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#17-05 - AMENDING CHAPTER 3.20 ENHANCED 911 SERVICES OF THE VALDEZ MUNICIPAL CODE (Reconsideration Requested by Mayor Knight and Council Member Smith)
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SUBMITTED BY: Brian Carlson, Finance Director
FISCAL NOTES:
Expenditure Required: N/A
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RECOMMENDATION:
Approve first reading of Ordinance 17-05, amending Chapter 3.20 of the municipal code, by establishing a $2 monthly 911 surcharge for all wireless and wireline telephone accounts.
SUMMARY:
* The City currently receives less than $20,000 annually from the telephone surcharge, which is currently $.75 per month for land-lines ("wirelines") only (unchanged since 2005).
* Annual costs for status-quo service infrastructure, excluding personnel, are $95,000 (see attachment). The imbalance is funded with general revenues.
* City Administration is proposing an increase in the surcharge to the maximum amount permitted ($2 per month) for all wireline and wireless accounts. Surcharge revenues, estimated at $80,000 to $100,000, would be isolated in a dedicated reserve account.
* Staff is preparing for future service enhancements compliant with FCC standards, as well as improvements that fall outside FCC regulations, which will entail increased operational costs.
BACKGROUND AND ANALYSIS:
The City's 911 services are primarily funded by general revenues, though there is approximately $19,000 received annually from the existing 911 surcharge. The cost of maintaining services includes not only personnel costs and training, but also annual software and licensing contracts and annual reserve funding of eventual hardware replacement.
The current surcharge is $.75 per month, applicable only to wireline service. This surcharge has been unchanged since 2005. Using BLS-Anchorage inflation calculations, the equivalent inflation-adjusted fee in 2017 is $.95.
The single largest non-personnel cost of 911 servi...
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