Chapter 365

2005 -- S 1101 SUBSTITUTE A AS AMENDED

Enacted 07/19/05

 

A N A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS

     

     Introduced By: Senators Gibbs, Blais, and Breene

     Date Introduced: May 18, 2005   

 

It is enacted by the General Assembly as follows:

 

     SECTION 1. Section 39-1-62 of the General Laws in Chapter 39-1 entitled "Public

Utilities Commission" is hereby amended to read as follows:

 

     39-1-62. E-911 Geographic Information System (GIS) and Technology Fund.

[Repealed effective June 30, 2007.] -- (a) Preamble. - To allow the Rhode Island E-911

Emergency Telephone System agency to associate latitude and longitude coordinates provided by

wireless carriers with physical locations throughout the state, the agency must establish and

maintain a GIS database of street addresses and landmarks. The database will allow local

emergency response personnel to dispatch police, fire and rescue personnel to a specific address

or landmark of a cellular caller in the event the caller is unaware of his or her location, or is

physically unable to communicate it. Because more than half of the 530,000 9-1-1 phone calls

received in 2003 came from cellular phones, it is critical that the GIS database be developed and

maintained in order to improve caller location identification and reduce emergency personnel

response times.

      (b) Definitions. - As used in this section, the following terms have the following

meanings:

      (1) "System" means Emergency 911 Uniform Telephone System.

      (2) "Agency" means Rhode Island 911 Emergency Telephone System.

      (3) "Division" means the Division of Public Utilities and Carriers.

      (4) "GIS and Technology Fund" means the programs and funding made available to the

Emergency 911 Uniform Telephone System to assist in paying the costs of the GIS database

development project and GIS systems maintenance, which will enable the system to locate

cellular phone callers by geocoding all addresses and landmarks in cities and towns throughout

the state. It also includes programs to create system redundancy and maintain state-of-the-art

equipment technology.

      (c) Purpose. - The purpose of the GIS and Technology Fund shall be to:

      (1) Implement and maintain a geographic information system database to assist in

locating wireless phone callers for emergency purposes in a manner consistent and in

coordination with the Rhode Island geographic information system administered by the Division

of Planning as provided for in section 42-11-10(g)(3); and

      (2) Create system redundancy to ensure the reliability of 9-1-1 service to the public; and

      (3) Maintain state-of-the-art equipment technology.

      (d) Authority. - The agency shall establish, by rule or regulation, an appropriate funding

mechanism to recover from the general body of ratepayers the costs of funding GIS and

technology projects.

      (1) The general assembly shall determine the amount of a monthly surcharge to be levied

upon each wireless telecommunications instrument, or device or means including prepaid,

cellular, telephony, Internet, Voice Over Internet Protocol (VoIP), satellite, computer, radio,

communication, data, or any other wireless instrument, device or means that has access to,

connects with, interfaces with or is capable of delivering two-way interactive communications

services comparable to those offered by telecommunications service providers to the Rhode

Island E-911 Uniform Emergency Telephone System. The agency will provide the general

assembly with information and recommendations regarding the necessary level of funding to

effectuate the purposes of this article. The surcharge shall be billed monthly by each wireless

telecommunications services provider as defined in section 39-21.1-3 and shall be payable to the

wireless telecommunications services provider by the subscriber or prepaid service customer of

the telecommunications services. Each telecommunication services provider shall establish a

special (escrow) account to which it shall deposit on a monthly basis the amounts collected as a

surcharge under this section. The money collected by each wireless telecommunication services

provider shall be transferred within sixty (60) days after its inception of wireless, prepaid,

cellular, telephony, Voice Over Internet Protocol (VoIP), satellite, computer, Internet, or

communications, information or data services in this state and every month thereafter. Any

money not transferred in accordance with this paragraph shall be assessed interest at eight percent

(8%) per annum from the date the money should have been transferred. State, local and quasi-

governmental agencies shall be exempt from the surcharge. The surcharge shall be deposited in a

restricted receipt account, hereby created within the agency and known as the GIS and

Technology Fund, to pay any and all costs associated with the provisions of subsection (c). The

amount of the surcharge under this section shall not exceed thirty-five cents ($.35) per wireless

phone.

      (2) The surcharge is hereby determined to be twenty-six cents ($.26) per wireless phone,

prepaid, cellular, telephony, Voice Over Internet Protocol (VoIP), satellite, computer, data or data only

wireless lines or Internet communication or data instrument, device or means which has access to,

connects with, activates or interfaces with or any combination of the above with the Rhode Island

E-911 Uniform Emergency Telephone System per month and shall be in addition to the wireless

surcharge charged under section 39-21.1-14. The twenty-six cents ($.26) is to be billed to all

wireless telecommunication service providers, subscribers or prepaid service customers upon the

inception of services.

      (3) The amount of the surcharge shall not be subject to the sales and use tax imposed

under chapter 18 of title 44 nor be included within the gross earnings of the telecommunications

corporation providing telecommunications service for the purpose of computing the tax under

chapter 13 of title 44.

     (4) With respect to prepaid wireless telecommunication service providers and customers,

and notwithstanding anything to the contrary contained in this section, the surcharge shall be

collected and remitted to the agency by the prepaid wireless telecommunication service provider

under one of three methods:

     (i) the prepaid wireless telecommunication service provider shall collect the surcharge, on

a monthly basis, from each active prepaid wireless telecommunication service customer whose

account balance is equal to or greater than the amount of the service charge; or

     (ii) the prepaid wireless telecommunication service provider shall collect the surcharge,

on a monthly basis, at the point of sale; or

     (iii) the prepaid wireless telecommunication service provider shall divide the total earned

prepaid wireless telephone revenue received by the prepaid wireless telecommunication service

provider within the monthly reporting period by fifty dollars ($50.00), and multiply the quotient

by the amount of the surcharge.

     The surcharge amount or an equivalent number of air-time minutes may be reduced from

a prepaid wireless telecommunication service customer's account when direct billing is not

possible.

      (e) Administration. - The agency shall collect monthly from the wireless

telecommunications service providers as defined in section 39-21.1-3 the amounts of the

surcharge collected from their subscribers or prepaid customers. The agency shall deposit such

collections in an account maintained and administered by the Rhode Island 911 Emergency

Telephone System for use in developing and maintaining the geographic information system

database, creating system redundancy, and improving equipment technology. The agency is

further authorized and encouraged to seek matching funds from all local, state, and federal public

or private entities and shall coordinate its activities and share all information with the state

Division of Planning.

      (f) The effective date of assessment for the GIS and Technology Fund shall be July 1,

2004.

      (g) Nothing in this section shall be construed to constitute rate regulation of wireless

communications services carriers, nor shall this act be construed to prohibit wireless

communications services carriers from charging subscribers for any wireless service or feature.

      (h) Except as otherwise provided by law, the agency shall not use, disclose or otherwise

make available call location information for any purpose other than as specified in subsection (c).

(i) The attorney general shall, at the request of the E-911 uniform emergency telephone

system division, or any other agency that may replace it, or on its own initiative, commence

judicial proceedings in the superior court against any telecommunication services provider

as defined in section 39-21.1-3 (11) providing communication services to enforce the

provisions of this chapter.

 

     SECTION 2. Sections 39-21.1-3 and 39-21.1-14 of the General Laws in Chapter 39-21.1

entitled "911 Emergency Telephone Number Act" are hereby amended to read as follows:

 

     39-21.1-3. Definitions. -- As used in this chapter:

      (1) "Automatic location identification (ALI)" means the system capability to identify

automatically the geographical location of the telephone being used by the caller and to provide a

display of the location information at a public safety answering point.

      (2) "Automatic number identification (ANI)" means the system capability to identify

automatically the calling telephone number and to provide a display of that number at a public

safety answering point.

      (3) "Communications common carrier" means any person, party, or entity which

provides communications services for profit by way of wire or radio. It includes re-sellers of

such services.

      (4) "Communications services" means the transmission of sounds, messages, data,

information, codes, or signals between a point or points of origin and a point or points of

reception.

      (5) "Private safety agency" means a private entity which provides emergency fire,

ambulance, or medical services.

      (6) "Public agency" means the state government and any unit of local government or

special purpose district located in whole or in part within the state which provides or has authority

to provide firefighting, law enforcement, ambulance, medical, or other emergency services.

      (7) "Public safety agency" means a functional division of a public agency which

provides firefighting, law enforcement, ambulance, medical, or other emergency services.

      (8) "Public safety answering point (PSAP)" means a communications facility operated

on a twenty-four (24) hour basis, assigned responsibility to transmit 911 calls to other public

safety agencies. It is the first point of reception of a 911 call by a public safety agency and serves

the entire state.

      (9) "Relay method" means the method of responding to a telephone request for

emergency service whereby a public safety answering point notes pertinent information and

relays it by telephone to the appropriate public safety agency or other provider of emergency

services for dispatch of an emergency service unit.

      (10) "Selective call routing" means a feature that routes a 911 call from a central office

to the designated public safety answering point based upon the telephone number of the calling

party.

      (11) "Telecommunication services provider", for purposes of this chapter and of chapter

21 of this title, means every person, party or entity which provides communications services,

telephony services, voice or data transmission services, and wireless prepaid services, including,

but not limited to: audio communication, print communication information, Voice Over Internet

Protocol (VoIP), data or visual information, communication or transmission or any combination

thereof, for profit on a subscription, wireless prepaid service, wireless prepaid telephone calling

arrangement or pay-for-services or any other basis by means of landline local telephone exchange

devices, cellular telephone devices, wireless communication devices, radio, telephony, Internet,

data, satellite, computer, prepaid wireless telephone, Voice Over Internet Protocols (VoIP)

instruments, devices or means, or any other communication or data instruments devices or means

which have access to, connect with, or interface with the E 9-1-1 Uniform Emergency Telephone

System. Telecommunication service provider includes "telephone common carrier,"

"communications common carrier," "telephone companies," and "common carrier" as those terms

are used in this chapter and in chapter 21 of this title, and "telecommunication common carrier"

as defined in the Code of Federal Regulations at 47 CFR part 22, as amended from time to time

and as defined in the NENA Master Glossary of 9-1-1 Terminology as amended from time to

time.

      (12) "Telephone common carrier" means any person, party, or entity which provides

communications services for profit between a point of origin and a point of reception by way of a

land-line wire connection between the two (2) points. It includes re-sellers of such services.

      (13) "The 911 authority" means the agency of the state government in which

responsibility for administering the implementation and operation of 911 system is vested by the

general assembly.

      (14) "Transfer method" means the method of responding to a telephone request for

emergency service whereby a public safety answering point transfers the call directly to the

appropriate public safety agency or other provider of emergency service for dispatch of an

emergency service unit.

     (15) "Telephone service provider" means every person, party or entity that provides

telephone services to subscribers or wireless prepaid customers including, but not limited to,

"telephone common carrier" and "telecommunications service providers."

     (16) "Telephony or Telephony Services Provider" (see "Telephone Service Provider").

     (17) "Voice Over Internet Protocol (VoIP)" provides distinct packetized voice or data

information in digital format using the Internet Protocol.

 

     39-21.1-14. Funding. -- (a) A monthly surcharge of one dollar ($1.00) is hereby levied

upon each residence and business telephone line or trunk or path and data, telephony, Internet,

Voice Over Internet Protocol (VoIP) wireline, line, trunk or path in the state including PBX

trunks and centrex equivalent trunks and each line or trunk serving, and upon each user interface

number or extension number or similarly identifiable line, trunk, or path to or from a digital

network (such as, but not exclusive of, integrated services digital network (ISDN), Flexpath or

comparable digital private branch exchange, or connecting to or from a customer-based or

dedicated telephone switch site (such as, but not exclusive of, a private branch exchange (PBX)),

or connecting to or from a customer-based or dedicated central office (such as, but not exclusive

of, a centrex system but exclusive of trunks and lines provided to wireless communication

companies) that can access to, connect with or interface with the Rhode Island E-911 Uniform

Emergency Telephone System (RI E-911). The surcharge shall be billed by each

telecommunication services provider at the inception of services and shall be payable to the

telecommunication services provider by the subscriber of the telecommunication services. A

monthly surcharge of one dollar ($1.00) is hereby levied effective July 1, 2002, on each wireless

telecommunication instrument or, device or means including prepaid, cellular, telephony,

Internet, Voice Over Internet Protocol (VoIP), satellite, computer, radio, communication, data or

data only wireless lines or any other wireless instrument, device or means which has access to,

connects with, or activates or interfaces or any combination thereof with the E 9-1-1 Uniform

Emergency Telephone System. The surcharge shall be in addition to the surcharge collected

under section 39-1-62 and shall be billed by each telecommunication services provider and shall

be payable to the telecommunication services provider by the subscriber or prepaid services

customer. The E-911 Uniform Emergency Telephone System shall establish, by rule or regulation

an appropriate funding mechanism to recover from the general body of ratepayers this surcharge.

      (b) The amount of the surcharge shall not be subject to the tax imposed under chapter 18

of title 44 nor be included within the telephone common carrier's gross earnings for the purpose

of computing the tax under chapter 13 of title 44.

      (c) Each telephone common carrier and each telecommunication services provider shall

establish a special account to which it shall deposit on a monthly basis the amounts collected as a

surcharge under this section. In determining the amount collected, the telephone common carrier

or telecommunication services provider may include a factor for uncollectible billings computed

in accordance with its customary business practice.

      (d) The money collected by each telecommunication services provider of wireline

communication services shall be transferred within sixty (60) days after its inception of wireline,

wireless, prepaid, cellular, telephony, Voice Over Internet Protocol (VoIP), satellite, computer,

Internet, or communications services in this state and every month thereafter, to the general

treasury, together with the accrued interest and shall be deposited in the general fund as general

revenue. The money collected by each telecommunication services provider of wireless

communication services shall be transferred within ninety (90) days, after the initial imposition of

the surcharge, and every calendar quarter thereafter, to the general treasury with accrued interest

and shall be deposited in the general fund as general revenue. Any money not transferred in

accordance with this paragraph shall be assessed interest at eight percent (8%) per annum from

the date the money should have been transferred.

      (e) Every billed subscriber-user shall be liable for any surcharge imposed under this

section until it has been paid to the telephone common carrier or telecommunication services

provider. Any surcharge shall be added to and may be stated separately in the billing by the

telephone common carrier or telecommunication services provider and shall be collected by the

telephone common carrier or telecommunication services provider.

      (f) Each telephone common carrier and telecommunication services provider shall

annually provide the E 9-1-1 uniform emergency telephone system division or any other agency

that may replace it, with a list of amounts uncollected together with the names and addresses of

its subscriber-users who can be determined by the telephone common carrier or

telecommunication services provider to have not paid the surcharge.

      (g) Included within, but not limited to, the purposes for which the money collected may

be used are rent, lease, purchase, improve, construct, maintenance, repair, and utilities for the

equipment and site or sites occupied by the E 9-1-1 uniform emergency telephone system;

salaries, benefits, and other associated personnel costs; acquisition, upgrade or modification of

PSAP equipment to be capable of receiving E 9-1-1 information, including necessary computer

hardware, software, and data base provisioning, addressing, and non-recurring costs of

establishing emergency services; network development, operation and maintenance; data-base

development, operation, and maintenance; on-premise equipment maintenance and operation;

training emergency service personnel regarding use of E 9-1-1; educating consumers regarding

the operations, limitations, role and responsible use of E 9-1-1; reimbursement to telephone

common carriers or telecommunication services providers of rates or recurring costs associated

with any services, operation, administration or maintenance of E 9-1-1 services as approved by

the division; reimbursement to telecommunication services providers or telephone common

carriers of other costs associated with providing E 9-1-1 services, including the cost of the design,

development, and implementation of equipment or software necessary to provide E 9-1-1 service

information to PSAP's, as approved by the division.

      (h) [Deleted by P.L. 2000, ch. 55, art. 28, section 1.]

      (i) Nothing in this section shall be construed to constitute rate regulation of wireless

communication services carriers, nor shall this act be construed to prohibit wireless

communication services carriers from charging subscribers for any wireless service or feature.

     (j) State, local and quasi-governmental agencies shall be exempt from the surcharge.

 

     SECTION 3. Section 44-18-7 of the General Laws in Chapter 44-18 entitled "Sales and

Use Taxes - Liability and Computation" is hereby amended to read as follows:

 

     44-18-7. Additional definitions. -- (a) "Hotel" means every building or other structure

kept, used, maintained, advertised as, or held out to the public to be a place where living quarters

are supplied for pay to transient or permanent guests and tenants and includes a motel.

      (b) "Living quarters" means sleeping rooms, sleeping or housekeeping accommodations,

or any other room or accommodation in any part of the hotel, rooming house, or tourist camp

which is available for or rented out for hire in the lodging of guests.

      (c) "Rooming house" means every house, boat, vehicle, motor court, or other structure

kept, used, maintained, advertised, or held out to the public to be a place where living quarters are

supplied for pay to transient or permanent guests or tenants, whether in one or adjoining

buildings.

      (d) "Sales" means and includes:

      (1) Any transfer of title or possession, exchange, barter, lease, or rental, conditional or

otherwise, in any manner or by any means of tangible personal property for a consideration.

"Transfer of possession", "lease", or "rental" includes transactions found by the tax administrator

to be in lieu of a transfer of title, exchange, or barter.

      (2) The producing, fabricating, processing, printing, or imprinting of tangible personal

property for a consideration for consumers who furnish either directly or indirectly the materials

used in the producing, fabricating, processing, printing, or imprinting.

      (3) The furnishing and distributing of tangible personal property for a consideration by

social, athletic, and similar clubs and fraternal organizations to their members or others.

      (4) The furnishing, preparing, or serving for consideration of food, meals, or drinks,

including any cover, minimum, entertainment, or other charge in connection therewith.

      (5) A transaction whereby the possession of tangible personal property is transferred, but

the seller retains the title as security for the payment of the price.

      (6) Any withdrawal, except a withdrawal pursuant to a transaction in foreign or interstate

commerce, of tangible personal property from the place where it is located for delivery to a point

in this state for the purpose of the transfer of title or possession, exchange, barter, lease, or rental,

conditional or otherwise, in any manner or by any means whatsoever, of the property for a

consideration.

      (7) A transfer for a consideration of the title or possession of tangible personal property,

which has been produced, fabricated, or printed to the special order of the customer, or any

publication.

      (8) The furnishing and distributing of electricity, natural gas, artificial gas, steam,

refrigeration, and water.

      (9) (i) The furnishing for consideration of telecommunications service which includes

local exchange service, intrastate toll service, interstate and international toll service including

cellular mobile telephone or telecommunications service, specialized mobile radio and pagers and

paging service including any form of mobile two-way communication and including the

furnishing, rental, or leasing of all equipment or services pertaining or incidental to it; provided,

that the service is: rendered in its entirety within this state, originated in this state and terminated

in another state or a foreign country and with respect to which the service is charged to a

telephone number, customer, or account located in this state or to the account of any transmission

instrument in this state, originated in another state or a foreign country and terminated in this state

and is charged to a telephone number, customer, or account located in this state at which the

service is terminated, or to the account of any transmission instrument in this state at which the

service is terminated; provided, that the service does not include receipts except as otherwise

provided in sections 44-18-8 and 44-18-12. For the purposes of chapters 44-18 and 44-19 only,

telecommunication service does not include service rendered using a prepaid telephone calling

arrangement. Telecommunications service does not include service rendered using a prepaid

telephone calling arrangement.

      (ii) Notwithstanding the provisions of paragraph (i) of this subdivision, in accordance

with the Mobile Telecommunications Sourcing Act (4 U.S.C. sections 116 -- 126), subject to the

specific exemptions described in 4 U.S.C. section 116(c), and the exemptions provided in

sections 44-18-8 and 44-18-12, mobile telecommunications services that are deemed to be

provided by the customer's home service provider are subject to tax under this chapter if the

customer's place of primary use is in this state regardless of where the mobile

telecommunications services originate, terminate or pass through. Mobile telecommunications

services provided to a customer, the charges for which are billed by or for the customer's home

service provider, shall be deemed to be provided by the customer's home service provider. For the

purposes of this paragraph:

      (A) "Customer" means either: (I) a person or entity that contracts with a home service

provider for mobile telecommunications services; or (II) if the end user of mobile

telecommunications services is not the contracting party, the end user of the mobile

telecommunication service, but this clause applies only for the purpose of determining the place

of primary use. "Customer" does not include a reseller of mobile telecommunications services or

a serving carrier that is under an arrangement to serve the customer outside the home service

provider's licensed service area.

      (B) "Home service provider" means a facilities-based carrier or reseller with which the

customer contracts for the provision of mobile telecommunications services.

      (C) "Mobile telecommunications service" means commercial mobile radio service as

defined in 47 CFR 20.3 in effect on June 1, 1999.

      (D) "Place of primary use" means the street address representative of where the

customer's use of the mobile telecommunications service primarily occurs, which must be:

      (I) The residential street address or the primary business street address of the customer;

and

      (II) Within the licensed service area of the home service provider.

      (iii) All other definitions and provisions of the Mobile Telecommunications Act as

provided in 4 U.S.C. sections 116 -- 126 are adopted.

      (10) The furnishing of service for transmission of messages by telegraph, cable, or radio

and the furnishing of community antenna television, subscription television, and cable television

services.

      (11) The rental of living quarters in any hotel, rooming house, or tourist camp.

      (12) The transfer for consideration of prepaid telephone calling arrangements and the

recharge of prepaid telephone calling arrangements. If the transfer or recharge of a prepaid

telephone calling arrangement does not take place at a vendor's place of business, the transfer or

recharge is conclusively determined to take place at the customer's shipping address, or if there is

no item shipped, at the customer's billing address or the location associated with the customer's

mobile telephone number. "Prepaid telephone calling arrangement" means and includes a prepaid

telephone calling card and/or the right to exclusively purchase telecommunications services, that

must be paid for in advance, that enables the origination of calls using an access number and/or

authorization code, whether manually or electronically dialed.

      (e) "Tourist camp" means a place where tents, tent houses, camp cottages, or cabins or

other structures are located and offered to the public or any segment of the public for human

habitation.

 

     SECTION 4. This act shall take effect upon passage.     

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LC03294/SUB A

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