BillCam

SENATE BILL No. 452

August 20, 2019, Introduced by Senator STAMAS and referred to the Committee on Appropriations.

A bill to amend 1986 PA 32, entitled

"Emergency 9-1-1 service enabling act,"

by amending section 408 (MCL 484.1408), as amended by 2018 PA 51.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

Sec. 408. (1) Except as otherwise provided under this act, a

service supplier shall bill and collect a state 9-1-1 service

charge per month as determined under section 401a. The service

supplier shall list the state 9-1-1 service charge authorized under

this act as a separate line item on each bill as the "state 9-1-1

charge".

(2) Each service supplier may retain 2% of the state 9-1-1

charge collected under this act to cover the supplier's costs for

billing and collection.

(3) Except as otherwise provided under subsection (2), the

money collected as the state 9-1-1 charge under subsection (1) must

be deposited in the emergency 9-1-1 fund created in section 407 no

later than 30 days after the end of the quarter in which the state

9-1-1 charge was collected.

(4) All money collected and deposited in the emergency 9-1-1

fund created in section 407 must be distributed as provided in this

section. Annual money in the fund collected not exceeding

$37,000,000.00 must be distributed as follows:

(a) 65% must be disbursed to each county that has a final 9-1-

1 plan in place. Forty percent of the 65% must be distributed

quarterly on an equal basis to each county, and 60% of the 65% must

be distributed quarterly based on a population per capita basis. A

county shall only use money received by the county under this

subdivision for 9-1-1 services as allowed under this act. A county

shall repay to the fund any money expended under this subdivision

for a purpose considered unnecessary or unreasonable by the

committee or the auditor general.

(b) 25.56% must be available to reimburse local exchange

providers for the costs related to wireless emergency service and

to reimburse IP-based 9-1-1 service providers for the costs related

to the transport, routing, or delivery to PSAPs of IP-based 9-1-1

emergency service. Any cost reimbursement allowed under this

subdivision must not include a cost that is not related to wireless

emergency service or to IP-based 9-1-1 emergency service. A local

exchange provider or an IP-based 9-1-1 service provider may, on a

quarterly basis, submit an invoice to the commission for

reimbursement from the emergency 9-1-1 fund for allowed costs.

Except as otherwise provided in subsection (5), within 45 days

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

commission shall approve, either in whole or in part, or deny the

invoice.

assigned to 9-1-1 centers. A public safety agency or county shall

make a written request for money from the fund to the committee.

The committee shall semiannually authorize distribution of money

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

public safety agency or county that receives money under this

subdivision shall create, maintain, and make available to the

committee upon request a detailed record of expenditures relating

to the preparation, administration, and carrying out of activities

of its 9-1-1 training program. An eligible public safety agency or

county shall repay to the fund any money expended by that public

safety agency or county for a purpose considered unnecessary or

unreasonable by the committee or the auditor general. The

commission shall consult with and consider the recommendations of

the committee in the promulgation of rules under section 413

establishing training standards for 9-1-1 system personnel. Money

must be disbursed on a biannual basis to an eligible public safety

agency or county for training of PSAP personnel through courses

certified by the committee only for either of the following

purposes:

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

(ii) To provide in-service training to employees engaged in 9-

1-1 service.

(d) 1.5% must be credited to the department of state police to

operate a regional dispatch center that receives and dispatches 9-

1-1 calls, and 2.44% must be credited to the department of state

police for costs to administer this act and to maintain the office

of the state 9-1-1 coordinator.

(5) Within 60 days of the effective date of the 2018

amendatory act that added this subsection, By May 5, 2018, the

commission shall commence a proceeding to determine the recurring

and nonrecurring cost categories for all IP-based 9-1-1 service

providers. The commission shall allow any interested person to

intervene in a proceeding under this subsection. Within 180 days

after a proceeding is commenced under this subsection, the

commission shall issue a final order adopting the recurring and

nonrecurring cost categories for all IP-based 9-1-1 service

providers considered just and reasonable by the commission. For

cost studies first submitted by an IP-based 9-1-1 service provider

after the commission completes the proceeding under this

subsection, the commission shall, within 45 days of receiving an

invoice, only approve those costs in the invoice that are both of

the following:

(a) Consistent with the recurring and nonrecurring cost

categories for IP-based 9-1-1 service providers approved by the

commission under this subsection.

(b) For contracts entered into after the effective date of the

2018 amendatory act that amended this section, March 6, 2018, the

result of a competitively bid process as confirmed by supporting

documentation.

(6) An IP-based 9-1-1 service provider shall file an updated

cost study not later than 5 years after the filing of an initial

cost study and every 5 years thereafter.

(7) An IP-based 9-1-1 service provider must meet the next

generation 9-1-1 standards set by the National Emergency Number

Association to submit an invoice to the commission under subsection

(4)(b) for reimbursement from the emergency 9-1-1 fund for allowed

costs.

(8) Funds generated by the fee fees in section sections 401a

and 401c in excess of $37,000,000.00 annually must be reserved for

approved costs under subsection (4)(b).

(9) Money received by a county under subsection (4)(a) must be

distributed by the county to the primary PSAPs geographically

located within the 9-1-1 service district by 1 of the following

methods:

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

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

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

distribution between a county and a public agency.

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

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

population within the geographic area for which the PSAP serves as

primary PSAP.

(d) If a county has multiple emergency 9-1-1 districts, money

for that county must be distributed as provided in the emergency 9-

1-1 districts' final 9-1-1 service plans.

(10) The commission shall consult with and consider

recommendations of the committee in the promulgation of rules under

section 413 establishing the standards for the receipt and

expenditure of 9-1-1 funds under this act. Receipt of 9-1-1 funds

under this act is dependent on compliance with the standards

established under this subsection.

(11) No later than December 1, 2020, the commission must issue

a report to the legislature and governor containing the following

information:

(a) The total costs incurred by counties or 9-1-1 service

districts that have transitioned to an IP-based 9-1-1 service

provider.

(b) The estimated transition costs to be incurred by counties

or 9-1-1 service districts that have not transitioned to an IP-

based 9-1-1 service provider and the estimated dates for

transition.

network after the transition to an IP-based 9-1-1 service provider

has been completed by all counties or 9-1-1 service districts

choosing to transition.

(d) The current 9-1-1 funding system revenues as reported by

the committee.

(e) The estimated costs of operating the IP-based 9-1-1

network based on the estimates calculated in subdivisions (b) and

(c).

(12) The commission may collect data from counties, 9-1-1

service districts, IP-based 9-1-1 service providers, the state

treasurer, and the state 9-1-1 committee that are reasonably

required to complete the report under subsection (11). Counties, 9-

1-1 service districts, IP-based 9-1-1 service providers, the state

treasurer, and the state 9-1-1 committee shall submit to the

commission any data that are reasonably required to compile the

report under subsection (11). At the request of the commission, the

committee shall, in preparing the annual report to be submitted to

the legislature and governor under section 412 by August 1, 2020,

collect data from counties, 9-1-1 service districts, and IP-based

9-1-1 service providers that the commission reasonably requires to

compile the report under subsection (11) and submit that data to

the commission.