HB114 Alabama 2011 Session

Summary

Primary Sponsor

Oliver Robinson

Democrat

Co-Sponsor

Gregory Canfield

Session

Regular Session 2011

Title

Cell phone service, including prepaid, E-911 service charge, decreased, collection on prepaid on each sale, collection provided for, Prepaid Wireless 911 Charge Act, Secs. 11-98A-1 to 11-98A-7, inclusive, added; Sec. 11-98-7 am'd.

Summary

HB114 would cut the E-911 monthly charge from 70 to 65 cents and create a uniform statewide prepaid wireless 911 charge on prepaid service sales, with new funding rules for emergency communications.

What This Bill Does

It reduces the current monthly CMRS E-911 service charge from 70 cents to 65 cents per month per customer. It imposes a uniform statewide prepaid wireless 911 charge on each retail sale of prepaid wireless service, in an amount equal to the E-911 monthly fee, and precludes other state or local 911 charges on prepaid services. It creates the Prepaid Wireless 911 Charge Act to govern collection, remittance, and administration of the prepaid charge, including definitions and responsibilities for sellers, providers, and the Department of Revenue. It outlines how the collected funds are distributed to Emergency Communications Districts and used for related costs, including equipment, Phase II E-911 expenses, and provider compliance costs, with oversight and auditing requirements.

Who It Affects

• Consumers of cellular and prepaid wireless services who will pay the new charges (65 cents per month for postpaid service and a uniform prepaid 911 charge on prepaid service purchases).
• Sellers and CMRS providers who must collect and remit the prepaid 911 charges, may deduct a small administrative percentage, and are subject to audits and distribution rules to support emergency communication districts.

Key Provisions

• Lower the CMRS emergency 911 monthly service charge from 70 cents to 65 cents per month per CMRS customer, with uniform statewide application.
• Add Chapter 98A to Title 11 to create the Prepaid Wireless 911 Charge Act of 2011, with defined terms such as consumer, seller, provider, and prepaid wireless service.
• Impose a prepaid wireless 911 charge on each retail sale of prepaid wireless service, equal in amount to the E-911 monthly charge, and require collection by the seller and remittance to the designated state department.
• The prepaid charge shall be the sole 911 funding obligation for prepaid wireless service, and no other state or local 911 charges may apply to prepaid services.
• Distribute CMRS Fund revenues: 56% to Emergency Communications Districts for wireless enhanced emergency equipment and related costs, 24% to ECDs for Phase II expenditures, and 20% to a bank account for CMRS provider compliance costs, with various administrative controls and approvals required.
• Provide for independent audits and annual reporting, including an auditor retained by the board and periodic audits by the Department of Examiners of Public Accounts.
• Allow a cost study to determine whether the charge amounts should be adjusted to reflect actual costs for FCC-related E-911 compliance, with procedures to propose changes.
• Establish exclusivity of the prepaid 911 charge for prepaid services and prohibit additional 911 funding charges by the state or subdivisions for prepaid services.
• Set the act’s effective date to October 1, 2011 and subject the CMRS Board to Sunset Law with renewal provisions.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Telecommunications