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SF 3238

1st Engrossment - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 1st Engrossment

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A bill for an act
relating to public safety; changing a requirement concerning combined
local access surcharges; modifying requirements for 911 system service
contracts; modifying reporting requirement of wireless 911 service providers;
modifying provisions relating to payments for recurring 911 system costs;
modifying provisions relating to 911 system cost accounting requirements;
amending Minnesota Statutes 2004, sections 237.49; 403.08, subdivision 7;
403.11, subdivisions 3b, 3c; 403.113, subdivision 3; Minnesota Statutes 2005
Supplement, sections 403.025, subdivision 7; 403.05, subdivision 3; 403.11,
subdivisions 1, 3, 3a; 403.113, subdivision 1; repealing Minnesota Statutes 2004,
section 403.08, subdivision 8.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2004, section 237.49, is amended to read:


237.49 COMBINED LOCAL ACCESS SURCHARGE.

Each local telephone company shall collect from each subscriber an amount per
telephone access line representing the total of the surcharges required under sections
237.52, 237.70, and 403.11. Amounts collected must be remitted to the commissioner
of public safety in the manner prescribed in section 403.11. The commissioner of public
safety shall divide the amounts received deleted text begin proportional to the individual surchargesdeleted text end and
deposit them in the appropriate accounts. The commissioner of public safety may recover
from the agencies receiving the surcharges the personnel and administrative costs to
collect and distribute the surcharge. A company or the billing agent for a company shall
list the surcharges as one amount on a billing statement sent to a subscriber.

Sec. 2.

Minnesota Statutes 2005 Supplement, section 403.025, subdivision 7, is
amended to read:


Subd. 7.

Contractual requirements.

(a) The statedeleted text begin , togetherdeleted text end new text begin shall contractnew text end with
the county or other governmental agencies operating public safety answering pointsdeleted text begin ,
shall contract
deleted text end new text begin andnew text end with the appropriate wire-line telecommunications service providers or
other entities determined by the commissioner to be capable of providing effective and
efficient components of the 911 system for the operation, maintenance, enhancement,
and expansion of the 911 system.

(b) The state shall contract with the appropriate wireless telecommunications service
providers for maintaining, enhancing, and expanding the 911 system.

(c) The contract language or subsequent amendments to the contract must include
a description of the services to be furnished to the county or other governmental
agencies operating public safety answering points. The contract language or subsequent
amendments must include the terms of compensation based on the effective tariff or price
list filed with the Public Utilities Commission or the prices agreed to by the parties.

(d) The contract language or subsequent amendments to contracts between the
parties must contain a provision for resolving disputes.

Sec. 3.

Minnesota Statutes 2005 Supplement, section 403.05, subdivision 3, is
amended to read:


Subd. 3.

Agreements for service.

Each county deleted text begin anddeleted text end new text begin ornew text end any other governmental
agency shall contract with the state deleted text begin and wire-line telecommunications service providers or
other entities determined by the commissioner to be capable of providing effective and
efficient components of the 911 system
deleted text end for the recurring and nonrecurring costs associated
with operating and maintaining 911 emergency communications systems.new text begin If requested by
the county or other governmental agency, the county or agency is entitled to be a party to
any contract between the state and any wire-line telecommunications service provider or
911 emergency telecommunications service provider providing components of the 911
system within the county.
new text end

Sec. 4.

Minnesota Statutes 2004, section 403.08, subdivision 7, is amended to read:


Subd. 7.

Duties.

Each wireless telecommunications service provider shall cooperate
in planning and implementing integration with enhanced 911 systems operating in
their service territories to meet Federal Communications Commission-enhanced 911
standards. deleted text begin By August 1, 1997, each 911 emergency telecommunications service
provider operating enhanced 911 systems, in cooperation with each involved
deleted text end new text begin Eachnew text end
wireless telecommunications service providerdeleted text begin ,deleted text end shallnew text begin annuallynew text end develop and provide to the
commissioner good-faith estimates of installation and recurring expenses to integrate
wireless 911 service into the enhanced 911 networks to meet Federal Communications
Commission phase one wireless enhanced 911 standards. The commissioner shall
coordinate with counties and affected public safety agency representatives in developing a
statewide design and plan for implementation.

Sec. 5.

Minnesota Statutes 2005 Supplement, section 403.11, subdivision 1, is
amended to read:


Subdivision 1.

Emergency telecommunications service fee; account.

(a) Each
customer of a wireless or wire-line switched or packet-based telecommunications service
provider connected to the public switched telephone network that furnishes service capable
of originating a 911 emergency telephone call is assessed a fee based upon the number
of wired or wireless telephone lines, or their equivalent, to cover the costs of ongoing
maintenance and related improvements for trunking and central office switching equipment
for 911 emergency telecommunications service, deleted text begin plusdeleted text end new text begin to offsetnew text end administrative and staffing
costs of the commissioner related to managing the 911 emergency telecommunications
service programdeleted text begin . Recurring charges by a wire-line telecommunications service provider
for updating the information required by section 403.07, subdivision 3, must be paid by
the commissioner if the wire-line telecommunications service provider is included in an
approved 911 plan and the charges are made pursuant to contract. The fee assessed under
this section must also be used for the purpose of offsetting
deleted text end new text begin , to make distributions provided
for in section 403.113, and to offset
new text end the costs, including administrative and staffing costs,
incurred by the State Patrol Division of the Department of Public Safety in handling 911
emergency calls made from wireless phones.

(b) Money remaining in the 911 emergency telecommunications service account
after all other obligations are paid must not cancel and is carried forward to subsequent
years and may be appropriated from time to time to the commissioner to provide financial
assistance to counties for the improvement of local emergency telecommunications
services. The improvements may include providing access to 911 service for
telecommunications service subscribers currently without access and upgrading existing
911 service to include automatic number identification, local location identification,
automatic location identification, and other improvements specified in revised county
911 plans approved by the commissioner.

(c) The fee may not be less than eight cents nor more than 65 cents a month for
each customer access line or other basic access service, including trunk equivalents as
designated by the Public Utilities Commission for access charge purposes and including
wireless telecommunications services. With the approval of the commissioner of finance,
the commissioner of public safety shall establish the amount of the fee within the limits
specified and inform the companies and carriers of the amount to be collected. When the
revenue bonds authorized under section 403.27, subdivision 1, have been fully paid or
defeased, the commissioner shall reduce the fee to reflect that debt service on the bonds is
no longer needed. The commissioner shall provide companies and carriers a minimum of
45 days' notice of each fee change. The fee must be the same for all customers.

(d) The fee must be collected by each wireless or wire-line telecommunications
service provider subject to the fee. Fees are payable to and must be submitted to the
commissioner monthly before the 25th of each month following the month of collection,
except that fees may be submitted quarterly if less than $250 a month is due, or annually if
less than $25 a month is due. Receipts must be deposited in the state treasury and credited
to a 911 emergency telecommunications service account in the special revenue fund. The
money in the account may only be used for 911 telecommunications services.

(e) This subdivision does not apply to customers of interexchange carriers.

(f) The installation and recurring charges for integrating wireless 911 calls into
enhanced 911 systems deleted text begin must be paiddeleted text end new text begin are eligible for paymentnew text end by the commissioner if the
911 service provider is included in the statewide design plan and the charges are made
pursuant to contract.

new text begin (g) Competitive local exchanges carriers holding certificates of authority from the
Public Utilities Commission are eligible to receive payment for recurring 911 services.
new text end

Sec. 6.

Minnesota Statutes 2005 Supplement, section 403.11, subdivision 3, is
amended to read:


Subd. 3.

Method of payment.

(a) Any wireless or wire-line telecommunications
service provider incurring reimbursable costs under subdivision 1 shall submit an
invoice itemizing rate elements by county or service area to the commissioner for 911
services furnished under contract. Any wireless or wire-line telecommunications service
provider is eligible to receive payment for 911 services rendered according to the terms
and conditions specified in the contract. deleted text begin Competitive local exchange carriers holding
certificates of authority from the Public Utilities Commission are eligible to receive
payment for recurring 911 services provided after July 1, 2001.
deleted text end The commissioner shall
pay the invoice within 30 days following receipt of the invoice unless the commissioner
notifies the service provider that the commissioner disputes the invoice.

(b) The commissioner shall estimate the amount required to reimburse
911 emergency telecommunications service providers and wireless and wire-line
telecommunications service providers for the state's obligations under subdivision 1 and
the governor shall include the estimated amount in the biennial budget request.

Sec. 7.

Minnesota Statutes 2005 Supplement, section 403.11, subdivision 3a, is
amended to read:


Subd. 3a.

Timely deleted text begin certificationdeleted text end new text begin invoicesnew text end .

deleted text begin A certificationdeleted text end new text begin An invoice for services
provided for in the contract with a wireless or wire-line telecommunications service
provider
new text end must be submitted to the commissioner no later than deleted text begin one yeardeleted text end new text begin 90 daysnew text end after
commencing a new or additional eligible 911 service. Each applicable contract must
provide that, if certified expenses under the contract deviate from estimates in the contract
by more than ten percent, the commissioner may reduce the level of service without
incurring any termination fees.

Sec. 8.

Minnesota Statutes 2004, section 403.11, subdivision 3b, is amended to read:


Subd. 3b.

deleted text begin Certificationdeleted text end new text begin Declarationnew text end .

deleted text begin Alldeleted text end new text begin If the commissioner disputes an
invoice, the
new text end wireless and wire-line telecommunications service providers shall submit
a deleted text begin self-certification formdeleted text end new text begin declaration under section 16A.41new text end signed by an officer of the
company deleted text begin to the commissionerdeleted text end with new text begin the new text end invoices for payment of deleted text begin an initial or changeddeleted text end
service described in the service provider's 911 contract. The deleted text begin self-certification shalldeleted text end new text begin sworn
declaration must specifically describe and
new text end affirm that the 911 service contracted for is being
provided and the costs invoiced for the service are true and correct. deleted text begin All certifications are
subject to verification and audit.
deleted text end new text begin When a wireless or wire-line telecommunications service
provider fails to provide a sworn declaration within 90 days of notice by the commissioner
that the invoice is disputed, the disputed amount of the invoice must be disallowed.
new text end

Sec. 9.

Minnesota Statutes 2004, section 403.11, subdivision 3c, is amended to read:


Subd. 3c.

Audit.

If the commissioner determines that an audit is necessary to
document the deleted text begin certification describeddeleted text end new text begin invoice and sworn declarationnew text end in subdivision 3b,
the wireless or wire-line telecommunications service provider must contract with an
independent certified public accountant to conduct the audit. The audit must be conducted
according to generally accepted accounting principles. The wireless or wire-line
telecommunications service provider is responsible for any costs associated with the audit.

Sec. 10.

Minnesota Statutes 2005 Supplement, section 403.113, subdivision 1, is
amended to read:


Subdivision 1.

Fee.

deleted text begin (a) Each customer receiving service from a wireless or
wire-line switched or packet-based telecommunications service provider connected to the
public telephone network that furnishes service capable of originating a 911 emergency
telephone call is assessed a fee
deleted text end new text begin A portion of the fee collected under section 403.11 must be
used
new text end to fund implementation, operation, maintenance, enhancement, and expansion of
enhanced 911 service, including acquisition of necessary equipment and the costs of the
commissioner to administer the program. deleted text begin The actual fee assessed under section 403.11
and the enhanced 911 service fee must be collected as one amount and may not exceed the
amount specified in section 403.11, subdivision 1, paragraph (c).
deleted text end

deleted text begin (b) The enhanced 911 service fee must be collected and deposited in the same
manner as the fee in section and used solely for the purposes of paragraph (a)
and subdivision 3.
deleted text end

deleted text begin (c) The commissioner, in consultation with counties and 911 system users, shall
determine the amount of the enhanced 911 service fee. The commissioner shall inform
wireless and wire-line telecommunications service providers that provide service capable
of originating a 911 emergency telephone call of the total amount of the 911 service fees
in the same manner as provided in section .
deleted text end

Sec. 11.

Minnesota Statutes 2004, section 403.113, subdivision 3, is amended to read:


Subd. 3.

Local expenditures.

(a) Money distributed under subdivision 2 for
enhanced 911 service may be spent on enhanced 911 system costs for the purposes
stated in subdivision 1deleted text begin , paragraph (a)deleted text end . In addition, money may be spent to lease,
purchase, lease-purchase, or maintain enhanced 911 equipment, including telephone
equipment; recording equipment; computer hardware; computer software for database
provisioning, addressing, mapping, and any other software necessary for automatic
location identification or local location identification; trunk lines; selective routing
equipment; the master street address guide; dispatcher public safety answering point
equipment proficiency and operational skills; pay for long-distance charges incurred due
to transferring 911 calls to other jurisdictions; and the equipment necessary within the
public safety answering point for community alert systems and to notify and communicate
with the emergency services requested by the 911 caller.

(b) Money distributed for enhanced 911 service may not be spent on:

(1) purchasing or leasing of real estate or cosmetic additions to or remodeling of
communications centers;

(2) mobile communications vehicles, fire engines, ambulances, law enforcement
vehicles, or other emergency vehicles;

(3) signs, posts, or other markers related to addressing or any costs associated with
the installation or maintenance of signs, posts, or markers.

Sec. 12. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2004, section 403.08, subdivision 8, new text end new text begin is repealed.
new text end