Oklahoma 2024 Regular Session

Oklahoma Senate Bill SB435 Latest Draft

Bill / Engrossed Version Filed 04/24/2024

                             
 
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ENGROSSED HOUSE AMENDME NT 
 TO 
ENGROSSED SENATE BILL NO . 435 By: Montgomery of the Senate 
 
  and 
 
  Martinez of the House 
 
 
 
An Act relating to the Service Warranty A ct; amending 
15 O.S. 2021, Section 141.14, which relates to 
penalties, reports, and admin istrative fees; 
modifying administrative fee amount; providing 
exclusion of certain fee ; conforming language; and 
providing an effective d ate. 
 
 
 
 
 
 
 
 
AUTHOR:  Remove Representative Martinez as principal House author 
and substitute with Representative O'Do nnell 
 
 
AUTHOR:  Remove Senator Montgomery as principal Senate author and 
substitute with Senator Seifried 
 
 
AMENDMENT NO. 1.  Strike the title, enacting clause, and entire bill 
and insert: 
  
 
 
"An Act relating to public health and safety; 
amending 63 O.S. 2021, Section 2871, as amended by 
Section 12, Chapter 258, O.S.L. 2023 (63 O.S. Supp. 
2023, Section 2871), which relates to the Regi onal 
Emergency 9-1-1 Services Act; removing prohibition on 
the establishment of new public safety answering 
points; and declaring an emergency. 
 
 
   
 
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BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 1.     AMENDATORY     63 O.S. 2021, Section 2871, as 
amended by Section 12, Chapter 258, O.S.L. 2023 (63 O.S. Supp. 2023, 
Section 2871), is amended to r ead as follows: 
Section 2871. A.  This act shall be known and may be cited as 
the "Regional Emergency 9-1-1 Services Act". 
B.  It is the purpose of the Regional Emergency 9-1-1 Services 
Act to encourage formation of emergency communication districts in 
order to provide efficient delivery of emergency 9-1-1 service 
throughout the state. 
C.  The Regional Emergency 9-1-1 Services Act shall not apply to 
any 9-1-1 system or public agency participating in a 9-1-1 system 
that was established prior to January 1, 2017, and that had adopted 
Phase II 9-1-1 service by that date. 
D.  A new public safety answering point shall not be established 
after July 1, 2024, unless the new public safety answering point is 
established as a result of: 
1.  A consolidation with an existing public safety answering 
point; or 
2.  A replacement of an existing public safety answering point. 
E.  For the purposes of this section: 
1.  "District" means an emergency communication district;   
 
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2.  "Emergency communication district" means a district formed 
pursuant to the Regional Emergency 9-1-1 Services Act to deliver 
emergency 9-1-1 services on a regional basis; 
3.  "9-1-1 system" means an entity that processes emergency 9-1-
1 calls through a public safety answering point; 
4. "Participating public agency" means a public agency that is 
included in a district; 
5.  "Principal municipality" means the municipality with the 
largest population in a dist rict; and 
6. "Public agency" means any city, town, county, municipal 
corporation, public district, public trust, substate planning 
district, public authority or tribal authority located within this 
state which provides or has authority to provide firefigh ting, law 
enforcement, ambulance, emergency medical or other emergency 
services. 
F. E.  On or before December 31, 2017, all public agencies in 
this state shall form regional emergency communication districts for 
the purpose of creating an area-wide emergency 9-1-1 system for 
their respective jurisdictions. The territory of the district shall 
be coextensive with the territory of the regional substate planning 
district unless a different territory is approved by the Oklahoma 9-
1-1 Management Authority.  If a public agency is situated in more 
than one such territory, it shall become part of the district in 
which it is principally located. If, due to the effect of   
 
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subsection C of this section, the majority of the participating 
public agencies located in the te rritory of a proposed district 
determine that it would be in the best interests of their citizens, 
they may request inclusion in an adjacent district. 
G. F.  The public agencies to be included in each district may 
form the district by entering into local c ooperative agreements 
which shall establish a governance structure and provide for the 
joint implementation, funding, operation, and management of the 
district. 
H. G.  If the public agencies in a region are unable to develop 
a local cooperative agreement b y December 31, 2017, they shall be 
included in an emergency communication district that is governed by 
a board of directors consisting of an appointee by each public 
agency that was authorized by its voters to fund a 9-1-1 system 
prior to the formation of the district, one appointee elected by a 
majority of the remaining public agencies in the district, and an 
additional appointee by the principal municipality in the district 
who shall serve as chair of the board. 
I. H.  Unless otherwise provided by agreeme nt, any participating 
public agency that had been authorized by its voters to fund a 9-1-1 
system prior to the formation of the district shall retain control 
of the property, operation, and funding of its system; provided, 
however, the district may contrac t with such participating public 
agency to include the agency's system in the district's master   
 
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implementation plan.  To the extent practicable, the district shall 
not duplicate the equipment or answering point services already 
provided by a participating public agency.  A user of one or more 
communication services subject to the payment of fees or taxes for 
an emergency 9-1-1 system shall not be charged for more than one 
such fee or tax for each service. 
J. I.  An emergency communication district shall hav e power to 
make all contracts to carry out the purposes of the Regional 
Emergency 9-1-1 Services Act, purchase and convey real property, 
impose service fees authorized for public agencies for the provision 
of 9-1-1 service, appoint a manager of the distric t, and adopt rules 
and policies for the operation of the district. 
K. J.  Within one (1) year after the effective date of the 
formation of the district, the board of directors shall submit its 
master plan to deliver Phase II emergency 9-1-1 service throughout 
its territory to the Oklahoma 9-1-1 Management Authority for 
approval.  The Authority shall have the power to prescribe the terms 
of the plan and to approve or disapprove the master plan.  
Additionally, the Authority shall have the power to request the Tax 
Commission to escrow the wireless fees attributable to the public 
agencies which have not submitted a master plan or which have not 
complied with the terms of the master plan. 
L. K.  An emergency communication district shall operate on a 
fiscal year beginning July 1. It shall adopt an annual budget and   
 
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cause to be prepared an independent financial audit annually. As 
soon as practicable after the end of the fiscal year, the district 
shall deliver to each participating public agency an annual report 
showing in detail the operations of the district. 
SECTION 2.  It being immediately necessary for the preservation 
of the public peace, health or safety, an emergency is here by 
declared to exist, by reason whereof this act shall take effect and 
be in full force from and after its passage an d approval." 
Passed the House of Representatives the 23rd day of April, 2024. 
 
 
 
 
  
Presiding Officer of the House of 
 	Representatives 
 
 
Passed the Senate the ____ day of _______ ___, 2024. 
 
 
 
 
  
Presiding Officer of the Senate 
   
 
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ENGROSSED SENATE 
BILL NO. 435 	By: Montgomery of the Senate 
 
  and 
 
  Martinez of the House 
 
 
 
 
An Act relating to the Service Warranty A ct; amending 
15 O.S. 2021, Section 141.14, which relates to 
penalties, reports, and administ rative fees; 
modifying administrative fee amount; providing 
exclusion of certain fee ; conforming language; and 
providing an effective d ate. 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 3.     AMENDATORY     15 O.S. 20 21, Section 141.14, is 
amended to read as follows: 
Section 141.14.  A.  In addition to the li cense fees provided in 
the Service Warranty Act for service warranty associ ations each 
service warranty association and insurer shall annually, on or 
before the first day of May, file with the Insurance Commissioner 
its annual financial statement showing a ll gross written provider 
fees or assessments received by it in connection with the issuance 
of service warranties in t his state during the preceding calendar 
year and other relevant financial information as deemed necessary by 
the Commissioner.  The finan cial statements required by this 
subsection must be:   
 
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1.  Audited and prepar ed in accordance with statutory accounting 
principles if the applicant complies with the requirements of 
subsection A of Section 141.6 of this title; or 
2.  Verified under oath of a t least two of its principal 
officers and prepared in accordance with gener ally accepted 
accounting principles if the a pplicant utilizes an insurance policy 
which satisfies the requirements of subsection B of Section 141.6 of 
this title. 
B.  The Commissioner may levy a fine of up to One Hundred 
Dollars ($100.00) a day for each da y an association neglects to file 
its financial statement in the form and within the tim e provided by 
the Service Warranty Act. 
C. In addition to the annual financial statements re quired to 
be filed by subsection A of this section, the Commissioner may 
require of licensees, under oath and in the fo rm prescribed by it, 
quarterly statements or special reports which the Commissioner deems 
necessary for the proper supervision of license es under the Service 
Warranty Act. 
D. Provider fees and assessments receiv ed by associations and 
insurers for service warranties shall not be subject to the premi um 
tax provided in Section 624 of Title 36 of the Oklahoma Statutes, 
but shall be subject to an administrative fee of equal to two 
percent (2%) of the gross provider fe e received on the sale of all 
service warranties issued in this state during the precedi ng   
 
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calendar quarter.  The fees shall be paid quarterly to the Insurance 
Commissioner.  Howeve r, licensed associations, licensed insurers and 
entities with applications for licensure as a service warranty 
association pending with the Department that have co ntractual 
liability insurance in place as of March 31, 2009, from an insurer 
which satisfies the requirements of subsections B and C of Section 
141.6 of this title and which covers one hundred percent (100%) of 
the claims exposure of the association or ins urer on all contracts 
written may elect to shall pay an annual administrative fee of Three 
Thousand Dollars ($3,000.00) in lieu of the two-percent 
administrative fee Four Thousand Two Hundred Dollars ($4,200.00).  
The administrative fee set forth in this s ection shall not be 
subject to subsection C of Section 307.3 of Title 36 of the Oklahoma 
Statutes. 
SECTION 4.  This act shall become effective January 1 , 2024.   
 
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Passed the Senate the 23rd day of March, 2023. 
 
 
  
 	Presiding Officer of the Senate 
 
 
Passed the House of Representatives the ____ day of __________, 
2023. 
 
 
  
 	Presiding Officer of the House 
 	of Representatives