Scope Statements
Agriculture, Trade and Consumer Protection
Subject
The rule affects ch.
ATCP 123, relating to sales and billing practices related to telecommunications and television programming services (updated coverage).
Objective of the Rule
Chapter
ATCP 123, Wis. Adm. Code, currently protects consumers against unfair sales and billing practices related to telecommunications and cable television services. This rule will update the coverage of the current rule to include newly emerging video programming services and technologies. The updated coverage will continue to afford protection for consumers, regardless of the service form or delivery method. The updated coverage will also provide a “level playing field" between competing providers of similar video programming services. This rule will not make major changes in rule content, but may make some content adjustments as necessary to address new service delivery methods, technologies and “bundling" practices.
Policy Analysis
DATCP promulgated ATCP 123 in 1997 to prevent unfair sales and billing practices related to telecommunications, cable television, satellite television and other information services delivered to consumers over wires or through the air.
2007 Wisconsin Act 42 changed the way that Wisconsin regulates cable TV and other video services. The act was partly motivated by the need to accommodate new technologies and methods for delivering video services to consumers.
This rule will make corresponding changes in the coverage of ATCP 123 to ensure that video service consumers are not deprived of current rule protections. This rule will update current rule coverage to ensure that protection is afforded to video service consumers on an equal basis, regardless of the technology or method used to deliver the service. In particular, this rule will update current definitions so that equivalent protection will be afforded to consumers of video services provided by satellite, cable or telecommunications networks.
Policy Alternatives
Do nothing. If DATCP does nothing, some consumers of video services may be deprived of current basic protections against unfair subscription and billing practices, based solely on the method or technology used to deliver those services. That would be unfair to consumers, and unfair to competing providers of video services (who would be subject to unequal regulatory standards).
Statutory Authority
Entities Affected by the Rule
This rule protects residential consumers from unfair trade practices by regulating the billing and sales practices of businesses that provide telecommunications, cable, video and satellite television services.
Comparison with Federal Regulations
The Federal Communications Commission has authority to regulate businesses that provide telecommunications, cable, video, and satellite television services, but does not regulate their sales and billing practices. The Federal Trade Commission has authority to regulate unfair trade practices in business, but has not adopted rules related to unfair sales and billing practices related to these businesses.
Estimate of Time Needed to Develop the Rule
DATCP estimates that it will use approximately .5 FTE staff time to develop this rule. This includes research, drafting, preparing related documents, holding public hearings, coordinating advisory council discussions and communicating with affected persons and groups. DATCP will assign existing staff to develop this rule.
Agriculture, Trade and Consumer Protection
Subject
The rule affects ch.
ATCP 123, relating to customer access to video services and discriminatory practices by video service providers.
Objective of the Rule
Interpret and establish procedures for the administration of s.
66.0420(8), Wis. Stats. Among other things, the rule may do the following:
•
Define “low-income households," a critical term used but not defined by the statute.
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Require a video service provider to submit information to DATCP showing whether it has met the standards for establishing a defense to an allegation of discrimination.
•
Describe procedures to be followed by a video service provider when applying for a waiver or extension of local access requirements, including information that must be submitted and standards that must be met to become eligible for the waiver or extension.
Policy Analysis
2007 Wisconsin Act 42, enacted on December 21, 2007, regulates video service providers. Among other things, the act creates s.
66.0420(8), Wis. Stats., which regulates customer access to video services and prohibits discrimination in the provision of video services based on race or income.
The act provides a video service provider with a defense to a claim of discrimination based on income if the provider can show that within 3 years after the provider first provides video services, 30% of its customers are “low-income households." The act does not define “low-income households."
The act also requires large telecommunication video service providers to provide service access to 35% of households in its local exchange service area within 3 years, and 50% within 5 years. A large provider may apply to DATCP for a waiver or extension of these requirements.
DATCP believes it is necessary to create rules that interpret and establish procedures for the administration of s.
66.0420(8), Wis. Stats.
Policy Alternatives
Do nothing. If DATCP does nothing, portions of s.
66.0420 (8), Wis. Stats., will be rendered meaningless because there will be no definition of “low income households." There will also be no clear procedures for granting extensions or waivers of service access requirements.
Statutory Authority
Entities Affected by the Rule
The rule interprets, and establishes procedures for the administration of a law that promotes video service access to residential consumers. The rule will enable video service providers, incumbent cable operators, municipalities and residential customers to understand the law, so that they can comply with or secure the protection afforded by the law.
Comparison with Federal Regulations
No federal authority interprets or establishes procedures for the administration of s.
66.0420 (8), Wis. Stats. Federal law generally regulates telecommunications, cable, video, and cable television service providers under 47 USC s.
97.01, et seq.
Estimate of Time Needed to Develop the Rule
DATCP estimates that it will use approximately .5 FTE staff time to develop this rule. This includes research, drafting, preparing related documents, holding public hearings, coordinating advisory council discussions and communicating with affected persons and groups. DATCP will assign existing staff to develop this rule.
Agriculture, Trade and Consumer Protection
Subject
The rule affects ch.
ATCP 161, relating to the “Buy local" grant program.
Objective of the Rule
This rule will implement the “buy local" grant program created under s.
93.48, Stats., by
2007 Wisconsin Act 20 (biennial budget act). Under s.
93.48, Stats., the Department of Agriculture, Trade and Consumer Protection (“DATCP") may award grants for projects designed to increase local purchases of Wisconsin agricultural products.
The “buy local" legislation requires DATCP to adopt rules for the program. It also authorizes DATCP to adopt temporary “emergency" rules pending the adoption of “permanent" rules. This “permanent" rule will be similar to the “emergency" rule. This “permanent" rule will:
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Authorize DATCP to make grant awards and distribute grant funds appropriated for the “buy local" grant program.
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Spell out the procedures and criteria that DATCP will use to evaluate grant proposals, make grant awards and distribute grant payments.
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Spell out the purposes for which grant funds may be used, subject to the terms of the grant contract.
Policy Analysis
The “buy local" grant program is designed to increase local sales of Wisconsin agricultural products. The biennial budget act appropriated $225,000 in grant funding for the FY 2007-09 biennium.
This rule will spell out grant procedures and criteria. Under this rule, the “buy local" grant program may focus primarily on food products, rather than other agricultural products such as timber, feed, fiber or nursery products. However, projects may have incidental benefits related to sales of other agricultural products.
This rule will authorize DATCP to award grants for projects designed to increase the sale of Wisconsin food products to local purchasers. For example, this rule may authorize DATCP to award grants for projects to create, expand, diversify or promote any of the following:
•
Local food marketing systems and market outlets.
