Provides funding for next generation 9-1-1 technology; provides additional aid to counties for the development, consolidation, or operation of public safety communications systems or networks designed to support statewide interoperable communications for first responders and to counties for costs related to the operations of public safety dispatch centers.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A3166
SPONSOR: Paulin TITLE OF BILL:
An act to amend the tax law, in relation to providing additional aid to
municipalities for the purposes of funding next generation 9-1-1 tech-
nology and providing continuity of emergency dispatching services
PURPOSE OR GENERAL IDEA OF BILL:
This bill would increase the statewide interoperable communications
grant (SICG) and public safety answering points (PSAP) grants by twen-
ty-five million and thirty million, respectfully, in order to provide
additional aid to municipalities for the purposes of funding next gener-
ation 9-1-1 technology and providing continuity of emergency dispatching
services.
SUMMARY OF SPECIFIC PROVISIONS:
Section one of this bill amends subsection five and six of section 186-f
of the tax law to increase deposits to the New York State emergency
services revolving loan fund.
Section two of this bill amends the appropriation to the SICG and PSAP
grant programs.
Section three of this bill sets the effective date. JUSTIFICATION:
Congress has had a longstanding concern about the practice by some
states and local jurisdictions of diverting 911 fees for non-911
purposes.' Congress initially directed the FCC to address 911 fee diver-
sion in 47 U.S.C. § 615a-1, which required the FCC to provide an annual
report to Congress.
In the 13th annual report issued to Congress on December 31, 2021, the
Federal Communications Commission found that five states (Nevada, New
Jersey, New Mexico, New York, and West Virginia) as diverting or trans-
ferring 911/E911 fees for purposes other than 911/E911 in 2020.
The FCC's reports have identified New York's statutory framework as
resulting in diversion of 911 fees since the first fee report to
Congress in 2009. Under section 186-f of the New York State Consolidated
Tax Law, 41.7% of the fees collected by the Public Safety
Communications'Surcharge are allocated to the state's General Fund, and,
after deducting this amount and a small administrative fee for each
wireless communications service supplier and prepaid wireless communi-
cations seller, the remaining balance is then deposited into the State-
wide Public Safety Communications Account. New York reports collecting
two other kinds of fees, an "Enhanced Emergency Telephone System
Surcharge," which it says is a "
miechanism for dedicated 911 fees," and
.a "Wireless Communications Surcharge," which New York states is a mech-
anism that includes "911 support as a valid purpose."
In 2020, 2021, and SFY 23, New York continues to operate under that
state law framework. As the FCC has found in prior years, they conclude
that the Public Safety Communications Surcharge is a fee or charge "for
the 'support or implementation of 9-1-1 or enhanced 9-1-1 services"
under section 6(f) (1) of the NET 911 Act.
Consistent with prior reports, the FCC conclude that the 41.7% of the
surcharge that is allocated to the state's General Fund constitutes a
diversion of 911 fees.
In the absence of any showing in New York's filing as to how funds allo-
cated to the General Fund were spent, this report identifies 41.7%, or
$100,765,134.34, of the total collected for this surcharge in 2020 as
diverted.
As in past years, New York also has not provided information relating to
expenditure of the remaining 58.3% of funds allocated to the Statewide
Public Safety Communications Account, and thus has not established that
these expenditures in calendar year 2020 were 911 related. The statute
identifies a variety of public safety related programs that may receive
state grants or allocations funded by this account, only one of which is
clearly 911 related.
This legislation, while it doesn't eliminate the diversion, recognizing
that $100,765,134.34 is a significant portion of revenue to supplant,
does in fact begin the process of returning these fees to municipalities
to begin investing in next generation 9-1-1 technology.
The SICG targeted grants, which were created as part of the SFY 11 Budg-
et, have not been increased since its creation. Furthermore, the PSAP
formula grant has not been increased above $10 million since the SFY 15
Budget.
With recent advances in technology, it has become increasingly expensive
(but necessary) for 9-1-1 call centers to accommodate the expanding
needs of callers, and to use the latest information systems for rapid
emergency response. For counties that still face challenges with basic
radio communication interoperability, these upgrades will take longer
and be more complex.
The cost of providing this level of service is borne by local taxpayers
in the county where the PSAP is located. The price tag in New York State
for NG 9-1-1 is expected to be $2.2 billion over the next 10 years.
Until counties have access to a dedicated revenue stream to help pay for
system upgrades and new communications equipment, becoming NG 9-1-1
capable will be out of reach for many areas.
PRIOR LEGISLATIVE HISTORY:
New bill.
FISCAL IMPLICATIONS:
$55 million would be returned to emergency communication grant programs,
eliminating a $55 million diversion of emergency communication surcharge
revenue which is currently deposited in the state general fund.
EFFECTIVE DATE:
Immediately
(i) 911 Fee Diversion; New and Emerging Technologies 911 Improvement Act
of 2008, PS Docket Nos. 20-291 and 09-14, Notice of Proposed Rulemaking,
36 FCC Rcd 4513, 4514, para. 2 (2021) (Notice); see also, e.g., Ensuring
Needed Help Arrives Near Callers Employing 911 Act of 2004, Pub. L. No.
108-494, 118 Stat. 3986 (ENHANCE 911 Act) (relevant grant provisions
codified at 47 U.S.C. § 942). Congress provided another round of 911
grant funding, with similar non-diversion requirements, in the NG911
Act. Middle Class Tax Relief and Job Creation Act of 2012, Pub. L. No.
112-96, 126 ' Stat. 237, Title VI, Subtitle E, Next Generation 9-1-1
Advancement Act of 2012 (NG911 Act) (relevant grant provisions codified
at 47 U.S.C. § 942).
STATE OF NEW YORK
________________________________________________________________________
3166
2023-2024 Regular Sessions
IN ASSEMBLY
February 2, 2023
___________
Introduced by M. of A. PAULIN, KELLES, SIMON, STERN, ANGELINO, BRABENEC,
K. BROWN, DeSTEFANO, J. A. GIGLIO, J. M. GIGLIO, NORRIS -- read once
and referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to providing additional aid to
municipalities for the purposes of funding next generation 9-1-1 tech-
nology and providing continuity of emergency dispatching services
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Legislative intent. The legislature hereby finds and
2 declares the next generation 9-1-1 (commonly referred to as "NG 9-1-1")
3 is a digital, internet protocol (IP)-based system that will replace the
4 analog 9-1-1 infrastructure that has long been in place in most parts of
5 New York. The success and reliability of 9-1-1 will be greatly improved
6 with the implementation of NG 9-1-1, as it will enhance emergency number
7 services to create a faster, more resilient system that allows voice,
8 photos, videos and text messages to flow seamlessly from the public to
9 the 9-1-1 network. NG 9-1-1 will also improve the ability of public
10 safety answering points (hereinafter referred to as "PSAPs") to help
11 manage call overload, natural disasters, and transfer of 9-1-1 calls
12 based on caller location data. Because most 9-1-1 systems were
13 originally built using analog rather than digital technologies, PSAPs
14 across New York (with the exception of New York City) need to be
15 upgraded to support NG 9-1-1. While the technology to implement these
16 new IP-based 9-1-1 systems is available, the transition to NG 9-1-1
17 involves much more than just new computer hardware and software. The
18 legislature further finds and declares that many municipalities lack the
19 funding to implement NG 9-1-1. The legislature also finds and declares
20 that until counties have access to a dedicated revenue stream to help
21 pay for system upgrades and new communications equipment, becoming NG
22 9-1-1 capable will be out of reach for many areas. The legislature here-
23 by authorizes the state to help counties begin developing plans to
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD03299-01-3
A. 3166 2
1 implement NG 9-1-1, and enacts this legislation to provide appropriate
2 funding to support such implementation.
3 § 2. Paragraph (a) of subdivision 5 of section 186-f of the tax law,
4 as added by section 3 of part B of chapter 56 of the laws of 2009, is
5 amended to read as follows:
6 (a) [forty-one and seven-tenths] thirty-two percent of the revenues
7 collected and received under this section into the state general fund;
8 and
9 § 3. Paragraphs (b), (c) and (g) of subdivision 6 of section 186-f of
10 the tax law, paragraph (b) as amended by section 1 of part G of chapter
11 55 of the laws of 2022, paragraph (c) as amended by section 38 of part B
12 of chapter 56 of the laws of 2010 and paragraph (g) as added by section
13 2 of part Q of chapter 55 of the laws of 2014, are amended to read as
14 follows:
15 (b) The sum of one million five hundred thousand dollars must be
16 deposited into the New York state emergency services revolving loan fund
17 annually; provided, however, that such sums shall not be deposited for
18 state fiscal years two thousand eleven--two thousand twelve, two thou-
19 sand twelve--two thousand thirteen, two thousand fourteen--two thousand
20 fifteen, two thousand fifteen--two thousand sixteen, two thousand
21 sixteen--two thousand seventeen, two thousand seventeen--two thousand
22 eighteen, two thousand eighteen--two thousand nineteen, two thousand
23 nineteen--two thousand twenty, two thousand twenty--two thousand twen-
24 ty-one, and two thousand twenty-one--two thousand twenty-two[, two thou-
25 sand twenty-two--two thousand twenty-three, and two thousand twenty-
26 three--two thousand twenty-four];
27 (c) Up to the sum of [seventy-five] one hundred million dollars annu-
28 ally may be used for the provision of grants or reimbursements to coun-
29 ties for the development, consolidation, or operation of public safety
30 communications systems or networks designed to support statewide inter-
31 operable communications for first responders, to be distributed pursuant
32 to standards and guidelines issued by the state. Annual grants may
33 consider costs borne by a municipality related to the issuance of local
34 public safety communications bonds pursuant to section twenty-four
35 hundred thirty-two of the public authorities law, when the municipality
36 has qualified as an approved participant in a statewide interoperable
37 communications system under the standards and guidelines issued by the
38 state, and maintains compliance with such standards and guidelines. The
39 grant amount will be prescribed pursuant to an agreement with the muni-
40 cipality, and may not exceed thirty percent of the annual cost borne by
41 the municipality in relation to such bonds;
42 (g) The sum of [ten] twenty million dollars annually shall be used for
43 the provision of grants to counties for costs related to the operations
44 of public safety dispatch centers, to be distributed pursuant to a plan
45 developed by the commissioner of homeland security and emergency
46 services and approved by the director of the budget. Such plan may
47 consider such factors as population density and emergency call volume.
48 § 4. This act shall take effect immediately.
