(a)
For purposes of this section, the following terms have the following meanings:
(1)
“Direct seller,” “prepaid consumer,” “prepaid mobile telephony services,” “prepaid MTS provider,” “prepaid MTS surcharge,” and “Public Utilities Commission surcharges,” have the same meaning as defined in Section 42004 of the Revenue and Taxation Code.
(2)
“Reimbursement fee” means a charge imposed by the commission pursuant to
Chapter 2.5 (commencing with Section 401).
(3)
“Universal service surcharge” means any charge imposed by the commission to support programs funded through one of the state’s universal service funds created pursuant to Chapter 1.5 (commencing with Section 270).
(b)
The commission shall annually, on or before October 1 of each year, commencing October 1, 2015, compute a reimbursement fee as a percentage of the sales price for prepaid mobile telephony services, to be effective on January 1 of the following year and to be collected and remitted pursuant to the Prepaid
Mobile Telephony Services Surcharge Collection Act (Part 21 (commencing with Section 42001) of Division 2 of the Revenue and Taxation Code). On or before October 8 of each year, commencing October 8, 2015, the commission shall post notice of the reimbursement fee on its Internet Web site and notify both the Office of Emergency Services and the State Board of Equalization of this information as well as the computation method
used to determine the reimbursement fee.
(c)
The commission shall annually, on or before October 1 of each year, commencing October 1, 2015, compute the individual and cumulative amounts of the telecommunications universal service surcharges as a percentage of the sales price for prepaid mobile telephony services, to be effective on January 1 of the following year and to be collected and
remitted pursuant to the Prepaid Mobile Telephony Services Surcharge Collection Act (Part 21 (commencing with Section 42001) of Division 2 of the Revenue and Taxation Code). On or before October 8 of each year, commencing October 8, 2015, the commission shall post notice of the individual percentages and the cumulative surcharge on its Internet Web site and notify both the Office of Emergency Services and the State Board of Equalization of this information as well as the computation method used to determine the cumulative surcharge.
(d)
(1)Except for
that portion of the prepaid MTS surcharge that is the Public Utilities Commission surcharges, computed pursuant to subdivisions
(b) and (c), this section neither restricts the commission’s authority to adjust reimbursement fees or universal service surcharges nor requires that they only be adjusted once annually.
(2)
In annually computing reimbursement fees and universal service surcharges to be collected and remitted to the commission pursuant to this section, the commission shall adjust the fees and surcharges to account for any past overcollection or undercollection of fees or surcharges from prepaid consumers resulting
from a reduction
or increase in the surcharges made subsequent to December 31 of the previous year.
(3)
If both upward and downward adjustments are made to reimbursement fees and universal service surcharges subsequent to December 31, the commission may adjust how collections are deposited into the reimbursement and universal service accounts so that overcollections or undercollections are minimized.
(4)
It is the intent of the Legislature that reimbursement fees and universal service surcharges be applied, as much as possible, in a competitively neutral manner that does not favor either prepaid or postpaid payment for mobile telephony services, and that, over time, collections
of state charges from prepaid and postpaid
consumers balance out so that neither pay a disproportionate amount.
(5)
At least 30 days prior to adopting any adjustment to a reimbursement fee or universal service surcharge to be collected and remitted to the commission on both postpaid and prepaid intrastate service, the commission shall prepare a resolution or other public document proposing the fee or surcharge adjustment and explaining the calculation of the fee or surcharge. The commission shall make the resolution or other public document available to the public and on the commission’s
Internet Web site and it shall include all of the following:
(A)
The prior year revenues from the fee or surcharge, including, but not limited to, revenues from prepaid service.
(B)
Projected expenses and revenues from all sources, including, but not limited to, prepaid service, for the purposes of the fee or surcharge.
(C)
The rationale for adjustment to the reimbursement fee or universal service surcharge, including, but not limited to, all impacts from prepaid MTS surcharge collection.
(e)
The commission shall have enforcement authority to ensure the proper remittances over retail transactions of a prepaid MTS provider pursuant to the Prepaid Mobile Telephony Services Surcharge Collection Act (Part 21 (commencing with Section 42001) of Division 2 of the Revenue and Taxation Code).
(f)
(1)A
prepaid MTS provider shall remit to the commission the fee established for telephone corporations pursuant to subdivision (a) of Section 431 on the intrastate portion of the revenues received for prepaid mobile telephony service through December 31, 2015.
(2)
A prepaid MTS provider shall remit to the commission the telecommunications universal service surcharges established for telephone corporations on the intrastate portion of the revenues received for prepaid mobile telephony service through December 31, 2015.
(g)
(1)This section does not relieve
a prepaid MTS provider or direct seller of their continuing obligation to report prepaid mobile telephony service revenues to the commission in a manner prescribed by the commission.
(2)
When reporting prepaid mobile telephony service revenues to the commission, a prepaid MTS provider or direct seller shall report the intrastate revenue portion subject to the reimbursement fee and the telecommunications universal service surcharges, as well as total state mobile telephony
service revenue.
(3)
Reports made pursuant to this subdivision are subject to Section 583 and any related orders of the commission.
(h)
This section shall remain in effect only until January 1, 2020, and as of that date is repealed, unless a later enacted statute, that is enacted before January 1, 2020, deletes or extends that date.