PROPOSED ORDER OF THE
STATE SUPERINTENDENT OF PUBLIC INSTRUCTION
ADOPTING PERMANENT RULES
The scope statement for this rule, SS 055-15, was published in Register No. 715A2 on July 13, 2015, and approved by State Superintendent Tony Evers on July 24, 2015, and modifies SS 083-13, which was published in Register No. 691 on July 31, 2013, and approved by State Superintendent Tony Evers on August 15, 2013. Pursuant to Coyne v. Walker, the Department of Public Instruction is not required to obtain the Governor’s approval for the statement of scope for this rule. Coyne v. Walker, 2015 WI App 21, 361 Wis. 2d 255. The State Superintendent of Public Instruction hereby proposes to repeal ss. PI 15.03 (8), and 15.04 (5); to amend ss. PI 15.01, 15.02 (2), 15.03 (1), 15.03 (2) (b), 15.03 (3) (intro.), (b), (c), and (d), 15.03 (7), PI 15.04 (3) and (4), and PI 15 Appendix A; to repeal and recreate s. PI 15.04 (4); and to create ss. PI 15.03 (2) (c) (Note), (3) (f), and (g), and PI 15.04 (2m); relating to revenue limit exemptions for energy efficiencies. __________________________________________________________________________________________________
ANALYSIS BY THE DEPARTMENT OF PUBLIC INSTRUCTION
Explanation of agency authority:
The Department of Public Instruction (Department) believes administrative rules are necessary to effectuate the purpose of the underlying statute and for the state to administer the energy efficiency revenue limit exemption in a fair and consistent manner under s. 227.11 (2) (a), Stats. The Department also believes that a rule is required to prescribe the forms and procedures in connection with the statute as dictated in s. 227.11 (2) (b), Stats. Further, under s. 227.10 (1), Stats., the Department is required to promulgate as a rule each statement of general policy and each interpretation of a statute which it specifically adopts to govern its administration of that statute. As expressed in public comment, both with the currently proposed and the past versions of the rule, the statutory requirements do not specify the manner in which the statutes need to be met. As such, the Department believes it is imperative to standardize the manner in which school districts that utilize the energy efficiency revenue limit exemption under s. 121.91 (4) (o), Stats., demonstrate compliance with the statutes. Related statute or rule: N/A.
Plain language analysis:
State law authorizes a school board to adopt a resolution to exceed the district revenue limit if the energy efficiency project is governed by a performance contract. The proposed rule provides a mechanism for districts to demonstrate compliance with state law via reporting the details of the required performance contract. State law requires a school board to use utility savings from the energy efficiency projects to retire district debt. The rule provides a uniform mechanism to ensure compliance with state law.
Before passing an energy efficiency exemption resolution a school board must enter into a performance contract under s. 66.0133, Stats. A properly executed performance contract will provide the board with the information required for the resolution. The Department provides a sample resolution and a table for districts to use to collect the required information to list each energy efficiency measure/product with related cost recovery performance indicators, estimated cost, and estimated savings and payback period. A school board may adopt a resolution to increase the revenue limit otherwise applicable to a school district under s. 121.91 (2m), Stats., in any school year by an amount spent by the school district in that school year on a project to implement energy efficiency measures or to purchase energy efficiency products. Districts may use this non-recurring exemption to the revenue limit to pay for an energy efficiency project in a single year or to repay a note, bond, or loan used to finance the project. Summary of, and comparison with, existing or proposed federal regulations: N/A
Comparison with rules in adjacent states: N/A
Summary of factual data and analytical methodologies: N/A
Analysis and supporting documents used to determine effect on small business or in preparation of economic impact report: N/A
Anticipated costs incurred by private sector: N/A
Effect on small business:
The proposed rules will have no economic impact on small businesses, as defined in s. 227.114 (1) (a), Stats. Agency contact person: (including email and telephone)
Carl Bryan
Budget and Policy Analyst
Wisconsin Department of Public Instruction
