2009 House Bill 5599 / 2010 Public Act 206

Authorize 9-1-1 phone tax “fund raid”

Introduced in the House

Nov. 12, 2009

Introduced by Rep. George Cushingberry (D-8)

To take $5 million each year in the current and next two fiscal years from telephone tax money levied to pay for 9-1-1 (emergency phone service infrastructure, and use it instead to displace state general fund money in the State Police budget, thus avoiding the need to cut or reform other state spending. The infrastructure this phone tax was intended to create was completed several years ago and the tax was supposed to end, but was extended through 2014 in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2008&PublicActNumber=379">2008</a>. The fund this money goes into was previously "raided" in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2004&PublicActNumber=89">2004</a>, and again in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2006&PublicActNumber=74">2006</a>.

Referred to the Committee on Appropriations

Sept. 8, 2010

Reported without amendment

With the recommendation that the amendment be adopted and that the bill then pass.

Sept. 14, 2010

Amendment offered

To limit the "fund raid" to two years but increase it to $7 million each year.

The amendment passed by voice vote

Amendment offered

To return any surplus phone tax left over after this "fund raid" to the phone customers who paid it.

The amendment failed by voice vote

Passed in the House 63 to 44 (details)

To take $7 million each year in the next two fiscal years from telephone tax money levied to pay for 9-1-1 emergency phone service infrastructure, and use it instead to displace state general fund money in the State Police budget, thus avoiding the need to cut or reform other state spending. The infrastructure this phone tax was intended to create was completed several years ago and the tax was supposed to end, but was extended through 2014 in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2008&PublicActNumber=379">2008</a>. There was a previous "fund raid" on this money in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2004&PublicActNumber=89">2004</a>, and another in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2006&PublicActNumber=74">2006</a>.

Received in the Senate

Sept. 15, 2010

Referred to the Committee on Appropriations

Sept. 22, 2010

Reported without amendment

With the recommendation that the substitute (S-1) be adopted and that the bill then pass.

Substitute offered

To revise the "fund raid" amounts to $5 million in the 2009-2010 fiscal year, and $7 million in the next year's budget.

The substitute passed by voice vote

Passed in the Senate 35 to 2 (details)

To take $5 million in the current fiscal year and $7 million in the next year from telephone tax money levied to pay for 9-1-1 emergency phone service infrastructure, and use it instead to displace state general fund money in the State Police budget, thus avoiding the need to cut or reform other state spending. The infrastructure this phone tax was intended to create was completed several years ago and the tax was supposed to end, but was extended through 2014 in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2008&PublicActNumber=379">2008</a>. There was a previous "fund raid" on this money in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2004&PublicActNumber=89">2004</a>, and another in <a href="http://www.michiganvotes.org/Legislation.aspx?Year=2006&PublicActNumber=74">2006</a>.

Received in the House

Sept. 22, 2010

Sept. 29, 2010

Amendment offered by Rep. Cindy Denby (R-47)

To close out the raided fund after this raid, and return whatever is left in it to the phone customers who paid the "fees".

The amendment failed by voice vote

Passed in the House 64 to 41 (details)

To concur with the Senate-passed version of the bill.

Signed by Gov. Jennifer Granholm

Oct. 11, 2010