EMERGENCY 9-1-1 FUND DISBURSEMENT

Senate Bill 452 as passed by the Senate

Sponsor:  Sen. Jim Stamas

House Committee:  Communications and Technology

Senate Committee:  Appropriations

Complete to 9-4-19

SUMMARY:

Senate Bill 452 would amend the Emergency 9-1-1 Service Enabling Act. Currently under the act, funds generated from the state 9-1-1 charge on postpaid communication service users in excess of $37.0 million annually are reserved for reimbursements to local exchange providers of approved costs related to wireless emergency service and reimbursements to IP-based            9-1-1 service providers of costs relating to the transportation, routing, or delivery to primary public safety answering points (PSAPs) of IP-based 9-1-1 emergency service.

The bill would require that funds generated from the 5.0% surcharge on prepaid wireless communication services be combined with those from the state 9-1-1 charge on postpaid services when determining the $37.0 million annual threshold for purposes of the distributions described above.

MCL 484.1408

FISCAL IMPACT:

Senate Bill 452 would not have a significant fiscal impact on any unit of state or local government. The bill would stipulate that revenues from the fee on prepaid wireless communication services would be included with fees generated from postpaid communication devices when determining distributions of funds exceeding the $37.0 million threshold established in statute.

Money deposited to the Emergency 9-1-1 Fund up to $37.0 million is distributed in accordance with the statute, details of which are displayed in the table below.

Recipient

Percentage of Distribution

Counties with Final 9-1-1 Plans in Place

65%

Local Exchange Providers and IP-Based 9-1-1 Service Providers

25.56%

Public Safety Answering Point Training

5.5%

Department of State Police for Regional Dispatch Center

1.5%

Department of State Police for Administration of the Act and the Office of the State 9-1-1 Coordinator

2.44%

Funds exceeding the $37.0 million threshold are distributed to reimburse local exchange providers and IP-based 9-1-1 providers for costs stemming from wireless emergency service and costs related to transport, routing, or delivery to public safety answering points of IP-based 9-1-1 emergency service, respectively.

                                                                                         Legislative Analyst:   Dana Adams

                                                                                                 Fiscal Analyst:   Marcus Coffin

This analysis was prepared by nonpartisan House Fiscal Agency staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.