HB-4439, As Passed House, November 12, 2003                                 

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                              SUBSTITUTE FOR                                    

                                                                                

                           HOUSE BILL NO. 4439                                  

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1986 PA 32, entitled                                              

                                                                                

    "Emergency telephone service enabling act,"                                 

                                                                                

    by amending sections 408, 411, 602, and 711 (MCL 484.1408,                  

                                                                                

    484.1411, 484.1602, and 484.1711), sections 408 and 411 as added            

                                                                                

    by 1999 PA 78, section 602 as amended by 1999 PA 80, and section            

                                                                                

    711 as added by 1999 PA 79; and to repeal acts and parts of                 

                                                                                

    acts.                                                                       

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 408.   (1) Until 2 years after the effective date of                   

                                                                                

2   this section, a CMRS supplier or a reseller shall include a                 

                                                                                

3   service charge of 55 cents per month for each CMRS connection               

                                                                                

4   that has a billing address in this state.  Beginning 2 years                

                                                                                

5   after the effective date of this section, a CMRS supplier or a              

                                                                                

6   reseller shall include a service charge of 52 cents per month for           

                                                                                

7   each CMRS connection that has a billing address in this state.              

                                                                                


                                                                                

1   The CMRS supplier or reseller shall list the service charge as a            

                                                                                

2   separate line item on each bill.  The service charge shall be               

                                                                                

3   listed on the bill as the "emergency 9-1-1 charge".                         

                                                                                

4       (1) Except as otherwise provided under subsection (3),                      

                                                                                

5   starting January 1, 2004, a CMRS supplier or a reseller shall               

                                                                                

6   include a service charge of 52 cents per month for each CMRS                

                                                                                

7   connection that has a billing address in this state.  The CMRS              

                                                                                

8   supplier or reseller shall list a service charge authorized under           

                                                                                

9   this section as a separate line item on each bill.  The service             

                                                                                

10  charge shall be listed on the bill as the "operational 9-1-1                

                                                                                

11  charge".                                                                    

                                                                                

12      (2) Except as otherwise provided under subsection (3), a CMRS               

                                                                                

13  supplier may submit an invoice to the subcommittee created in               

                                                                                

14  section 410 for reimbursement from the CMRS emergency telephone             

                                                                                

15  fund for costs incurred in implementing the wireless emergency              

                                                                                

16  service order and this act.  Within 90 days after the date the              

                                                                                

17  invoice is submitted to the subcommittee, the subcommittee shall            

                                                                                

18  review the invoice and make a recommendation to the committee for           

                                                                                

19  the approval, in whole or in part, or denial of the invoice.  The           

                                                                                

20  committee shall approve an invoice submitted under this                     

                                                                                

21  subsection only if the invoice is for costs directly related to             

                                                                                

22  the providing and installing of equipment that implements the               

                                                                                

23  wireless emergency service order and this act.  The committee               

                                                                                

24  shall authorize payment of the invoice in accordance with the               

                                                                                

25  recommendations of the subcommittee.                                        

                                                                                

26      (3) Before July 1, 2004, all CMRS suppliers shall notify the                

                                                                                

27  committee in writing whether they will seek reimbursement from              


                                                                                

1   the CMRS emergency telephone fund for costs incurred until                  

                                                                                

2   December 31, 2005 in implementing the wireless emergency service            

                                                                                

3   order and this act.  If a CMRS supplier elects to seek                      

                                                                                

4   reimbursement under this subsection, it shall continue to impose            

                                                                                

5   the 52 cents per month charge authorized under subsection (1)               

                                                                                

6   until December 31, 2005.  After December 31, 2005, the CMRS                 

                                                                                

7   supplier shall impose a service charge of 29 cents per month.  A            

                                                                                

8   CMRS supplier that notifies the committee in writing that it will           

                                                                                

9   not seek reimbursement under this subsection shall impose a                 

                                                                                

10  charge of 29 cents per month and not seek reimbursement from the            

                                                                                

11  fund for costs in implementing the wireless emergency service               

                                                                                

12  order and this act incurred after the date of its notice to the             

                                                                                

13  committee.                                                                  

                                                                                

14      (4) The department of state police may receive funds from the               

                                                                                

15  CMRS emergency telephone fund for costs to administer this act or           

                                                                                

16  to operate a regional dispatch center.  A breakdown of the costs            

                                                                                

17  funded under this subsection shall be included in the annual                

                                                                                

18  report required under section 412.  Except as otherwise provided            

                                                                                

19  by this subsection, the costs funded under this subsection shall            

                                                                                

20  not exceed 1/2 of 1 cent of the monthly service charge collected            

                                                                                

21  under this section.  If the department of state police                      

                                                                                

22  establishes the position of E-911 coordinator, the costs funded             

                                                                                

23  under this subsection shall not exceed 1 cent of the monthly                

                                                                                

24  service charge collected under this section.                                

                                                                                

25      (5)  (2)  Except as otherwise provided in this section, the                 

                                                                                

26  money collected as the service charge under subsection (1) shall            

                                                                                

27  be deposited in the CMRS emergency telephone fund created in                


                                                                                

1   section 407 not later than 30 days after the end of the quarter             

                                                                                

2   in which the service charge was collected.                                  

                                                                                

3       (6) All money collected and deposited in the CMRS emergency                 

                                                                                

4   telephone fund created in section 407 shall be distributed as               

                                                                                

5   follows:                                                                    

                                                                                

6       (a) Except as provided in subsection (9), 10 cents of each                  

                                                                                

7   monthly service charge shall be disbursed equally to each county            

                                                                                

8   that has a final 9-1-1 plan in place that includes implementing             

                                                                                

9   the wireless emergency service order and this act.  Money                   

                                                                                

10  received by a county under this subdivision shall only be used to           

                                                                                

11  implement the wireless emergency service order and this act.                

                                                                                

12  Money expended under this subdivision for a purpose considered              

                                                                                

13  unnecessary or unreasonable by the committee or the auditor                 

                                                                                

14  general shall be repaid to the fund.                                        

                                                                                

15      (b) Except as provided in subsection (9), 15 cents of each                  

                                                                                

16  monthly service charge shall be disbursed on a per capita basis             

                                                                                

17  to each county that has a final 9-1-1 plan in place that includes           

                                                                                

18  implementing the wireless emergency service order and this act.             

                                                                                

19  The committee shall certify to the department of treasury                   

                                                                                

20  quarterly which counties have a final 9-1-1 plan in place.  The             

                                                                                

21  most recent census conducted by the United States census bureau             

                                                                                

22  shall be used to determine the population of each county in                 

                                                                                

23  determining the per capita basis in this subdivision.  Money                

                                                                                

24  received by a county under this subdivision shall only be used to           

                                                                                

25  implement the wireless emergency service order and this act.                

                                                                                

26  Money expended under this subdivision for a purpose considered              

                                                                                

27  unnecessary or unreasonable by the committee or the auditor                 


                                                                                

1   general shall be repaid to the fund.                                        

                                                                                

2       (c) One and one-half cents of each monthly service charge                   

                                                                                

3   shall be available to PSAPs for training personnel assigned to              

                                                                                

4   9-1-1 centers.  A written request for money from the fund shall             

                                                                                

5   be made by a public safety agency or county to the committee.               

                                                                                

6   The committee shall semiannually authorize distribution of money            

                                                                                

7   from the fund to eligible public safety agencies or counties.  A            

                                                                                

8   public safety agency or county that receives money under this               

                                                                                

9   subdivision shall create, maintain, and make available to the               

                                                                                

10  committee upon request a detailed record of expenditures relating           

                                                                                

11  to the preparation, administration, and carrying out of                     

                                                                                

12  activities of its 9-1-1 training program.  Money expended by an             

                                                                                

13  eligible public safety agency or county for a purpose considered            

                                                                                

14  unnecessary or unreasonable by the committee or the auditor                 

                                                                                

15  general shall be repaid to the fund.  Money shall be disbursed to           

                                                                                

16  an eligible public safety agency or county for training of PSAP             

                                                                                

17  personnel through courses certified by the commission on law                

                                                                                

18  enforcement standards only for either of the following purposes:            

                                                                                

19                                                                               (i) To provide basic 9-1-1 operations training.                                     

                                                                                

20      (ii) To provide in-service training to employees engaged in                  

                                                                                

21  9-1-1 service.                                                              

                                                                                

22      (d) As provided under subsections (2), (4), and (11).                       

                                                                                

23      (7) Money received by a county under subsection (6)(b) and                  

                                                                                

24  (c) shall be distributed by the county to the primary PSAPs                 

                                                                                

25  geographically located within the 9-1-1 service district by 1 of            

                                                                                

26  the following methods:                                                      

                                                                                

27      (a) As provided in the final 9-1-1 service plan.                            


                                                                                

1       (b) If distribution is not provided for in the 9-1-1 service                

                                                                                

2   plan under subdivision (a), then according to any agreement for             

                                                                                

3   distribution between a county and a public agency.                          

                                                                                

4       (c) If distribution is not provided for in the 9-1-1 service                

                                                                                

5   plan under subdivision (a) or by agreement between the county and           

                                                                                

6   public agency under subdivision (b), then according to the                  

                                                                                

7   population within the geographic area for which the PSAP serves             

                                                                                

8   as primary PSAP.                                                            

                                                                                

9       (d) If a county has multiple emergency telephone districts,                 

                                                                                

10  money for that county shall be distributed as provided in the               

                                                                                

11  emergency telephone districts' final 9-1-1 service plans.                   

                                                                                

12      (8) If a county with a final 9-1-1 plan in place does not                   

                                                                                

13  accept 9-1-1 calls through the direct dispatch method, relay                

                                                                                

14  method, or transfer method from a CMRS user, the revenues                   

                                                                                

15  available to the county under this section shall be disbursed to            

                                                                                

16  the public agency or county responsible for accepting and                   

                                                                                

17  responding to those calls.                                                  

                                                                                

18      (9) In addition to the requirements of this subsection, a                   

                                                                                

19  county is not eligible to receive disbursements under subsection            

                                                                                

20  (6)(a) or (b) unless the county is compliant with the wireless              

                                                                                

21  emergency service order and this act.  A county shall be                    

                                                                                

22  compliant with phase 1 implementation by June 30, 2004 and phase            

                                                                                

23  2 implementation by June 30, 2005.  A county that is not                    

                                                                                

24  compliant with phase 1 implementation by June 30, 2004 and phase            

                                                                                

25  2 implementation by June 30, 2005 shall use the disbursements               

                                                                                

26  received under subsection (6)(a) and (b) only for purposes of               

                                                                                

27  becoming compliant.  A county that is not compliant with phase 1            


                                                                                

1   implementation by December 31, 2004 and phase 2 implementation by           

                                                                                

2   December 31, 2005 is not eligible to receive disbursements under            

                                                                                

3   subsection (6)(a) and (b).  Once the committee determines that a            

                                                                                

4   county that is not eligible to receive disbursements is                     

                                                                                

5   compliant, the county shall begin receiving disbursements again             

                                                                                

6   under subsection (6)(a) and (b).  As used in this subsection,               

                                                                                

7   "compliant" means the county has installed equipment that is                

                                                                                

8   capable, and at a state of readiness, to deploy wireless service            

                                                                                

9   for all CMRS providers within a county's 9-1-1 service district             

                                                                                

10  or districts.                                                               

                                                                                

11      (10)  (3)  From each service charge billed under subsection                 

                                                                                

12  (1), each CMRS supplier or reseller who billed the customer shall           

                                                                                

13  retain 1/2 of 1 cent to cover the costs of billing and collection           

                                                                                

14  as the only reimbursement from this charge for billing and                  

                                                                                

15  collection costs.                                                           

                                                                                

16      (11) Notwithstanding any other provision of this act, the                   

                                                                                

17  commission, following a contested case, shall issue an order                

                                                                                

18  within 180 days of the effective date of the amendatory act that            

                                                                                

19  added this subsection establishing the costs that a local                   

                                                                                

20  exchange provider may recover in terms of the costs related to              

                                                                                

21  the wireless emergency service order.  Any cost reimbursement               

                                                                                

22  allowed under this subsection shall not include a cost that is              

                                                                                

23  not related to complying with the wireless emergency service                

                                                                                

24  order.  After the commission has issued the order, a local                  

                                                                                

25  exchange provider may submit an invoice to the commission for               

                                                                                

26  reimbursement from the CMRS emergency telephone fund for costs              

                                                                                

27  incurred that are allowed under the commission order.  Within 45            


                                                                                

1   days after the date an invoice is submitted to the commission,              

                                                                                

2   the commission shall make a recommendation to the committee for             

                                                                                

3   the approval, either in whole or in part, or the denial of the              

                                                                                

4   invoice.  The committee shall authorize payment of an invoice in            

                                                                                

5   accordance with the commission's recommendation.  As used in this           

                                                                                

6   subsection:                                                                 

                                                                                

7       (a) "Commission" means the Michigan public service                          

                                                                                

8   commission.                                                                 

                                                                                

9       (b) "Local exchange provider" means a provider of regulated                 

                                                                                

10  basic local exchange service as defined in section 102 of the               

                                                                                

11  Michigan telecommunications act, 1991 PA 179, MCL 484.2102.                 

                                                                                

12      (12)  (4)  A CMRS supplier or reseller is not liable for an                 

                                                                                

13  uncollected service charge billed under subsection (1) for which            

                                                                                

14  the CMRS supplier or reseller has billed the CMRS user.  If only            

                                                                                

15  a partial payment of a bill is received by a CMRS supplier or               

                                                                                

16  reseller, the CMRS supplier or reseller shall credit the amount             

                                                                                

17  received as follows in priority order:                                      

                                                                                

18      (a) For services provided.                                                  

                                                                                

19      (b) For the reimbursement under subsection  (3)  (10).                      

                                                                                

20      (c) For the balance of the service charge.                                  

                                                                                

21      (13)  (5)  Amounts received under subsection  (4)(c)  (12)(c)               

                                                                                

22  shall be forwarded to the CMRS emergency telephone fund created             

                                                                                

23  in section 407.  Any uncollected portion of the service charge              

                                                                                

24  that is not received shall be billed on subsequent billings and,            

                                                                                

25  upon receipt, amounts in excess of the reimbursement under                  

                                                                                

26  subsection  (3)  (10) shall be forwarded to the CMRS emergency              

                                                                                

27  telephone fund created in section 407.  The service charge paid             


                                                                                

1   by a CMRS user is not subject to a state or local tax.                      

                                                                                

2       (14)  (6)  A CMRS supplier or reseller shall implement the                  

                                                                                

3   billing provisions of this section not later than  120 days after           

                                                                                

4   the effective date of this section  October 26, 1999.                       

                                                                                

5       (15) The department of state police shall annually prepare a                

                                                                                

6   list of projects in priority order that the department of state             

                                                                                

7   police recommends for funding from the funds collected under                

                                                                                

8   former section 409(e).  The legislature shall annually review and           

                                                                                

9   approve projects by law.  If a project provides infrastructure or           

                                                                                

10  equipment for use by CMRS suppliers, the department of state                

                                                                                

11  police shall charge a reasonable fee for use of the                         

                                                                                

12  infrastructure or equipment.  Fees collected under this                     

                                                                                

13  subsection shall be deposited in the fund.                                  

                                                                                

14      Sec. 411.  (1) A CMRS supplier may use money received from                  

                                                                                

15  the CMRS emergency telephone fund created in section 407 for                

                                                                                

16  monthly recurring costs, start-up costs, and nonrecurring costs             

                                                                                

17  associated with installation, service, software, and hardware               

                                                                                

18  necessary to comply with the wireless emergency service order and           

                                                                                

19  this act.                                                                   

                                                                                

20      (2) If the total amount from the invoices approved for                      

                                                                                

21  payment under section 410 exceeds the amount remaining in the               

                                                                                

22  CMRS emergency telephone fund created in section 407 in any                 

                                                                                

23  quarter, all CMRS suppliers that have submitted invoices and that           

                                                                                

24  are approved by the committee to receive payment shall receive a            

                                                                                

25  pro rata share of the money in the fund that is available in that           

                                                                                

26  quarter.   Any unpaid balance shall be carried over to the                  

                                                                                

27  following quarter until all of the approved payments are made.              


                                                                                

1       Sec. 602.  Except for commercial mobile radio service and a                 

                                                                                

2   local exchange provider as defined under section 408, a dispute             

                                                                                

3   between or among 1 or more service suppliers, counties, public              

                                                                                

4   agencies, public service agencies, or any combination of those              

                                                                                

5   entities regarding their respective rights and duties under this            

                                                                                

6   act shall be heard as a contested case before the public service            

                                                                                

7   commission as provided in the administrative procedures act of              

                                                                                

8   1969, 1969 PA 306, MCL 24.201 to 24.328.                                    

                                                                                

9       Sec. 711.  As used in this  chapter  act, "committee" means                 

                                                                                

10  the emergency telephone service committee created in section                

                                                                                

11  712.                                                                        

                                                                                

12      Enacting section 1.  (1) Enacting section 1 of 1999 PA 78 is                

                                                                                

13  repealed.                                                                   

                                                                                

14      (2) Section 409 of the emergency telephone service enabling                 

                                                                                

15  act, 1986 PA 32, MCL 484.1409, is repealed.                                 

                                                                                

16      Enacting section 2.  This amendatory act takes effect January               

                                                                                

17  1, 2004.