City, County & Local Affairs Committee- House

the local body creates the board by ordinance they receive reports that conduct oversight so to serve on both would create a conflict of interest typically in this situation if someone were on the facilities board and we're elected to city council say they would resign from one to avoid the conflict also a court probably would not let someone serve on both because under common law you can't supervise yourself in the same government structure but the bill clarifies it in code to avoid any confusion so happy to take any questions. A committee you have any questions. Seeing none three body the audience would like to speak for the bill. Against the bill. Are you I'm close shall move to pass. I have a motion to pass any discussion on the motion. All in favor say aye. Those opposed say no resolution to a pastor bill thank. Next up is Senate bill six twenty four. And senator Wallace. Okay. He is not here with next up will be Senate bill six ten cent. Okay represent Kerr would you go to the table identify yourself and you may proceed soon as you get there. Afternoon committee I'm John Kerr state representative for Arkansas house district ninety four in Rogers okay would you would to guess the identified so yeah I'm Josh Curtis Association Arkansas counties that you may proceed thank you committee thank you Mr so what this bill is about it's about to disclosures for whatever people and municipalities or county governments print as a newspaper just simply asking for disclosure paid for by. Okay do we have any questions. Yes representative Bryant you're recognized. Just carries with the. With the need is for this we haven't had it for so long in our reading it was that with the driver. So we we work with the press association on this and their big push was transparency and we felt like a lot of the taxpayer's Phil Act newspapers publish that for free so we want to make sure they were very transparent and they know exactly what entity where there's county government or city government who pays for that and how much they're paying for each of those publication costs. And by the way the preservation is fine with this bill neutral as you can see they're not here and they may have to come to this committee a time or two. Okay any other questions. Seeing none. Is there anyone here to speak against the bill. For the bill. Okay would you like to close for your bill I am close and I'm moved to pass I have a motion to passing the discussion on the motion. Seeing none all in favor say aye aye aye those opposed say no. Congratulations you're patched your bill thank you Mr thank you Committee. Okay the representative gray here. Senator Wallace is not here. These are the laser okay okay we will recess here for a few minutes here. Okay. Yes. Right committee will get started here. Hi Committee the next bill up his house bill nineteen forty six representative gray you would go the table identify yourself and you may proceed to forget their. Thank you Mr chair representative gray District sixty two. Let me go ahead a yes okay I'm sorry I was thank you and so I filed a bill kind of late in the session as I was trying to figure out what to do. But last session a. Was the house sponsor on a bill that to increase the nine one one fees both on regular late regular cell phone line saying prepaid lines are prepaid cards what we found after the session. Was that. As we work through this we did it we did up to that ten percent charge on prepaid. Just prepaid services and those prepaid services he was my understanding at the time that those were essentially just the cards you know you go to Walmart to get a prepaid card with so many minutes on it and it's gonna be a ten percent charge in the past I believe had been just a five dollar flat feet and what we found after session was there's something called prepaid plans that they're monthly plans but you're not under contract for and so those lines three major carriers started getting a ten percent charge some of those range from like four dollars a month to like eight dollars a month so I've got regular cell phone lines at a dollar thirty and then I've got the pre paid under contracted lines at two three four times the amount and that I have on the non prepaid so it's kind of an unintended consequence Penzo how worked prior to the session and then kind of some in the beginning that I forgot about it for a few months and then here at the end to figure out a way to make that more. Equitable between the two what I came up with And I did talk with Josh Curtis with association of counties Justin I know they're not supportive of this but just to figure out a way to do it where it had the least impact in her to the people we were trying to help which was a nine one one system the counties that the saps and so what I did is to after taking it from ten percent down to seven and a half percent starting I believe it was twenty twenty three way out there so it in effect budgeting for next year anything and then down to five percent for twenty ten it was twenty twenty four but I could have those when you're off so what that does so there's a consequence to that too so what I really wanted to affect was the prepaid lines that are monthly right through the carriers but since my understanding there's no way to distinguish between those and the cards so when I cut the fee in half I'm cutting the fee in half for not just for those non contracted lines but also for the cards and got a fiscal impact here nobody knew there'd be a fiscal impact obviously. And I would say I got pretty fired up the last couple days because after I filed it I've been reached out to you not just by county judges but I mean I've had treasures I've had people that work P. saps retail and I understand that everybody's you know frustrated we don't want you to cut our funding I've been told by some is gonna cut their funding by fifty percent that's not accurate up my estimate would be looking at this is probably abruptly if you separate the two. Everyone makes twenty million one makes eighteen and I'm cutting the eighteen and half over the next three years taking away approximately twenty five percent of the total revenue that we had time generated. it's my understanding that this has generated more revenue than what we projected hand I this is where I get pretty fired up about it I said that will with most of you guys there's a couple freshmen here that weren't here the and and when I was questioned about that ten percent what I said was because it was estimates we were just working off the projections if that's too much I will come back and fix it next session right I said that and now here I am trying to fix it and I'm getting pushed back from everybody as to how detrimental it's going to be on their systems when in reality. To me they're getting more money right now than they've ever had in the past the end up trying to be understanding to not affect budgets and push this out a little ways. So it's essentially what the bill does I think there is a fiscal impact that you've all gotten if you like to look at it Sure I think what else. wanted to say with this as simply I'm just trying to help my constituents may I put a pretty heavy price tag on these prepaid lines and all I'm trying to do is essentially find a balance that works for our counties in the systems and our constituents. And you know part of the city was. The fees had been increased and as everyone transition from landlines to cellphones. What those fees weren't equitable threat so we raised it from I think sixty cents or sixty five to a dollar thirty on regular lines regular cell phone lines and did this ten percent And as as people transition the amount of money that the counties were having to supplement into their systems kept growing and growing and growing and we want to cut that back but not to the point was never our intent for there to be no skin in the game for the counties and I'm sure it and there be some that still have skin in the game there's a price on that don't have much skin in the game at all I've talked to one that doesn't really have any skin in the game left and that was never the intent and that tells me that that we're collecting more fees than what we expected so. That's my bill. The referred questions yes Sir representative Cavenaugh you're recognized for a question thank you Mr chair and you just about covered what I was going to ask us when we originally ran this bill it was never intended to a hundred percent fund the system that it was to supplement and help them get what they needed but they were and it was never my understanding when we ran the bill that it was to be a hundred percent funding of the system is my memory correct yes and that's my my recollection as well there's always to be some skin in the game just not quite as much as what they had had. Yes okay representative Bryant you're recognized for a question to so I'm a little more clear so if I go into the carrier store and sign a contract or a I buy a phone which has been obligations are under contracts anymore they do thirty month get phone for free how they do that my tax rate is a dollar thirty per month a dollar thirty per per month Fite if I go into Walmart and buy one of those prepaid care same carrier just through a prepaid service. My monthly is it's ten percent of the total charges for the month. Okay. Yes. Okay any other questions. Representante three you're ready. Thank you Mr chairman represent great you may have said this and I missed it but at have you made any headway in finding an alternative source of revenue for these counties you're worried about it. No that's by. I don't want to hurt the counties in the way I view this is I mean this and I wanna use the word windfall but it's been they've gotten such an additional amount of money through the legislation that we ran that I don't feel that code would be detrimental especially as far out as what I'm putting it and I wish I had had more cooperation or more help in trying to address how to fix this so this was essentially. This was my attempt to fix it without. Any cooperation or health care thank you thank you Mr. Representative **** you're recognized. Thank you Mr I'm. Represent great it was a home run last session with the nine one one it is made a massive difference between the the piece produce batches in Little and use talk about skin in the game when I was a sheriff we didn't have skin we didn't have me we had a fragment of bone to get to work within this might at the massive impact but also talk consume the boards on that with a women's what will be the impact on them and the impact on our bond this sow at AJ Gary so he reached out to me and I've been so busy United States to on the way I'm I'm sorry I did not reach back out to you but what I put the bill is that they cut would be shared equally with them as well so I don't know the exact I don't know the allocation of how that will work he can probably tell you that okay thank you yeah to represent all correct and have. This may be a question for you are actually the FNA of the estimates are I think more people are moving to pre paid services are they not from wireless services at that I don't know so I got the last data that I had the spreadsheet that I've got I think went through like maybe February of twenty twenty one in the total charges of the total revenue help me pull it up for you. so the revenue like in no actually I've got it's November of twenty twenty. But these estimates could be higher than what we think just based on the the usage thank you didn't date using it amendment from October to you now so six months we had we collected two point nine million on nontraditional telephone in the regular lines and one point five million on prepaid so the prepaid is quite a bit less than what the the regular contracted monthly amounts or So I mean they're gonna finish if the huge if the last and I was trying to look the month before. Let me give you a month that was more equitable August of twenty twenty was two point four right at three million in the normal cell phones and two point two five in the prepaid so it's it is quite a bit less but. Yes but it may be. That's my thing is and I say this state only nobody asked me for this I'd love to find a way to address just that specific population of people that have the monthly cell phones that are non contracted I just have not figured out a way to separate those out yet. Okay a representative Bryant you're recognized. Thank you thank you Mr chairman representative Michelle. But the only thing that really worries me about this is you know your counties and which is what the sheriff but you know it all bottom line comes back to the county judge and. One of these small counties are not doing so good right now and I just wanted to take anything away from them they can make it even worse. So what I said from the well two years ago was if we were collecting more money than what we expected or there were issues that I gave my word I would you know make an attempt to fix it and the county judges that stood behind me we had press conferences we had whatever everyone was in the same place that if there was something we need to come back and address we would and we have not done that and this is my attempt to do that will it take money from the not from their nine one one funding yes it will have they got more money than what we estimated yes I can't disagree with you but I I mean I have for county judges level all dearly but I have thirty thousand I think I'm told now I have twenty eight thousand constituents that I have to answer to you as well. Thank you thank you a representative Brian you're recognized. Thank you Mr so. When that when the when all the act passed last session. I know we we struggled with you know we're getting a nine one fees because they're attached like land lines right and everybody's transitioning all the sewer last decade in cellular service where the fees imposed on like percentage wise on the the actual plans the monthly plans. Even prior to the legislation on the month leading prior to legislation and then post legislation so prior to the legislation is my understanding it was like. It was sixty I think sixty five cents on the normal cell lines and then it was like five dollars on the prepaid side what I think happened and I'm not entirely sure is is still a great the gray area what I think happened is prior to the legislation running those that had a monthly plan but it was a contracted so you would consider it prepaid we're getting charged and then after the legislation passed I got some cell phone bills with a flat five dollar fee you on it so I think that the carriers they'd put the five dollar fee on and then transition it to the ten percent so prior to I don't think they were getting charged if that makes sense okay the okay a follow up one more yes. In this this may be a question for further yes but the Kerrs Act funding that we've gotten it is you know if that's available for I was not for recurring costs but for upgrades in two counties systems to. Balser their nine one one services through the cares Act so that I don't know that would have to be I mean. If we can say that it was related to code in there are some funds still available if it was related to COVID and it was brought through an agency yeah I'm is something we could look at. Okay representative Beatty you're recognized. Maybe I missed it while up earlier I see the revenue impact and and you said that we we've collected much more than what you anticipated what were those original numbers that that we expected to receive from from from the bill that's right I remember at I think Josh Curtis can correct me if I'm wrong and. I know we will. I think we were trying with that additional twenty four million a year is that what we were trying to get. An additional roughly an additional twenty four million a year So they can give you all those figures when he comes up. Thank you any other questions representative Brian to recognize. With the with the thought ever consider proposed to to make a net zero change and and lift lift the monthly hard charges of the contract service and lower. We pay to make a more balanced. But for this session no that's yeah this for just for and you know the main revenue neutral like obviously we went into the previously station not really knowing and then making the yet no hard promise to come back and now we're we're stuck we are once once he's gonna get that funding they don't like it they don't want to go and I'm you know I I myself came into this with the with everybody's responding and me kind of pre committed to that's this is a bad idea but as I'm hearing testimony from previous. From so I wasn't privy to I'm concerned that you know it needs to come down with for over charging but also to these to the scene to come up to balance the needs yes so when we ran the legislation last session not our intent was to not be revenue neutral and our intent was to generate more revenue just because of how much money the counties were having to put into the system and then also like on when it on a whim I mean we have like radio parts you couldn't get anymore because the systems were so outdated and we needed that additional money to update everything so back then it was not intended to be revenue neutral I mean we can look at doing something I guess more record look at doing something more revenue neutral as far as raising one in lower than the other moving forward it does not have the question either and that's what I and I've said I expect If this doesn't pass committee what I'll end up doing is out putting it into an interim study and hopefully I'll have some cooperation into looking at how we can actually help my constituents that are having to pay so much money a month but not hurt the counties the issue with that assertion of address the seniors that puts two more years down the road with my you know people pay an eight dollars a month for nine one one service on a cell phone bill per line or however much it is five to eight I'm not opposed to that. At some point if we needed to a or their alternative would be to go into a contract. A contracted plan yes. Okay. Any other questions. If dot speaking against the bill is Jeff Perry. You would please come and identify yourself for the record. Mr chairman of the committee my name's Jeff area of the county judge and Salim county. May proceed thank you appreciate that appreciate the opportunity to speak so I'll try to be brief I'm really gonna talk with more about nine one one systems in my our experience certainly insulin County and talking with other county judges across the state and not necessarily the fees. You know really almost from its conception the nine one one system in peace apps across Arkansas I have always been under funded. I think in the original concept was to place fees on phone bills that would help pay for the system or at least part of the system. But they've always been under funded cities and counties have always struggled with a choice that they've had to make to either. Find the needed equipment and updated technology and respond to growth by adding personnel by either paying for it directly out of their over burden general fund or even a worse decision not at all. Personally I don't know of a peace sap that because of this extra funding is revenue neutral now if they are most likely it's because they don't feel like they can pull the funds other over burden general funds and so they're making some decisions to not upgrade their technology to not upgrade their P. saps and the radios that are much needed. And that's certainly what response what because in responded to the twenty nineteen public safety act that the bill that we talk about just a few minutes ago and representative gray in many of the other people that are in this room here today were were certainly responsible for providing that landmark bill it's been very very vital to the peace apps across the state. My former predecessor a judge five now said a representative fight I was very vocal when he was a county judge and pushed hard for a consolidated peace after installing County. Now because of local politics and personalities that never came to fruition. But soon after this that bill the twenty nineteen public safety act was passed city amendments lane county participated in a study by a outside consultant to come in and look at our P. saps and tell us the good the bad the ugly things we're doing great things we need to improve on and what our future need to be because of the growth that we've been having over the last two decades. And it was that bill that really. Sparked that. Kind of move between selling County in the city of Benton and probably never would happen had that landmark twenty nineteen public safety act ever happened. In July of twenty twenty. Slane county and the city have been consolidated our peace apps. And we've been consolidated Eversense. And really. In the last eighteen months because of the funding that the twenty nineteen public safety act provided that we were able to do a little bit over a million dollars worth of needed improvements that had previously been planned to take five to seven years. See when you're underfunded like cities and counties are with regard to peace apps you have to plan ahead of time five seven sometimes ten years out to make sure that you have the funding that is actually needed to provide. The at the finding this to purchase the needed consoles radios CAD systems. Many of the systems there actually will tell you that have to be upgraded every five years. Every five years you're looking at expenses like six hundred thousand dollars for new consoles which we recently spent part of that million dollars. We went from a expedited plan a five to seven to an expedited plan of eighteen months and now we're planning for those next upgrades that we're going to need at a faster pace and because of our growth for example that council that study that was done said that we needed to add a new positions now. Not five to seven years but now but we couldn't do that. But now we can start planning to do that instead of five to seven years we can start doing that in the next eighteen months to twenty four months to maybe maybe not be started much as thirty six months. So yes we we got funding great greatly and increased certainly and selling county the city of Benton to go into Arkansas eighty piece at. R. twenty twenty one budget currently is set at two and a half million dollars. Which is pointed out to be exactly the same. As it was before we between the city of been in the county before we consolidated. But our funding from the state which was increased is one point four. So that over one million dollars is actually coming directly out of our general fund this obviously overburdened just like everybody else is our city or county doesn't matter. So again cities and counties are faced with trying to decide do we have the money within a general fund. Who we gonna cut out of money that we normally find in our general fund. Or should we buy this needed equipment for ad online and provide more consul spaces we get more employees in here so that we can actually answer that phone call. So I realize the the difficult situation that representative gray is in and and if you as well my only point is we're we've been in a difficult situation for years and struggling with that and we still are. And so that's I would love to see a solution that worked out in the long run where it was Eight people across the board I get that. But again we've been facing those tough decisions yearly on a daily basis. On choices whether to. Make sure that we per able to provide our public with the kind of nine one one system that was there when they needed it and that's something those three little numbers of nine one one is something you don't really ever think about. And so you actually have to punch him in need and then you want to work. And you want somebody to be there on the other hand you want to have the technology at their hands the expertise to be able to get you the help that you need at the time. So I think that the twenty nineteen public safety act was certainly a step in the right direction I think this bill is a step in the wrong direction. Thank you yeah would you be willing to take a question Sir okay representing Bryant you're recognized question thank you Mr this I guess this kind of two questions the selling county have a. Statutory rule or by ordinance capital reserve budget that you set aside and then when when the PSA passed last year that affect how you treated. Our other core court treated the capital expenditures so I'm going to try to answer what I think you're saying is we we obviously funded a certain amount out of our general fund already to cover the expenses in the nine one one and if we haven't lowered that because the funding that we that. We've we've actually just moved our plan up of the needs that we needed to make the improvements that are not on the system that we needed does that answer questions okay we have a lowered anything with. What we're actually putting in out of our general fund. They represent have you're recognized. Judge Robert Sir yes Sir Sir I spoke endment to all go with our share of Kevin molder of Poinsett County. And what he basically told me the floor space for the jail. The nine one one Loke was located inside there now. They didn't when he was working a budget he didn't worry about the floor space or anything he was just worried about that the folks any any had to work three people all the time. Twenty four hours a day now is that something that you hear a little bit of sure we here we here at all times you know we're we're very fortunate I realize how fortunate we are instilling council with the growing county that we have I can promise you this and and representative was great because it was right on her numbers of what she said was kind of fun and that's what we figured out to was this is going to be a twenty five percent cut in the revenue that we get from the state currently that's exactly right and that's what we came up with two but we're very fortunate selling council a council that is has the growth in the opportunities of of a different kind of potential revenue sources other than some counties in some cities. Well we don't have the advantage of taking care of and so those counties and cities in my opinion will certainly be. Have your impact is then we will and certainly is a concern of mine yes we we're we're actually very fortunate but we operate in the basement of a building that used to be An old furniture store. And we're happy to have it. Follows. Okay reserve right you're welcome what I was gonna get in on that you know he was telling made that actually the money that came in was really about half of what it took to run operations sure does that sound about right but I just told you I go we we are are. Acted expenses our budget for this year is two and a half million the nine one one revenues that we get from the state is going to we estimate to be one point four. Thank you so it's right on Mr. Okay seeing no other questions we appreciate your testimony thank you very much. Of during one the here to speak for the bill. Against the bill now will have Robert Griffin speaking against the bill. Please identify yourself for the record you may begin. I will thank you Mr thank you members Robert Griffin Independence County judge and a friend of represent a growing. she's been in our facility we have a standalone facility is in a building that county paid off twenty thirty years ago the only thing we have to pay for is utilities and insurance in. The funding we have not decreased our funding local funding either. Just like judge judge Jerry. The county's putting about a quarter million a year into of local funds the funding has enabled us to increase the salaries of our people but that's still under the fifteen dollar potential minimum wage. So you have to consider the federal minimum wage kids that's going to be an additional hit to to our system. Our P. say up we have funded it hundred eighty thousand we have three stations and we're paying making payments even with the increased revenue were making payments on that. This year we had an unexpected radio a malfunction that the peace that was bleeding communications over to the remote officers they couldn't understand what was being said over the piece that that was an eighty four thousand dollars technological fix we went to the telex system. The overall implications the funding which was very much appreciated and represent a great appreciated you running the bill still do appreciate to members for for passing it it made a huge difference in our ability to put the best technology forward on a representative Grady amongst others have been in our P. set up she's personally even attested to the accuracy of our nine one one system to find somebody but it will pick up a cell phone it will tell you within feet of where that person is not a general broad landscape but it will pinpoint and she's pregnant too I mean I know she appreciates our nine one one system so the the key is the funding from the peace that. Right now funds our our salaries we have nine tele communicators which is what's required to run to the set out to consoles twenty four seven. When you consider vacation time and sick days and things look at it takes nine people so even though the top pay is less than the projected minimum wage we are barely funded within just a handful of thousands from the new nine one one funding and the last thing I will ask you to consider and and these papers here I've got the actual budgets in case you want to pinpoint and weeds I can tell you from the projections for the money come from I can tell you exactly what we're spending our money But the the last thing is the nine one one board is still putting forth rules of potential consolidations of precepts certain expectations of representative right they may not think that is the best practice to have a nine one one center in the jail and most the smaller counties are getting back but being able to do that and have dual purposes of the jailers actually performing dispassionate one one services so a a way to not cut the funding but maybe to equalize it certainly would be an attractive thing and but I can tell you the money's being put to good use I know representative gray can attest to that fact to and we're certainly not wasting it and we did not cut any local funding going into it I'll be happy to take any questions. Any questions. Seeing none we appreciate your testimony thank you of and we have no one else the speak for the bill so up next the AJ Gary. Speaking against the bill. All right let. Please identify yourself for the record you may proceed then. Good afternoon AJ Gary I'm the director of the Arkansas division of emergency management and I appreciate the opportunity to to speak and and I want to say that I appreciate all the work that representative gray did on the original bill I wish we could have had an opportunity to visit before but you know I understand the the busy schedules and that I know there's there's other people that are spoken about the impact to the to the nine one one centers to the counties into the city so I won't rehash that the couple of parts that that I do want to touch on is the last section of that which is of of this bill which is number two which states that entities under subdivision eighty one of this section are subject to the decreased amount of collection under twelve ten three twenty six on an equal basis and. What that tells me is that the a what a win portion of that in the class to portion of that commission on law enforcement standards and training that does the training would also be reduced by that what I had calculated twenty three percent but now here it is it may be closer to twenty five percent so would two things and and the first one on a class that would reduce that training for the dispatchers. So the chances are they would not be able to do the training that they do with the twenty three to twenty five percent decrease in those findings. And before I touch all may win part. When this the original bill was being drafted there was a lot of people worked on this including myself association counties municipally work with representative gray when we were doing the wording on that and we added a win in to it we discuss that that two million a quarter or that eight million a year the reason it was separated out is because we knew that that was for upgrades to the A. win system that everybody knew that was needed very badly. I also knew that we would have to enter into contracts with Motorola and that that would also be tied to a bond that's why I was separated out from the other percentages the other parts of that bill. So that even when the first projections on on what that revenue would be we knew that we had that eight million set aside that would be able to find that so in just looking at that those numbers and and what I've heard even today that's about two million a year that would be taken are out of that a win funding that would have to be made up somewhere because we have to make our obligations is not only to the maintenance for the wind system with those contracts but also to the bond that is funding the entire upgrade to the eight when system so I certainly understand what representative gray is doing and again I appreciate all the work that that she did on the original bill. But that impact is is huge and and that's just a first glance at it and I did not see this till like was filed day before yesterday so. I'll answer any questions okay represent college you're recognized. Thank you Mr chair could you just give me a sense director and I we kinda looked at some things one thing I was involved with the session as far as things that we can do with our nine one one systems can you give me a comparison to where we stand as a state compared to other states as far as where we are with our nine one one systems we behind are we about level with where the states are you have that information that I died don't readily available I can tell you just from from my experience and and and and kind of give you my opinion if there that's good enough but it depends on the other state you look at I think we're of as far as what we're doing now with the nine one one board what which was put in place with this original legislation that board is and as Adam director by legislation I chair that nine one one board they are working very hard on not only the consolidation peas but also on the E. S. I knew that that would bring next Gen nine one one statewide and fact the committee of the board members were working all day today on reviewing the R. F. peas for that piece of it. So you know we're. We're ahead of some other states and we're behind some other states as far as what we need to do with nine one. Well correct if I could follow up real quick I guess I'm trying to get at is this additional money that was over and above what was anticipated in the bill last session is it something that you feel is needed and can you tell me about why it's needed if so. Well that's fine yes it's absolutely needed and I I think the the the county judges that are spoke earlier and and and some others that he or he or speak out of more than more than I could but we all know that nine one one centers for for a long time we're very much under funded and everybody was really excited about this regional bill two years ago that would would increase that funding it doesn't a hundred percent find the peace apps but it has helped tremendously on that and we know there's going to be additional costs as we get into the next year nine one one With the. DO you G. nine one statewide we're just getting into what those costs will be. Okay I representative baby you're recognized. The director Gary that it's that was one of my questions I was wondering if anyone from the nine one one board was here in the U. S. chairman so what plans have have you made as a board for the reduction fees that would affect the nine one one board because it my original reading of fifteen sixty four what I think ACT six sixty now eighty three point seven five percent of those monies collected or are I guess paid out to the seventy seven different safety answering points throughout the state so what you know after seeing this what steps would you have to take at the nine one one board to address your operations and your findings there that board. Well it would it would reduce the amount of money that is being sent out to the P. saps and we uh the executive director of the of the nine one one board is here who who actually you know rights to check sends that money out but it would it would reduce the amount of money that's going out to them follow up. Well I I guess I'm I'm look at that states that roughly sixteen point two five percent that's left and if so the for sixteen point two five percent is the operation of the nine one one board that stated that that is kept there for the operation of of of the board and their expenses am I correct on that I know portion this money went to state police at one time and. And I'm assuming when you say it'll be equally affect all those parties that receive monies they will be in effect there to. Representative Beatty I think we have the nine one one board director here would you like to invite him up. Yes Mister chairman okay if you would. If you would please identify yourself for the record thank you Mr chair thank you members C. jingle had secular Director of the Arkansas no one board to kind of clarify I think what what you're asking is the eighty three point seven five percent specifically is distributed to the peace apps across state of Arkansas. Fifteen percent of the fees are set aside to pay the monthly camera trucks out and not get too technical but the to pay the wireless local exchange carrier bills up for the wireless side of the house for the peace apps across the state of Arkansas so that's anywhere from four five million a year that we're paying out on behalf of the peace apps that fifteen percent and then that's also to be set aside as required in the ACT six sixty from twenty nineteen to help procure and fund a next Gen on one system AS in that action corps Services which as they just say we are in the current process of procuring a vendor to do so that the you know that's a several million dollar project there that that fifteen percent would also be going towards the board utilizes one point two five percent for operations yes you're recognized for follow up what what balances I'd not I think somewhere in that forty three page bill there was a mention about of the trust fund or something something that was was going to pay for the system you're talking about you know what the balance might be in reserves right now so the so the way that actually what works is the trust fund is not set aside the money goes directly to the trust fund and then the trust fund after taking out the two million a quarter the class fees once they do that then they distribute that to the board and that's the money that we send out or keep fifteen percent for next Gen. Okay. Represent all. I had a question for director Gary but I just wondered what the length of the bond was that you all did with Motorola. Your thank you. Thank you representative image use me Mr I'm we have a question for you representative Perry do you. Thank you Mr chairman can the piggyback off of representive hall is so how did this formula what where does the bond payment come from the. how to that day when section one part of it yes Sir it's two million per quarter that goes up for a win so how how that is what the bond in the maintenance and and other things are are coming out of it mainly the bond and my. Okay what what was originally meant of the bond. Roughly. In the link then the interest rate. About ninety five million I think a twenty five year bond okay and what interest rate was at. Hi hi NO I did offer you no doubt you know a lot of school districts or reef finance and their bonds to free of debt at something maybe look at that see I interest rates are. Yeah this is this is a very new act I do know that and we were told that the you know based on all this it was a triple a plus I think I've got that right bond rating with which was very good. Thank you. Okay any other questions of these witnesses. If the. Representative Paul did you have another question. Okay all right you're you're dismissed we appreciate your testimony thank you. Of. At this time we have Josh Curtis. Please identify yourself for the record you may begin. Thank you Mr in committee my name's Josh Curtis Association Arkansas counties Is pretty tough for me right here because you all know how hard it is to pass the bill just a simple little bill it's very hard pass this is a bill last and the last session that it took two years of planning it took getting all sorts of different associations happy it took talking to members it to I spent countless hours represent and show great and so this kind of this kind of tough for me to be filed against her bill I do want to say a couple things. the prepaid charge before this bill passed last session was a transaction fee then it got changed to the ten percent so we we start our proposal just wanting to double every fee just double it and then we that would suffice as well in a wind came along and they needed some money and I thought this would be a good revenue stream for bond we decided okay we'll go from doubling the pre paid to ten percent and y'all can have eight million dollars these are so many negotiations happen you mention a thirty seven page bill represent Beatty there I mean this Bills analyze left and right we had to amended the middle session so it was it was super super hard to get it done publicly want to thank rex in gray for all her work on this but as you here we have cents plan for all this revenue that we we have we have cumulated and we're not cutting back on local funding we are still use our local funds that that go to all sorts of things for counties cities are doing the same thing so we plan for that we've made changes we've hired the appropriate amount of staff and many P. saps I hear another county with several P. saps being of consolidating I've been Crawford County they're they're looking at it so there's several reforms that happen and we want to continue the good the good work this is a huge cut I mean I I got some numbers here representative Beatty your your district lose a hundred thirty thousand representing Nicks a hundred eighty thousand that I could just go on and on it's it's a big cut I wish there was a better solution and represent great talking about a better solution there might be one out there but working with the telcos we haven't. Been able to come up with a better solution so that's mine testimony that once again I one thing represent gray for all her hard work last session. Okay revenue might take any questions yes Sir okay representative Bryant you're recognized. Back during that. This bill ten twenty nineteen did we what you said we have from transactional to a to percent mmhm did we know the numbers back then as far as what what kind of transactions we are occurring so so we didn't know the when okay so it was a transactional fee when the announcmenet was above five dollars so we knew we had a ballpark number of what the transaction work the sides under five dollars and that might have been under ten dollars I'm it is one of the two so I think if they took the transactional fee and try to come up with the range of twenty dollar card because we never even heard of these prepaid plans last session a twenty dollar core to thirty dollar card and forty dollar card and they came up with averages on the and Mr gangs here to speak on that I'm not have amassed a little off but they came up with three different scenarios and their even their most liberal scenario was extremely conservative now so but we we felt like you see all the prepaid cards in the stores we felt like they people were purchasing those at a high clip and the reason we ultimately went from a transaction fee to a percentage of the because somebody could by Rick Senator Rapert testified he purchased a two hundred dollar prepaid car whenever he went on a mission trip so. One trip transaction fee within sixty five cents so that can last a month or two months or three months but he still paying that same sixty five cents so that's reason we try to have a happy medium with the percentage that's what we came up with that there wasn't great dad on that I think the if they might testify that if they decide to come up but that's why we arrived at that number follow up yes so. So it on the regular legislation is I think represent great leader to the fact that the plans the prepaid plans that wasn't in your in your for thought that was it turns out of the bill would be if the plan that you go by your mind the phone by the plan because you don't want to. Go to under contract that really wasn't part of the east try to steer towards transactional fees going to percentage based just on cards represent brown I'll be honest with the there's you know all the telecom lobbyists there appear nobody wants told us there were such things a prepaid plan all of our discussion was prepaid cards. Okay thank you. Represent very you're recognized. Thank you Mr chairman of. I don't know if you have the answer to this question but as far as The R. F. P. for the next Gen. System when will all of those being. Or will have an estimated cost on that I've I think I know but I'm not going to answer that question because there's somebody that I know for sure knows in the room and I think Mr Mr Ingle could answer that question okay would you come to the table again to strangle. Sorry to not get too in depth of the process because we are in the middle of it you know now I would expect that that process with the timeline that we're looking at looking at as far as what that process is or what that's going to cost preventers are would be will within the next is April two three in three months. Okay. All right thank you. Right any other questions. Seeing none create your testimony in my thank you Mr chairman and committee. Okay miss player. Okay. Where we appreciate that. Okay a rusty Memelland. You would identify yourself then you may proceed. Arresting and milling green county judge and member of the Arkansas nine one one board and I am glad CJ's here because he can help answer some questions if you have any for me I'll try not to repeat to much of what has already been said not connect a lot of the same sentiments I will echo what Josh said and say thank you to representative gray she championed a bill for us for our counties and our cities a couple of years ago and has been instrumental in allowing us to push forward with improving these necessary emergency services by way of call taking in in my time as county judge I came in in two thousand fifteen and in two thousand seventeen begin to understand a little bit more about our local nine one one offerings what we were dealing with we had a primary safety answering point which was Paragould city of Paragould in green county was that secondary we were. Not meeting the mark with with Greene County we would have one individual setting there at a time and if they had something else that they needed to do whether it be clerical or just excuse themselves to the restaurant somebody else would step in and set it that see to potentially answer a call in a few minutes. And I was uncertain if they were certified or not and so we begin to move forward with the consolidation I was thought from our county sheriff at that time of with being able to move forward but we're in a grade a much greater place now the city Paragould previous mayor might Gaskell was moving forward with building a new emergency dispatch center and so we are consolidated now and that is a is funded it is not fully funded from this amount but what we did look at is we we we expect expected maybe about twenty four million dollars from this bill a couple of years ago and what we have come up with now twenty seven million dollars so we're not I think that's what you're talking about while ago right difference is yes three million dollars a little over maybe a difference in what we have received and you already heard testimony from not having those real accurate numbers and and understanding prepaid verses call a phone with some type of a plan on it the next day of the board would stand to lose one point eight million for the next generations or what we're moving forward with we begin those interviews today we had three interviews with that come with companies that can provide for us this next Gen nine one one service of the as in that the network the infrastructure throughout the state. And we have four interview set up tomorrow and hopefully in the next couple of months will be able to choose or in the next few weeks will be able to choose who will provide that service for the state of Arkansas the loss for our peace apps will be ten and a half million after if this bill passes after that is fully implemented. And this revenue right now is something that we're from the board are looking at spending for a few the this network process as well as we've already partnered with the consulting group called federal engineering who last fall can last fall into the winter conducted regional meetings with peace sap owners dispatch centers and those interested parties that are are operating those and we will have a consolidation plan I'll be ready to present at sometime sometime after July so money has been dedicated to this at. Project and projects statewide and willing to sit down and and maybe discuss some possibilities in the future with representative private if we were to lose that that funding at this time that would greatly hamper the planning process that we're currently in and the implementation of what that bill has given to us as a nine one one board. Okay. It questions. So you know we appreciate your testimony. I have no one else who was signed up to speak for or against of is there. Representative. Right. Are you ready to close. Thank you Mr chair M.. So couple things and I and I did want to say to it I think I'd say that but what Josh said about the talking to you about the the prepaid that prepaid monthly thing. Was not something AT the telcos ever brought up we didn't know was a thing and so that's why I say we think that they just weren't being charged in the past so that's the unintended consequence of what I'm trying to fix not the prepaid cards or anything like that which can I have not been able to figure out a way to fix it So we were just talking briefly so the numbers that I have are different than the numbers they have select when I looked like a twelve month rolling average and like roughly twenty like two thousand eighteen almost twenty two million dollars have been collected in nine one one fees two thousand nineteen all I had was through October it was like nineteen million and then what I show collected on it the twelve month average the twelve months that I had after two thousand nineteen when it passed was like was fifty eight million and so that was like a difference in thirty seven million dollars and when I'd said we projected twenty four to me that was thirteen million more than what we had projected right so we were way over some I cut in this by fifty percent would have taken us right to where we should be and And then the addition I want to say this the addition of set aside at the cut would be shared equally was something I was asked to put the bill it may have been a technique to try to kill the bill and that's fine it is what it is but my tent you know my intent to hurt anybody my tents to trying to fix a problem that we had and so I you know I'll say today. Just for my constituents I want this bill if the bill school failed I want to fail I don't want to pull it until it fails right so I can say I ran it I try to get my word I did what I said if it does fail. I would put it interim study and hopefully we can try and figure out how to address our constituents concerns because it's got got representative Womack wanted to file a bill that totally did away with some of the fees representive Lundstrum representative eaves representative Vaught I mean I can keep going with all the people that have been contacted over this so hopefully maybe in the interim we can come up with something to address it. What I don't want to happen is Watson and I appreciate I mean everybody's been great here today but what I don't want to happen in the interim is for ray say again don't touch my funding right so you're make you're getting more than what what we projected my constituents or have some unintended consequences and that I would hope in the interim we could figure out a way to address my issue without hurting everyone to buy stock and I'll put it that way and I'm closed okay. Do I have a motion. Yes representative Scott which motion. I have a motion to pass. Any discussion on the motion. Senate Bryant yeah I'd I'd just throw in some discussion just doing. Simple math and and then I was reading previous the statute those adoption twenty nineteen B. two telephones other devices that are low loaded with prepaid wireless minutes I'm I'm not a prepaid wireless shopper of I do that the contract to stay on the program I'm not sure if if the carriers could. Change that I don't know some carriers don't say All minutes run limited. You know and I don't know if the if they categorize that is it still prepaid there's no contract I'm not sure the ins and outs that but if if I'm paying a dollar thirty. Where I go and walked to Walmart and get a prepaid phone that was the cheapest plan eighteen T. is is thirty dollars you know it's three dollars the pain I I think that the bill has some some severe disparities that were unintended consequences I wish it was earlier in the session. So we can move this I think it's the pull the rug out from the counties is is to to sweeten two severe but I definitely would support and study to get to get the balance right because I think it is truly unfair that this is that the consequences. Okay any other representative baby. You know this this bill I guess when passed in twenty nineteen effectively what doubled the cell phone taxes and the state may just the sixth highest in the nation I think with the federal and state taxes were almost twenty five point four four percent and this was you know again a campaign issue I know that it was mainly a a parson. Bill but you know it's here now and and the counties I echo what a representative Bryant said the counties and and other areas of the state even the state police and and the funding there so I'd I would hope that we could find a solution That would replace some of this funding maybe not on the backs of of our taxpayers I think we COVID nineteen and the pandemic I think a lot of folks maybe that some of the increase we had with folks having to rely it specially in rule areas where broadband and other things or we didn't have so they may have been utilizing prepaid services more just to stay in contact and in and to keep up with things in the world so I understand where you're coming from I know the constituents I know the taxpayer's but I know everyone in this room is had that call from that county judge and that hundred thirty yeah and that that that hundred thirty thousand act I think I can give you to the penny because that they call two or three times since it's text messages so I I I I think we can find a solution I just don't think this is the right solution right now represent okay. A representative Holcomb. Well I'm just going to echo what the to representative said for me and I I understand what representative graves is doing she did exactly what she said she was going to do but having been a former county judge and try to run a nine one one program and and keep people and keep the upgrades and have the breakdown of the unexpected things are happening. And the. you know I heard Independence County and and the sealing cages say they put in millions into the program themselves and of being a representative of over five counties that are financially strapped already to just flip the switch on them with with without any for notice of a. Even though what what budgets we have there are small budgets and even if they take a small cut to small county that's a big hit so I understand what we're trying to do but I would ask that that we that we. We put the center study get a chance to work with the judge or work with the nine one one board let's come up with a with a plan that that works for everyone let's look and see correct that some changes since we implemented this law we've had a lot of change in our phone service we're gonna have more technology over the next few years things are going to change so let's have an opportunity to work together and try to come up with something that will be beneficial to the consumer for what they're paying and also what will will benefit our nine one one programs which are so important and will be so devastating to a lot of our counties thank you. They represent okay any other questions. Right all in favor of the motion say aye. Those opposed say no. Sorry your bill has failed. Yes. Okay hi. Thank you representative correct. Case senator Wallace it up I apologize for the weight. okay you have Senate bill six twenty four. And senator Wallace I think the. I thank the shorter the better or presentation. Mr thank you for let me be back here in the House it's good to see the members here. Members I am center Dave Wallace district twenty two sitting beside me is the Arkansas regional chief of staff Austin booth Austin is a combat veteran major marine corps. I was a I am a combat veteran Vietnam here and there's one other than your combat veteran in this movement that's your chair person right up there. Lanny Fite. Members this is a good bill it's a bill that will help our our veterans. When a veteran Air Force marine corps army when you come out of of your branch of service. You're lost. Yeah you really have been away from the civilian world long enough you don't really understand everything about it. It when you turn the VA and our federal VA and there's a lot of really good people working there it's a maze. It is very hard to understand they have. Guidelines reckless regulations and they feel books this thick and there's there's hundreds of them. Many of our young veterans there are combat veterans so we said Hey join our service join the marine corps joined the army. Fight for your country it will take care of you when you get out. Love those young men don't even have and women don't even have a high school degree. So for them to be able to comprehend. A book that fix and that's just one book it's very very difficult and so the person that holds your hand and guides them is the county veterans service officer. We have seventy three seventy five counties we've got seventy three veteran service officers. In Arkansas. And what this bill does is it provides an extra four thousand dollars a year that we're going to give to each county. And that will will. What is really a very poor paying job make it a little bit better paying job and we'll get people that are really dedicated there there now will help them out it would help of interest in the long run. There's more protections to this I just came from running a bill over the Senate side and I don't have my good looks like I did what I read in the Senate so if you don't mind I want to ask me to Austin booth to carry on. Thank you senator Wallace the like Senator said I'm Austin whose chief of staff for the Arkansas department of Veterans Affairs the only thing that I would add to that summary of this bill is that it will actually create an incentive structure for the county better service officers and this supplemental funding if they are accredited by the VA then they will get five hundred dollars per quarter and if they maintain access to and proficiency in the web based benefits benefits management system and I'll be an additional five hundred dollars per quarter two thousand dollars per quarter over the course of a year even rain can do that math. So I have. Okay represent college a recognized. At the risk of everyone being mad at me for belabor the point here and stand sticking around I just want to understand this is four thousand dollars to each county so three hundred thousand dollars is that right that's correct and that money is appropriated or not appropriated or where's it coming from it'll come from general revenue and twenty three and a question mark for for twenty two this is the reason as to the question is we went to the governor about. I guess six weeks ago now it hit three to help us with the three hundred thousand dollars service sets it up and then it'll get funded down the road section thank you. The representative office you're recognized. Thank you senator Wallace thank you for your service I just wanted to know my question is did you know that J. P. Bryant is a rat better and also of the marine corps is an infant ecet Afghanistan and the tax correct this free service. I did not know that. Okay representative right you're recognized sure thank you senator Wallace. Thank you for being here Sir. Senator Wallace if if this bill passes we got a crackerjack of a fellow in Poinsett county and Terry long he. It's four thousand dollars but he he only makes about twenty thousand dollars here this would help him what is that right absolutely okay absolutely. Yeah motor veteran service officers. Our offense to all veterans mmhm many of them of not all of our combat veterans they're doing this to help their fellow veterans and and folks I will tell you that I've been there about a deal with vision services I retired from the military our kids come out. In they get lost in the VA system. And if we can help somebody that will help them. This is a good bill. Okay representative Beatty recognized this motion at the time Mr okay any other questions. yes representative Scott you're recognized just going to make a motion. Oh okay represent war. Quick question for you what were the numbers that are being served. Through these County assessor we have about one hundred and ninety five thousand veterans in the state okay I I have served as a federal fiduciary for veterans for many years now and just after I got of trust business of handled for and sometimes the questions are endless this is a great deal guys so thank you for doing this. Okay any other questions by committee. If the dog is there anybody here to speak against the bill. For the bill. Senator Wallace closed is closed for the bill what's the wishes of the committee. Yes I have several do pass is there any discussion on the motion saying none all in favor say aye. All right congratulates you pass your bill. Okay committee. Eckley FOR you leave everybody. I hate to say this but they will probably have to meet Monday momentarily.