EmR1425 Creates Chapter Trans 319, relating to towing of vehicles.

Wisconsin Administrative Register No. 706, 10/31/2014

Rule-Making Notices

Notice of Hearings

Transportation

EmR1425

NOTICE IS HEREBY GIVEN that, pursuant to ss. 227.17 and 227.24 (4) , Stats., the State of Wisconsin Department of Transportation ("WisDOT") will hold a public hearing on EmR1425 , an Emergency Rule that created Wis. Admin. Code Chapter Trans 319 , relating to towing of vehicles. This emergency rule, EmR1425 , was published and effective on October 2, 2014. WisDOT will hold the public hearing as follows:

Hearing Information

Date:   Tuesday, November 11, 2014
Time:   1:30 p.m.
Location:   Hill Farms State Transportation Building
  4802 Sheboygan Avenue
  Room 144B
  Madison, WI 53707-7910

Appearances at the Hearing, Submission of Written Comments, and Copies of the Rule

Interested persons are invited to appear at the hearing and will be afforded the opportunity to make an oral presentation of their positions. As noted below, WisDOT will accept written comments until November 14, 2014 at 4:30 p.m . Written comments, including those relating to small businesses, may be sent to Laura Vande Hey, WisDOT Division of State Patrol, 4802 Sheboygan Avenue, Room 551, Madison, Wisconsin 53705, [phone], [e-mail] . Copies of the Fiscal Estimate may be obtained at no charge from Laura Vande Hey as well. The Emergency Rule, Fiscal Estimate, Certification, and Letter to the Legislative Reference Bureau may be viewed at https://health.wisconsin.gov/admrules/public/Home .Written comments may also be submitted at this internet address. The deadline for submitting comments and this notice of public hearing will be posted on the Wisconsin Administrative Rules Website at http://adminrules. wisconsin.gov .

Analysis Prepared by the Department of Transportation

Statutes interpreted

Section 349.13 (3m) , Stats.

Statutory authority

Section 349.13 (3m) (e) , Stats., and 2013 Wisconsin Act 76 s. 59 (2) .

Explanation of agency authority

2013 Wisconsin Act 76 and s. 349.13 (3m) (e) , Stats., in relevant part, provide that if a vehicle is illegally parked in a "properly posted" area, it is unnecessary for law enforcement to issue a citation prior to removal of the vehicle. 2013 Wisconsin Act 76 and s. 349.13 (3m) (e) , Stats., provide that the State of Wisconsin Department of Transportation shall promulgate rules establishing all of the following:

1.   Reasonable charges for removal and storage of vehicles under this subsection.

2.   The form and manner of display of notice necessary to qualify as "properly posted" under par. (a) 2.

3.   Guidelines for towing services to notify law enforcement under par. (d) upon removal of a vehicle.

2013 Wisconsin Act 76 provides that, using the emergency rules procedure established under s. 227.24 , Stats., the State of Wisconsin Department of Transportation shall promulgate the rules required under s. 349.13 (3m) (e) , Stats.

Related statute or rule

Section 349.13 (3m) , Stats.

Brief summary of the rule

2013 Wisconsin Act 76 and s. 349.13 (3m) (e) , Stats., create an exception to a provision under prior law relating to the towing of vehicles parked on private property without permission. Under prior law, vehicles generally could not be removed without the permission of the vehicle owner unless a traffic or police officer issued a citation for illegal parking. The exception created in 2013 Wisconsin Act 76 applies when notice has been "properly posted" stating that unauthorized vehicles may be removed from the property. When the exception applies, an unauthorized vehicle may be towed immediately, regardless of whether a parking citation has been issued, at the request of the property owner or certain other parties specified in 2013 Wisconsin Act 76 , subject to certain procedural requirements in 2013 Wisconsin Act 76 . 2013 Wisconsin Act 76 requires the State of Wisconsin Department of Transportation to promulgate rules establishing reasonable charges for removal and storage of vehicles; the form, manner of display, of the notice necessary to qualify as "properly posted" under the provisions described above; and guidelines for towing services to notify law enforcement of the removal of a vehicle.

Through this rulemaking, the State of Wisconsin Department of Transportation proposes to execute its obligation in the following manner. First, this rulemaking announces that its purpose is to establish reasonable charges for removal and storage of vehicles pa0[qrked on private property that are not authorized to be parked there, to establish the form and manner of notice of display necessary to qualify as "properly posted" under s. 349.13 (3m) (a) 2. , Stats., and guidelines for towing services to notify law enforcement under s. 349.13 (3m) (d) , Stats., upon removal of a vehicle. Second, this rulemaking establishes various definitions that apply in Wis. Admin. Code ch. Trans 319 , including, among others, those contained within ss. 340.01 and 349.13 (3m) (a) , Stats. Third, this rulemaking establishes a schedule of charges for removal and storage of vehicles. Fourth, this rulemaking establishes that in order to qualify as "properly posted" under s. 349.13 (3m) (a) 2. , Stats., a conspicuous notice must be displayed and must contain the words "private property" and "tow-away zone." Fifth, this rulemaking establishes that prior to removal of a vehicle, a towing service must contact the law enforcement agency with primary jurisdiction over the area where the vehicle is parked and provide descriptive information about the vehicle, as well as location and contact information for the location to which the car will be towed.

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

There is no existing or proposed federal regulation addressing towing vehicles parked on private property that are not authorized to be parked there.

Comparison with rules in adjacent states

Illinois:

Generally, in Illinois, the owner or lessor of privately owned real property or any person authorized by such owner may cause any motor vehicle abandoned or left unattended upon such property without permission to be removed by a towing service without liability for the costs of removal, transportation, or storage or damage caused by such removal, transportation, or storage. The towing or removal of any vehicle from private property without the consent of the registered owner or other legally authorized person in control of the vehicle is subject to compliance with the following conditions and restrictions:

•   Any towed or removed vehicle must be stored at the site of the towing service's place of business. This site must be open during business hours, and for the purpose of redeeming vehicles, during the time that the person or firm towing such vehicle is open for towing purposes.

•   The towing service must, within 30 minutes of completion of such towing or removal, notify the law enforcement agency having jurisdiction of such towing or removal, and the make, model, color and license plate number of the vehicle, and shall obtain and record the name of the person at the law enforcement agency to whom such information was reported.

•   If the registered owner or legally authorized person entitled to possession of the vehicle arrives at the scene prior to actual removal or towing of the vehicle, the vehicle must be disconnected from the tow truck and that person shall be allowed to remove the vehicle without interference, upon the payment of a reasonable service fee of not more than one half the posted rate of the towing service, as provided in the law, for which receipt must be given.

•   The rebate of payment or payment of money or any other valuable consideration from the towing service or its owners, manager, or employees to the owners or operators of the premises from which the vehicles are towed or removed, for the privilege of removing or towing those vehicles, is prohibited. Any person who violates this requirement is guilty of a Class A misdemeanor.

•   Except for property appurtenant to and obviously a part of a single family residence, and except for instances where notice is personally given to the owner or other legally authorized person in control of the vehicle that the area in which the vehicle is parked is reserved or otherwise unavailable to unauthorized vehicles and they are subject to being removed at the owner or operator's expense, any property owner or lessor, prior to towing or removing any vehicle from the private property without the consent of the owner or other legally authorized person in control of that vehicle, must post a notice meeting the following requirements:

•   Generally, the notice must be prominently placed at each driveway access or curb cut allowing vehicular access to the property within 5 feet from the public right-of-way line. If there are no curbs or access barriers, the sign must be posted not less than one sign each 100 feet of lot frontage. Alternatively, in a municipality with a population of less than 250,000, the notice for a parking lot contained within property used solely for a 2-family, 3-family, 4-family residence may be prominently placed at the perimeter of the parking lot, in a position where the notice is visible to the occupants of the vehicles entering the lot.

•   The notice must indicate clearly, in not less than 2 inch high light-reflective letters on a contrasting background, that unauthorized vehicles will be towed away at the owner's expense.

•   The notice must also provide the name and current telephone number of the towing service towing or removing the vehicle.

•   The sign structure containing the required notices must be permanently installed with the bottom of the sign not less than 4 feet above ground level, and must be continuously maintained on the property for not less than 24 hours prior to the towing or removing of any vehicle.

•   Any towing service that tows or removes vehicles and proposes to require the owner, operator, or person in control of the vehicle to pay the costs of towing and storage prior to redemption of the vehicle must file and keep on record with the local law enforcement agency a complete copy of the current rates to be charged for such services, and post at the storage site an identical rate schedule and any written contracts with property owners, lessor, or persons in control of property which authorize them to remove vehicles as provided in this section. There is a cap, however, set by the Illinois Commerce Commission.

•   No person shall engage in the removal of vehicles from private property without filing a notice of intent in each community where he intends to do such removal, and such notice shall be filed at least 7 days before commencing such towing.

•   No removal of a vehicle from private property shall be done except upon express written instructions of the owners or persons in charge of the private property upon which the vehicle is said to be trespassing.

•   Vehicle entry for the purpose of removal shall be allowed with reasonable care on the part of the person or firm towing the vehicle. Such person or firm shall be liable for any damages occasioned to the vehicle if such entry is not in accordance with the standards of reasonable care.

•   A vehicle towed must be released to its owners or custodian within one half hour after requested, if such request is made within business hours. Any vehicle owner or custodian or agent shall have the right to inspect the vehicle before accepting its return, and no release or waiver of any kind which would release the towing service from liability for damages incurred during the towing and storage may be required from any vehicle owner or other legally authorized person as a condition of release of that vehicle. A detailed, signed receipt showing the legal name of the towing service must be given to the person paying towing or storage charges at the time of payment, whether requested or not. Payment may be made using any major credit card, in addition to cash.

•   Any person who fails to comply with these conditions and restrictions is guilty of a Class C misdemeanor and shall be fined not less than $100 nor more than $500.

Iowa:

In Iowa, the definition of "abandoned vehicle" includes a vehicle that has been unlawfully parked on private property or has been placed on private property without the consent of the owner or person in control of the property for more than twenty-four hours. A police authority, upon the authority's own initiative or upon the request of any other authority having the duties of control of highways or traffic, may take into custody an abandoned vehicle on private property. The police authority may employ its own personnel, equipment, and facilities or hire a private entity, equipment, and facilities for the purpose of removing, preserving, storing, or disposing of abandoned vehicles. A property owner or other person in control of private property may employ a private entity who is a garagekeeper to dispose of an abandoned vehicle, and the private entity may take into custody the abandoned vehicle without a police authority's initiative. If a police authority employs a private entity to dispose of abandoned vehicles, the police authority shall provide the private entity with the names and addresses of the registered owners, all lienholders of record, and any other known claimant to the vehicle or the personal property found in the vehicle.

A police authority or private entity that takes into custody an abandoned vehicle shall notify, within twenty days, by certified mail, the last known registered owner of the vehicle, all lienholders of record, and any other known claimant to the vehicle or to personal property found in the vehicle, addressed to the parties' last known addresses of record, that the abandoned vehicle has been taken into custody. Notice shall be deemed given when mailed. The notice shall describe the year, make, model, and vehicle identification number of the vehicle, describe the personal property found in the vehicle, set forth the location of the facility where the vehicle is being held, and inform the persons receiving the notice of their right to reclaim the vehicle and personal property within ten days after the effective date of the notice upon payment of all towing, preservation, and storage charges resulting from placing the vehicle in custody and upon payment of the costs of notice required pursuant to this subsection. The notice shall also state that the failure of the owner, lienholders, or claimants to exercise their right to reclaim the vehicle or personal property within the time provided shall be deemed a waiver by the owner, lienholders, and claimants of all right, title, claim, and interest in the vehicle or personal property and that failure to reclaim the vehicle or personal property is deemed consent to the sale of the vehicle at a public auction or disposal of the vehicle to a demolisher and to disposal of the personal property by sale or destruction.

If the abandoned vehicle was taken into custody by a private entity without a police authority's initiative, the notice shall state that the private entity may claim a garagekeeper's lien and may proceed to sell or dispose of the vehicle. If the abandoned vehicle was taken into custody by a police authority or by a private entity hired by a police authority, the notice shall state that any person claiming rightful possession of the vehicle or personal property who disputes the planned disposition of the vehicle or property by the police authority or private entity or of the assessment of fees and charges may ask for an evidentiary hearing before the police authority to contest those matters. If the persons receiving notice do not ask for a hearing or exercise their right to reclaim the vehicle or personal property within the ten-day reclaiming period, the owner, lienholders, or claimants shall no longer have any right, title, claim, or interest in or to the vehicle or the personal property. A court in any case in law or equity shall not recognize any right, title, claim, or interest of the owner, lienholders, or claimants after the expiration of the ten-day reclaiming period.

If it is impossible to determine with reasonable certainty the identity and addresses of the last registered owner and all lienholders, notice by one publication in one newspaper of general circulation in the area where the vehicle was abandoned shall be sufficient to meet all requirements of notice. The published notice may contain multiple listings of abandoned vehicles and personal property but shall be published within the same time requirements and contain the same information as prescribed for mailed notice.

If an abandoned vehicle has not been reclaimed as provided for, the police authority or private entity shall make a determination as to whether or not the vehicle shall be sold for use upon the highways. If the vehicle is not sold for use upon the highways, it shall be sold for junk, or demolished and sold as scrap. The police authority or private entity shall sell the vehicle at public auction. A police authority or private entity may dispose of the vehicle to a demolisher for junk without public auction after complying with the notification procedures. The purchaser of the vehicle takes title free and clear of all liens and claims of ownership, shall receive a sales receipt from the police authority or private entity, and is entitled to register the vehicle and receive a certificate of title if sold for use upon the highways. If the vehicle is sold or disposed of to a demolisher for junk, the demolisher shall make application for a junking certificate to the county treasurer within thirty days of purchase and shall surrender the sales receipt in lieu of the certificate of title.

From the proceeds of the sale of an abandoned vehicle the police authority, if the police authority did not hire a private entity, shall reimburse itself for the expenses of the auction, the costs of towing, preserving, and storing which resulted from placing the abandoned vehicle in custody, all notice and publication costs incurred, the cost of inspection, and any other costs incurred except costs of bookkeeping and other administrative costs. Any remainder from the proceeds of a sale shall be held for the owner of the vehicle or entitled lienholder for ninety days, and shall then be deposited in the road use tax fund. The costs to police authorities of auction, towing, preserving, storage, and all notice and publication costs, and all other costs which result from placing abandoned vehicles in custody, whenever the proceeds from a sale of the abandoned vehicles are insufficient to meet these expenses and costs, shall be paid from the road use tax fund and are the obligation of the last owner or owners, jointly and severally.

If a private entity has been hired by a police authority, the police authority shall file a claim with the State of Iowa Department of Transportation for reimbursement of towing fees which shall be paid from the road use tax fund. Reimbursement shall be limited to $50 per vehicle for towing services, actual postage or publication costs for notice services, $5 per day per vehicle, not to exceed 45 days, for storage services, 10% of the vehicle's sale price or $10, whichever is less, for auction fees.

Michigan:

In Michigan, like in Iowa, the definition of "abandoned vehicle" includes a vehicle that has remained on private property without the consent of the owner. If a vehicle has remained on private property without the consent of the property owner, the owner of the private property may have the vehicle taken into custody as an abandoned vehicle by contacting a local towing agency. A local towing agency is considered a towing agency whose storage lot is located within 15 miles from the border of the local unit of government having jurisdiction over the abandoned vehicle. Before removing the vehicle from private property, the towing agency must provide reasonable notice by telephone, or otherwise, to a police agency having jurisdiction over the vehicle that the vehicle is being removed. The police agency shall determine if the vehicle has been reported stolen and enter the vehicle into the law enforcement information network as an abandoned vehicle.

Within 24 hours after taking the abandoned vehicle into custody, the police agency shall notify the secretary of state through the law enforcement information network that the vehicle has been taken into custody as abandoned. Each notification shall contain the following information:

•   The year, make, and vehicle identification number of the vehicle if available.

•   The address or approximate location from which the vehicle was taken into custody.

•   The date on which the vehicle was taken into custody.

•   The name and address of the police agency that had the vehicle taken into custody.

•   The name and business address of the custodian of the vehicle.

•   The name of the court that has jurisdiction over the case.

Within 7 days after being notified, the secretary of state must do both of the following:

•   Send to the owner and secured party, as shown by the records of the secretary of state, by first-class mail or personal service, notice that the vehicle is considered abandoned. The form for the notice shall be furnished by the secretary of state. Each notice form must contain the following information:

•   The year, make, and vehicle identification number of the vehicle if available.

•   The location from which the vehicle was taken into custody.

•   The date on which the vehicle was taken into custody.

•   The name of the towing agency that had the vehicle taken into custody.

•   The business address of the custodian of the vehicle.

•   The procedure to redeem the vehicle.

•   The procedure to contest the fact that the vehicle is considered abandoned or the reasonableness of the towing fees and daily storage fees.

•   A form petition that the owner may file in person or by mail with the specified court that requests a hearing on the custodian's action.

•   A warning that the failure to redeem the vehicle or to request a hearing within 20 days after the date of the notice may result in the sale of the vehicle and the termination of all rights of the owner and the secured party to the vehicle or the proceeds of the sale.

•   Enter this information described on a website maintained by the department for public use in locating vehicles that are removed under this section as abandoned.

The owner may contest the fact that the vehicle is abandoned or, unless the towing fees and daily storage fees are established by contract with the local governmental unit or local law enforcement agency, the reasonableness of the towing fees and daily storage fees by requesting a hearing. A request for a hearing must be made by filing a petition with the court specified in the notice within 20 days after the date of the notice. If the owner requests a hearing, the matter shall be resolved after a hearing. An owner who requests a hearing may obtain release of the vehicle by posting with the court a towing and storage bond in an amount equal to $40.00 plus the accrued towing and storage fees. The owner of a vehicle who requests a hearing may obtain release of the vehicle by paying a fee of $40.00 to the court plus the towing and storage fees instead of posting the towing and storage bond. An owner requesting a hearing but not taking possession of the vehicle shall post with the court a towing and storage bond in an amount equal to $40.00 plus the accrued towing and storage fees.

If the owner does not request a hearing, he or she may obtain the release of the vehicle by paying a fee of $40.00 plus the accrued charges to the custodian of the vehicle. The custodian must forward $25.00 of the fee collected to the secretary of state within 30 days after receipt in a manner prescribed by the secretary of state, who must deposit the fee into the abandoned vehicle fund. If the owner does not redeem the vehicle or request a hearing within 20 days after the date of the notice, the secured party may obtain the release of the vehicle by paying a fee of $40.00 and the accrued towing and storage fees to the custodian of the vehicle. The custodian must forward $25.00 of the fee collected under this subsection to the secretary of state within 30 days after receipt in a manner prescribed by the secretary of state, who shall deposit the fee into the abandoned vehicle fund .

Not less than 20 days after the disposition of the hearing or, if a hearing is not requested, not less than 20 days after the date of the notice, the custodian of the vehicle must offer the vehicle for sale at a public sale. If the ownership of a vehicle that is considered abandoned cannot be determined either because of the condition of the vehicle identification numbers or because a check with the records of the secretary of state does not reveal ownership, the police agency may sell the vehicle at public sale not less than 30 days after public notice of the sale has been published. The secretary of state must release a vehicle for disposition within 45 days after the vehicle is entered into the law enforcement information network as an abandoned vehicle.

Minnesota:

In Minnesota, the definition of "abandoned vehicle" includes a motor vehicle that has remained illegally on private property for a period of time without the consent of the person in control of the property; and lacks vital component parts or is in an inoperable condition such that it has no substantial potential for further use consistent with its usual functions, unless it is kept in an enclosed garage or storage building. Further, an "unauthorized vehicle" subject to impoundment by units of government and peace officers is a vehicle that, while not an abandoned vehicle, has been on private property: (i) that is single-family or duplex residential property, immediately; (ii) that is private, nonresidential property, properly posted, immediately; (iii) that is private, nonresidential property, not posted, 24 hours; (iv) that is private, nonresidential property of an operator of an establishment for the servicing, repair, or maintenance of motor vehicles, five business days after notifying the vehicle owner by certified mail, return receipt requested, of the property owner's intention to have the vehicle removed from the property; or (v) that is any residential property, properly posted, immediately. Such an unauthorized vehicle may also be towed. These provisions applicable to units of government and peace officers do not restrict the authority of the owner of private property to authorize the towing of a motor vehicle unlawfully parked on the private property. Indeed, private property owners seeking to have unauthorized vehicles removed from their property must make their own arrangements with a private towing service.

A person who tows and stores a motor vehicle at the request of a law enforcement officer shall have a lien on the motor vehicle for the value of the storage and towing and the right to retain possession of the motor vehicle until the lien is lawfully discharged. An impounded vehicle is eligible for disposal or sale 15 days after notice to the owner, if the vehicle is determined to be an abandoned vehicle. An unauthorized vehicle impounded by the city of Minneapolis or by the city of St. Paul is eligible for disposal or sale 15 days after notice is sent by certified mail, return receipt requested, to the registered owner, if any, of the unauthorized vehicle and to all readily identifiable lienholders of record. If, before the expiration of the 15-day period following notice of taking, the registered owner or lienholder of record delivers to the impound lot operator a written statement of intent to reclaim the vehicle, the vehicle is not eligible for disposal or sale until 45 days after the notice of taking, if the owner or lienholder has not reclaimed. If an unauthorized vehicle is impounded, other than by the city of Minneapolis or the city of St. Paul, the impounded vehicle is eligible for disposal or sale the earlier of 45 days after notice to the owner; or the date of a voluntary written title transfer by the registered owner to the impound lot operator. A voluntary written title transfer constitutes a waiver by the registered owner of any right, title, and interest in the vehicle.

For vehicles impounded by units of government and peace officers, the entity taking the vehicle into custody must give written notice of the taking within five days, excluding Saturdays, Sundays, and legal holidays, to the registered vehicle owner and any lienholders. The notice must:

•   Set forth the date and place of the taking;

•   Provide the year, make, model, and serial number of the impounded motor vehicle, if such information can be reasonably obtained, and the place where the vehicle is being held;

•   Inform the owner and any lienholders of their right to reclaim the vehicle

•   State that failure of the owner or lienholders to:

•   Exercise their right to reclaim the vehicle within the appropriate time allowed under and under the appropriate conditions constitutes a waiver by them of all right, title, and interest in the vehicle and a consent to the transfer of title to and disposal or sale of the vehicle

•   Exercise their right to reclaim the contents of the vehicle within the appropriate time allowed and under the appropriate conditions, constitutes a waiver by them of all right, title, and interest in the contents and consent to sell or dispose of the; and

•   State that a vehicle owner who provides to the impound lot operator documentation from a government or nonprofit agency or legal aid office that the owner is homeless, receives relief based on need, or is eligible for legal aid services, has the unencumbered right to retrieve any and all contents without charge.

The notice shall be sent by mail to the registered owner, if any, of an impounded vehicle and to all readily identifiable lienholders of record. This information must be made available to impound lot operators for notification purposes. If it is impossible to determine with reasonable certainty the identity and address of the registered owner and all lienholders, the notice shall be published once in a newspaper of general circulation in the area where the motor vehicle was towed from or abandoned. Published notices may be grouped together for convenience and economy. If an unauthorized vehicle remains unclaimed after 30 days from the date the notice was sent, a second notice must be sent by certified mail, return receipt requested, to the registered owner, if any, of the unauthorized vehicle and to all readily identifiable lienholders of record.

The owner or any lienholder of an impounded vehicle shall have a right to reclaim such vehicle from the unit of government or impound lot operator taking it into custody upon payment of all towing and storage charges resulting from taking the vehicle into custody within 15 or 45 days, after the date of the notice. Nothing impairs any lien of a garagekeeper, or the right of a lienholder to foreclose.

Summary of the factual data and analytical methodologies that the agency used in support of the proposed rule and how any related findings support the regulatory approach chosen for the rule

The proposed rule was drafted with input from towing services, governmental entities, and the Wisconsin Housing Alliance. The schedule of charges was based on a recommendation from the City of Milwaukee's tow lot management. The schedule was the result of a survey of municipalities throughout the state and nation. The average total charge for tow and storage among the surveyed municipalities was $125 and the goal was to establish a schedule that would be in keeping with that average. The design and display of the required notice was largely based on existing design standards for other signage (e.g. handicapped parking signs as defined in Wis. Admin. Code ch. Trans 200 ), as well as standards in other states. The guidelines for tow services to provide notice to law enforcement were based on input from law enforcement.

Analysis regarding rule's effect on small businesses

There are many towing services throughout the state and it seems likely that some would qualify as a small business under s. 227.114 , Stats. It is unknown what the impact to those businesses would be. While, this rulemaking seeks to establish a schedule of reasonable charges for removal and storage of vehicles, as detailed in the previous section, it is possible that the established charges will be more or less than the charges some small businesses currently assess.

Summary of Fiscal Estimate

The Fiscal Estimate for EmR1425 may be summarized as follows. This rule establishes: (1) reasonable charges for removal and storage of vehicles; (2) the form and manner of display of notice necessary to qualify as "properly posted"; and (3) guidelines for towing services to notify law enforcement of removal. No fund source or ch. 20 , Stats., appropriations will be affected. Thus, implementing EmR1425 will have no fiscal effect on state government. EmR1425 will impact local governments, towing services, private property owners, traffic officers, parking enforcers, and law enforcement agencies, some of which may be small businesses. However, it is unknown what the impact on small businesses will be. While the goal of the rule is to standardize practice and rates statewide, it is possible that some small businesses may charge more or less than what is established in this rule. EmR1425 was drafted with input from towing services, governmental entities, and the Wisconsin Housing Alliance. The schedule of rates is based on a survey of municipalities throughout the state and nation, where $125 was the average rate. The design and display of the required notice is based on signage requirements in other arenas, such as handicapped parking in ch. Trans 220 , Admin. Code. The law enforcement call-in procedures are based on input from law enforcement agencies. Copies of the Fiscal Estimate may be obtained at no charge from the agency contact person listed above or at https://health.wisconsin.gov/admrules/public/Home .

Small Business Matters

As noted above, there are many towing services throughout the state and it seems likely that some would qualify as a small business under s. 227.114 , Stats. It is unknown what the impact to those businesses would be. While this rulemaking seeks to establish a schedule of reasonable charges for removal and storage of vehicles, as detailed in the previous section, it is possible that the established charges will be more or less than the charges some small businesses currently assess. Reporting and compliance requirements of EmR1425 include: (1) private property owners posting a conspicuous notice that contains the words "private property" and "tow-away zone"; and (2) towing services contacting the law enforcement agency with primary jurisdiction over the area where a vehicle is improperly parked and provide descriptive information about the vehicle, as well as location and contact information for the location to which the car will be towed. The agency contact person listed above is also the small business regulatory coordinator for EmR1425 . As noted above, the Emergency Rule, Fiscal Estimate, Certification, and Letter to the Legislative Reference Bureau may be viewed at https://health.wisconsin.gov/admrules/public/Home . Written comments may also be submitted at this internet address.

Agency Contact Person

Laura Vande Hey

State of Wisconsin Department of Transportation

Division of State Patrol

4802 Sheboygan Avenue, Room 551

Madison, Wisconsin 53705

[phone]

[e-mail] .

Notice of Hearings

Veterans Affairs

CR 14-058 , EmR1416

NOTICE IS HEREBY GIVEN that pursuant to authority vested in the Department of Veterans Affairs in section 45.46 of the Wisconsin Statutes, the Department will hold a public hearing at the time and place shown below to consider an order to create section VA 2.07 , relating to grants to non-profit organizations. As provided in s. 227.24 (4) of the Statutes, this hearing will also be for emergency rules that identically address this chapter VA 2.07 criteria.

Hearing Information

Date:   Wednesday, November 12, 2014
Time:   9:30 a.m.
Location:   201 W. Washington Avenue
  Room 324
  Madison, WI 53703

Hearing impaired persons may request and interpreter for this hearing. Please make reservations for a hearing interpreter by November 5, 2014, by writing to Kathy Marschman, Wisconsin Department of Veterans Affairs, 201 W. Washington Ave., P.O. Box 7843, Madison, WI 53703; or by emailing [e-mail] ; or by telephone at [phone]. This hearing facility is handicap accessible.

Copies of Proposed Rule, Fiscal Estimate, and Economic Impact Analysis

You may obtain a free copy of this hearing draft rule and related documents including the economic impact analysis by contacting the Wisconsin Department of Veterans Affairs, 201 W. Washington Ave., P.O. Box 7843, Madison, WI 53703. You may also obtain a copy by calling [phone] or by emailing [e-mail] . Copies will be available at the hearing. To view the hearing draft rule online, go to: http://adminrules.wisconsin.gov .

Place Where Comments are to be Submitted and Deadline for Submission

Following the public hearing, the hearing record will remain open until 4:00 p.m. on November 19, 2014 for additional written comments. Comments may be sent to the Wisconsin Department of Veterans Affairs at the address above or to Kathy Marschman, [e-mail] .

Analysis Prepared by the Department of Veterans Affairs

Statute interpreted

Section 45.46 , Stats.

Statutory authority

Sections 227.10 (1) , 227.11 (2) (a) , and 45.03 (2) .

Explanation of agency authority

Section 227.10 (1) , Stats., requires each department to promulgate as a rule each statement of general policy and each interpretation of a statute which it specifically adopts to govern its enforcement or administration of that statute. Further, (2m) requires rule promulgation before a department may implement or enforce any standard, requirement, or threshold.

Section 227.11 (2) (a) , Stats., authorizes the department to promulgate rules interpreting the provisions of any statute enforced or administered by the department, if the department considers it necessary to effectuate the purpose of the statute.

Section 45.03 (2) , Stats., authorizes the Secretary to promulgate rules necessary to carry out the purposes of Chapter 45 and the powers and duties conferred upon it.

Related statute or rule

This rule administers a one-time competitive grant program for the award of grants to nonprofit organizations that provide assistance to veterans or their families. Although the Department administers various grant programs to organizations and individuals, the existing rules are insufficient and inappropriate for the new grant authority. Grants provided under existing sections of Chapter VA 2 are not competitive grants as is created by this rule. The existing grants in Chapter VA 2 are awarded to individuals based on financial need and the satisfaction of certain established criteria. Grants under Chapter VA 7 are awarded in compliance with s. 45.41 , Stats., which establishes eligibility criteria and specific award levels for veterans organizations that engage in veterans claims service. Grants under Chapter VA 8 are awarded in compliance with s. 45.82 , Stats., which establishes a sliding-scale grant level to counties for improvement of service to veterans based on county population. Grants under Chapter VA 15 are awarded in compliance with s. 45.82 , Stats., which establishes criteria and a sum-certain that is equally divided between qualifying tribes or bands that apply for the grant for improvement of service to veterans. Grants under Chapter VA 16 are awarded in compliance with s. 45.83 , Stats., to counties that provide transportation to veterans; eligible counties receive a proportion of the total appropriation based on the number of miles veterans were transported during a specified 12-month period.

Plain language analysis

This rule establishes the general criteria, procedures, requirements and conditions for the award of grants to nonprofits. It allows for grant applications from any nonprofit as defined in s.108.02 (19), to provide financial assistance or other services to veterans and their dependents.

The rule provides for solicitation of applications for grants in the form of public notice. Each grant applicant will be asked to provide: (1) proof of nonprofit status; (2) information about itself; (3) description of the financial assistance or other services it provides to veterans and their dependents; and (4) description of the need for the requested funds.

Summary of and comparison with, existing or proposed federal regulations

Research revealed no completely analogous grant program within the federal government, although the federal government offers grants to nonprofit organizations that provide certain specified services to veterans or their families, or provide services to a specific segment of the veterans' community, e.g., homeless veterans. An example is the US Department of Veterans Affairs Supportive Services for Veteran Families Program that provides grants to private nonprofit organizations and consumer cooperatives who coordinate or provide support services to very low income veteran families who meet certain criteria related to housing. Program grantees are responsible for providing outreach, case management, linkages to VA benefits, and linkages to other public benefits. This federal grant program is the mechanism for delivering the USDVA's programmatic services via third-party organizations.

Conversely, the state grant program administered by this rule is intended to complement the WDVA's services by providing financial assistance to nonprofit organizations that provide services to veterans not offered by the WDVA.

Comparison with rules in adjacent states

In reviewing the statutes, rules and websites of the veterans departments of adjacent states revealed no similar grant program.

Summary of factual data and analytical methodologies

The department analyzed the grant processes of organizations experienced in the administration of competitive grants and used those processes as a foundation for the rule and application procedures.

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

There is no effect on small business. This is a voluntary grant program available only to certain nonprofit organizations.

Fiscal Estimate

The proposed rule changes will have no additional fiscal impact.

Effect on Small Business

The proposed rule changes will have no impact upon small businesses.

Agency Contact Person

Kathy Marschman

[e-mail]

[phone].

STATE OF WISCONSIN DEPARTMENT OF ADMINISTRATION DOA-2049 (R03/2012)	Division of Executive Budget and Finance 101 East Wilson Street, 10th Floor P.O. Box 7864 Madison, WI 53707-7864 FAX: [phone]
ADMINISTRATIVE RULES Fiscal Estimate & Economic Impact Analysis

1. Type of Estimate and Analysis
X Original   ⍽ Updated   ⍽ Corrected
2. Administrative Rule Chapter, Title and Number
VA2 - Emergency, correspondence and part-time study, retraining and tuition and fee reimbursement grants.
3. Subject
Grants to Nonprofit organizations.
4. Fund Sources Affected			5. Chapter 20, Stats. Appropriations Affected
⍽ GPR   ⍽ FED   ⍽ PRO   ⍽ PRS   X SEG   ⍽ SEG-S			20.485 (2) (tf).
6. Fiscal Effect of Implementing the Rule
X No Fiscal Effect ⍽ Indeterminate	⍽ Increase Existing Revenues ⍽ Decrease Existing Revenues		⍽ Increase Costs ⍽ Could Absorb Within Agency's Budget ⍽ Decrease Cost
7. The Rule Will Impact the Following (Check All That Apply)
⍽ State's Economy ⍽ Local Government Units		X Specific Businesses/Sectors ⍽ Public Utility Rate Payers ⍽ Small Businesses (if checked, complete Attachment A)
8. Would Implementation and Compliance Costs Be Greater Than $20 million? ⍽ Yes   X No
9. Policy Problem Addressed by the Rule
Allows Nonprofits serving Veterans to apply for grant funding through WDVA
10. Summary of the businesses, business sectors, associations representing business, local governmental units, and individuals that may be affected by the proposed rule that were contacted for comments.
N/A
11. Identify the local governmental units that participated in the development of this EIA.
N/A
12. Summary of Rule's Economic and Fiscal Impact on Specific Businesses, Business Sectors, Public Utility Rate Payers, Local Governmental Units and the State's Economy as a Whole (Include Implementation and Compliance Costs Expected to be Incurred)
There should be no fiscal impact on the Business sector, Public Utility Rate Payers, local governments or the State's economy.
13. Benefits of Implementing the Rule and Alternative(s) to Implementing the Rule
Provide a benefit to nonprofit organizations that are already serving Wisconsin veterans without assistance and encourage other nonprofits to provide benefit options for Wisconsin veterans.
14. Long Range Implications of Implementing the Rule
N/A
15. Compare With Approaches Being Used by Federal Government
N/A
16. Compare With Approaches Being Used by Neighboring States (Illinois, Iowa, Michigan and Minnesota )
N/A
17. Contact Name				18. Contact Phone Number
Jim Parker				608-266-1843

This document can be made available in alternate formats to individuals with disabilities upon request.

ATTACHMENT A

1. Summary of Rule's Economic and Fiscal Impact on Small Businesses (Separately for each Small Business Sector, Include Implementation and Compliance Costs Expected to be Incurred)

Nonprofit businesses will apply for grant funds from WDVA to help offset costs of providing services to Wisconsin veterans.

2. Summary of the data sources used to measure the Rule's impact on Small Businesses

N/A

3. Did the agency consider the following methods to reduce the impact of the Rule on Small Businesses?

⍽ Less Stringent Compliance or Reporting Requirements

⍽ Less Stringent Schedules or Deadlines for Compliance or Reporting

⍽ Consolidation or Simplification of Reporting Requirements

X Establishment of performance standards in lieu of Design or Operational Standards

⍽ Exemption of Small Businesses from some or all requirements

⍽ Other, describe:

4. Describe the methods incorporated into the Rule that will reduce its impact on Small Businesses

Minimum reporting standards are required without involvement in the nonprofit business operations.

5. Describe the Rule's Enforcement Provisions

The WDVA has authority to audit all grantees, see s.45.47, record-keeping and audit requirements for grant programs administered by the department.

6. Did the Agency prepare a Cost Benefit Analysis (if Yes, attach to form)

⍽ Yes X No