ATCP 93.727(6)(6) The department may require reports of financial condition at any time from the local government owner or operator or local government guarantor. If the department finds that the local government owner or operator or guarantor no longer meets the local government bond rating test requirements of this section, the local government owner or operator shall obtain alternative coverage within 30 days after notification of such a finding.

ATCP 93.727(7)(7) If a local government owner or operator or local government guarantor using the bond rating test to provide financial assurance finds that it no longer meets the bond rating test requirements, the local government owner or operator shall obtain alternative coverage within 150 days of the change in status.

ATCP 93.727(8)(8) If the local government owner or operator fails to obtain alternate assurance within 150 days of finding that it no longer meets the requirements of the bond rating test, or within 30 days of notification by the department that the owner or operator no longer meets the requirements of the bond rating test, the owner or operator shall notify the department of such failure within 10 days.

ATCP 93.730(1)(1) To use a financial test to meet the financial responsibility requirements of s. ATCP 93.705, a local government owner or operator shall pass the financial test specified in this section. To be eligible to use the financial test, the local government owner or operator shall have the ability and authority to assess and levy taxes or to freely establish fees and charges. To pass the local government financial test, the owner or operator shall meet the criteria of this section based on year-end financial statements for the latest completed fiscal year.

ATCP 93.730(2)(2) The local government owner or operator shall have the following information available, as shown in the year-end financial statements for the latest completed fiscal year:

ATCP 93.730(2)(a)(a) Total revenues consisting of the sum of general fund operating and non-operating revenues including net local taxes, licenses and permits, fines and forfeitures, revenues from use of money and property, charges for services, investment earnings, sales of assets such as property and publications, restricted and unrestricted intergovernmental revenues, and total revenues from all other governmental funds including enterprise, debt service, capital projects, and special revenues, but excluding revenues to funds held in a trust or agency capacity. For purposes of this test, the calculation of total revenues excludes all transfers between funds under the direct control of the local government using the financial test, liquidation of investments and issuance of debt.

ATCP 93.730(2)(b)(b) Total expenditures consisting of the sum of general fund operating and non-operating expenditures including public safety, public utilities, transportation, public works, environmental protection, cultural and recreational, community development, revenue sharing, employee benefits and compensation, office management, planning and zoning, capital projects, interest payments on debt, payments for retirement of debt principal, and total expenditures from all other governmental funds including enterprise, debt service, capital projects, and special revenues. For purposes of this test, the calculation of total expenditures excludes all transfers between funds under the direct control of the local government using the financial test.

ATCP 93.730(2)(c)(c) Local revenues consisting of total revenues, as defined in par. (a), minus the sum of all transfers from other governmental entities, including all monies received from federal, state, or local government sources.

ATCP 93.730(2)(d)(d) Debt service consisting of the sum of all interest and principal payments on all long-term credit obligations and all interest-bearing short-term credit obligations. For purposes of this test, debt service includes interest and principal payments on general obligation bonds, revenue bonds, notes, mortgages, judgments, and interest bearing warrants. For purposes of this test, debt service excludes payments on non-interest-bearing short-term obligations, interfund obligations, amounts owed in a trust or agency capacity, and advances and contingent loans from other governments.

ATCP 93.730(2)(e)(e) Total funds consisting of the sum of cash and investment securities from all funds, including general, enterprise, debt service, capital projects and special revenue funds, but excluding employee retirement funds, at the end of the local government’s financial reporting year. For purposes of this test, the calculation of total funds includes federal securities, federal agency securities, state and local government securities, and other securities such as bonds, notes, and mortgages. For purposes of this test, the calculation of total funds excludes agency funds, private trust funds, accounts receivable, value of real property, and other non-security assets.

ATCP 93.730(2)(f)(f) Population consisting of the number of people in the area served by the local government.

ATCP 93.730(3)(3) The local government’s year-end financial statements, if independently audited, may not include an adverse auditor’s opinion or a disclaimer of opinion. The local government may not have outstanding issues of general obligation or revenue bonds that are rated as less than investment grade.

ATCP 93.730(4)(4) To demonstrate that it meets the financial test of this section, the chief financial officer of the local government owner or operator, shall sign, within 120 days of the close of each financial reporting year, as defined by the 12-month period for which financial statements used to support the financial test are prepared, a letter which is identical to the letter specified in 40 CFR 280.105 (c), except for the following:

ATCP 93.730(4)(a)(a) The instructions in brackets in the letter shall be replaced by the relevant information and the brackets deleted.

ATCP 93.730(4)(b)(b) If financial responsibility for aboveground tanks within the scope of this subchapter is demonstrated using this method, all of the following changes shall be made:

ATCP 93.730(5)(5) If a local government owner or operator using the test to provide financial assurance finds that it no longer meets the requirements of the financial test based on the year-end financial statements, the owner or operator shall obtain alternative coverage within 150 days of the end of the year for which financial statements have been prepared.

ATCP 93.730(6)(6) The department may require reports of financial condition at any time from the local government owner or operator. If the department finds that the local government owner or operator no longer meets the financial test requirements of this section, the owner or operator shall obtain alternate coverage within 30 days after notification of such a finding.

ATCP 93.730(7)(7) If the local government owner or operator fails to obtain alternate assurance within 150 days of finding that it no longer meets the requirements of the financial test based on the year-end financial statements or within 30 days of notification by the department that it no longer meets the requirements of the financial test, the owner or operator shall notify the department of such failure within 10 days.

ATCP 93.733(1)(1) To use a guarantee to meet the financial responsibility requirements of s. ATCP 93.705, a local government owner or operator shall obtain a guarantee that conforms to the requirements of this section. The guarantor shall be either the state in which the local government owner or operator is located or a local government having a substantial governmental relationship with the owner and operator and issuing the guarantee as an act incident to that relationship.