AN ACT
 1-1     relating to defining a local exchange access line and an equivalent
 1-2     local exchange access line for purposes of the imposition of 9-1-1
 1-3     emergency services fees and the exclusion of certain telephone
 1-4     lines used to provide Internet access.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Subchapter C, Chapter 771, Health and Safety
 1-7     Code, is amended by adding Section 771.063 to read as follows:
 1-8           Sec. 771.063.  DEFINITION OF LOCAL EXCHANGE ACCESS LINE AND
 1-9     EQUIVALENT LOCAL EXCHANGE ACCESS LINE.  (a)  The advisory
1-10     commission shall determine by rulemaking what constitutes a local
1-11     exchange access line and an equivalent local exchange access line
1-12     for all 9-1-1 emergency services fees imposed statewide.
1-13           (b)  By October 1, 1999, the advisory commission shall adopt
1-14     definitions of a local exchange access line and an equivalent local
1-15     exchange access line that exclude a line from a telecommunications
1-16     service provider to an Internet service provider for the Internet
1-17     service provider's data modem lines used only to provide its
1-18     Internet access service and that are not capable of transmitting
1-19     voice messages.
1-20           (c)  The advisory commission shall annually review the
1-21     definitions of a local exchange access line and an equivalent local
1-22     exchange access line to address technical and structural changes in
1-23     the provision of telecommunications and data services.  In that
1-24     annual review, the advisory commission may include previously
 2-1     excluded Internet service provider data modem lines if it
 2-2     determines that circumstances have changed sufficiently enough that
 2-3     9-1-1 emergency calls through those lines are done on a regular
 2-4     basis or that the data lines are voice-capable or that the lines
 2-5     are functionally equivalent.
 2-6           (d) An emergency communication district described by Section
 2-7     771.001(3)(A) or (B) that has not participated in a regional plan
 2-8     shall use the advisory commission's definitions of a local exchange
 2-9     access line and an equivalent local exchange access line for
2-10     purposes of imposing its emergency service fees and may not impose
2-11     an emergency service fee on any line excluded from the advisory
2-12     commission's definitions.
2-13           (e)  A service provider shall collect and remit the emergency
2-14     service fees to the advisory commission or the appropriate
2-15     emergency communication district, as applicable, in accordance with
2-16     the advisory commission's definition of a local exchange access
2-17     line and an equivalent local exchange access line.
2-18           SECTION 2.  Subsection (a), Section 771.071, Health and
2-19     Safety Code, is amended to read as follows:
2-20           (a)  Except as otherwise provided by this subchapter, the
2-21     advisory commission may impose a 9-1-1 emergency service fee on
2-22     each local exchange access line or equivalent local exchange access
2-23     line, including lines of customers in an area served by an
2-24     emergency communication district participating in the applicable
2-25     regional plan.  If a business service user provides residential
2-26     facilities, each line that terminates at a residential unit, and
 3-1     that is a communication link equivalent to a residential local
 3-2     exchange access line, shall be charged the 9-1-1 emergency service
 3-3     fee.  The fee may not be imposed on a line to coin-operated public
 3-4     telephone equipment or to public telephone equipment operated by
 3-5     coin or by card reader.  The fee may also not be imposed on any
 3-6     line that the advisory commission excluded from the definition of a
 3-7     local exchange access line or an equivalent local exchange access
 3-8     line pursuant to Section 771.063.  [For purposes of this section,
 3-9     the advisory commission shall determine what constitutes an
3-10     equivalent local exchange access line.]
3-11           SECTION 3.  Subsection (b), Section 772.114, Health and
3-12     Safety Code, is amended to read as follows:
3-13           (b)  The fee may be imposed only on the base rate charge or
3-14     its equivalent, excluding charges for coin-operated telephone
3-15     equipment.  The fee may not be imposed on more than 100 local
3-16     exchange access lines or their equivalent for a single business
3-17     entity at a single location, unless the lines are used by residents
3-18     of the location.  The fee may also not be imposed on any line that
3-19     the Advisory Commission on State Emergency Communications excluded
3-20     from the definition of a local exchange access line or an
3-21     equivalent local exchange access line pursuant to Section 771.063.
3-22     If a business service user provides residential facilities, each
3-23     line that terminates at a residential unit and that is a
3-24     communication link equivalent to a residential local exchange
3-25     access line, shall be charged the 9-1-1 emergency service fee.  The
3-26     fee must have uniform application and must be imposed in each
 4-1     participating jurisdiction.
 4-2           SECTION 4.  Subsection (b), Section 772.214, Health and
 4-3     Safety Code, is amended to read as follows:
 4-4           (b)  The fee may be imposed only on the base rate charge or
 4-5     its equivalent, excluding charges for coin-operated telephone
 4-6     equipment.  The fee may not be imposed on more than 100 local
 4-7     exchange access lines or their equivalent for a single business
 4-8     entity at a single location, unless the lines are used by residents
 4-9     of the location.  The fee may also not be imposed on any line that
4-10     the Advisory Commission on State Emergency Communications excluded
4-11     from the definition of a local exchange access line or an
4-12     equivalent local exchange access line pursuant to Section 771.063.
4-13     If a business service user provides residential facilities, each
4-14     line that terminates at a residential unit and that is a
4-15     communication link equivalent to a residential local exchange
4-16     access line shall be charged the 9-1-1 emergency service fee.  The
4-17     fee must have uniform application and must be imposed in each
4-18     participating jurisdiction.
4-19           SECTION 5.  Subsection (b), Section 772.314, Health and
4-20     Safety Code, is amended to read as follows:
4-21           (b)  The fee may be imposed only on the base rate charge or
4-22     its equivalent, excluding charges for coin-operated telephone
4-23     equipment.  The fee may not be imposed on more than 100 local
4-24     exchange access lines or their equivalent for a single business
4-25     entity at a single location, unless the lines are used by residents
4-26     of the location.  The fee may also not be imposed on any line that
 5-1     the Advisory Commission on State Emergency Communications excluded
 5-2     from the definition of a local exchange access line or an
 5-3     equivalent local exchange access line pursuant to Section 771.063.
 5-4     If a business service user provides residential facilities, each
 5-5     line that terminates at a residential unit and that is a
 5-6     communication link equivalent to a residential local exchange
 5-7     access line shall be charged the 9-1-1 emergency service fee.  The
 5-8     fee must have uniform application and must be  imposed in each
 5-9     participating jurisdiction.
5-10           SECTION 6.  Subsection (a), Section 772.403, Health and
5-11     Safety Code, is amended to read as follows:
5-12           (a)  A county to which this subchapter applies may implement
5-13     a system for providing 9-1-1 service in the unincorporated areas of
5-14     the county and may impose a service fee on local exchange telephone
5-15     service customers in the area served.  The fee may not be imposed
5-16     on any line that the Advisory Commission on State Emergency
5-17     Communications excluded from the definition of a local exchange
5-18     access line or an equivalent local exchange access line pursuant to
5-19     Section 771.063.  If a business service user provides residential
5-20     facilities, each line that terminates at a residential unit and
5-21     that is a communication link equivalent to a residential local
5-22     exchange access line shall be charged the 9-1-1 emergency service
5-23     fee.
5-24           SECTION 7.  This Act takes effect immediately and applies to
5-25     a fee imposed on or after the effective date of this Act.  A fee
5-26     imposed before that date is governed by the law or rule in effect
 6-1     on that date, and that law or rule is continued in effect for that
 6-2     purpose.
 6-3           SECTION 8.  The importance of this legislation and the
 6-4     crowded condition of the calendars in both houses create an
 6-5     emergency and an imperative public necessity that the
 6-6     constitutional rule requiring bills to be read on three several
 6-7     days in each house be suspended, and this rule is hereby suspended,
 6-8     and that this Act take effect and be in force from and after its
 6-9     passage, and it is so enacted.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I hereby certify that S.B. No. 484 passed the Senate on
         April 9, 1999, by the following vote:  Yeas 29, Nays 0.
                                             _______________________________
                                                 Secretary of the Senate
               I hereby certify that S.B. No. 484 passed the House on
         May 26, 1999, by the following vote:  Yeas 144, Nays 0, two present
         not voting.
                                             _______________________________
                                                 Chief Clerk of the House
         Approved:
         _______________________________
                     Date
         _______________________________
                   Governor