The proposed rules will have no significant economic impact on small businesses, as defined in s. 227.114 (1) (a), Stats.
Summary of Comments:
No comments were reported.
Chs. Trans 253, 255 & 259 - Overweight permits.
Summary of Final Regulatory Flexibility Analysis:
No regulatory flexibility analysis was prepared since the proposed rule will have no adverse effect on small business beyond any effect imposed by 1995 Wis. Act 347, 1995 Wis. Act 163, and 1993 Wis. Act 439.
Summary of Comments:
No comments were reported.
Ch. Trans 177 - Motor carriers.
Summary of Final Regulatory Flexibility Analysis:
The proposed rule will have no adverse impact on small businesses.
Summary of Comments:
No comments were reported.
S. DWD 272.14 - Minimum Wage-Displacement.
Summary of Final Regulatory Flexibility Analysis:
This rule adds a provision to the rules relating to the minimum wage to provide that an employer may not displace an employe solely for the purpose of hiring an employe to be paid the opportunity wage. (The opportunity wage rate, $4.25 per hour, may be paid to an employe who is under 20 years of age and in his or her first 90 days of employment with each new employer.)
Summary of Comments of Legislative Standing Committees:
The rules were reviewed by the Assembly Committee on Labor and Employment and the Senate Committee on Labor, Transportation and Financial Institutions.
E x e c u t i v e O r d e r s
The following is a listing of recent Executive Orders issued by the Governor.
Executive Order 319. Relating to the Creation of the Wisconsin International Trade Council.
Executive Order 320. Relating to a Special Election for the Forty-Second Assembly District.
Executive Order 321. Relating to a Proclamation that the Flag of the United States and the Flag of the State of Wisconsin be Flown at Half-Staff as a Mark of Respect for the Reverend John P. Raynor, S.J., the Late President of Marquette University.
Public Notice
Public Notice
Financial Institutions
Securities, Division of
Order Concerning Broker-Dealers, Investment Advisers, Broker-Dealer Agents and
Investment Adviser Representatives Using the Internet for General Dissemination of
Information on Products and Services
Whereas the Division of Securities, Department of Financial Institutions is charged with the administration of Chapter 551, Wis. Stats., the Wisconsin Uniform Securities Law (the “Law”) and section DFI-Sec 1.01, et. seq. of the Rules of the Division of Securities promulgated under the Law;
Whereas, section 551.63 (1) of the Law provides, in part, that “[t]he Division may make, amend and rescind any . . . orders that are necessary to carry out this chapter . . . ;”
Whereas section 551.31 (1) of the Law provides that “It is unlawful for any person to transact business in this state as a broker-dealer or agent unless so licensed under this chapter, except as provided in sub. (1m);”
Whereas, section 551.31 (3) of the Law provides that “It is unlawful for any person to transact business in this state as an investment adviser unless so licensed or licensed as a broker-dealer under this chapter, except that a person whose only clients in this state are persons specified in s. 551.23 (8) (a) to (f) may transact business without a license . . . ;”
Whereas the Division acknowledges that the Internet, the World Wide Web, and similar proprietary or common carrier electronic systems (collectively, the “Internet”) have facilitated greatly the ability of broker-dealers, investment advisers, broker-dealer agents and investment adviser representatives to advertise and otherwise disseminate information on products and services to prospective customers and clients;
Whereas the Division also acknowledges that certain communications made on the Internet are directed generally to anyone having access to the Internet and may be transmitted through postings on Bulletin Boards, displays on “Home Pages” or similar methods (hereinafter, “Internet Communications”);
Whereas the Division further acknowledges that in certain instances, by distributing information on available products and services through Internet Communications available to persons in this state, broker-dealers, investment advisers, their broker-dealer agents and their investment adviser representatives could be construed as “transacting business” for purposes of s. 551.31 (1) and (3) of the Law so as to require licensure in such capacity in this state, inasmuch as the Internet Communications would be received in this state regardless of the intent of the person originating such communications; and
Whereas the Division finds that the issuance of this Order is necessary and appropriate in the public interest and for the protection of investors and consistent with the purposes fairly intended by the Policy and provisions of the Law,
Now, therefore, pursuant to s. 551.63 (1) of the Law, it is hereby ordered as follows:
1. Broker-dealers, investment advisers, broker-dealer agents (hereinafter “BD agents”) and investment adviser representatives (hereinafter “IA reps”) who use the Internet (as defined above) to distribute information on available products and services through “Internet Communications” (as defined above) shall not be deemed to be “transacting business” in this state for purposes of s. 551.31 (1) and (3) of the Law based solely on that fact if the following conditions are observed:
A. The Internet Communication contains a legend in which it is clearly stated that
(1) the broker-dealer, investment adviser, BD agent or IA rep in question may only transact business in this state if first licensed, or excluded or exempted from state broker-dealer, investment adviser, BD agent or IA rep licensure requirements, as may be; and
(2) follow-up, individualized responses to persons in this state by such broker-dealer, investment adviser, BD agent or IA rep that involve either the effecting or attempting to effect transactions in securities, or the rendering of personalized investment advice for compensation, as may be, will not be made absent compliance with state broker-dealer, investment adviser, BD agent or IA rep licensing requirements, or an applicable exemption or exclusion from licensure;
B. The Internet Communication contains a mechanism, including and without limitation, technical “firewalls” or other implemented policies and procedures, designed reasonably to ensure that prior to any subsequent, direct communication with prospective customers or clients in this state, the broker-dealer, investment adviser, BD agent or IA rep is first licensed in this state or qualifies for an exemption or exclusion from licensure. Nothing in this paragraph shall be construed to relieve a state-licensed broker-dealer, investment adviser, BD agent or IA rep from any applicable securities licensing requirement in this state;
C. The Internet Communication does not involve either effecting or attempting to effect transactions in securities, or the rendering of personalized investment advice for compensation in this state over the Internet, but is limited to the dissemination of general information on products and services; and
D. In the case of a BD agent or IA rep:
(1) the affiliation with the broker-dealer or investment adviser of the BD agent or IA rep is prominently disclosed within the Internet Communication;
(2) the broker-dealer or investment adviser with whom the BD agent or IA rep is associated retains responsibility for reviewing and approving the content of any Internet Communication by a BD agent or IA rep;
(3) the broker-dealer or investment adviser with whom the BD agent or IA rep is associated first authorizes the distribution of information on the particular products and services through the Internet Communication; and
(4) in disseminating information through the Internet Communication, the BD agent or IA rep acts within the scope of the authority granted by the broker-dealer or investment adviser;
2. The position expressed in this Order extends to state broker-dealer, investment adviser, BD agent and IA rep licensing requirements only, and does not excuse compliance with applicable securities registration, antifraud or related provisions;
3. Nothing in this Order shall be construed to affect the activities of any broker-dealers, investment adviser, BD agent and IA rep engaged in business in this state that is not subject to the jurisdiction of the Division as a result of the National Securities Markets Improvements Act of 1996, as amended; and
4. This Order shall remain in effect unless and until subsequently amended or rescinded.
Copies of the Order
Copies of the Order are available free of charge by writing to:
Division of Securities
Dept. of Financial Institutions
P.O. Box 1768
Madison, WI 53701
The State of Wisconsin
Department of Administration
Document Sales Unit
P.O. Box 7840
Dated Material. Please Do Not Delay!
