STATE OF WISCONSIN
DEPARTMENT OF SAFETY AND PROFESSIONAL SERVICES
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IN THE MATTER OF RULEMAKING : ORDER OF THE
PROCEEDINGS BEFORE THE : DEPARTMENT OF SAFETY AND
DEPARTMENT OF SAFETY AND : PROFESSIONAL SERVICES
PROFESSIONAL SERVICES : ADOPTING RULES
: (CLEARINGHOUSE RULE 20-029)
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ORDER
An order of the Department of Safety and Professional Services to repeal SPS 151.03, 151.05, 152, and 153; to repeal and recreate SPS 150.02, 151.01, 151.02, 151.04, and 154.01; and to create 151.06 and 151.07, relating to athlete agent registration.
Analysis prepared by the Department of Safety and Professional Services.
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ANALYSIS
Explanation of agency authority:
Section 440.09 (5), Stats. states that “[t]he department or credentialing board, as appropriate, may promulgate rules necessary to implement this section.” Section 440.9915 (1), Stats. states that “[a]n applicant for registration as an athlete agent shall submit an application for registration to the department in a form prescribed by the department.” Section 440.999, Stats. states that “The department shall promulgate rules that define unprofessional conduct for purposes of s. 440.992 (2) (c).” Related statute or rule: None.
Plain language analysis:
This rule project updates the definitions sections of SPS 150 and 151 to incorporate the new definitions pertinent to athlete agents that were created by 2019 Wisconsin Acts 143 and 180. SPS 151 and 152 are revised to remove sections that are either obsolete or duplicative. The application content section and denial of issuance or renewal of certificate of registration sections, SPS 151.02, 151.05, and 152.04 are entirely duplicative of statutory requirements, therefore this rule project repeals them. SPS 151.03, 152.02, and 152.05 are repealed as obsolete in listing the credential fee amount, as this information is no longer generally provided in rule, but in a listing on the department’s website for each credential. SPS 151 is revised to better instruct applicants on the process and requirements to apply for an original certificate of registration, a reciprocal certificate generally, a reciprocal certificate for service members, former service members, and spouses under s. 440.09, as well as to incorporate instructions for renewing original or reciprocal certificates as had been previously included under SPS 152. SPS 153.01 to 153.07 are repealed as these requirements are all purely duplicative of statutory requirements. The remaining components of ch. SPS 153, SPS 153.08 to 153.10, are merged into ch. SPS 154 relating to unprofessional conduct. Additional provisions are created in ch. SPS 154 to reflect that unlicensed practice, assisting or allowing unlicensed practice, and violating the statutory requirements for contract components, etc. are considered unprofessional conduct. Summary of, and comparison with, existing or proposed federal regulation:
The Sports Agent Responsibility and Trust Act regulates athlete agents at the federal level.
Consumer Protection Provisions: 15 U.S.C. § 7802 to 7804
Athlete agents are prohibited from using false or misleading promises or things of value to persuade an athlete into signing an agency contract. It also requires a disclosure be provided to the athlete or his parent/guardian, and be acknowledged, that signing an agency contract may terminate the athlete’s eligibility to participate in college athletics, and that the athlete and the athlete agent must both inform the athletic director of the athlete’s institution of the contract within 72 hours. Further, athlete agents are prohibited from pre or post-dating a contract. Enforcement is carried out under the Federal Trade Commission Act or may be investigated, and violations pursued by a state attorney general.
Protections for Educational Institutions: 15 U.S.C. § 7805
Educational institutions affected by an agency agreement may sue athlete agents for damages.
Sense of Congress Declaration: 15 U.S.C. § 7807
Congress recommends that states adopt the UAAA.
Summary of public comments received on statement of scope and a description of how and to what extent those comments and feedback were taken into account in drafting the proposed rule: N/A.
Comparison with rules in adjacent states:
Illinois:
