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HomeMy WebLinkAboutR2004-034RESOLUTION NO. ~c~OD~'- 0~' A RESOLUTION APPROVING THE FISCAL YEAR 2005 FINANCIAL PLAN (BUDGET) OF THE DENCO AREA 9-1-1 DISTRICT, PURSUANT TO TEXAS HEALTH & SAFETY CODE §772.309 AS AMENDED; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Denton has been presented the 2005 Draft Financial Plan (Budget) of the Denco Area 9-1-1 District for approval, in accordance with Tex. Health & Safety Code §772.309 (Vernon 1999) as amended; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION 1. That the City Council of the City of Denton hereby approves the 2005 Fiscal Year Draft Financial Plan (Budget) of the Denco Area 9-1-1 District attached to this Resolution. SECTION 2. That this Resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the ~01~'day of (~, ,2004. EUL1NE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY DENCO AREA 9-1 - 1 DISTRICT FISCAL YEAR 2005 DRAFT~ FINANCIAL PLAN Denco Area 9-1-1 District Fiscal Year 2005 Financial Plan Section I Preface DENCO AREA 9-1-1 DISTRICT P.O. Box 293058, Lewisville, Texas 75029-3058 PhoneFFIY: 972-221-0911 · FAX: 972-420-0709 · Web Page: www.denco.org Denco Area 911 District Participating Jurisdictions Date: June 3, 2004 Subject: Denco Area 911 District Fiscal Year 2005 Financial Plan The Denco Area 9-I-1 Dish'ict's Board of Managers, at its June 3, 2004 regular meeting, approved the "DMZ" Danco Ama 9-1-1 District Fiscal Year 2005 Financial Plan and authorized district staffto forward it to all participating jurisdictions for consideration. Fiscal year 2004 has been a very productive year for the Denco Ama 9-1-1 District. Major accomplishments during the fiscal year includes the following: The district completed its deployment of Phase 1I enhanced 9-1-1 wireless service. Denco used the financial resoumes available to it to be one of the first in the nation to provide this service to its constituents. Phase II provides 9-1-1 telecommunicators with the approximate location of wireless callers. More than 60 percent ofthe 9-1-1 calls in the district are made fi-om wireless telephones. With the deployment of Phase II, Denco increased its public awareness of the proper use of wireless phones for 9-1-1 and focused much of its training efforts on providing dispatchers with better tools for responding to wireless 9-1-1 calls. A third major accomplishment in 2004 is the development ora business continuity plan that will minimize the effect ora major disaster on district operations. The efficient use of its financial resources in fiscal year 2004 will allow the district to remain financially strong as it continues to provide state-of-the-art services to the Public Safety Answering Points (PSAPs) it serves. The district will be able to rebuild its reserve funds to help pay the balance it owes for Phase II services. The enclosed 2005 financial plan provides for additional enhancements to the current network that will minimize outages during a potential disaster event. It also funds the balance it owes for Phase II services and thc addition of PSAP answering equipment at Denton County's new Emergency Operation Center (EOC). In addition, the budget provides for an upgrade to existing 9-1-1 answering equipment that will provide tools that will better assist call-takers in processing emergency calls. The Denco Area 9-1-1 District is here to serve its member jurisdictions. The district's mission is "to assist its member jurisdictions respond to police, fire and medical emergency calls by providing an efficient, effective enhanced 9-1-1 emergency telecommunications system". Denco continues to provide more services each year at the same wireline telephone service fee rate since its beginning in 1987. Please call on any board member or the district staff if you have any comments or questions concerning this proposed budget. The district's executive director, Mike Pedigo, would welcome the opportunity to make a presentation to your governing body regarding this budget or any other Denco related matter. Again, thanks for your support of the Denco Area 9-I-I District. Chairman, Board of Managers 1075 Princeton Street, Lewisville, Texas 75067 DENCO AREA 9-1-1 DISTRICT P.O. Box 293058, Lewisville, Texas 75029-3058 Phone/~TY: 972-221-0911 · FAX: 972-420-0709 · Web Page: www.denco.org To: Denco Area 911 District Participating Jurisdictions Date: June 3, 2004 Subject: Denco Area 911 District Fiscal Year 2005 Financial Plan Enclosed is a "draft" copy ofthe Danco Area 9-1-1 District Fiscal Year 2005 Financial Plan for your jurisdiction's consideration. Chapter 772.300, Texas Health and Safety Code, requires emergency communication districts to send a draft budget to participatingjurisdictions seeking comments. After a 45-day review and comment period, the district's board of managers will consider approval of a final budget. Denco's draft financial plan provides for the continued provision of state-of-the-art enhanced 9-1-1 services at the same rate that Denco has collected from district residents since its inception in 1987. The emergency service fee, collected by wireline telephone service providers is $0.27 per month for residential, $0.71 per month for business service and $1.13 per month for PBX trunks. This fee is equal to three percent of the 1987 base telephone rate. Denco continues to provide excellent services to its member jurisdicfions at one of the lowest rates in the state. In addition to the emergency service fee collected by local telephone service providers, the State of Texas collects $0.50 per month~ per wireless telephone. Those fees are remitted to the state. The state then sends a portion of the wireless fund to Denco based on the district's percent of the total population of Texas. The 76~h Texas Legislature passed House Bill 1984 which defined the budget approval process for Chapter 772.300 series emergency communication dis~icts. The following documents are included in Section 5, the Appendix of this financial plan, defining the policies and procedures as well as the statute under which the district operates: A copy of the Denco Area 9-1-1 District Mission, Values and Goals Statement. A copy of the section in House Bill 1984 that pertains to budget approval. A copy of a resolution approved by the Denco Area 9-1-1 District Board ofManagers defining procedures for consideration and approval ora budget. A copy of the budget approval policy that provides for amending the approved budget. A copy of Texas Health and Safety Code, Chapter 772.300; the statute under which Denco operates. Even though it is not required for your governing body to vote on the budget, Denco requests that you review the budget and provide feedback prior to the August 5, 2004 district board of managers' meeting. At that time the board will approve a final budget for fiscal year 2005, which begins October 1, 2004. If there are no changes to the draft budget, the district will notify its members that the budget is approved. Ifthere are any changes, the district will request each jurisdiction to approve the final budget and a copy of that budget will be sent to the governing bodies ofparticipating jurisdictions for consideration. If, at any time, you have any questions or would like additional information, please do not hesitate to call me at (972) 221-0911. Thanks for your continued support of the Denco Area 9-1-1 District. Michael L. Pedigo, Executive Director 1075 Princeton Street, Lewisville, Texas 75067 Denco Area 9-1-1 District Fiscal Year 2005 Financial Plan Section 2 District Overview DENCO AREA 9-1-1 DISTRICT DISTRICT OVERVIEW Background Information What is Eg-l-1 ? Enhanced Nine-One-One (E9-1-1) is a single, easy-to-remember number used when reporting emergencies to fire, police and emergency medical service providers. The E9-1-1 system, operational in the Denco Area 9-1-1 District, is designed to.automatically route any 9-1-1 call, placed from a telephone instrnment (including wireless) within the district's geographical boundaries, to the proper public safety answering point (PSAP) responsible for dispatching emergency services to the caller. 9-1-1 Terminology 9-1-1 (Nine-one-one). An easy-to-remember, easy-to-dial three-digit emergency telephone number developed to provide citizens a reliable, fast and convenient way to access fire, police, or medical service providers in the event of an emergency. District (Denco Area 9-1-1 District). The entity that provides enhanced 9-1-1 service in Denton County. A board of managers appointed by participating jurisdictions governs the district. The district serves Denton County and all of the City of Carrollton. E9-1-1 (Enhanced 9-1-1). The system that is operational in Denton County providing SR, ANI and ALI (defmed below). District Overview June 3, 2004 GIS (Geographic Information Systems). The technology used to develop the mapped display of Denton County. PSAP (Public Safety Answering Point). The location of the equipment used to answer 9-1-1 emergency calls. The following are the twelve (12) PSAPs that are currently capable of answering 9-1-1 calls in the Denco Area 9-1-1 District: City of Carrollton Police Department City of Denton Police Department Denton County sheriff's Office Town of Flower Mound Police Department City of Highland Village Police Department City of Roanoke Police Department City of Lake Dallas Police Department City of Lewisville Police Department City of The Colony Policy Department University ofNorth Texas Police Department Texas Woman's University Police Department Denco Backup and Training PSAP SR. (Selective Routing). The system that provides automatic routing of 9-1-1 calls based on the caller's location to the appropriate PSAP. The caller is not required to determine which public safety agency to call. ANI (Automatic Number Identification). The feature that provides the caller's telephone number on a console at the PSAP. ALI (Automatic Location Identification). The feature that provides the caller's name and address on a computer monitor at the PSAP. District Overview June 3, 2004 Database. The information accompanying a 9-1-1 call at the PSAP. The information provided is the caller's name, address and telephone number, as well as the emergency service providers designated to respond to the caller's address. Public Safety Telecommunicator. The individual answering the 9-1-1 calls; trained to communicate with persons seeking emergency assistance and with agencies and individuals providing such assistance. Phase I. The Federal Communication Commission (FCC) mandate to the wireless telephone industry and %1-1 requiring the proper routing of wireless 9-1-1 calis to PSAPs and the provision of the callers' ANI to the telecommunicators. Phase Il. The feature that provides the approximate geographic location of wireless callers, in addition to the FCC's Phase I enhancements. IWS. Integrated Workstation. The computerized 9-1-1 answering equipment provided by Denco. The equipment has the capacity to include dispatcher tools in addition to the 9-1-1 function, such as computer-aided dispatch, paging, mapping, etc. Denco has 52 integrated workstations at its 12 PSAPS. District Overview June 3, 2004 Benefits olEg-l-1 The E9-1-1 system has enhanced the ability of emergency service providers to save the lives and property of citizens in the Denco Area 9-1-1 District. Some of the direct benefits of the emergency communications system provided by Denco are the following: Only one three-digit number to remember in an emergency situation. The 9-1-1 call is routed to the proper agency responsible for dispatching help to the caller. Trained telecommunicators answer 9-1-1 calls. (In the Denco Area 9-1-1 District, telecommunicators are trained to provide emergency medical dispatch, thus reducing response time for medical emergencies.) Telecommunicators have the equipment and training necessary to communicate with hearing/speech impaired callers. The caller's name, address and telephone number, as well as the proper fire, police and emergency medical service designated to respond to the caller's address, is automatically provided to the telecommunicator, thus reducing total response time. In the event the caller is unable to speak, the telecommunicator has the ability to dispatch help to the callers location that is provided by the E9-1-1 system. ANI/ALI information provides a means to control and reduce prank calls. The public education programs associated with E9-1-1 promote citizen awareness and involvement with emergency service providers. District Overview June 3, 2004 The E9-1-1 system enhances local government's ability to meet the ever- growing public expectation of emergency services created by popular television programming. The E9-1-1 system is designed to allow PSAPs the ability to directly transfer a caller to another public safety agency or poison control center. The E9-1-1 system will identify calls from wireless phones, advising the telecommunicator to ask proper questions to determine the location of the emergency. Phase I provides the caller's telephone number so that the telecommunicator has the ability to reconnect if the call is terminated. Phase II provides additional location information to telecommunicators. The system has the ability to identify telephone companies serving 9-1-1 callers, thus streamlining the process for reconciling routing and database errors. Formation of the Denco Area 9-1-1 District Legislation During its 1985 legislative session, the 69th Texas Legislature passed Article 1432e (Section 772, Texas Health and Safety Code), Emergency Telephone Number Act, which provided for the creation, administration, expansion, funding and dissolution of emergency communication districts in certain counties in Texas. The Emergency Telephone Number Act is the legislation under which the Denco Area 9-1-1 District operates. District Overview June 3, 2004 Purpose Section 772.302, Texas Health and Safety Code states the purpose of the Act to be the following: To establish the number 9-1-1 as the primary emergency telephone number for use by certain local governments in this state and to encourage units of local governments and combinations of those units of local government to develop and improve emergency communication procedures and facilities in a manner that will make possible the quick response to any person calling the telephone number 9-1-1 seeking police, fire, medical, rescue and other emergency services." Creation ofDenco Area 9-1-1 District On August 8, 1987, Denton County held a special election to confmn the creation of the Emergency Communication District of Denton County and authorize a 9-1-1 emergency service fee, not to exceed three (3%) percent of the base rate of the principal service supplier per month, to be charged by the district for the purpose of establishing and maintaining E9-1-1 in Denton County. By a margin of 13,086 to 3,024, the voters favored the creation of the emergency communication district. After the special election, the city and county governing bodies within Denton County passed resolutions of participation. The resolutions stated that the city or county would become a participating jurisdiction in the district pursuant to the provisions of the Emergency Telephone Number Act. District Overview June 3, 2004 The participating jurisdictions of the district are the following: Argyle Hackberry Little Elm Aubrey Hebron Marshall Creek Bartonville Hickory Creek Northlake Carrollton Highland Village Oak Point Clark Justin Pilot Point Copper Canyon Krugerville Ponder Corinth Krum Roanoke Corral City Lake Dallas Sanger Cross Roads Lakewood Village Shady Shores Denton Lewisville The Colony Double Oak Lincoln Park Trophy Club Flower Mound Unincorporated Denton County On December 8, 1987, the district's board of managers ordered the levy and collection of the emergency fee to commence with the January 1988 billing cycle. The board ordered the service fee, collected by the telephone companies, to be charged at a rate of three (3%) percent of the base rate of GTE Southwest. The emergency service fee for basic levels of telephone service charged to customers in the district was capped at 27 for residential customers, $.71 for business customers and $1.13 for minks. (The same cap remains in effect today.) On June 28, 1988, the board of managers named the Emergency Communications District of Denton County, Denco Area 9-1-1 District. Organizational Structure Board of Managers. The board of managers is the governing body for the Denco Area 9-1-1 District. The county, participating cities and the Denton County Fire Chiefs District Overview June 3, 2004 Association appoint the board. Board members serve staggered two-year terms and are eligible for reappointment. The current board of managers is made up of the following members: Board Member Represents Mr. Jack Miller, Chairman Denton Cotmty Commissioners Court Mayor Olive Stephens, Vice Chairman Participating Cities Mr. Harlan Jefferson, Secretary Mr. Lewis Jue Chief Lonnie Tatum Mr. Keith Stephens Participating Cities Denton County Commissioners Court Fire Chiefs Association Verizon, Advisory The Emergency Telephone Number Act states, "the board shall manage, control and administer the district. The board may adopt roles for the operation of the district." The legislation also allows the board to appoint a director of communications for the district who serves as its general manager. The director, with approval from the board, provides for the service necessary to carry out the purposes of the Emergency Telephone Number Act. The Denco Area 9-1-1 District's staff is responsible for performing all the duties that may be required for the district to accomplish its mission within the framework provided by the board. The "Draft" Denco Area 9-1-1 District Fiscal Year 2005 Financial Plan provides for eleven full time staff members that provide the planning, operations and maintenance functions for the district. The organizational structure ofthe district includes tkree direct service program areas that serve the 9-1-1 PSAPs and emergency service District Overview June 3, 2004 providers within the district. Included in the organizational chart are names of staff members in each program area. BoardofManagersMikePedigoExecutiveDirectorCarlaFlowersBusinessManagerPattyCrossPublicEducation/TrainingManagerMarkPayne9-1-1SystemsManagerI District Overview June 3, 2004 Values The Denco Area 9-1-1 District pledges to uphold the following values: Value 1: Control of district operations is the responsibility of member jurisdictions and the board of managers. Value 2: Goals The district will provide the most reliable, efficient, cost-effective and proven state-of-the-art technologies available at the lowest service fee rate possible. The Denco Area 9-1-1 District has the following goals that support its endeavor to carry out its mission. Goal 1: Goal 2: Goal 3: Goal 4: Goal 5: Goal 6: To provide the policy, direction and control mechanisms necessary to assure that the Denco Area 9-1-1 District accomplishes its mission within the financial resources provided. To manage the Denco Area 9-1-1 District in an objective, efficient, effective and responsive manner. To increase public awareness of 9-1-1 issues and promote the proper use of the 9-1-1 system. To provide training programs which enable Public Safety Answering Point (PSAP) personnel to effectively use the 9-1-1 system. To provide and maintain a dependable, state-of-the-art enhanced 9-1-1 network. To assure that PSAPs have the most accurate, reliable and useable data at all times. 10 Denco Area 9-1-1 District Fiscal Year 2005 Financial Plan Section 3 Financial Plan Summary Summary of Cost Classifications DENCO AREA 9-1-1 DISTRICT FISCAL YEAR 2005 FINANCIAL PLAN SUMMARY Strategic Overview Fiscal Year 2004 During the current fiscal year, the Denco Area 9-1-1 District has dedicated most of its resources to fine-tuning the Phase II services that it has implemented over the past two years. Included has been a focus on tweaking the equipment, network, and database to best utilize the new technology. In addition, resources have been committed to provide the public with information as to how to best access the system, train the telecommunicators as to how to best use the technology and assist other 9-1-1 jurisdictions with the deployment of Phase II enhanced wireless 9-1-1 service. Due to the financial implications of Verizon tariff services, the district relocated its wireless database services to the SBC platform. The change in providers will save the district significant fmancial resources over the next four years. Denco has produced and distributed a new brochure that provides citizens with updated information about the services the district provides. In addition, information specific to the wireless 9-1-1 services in Denton County has been placed at local wireless retail outlets. The district has provided a series of"Wireless 9-1-1 Forums" to 9-1-1 call takers across the district. The training program gave the telecommunicators the tools needed to best serve their communities when answering wireless 9-1-1 calls. FY2005 Financial Plan Summary June 3, 2004 The Denco Area 9-1-1 District is the "Model Community" representing Texas in APCO's Project Locate program. Staff has shared its experience and expertise with other 9-1-1 providers across the country by presenting at national symposiums and providing copies of its public education and training publications to other 9-1-1 professionals. Another priority during fiscal year 2004 has been the development of a business continuity plan. For the past year, Denco has been formalizing many of the procedures currently in place and developing others that will mitigate the impact of a potential disaster. The district plans to complete the plan in 2004. The plan provides for the automatic storage of financial and records management information at a remote location, procedures that will assist staff assume responsibilities of other staff members in the event of their unavailability or untimely departure and procedures for responding when the plan is activated. Another focus has been the continued negotiations to resolve Phase II contract matters with wireless carriers. The Federal Communications Commission (FCC) has directed wireless carriers to deploy Phase II services in a short time frame. Because of the time limitations, contracts with some of the carriers have not yet been finalized. The district hopes to finalize those agreements in the current fiscal year. 13 FY2005 Financial Plan Summary June 3, 2004 Fiscal Year 2005 In addition to the normal services that Denco Area 9-1-1 District provides its constituents, the 2005 financial plan provides the financial resources to support the following objectives during the next fiscal year: Complete the service agreement negotiations and fund the balance the district owes the wireless carriers for Phase II services. Begin the deployment of a redundant network that will minimize the impact of potential network outages. Provide the additional equipment and services needed to improve the effectiveness of the PSAPs it supports. Monitor the 2005 legislative session and respond appropriately to any legislation that has the potential to impact 9-1~1 district funding or services. Upgrade the equipment used in the schools to educate children on the proper use ofg-l-1. Sponsor additional "Spanish for the Telecommunicator" classes that were developed by district staff to better equip call takers in answering 9-1-1 calls from the Spanish speaking community. Improve the monitoring capability of the district's high-capacity telephone circuits. Evaluate the impact of growing Voice over Intemet Protocol (VoIP) telephone services and participate in forums that will encourage contractual and/or regulatory means to lessen its impact on the inferior 9-1-1 service that it provides its users. 14 FY2005 Financial Plan Summary June 3, 2004 Financial Overview Summary ofBudget Objectives Due to an unanticipated refund of $231,000 from T-Mobile in 2004, the Denco Area 9-1-1 District will have a larger reserve balance at the beginning of 2005 to fund its services during the 2005 fiscal year. With the addition of the refund, the district projects that it will have the financial resources available to fully fund all of the outstanding costs it has accrued for the deployment of Phase II services. After paying for the initial costs associated with the deployment of Phase II, the district should be in an excellent financial position to accomplish its stated objectives for fiscal year 2005. The long-range projections included in Section 4 depict adequate financial. resources at the current rate over the next several years to fully fund district operations. Summary ofAnticipated Revenues The following is a summary of auticipated revenues for fiscal year 2005: Total service fee revenue is anticipated to increase by 2.40 percent. Wireline service fee revenue is expected to decrease by 2.44 percent, which is offset by an estimated increase in wireless service fee revenue of 7.0 percent. It is anticipated that wireline revenue will continue to decrease as more consumers migrate to wireless and VolP telephone services. Interest revenue is not anticipated to increase in 2005 as the district will decrease its reserve balance and the interest rate is not expected to increase. Contract service revenue is projected to decrease due to a new contract arrangement with Denton County for rural addressing services. 15 FY2005 Financial Plan Summary June 3, 2004 Miscellaneous revenue is proposed to be zero. The district expects the T- Mobile refund in budget year 2004. Summary ofProposed Expenditures The following is a summary of proposed expenditures for fiscal year 2005: Due to a decrease in staffing for the 2005 fiscal year, the proposed personnel expenditures are $14,325 less than fiscal year 2004. Proposed operations costs are budgeted to increase by $6,168 or 4.6 percent over the amount submitted in the 2004 financial plan. Total direct service expenditures are proposed to increase by $582,415 in 2005. The eatire increase will be used to pay for Phase II services. 16 DENCO AREA 9-1-1 DISTRICT SUMMARY OF COST CLASSIFICATIONS Personnel Expenditures Includes staff salary, deferred compensation, and healthcare and retirement benefits. Also included are costs for state unemployment tax and employer's contribution to Medicare. In addition, temporary (contract) personnel services are included. Operations Expenditures Includes the costs associated with the business operations of the Denco Area 9-1-1 District. Communications Includes telecommunication, printing/publishing and postage/shipping costs necessary for the district to disseminate information. Expendable Supplies Includes the cost of routine expendable office supplies and commercially available software. Supplies also include the costs associated with service awards. Contract Services Includes the cost of legal fees, independent audit, insurance, advertising and other contract services such as equipment and software support for district equipment. Summary ofCost Classifications June 4, 2004 Building Services Includes the cost of utilities, building services, maintenance and repair expense for the office and training facility owned by district. Memberships/Subscriptions Includes individual and organizational memberships to professional organizations such as National Emergency Number Association (NENA) and Association of Public Safety Communications Officials-International (APCO). Includes subscriptions to newspapers, periodicals, information services, technical support publications and the purchase or rental of books, videos and recordings. Professional Development Includes board and stafftraining and ongoing professional development through technical training classes, seminars, conferences and symposiums. Travel Includes out of district travel costs such as, but not limited to mileage reimbursement, airfare, food, lodging, local transportation, parking, telephone, etc. when such costs are reasonable and when they are incurred in conjunction with board and authorized staff travel out of the district. Also included is reimbursement for the use of personal vehicles on official business within the district. 18 SummaE~ of Cost Classifications June 4, 2004 Furniture and Equipment Includes the purchase of the necessary furniture and fixtures as well as office equipment necessary for the ongoing operations of the Denco Area 9-1-1 District. Direct Service Expenditures Includes all non-recurring and recurring costs attributed directly to the operations, maintenance, equipment, network and database required for the provision of 9-1-1 services. Also included are direct costs for information system services, public education and training for telecommunicators. 9-1-1 Systems Includes operations, service and direct maintenance costs required for Denco to maintain the 9-1-1 systems. Also included are non-recurring and monthly recurring costs for network and database services, language interpretation and other recurring services. Information Systems Includes operations, service and direct maintenance costs required to develop and distribute 9-1-1 GIS and other database information to public safety answering points and emergency response agencies. Included are costs for aerial photography files and the service and maintenance of hardware and software required to provide the data. 19 Summary of Cost Classifications June 4, 2004 Public Education/Training Public Education includes operating costs required for the development, purchase and distribution of public information and education materials for special focus groups and district at large. Also includes costs for special functions such as National Telecommnnicator Week recognition and 9-1-1 Day activities. Training expenditures include cost for materials, instructors, registration, etc.; associated with meeting the training needs of 9-1-1 call takers. Also included are direct costs required for Denco to sponsor telecommunicators from across the district to the State of Texas annual awards and appreciation activities and recipients of the Dr. Allen Groff Emergency Medical Dispatch (EMD) Scholarship to the national EMD conference. 20 Denco Area 9-1-1 District Fiscal Year 2005 Financial Plan Section 4 Anticipated Revenues Proposed Expenditures DENCO AREA 911 DISTRICT FINANCIAL PLAN Summary of Anticipated Revenues and Proposed Expenditures Fiscal Year 2005 FY 2005 Percent of Proposed Budget Beginning of Year Estimated Reserve Funds $ 718,030 Anticipated Revenues 9-1-1 Service Fee Revenue Interest Revenue Contract Services Revenue Miscellaneous Revenue (Expense) Total Anticipated Revenues 2,814,617 99.14% 4,280 0.15% 20,000 0.70% 0.00% 2,838,897 100% Proposed Expenditures Personnel Operations Direct Services Total Proposed Expenditures 841,020 26.05% 138,408 4.29% 2,249,622 69.67% 3,229,050 100% Increase (Decrease) in Reserve Funds 390,153) End of Year Estimated Reserve Funds 327,878 DENCO AREA 911 DISTRICT FINANCIAL PLAN Anticipated Revenues Fiscal Year 2005 FY 2005 Percent of Proposed Budget Service Fee Revenue Verizon SBC Sprint CenturyTel Other Local Exchange Cardem (CLECs) Private Switch Service Fees Telephone Company Administrative Charges Telephone Company Uncollectible Charges Telephone Company Adjustments Net Wireline Service Fee Revenue Wireless Service Fee Revenue Total Service Fee Revenue 787,513 27.74% 200,261 7.05% 31,010 1.09% 48,762 1.72% 255,126 8.99% 7,763 0.27% 13,304) -0.47% 1,987) 9,508) -0.33% 1,305,636 45.99% 1,508,981 53.15% 2,814,617 99.14% Non Service Fee Revenue Interest Revenue Contract Service Revenue Miscellaneous Revenue (Expenses) Total Non Service Fee Revenue 4,280 0.15% 20,000 0.70% 0.00% 24,280 0.86% Total Revenue 2,838,897 100% 23 DENCO AREA 911 DISTRICT FINANCIAL PLAN Proposed Expenditures Fiscal Year 2005 FY 2005 Proposed Percent of Budget Personnel Expenditures Salaries Benefits Operations Expenditures Communications Expendable Supplies Contract Services Building Services Memberships/Subscriptions Professional Development Travel Furniture and Equipment Direct Service Expenditures 9-1-1 Systems Operations Network and Database Services PSAP and Maintenance Equipment Information Systems Operations Public Education/Training Operations Public Education Services Training Services 628,601 19.47% 212,419 6.58% Total $ 841,020 26.05% 17,339 0.54% 9,700 0.30% 46,266 1.43% 33,87O 1~05% 1,833 0.06% 5,300 0.16% 22,100 0.68% 2,000 0.06% Total $ 138,408 4.29% 107,325 3.32% 1,914,407 59.29% 50,048 1.55% 84,590 2.62% 23,427 0.73% 37,550 1.16% 32,275 1.00% Total $ 2,249,622 69.67% 3,229,050 100% 24 Denco Area 9-1-1 District Fiscal Year 2005 Financial Plan Section 5 Appendix Mission Statement HB 1984 Resolutions District Legislation DENCO AREA 9-1-1 DISTRICT Mission, Values and Goals Statement Mission The mission of the Denco Area 9-1-1 District is to assist its member jurisdictions respond to police, fire and medical emergency calls by providing an efficient, effective enhanced 9-1-1 emergency telecommunications system. Values The Denco Area 9-1-1 District pledges to uphold the following values: Value 1:Control of district operations is the responsibility of member jurisdictions and the board of managers. Value 2: The district will provide the most reliable, efficient, cost-effective and proven state-of-the-art technologies available at the lowest service fee rate possible. Goals The Denco Area 9-1-1 District has the following goals that support its endeavor to carry out its mission. Goal 1: To provide the policy, direction and control mechanisms necessary to assure that the Denco Area 9-1-1 District accomplishes its mission within the financial resources provided. Goal 2:To manage the Denco Area 9-1-1 District in an objective, efficient, effective and responsive manner. Appendix Goal 3: Goal 4: Goal 5: Goal 6: Mission, Values and Goals Statement To increase public awareness of 9-I-1 issues and promote the proper use of the 9-1-1 system. To provide training programs which enable Public Safety Answering Point (PSAP) personnel to effectively use the 9-1-1 system. To provide and maintain a dependable, state-of-the-art enhanced 9-1-1 network. To assure that PSAPs have the most accurate, reliable and useable data at all times. H.B. No. 1984 AN ACT relating to the consolidation of emergency communication districts and to the approval of proposed budgets of certain emergency communication districts. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 771.001(3), Health and Safety Code, is amended to read as follows: 3) Emergency communication district" means: A) a public agency or group of public agencies acting jointly that provided 9-1-1 service before September 1, 1987, or that had voted or. contracted before that date to provide that service; or B) a district created under Subchapter B, C, [e~] D, or F, Chapter 772. SECTION 2. Sections 772.309(b), (c), and (d), Health and Safety Code, are amended to read as follows: b) The board shall submit a draft of the proposed budqet to the governing bodies of the participating jurisdictions not later than the 45th day before the date the board adopts the budqet. The participating iurisdictions shall review the proposed budget and submit any comments regarding the budget to the board. c) if the governing body of a county, municipality, or other participatin.q jurisdiction does not approve or disapprove the budget before the 61 st day after the date the body received the proposed budget for review, the budget is approved by operation of law. Appendix H.B. No. 1984 d) A revision of the budget must be approved in the same manner as the budget. As soon as practicable after the end of each district fiscal year, the director shall prepare and present to the board and to each participating jurisdiction in writing a sworn statement of all money received by the district and how the money was used during the preceding fiscal year. The report must show in detail the operations of the district for the fiscal year covered by the report. 0. [~t)] The board shall have an independent financial audit of the district performed annually. Appendix Budget Approval Procedures DENCO AREA 9-1-t DISTRICT RESOLUTION DEFINING PROCEDURES FOR CONSIDERATION AND APPROVAL OF A BUDGET WHEREAS, Sections 772.309(b)&(c), Texas Health and Safety Code have been amended by the Texas Legislature to specify certain procedures for the consideration and approval of a budget by the Board and governing bodies of participating jurisdictions. NOW, THEREFORE BE IT RESOLVED BY THE DENCO AREA 9-1-1 DISTRICT BOARD OF MANAGERS: The Board's procedures for consideration and approval of a budget shall include the following: l. Not later than the 45th day before the Board adopts a budget, the Executive Director on behalf of the Board will submit a draft of the proposed budget to each of the governing bodies of the participating jurisdictions. In a transmittal letter accompanying the draft of the proposed budget, the Executive Director will include a statement requesting that the governing bodies of each of the participating jurisdictions review the draft of the proposed budget and submit any comments to the Board prior to or on the date the budget is scheduled for consideration and adoption by the Board. 2. Once the Board adopts the budget, the Executive Director on behalf of the Board will within three days either 1) send a letter to each of the governing bodies of the participating jurisdictions stating that the Board adopted the proposed budget without any changes or 2) send a copy of the budget adopted by the Board and include in a letter the differences between the proposed and adopted budget. In the letter to the governing bodies of the participating jurisdictions, the Executive Director will include a statement requesting approval of the Board's adopted budget by the governing bodies of participating jurisdictions within sixty days of receipt. APPROVED and ADOPTED on this 2"a day of December 1999. Chairman, Board of Managers Secretary, Board of Managers Appendix Budget Approval Policy DENCO AREA 9-1-1 DISTRICT RESOLUTION DEFINING THE DENCO AREA 9-1-1 DISTRICT BUDGET APPROVAL POLICY WHEREAS, the Denco Area 9-1-1 District was created under Texas Health and Safety Code and the voters of Denton County to design, implement and operate a 9-1-1 system for all participating jurisdictions; and WHEREAS, the Board of Managers is appointed by participating jurisdictions to manage, control and administer the district; and WHEREAS, under the direction of the Board of Managers, the executive director prepares an annual budget that must be approved by the board, the commissioners court and the majority of participating cities; NOW, THEREFORE BE IT RESOLVED BY THE DENCO AREA 9-1-1 DISTRICT BOARD OF MANAGERS THAT: 1. The Denco Area 9-1-1 District approved budget shall include specific revenue' and expenditure projections by department. Budget departments as defined in district's annual audit include service fee revenue, interest revenue and miscellaneous revenue. Expenditure departments include personnel services, operations, direct services, capital outlay and debt service. The board, at its discretion, may add or delete budget departments. 2. The executive director shall submit to the Board of Managers requests for amendments, revisions or modifications to the district's annual budget that require an increase in any budget department's expenditures in excess of five percent of the total department budget. Any increase of expenditures in excess of the approved department budget, up to five percent, shall be offset by a decrease of an equal amount in another department budget. 3. Without limiting the Board of Managers authority under Section 772, Texas Health and Safety Code, the Board of Managers may approve amendments, revisions or modifications to the District's annual budget as deemed reasonable and necessary as long as such budget amendments, revisions or modifications do not require that the total expenditures budgeted exceed the amount previously approved and adopted by the Board of Managers, the Denton County Commissioners Court and the majority of participating cities' governing bodies. APPROVED and ADOPTED on this 6th day ofApril 2000. Chairman, Board of Managers Secretary, Board of Managers SUBCHAPTER D. EMERGENCY COMMUNICATION DISTRICTS: COUNTIES WITH POPULATION OVER 20,000 772.301. Short Title This subchapter may be cited as the Emergency Telephone Number Act. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.302. Purpose It is the purpose of this subchapter to establish the number 9-1-1 as the primary emergency telephone number for use by certain local governments in this state and to encourage units of local government and combinations of those units to develop and improve emergency communication procedures and facilities in a manner that will make possible the quick response to any person calling the telephone number 9-1-1 seeking police, fire, medical, rescue, and other emergency services. To this purpose the legislature finds that: 1) it is in the public interest to shorten the time required for a citizen to request and receive emergency aid; 2) there exist thousands of different emergency telephone numbers throughout the state, and telephone exchange boundaries and central office service areas do not necessarily correspond to public safety and political boundaries; 3) a dominant part of the state's population is located in rapidly expanding metropolitan areas that generally cross the boundary lines of local jurisdictions and often extend into two or more counties; and 4) provision of a single, primary three-digit emergency number through which emergency services can be quickly and efficiently obtained would provide a significant contribution to law enforcement and other public safety efforts by making it less difficult to notify public safety personnel quickly. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.303. Definitions In this subchapter: 1) "Board" means the board of managers of a district. Appendix Health and Safety Code, Chapter 772.300 2) "Director" means the director of communication for a district. 3) "District" means an emergency communication district created under this subchapter. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.304. Application of Subchapter a) This subchapter applies only to a county with a population of more than 20,000 or to a group of two or more contiguous counties each with a population of 20,000 or more in which an emergency communication district was created under Chapter 288, Acts of the 69th Legislature, Regular Session, 1985, before January 1, 1988, or to a public agency or group of public agencies that withdraws from participation in a regional plan under Section 771.058(d). b) This subchapter does not affect the authority of a public agency to operate under another law authorizing the creation of a district in which 9-1-1 service is provided. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. Amended by Acts 1999, 76th Leg., ch. 1405, § 32, eft. Sept. 1, 1999. 772.305. Additional Territory a) If a municipality that is part of a district annexes territory that is not part of the district, the annexed territory becomes part of the district. b) A public agency located in whole or part in a county adjoining the district, by resolution adopted by its governing body and approved by the board of the district, may become part of the district and subject to its benefits and requirements. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.306. Board of Managers a) A district is governed by a board of managers. b) If the most populous municipality in the district has a population of more than 140,000, the board consists of: 1) one member for each county in the district appointed by the commissioners court of each county; Appendix Health and Safety Code, Chapter 772.300 2) two members appointed by the governing body of the most populous municipality in the district; 3) one member appointed by the governing body of the second most populous municipality in the district; 4) one member appointed as provided by this section to represent the other municipalities located in whole or part in the district; and 5) one member appointed by the principal service supplier. c) If Subsection (b) does not apply to a district, the board consists of: 1) the following members representing the county or counties in the district: A) if the district contains only one county, two members appointed by the commissioners court of the county; B) if the district originally contained only one county but contains more than one county when the appointment is made, two members appointed by the commissioners court of the county in which the district was originally located, and one member appointed by the commissioners court of each other county in the district; or C) if the district originally contained more than one county and the district contains more than one county when the appointment is made, one member appointed by the commissioners court of each county in the district; 2) two members appointed jointly by all the participating municipalities located in whole or part in the district; 3) one member appointed jointly by the volunteer fire departments operating wholly or partly in the district, with the appointment process coordinated by the county fire marshal or marshals of the county or counties in the district; and 4) one member appointed by the principal service supplier. d) The board member appointed by the principal service supplier is a nonvoting member. If the board is appointed under Subsection (c), the principal service supplier may waive its right to appoint the board member and designate another service supplier serving all or part of the district to make the appointment. e) The board member appointed under Subsection (b)(4) is appointed by the mayor's council established to administer urban development block grant funds, if one exists in the district. Otherwise, the member is appointed by the other Appendix Health and Safety Code, Chapter 772.300 members of the board on the advice and recommendation of the governing bodies of all the municipalities represented by the member. f) The initial board members appointed by municipalities under Subsection c)(2) are appointed by all the municipalities located in whole or part in the district. g) Board members are appointed for staggered terms of two years, with as near as possible to one-half of the members' terms expiring each year. h) A board member may be removed from office at will by the entity that appointed the member. i) A vacancy on the board shall be filled for the remainder of the term in the manner provided for the original appointment to that position. j) Board members serve without compensation. The district shall pay all expenses necessarily incurred by the board in performing its functions under this subchapter. k) The board may appoint from among its membership a presiding officer and any other officers it considers necessary. I) The director or a board member may be appointed as secretary of the board. The board shall require the secretary to keep suitable records of all proceedings of each board meeting. After each meeting the presiding officer at the meeting shall read and sign the record and the secretary shall attest the record. m) Voting members of the board may meet in executive session in accordance with Chapter 551, Government Code. n) A majority of the voting members of the board constitutes a quorum. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. Amended by Acts 1995, 74th Leg., ch. 76, § 5.95(82), eft. Sept. 1, 1995; Acts 1995, 74th Leg., ch. 638, § 15, eft. Sept. 1, 1995. 772.307. Powers and Duties of Board a) The board shall control and manage the district. b) The board may adopt rules for the operation of the district. Appendix Health and Safety Code, Chapter 772.300 c) The board may contract with any public or private entity to carry out the purposes of this subchapter, including the operation of a 9-1-1 system. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.308. Director of District a) The board shall appoint a director of communication for the district and shall establish the director's compensation. The director must be qualified by training and experience for the position. b) The board may remove the director at any time. c) With the board's approval, the director may employ any experts, employees, or consultants that the director considers necessary to carry out the purposes of this subchapter. d) The director shall perform all duties that the board requires and shall supervise as general manager the operations of the district subject to any limitations prescribed by the board. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.309. Budget; Annual Report; Audit a) The director shall prepare under the direction of the board an annual budget for the district. To be effective, the budget must: 1) be approved by the board; 2) be presented to and approved by the commissioners court of each county in the district; 3) be presented to and approved by the governing body of the most populous municipality in the district, if that municipality has a population of more than 140,000; and 4) be presented to the governing body of each other participating jurisdiction and approved by a majority of those jurisdictions. b) The board shall submit a draft of the proposed budget to the governing bodies of the participating jurisdictions not later than the 45th day before the date the board adopts the budget. The participating jurisdictions shall review the proposed budget and submit any comments regarding the budget to the board. Appendix Health and Safety Code, Chapter 772.300 c) If the governing body of a county, municipality, or other participating jurisdiction does not approve or disapprove the budget before the 61 st day after the date the body received the proposed budget for review, the budget is approved by operation of law. d) A revision of the budget must be approved in the same manner as the budget. e) As soon as practicable after the end of each district fiscal year, the director shall prepare and present to the board and to each participating jurisdiction in writing a sworn statement of all money received by the district and how the money was used during the preceding fiscal year. The report must show in detail the operations of the district for the fiscal year covered by the report. f) The board shall have an independent financial audit of the district performed annually. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. Amended by Acts 1999, 76th Leg., ch. 1406, § 2, eft. Aug. 30, 1999. 772.310. Establishment of 9-1-1 Service a) A district shall provide 9-1-1 service to each participating jurisdiction through one or a combination of the following methods and features: 1) the transfer method; 2) the relay method; 3) the dispatch method; 4) automatic number identification; 5) automatic location identification; 6) selective muting; or 7) any equivalent method. b) A district shall provide 9-1-1 service using one or both of the following plans: 1) the district may design, implement, and operate a 9-1-1 system for each participating jurisdiction with the consent of the jurisdiction; or Appendix Health and Safety Code, Chapter 772.300 2) the district may design, implement, and operate a 9-1-1 system for two or more participating jurisdictions with the consent of each of those jurisdictions if a joint operation would be more economically feasible than separate systems for each jurisdiction. c) Under either plan authorized by Subsection (b), the final plans for the particular system must have the approval of each participating jurisdiction covered by the system. d) The district shall recommend minimum standards for a 9-1-1 system. e) A service supplier involved in providing 9-1-1 service, a manufacturer of equipment used in providing 9-1-1 service, or an officer or employee of a service supplier involved in providing 9-1-1 service is not liable for any claim, damage, or loss arising from the provision of 9-1-1 service unless the act or omission proximately causing the claim, damage, or loss constitutes gross negligence, recklessness, or intentional misconduct. Acts 1989, 71st Leg., ch. 678, § 1, eff. Sept. 1, 1989. Amended by Acts 1995, 74th Leg., ch. 638, § 16, eft. Sept. 1, 1995. 772.311. Primary Emergency Telephone Number The digits 9-1-1 are the primary emergency telephone number in a district. A public safety agency whose services are available through a 9-1-1 system may maintain a separate number or numbers for emergencies and shall maintain a separate number or numbers for nonemergency telephone calls. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.312. Transmitting Requests For Emergency Aid a) A 9-1-1 system established under this subchapter must be capable of transmitting requests for fire-fighting, law enforcement, ambulance, and medical services to a public safety agency or agencies that provide the requested service at the place from which the call originates. A 9-1-1 system may also provide for transmitting requests for other emergency services such as poison control, suicide prevention, and civil defense. b) A public safety answering point may transmit emergency response requests to private safety entities. Acts 1989, 71st Leg., ch. 678, § 1, eff. Sept. 1, 1989. 772.313. Powers of District Appendix Health and Safety Code, Chapter 772.300 a) The district is a body corporate and politic, exemising public and essential governmental functions and having all the powers necessary or convenient to carry out the purposes and provisions of this subchapter, including the capacity to sue or be sued. b) To fund the district, the district may apply for, accept, and receive federal, state, county, or municipal funds and private funds and may spend those funds for the purposes of this subchapter. The board shall determine the method and sources of funding for the district. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.314.9-1-1 Emergency Service Fee a) The board may impose a 9-1-1 emergency service fee on service users in the district. b) The fee may be imposed only on the base rate charge or its equivalent, excluding charges for coin-operated telephone equipment. The fee may not be imposed on more than 100 local exchange access lines or their equivalent for a single business entity at a single location, unless the lines are used by residents of the location. The fee may also not be imposed on any line that the Advisory Commission on State Emergency Communications excluded from the definition of a local exchange access line or an equivalent local exchange access line pursuant to Section 771.063. If a business service user provides residential facilities, each line that terminates at a residential unit and that is a communication link equivalent to a residential local exchange access line shall be charged the 9-1-1 emergency service fee. The fee must have uniform application and must be imposed in each participating jurisdiction. c) The rate of the fee may not exceed six percent of the monthly base rate in a service year charged a service user by the principal service supplier in the participating jurisdiction. For purposes of this subsection, the jurisdiction of the county is the unincorporated area of the county. d) The board shall set the amount of the fee each year as part of the annual budget. The board shall notify each service supplier of a change in the amount of the fee not later than the 91st day before the date the change takes effect. e) In imposing the fee, the board shall attempt to match the district's revenues to its operating expenditures and to provide reasonable reserves for contingencies and for the purchase and installation of 9-1-1 emergency service equipment. If the revenue generated by the fee exceeds the amount of money needed to fund the district, the board by resolution shall reduce the rate of the fee to an amount adequate to fund the district or suspend the imposition of the fee. If the board suspends the imposition of the fee, the board by resolution may Appendix Health and Safety Code, Chapter 772.300 reinstitute the fee if money generated by the district is not adequate to fund the district. f) In a public agency whose governing body at a later date votes to receive 9-1-1 service from the district, the fee is imposed beginning on the date specified by the board. The board may charge the incoming agency an additional amount of money to cover the initial cost of providing 9-1-1 service to that agency. The fee authorized to be charged in a district applies to new territory added to the distdct when the territory becomes part of the district. g) For the purposes of this section, the jurisdiction of the county is the unincorporated area of the county. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. Amended by Acts 1993, 73rd Leg., ch. 936, § 14, eft. Aug. 30, 1993; Acts 1999, 76th Leg., ch. 1203, § 5, eft. June 18, 1999. 772.315. Collection of Fee a) Each billed service user is liable for the fee imposed under Section 772.314 until the fee is paid to the service supplier. The fee must be added to and stated separately in the service user's bill from the service supplier. The service supplier shall collect the fee at the same time as the service charge to the service user in accordance with the regular billing practice of the service supplier. A business service user that provides residential facilities and owns or leases a publicly or privately owned telephone switch used to provide telephone service to facility residents shall collect the 9-1-1 emergency service fee and transmit the fees monthly to the district. b) The amount collected by a service supplier from the fee is due monthly. The service supplier shall remit the amount collected in a calendar month to the district not later than the 60th day after the last day of the calendar month. With each payment the service supplier shall file a return in a form prescribed by the board. c) Both a service supplier and a business service user under Subsection (a) shall maintain records of the amount of fees it collects for at least two years after the date of collection. The board may require at the board's expense an annual audit of a service supplier's books and records or the books and records of a business service user described by Subsection (a) with respect to the collection and remittance of the fees. d) A business service user that does not collect and remit the 9-1-1 emergency service fee as required is subject to a civil cause of action under Subsection (g). A sworn affidavit by the district specifying the unremitted fees is Appendix Health and Safety Code, Chapter 772.300 prima facie evidence that the fees were not remitted and of the amount of the unremitted fees. e) A service supplier is entitled to retain an administrative fee from the amount of fees it collects. The amount of the administrative fee is two percent of the amount of fees it collects under this section. f) A service supplier is not required to take any legal action to enforce the collection of the 9-1-1 emergency service fee. However, the service supplier shall provide the district with an annual certificate of delinquency that includes the amount of all delinquent fees and the name and address of each nonpaying service user. The certificate of delinquency is prima facie evidence that a fee included in the certificate is delinquent. A service user account is considered delinquent if the fee is not paid to the service supplier before the 31st day after the payment due date stated on the user's bill from the service supplier. g) The district may institute legal proceedings to collect fees not paid and may establish internal collection procedures and recover the cost of collection from the nonpaying service user. If the district prevails in legal proceedings instituted to collect a fee, the court may award the district court costs, attorney's fees, and interest in addition to other amounts recovered. A delinquent fee accrues interest at an annual rate of 12 percent beginning on the date the payment becomes due. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. Amended by Acts 1993, 73rd Leg., ch. 936, § 15, eft. Aug. 30, 1993; Acts 1995, 74th Leg., ch. 638, § 17, eft. Sept. 1, 1995. 772.316. District Depository a) The board shall select a depository for the district in the manner provided by law for the selection of a county depository. b) A depository selected by the board is the district's depository for two years after the date of its selection and until a successor depository is selected and qualified. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.317. Allowable Expenses Allowable operating expenses of a district include all costs attributable to designing a 9-1-1 system and to all equipment and personnel necessary to establish and operate a public safety answering point and other related answering points that the board considers necessary. Appendix Health and Safety Code, Chapter 772.300 Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.318. Number and Location Identification a) As part of computerized 9-1-1 service, a service supplier shall furnish current telephone numbers of subscribers and the addresses associated with the numbers on a call-by-call basis. b) A business service user that provides residential facilities and owns or leases a publicly or privately owned telephone switch used to provide telephone service to facility residents shall provide to those residential end users the same level of 9-1-1 service that a service supplier is required to provide under Subsection (a) to other residential end users in the district. c) Information furnished under this section is confidential and is not available for public inspection. d) A service supplier or business service user under Subsection (b) is not liable to a person who uses a 9-1-1 system created under this subchapter for the release to the district of the information specified in Subsections (a) and (b). Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. Amended by Acts 1993, 73rd Leg., ch. 936, § 16, eft. Aug. 30, 1993; Acts 1995, 74th Leg., ch. 638, § 18, eft. Sept. 1, 1995. 772.319. Public Review a) Periodically, the board shall solicit public comments and hold a public review hearing on the continuation of the district and the 9-1-1 emergency service fee. The first hearing shall be held three years after the date the order certifying the creation of the district is filed with the county clerks. Subsequent hearings shall be held three years after the date each order required by Subsection (d) is adopted. b) The board shall publish notice of the time and place of the hearing once a week for two consecutive weeks in a daily newspaper of general circulation published in the district. The first notice must be published not later than the 16th day before the date set for the hearing. c) At the hearing, the board shall also solicit comments on the participation of the district in the applicable regional plan for 9-1-1 service under Chapter 771. After the hearing, the board may choose to participate in the regional plan as provided by that chapter. Appendix Health and Safety Code, Chapter 772.300 d) After the hearing, the board shall adopt an order on the continuation or dissolution of the district and the 9-1-1 emergency service fee. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.320. Dissolution Procedures a) If a district is dissolved, 9-1-1 service must be discontinued on the date of the dissolution. The commissioners court of the county in which the district was located or, if the district contains moro than one county, the commissioners courts of those counties acting jointly, shall assume the assets of the district and pay the district's debts. If the district's assets are insufficient to retire all existing debts of the district on the date of dissolution, the commissioners court or courts acting jointly shall continue to impose the 9-1-1 service fee, and each service supplier shall continue to collect the fee for the commissioners court or courts. Proceeds from the imposition of the fee after dissolution of the district may be used only to retiro the outstanding debts of the district. b) The commissioners court or courts shall retire the district's debts to the extent practicable according to the terms of the instruments creating the debts and the terms of the orders and resolutions authorizing creation of the debts. c) The commissioners court or courts by order may adopt the rules necessary to administer this section. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.321. Issuance of Bonds The board may issue and sell bonds in the name of the district to finance: 1) the acquisition by any method of facilities, equipment, or supplies necessary for the district to begin providing 9-1-1 service to all participating jurisdictions; and 2) the installation of equipment necessary for the district to begin providing 9-1-1 service to ail participating jurisdictions. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.322. Repayment of Bonds The board may provide for the payment of the principal of and interest on the bonds by pledging all or any part of the district's revenues from the 9-1-1 emergency service fee or from other sources. Appendix Health and Safety Code, Chapter 772.300 Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.323. Additional Security for Bonds a) The bonds may be additionally secured by a deed of trust or mortgage lien on part or all of the physical properties of the district and the rights appurtenant to those properties, vesting in the trustee power to sell the properties for payment of the indebtedness, power to operate the properties, and all other powers necessary for the further security of the bonds. b) The trust indenture, regardless of the existence of the deed of trust or mortgage lien on the properties, may include provisions prescribed by the board for the security of the bonds and the preservation of the trust estate and may make provisions for investment of funds of the district. c) A purchaser under a sale under the deed of trust or mortgage lien is the absolute owner of the properties and rights purchased and may maintain and operate them. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.324. Form of Bonds a) A district may issue its bonds in various series or issues. b) Bonds may mature serially or otherwise not more than 25 years after their date of issue and shall bear interest at any rate permitted by state law. c) A district's bonds and interest coupons, if any, are investment securities under the terms of Chapter 8, Business & Commerce Code, may be issued registrable as to principal or as to both principal and interest, and may be made redeemable before maturity, at the option of the district, or contain a mandatory redemption provision. d) A district may issue its bonds in the form, denominations, and manner and under the terms, and the bonds shall be signed and executed, as provided by the board in the resolution or order authorizing their issuance. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.325. Provisions of Bonds a) In the orders or resolutions authorizing the issuance of bonds, including refunding bonds, the board may provide for the flow of funds and the establishment and maintenance of the interest and sinking fund, the reserve fund, and other funds and may make additional covenants with respect to the Appendix Health and Safety Code, Chapter 772.300 bonds, the pledge revenues, and the operation and maintenance of any facilities the revenue of which is pledged. b) The orders or resolutions of the board authorizing the issuance of bonds may also prohibit the further issuance of bonds or other obligations payable from the pledged revenue or may reserve the right to issue additional bonds to be secured by a pledge of and payable from the revenue on a parity with or subordinate to the lien and pledge in support of the bonds being issued. c) The orders or resolutions of the board issuing bonds may contain other provisions and covenants as the board may determine. d) The board may adopt and have executed any other proceedings or instruments necessary and convenient in the issuance of bonds. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.326. Approval and Registration of Bonds a) Bonds issued by a district must be submitted to the attorney general for examination. b) If the attorney general finds that the bonds have been authorized in accordance with law, the attorney general shall approve them. On approval by the attorney general, the comptroller shall register the bonds. c) After the approval and registration of bonds, the bonds are incontestable in any court or other forum for any reason and are valid and binding obligations according to their terms for all purposes. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.327. Refunding Bonds a) A district may issue bonds to refund all or any part of its outstanding bonds, including matured but unpaid interest coupons. b) Refunding bonds shall mature serially or otherwise not more than 25 years after their date of issue and shall bear interest at any rate or rates permitted by state law. c) Refunding bonds may be payable from the same source as the bonds being refunded or from other sources. Appendix Health and Safety Code, Chapter 772.300 d) The refunding bonds must be approved by the attorney general as provided by Section 772.326 and shall be registered by the comptroller on the surrender and cancellation of the bonds refunded. e) The orders or resolutions authorizing the issuance of the refunding bonds may provide that they be sold and the proceeds deposited in the place or places at which the bonds being refunded are payable, in which case the refunding bonds may be issued before the cancellation of the bonds being refunded. If refunding bonds are issued before cancellation of the other bonds, an amount sufficient to pay the principal of the bonds being refunded and interest on those bonds accruing to their maturity dates or to their option dates if the bonds have been duly called for payment before maturity according to their terms shall be deposited in the place or places at which the bonds being refunded are payable. The comptroller shall register the refunding bonds without the surrender and cancellation of bonds being refunded. 0 A refunding may be accomplished in one or in several installment deliveries. Refunding bonds and their interest coupons are investment securities under Chapter 8, Business & Commerce Code. g) In lieu of the method set forth in Subsections (a)-(f), a district may refund bonds, notes, or other obligations as provided by the general laws of this state. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.328. Bonds as Investments and Security for Deposits a) District bonds are legal and authorized investments for: 1) a bank; 2) a savings bank; 3) a trust company; 4) a savings and loan association; 5) an insurance company; 6) a fiduciary; 7) a trustee; 8) a guardian; and Appendix Health and Safety Code, Chapter 772.300 9) a sinking fund of a municipality, county, school district, and other political subdivision of the state and other public funds of the state and its agencies, including the permanent school fund. b) Distdct bonds are eligible to secure deposits of public funds of the state and municipalities, counties, school districts, and other political subdivisions of the state. The bonds are lawful and sufficient security for deposits to the extent of their value when accompanied by all unmatured coupons. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989. 772.329. Tax Status of Bonds Because a district created under this subchapter is a public entity performing an essential public function, bonds issued by the district, any transaction relating to the bonds, and profits made in the sale of the bonds are exempt from taxation by the state or by any municipality, county, special district, or other political subdivision of the state. Acts 1989, 71st Leg., ch. 678, § 1, eft. Sept. 1, 1989.