owners operate successful businesses, particularly in economically distressed areas. The SBA makes direct loans to eligible intermediary lenders who then make short-term loans to start-up, newly established, and growing small-business concerns. The loans can range from a few hundred dollars to $35,000. The SBA also makes grants to eligible intermediary lenders for providing marketing, management, and technical assistance to their borrowers.
Minnesota also assists economic-development efforts of a certain size in a specific area through a Certified Development Company loan program that provides joint federal and private-sector financing to small businesses – which creates jobs, increases the local tax base, and expands business-ownership opportunities. Long-term fixed-asset financing is provided by a Certified Development Company in conjunction with a second loan from a commercial lender.
Iowa:
Iowa does not appear to have a business-development program for minority-owned businesses, other than a certification program that is similar to Wisconsin's. However, Iowa has a grant program that is designed to assist low- to moderate-income entrepreneurs and microenterprises. A microenterprise is defined as a start-up, home-based or self-employed business which has five or fewer employees and which encounters barriers to obtaining business development assistance or to securing financing from conventional lending sources. Microenterprise development programs differ from traditional small business development programs by focusing on low- to moderate-income and low-wealth individuals, and on economically distressed communities and neighborhoods.
Iowa's community-based economic development programs range from Community Development Block Grant programs and Neighborhood Stabilization Grants to initiatives that support energy efficiency and conservation. They provide technical assistance and grant-writing workshops to assist communities in securing federal grants. Like Wisconsin, Iowa has a Mainstreet/Downtown program that funds renewal efforts for aged buildings and infrastructure.
Illinois:
The Illinois Business Enterprise Program promotes economic development for diverse businesses – such as those owned by minorities, women, and persons with disabilities – and awarded nearly $400 million to BEP-certified firms in 2009. The Illinois BEP-certification program operates very similarly to the Wisconsin minority-business certification program. The primary intent is to connect minority-business owners with State procurement opportunities, although in Illinois, State agencies and universities are encouraged to spend at least 19 percent of their procurement budgets with BEP-certified companies.
Illinois also has an Office of Urban Assistance that addresses the pressing economic needs of residents, businesses and stakeholders in the State's urban areas. The Office oversees an Employment Opportunities Grant Program; and implements new strategies such as an Urban Weatherization Initiative and an innovative, community-based Illinois Fresh Food Financing Initiative. The Office is also responsible for (1) incentivizing new industrial enterprises to locate in the urban areas of Illinois, thereby stimulating local economies and creating jobs; (2) gathering and providing information on revitalization efforts in urban areas to public and private entities; (3) recommending and formulating policies that result in the reconstruction of urban economies; and (4) recommending urban economic policies to the General Assembly and Governor relating to a wide variety of topics including housing, urban youth unemployment, and business incubators.
Summary of factual data and analytical methodologies
The data and methodology for developing these rules were derived from and consisted of (1) applying the corresponding provisions in
2009 Wisconsin Act 28; (2) incorporating applicable best practices the Department has developed in administering similar programs for economic development and business development; and (3) 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 rules on small business was
2009 Wisconsin Act 28. The proposed rules and the applicable portion of this Act apply their private-sector requirements only to entities that choose to pursue a corresponding grant or loan. No economic impact report was prepared.
Small Business Impact
The rules are expected to result in only beneficial effects on small business because the rules only address grants and loans for entities that undertake innovative projects for strengthening inner cities; rural municipalities; entrepreneurship; and industrial, academic and artistic clusters.
Initial regulatory flexibility analysis
Types of small businesses that will be affected by the rules.
Businesses choosing to pursue grants and loans for undertaking innovative projects for strengthening inner cities; rural municipalities; entrepreneurship; and industrial, academic and artistic clusters.
Reporting, bookkeeping and other procedures required for compliance with the rules.
An application form prescribed by the Department must be completed and submitted to the Department. Grants and loans that are awarded may be issued in conjunction with contracts that require periodic reporting of the ensuing performance.
Types of professional skills necessary for compliance with the rules.
No new professional skills are necessary for compliance with the rules.
Rules have a significant economic impact on small businesses?
No
Small business regulatory coordinator
Any inquiries for the small business regulatory coordinator for the Department of Commerce can be directed to Sam Rockweiler, as listed above.
Environmental Impact
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
Although the rules will newly result in review of documentation relating to applications and reports for grants or loans under this chapter, the time needed for these reviews is expected to be spent by current employees. Therefore, the proposed rules are not expected to have any significant fiscal effect on the Department.
The proposed rules are not expected to impose any significant costs on the private sector because the rules address submittal of documentation, and other activities, only by entities that choose to pursue obtaining grants or loans under this chapter.
State fiscal effect
None.
Local government fiscal effect
None.
Long-range fiscal implications
None known.
Agency Contact Person
Mark Richardson
Wisconsin Department of Commerce
Division of Business Development
P.O. Box 7970, Madison, WI 53703
Phone: (608) 267-0770
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 ss.
227.18 and
227.24 (4), Stats., the Office of the Commissioner of Insurance (OCI) will hold a public hearing to consider the emergency rules and proposed permanent rules to create section
Ins 3.36, Wis. Adm. Code, relating to autism spectrum disorders treatment and affecting small business.
Hearing Information
Date: May 26, 2010
Time: 1:00 p.m., or as soon thereafter as the matter
may be reached
Place: OCI, Room 227, 2nd Floor
125 South Webster Street
Madison, WI
Submittal of Written Comments
Written comments can be mailed to:
Julie E. Walsh
Legal Unit - OCI Rule Comment for Rule Ins 336
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 336
Office of the Commissioner of Insurance
125 South Webster St – 2nd Floor
Madison WI 53703-3474
Comments can be emailed to:
Julie E. Walsh
The deadline for submitting comments is 4:00 p.m. on the 10th day after the date for the hearing stated in this Notice of Hearing.
Copies of Proposed Rule and Fiscal Estimate
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, Public Information and Communications, OCI, at:
inger.williams@wisconsin.gov, (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
Statutes interpreted
Statutory authority
