Rule-Making Notices (Hearing Notices)

James W. Harris

Legal Unit - OCI Rule Comment for Rule Ins 5101

Office of the Commissioner of Insurance

125 South Webster St – 2nd Floor

Madison WI 53703-3474

Comments can be emailed to:

James W. Harris

[e-mail]

Comments submitted through the Wis. Administrative Rule Web site at: http://adminrules.wisconsin.gov on the proposed rule will be considered.

The deadline for submitting comments is 4:00 p.m. on the 7th day after the date for the hearing stated in this Notice of Hearing.

Copies of Proposed Rule

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: [e-mail], [phone], 125 South Webster Street – 2nd Floor, Madison WI or PO Box 7873, Madison WI 53707-7873.

Analysis Prepared by the Office of the Commissioner of Insurance

Statutes interpreted

Sections 600.01 and 623.11, Stats.

Statutory authority

Sections 601.01, 601.41 (3), 601.42, 611.19 (1), 618.21, 623.02 and 623.11, Stats.

Explanation of agency authority

The commissioner may establish by rule minimum ratios for determination of the amount of compulsory surplus that an insurer is required to have in order not to be financially hazardous under s. 645.41, Stat., as an amount that will provide reasonable security against contingencies affecting the insurer's financial position, in relation to any relevant variables as set forth in s. 623.11 (2), Stat. The national association of insurance commissioners (NAIC) has by model regulation suggested updated ratios to apply to health insurers and property and casualty insurers. The commissioner has determined that solvency monitoring of fraternal insurers will be enhanced by including the insurers in RBC reporting requirements.

Related statutes or rules

None.

Plain language analysis and summary of the proposed rule

The proposed rule will modify the risk-based capital (RBC) requirements for insurers to include under the definition of a company action level event a trend test for property and casualty insurers and health insurers. The NAIC has amended instructions for property and casualty insurers and health insurers to include a trend test to improve the monitoring of insurer solvency. Under the proposed rule a company action level event would occur if the insurer's adjusted capital is between 2.0 and 3.0 times the authorized control level RBC and the insurer triggers a negative trend test determined in accordance with NAIC instructions.

Under the current rule, fraternal insurers are exempt from the RBC filing requirements, unless the commissioner finds that inclusion would improve solvency monitoring. The proposed rule will remove the general exemption and fraternal insurers will be subject to the same RBC reporting requirements as life insurers.

Comparison with federal regulations

There are no comparable federal regulations that are intended to address capital requirements for insurers.

Comparison of similar rules in adjacent states

Illinois:

215 IL Comp. Stat. 5/35 A-1-70, contains capital requirements for insurers comparable to the existing Wisconsin rule. To date there has been no formal adoption of language similar to the proposed rule.

Iowa:

Iowa Code ch. 521 F, contains capital requirements for insurers comparable to the existing Wisconsin rule. To date there has been no formal adoption of language similar to the proposed rule.

Michigan:

Mich. Comp. Laws s. 550:1204 a., contains capital requirements for insurers comparable to the existing Wisconsin rule. To date there has been no formal adoption of language similar to the proposed rule.

Minnesota:

Minn. Stat. s. 60.A.50, contains capital requirements for insurers comparable to the existing Wisconsin rule. To date there has been no formal adoption of language similar to the proposed rule.

Summary of factual data and analytical methodologies

NAIC models, insurer's financial information

Small Business Impact

This rule will have little or no effect on small businesses and does not impose any additional requirements on small businesses.

The OCI small business coordinator is Eileen Mallow and may be reached at phone number [phone] or at email address [e-mail]

Fiscal Estimate

State fiscal effect

None.

Local government fiscal effect

None.

Private sector fiscal effect

This rule change will have no significant effect on the private sector regulated by OCI.

Long-range fiscal implications

None.

Agency Contact Person

Inger Williams

OCI Services Section

Phone:   [phone]

Email:   [e-mail]

Address:   125 South Webster St – 2nd Floor
  Madison, WI 53703-3474

Mail:   PO Box 7873
  Madison, WI 53707-7873

Notice of Hearing

Public Instruction

rulemaking_notices CR 10-074 EmR1018, CR 10-074

NOTICE IS HEREBY GIVEN That pursuant to ss. 118.34 (2) (a), (b) 1. and 2. and (4) and 227.11 (2) (a), Stats., the Department of Public Instruction will hold a public hearing to consider emergency and proposed permanent rules creating Chapter PI 45, relating to race-based nicknames, logos, mascots, and team names.

Hearing Information

Date:   July 29, 2010

Time:   10:30 - 12:30 a.m.

Location:   Madison
  GEF 3 Building
  125 South Webster Street
  Room 041

The hearing site is fully accessible to people with disabilities. If you require reasonable accommodation to access any meeting, please call Jennifer Kammerud, Legislative Liaison, at [phone] or [e-mail] or leave a message with the Teletypewriter (TTY) at [phone] at least 10 days prior to the hearing date. Reasonable accommodation includes materials prepared in an alternative format, as provided under the Americans with Disabilities Act.

Copies of Proposed Rule

The administrative rule and fiscal note are available on the internet at http://dpi.wi.gov/pb/rulespg.html. A copy of the proposed rule and the fiscal estimate also may be obtained by sending an email request to [e-mail] or by writing to:

Lori Slauson

Administrative Rules and Federal Grants Coordinator

Department of Public Instruction

125 South Webster Street

P.O. Box 7841

Madison, WI 53707

Submittal of Written Comments

Written comments on the proposed rules received by Ms. Slauson at the above mail or email address no later than August 4, 2010, will be given the same consideration as testimony presented at the hearing.

Analysis Prepared by Department of Public Instruction

Statute interpreted

Section 118.134, Stats.

Statutory authority

Section 118.34 (2) (a), (b) 1. and 2. and (4), Stats.

Explanation of agency authority

2009 Wisconsin Act 250 allows a school district resident to object to the use of a race-based nickname, logo, mascot, or team name by the school board of that school district by filing a complaint with the state superintendent.

Under s. 118.34 (4), the state superintendent is required to promulgate rules necessary to implement and administer this provision.

Specifically under s. 118.34 (2) (a) and (b) 1. and 2., Stats., rules must define whether the use of the race-based nickname, logo, mascot, or team name promotes discrimination, pupil harassment, or stereotyping.

Related statute or rule

Chapter PI 9, pupil discrimination.

Plain language analysis

2009 Wisconsin Act 250 allows a school district resident to object to the use of a race-based nickname, logo, mascot, or team name by the school board of that school district by filing a complaint with the state superintendent. If a complaint objects to the use of a nickname or team name by a school board, the state superintendent must immediately review the complaint and determine whether the use of the nickname or team name by the school board, alone or in connection with a logo or mascot, is ambiguous as to whether it is race-based.

If the state superintendent determines that the use of the nickname, logo, mascot or team name is unambiguously race-based, the school board has the burden of proving by clear and convincing evidence that the use of the race-based nickname, logo, mascot or team name does not promote discrimination, pupil harassment, or stereotyping as defined by the state superintendent by rule.