| 1 | A bill to be entitled |
| 2 | An act relating to wireless communications funds; amending |
| 3 | s. 365.173, F.S.; redesignating the Wireless Emergency |
| 4 | Telephone System Fund as the "Emergency Communications |
| 5 | Number E911 System Fund"; requiring that all revenues |
| 6 | derived from a fee levied by a county on local exchange |
| 7 | subscribers be paid into the State Treasury by a specified |
| 8 | date and that the moneys be accounted for in a special |
| 9 | fund; providing a methodology for the distribution of the |
| 10 | funds; requiring the Auditor General to annually audit the |
| 11 | fund; providing an appropriation; providing a contingent |
| 12 | effective date. |
| 13 |
|
| 14 | Be It Enacted by the Legislature of the State of Florida: |
| 15 |
|
| 16 | Section 1. Section 365.173, Florida Statutes, is amended |
| 17 | to read: |
| 18 | 365.173 Wireless Emergency Communications Number E911 |
| 19 | Telephone System Fund.-- |
| 20 | (1)(a) All revenues derived from the E911 fee levied on |
| 21 | subscribers under s. 365.172 must be paid by the board into the |
| 22 | State Treasury on or before the 15th day of each month. Such |
| 23 | moneys must be accounted for in the a special fund to be |
| 24 | designated as the Wireless Emergency Communications Number E911 |
| 25 | Telephone System Fund, a fund created in the Florida Enterprise |
| 26 | Information State Technology Services Office, or other office as |
| 27 | designated by the secretary of the Department of Management |
| 28 | Services, and, for accounting purposes, must be segregated into |
| 29 | two separate categories: |
| 30 | 1. The wireless category; and |
| 31 | 2. The nonwireless category. |
| 32 | (b) All moneys must be invested by the Chief Financial |
| 33 | Officer pursuant to s. 17.61. All moneys in such fund are to be |
| 34 | expended by the State Technology office for the purposes |
| 35 | provided in this section and s. 365.172. These funds are not |
| 36 | subject to s. 215.20. |
| 37 | (2) As determined by the board pursuant to s. |
| 38 | 365.172(8)(h), and subject to any modifications approved by the |
| 39 | board pursuant to s. 365.172(6)(a)3. or (8)(i)(c), the moneys in |
| 40 | the fund shall be distributed and used only as follows: |
| 41 | (a) Sixty-seven Forty-four percent of the moneys in the |
| 42 | wireless category shall be distributed each month to counties, |
| 43 | based on the total number of service identifiers wireless |
| 44 | subscriber billing addresses in each county, and shall be used |
| 45 | exclusively for payment of: |
| 46 | 1. Authorized expenditures as specified in s. 365.172(9) |
| 47 | Recurring costs of providing 911 or E911 service, as provided by |
| 48 | s. 365.171(13)(a)6. |
| 49 | 2. Costs to comply with the requirements for E911 service |
| 50 | contained in the order and any future rules related to the |
| 51 | order. |
| 52 | (b) Ninety-seven percent of the moneys in the nonwireless |
| 53 | category shall be distributed each month to counties, based on |
| 54 | the total number of service identifiers in each county, and |
| 55 | shall be used exclusively for payment of authorized expenditures |
| 56 | as specified in s. 365.172(9). |
| 57 | (c) Any county that receives funds under paragraphs (a) |
| 58 | and (b) this paragraph shall establish a fund to be used |
| 59 | exclusively for the receipt and expenditure of the revenues |
| 60 | collected under paragraphs (a) and (b) this paragraph. All fees |
| 61 | placed in the fund and any interest accrued shall be used solely |
| 62 | for costs described in subparagraphs (a)1. and 2. The money |
| 63 | collected and interest earned in this fund shall be appropriated |
| 64 | for these purposes by the county commissioners and incorporated |
| 65 | into the annual county budget. The fund shall be included within |
| 66 | the financial audit performed in accordance with s. 218.39. A |
| 67 | county may carry forward up to 20 30 percent of the total funds |
| 68 | disbursed to the county by the board during a calendar year for |
| 69 | expenditures for capital outlay, capital improvements, or |
| 70 | equipment replacement, if such expenditures are made for the |
| 71 | purposes specified in subparagraphs (a)1. and 2.; provided that |
| 72 | such 20-percent limitation shall not apply to funds disbursed to |
| 73 | a county pursuant to s. 365.172(6)(a)3., and a county may carry |
| 74 | forward any percentage of such funds, except that any grant |
| 75 | provided shall continue to be subject to any condition imposed |
| 76 | by the board. To prevent overrecovery of costs incurred in the |
| 77 | provision of E911 service, any county that receives funds in |
| 78 | excess of the E911 costs described in s. 365.172(9), including |
| 79 | the 20-percent carryforward allowance, shall return the excess |
| 80 | funds to the E911 board to be allocated pursuant to s. |
| 81 | 365.172(6)(a)3.b. this paragraph. |
| 82 | (d)(b) Thirty Fifty-four percent of the moneys in the |
| 83 | wireless category shall be distributed to wireless providers in |
| 84 | response to sworn invoices submitted to the board by wireless |
| 85 | providers to reimburse such wireless providers for the actual |
| 86 | costs incurred to provide 911 or E911 service, including the |
| 87 | costs of complying with the order. Such costs include costs and |
| 88 | expenses incurred by wireless providers to design, purchase, |
| 89 | lease, program, install, test, upgrade, operate, and maintain |
| 90 | all necessary data, hardware, and software required to provide |
| 91 | E911 service. Up to 2 percent of the funds allocated to |
| 92 | providers shall be retained by the board to be applied to costs |
| 93 | and expenses incurred for the purposes of managing, |
| 94 | administering, and overseeing the receipts and disbursements |
| 95 | from the fund and other activities as defined in s. 365.172(6). |
| 96 | Any funds retained for such purposes in a calendar year which |
| 97 | are not applied to such costs and expenses by March 31 of the |
| 98 | following year shall be distributed to providers pursuant to |
| 99 | this paragraph. Each wireless provider shall submit to the |
| 100 | board, by August 1 of each year, a detailed estimate of the |
| 101 | capital and operating expenses for which it anticipates that it |
| 102 | will seek reimbursement under this paragraph during the ensuing |
| 103 | state fiscal year. To be eligible for recovery during any |
| 104 | ensuing state fiscal year, a wireless provider must submit all |
| 105 | sworn invoices for allowable purchases within the calendar year |
| 106 | no later than March 31 of the fiscal year. By September 15 of |
| 107 | each year, the board shall submit to the Legislature its |
| 108 | legislative budget request for funds to be allocated to wireless |
| 109 | providers under this paragraph during the ensuing state fiscal |
| 110 | year. The budget request shall be based on the information |
| 111 | submitted by the wireless providers and estimated surcharge |
| 112 | revenues. Distributions of moneys in the fund by the board to |
| 113 | wireless providers must be fair and nondiscriminatory. If the |
| 114 | total amount of moneys requested by wireless providers pursuant |
| 115 | to invoices submitted to the board and approved for payment |
| 116 | exceeds the amount in the fund in any month, wireless providers |
| 117 | that have invoices approved for payment shall receive a pro rata |
| 118 | share of moneys in the fund and the balance of the payments |
| 119 | shall be carried over to the following month or months until all |
| 120 | of the approved payments are made. The board may adopt rules |
| 121 | necessary to address the manner in which pro rata distributions |
| 122 | are made when the total amount of funds requested by wireless |
| 123 | providers pursuant to invoices submitted to the board exceeds |
| 124 | the total amount of moneys on deposit in the fund. |
| 125 | (e) Notwithstanding paragraphs (a) and (d), the amounts in |
| 126 | the wireless 911 fund as of December 31, 2006, shall be |
| 127 | disbursed to wireless providers for the recovery of allowable |
| 128 | costs incurred in prior years up to and including the year 2006. |
| 129 | Wireless providers shall have until December 31, 2007, to submit |
| 130 | sworn invoices to the board to support the recovery of costs |
| 131 | incurred pursuant to paragraph (d) that were incurred through |
| 132 | calendar year 2006. The board may disburse any remaining amounts |
| 133 | of the wireless 911 fund associated with 2006 or prior periods |
| 134 | in accordance with this subsection after January 1, 2008. |
| 135 | (f) One percent of the moneys in the fund shall be |
| 136 | retained by the board to be applied to costs and expenses |
| 137 | incurred for the purposes of managing, administering, and |
| 138 | overseeing the receipts and disbursements from the fund and |
| 139 | other activities as defined in s. 365.172(6). Any funds retained |
| 140 | for such purposes in a calendar year which are not applied to |
| 141 | such costs and expenses by March 31 of the following year shall |
| 142 | be redistributed as determined by the board. |
| 143 | (g)(c) Two percent of the moneys in the fund shall be used |
| 144 | to make monthly distributions to rural counties for the purpose |
| 145 | of providing facilities and network and service enhancements and |
| 146 | assistance for the 911 or E911 systems operated by rural |
| 147 | counties and for the provision of reimbursable loans and grants |
| 148 | by the office to rural counties for upgrading and replacement of |
| 149 | E911 911 systems. |
| 150 | (h) Up to $15,000,000 of the existing fund resources shall |
| 151 | be available to cover the lag time for the board's initial |
| 152 | disbursements for counties of the wireline fees until such time |
| 153 | as the actual wireline revenues are available for disbursement |
| 154 | by the board. All funds used for this purpose shall be returned |
| 155 | to the fund from the actual remittances by the nonwireless |
| 156 | category. |
| 157 | (i) In the event that the fund has any remaining funds |
| 158 | after disbursements for the prior calendar year have been made, |
| 159 | the board may disburse such funds in accordance with this |
| 160 | subsection. |
| 161 |
|
| 162 | The Legislature recognizes that the wireless E911 fee authorized |
| 163 | under s. 365.172 may will not necessarily provide the total |
| 164 | funding required for establishing or providing the E911 911 |
| 165 | service. It is the intent of the Legislature that all revenue |
| 166 | from the fee be used as specified in this subsection s. |
| 167 | 365.171(13)(a)6. |
| 168 | (3) Through fiscal year 2008-2009, The Auditor General |
| 169 | shall annually audit the fund to ensure that moneys in the fund |
| 170 | are being managed in accordance with this section and s. |
| 171 | 365.172. The Auditor General shall provide a report of the |
| 172 | annual audit to the board. |
| 173 | Section 2. Two and one-half full-time equivalent |
| 174 | positions, with an associated salary rate of 151,278, and the |
| 175 | sum of $561,834 in recurring funds is appropriated for fiscal |
| 176 | year 2007-2008 from the Emergency Communications Number E911 |
| 177 | System Fund of the Department of Management Services from |
| 178 | revenue received pursuant to s. 365.173, Florida Statutes, for |
| 179 | expenditures related to the creation of the statewide E911 |
| 180 | Board. |
| 181 | Section 3. This act shall take effect upon becoming a law, |
| 182 | if House Bill 919 or similar legislation is adopted in the same |
| 183 | legislative session or an extension thereof and becomes law. |