Session of 1999
         
HOUSE BILL No. 2399
         
By Committee on Utilities
          
2-10
          
  9             AN  ACT concerning emergency telephone services; relating to the fi-
10             nancing thereof; amending K.S.A. 12-5303 and K.S.A. 1998 Supp. 12-
11             5302 and repealing the existing sections.
12      
13       Be it enacted by the Legislature of the State of Kansas:
14             Section  1. K.S.A. 1998 Supp. 12-5302 is hereby amended to read as
15       follows: 12-5302. (a) In addition to other powers for the protection of the
16       public health and welfare, a governing body may provide for the operation
17       of an emergency telephone service and may pay for it by imposing an
18       emergency telephone tax for such service in those portions of the gov-
19       erning body's jurisdiction for which emergency telephone service has
20       been contracted. The governing body may do such other acts as are ex-
21       pedient for the protection and preservation of the public health and wel-
22       fare and are necessary for the operation of the emergency telephone
23       system. The governing body is hereby authorized by ordinance in the case
24       of cities and by resolution in the case of counties to impose such tax in
25       those portions of the governing body's jurisdiction for which emergency
26       telephone service has been contracted. The amount of such tax shall not
27       exceed $.75 per month per exchange access line or its equivalent for
28       service other than wireless and the tax for wireless shall be as follows: (1)
29       If the emergency telephone service has the capacity to locate where a
30       wireless communication originates, the tax per wireless calling device shall
31       be in an amount equal to the tax per exchange access line or equivalent
32       for nonwireless service; and (2) if the emergency telephone service does
33       not have the capacity to locate where a wireless communication originates,
34       the tax per wireless calling device shall be in an amount equal to 12 the
35       tax per exchange access line or equivalent for nonwireless service.
36             (b) Within 60 days of the publication of a resolution by a county
37       adopted pursuant to subsection (a) there may be filed with the county
38       election officer of the county a petition signed by not less than 5% of the
39       registered voters of the county, and within 60 days of publication of an
40       ordinance adopted pursuant to subsection (a) there may be filed with the
41       county election officer of the county in which the city is located a petition
42       signed by not less than 5% of the registered voters of the city, in either
43       such case requesting that the question of the installation and operation

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  1       of emergency telephone service and imposition of tax therefor be sub-
  2       mitted to the qualified voters of the county. Upon determination of the
  3       sufficiency of such petition and certification thereof by the county elec-
  4       tion officer, the proposition shall be submitted to the qualified voters of
  5       the county or city as the case may be at the next primary or general
  6       election of county officers following by not less than 60 days the certifi-
  7       cation of such petition. If a majority of the votes cast at such election are
  8       for the installation and operation of emergency telephone service and
  9       imposition of tax therefor, or if no protest petition is filed within the time
10       hereinbefore prescribed, the governing body may provide for the instal-
11       lation and operation of such service and impose such tax. If a tax is im-
12       posed on the effective date of this act or thereafter, any proposed increase
13       in the amount of the tax shall be subject to the protest petition provided
14       in this subsection. The proceeds of the tax shall be utilized to pay for the
15       operation of emergency telephone service as set forth in subsection (b)
16       of K.S.A. 12-5304, and amendments thereto, and may be imposed at any
17       time subsequent to execution of a contract with the provider of such
18       service at the discretion of the governing body. The collection of such tax
19       may begin at the time determined to be necessary to generate revenue
20       in an amount necessary to pay the nonrecurring expenses of establishing
21       the emergency telephone service. Any interest earned on revenue derived
22       from such tax shall be used to pay the expenses authorized by K.S.A. 12-
23       5304, and amendments thereto. Such tax shall not be imposed until after
24       the expiration of the protest period or until after approved at an election
25       if a sufficient protest petition is filed.
26             (c) As an alternative to the procedure provided in subsection (b), the
27       governing body may submit, on its own initiative, the proposal to establish
28       an emergency telephone service to the qualified voters of the city or
29       county for approval. Any such election shall be called and held in the
30       manner provided by the general bond law.
31             (d) Such tax shall be imposed only upon exchange access lines or their
32       equivalent. No such tax shall be imposed upon more than 100 exchange
33       access facilities or their equivalent per person per location.
34             (e) Every billed service user shall be liable for any tax imposed under
35       this act until it has been paid to the service supplier. Wireless service
36       users shall be exempt from the emergency telephone tax.
37             (f) The duty to collect any tax imposed under authority of this act
38       from a service user shall commence at such time as specified by the
39       governing body. Taxes imposed under authority of this act and required
40       by it to be collected by the service supplier shall be added to and may be
41       stated separately in the billings to the service user.
42             (g) The service supplier shall have no obligation to take any legal
43       action to enforce the collection of any tax imposed under authority of this

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  1       act. The service supplier shall provide annually the governing body with
  2       a list of amounts uncollected along with the names and addresses of those
  3       service users which carry a balance that can be determined by the service
  4       supplier to be nonpayment of any tax imposed under authority of this act.
  5             (h) Any tax imposed under authority of this act shall be collected
  6       insofar as practicable at the same time as, and along with, the charges for
  7       the tariff rate in accordance with the regular billing practice of the service
  8       supplier.
  9             Sec.  2. K.S.A. 12-5303 is hereby amended to read as follows: 12-
10       5303. (a) Any tax imposed under authority of this act Except as provided
11       in subsection (b), any tax imposed pursuant to K.S.A. 12-5302, and
12       amendments thereto, and the amounts required to be collected are due
13       quarterly. The amount of tax collected in one calendar quarter by the
14       service supplier shall be remitted to the governing body no later than sixty
15       60 days after the close of a calendar quarter. On or before the sixtieth
16       60th day of each calendar quarter following, a return for the preceding
17       quarter shall be filed with the governing body in such form as the gov-
18       erning body and service supplier shall agree. The service supplier re-
19       quired to file the return shall deliver the return together with a remittance
20       of the amount of the tax payable to the office of the governing body. The
21       service supplier shall maintain records of the amount of any tax collected
22       pursuant to action in accord with this act. Such records shall be main-
23       tained for a period of one year from the time the tax is collected.
24             (b) From every remittance to the governing body made on or before
25       the date when the same becomes due, the service supplier required to
26       remit the same shall be entitled to deduct and retain, as an administrative
27       fee, an amount equal to two percent (2%) 2% thereof.
28             (b) Moneys derived from the tax imposed pursuant to K.S.A. 12-5302,
29       and amendments thereto, on wireless service shall be collected and re-
30       mitted as follows: The wireless service supplier shall separate such moneys
31       by the zip code of the wireless service user and remit those moneys, less
32       the 2% administrative fee, to the governing body of the city or county
33       imposing such tax to fund the PSAP which serves as the primary answer-
34       ing point for such zip code.
35             Except as otherwise provided by this subsection, the service supplier
36       shall remit the amount of tax collected in the manner provided by sub-
37       section (a).
38             (c) At least once each calendar year, the governing body shall estab-
39       lish a tax rate, not to exceed the amount authorized, that together with
40       any surplus revenues carried forward will produce sufficient revenues to
41       fund the expenditures authorized by this act. Amounts collected in excess
42       of that necessary within a given year shall be carried forward to subse-
43       quent years. The governing body shall make its determination of such tax

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  1       rate each year no later than September 1 and shall fix the new rate to
  2       take effect commencing with the first billing period of each customer on
  3       or following the next January 1. Immediately upon making its determi-
  4       nation and fixing the rate, the governing body shall publish in its minutes
  5       the new rate, and it shall notify by registered mail every service supplier
  6       at least ninety (90) 90 days before such new rate will become effective.
  7       The governing body may, at its own expense, may require an annual audit
  8       of the service supplier's books and records concerning the collection and
  9       remittance of the tax authorized by this act. 
10       Sec.  3. K.S.A. 12-5303 and K.S.A. 1998 Supp. 12-5302 are hereby
11       repealed.
12        Sec.  4. This act shall take effect and be in force from and after its
13       publication in the statute book.