ENGR. H. A. to ENGR. S. B. NO. 435 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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. ENGR. H. A. to ENGR. S. B. NO. 435 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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; ENGR. H. A. to ENGR. S. B. NO. 435 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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 ENGR. H. A. to ENGR. S. B. NO. 435 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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 ENGR. H. A. to ENGR. S. B. NO. 435 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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 ENGR. H. A. to ENGR. S. B. NO. 435 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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 ENGR. S. B. NO. 435 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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: ENGR. S. B. NO. 435 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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 ENGR. S. B. NO. 435 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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. ENGR. S. B. NO. 435 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 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