Texas 2009 - 81st Regular

Texas Senate Bill SB1587 Compare Versions

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1	1	By: Van de Putte S.B. No. 1587
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to a uniform and statewide 9-1-1 emergency services fee on
7	7	the retail sale of prepaid wireless telecommunications services to
8	8	consumers.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subdivision (12), Section 771.001, Health and
11	11	Safety Code, is amended to read as follows:
12	12	(12) "Wireless service provider" means a provider of
13	13	commercial mobile service under Section 332(d), Federal
14	14	Telecommunications Act of 1996 (47 U.S.C. Section 151 et seq.),
15	15	Federal Communications Commission rules, and the Omnibus Budget
16	16	Reconciliation Act of 1993 (Pub. L. No. 103-66), and includes a
17	17	provider of wireless two-way communication service,
18	18	radio-telephone communications related to cellular telephone
19	19	service, network radio access lines or the equivalent, and personal
20	20	communication service. The term does not include a provider of:
21	21	(A) a service whose users do not have access to
22	22	9-1-1 service;
23	23	(B) a communication channel used only for data
24	24	transmission;
25	25	(C) a wireless roaming service or other nonlocal
26	26	radio access line service; [or]
27	27	(D) a private telecommunications service; or
28	28	(E) a prepaid wireless telecommunications
29	29	service, as defined by Section 771.081, only to the extent of the
30	30	sale or provision of the service.
31	31	SECTION 2. Section 771.032, Health and Safety Code, is
32	32	amended to read as follows:
33	33	Sec. 771.032. APPLICATION OF SUNSET ACT. (a) The
34	34	Commission on State Emergency Communications is subject to Chapter
35	35	325, Government Code (Texas Sunset Act). Unless continued in
36	36	existence as provided by that chapter, the commission is abolished
37	37	and this chapter expires September 1, 2011.
38	38	(b) As part of the Sunset Advisory Commission's review under
39	39	Subsection (a), the Sunset Advisory Commission, in its report to
40	40	the 82nd Legislature, shall include:
41	41	(1) the effect of the prepaid wireless 9-1-1 emergency
42	42	services fee on revenues collected and the extent to which those
43	43	revenues increased or decreased total revenues attributable to
44	44	wireless telecommunications services; and
45	45	(2) whether the total of all revenues received from
46	46	9-1-1 services fees adequately fund public safety in this state at
47	47	the time the review is conducted and whether the 9-1-1 services fees
48	48	will continue to adequately fund public safety in future years.
49	49	SECTION 3. Subsection (d), Section 771.056, Health and
50	50	Safety Code, is amended to read as follows:
51	51	(d) If the commission approves the plan, it shall allocate
52	52	to the region from the money collected under Sections 771.071,
53	53	771.0711, [and] 771.072, and 771.082 and appropriated to the
54	54	commission the amount that the commission considers appropriate to
55	55	operate 9-1-1 service in the region according to the plan and
56	56	contracts executed under Section 771.078.
57	57	SECTION 4. Section 771.075, Health and Safety Code, is
58	58	amended to read as follows:
59	59	Sec. 771.075. USE OF REVENUE. Except as provided by Section
60	60	771.0751, 771.0753, 771.072(e), 771.072(f), [or] 771.073(e), or
61	61	771.082(g), fees and surcharges collected under this subchapter and
62	62	Subchapter D-1 may be used only for planning, development,
63	63	provision, and enhancement of the effectiveness of 9-1-1 service as
64	64	approved by the commission.
65	65	SECTION 5. Subchapter D, Chapter 771, Health and Safety
66	66	Code, is amended by adding Section 771.0753 to read as follows:
67	67	Sec. 771.0753. USE OF PREPAID WIRELESS 9-1-1 EMERGENCY
68	68	SERVICES FEE IN CERTAIN COUNTIES. (a) This section applies only
69	69	to the use of fees and surcharges collected under Subchapter D-1 in:
70	70	(1) the county that has the highest population within
71	71	a region subject to Subchapter D-1; or
72	72	(2) a county subject to Subchapter D-1 with a
73	73	population of at least 700,000.
74	74	(b) In addition to use authorized or required by this
75	75	subchapter, fees collected under Subchapter D-1 may be used for any
76	76	costs considered necessary by the commission and attributable to:
77	77	(1) designing a 9-1-1 system; or
78	78	(2) obtaining and maintaining equipment and personnel
79	79	necessary to establish and operate:
80	80	(A) a public safety answering point and related
81	81	operations; or
82	82	(B) other related answering points and
83	83	operations.
84	84	SECTION 6. Subsections (a), (d), and (e), Section 771.077,
85	85	Health and Safety Code, are amended to read as follows:
86	86	(a) The comptroller may establish collection procedures to
87	87	collect past due amounts and may recover the costs of collection
88	88	from a service provider or business service user that fails to
89	89	timely deliver the fees and the equalization surcharge to the
90	90	comptroller. Subtitles A and B, Title 2, Tax Code, apply to the
91	91	administration and collection of amounts by the comptroller under
92	92	this subchapter. Section 771.084 applies to the administration and
93	93	collection of amounts by the comptroller under Subchapter D-1.
94	94	(d) The comptroller shall:
95	95	(1) remit to the commission money collected under this
96	96	section for fees provided by Section 771.0711 and associated late
97	97	penalties;
98	98	(2) deposit to the 9-1-1 services fee account any
99	99	money collected under this section for fees provided by Section
100	100	771.071 and associated late penalties; [and]
101	101	(3) deposit to the account as authorized by Section
102	102	771.072 any money collected under this section for fees provided by
103	103	Section 771.072 and associated late penalties; and
104	104	(4) remit to the commission any money collected under
105	105	this section for fees provided by Section 771.082 and associated
106	106	late penalties.
107	107	(e) The commission shall:
108	108	(1) deposit or distribute the money remitted under
109	109	Subsection (d)(1) as Section 771.0711 provides for fees received
110	110	under that section; [and]
111	111	(2) distribute the money remitted under Subsection
112	112	(d)(2) and appropriated to the commission under contracts as
113	113	provided by Section 771.078(b)(1); and
114	114	(3) deposit or distribute the money remitted under
115	115	Subchapter D-1 as Section 771.082 provides for fees received under
116	116	that section.
117	117	SECTION 7. Subsection (b), Section 771.078, Health and
118	118	Safety Code, is amended to read as follows:
119	119	(b) In making contracts under this section, the commission
120	120	shall ensure that each regional planning commission receives money
121	121	for 9-1-1 service in three [two] separately computed amounts as
122	122	provided by this subsection. The commission must provide each
123	123	regional planning commission with:
124	124	(1) an amount of money equal to the total of the
125	125	revenue from the emergency service fees collected under Section
126	126	771.071 that is deposited in the treasury and appropriated to the
127	127	commission multiplied by a fraction, the numerator of which is the
128	128	amount of those fees collected from the region and the denominator
129	129	of which is the total amount of those fees collected in this state;
130	130	[and]
131	131	(2) an amount of money equal to the total of the
132	132	revenue from the emergency service fee for wireless
133	133	telecommunications connections under Section 771.0711 that is
134	134	deposited in the treasury and appropriated to the commission
135	135	multiplied by a fraction, the numerator of which is the population
136	136	of the region and the denominator of which is the population of this
137	137	state; and
138	138	(3) an amount of money equal to the total of the
139	139	revenue from the prepaid wireless 9-1-1 emergency services fee
140	140	under Section 771.082 that is deposited in the treasury and
141	141	appropriated to the commission multiplied by a fraction, the
142	142	numerator of which is the population of the region and the
143	143	denominator of which is the population of this state.
144	144	SECTION 8. Subsection (b), Section 771.079, Health and
145	145	Safety Code, is amended to read as follows:
146	146	(b) The account consists of:
147	147	(1) fees deposited in the fund as provided by Sections
148	148	771.071, [and] 771.0711, and 771.082; and
149	149	(2) notwithstanding Section 404.071, Government Code,
150	150	all interest attributable to money held in the account.
151	151	SECTION 9. Chapter 771, Health and Safety Code, is amended
152	152	by adding Subchapter D-1 to read as follows:
153	153	SUBCHAPTER D-1. PREPAID WIRELESS 9-1-1 EMERGENCY SERVICES FEE
154	154	Sec. 771.081. DEFINITIONS. In this subchapter:
155	155	(1) "Consumer" means a person who purchases prepaid
156	156	wireless telecommunications service in a retail transaction.
157	157	(2) "Prepaid wireless 9-1-1 emergency services fee"
158	158	means the fee a seller collects from a consumer in the amount
159	159	required under Section 771.082.
160	160	(3) "Prepaid wireless telecommunications service"
161	161	means a wireless telecommunications service that allows a caller to
162	162	access 9-1-1 emergency communications services that is paid for in
163	163	advance at the time of purchase and that is sold:
164	164	(A) in predetermined units or dollars, the number
165	165	of which declines with use in a known amount; or
166	166	(B) on a time period basis.
167	167	(4) "Retail transaction" means an individual purchase
168	168	of a prepaid wireless telecommunications service from a seller for
169	169	any purpose other than resale.
170	170	(5) "Seller" means a person who sells prepaid wireless
171	171	telecommunications service to any person. The term includes
172	172	"seller" and "retailer" as defined by Section 151.008, Tax Code.
173	173	(6) "Wireless telecommunications service" means
174	174	commercial mobile radio service as defined by 47 C.F.R. Section
175	175	20.3.
176	176	Sec. 771.082. PREPAID WIRELESS 9-1-1 EMERGENCY SERVICES
177	177	FEE. (a) A prepaid wireless 9-1-1 emergency services fee shall be
178	178	collected by the seller from the consumer at the time of and with
179	179	respect to each retail transaction of prepaid wireless
180	180	telecommunications service occurring in this state. The amount of
181	181	the prepaid wireless 9-1-1 emergency services fee shall be either
182	182	separately stated on an invoice, receipt, or other similar document
183	183	that is provided to the consumer by the seller, or otherwise
184	184	disclosed to the consumer by the seller.
185	185	(b) The prepaid wireless 9-1-1 emergency services fee is two
186	186	percent of the cost of each prepaid wireless telecommunications
187	187	service purchased, regardless of whether the service was purchased
188	188	in person, by telephone, through the Internet, or by any other
189	189	method. Each service purchased is a separate item for purposes of
190	190	calculating a fee under this subsection.
191	191	(c) For purposes of Subsection (a), a retail transaction
192	192	that is effected in person by a consumer at a business location of
193	193	the seller shall be treated as occurring in this state if that
194	194	business location is in this state. Any other retail transaction,
195	195	including a transaction over the Internet or via telecommunications
196	196	service, shall be treated as occurring in this state for purposes of
197	197	Subsection (a) if the transaction would be treated as occurring in
198	198	this state under Section 151.061, Tax Code.
199	199	(d) The prepaid wireless 9-1-1 emergency services fee is the
200	200	liability of the consumer and not of the seller or of any provider,
201	201	except that the seller shall be liable to remit all prepaid wireless
202	202	service fees that the seller collects from consumers as provided by
203	203	Section 771.084, including all such charges that the seller is
204	204	deemed to collect where the amount of the charge has not been
205	205	separately stated on an invoice, receipt, or other similar document
206	206	provided to the consumer by the seller.
207	207	(e) The fee imposed under this subchapter is in addition to
208	208	the taxes imposed under Chapter 151, Tax Code.
209	209	(f) The amount of the prepaid wireless 9-1-1 emergency
210	210	services fee that is collected by a seller from a consumer, whether
211	211	or not such amount is separately stated on an invoice, receipt, or
212	212	other similar document provided to the consumer by the seller,
213	213	shall not be included in the base for measuring any tax, fee,
214	214	surcharge, or other charge that is imposed by this state, any
215	215	political subdivision of this state, or any intergovernmental
216	216	agency.
217	217	(g) A seller may deduct and retain one percent of prepaid
218	218	wireless 9-1-1 emergency services fees that it collects to offset
219	219	its costs in administering this fee.
220	220	Sec. 771.083. EXCEPTIONS TO APPLICABILITY OF CHAPTER AND
221	221	LIMITATIONS OF LIABILITY. (a) The comptroller shall establish
222	222	procedures for a seller to document that a sale is not a retail
223	223	transaction under this subchapter. The procedures shall
224	224	substantially conform to procedures for documenting a sale for
225	225	resale under Chapter 151, Tax Code.
226	226	(b) A provider or seller of prepaid wireless
227	227	telecommunications service is not liable for damages to any person
228	228	resulting from or incurred in connection with the provision of, or
229	229	the failure to provide, 9-1-1 emergency service, or for identifying
230	230	or failing to identify the telephone number, address, location, or
231	231	name associated with any person or device that is accessing or
232	232	attempting to access 9-1-1 emergency service, unless the act or
233	233	omission proximately causing the claim, damage, or loss constitutes
234	234	gross negligence, recklessness, or intentional misconduct.
235	235	(c) A provider or seller of prepaid wireless
236	236	telecommunications service is not liable for damages to any person
237	237	resulting from or incurred in connection with the provision of any
238	238	lawful assistance to any investigative or law enforcement officer
239	239	of the United States, this or any other state, or any political
240	240	subdivision of this or any other state in connection with any lawful
241	241	investigation or other law enforcement activity by such
242	242	investigative or law enforcement officer unless the act or omission
243	243	proximately causing the claim, damage, or loss constitutes gross
244	244	negligence, recklessness, or intentional misconduct.
245	245	(d) Information that a provider or seller of prepaid
246	246	wireless telecommunications service is required to furnish to a
247	247	governmental entity in providing or selling 9-1-1 emergency service
248	248	is confidential and exempt from disclosure under Chapter 552,
249	249	Government Code. A provider or seller of prepaid wireless
250	250	telecommunications service is not liable to any person who uses a
251	251	9-1-1 emergency service created under this chapter for the release
252	252	of information furnished by the provider or seller of prepaid
253	253	wireless telecommunications service in providing or selling 9-1-1
254	254	emergency service. Information that is confidential under this
255	255	section may be released only for budgetary calculation purposes and
256	256	only in aggregate form so that no provider-specific or
257	257	seller-specific information may be extrapolated.
258	258	(e) In addition to the exemption from liability provided by
259	259	Subsections (b), (c), and (d), each provider and seller of prepaid
260	260	wireless telecommunications service is entitled to any other
261	261	exemption from liability under this chapter, if any, that is
262	262	provided to wireless service providers.
263	263	Sec. 771.084. APPLICATION OF PROVISIONS OF TAX CODE.
264	264	Except as otherwise provided by this subchapter:
265	265	(1) the fee imposed by this subchapter is
266	266	administered, imposed, collected, and enforced in the same manner
267	267	as a tax under Chapter 151, Tax Code, is administered, imposed,
268	268	collected, and enforced; and
269	269	(2) the provisions applicable to the sales tax imposed
270	270	under Subchapter C, Chapter 151, Tax Code, apply to the fee imposed
271	271	by this subchapter.
272	272	Sec. 771.085. ALLOCATION OF FEE. (a) After deducting an
273	273	amount not greater than 10 percent of collected charges, as
274	274	determined under Subsection (c), the comptroller shall deposit the
275	275	money from the fees imposed by this subchapter, other than
276	276	penalties and interest, to the credit of the 9-1-1 services fee
277	277	account in the general revenue fund. Until deposited to the credit
278	278	of the 9-1-1 services fee account as required by Subsection (b),
279	279	money the comptroller collects under this subchapter remains in a
280	280	trust fund with the state treasury.
281	281	(b) Money collected under this subchapter may be used only
282	282	for services related to 9-1-1 and emergency services, including
283	283	automatic number identification and automatic location information
284	284	services. Not later than the 15th day after the last day of the
285	285	month in which the money is collected, the commission shall
286	286	distribute to each emergency communication district that does not
287	287	participate in the state system a portion of the money that bears
288	288	the same proportion to the total amount collected that the
289	289	population in the area served by the district bears to the
290	290	population of the state. The remaining money collected under this
291	291	subchapter shall be deposited to the 9-1-1 services fee account in
292	292	the general revenue fund.
293	293	(c) The commission shall annually determine by rule the
294	294	percentage of collected charges, not to exceed 10 percent, that
295	295	under Subsection (a) shall be deducted by the comptroller and
296	296	allocated as if collected under Section 771.072.
297	297	Sec. 771.086. EXCLUSIVITY AND APPLICABILITY OF PREPAID
298	298	WIRELESS 9-1-1 EMERGENCY SERVICES FEE. (a) The prepaid wireless
299	299	emergency services fee shall be the only 9-1-1 funding obligation
300	300	imposed with respect to prepaid wireless telecommunications
301	301	service in this state, and no tax, fee, surcharge, or other charge
302	302	shall be imposed by this state, any political subdivision of this
303	303	state, or any intergovernmental agency, for 9-1-1 funding purposes,
304	304	on any provider, seller, or consumer with respect to the sale,
305	305	purchase, use, or provision of prepaid wireless telecommunications
306	306	service.
307	307	(b) The emergency service fee for wireless
308	308	telecommunications connections under Section 771.0711 applies to
309	309	wireless telecommunications service that is not subject to the
310	310	prepaid wireless 9-1-1 emergency services fee under this
311	311	subchapter.
312	312	SECTION 10. This Act takes effect January 1, 2010.