BILL ANALYSIS �
SB 1211
Page A
Date of Hearing: June 23, 2014
ASSEMBLY COMMITTEE ON UTILITIES AND COMMERCE
Steven Bradford, Chair
SB 1211 (Padilla) - As Amended: May 27, 2014
SENATE VOTE : 37-0
SUBJECT : Emergency services: Next Generation 9-1-1.
SUMMARY : This bill would require the Office of Emergency
Services (OES) to develop a plan and timeline for testing,
implementation, and operation of a Next Generation 9-1-1
(NG9-1-1) emergency communication system throughout California,
and also requires OES to include NG9-1-1 costs in its annual
calculation of the 9-1-1 surcharge rate. Specifically, this
bill :
1)Requires the NG9-1-1 system to incorporate, where consistent
with public safety and technologically feasible, shared
infrastructure and elements of other public safety and
emergency communications networks.
2)Requires OES, when annually determining the surcharge rate
needed to fund the fiscal year's 9-1-1 costs, to include
planning, testing, implementation, and operating costs
consistent with the established plan and timeline for the
NG9-1-1 system.
3)Requires OES, at least one month before finalizing the
surcharge rate, to report a calculation of the proposed 9-1-1
surcharge to the Legislature and the 9-1-1 Advisory Board and
also post it on its Internet Web site.
EXISTING LAW
a)Requires OES to administer California's 9-1-1 emergency
telephone system. (Government Code � 53100 et seq.)
b)Establishes the State 9-1-1 Advisory Board to advise OES on
various topics, including but not limited to OES policies,
practices, and procedures; training; budget and funding; and
proposed projects and studies. (Government Code � 53115.2 and
53115.3)
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c)Authorizes a 9-1-1 surcharge on intrastate telephone
communication service and/or VoIP service that provides access
to the 9-1-1 emergency system. (Revenue and Taxation Code �
41020)
d)Requires OES to determine annually, on or before October 1, a
surcharge rate (no less than 0.5% and no greater than 0.75%)
estimated to produce sufficient revenue to fund the current
fiscal year's 9-1-1 costs. (Revenue and Taxation Code � 41030)
e)Requires OES to notify the State Board of Equalization (BOE)
of the new surcharge rate, and requires BOE to publish the new
rate in its minutes no later than November 15, and fix the new
rate on or after January 1 of the succeeding calendar year.
(Revenue and Taxation Code � 41031-41032)
FISCAL EFFECT : Unknown.
COMMENTS :
1)Author's statement: According to the author, "As mobile
wireless communications and texting become central to
every-day life, wireless service providers face federal
deadlines in 2014 to offer their customers the ability to text
9-1-1 for emergency assistance. Texting to 9-1-1 enhances
public safety for persons with disabilities, in a hostage
situation or home break-in when a voice call can be dangerous,
and when network congestion from high usage during a crisis
makes voice connections unavailable or slow.
However, California's public safety dispatch centers will not
receive any 9-1-1 texts until they are "technically ready"
with equipment upgrades and staff training. The Governor's
Office of Emergency Services (OES), which administers the
state's emergency telephone system, must approve and fund
these upgrades for more than 450 dispatch centers, known as
Public Safety Answering Points (PSAPs). Until PSAPs are ready,
a person who texts 9-1-1 will get a "bounce-back" message
stating that a voice call is necessary to reach emergency
services.
Text to 9-1-1 deployment is a first step of Next Generation
9-1-1 (Next Gen 9-1-1) service that eventually will enable
real-time transmission of emergency-related voice, text, data,
photos, and video between the public and public safety
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agencies. OES is conducting some trials of text and Next Gen
9-1-1 services, but timing of PSAP upgrades are uncertain.
The state's 9-1-1 program costs are paid from the State
Emergency Telephone Number Account (SETNA) funds, which are
derived from a 9-1-1 fee on landline, wireless and Voice over
Internet Protocol (VoIP) service. The fee currently is set at
the statutory maximum - 0.75 percent of customer charges for
intrastate service. The SETNA fund currently is in a
structural deficit, even before adding the high costs of text
and Next Gen 9-1-1 upgrades.
Meanwhile, OES is implementing a federal grant for planning
California's portion of a nationwide public safety broadband
network known as "FirstNet," which federal law directs shall
be integrated with PSAPs. OES also oversees other state public
safety communications and warning systems, including a new
earthquake early warning system, and coordinates with public
safety broadband networks in Los Angeles and San Francisco
that have received federal funding."
2)California's 9-1-1 System . The state's 9-1-1 system has been
in place since 1979, pursuant to the Warren-9-1-1-Emergency
Assistance Act of 1972. Within the Public Safety
Communications Office at OES, the 9-1-1 Emergency
Communications Branch is responsible for administration and
funding of equipment and network services related to routing
and answering of 9-1-1 calls at approximately 460 local
dispatch centers (Public Safety Answering Points -
"PSAPs").<1> This office was transferred from the California
Technology Agency to OES in 2013 as part of budget action.
In 2013, 25.7 million 9-1-1 calls were placed in California
(more than 71,000/day), with about 75% from wireless
devices.<2> Incoming calls from landline customers include
automatic number and location information, whereas calls from
wireless devices identify location by longitude and latitude
(or by cell tower location on some older systems).
-------------------------
<1>
http://www.caloes.ca.gov/PSC/Documents/9-1-1/pdf/9-1-1%20Fact%20S
heet%20-%20CA%209-1-1%20Branch.pdf
<2>
http://www.caloes.ca.gov/PSC/Documents/9-1-1/pdf/9-1-1%20Fact%20S
heet-Next%20Generation%20In%20California.pdf
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3)The 9-1-1 surcharge. 9-1-1 services are funded by a surcharge
paid on every intrastate telephone communication and Voice
over Internet Protocol (VoIP) phone bill. As defined in
statute<3>, the surcharge must be no less than 0.5% and no
greater than 0.75%, with the current 2014 calendar year
surcharge rate set at 0.75%.<4> The surcharge is collected
from consumers by each telephone service supplier and remitted
to the State Board of Equalization, which deposits the funds
into the State Emergency Telephone Number Account (SETNA).
In recent years, SETNA's annual surcharge revenue has been
declining - from about $133 million in 2005-06 to about $80
million in 2012-13. However, by increasing the surcharge to
0.75% in 2014 (the rate was set at 0.50% from 2007-2013),
total revenue is projected to increase to $108 million in
2014-15.
4)Other 9-1-1 players. The State 9-1-1 Advisory Board advises
OES' 9-1-1 Emergency Branch on various topics, including
policies, practices, and procedures; technical and operational
standards for the 9-1-1 system; training; budget and funding;
and proposed projects and studies. The Board was established
by statute in 2005, and is comprised of 10 Governor-appointed
members representing law enforcement and/or emergency number
associations.
The California National Emergency Number Association (CalNENA)
represents the state's PSAPs and provides research, planning,
and training to support 9-1-1 dispatchers and the 9-1-1
system.
5)Next Generation 9-1-1 (NG9-1-1). NG9-1-1 is an Internet
Protocol (IP)-based two-way communications system that will
allow digital information (such as voice, photos, videos, text
messages) to flow from the public through the 9-1-1 network
and on to emergency responders.<5> NG9-1-1 will build upon,
and eventually replace, the existing 9-1-1 voice system that
operates on the legacy switched telephone network. The system
will also lay the groundwork for capabilities that include
advanced call routing, geographically independent call access,
---------------------------
<3> Revenue and Taxation Code Section 41030
<4>
http://www.caloes.ca.gov/PSC/Documents/9-1-1/pdf/9-1-1%20Fact%20S
heet-SETNA.pdf
<5> http://www.9-1-1.gov/9-1-1-issues/standards.html
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transferring, and call back up among and between PSAPs.
The transition to NG9-1-1 will require significant planning,
training, and funding (e.g., for PSAP upgrades to an IP-based
platform). The California Technology Agency (predecessor to
OES) published a proposed California NG9-1-1 Roadmap in
December 2010, broadly laying out the actions needed to deploy
NG9-1-1.<6> Public stakeholder meetings were conducted in
2011, and the 9-1-1 Branch is now in the midst of several
pilot projects. For example, the 9-1-1 Branch conducted a
Short Message Service (SMS) Text-to-9-1-1 project, testing
three forms of Text-to-9-1-1 solutions. The resulting April
2014 report on this pilot is designed to help PSAPs select an
appropriate Text-to-9-1-1 application.<7>
Over the next five years, OES estimates the upgrade to NG9-1-1
may cost $375 million on top of the $110 million yearly costs
already needed to operate the existing 9-1-1 system. Due to a
50 percent margin of error in the current estimate, OES states
it will refine cost estimates upon completion of the pilot
projects in mid-2015.
6)Text to 9-1-1 services and readiness. While NG9-1-1 is being
developed text to 9-1-1 services are an interim solution. Text
to 9-1-1 is advantageous for persons with disabilities,
individuals in a hostage situation or home break-in, and when
network congestion makes voice connections unavailable or
slow.
As of May 15, 2014, large wireless service providers will
allow customers to text 9-1-1 to any PSAP that is "technically
ready", per a voluntary agreement with the Federal
Communications Commission (FCC). Carriers will send a
bounce-back message if the PSAP cannot receive texts. A
proposed FCC rule would require all wireless and
Internet-based text providers to offer text-to-9-1-1
--------------------------
<6>
http://www.cio.ca.gov/Government/Publications/Proposed_State_of_C
A_NG9_1-1_Roadmap.pdf
<7>
http://www.calema.ca.gov/PSC/Documents/9-1-1/pdf/SMS%20Text-to-9-
1-1%20Pilot%20Report%2014%205-2-14.pdf
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capability by December 31, 2014.<8>
Despite these agreements and proposed rules, text to 9-1-1
will not be fully operational until PSAPs are "technically
ready" and authorized by a state or local 9-1-1 agency to
receive 9-1-1 text messages.
7)NG911 planning already underway. Before the end of 2014, OES
intends to release a request for proposals (RFP) for system
needs and the development of a transition plan to NG911, which
include a detailed list of requirements and timelines. The
contract will require a roadmap update. Tasks transition plan
and updated roadmap should satisfy the requirements of this
bill.
This bill would require OES to "develop a plan and timeline
for testing, implementation, and operation" of NG9-1-1, but as
per above, it is important to note that OES is already
undertaking these activities without statutory obligations.
Passage of this bill would make these tasks mandatory.
8)Overlap between NG9-1-1 and the FirstNet network . Up to $7
billion from FCC spectrum auctions has been designated by
federal law to fund a first responder network (FirstNet) - a
new nationwide wireless broadband network for public safety
communications that must be integrated with 9-1-1 PSAPs. In
August 2013, FirstNet provided OES with a $5.6 million
planning grant for governance planning, education and
outreach, and data collection on infrastructure and equipment
that can be used by FirstNet.
Integration of FirstNet requires infrastructure that could
also be used by NG9-1-1, with the advantage that FirstNet
funds could reduce NG9-1-1 implementation costs. This bill
requires NG9-1-1 to share infrastructure and elements of
public safety and other emergency communication networks where
feasible.
9)Including NG9-1-1 costs in the calculation of surcharge rates.
This bill requires NG9-1-1 planning and implementation costs
to be considered during OES' calculation of the annual 9-1-1
surcharge. As mentioned previously, 9-1-1 program (SETNA)
---------------------------
<8>
http://www.fcc.gov/document/text-9-1-1-policy-statement-and-secon
d-fnprm
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revenue has been declining. It seems unlikely that, even at
the maximum allowable surcharge rate of 0.75%, OES will be
able to fund the current 9-1-1 operation and the transition to
NG9-1-1. However, addressing the larger structural deficit
issues with SETNA is beyond the scope of this bill.
1)Transparency in setting 9-1-1 surcharge rates. The 9-1-1
surcharge is similar to those that fund public purpose
programs administered by the PUC (PUC). However, compared to
the PUC, where surcharges are adjusted through resolutions
open for public comment 30 days before a commission vote, the
OES process for setting the 9-1-1 fee lacks transparency. OES
simply notifies the BOE of the rate and does not provide for
public review or input. This bill attempts to provide greater
transparency for the 9-1-1 surcharge by requiring OES, at
least one month before finalizing the surcharge rate, to
report a calculation of the proposed 9-1-1 surcharge to the
Legislature and the 9-1-1 Advisory Board and also post it on
its Internet Web site.
2)Support and opposition. Supporters argue that this bill will
significantly improve the safety of Californians by
integrating new emergency response technologies (such as Next
Gen 911) and enhance the efficiency of emergency responders.
They also state support for efforts to maximize efficiencies
with other public safety communications systems that exist or
are under development.
REGISTERED SUPPORT / OPPOSITION :
Support
American Federation of State, County and Municipal Employees
(AFSCME)
AT&T
California Ambulance Association (CAA)
California Chapter of the National Emergency Number Association
(CALNENA)
California Communications Association (CalCom)
California Police Chiefs Association
California State Firefighters' Association (CSFA)
California's Independent Telecommunications Companies (CITC)
Frontier Communications
Office of Ratepayer Advocates (ORA)
Sprint
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The Utility Reform Network (TURN)
Opposition
None on file.
Analysis Prepared by : Brandon Gaytan / U. & C. / (916)
319-2083