Appearance at Hearing and Submittal of Written Comments
Interested persons are invited to appear at the hearing and present comments on the 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
October 6, 2010, 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
sam.rockweiler@wi.gov. 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 Emergency Rule
Paper copies may be obtained without cost from Sam Rockweiler at the Department of Commerce, Division of Environmental and Regulatory Services, P.O. Box 14427, Madison, WI 53707, or at
sam.rockweiler@wi.gov, or telephone (608) 266-0797, or at Contact Through Relay. Copies will also be available at the public hearing.
Analysis Prepared by the Department of Commerce
Statutes interpreted
Statutory authority
Explanation of agency authority
Section
227.11 (2) (a) of the Statutes authorizes the Department to promulgate rules interpreting the provisions of any Statute administered by the Department. Section
560.033 (1) of the Statutes directs the Department to establish by rule, a system for reallocating waived allocations for recovery zone facility bonds – as defined under
26 USC 1400U-3(b)(1) – to the authorities and local governmental units which are defined in sections
66.1104 (1) (a) and
(b) of the Statutes. Section
560.033 (3) of the Statutes authorizes the Department to place any condition on these reallocations that the Department deems is in the best interest of the State.
Related statute or rule
Chapter
Comm 113 contains rules relating to allocating volume cap on tax-exempt private activity bonds for manufacturing and housing, pursuant to
26 USC 146.
Chapter
Comm 136 establishes a procedure by which the Governor can designate tax-exempt Midwestern disaster area bonds that can be issued by, or on behalf of, the State or any political subdivision thereof, under the federal Heartland Disaster Tax Relief Act of 2008. These are private activity bonds that are designed to facilitate the recovery and rebuilding of areas which were declared major disaster areas in 2008.
Plain language analysis
The rules in this order address a system for reallocating all of the federal recovery zone facility bond allocations that were not used by June 1, 2010, to the authorities and local governmental units which are defined in sections
66.1104 (1) (a) and
(b) of the Statutes, as created in
2009 Wisconsin Act 112. This reallocation system includes deadlines that are designed to result in complete use of the federal bond allocation prior to its expiration on December 31, 2010.
Comparison with federal regulations
Current federal law, including the American Recovery and Reinvestment Act of 2009 (ARRA), authorizes certain local governments to issue several different types of tax-exempt bonds, including recovery zone facility bonds. The amount of bonds that may be issued is limited. Through each State, the ARRA allocates to counties, and to cities with a population of at least 100,000, the limited amount of recovery zone facility bonds that may be issued. The ARRA also authorizes these counties and cities to then waive some or all of their allocation, in which case the State in which the local units are located may reallocate the waived allocation to other units of government in that State.
Comparison with rules in adjacent states
Minnesota, Illinois, Iowa and Michigan have not yet promulgated any rules relating to counties or cities waiving allocations for recovery zone facility bonds. As a result, each county or city within those States may have developed their own requirements or guidelines for utilizing their portion of the State's recovery zone facility bond allocation.
Summary of factual data and analytical methodologies
The data and methodology for developing these rules were derived from and consisted of (1) reviewing
2009 Wisconsin Act 112 and the corresponding criteria in section 1401 of the federal American Recovery and Reinvestment Act of 2009, Public Law 111-5; (2) incorporating applicable best practices the Department has developed in administering similar programs for economic development and business development; and (3) incorporating recommendations from stakeholders.
Analysis and supporting documents used to determine effect on small business
The primary documents that were used to determine the effect of the rules on small business were
2009 Wisconsin Act 112 and the corresponding criteria in section 1401 of the federal American Recovery and Reinvestment Act of 2009.
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 tax-exempt private activity bonds that allow businesses to finance certain depreciable capital projects in areas which are designated by the bond issuers as having significant poverty, unemployment, rate of home foreclosures, or general distress.
Initial regulatory flexibility analysis
Types of small businesses that will be affected by the rules.
Any business choosing to pursue tax-exempt private activity bonds that are designed to finance certain depreciable capital projects in areas which are designated by the bond issuers as having significant poverty, unemployment, rate of home foreclosures, or general distress.
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 by any authority or local governmental unit, as defined in s.
66.1104 (1) (a) and
(b) of the Statutes, that desires to receive a reallocation of the bonding authority.
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.
Fiscal Estimate
Assumptions used in arriving at fiscal estimate
The bond closing fee assessed under section
Comm 137.08 (2) (b) is estimated to annually average $5000 from each of 20 projects, for an annual total of $100,000.
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 applicants that choose to participate in the tax-exempt private activity bonding addressed in the rules.
State fiscal effect
Increase existing revenues.
Local government fiscal effect
None.
Long-range fiscal implications
None known.
Agency Contact Person
Steven Sabatke
Wisconsin Department of Commerce
Bureau of Business Finance and Compliance
P.O. Box 7970, Madison, WI 53707-7970
Phone: (608) 267-0762
Notice of Hearing
Technical College System Board
NOTICE IS HEREBY GIVEN that pursuant to s.
38.41, Stats., the Wisconsin Technical College System Board will hold a public hearing to consider proposed rules amending Chapter
TCS 17, relating to training program grants. The Wisconsin Technical College System Board adopted a temporary emergency rule effective July 2, 2010 and is also proposing a permanent rule. The hearing will cover both the emergency rule and the proposed permanent rule.
Hearing Information
Date: September 28, 2010
Time: 1:30 to 3:30 p.m.
Location: Wisconsin Technical College System Office
4622 University Avenue
Room 149
Madison, WI 53705
It is the policy of the Wisconsin Technical College System (WTCS) Board to provide accommodations to persons with disabilities which may affect their ability to access or participate in WTCS activities. Persons may request assistance or reasonable accommodation for the scheduled public hearing by contacting Morna Foy at (608) 266-2449 or (608) 267-2483 (TTY) on or before September 20, 2010.
Submittal of Written Comments
Written comments should be submitted by 4:00 p.m. on
September 28, 2010 to Morna Foy at the Wisconsin Technical College System, 4622 University Avenue, PO Box 7874, in Madison, WI 53707-7874 or by email to
morna.foy@wtcsystem.edu with a subject line of TCS 17. Written comments will be given the same consideration as testimony presented at the hearing. People submitting comments will not receive individual responses.
Analysis Prepared by the Wisconsin Technical College System Board
Statutes interpreted
Statutory authority
Section
38.41, Wis. Stats.
Explanation of agency authority
Section
38.41 (4), Stats., authorizes the technical college system board to promulgate rules to implement and administer the awarding of grants to technical college district boards to provide skills training or other education related to the needs of business.
Related statute or rule
Plain language analysis
TCS 17 relates to training grants for technical college districts that provide skills training or other education related to the needs of business. A 25% match is required as a condition of the grant awards. The proposed amendment would eliminate the match requirement.
Comparison with federal regulations
Not applicable.
Comparison with rules in adjacent states
Not applicable.
Summary of factual data and analytical methodologies
Not applicable.
Small Business Impact
The proposed rules will have a positive effect — without the 25% match requirement, small businesses may be better able to take advantage of the training or education funding opportunities provided by this grant. Small businesses may access training or education through the training program grants, but there is no mandated participation in the program.
Fiscal Estimate
The functions required by these rules can be absorbed within existing staff. Therefore, there is no fiscal effect on the agency.
Text of Proposed Rule
