9-1-1 Surcharge to Increase on July 1
FOR IMMEDIATE RELEASE: Monday, June 25, 2012
CONTACT: Terry Woster, Public Information Officer, 605.773.3178
9-1-1 Surcharge to Increase on July 1
PIERRE, S.D. – The South Dakota 9-1-1Coordination Board is reminding telephone users of the 9-1-1 surcharge increase that takes effect on July 1, 2012.
The 2012 Legislature approved an increase in the traditional surcharge from the current 75 cents per month to $1.25 per month. That fee is collected by all monthly billed telephone and wireless service providers, such as CenturyLink, Verizon, Midcontinent Communications, AT&T, Golden West Telecommunications, Knology, Vonage and others.
In addition, the Legislature also assessed the 2 percent 9-1-1 surcharge on all prepaid wireless services collected at the retail point of sale. That rapidly growing segment of wireless users includes such companies as TracFone, Wal-Mart’s Straight Talk service and others.
The surcharge, a fee imposed in virtually every state, pays the cost of operating 9-1-1 public safety dispatch centers. In South Dakota, the Legislature first authorized a surcharge in 1989. The fee has been limited to no more than 75 cents per phone line per month since then.
“That’s 23 years without a funding increase in an industry that has changed almost beyond recognition in that time,’’ said Ted Rufledt Jr., Chair of the State 9-1-1 Coordination Board. “Revenue from the surcharge simply hasn’t kept up with changes and rising costs of providing 9-1-1 service. Some of the additional revenue will be used to provide additional funding for the 9-1-1 centers, and some will be used to make the changes necessary to modernize 9-1-1 in our state.’’
As of 2011, the 9-1-1 surcharge covered about half the cost of operating the system in South Dakota.
Besides the need for additional revenue to support the existing system, funding was needed for South Dakota to update the 9-1-1 system to what is commonly called Next Generation 9-1-1. Most of the existing system is based on 1970s telephone technology. With the explosive development of wireless smart phones, 9-1-1 as it exists today isn’t able to capitalize on the technology that wireless customers use every day.
For example, citizens can’t send a text message to a 9-1-1 dispatch center. They aren’t able to send photos or video of crimes or suspects directly to a 9-1-1 dispatcher. Those services would be possible in the Next Generation 9-1-1 system.
The surcharge increase passed nearly unanimously (SB174) during the last legislative session. A portion of the increase, 25 cents per line per month is earmarked for Next Generation 9-1-1 and is scheduled to sunset in 2018. The State 9-1-1 Coordination Board plans to start updating parts of the 9-1-1 system in the next one to two years and to have all 9-1-1 centers on the updated system by 2018.
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