EMERGENCY SERVICE ENABLING ACT: 

DELAY SUNSET

House Bill 5892

Sponsor:  Rep. John Espinoza

Committee:  Appropriations

Complete to11-12-08

A SUMMARY OF HOUSEBILL 5892 AS INTRODUCED3-13-08

The bill would push back the sunset provision in the Emergency 911 Service Enabling Act, 1986 PA 32, fromFebruary 28, 2009 toDecember 31, 2013.  The act establishes the mechanics and funding source for 911 service in the state. 

MCL 484.1717

FISCAL IMPACT:

Extending the sunset provision would increase revenue and expenditures for the Department of Treasury, relative to funding 911 service in the state.  Under the act, the state imposes a $0.19 surcharge on telephone service (landlines, cellular, voice over Internet protocol, and pre-paid cellular service).  The state 911 charge is distributed as follows:

·                     $0.1536 to counties on an equal basis

·                     $0.0922 to counties on a per-capita basis

·                     $0.0144 to local exchange carriers

·                     $0.0070 to the Department of State Police

·                     $0.0112 to public safety answering points

·                     $0.0038 is retained by service providers

For FY 2008-09, the Department of Treasury Budget (2008 PA 261, HB 5816) appropriates $11.1 million for "commercial mobile radio service payments".  The amount is for a partial year, because of the sunset provision.  On a full-year basis, the revenue generated from the State 911 charge would generate approximately $22.2 million, which would expended upon appropriation.  The total appropriation, on a full year basis, would be distributed as follows:

·                     Counties (Equally):  $7,326,000

·                     Counties (Per Capita):  $10,989,000

·                     Exchange Carriers:  $1,720,500

·                     Department of State Police:  $832,500

·                     Public Safety Answering Points:  $1,332,000

Additionally, extending the sunset would permit counties to continue to assess a county 911 charge, separate from the State 911 charge.  On a full-year basis the county charges would generate an estimated $58.3 million, as shown in the chart below. 

 

                                                                                                   Fiscal Analyst:   Mark Wolf

This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.

Technical Charge

County

Total

2008 Est. Revenue

County

Recurring

Non-Recurring

911 Charge

Charges

County 911 Charge

Alcona

$0.36

$0.00

$2.10

$2.46

$267,252

Alger

$0.24

$0.00

$0.18

$0.42

$25,021

Allegan

$0.23

$0.00

$1.63

$1.86

$1,998,282

Alpena

$0.28

$0.00

$2.14

$2.42

$730,036

Antrim

$0.48

$0.00

$1.97

$2.45

$491,610

Arenac

$0.28

$0.00

$0.32

$0.60

$60,980

Baraga

$0.00

$0.00

$0.00

$0.00

$0

Barry

$0.23

$0.00

$0.00

$0.23

$0

Bay

$0.20

$0.00

$0.00

$0.20

$0

Benzie

$0.18

$0.00

$2.13

$2.31

$371,268

Berrien

$0.00

$0.00

$0.42

$0.42

$747,200

Branch

$0.35

$0.00

$0.31

$0.66

$138,600

Calhoun

$0.25

$0.00

$0.60

$0.85

$679,285

Cass

$0.30

$0.00

$1.18

$1.48

$656,598

Charlevoix

$0.22

$0.00

$0.51

$0.73

$144,631

Cheboygan

$0.22

$0.00

$0.50

$0.72

$144,600

Chippewa

$0.33

$0.00

$0.99

$1.32

$415,865

Clare

$0.24

$0.00

$0.47

$0.71

$159,109

Clinton

$0.34

$0.00

$2.00

$2.34

$1,508,823

Crawford

$0.35

$0.00

$2.35

$2.70

$364,277

Delta

$0.23

$0.00

$0.44

$0.67

$186,327

Dickinson

$0.49

$0.00

$0.41

$0.90

$122,126

Eaton

$0.19

$0.00

$0.00

$0.19

 $0

Emmet

$0.22

$0.00

$0.58

$0.80

$196,616

Genesee

$0.21

$0.00

$1.24

$1.45

$5,892,706

Gladwin

$0.21

$0.00

$0.51

$0.72

$144,069

Gogebic

$0.15

$0.00

$0.30

$0.45

$56,897

Grand Traverse

$0.24

$0.00

$0.66

$0.90

$570,610

Gratiot

$0.29

$0.00

$1.29

$1.58

$593,019

Hillsdale

$0.50

$0.00

$1.20

$1.70

$609,547

Houghton

$0.24

$0.00

$1.10

$1.34

$430,103

Huron

$0.26

$0.00

$1.87

$2.13

$734,940

Ingham

$0.25

$0.00

$0.31

$0.56

$840,000

Ionia

$0.22

$0.00

$1.77

$1.99

$1,182,160

Iosco

$0.23

$0.00

$1.85

$2.08

$550,503

Iron

$0.32

$0.00

$1.61

$1.93

$236,052

Isabella

$0.35

$0.00

$1.50

$1.85

$1,034,460

Jackson

$0.23

$0.00

$0.44

$0.67

$749,644

Kalamazoo

$0.20

$0.00

$0.00

$0.20

$0

Kalkaska

$0.31

$0.00

$2.52

$2.83

$466,027

Kent

$0.17

$0.00

$0.45

$0.62

$1,442,156

Keweenaw

$0.00

$0.00

$0.00

$0.00

$0

Lake

$0.25

$0.00

$2.51

$2.76

$309,356

Lapeer

$0.12

$0.00

$1.55

$1.67

$1,483,869

Leelanau

$0.25

$0.00

$0.00

$0.25

$0

Lenawee

$0.33

$0.00

$1.18

$1.51

$1,253,610

Technical Charge

County

Total

2008 Est. Revenue

County

Recurring

Non-Recurring

911 Charge

Charges

County 911 Charge

Livingston

$0.18

$0.00

$1.85

$2.03

$3,216,200

Luce

$0.32

$0.00

$0.99

$1.31

$77,600

Mackinac

$0.26

$0.00

$1.43

$1.69

$186,339

Macomb

$0.20

$0.00

$0.00

$0.20

$0

Manistee

$0.26

$0.00

$0.00

$0.26

$0

Marquette

$0.20

$0.00

$0.00

$0.20

$0

Mason (1)

$0.28

$0.00

$2.09

$2.37

$1,255,840

Mecosta

$0.27

$0.00

$1.50

$1.77

$662,437

Menominee

$0.34

$0.00

$1.30

$1.64

$357,396

Midland

$0.26

$0.00

$0.00

$0.26

$0

Missaukee

$0.41

$0.00

$0.00

$0.41

$0

Monroe

$0.23

$0.00

$0.39

$0.62

$625,037

Montcalm

$0.47

$0.00

$1.89

$2.36

$1,258,640

Montmorency

$0.36

$0.00

$1.47

$1.83

$221,408

Muskegon

$0.25

$0.00

$0.34

$0.59

$630,919

Newaygo

$0.60

$0.00

$1.56

$2.16

$810,977

Oakland

$0.23

$0.01

$0.18

$0.42

$2,304,550

Oceana (1)

$0.28

$0.00

$2.09

$2.37

$1,255,840

Ogemaw

$0.25

$0.00

$0.59

$0.84

$138,941

Ontonagon

$0.41

$0.10

$0.51

$1.02

$43,774

Osceola

$0.27

$0.00

$1.50

$1.77

$379,130

Oscoda

$0.46

$0.00

$0.45

$0.91

$45,945

Otsego

$0.48

$0.00

$1.72

$2.20

$436,358

Ottawa

$0.21

$0.00

$0.00

$0.21

$0

Presque Isle

$0.34

$0.00

$0.31

$0.65

$48,512

Roscommon

$0.35

$0.00

$0.00

$0.35

$0

Saginaw

$0.22

$0.00

$2.18

$2.40

$4,983,523

Sanilac

$0.22

$0.00

$0.44

$0.66

$211,562

Schoolcraft

$0.32

$0.12

$0.40

$0.84

$46,000

Shiawassee

$0.35

$0.00

$1.22

$1.57

$941,169

St. Clair

$0.20

$0.00

$0.41

$0.61

$735,332

St. Joseph

$0.26

$0.00

$0.00

$0.26

$0

Tuscola

$0.20

$0.00

$1.80

$2.00

$1,139,970

Van Buren

$0.24

$0.00

$0.41

$0.65

$339,620

Washtenaw

$0.19

$0.00

$0.43

$0.62

$1,509,829

Wayne (2)

  -Detroit

$0.23

$0.00

$0.34

$0.57

$7,548,114

  - Downriver

$0.17

$0.00

$0.34

$0.51

$7,548,114

  - EastWayne

$0.19

$0.00

$0.34

$0.53

$7,548,114

  - WestWayne

$0.20

$0.01

$0.34

$0.55

$7,548,114

Wexford

$0.24

$0.00

$0.25

$0.49

$103,114

 Total

$58,246,470

Source:  Emergency 911 Service Committee, 2008 Report to the Legislature (August 1, 2008) andMichigan Public Service Commission, Opinion and Order, Case No. U-15489 (June 3, 2008).  

(1) Mason andOceanaCounties operate a combined 911 service; the revenue figures cited in each county is the combined revenue amount. 

(2) The revenue figure for the Wayne County 911 charge is a combined, county-wide amount.

(3) Rates are those in effect as ofAugust 1, 2008.