SB566: Bill Text

2013 Senate BILL 566

February 5, 2014 - Introduced by Senators Leibham, Gudex, L. Taylor, Harsdorf, Lazich, Lassa, Lehman, Tiffany and Schultz, cosponsored by Representatives Tittl, Schraa, Berceau, Bernard Schaber, Bies, Doyle, Endsley, Hintz, Kaufert, Kestell, Kleefisch, Kolste, Krug, Kulp, Murphy, A. Ott, Petryk, Ripp, Shankland, Smith, Swearingen and Weatherston. Referred to Committee on Government Operations, Public Works, and Telecommunications.

SB566,2,2 An Act to repeal 20.155 (3) (t), 20.835 (1) (r), 25.17 (1) (ku), 25.99, 77.54 (55), 196.025 (6), 256.35 (1) (d), 256.35 (3) (a) 3., 256.35 (3) (b), (c), (d), (e), (f), (g), (i) and (j) and 256.35 (3m) (a) 2.; to renumber 256.35 (1) (a) and 256.35 (3) (a) 1.; to renumber and amend 256.35 (3) (a) 2.; to amend 15.01 (4), 15.797 (title), 20.835 (1) (db), 25.50 (3) (b), 79.035 (1), 196.025 (6) (b), 196.202 (2), 196.203 (1g) (a), 196.206 (1), 196.499 (1) (intro.), 196.50 (2) (j) 1. b., 256.35 (3) (title), 256.35 (3) (a) 4., 256.35 (3) (h) and 256.35 (4); and to create 15.797 (2), 16.9645 (2) (g), 20.155 (3) (h), 20.155 (3) (k), 256.35 (1) (am), 256.35 (1) (ct), 256.35 (1) (cw), 256.35 (1) (em), 256.35 (3) (a) 2m., 256.35 (3) (bm), 256.35 (3) (cm), 256.35 (3) (dm), 256.35 (3) (em), 256.35 (3f), 256.35 (3h), 256.35 (3j) and 256.35 (12) of the statutes; relating to: state 911 telecommunications services, police and fire protection fee imposed on certain communications services, granting rule-making authority, and making appropriations.

Analysis by the Legislative Reference Bureau

This bill does all of the following: 1) eliminates the police and fire protection fee; 2) requires statewide funding for a 911 emergency telecommunications system; 3) requires the Public Service Commission (PSC) to contract for such a system and reimburse communications providers for related costs; 4) allows the PSC to make grants to public safety agencies for improving 911 service; 5) creates a state 911 council; and 6) includes other provisions related to the foregoing.

Police and fire protection fee. Under current law, a provider of active retail voice communications service must impose a monthly fee of 75 cents on each communications service connection with an assigned telephone number. However, for a prepaid wireless plan, a provider or a retailer must impose a one-time fee of 38 cents, instead of the 75 cents monthly fee. Current law allows a provider or retailer to separately list the fee on customer bills. If separately listed, the provider or retailer must identify the fee as "police and fire protection fee." The provider or retailer must remit the fees to the PSC, except that the PSC may contract with the Department of Revenue (DOR) to collect the fees for prepaid wireless plans. The PSC and DOR must deposit the fees in the police and fire protection fund, which is used to make shared revenue payments to counties, towns, villages, and cities.

The bill eliminates the requirement to impose the above fees. The bill also eliminates the police and fire protection fund and the shared revenue payments made from that fund. The foregoing changes, as well as the rest of the bill, take effect on July 1, 2014, or the day after the bill's publication, whichever is later. The bill also allows providers and retailers to indicate on bills that the fees will not be collected after that date.

Statewide 911 funding. Current law allows a county to levy charges on telecommunications service users to finance costs related to a 911 emergency telecommunications system, if certain requirements are satisfied. One of the requirements is that a county must enter into contracts with telecommunications utilities to establish such a system. Also, the telecommunications utilities must include the charges in their regular billing to service users. Current law imposes limits on the amounts of the charges, which are based, in part, on a county's population.

This bill eliminates a county's authority to levy the above charges and enter into the above contracts. Instead, the bill generally requires that each communications provider in the state impose a monthly fee of 40 cents on each communications service connection, including those provided via a voice over Internet protocol (VOIP) connection. The bill defines "communications provider" as any person that provides a "communications service," which the bill defines as an active voice or nonvoice communications service that is capable of accessing a "public safety answering point" (PSAP), which is a facility to which 911 calls are initially routed so that a public safety agency may dispatch emergency service providers. The bill also requires communications providers and retailers to impose a fee of 20 cents on each retail transaction for a prepaid wireless plan.

Subject to certain limits, the bill allows the PSC to annually increase or decrease the above fees, but only if directed to do so by the state 911 council, which is created in this bill and discussed below. Also, the PSC may increase or decrease the above fees only with the approval of the governor and the only increases allowed under the bill are those that reflect adjustments to the U.S. consumer price index. In addition, increases are subject to the approval of the joint committee on finance.

The bill allows communications providers and retailers to identify the fee on bills as "state 911 fee." Communications providers and retailers must remit the fees they receive on a monthly basis to the PSC, except that the PSC may contract with DOR to collect the fees.

Contracts and reimbursements. The bill requires the PSC to contract for the establishment and maintenance of a statewide 911 telecommunications system by contracting with entities to perform selective routing services, manage updates to automatic location information databases, manage master street address guides, and perform other services. If a county has contracted under current law with a telecommunications utility for a system in the county, the telecommunications utility must continue to perform the duties specified in the contract until the date that the PSC determines that a statewide 911 telecommunications system has been established in that county pursuant to contracts entered into by the PSC under the bill. The PSC must reimburse the telecommunications utility for services related to the county contract.

The bill also requires the PSC to reimburse communications providers, which are defined as described above, for the commercially reasonable costs they incur to provide 911 telecommunications service. Communications providers must provide price schedules for 911 telecommunications services to the PSC, and the PSC must review the schedules to determine whether they are commercially reasonable.

The fees imposed by communications providers and retailers under the bill are used to fund the contracts entered into by the PSC for a statewide 911 telecommunications system. The fees are also used to fund the reimbursements described above. In addition, no more than 1 percent of the fees may be used for the PSC's administration of the contracts and reimbursements. If fees are received in excess of the amount needed for the foregoing purposes, the bill requires the PSC to use the excess to make grants to PSAPs, which are described below, and to provide administrative support to the state 911 council.

PSAP grants. The bill requires the PSC, under the direction of the state 911 council, to make grants to PSAPs for the improvement of 911 services. Only one PSAP in a county is eligible for the grants, and a county must pass a resolution specifying the eligible PSAP. The PSC must promulgate rules specifying the purposes of the grants, which may include advanced training of telecommunicators, equipment or software expenses, and incentives for consolidation of PSAPs, but may not include general PSAP overhead or staffing costs or costs for providing emergency services or emergency services equipment. The PSC must also promulgate rules specifying criteria and procedures for the grants, including basic training and service standards that PSAPs must satisfy for grant eligibility. The PSC rules must also include measures ensuring the accountability of grant recipients.

State 911 council. This bill creates a 16-member state 911 council to advise and, in specified circumstances, direct the PSC regarding the PSC's duties under the bill. The council's duties include conducting a statewide 911 telecommunications system assessment, developing recommendations for service standards for PSAPs, establishing criteria for eligibility for PSAP grants under the PSC rules described above, promoting interoperability and consolidation of PSAPs, and seeking additional funding sources for 911 telecommunications purposes. The bill requires the council to perform its duties in a manner that is technologically and competitively neutral. The council must also submit a biennial report to the joint committee on finance on the grants awarded to PSAPs.

The governor appoints members to the council for 3-year terms. In making appointments, the governor must consider geographical diversity and representation of urban and rural interests. The council consists of the following: 1) one member recommended by an association of Wisconsin cities, villages, or towns; 2) one member recommended by an association of Wisconsin counties; 3) one member recommended by an association that promotes a universal emergency telephone number system; 4) one member recommended by an association of Wisconsin county sheriffs; 5) one member representing a wireless provider serving a national market; 6) one member representing a wireless provider serving a primarily regional market; 7) one member recommended by an association of public safety communications professionals; 8) two members recommended by an association of telecommunications providers, each of whom represents an incumbent local exchange carrier; 9) one member who represents a competitive local exchange carrier; 10) one member who represents a VOIP provider; 11) a police chief recommended by an association of Wisconsin police chiefs; 12) a fire chief recommended by an association of Wisconsin fire chiefs; 13) one member recommended by a Wisconsin association that promotes emergency management; 14) one member who represents a cable television or other video service provider; and 15) one member recommended by a Wisconsin association of emergency medical service providers.

Other provisions. The bill allows communications providers to designate information provided to the PSC as "proprietary information," which is defined as information that would aid competitors. If the PSC determines that information so designated is proprietary, then the information is not subject to inspection or copying under the state's open records law, except with the written consent of the communications provider. The bill also provides that any connection information of a subscriber obtained from a communications provider by a PSAP is not subject to inspection or copying under the state's open records law. In addition, the bill specifies that subscriber records disclosed by a communications provider to a PSAP for public safety purposes remain the property of the communications provider. The bill also allows a PSAP to access a subscriber record only when a call is placed to "911" from the subscriber's telephone.

The bill requires communications providers, PSAPs, and entities with whom the PSC contracts for a statewide 911 telecommunications system to take action to update master street address guides and automatic location identification databases within specified time periods.

For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

SB566,1 Section 1. 15.01 (4) of the statutes is amended to read:

SB566,5,10 15.01 (4) "Council" means a part-time body appointed to function on a continuing basis for the study, and recommendation of solutions and policy alternatives, of the problems arising in a specified functional area of state government, except the Milwaukee River revitalization council has the powers and duties specified in s. 23.18, the council on physical disabilities has the powers and duties specified in s. 46.29 (1) and (2), the state council on alcohol and other drug abuse has the powers and duties specified in s. 14.24, and the electronic recording council has the powers and duties specified in s. 706.25 (4), and the state 911 council has the powers and duties specified in s. 256.35 (3) (cm) 1. and (3h) (b).

SB566,2 Section 2. 15.797 (title) of the statutes is amended to read:

SB566,5,12 15.797 (title) Same; council councils.

SB566,3 Section 3. 15.797 (2) of the statutes is created to read:

SB566,5,18 15.797 (2) State 911 council. There is created a state 911 council, attached to the public service commission under s. 15.03. When making appointments to the council, the governor shall consider the geographical diversity of, and the representation of urban and rural interests by, the membership of the council. The council consists of the following members serving for staggered 3-year terms:

SB566,6,2 (a) An individual recommended by an association of Wisconsin cities, villages, or towns.

SB566,6,3 (b) An individual recommended by an association of Wisconsin counties.

SB566,6,6 (c) An individual recommended by a Wisconsin association, or a Wisconsin chapter of an association, that promotes a universal emergency telephone number system.

SB566,6,7 (d) An individual recommended by an association of Wisconsin county sheriffs.

SB566,6,10 (e) Two individuals, each of whom represents a different commercial mobile radio service provider, as defined in s. 196.01 (2g), operating in Wisconsin, one serving a primarily regional market and one serving a national market.

SB566,6,12 (f) An individual recommended by a Wisconsin association, or a Wisconsin chapter of an association, of public safety communications professionals.

SB566,6,15 (g) Two individuals recommended by an association of Wisconsin telecommunications providers, as defined in s. 196.01 (8p), each of whom represents an incumbent local exchange carrier.

SB566,6,16 (h) An individual who represents a competitive local exchange carrier.

SB566,6,17 (i) An individual who represents a voice over Internet protocol provider.

SB566,6,18 (j) A police chief recommended by an association of Wisconsin police chiefs.

SB566,6,19 (k) A fire chief recommended by an association of Wisconsin fire chiefs.

SB566,6,21 (L) An individual recommended by a Wisconsin association that promotes emergency management.

SB566,6,23 (m) An individual who represents a video service provider, as defined in s. 196.01 (12r).

SB566,6,25 (n) An individual recommended by a Wisconsin association of emergency medical service providers.

SB566,4 Section 4. 16.9645 (2) (g) of the statutes is created to read:

SB566,7,2 16.9645 (2) (g) Coordinate with the state 911 council.

SB566,5 Section 5. 20.155 (3) (h) of the statutes is created to read:

SB566,7,12 20.155 (3) (h) Statewide 911 telecommunications. All moneys received under s. 256.35 (3) (dm) for contracts required under s. 256.35 (3f) (b), reimbursements required under s. 256.35 (3f) (c) and 2013 Wisconsin .... (this act), section 46 (2) (c ) and (d), and administration of the contracts and reimbursements, except that no more than 1 percent of the moneys appropriated under this paragraph for the contracts and reimbursements may be used for administration of the contracts and reimbursements. Notwithstanding s. 20.001 (3) (a), the unencumbered balance of this appropriation on June 30 of each year shall be transferred to the appropriation under par. (k).

SB566,6 Section 6. 20.155 (3) (k) of the statutes is created to read:

SB566,7,19 20.155 (3) (k) State 911 grant program. All moneys transferred from the appropriation account under par. (h), to provide grants under s. 256.35 (3j), to administer that grant program, and to provide administrative support to the state 911 council, except that not more than 1 percent of the moneys received under this paragraph may be used to administer the program and to provide administrative support.

SB566,7 Section 7. 20.155 (3) (t) of the statutes is repealed.

SB566,8 Section 8. 20.835 (1) (db) of the statutes is amended to read:

SB566,7,24 20.835 (1) (db) County and municipal aid account. A sum sufficient to make payments to counties, towns, villages, and cities under s. 79.035, less the amount paid from the appropriation under par. (r).

SB566,9 Section 9. 20.835 (1) (r) of the statutes is repealed.

SB566,10 Section 10. 25.17 (1) (ku) of the statutes is repealed.

SB566,11 Section 11. 25.50 (3) (b) of the statutes is amended to read:

SB566,8,9 25.50 (3) (b) On the dates specified and to the extent to which they are available, subject to s. 16.53 (10), funds payable to local governments under ss. 79.035, 79.04, 79.05, 79.08, and 79.10 shall be considered local funds and, pursuant to the instructions of local officials, may be paid into the separate accounts of all local governments established in the local government pooled-investment fund and, pursuant to the instructions of local officials, to the extent to which they are available, be disbursed or invested.

SB566,12 Section 12. 25.99 of the statutes is repealed.

SB566,13 Section 13. 77.54 (55) of the statutes is repealed.

SB566,14 Section 14. 79.035 (1) of the statutes is amended to read:

SB566,8,15 79.035 (1) Each county and municipality shall receive a payment from the county and municipal aid account and from the appropriation account under s. 20.835 (1) (r) in an amount determined under this section.

SB566,15 Section 15. 196.025 (6) (b) of the statutes is amended to read:

SB566,9,9 196.025 (6) (b) 1. Except as provided in subd. 2., a communications provider shall impose a monthly fee of $0.75 on each communications service connection with an assigned telephone number, including a communication service provided via a voice over Internet protocol connection. If a communications provider provides multiple communications service connections to a subscriber, the communications provider shall impose a separate fee under this subdivision on each of the first 10 connections and one additional fee for each 10 additional connections per billed account. A communications provider may list the fee separately from other charges on a subscriber's bill, and if a communications provider does so, the communications provider shall identify the fee as "police and fire protection fee," or, if the communications provider combines the fee with a charge imposed under s. 256.35 (3), the communications provider shall identify the combined fee and charge as "charge for funding countywide 911 systems plus police and fire protection fee." A communications provider may also indicate on a subscriber's bill that the police and fire protection fee will not be collected after June 30, 2014, or the date of publication of 2013 Wisconsin Act .... (this act), whichever is later .... [LRB inserts later date]. Any partial payment of a fee by a subscriber shall first be applied to any amount the subscriber owes the communications provider for communications service.

SB566,9,19 2. A communications provider that offers a prepaid wireless telecommunications plan, or a retailer that offers such a plan on behalf of a communications provider, shall impose a fee equal to $0.38 on each retail transaction for such a plan that occurs in this state. A communications provider or retailer may state the amount of the fee separately on a bill for the retail transaction, and if a communications provider or retailer does so, the communications provider or retailer shall identify the fee as "police and fire protection fee." A communications provider or retailer may also indicate on the bill that the police and fire protection fee will not be collected after June 30, 2014, or the date of publication of 2013 Wisconsin Act .... (this act), whichever is later .... [LRB inserts later date].

SB566,16 Section 16. 196.025 (6) of the statutes, as affected by 2013 Wisconsin Act .... (this act), is repealed.

SB566,17 Section 17. 196.202 (2) of the statutes is amended to read:

SB566,9,25 196.202 (2) Scope of regulation. A commercial mobile radio service provider is not subject to this chapter, except as provided in sub. (5), and except that a commercial mobile radio service provider is subject to ss. 196.025 (6), 196.218 (3), and 196.859, and shall respond, subject to the protection of the commercial mobile radio service provider's competitive information, to all reasonable requests for information about its operations in this state from the commission necessary to administer ss. 196.025 (6), 196.218 (3), and 196.859.

SB566,18 Section 18. 196.203 (1g) (a) of the statutes is amended to read:

SB566,10,7 196.203 (1g) (a) An alternative telecommunications utility is subject to ss. 196.01, 196.016, 196.025 (6), 196.191, 196.206, and 196.212.

SB566,19 Section 19. 196.206 (1) of the statutes is amended to read:

SB566,10,13 196.206 (1) Exemptions. An interconnected voice over Internet protocol service is not subject to this chapter, except as provided in this section, and except that an interconnected voice over Internet protocol service is subject to ss. 196.01, 196.016, 196.025 (6), 196.199, 196.218 (3), 196.858, and 196.859, and except as required for the commission to administer and enforce this section.

SB566,20 Section 20. 196.499 (1) (intro.) of the statutes is amended to read:

SB566,10,17 196.499 (1) Scope. (intro.) Notwithstanding any other provisions of this chapter, a telecommunications carrier is not subject to regulation under this chapter, except for s. 196.025 (6), and except under each of the following provisions:

SB566,21 Section 21. 196.50 (2) (j) 1. b. of the statutes is amended to read:

SB566,11,20 196.50 (2) (j) 1. b. Provide notice to the commission to recertify the telecommunications utility under this subsection and impose on the telecommunications utility only those provisions of this chapter specified in this subd. 1. b. No later than 30 days after receiving notice under this subd. 1. b., the commission shall issue an order that grants recertification under this subsection and that imposes on the telecommunications utility only those provisions of this chapter specified in this subd. 1. b. The telecommunications utility shall be exempt from all provisions of this chapter, except ss. 196.01, 196.016, 196.025 (6), 196.191, 196.206, 196.212, 196.219 (2r), and 196.503; and except those provisions in s. 196.203 (4m) (a) that are imposed on all alternative telecommunications utilities under s. 196.203 (3); and except, with respect to its wholesale telecommunications services only, ss. 196.03 (1) and (6), 196.219 (4), 196.28, and 196.37. If required by the public interest, the commission may, with respect only to intrastate switched access services, impose on the telecommunications utility s. 196.03 (1) and (6) and 196.37, except that the commission may not impose s. 196.03 (1) or (6) without also imposing s. 196.37 on the telecommunications utility. The granting of the recertification shall operate to terminate the telecommunications utility's prior certification. All regulatory requirements related to the prior certification that are inconsistent with the requirements of or regulation allowed under this subd. 1. b., including all such requirements imposed by the certification, and all such requirements imposed by the commission, whether by statute or commission rule or order, on the telecommunications utility are terminated on the effective date of the order unless the telecommunications utility, in its notice to the commission seeking recertification under this subd. 1. b., requests to remain subject to one or more requirements of its prior certification that do not violate the telecommunications utility's requirements or obligations under this chapter and the commission does not deny the request in its recertification order.

SB566,22 Section 22. 256.35 (1) (a) of the statutes is renumbered 256.35 (1) (as).

SB566,23 Section 23. 256.35 (1) (am) of the statutes is created to read:

SB566,12,2 256.35 (1) (am) "911 service provider" means an entity that contracts with the commission to provide selective routing services, manage updates to the automatic location identification database, manage updates to the master street address guide for a particular geographic area, or provide other services related to the state 911 telecommunications system.

SB566,24 Section 24. 256.35 (1) (ct) of the statutes is created to read:

SB566,12,5 256.35 (1) (ct) "Communications provider" means a person that provides communications service.

SB566,25 Section 25. 256.35 (1) (cw) of the statutes is created to read:

SB566,12,8 256.35 (1) (cw) "Communications service" means active voice or nonvoice communications service that is capable of accessing a public safety answering point.

SB566,26 Section 26. 256.35 (1) (d) of the statutes is repealed.

SB566,27 Section 27. 256.35 (1) (em) of the statutes is created to read:

SB566,12,14 256.35 (1) (em) "Master street address guide" means a database of street names and address number ranges used to determine the proper public safety answering point to which to route a call to "911" and the appropriate police, fire, ambulance, rescue, and medical services agencies to dispatch.

SB566,28 Section 28. 256.35 (3) (title) of the statutes is amended to read:

SB566,12,16 256.35 (3) (title) Funding for countywide systems state 911 system.

SB566,29 Section 29. 256.35 (3) (a) 1. of the statutes is renumbered 256.35 (1) (cp).