9-1-1 SURCHARGE REMITTANCES

House Bill 5952

Sponsor:  Rep. Aric Nesbitt

Committee:  Energy and Technology

Complete to 11-7-12

A SUMMARY OF HOUSE BILL 5952 AS INTRODUCED 9-27-12

The bill would amend the Emergency 9-1-1 Service Enabling Act to alter the process by which prepaid wireless 9-1-1 surcharges are remitted to the state.  Under current law, retailers are required to collect 1.92% on each purchase of prepaid wireless communications service.  The surcharge is then required to be remitted to the state in the same manner and time frame as sales tax collections under the General Sales Tax Act. 

House Bill 5952 would require retailers to remit the surcharge monthly.  Additionally, the bill would remove language that (1) requires the department to promulgate rules to implement the current law and (2) establish record keeping, payment, and other procedures that are similar to those imposed under the General Sales Tax Act.  The bill would also remove a provision stating that the provisions of the Emergency 9-1-1 Service Enabling Act would apply in instances where it was in conflict with provisions of 1941 PA 122, which prescribes the powers and duties of the Department of Treasury and its revenue collection duties.

MCL 484.1401c

FISCAL IMPACT:

House Bill 5952 would have no fiscal impact on state or local government.  The provisions of the bill would make a technical amendment to the prepaid wireless 9-1-1 surcharge remittance process for the Department of Treasury as passed in PA 260 of 2012. 

                                                                                           Legislative Analyst:   Jeff Stoutenburg

                                                                                                  Fiscal Analyst:   Ben Gielczyk

■ 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.