Wisconsin Legislature: Scope

Hearing Dates: May 21 & 28, 1997

EMERGENCY RULES NOW IN EFFECT

Workforce Development

(Labor Standards, Chs. DWD 270-279)

Rules were adopted revising ch. DWD 272, relating to the minimum wage.

Finding of Emergency

The Department of Workforce Development finds that an emergency exists and that a rule is necessary for the immediate preservation of the public peace, health, safety and welfare. A statement of the facts constituting the emergency is:

In addition to raising the minimum wage to $4.75 per hour on October 1, 1996, and $5.15 per hour on September 1, 1997, the federal Fair Labor Standards Act provides for an “opportunity wage” of $4.25 per hour which may be paid by each new employer to a person under the age of 20 during the first 90 days of employment. The Department's permanent rules to raise the state minimum wage contained provisions creating an opportunity wage that are the same as those of the federal law.

On April 10, 1997, the State Senate Committee on Labor, Transportation and Financial Institutions suspended the portions of CR 96-181 relating to the opportunity wage. The Department proceeded with formal adoption of the provisions of the rule that were not suspended; the permanent rule changes will become effective on June 1, 1997. On April 17, 1997, the Joint Committee for Review of Administrative Rules (JCRAR) unanimously approved extension of the Department's emergency rule on minimum wage, which includes the provisions on the opportunity wage. The emergency rule extension lasts until June 27, 1997.

The respective votes of the two Legislative committees have caused uncertainty as to whether the provisions relating to the opportunity wage remain in effect through June 27, 1997, or expire on June 1, 1997. The JCRAR has met several times since the standing committee's suspension but its only action on this issue was to extend the emergency rule, which includes the opportunity wage provision. The legal interpretation from the Legislative Council as to the precedence of the emergency rule provision vs. the permanent rule provision has not been definitive.

It appears that the JCRAR will vote in June on the standing committee suspension of the opportunity wage provisions of the permanent rule. If the JCRAR does not concur in the standing committee's suspension, the Department will proceed to promulgate the opportunity wage provisions on a permanent basis. However, due to timelines required for promulgation of permanent rules, this provision would not likely take effect permanently until September 1, 1997. Thus, the delays in action coupled with interpretive uncertainty could result in a regulatory gap that would cause confusion amongst the state's employees and employers over the provisions in effect after June 1, 1997. The Department believes that such uncertainty throughout the state would be undesirable.

In absence of definitive legal opinion or action on the opportunity wage issue by the JCRAR, this emergency rule alleviates uncertainty as to whether the opportunity wage provisions are effective after June 1 by explicitly maintaining their effect. The Department will make every reasonable effort to comply with the JCRAR's intent once action is taken. If the JCRAR affirms the standing committee's suspension, the Department will immediately withdraw the provisions of this emergency rule. If the JCRAR does not affirm the standing committee's suspension, this emergency rule will prevent a gap in coverage of the opportunity wage between the date of JCRAR action in June and the effective date of permanent provisions on the opportunity wage.

This emergency rule also contains a provision that prohibits the displacement of an employee that occurs solely for the purpose of hiring an opportunity employee. This language is similar to a provision of the federal law and was included by the Department because the Senate Committee on Labor, Transportation and Financial Institutions asked that the state rule also contain this provision. This language was originally submitted to the Senate Labor, Transportation and Financial Institutions Committee as a germane modification to CR-96-181 on March 31, 1997. It was the Department's intent to promulgate this provision as part of the permanent rule. However, this provision was inadvertently omitted from the final draft.

Publication Date: May 31, 1997

Effective Date: May 31, 1997

Expiration Date: October 29, 1997

EMERGENCY RULES NOW IN EFFECT

Workforce Development

(Wage Rates, Chs. ILHR 290-294)

Rules adopted revising ch. ILHR 290, relating to the determination of prevailing wage rates for workers employed on state or local public works projects.

Finding of Emergency

The Department of Workforce Development finds that an emergency exists and that rules are necessary for the immediate preservation of the public peace, health, safety and welfare. A statement of the facts constituting the emergency is:

On December 11, 1996, this Department adopted an emergency rule and began permanent rulemaking to amend the former ch. ILHR 290, Wis. Adm. Code, in accordance with 1995 Act 215, which enacted changes in the laws governing the determination of prevailing wage rates for state and local public works projects. Among the provisions of that emergency rule was a section on the classification of subjourneypersons.

The initial emergency rule will expire on May 10, 1997. The Department has developed a different provision on subjourneypersons which it is submitting for legislative committee review as a part of the permanent rule in its proposed final draft stage. In the meantime, it is necessary to have a formal policy on subjourneypersons in effect so that the Department may continue to issue wage determinations on state and local public works projects without causing the projects to be delayed. Therefore, the Department is adopting the new subjourneyperson policy, and related procedural provisions, as an emergency rule.

Publication Date: May 10, 1997

Effective Date: May 10, 1997

Expiration Date: October 8, 1997

Hearing Date: June 19, 1997

Scope_MJL

Statements of Scope of Proposed Rules

Commerce

Subject:

Chs. ILHR 50 to 64 and 66 - Rules relating to uniform multifamily dwellings.

Description of policy issues:

Part 1. Description of the objective of the rule:

Section 101.973 (2), Stats., requires the Department to biennially review the Uniform Multifamily Dwellings Code, ch. ILHR 66. It is anticipated that the review of the Code will identify potential code revisions necessary to:

⋅ Address code requirement clarity problems that have been discovered since the implementation of the Code on April 1, 1995;

⋅ Reflect new construction practices, products, standards, or materials, including fire prevention, fire containment, fire detection, fire suppression, and fire alarm systems;

⋅ Address risks relative to safety, health, and welfare that have been brought to light since the implementation of the Code on April 1, 1995; and

⋅ Clarify standards for fulfilling the objective of protecting public safety, health, and welfare.

Part 2. Description of existing policies relevant to the rule and of new policies proposed to be included in the rule and an analysis of policy alternatives:

Currently, the Multifamily Code, ch. ILHR 66, in conjunction with the Commercial Building Code, chs. ILHR 50-64, establishes statewide uniform construction and inspection standards for multifamily dwellings, which include buildings containing 3 or more dwelling units and not exceeding 60 feet in height or 6 stories. The construction standards of the Code address such issues as:

⋅ Life/safety concerns, including exiting in fire situations;

⋅ Fire fuel contribution relative to a building's class of construction and contents; and

⋅ Structural capabilities and integrity, including those under fire conditions.

It is anticipated that the review will result in code revisions at least clarifying fire separations and fire construction standards. Without these revisions, the Department believes that the present code clarity problems may leave designers and builders unsure in how to comply with the Code, and cause the Department and local inspectors to be uncertain in how to administer and enforce the code. This statement of scope may also result in developing one or more rulemaking proposals to address the above-mentioned issues.

Statutory authority for the rule:

Section 101.14 (4) (a) - Requires the Department to make rules requiring owners of places of employment and public buildings to install such fire detection, prevention, or suppression devices as to protect the safety, health, and welfare of the occupants.

Section 101.973 (1) - Requires the Department to promulgate rules that establish standards for construction of multifamily dwellings and their components.

Section 101.973 (2) Requires the Department to biennially review the rules adopted under sub. (1).

Section 101.974 (4) - Authorizes the Department to promulgate rules prescribing procedures for approving new building materials, methods, and equipment.

Estimate of the amount of time that state employes will spend to develop the rule and of other resources necessary to develop the rule:

The following is the estimated work time that staff will be involved in these code change issues:

Advisory council meetings -
(Average of 50 hr. x 3 meetings) = 150 hr.

Code topics research, language drafts - = 120 hr.

Hearings, responses, revisions, etc. - = 120 hr.

Environmental assessment - = 80 hr.

Total = 450 hr.

Commerce

Subject:

Ch. Comm 67 - Relating to rental weatherization.

Description of policy issues:

Part 1. Description of the objective of the rule:

The Rental Weatherization Code establishes minimum energy efficiency standards for residential rental units that have to be met before ownership of a property can be transferred.

Part 2. Description of existing policies relevant to the rule and of new policies proposed to be included in the rule and an analysis of policy alternatives:

Section 101.122 (2) (e), Stats., requires the Department to review and update ch. Comm 67 at least every five years. The code was last updated in December, 1992. This code change is targeted for implementation in late 1997.

The following issues were identified by the Department and its customers to be in need of review and clarification so as to facilitate application of the rules by property managers and owners, real estate agents and inspectors.

1. In order that the rule may be better communicated, definitions need to be added or clarified.

2. Acceptance of nationally recognized energy-related product standards and methodologies need to be incorporated into the rules.

3. Administrative policies and procedures need to be reviewed for clarity and appropriateness.

The alternative of not reviewing or updating ch. Comm 67 is contrary to state law.

Statutory authority for the rule:

95-96 Wis. Stats.:

Section 101.122 - Establishes statewide standards for Rental Unit energy efficiency.

Section 101.122 (2) - Requires Department to establish standards for construction and certification of inspectors.

Section 101.122 (2) (e) - Requires Department to review rules at least once every 5 years.