CR_11-044 Hearing to consider rule to revise Chapter ETF 11, relating to the ETF appeals process.

Wisconsin Administrative Register No. 669, 9/30/2011

Rule-Making Notices

Notice of Hearing

Employee Trust Funds

CR 11-044

The Wisconsin department of employee trust funds proposes an order to revise Chapter ETF 11 , relating to the ETF appeals process.

Hearing Information

Date:   Friday, October 21, 2011

Time:   10:00 A.M.

Location:   801 W. Badger Road
  Conference Room GB
  Madison, WI 53713

Persons wishing to attend should come to the reception desk up the stairs (or by elevator) from the main entrance to the building.

Submittal of Written Comments

Written comments on the proposed rule may be submitted to David Nispel, General Counsel, Department of Employee Trust Funds, 801 West Badger Road, P.O. Box 7931, Madison, WI 53707. Written comments must be received at the Department of Employee Trust Funds no later than 4:30 p.m. on October 21, 2011.

Copies of Proposed Rule

Copies of the proposed rule are available without cost from David Nispel, General Counsel, Department of Employee Trust Funds, P.O. Box 7931, Madison, WI 53707-7931. The telephone number is: [phone].

Analysis Prepared by Department of Employee Trust Funds

Statutes interpreted

Sections 40.03 (1) (j) , (2) (m) , (3) , (6) (j) , (7) (f) , (8) (f) , (9) , 40.06 (1) (e) , 40.80 (2) , (2m) , and 227.44 to 227.48 , 227.485 , 227.49 , and 227.50 , Stats.

Statutory authority

Sections 40.03 (2) (i) , (ig) , (ir) , and 227.11 (2) , Stats.

Explanation of statutory authority

By statute, the DETF Secretary is expressly authorized, with appropriate board approval, to promulgate rules required for the efficient administration of any benefit plan established in ch. 40 of the Wisconsin statutes. Also, each state agency may promulgate rules interpreting the provisions of any statute enforced or administered by the agency if the agency considers it necessary to effectuate the purpose of the statute.

Related rules or statutes

There are no other related statutes or administrative rules directly related to this rule.

Plain language analysis

The purpose of this rule is to update the department's appeal procedures, to improve and clarify the process for members, the administrative law judge, the boards that decide appeals, the department, and others who are involved in the process.

Summary of, and comparison with, existing or proposed federal regulations

There are no existing or proposed federal regulations that directly pertain to this proposed rule.

Comparison with rules in adjacent states

Many other retirement systems in adjacent states promulgate rules to provide an appeals process for their members. The appeals process established by the department of employee trust funds is consistent with those other retirement systems in Illinois, Iowa, Michigan, and Minnesota.

Summary of factual data and analytical methodologies

The department is proposing this rule to clarify and improve the existing appeals process established by this department.

Analysis and supporting documentation used to determine effect on small business or in preparation of economic impact report

This rule does not have an effect on small businesses because private employers and their employees do not participate in, and are not covered by, the Wisconsin Retirement System.

Effect on Small Business

The rule has no effect on small businesses.

Fiscal Estimate

The proposed rule has no direct fiscal impact. The proposed rule generates no revenues for any employer. The proposed rule itself has no effect on the fiscal liabilities of any county, city, village, town, school district, technical college district or sewerage. The rule has no state fiscal effect during the current biennium and no fiscal impact on state funds.

Economic impact analysis

This rule does not have an economic effect on specific businesses, business sectors, public utility ratepayers, local governmental units, and the state's economy as a whole. Because this technical rule does not have an economic impact, ETF has not solicited information and advice from businesses, associations representing businesses, local governmental units, and individuals that may be affected by the proposed rule.

The policy problem that the proposed rule is intended to address is to improve and clarify the ETF appeals process for members, the administrative law judge, the boards that decide appeals, the department, and others involved in the process. The federal government and the various retirement systems in the states of Illinois, Iowa, Michigan, and Minnesota have administrative rules concerning an appeals process.

There is no economic impact of this proposed rule and therefore no implementation and compliance costs reasonably expected to be incurred by or passed along to businesses, local governmental units, and individuals that may be affected by the proposed rule.

The alternative of not promulgating the proposed rule would result in the policy problem being ineffectively addressed with a lower level of customer service.

Since the proposed rule does not adversely affect in a material way the economy, a sector of the economy, productivity, jobs, or the overall economic competitiveness of the state, the department did not consult with businesses, local governmental units, and individuals that may be affected by the proposed rule when preparing this economic impact analysis.

Agency Contact Person

Please direct any questions about the proposed rule to David Nispel, General Counsel, Department of Employee Trust Funds, P.O. Box 7931, Madison, WI 53707. The email address: [e-mail] . The telephone number is: [phone].