Prepaid Wireless Telecom Services Modifications

Plain English Breakdown

Checked against official source text during the last sync.

Prepaid Wireless Telecom Services Charges

This law adds three new charges on prepaid wireless phone services in Colorado: a 911 charge, a 988 charge, and a telephone disability access (TDA) charge.

What This Bill Does

• Adds a prepaid wireless 911 charge to all retail sales of prepaid wireless telecommunications services.
• Adds a prepaid wireless 988 charge to all retail sales of prepaid wireless telecommunications services.
• Replaces the former telecommunications relay service charge with a new prepaid wireless TDA charge.
• Updates definitions and cross-references for prepaid wireless services in Colorado law.
• Includes providers of prepaid wireless services in the definition of 'retail transaction' and sets rules for how they must handle charges.

Who It Names or Affects

• People who buy prepaid wireless phone services in Colorado
• Companies that sell prepaid wireless phone services in Colorado

Terms To Know

Prepaid Wireless Telecommunications Service

A type of mobile phone service where users pay for the service before they use it, often sold with a set amount of minutes or data.

911 Charge

An additional fee added to prepaid wireless services to fund emergency call systems.

Limits and Unknowns

• The bill does not specify the exact amounts for these new charges.
• It is unclear how much revenue will be generated from these new charges.

Official Summary Text

Colorado imposes 3 charges on all retail sales of prepaid wireless telecommunications services: A prepaid wireless 911 charge, a prepaid wireless 988 charge, and a prepaid wireless telephone disability access (TDA) charge, which, effective January 1, 2026, replaced the former telecommunications relay service charge. The act makes the following modifications to the laws implementing the 3 prepaid wireless telecommunications services:
Corrects erroneous cross references in connection with the prepaid wireless telecommunications services;
Modifies the definition of 'prepaid wireless telecommunications service' (prepaid wireless definition) in the statute that implements the prepaid wireless 911 charge to include a wireless telecommunications service that is paid in advance, sold in predetermined units of time or money that decline with use or provides unlimited use of the service for a fixed time, and allows a user to make 911 calls. In addition, the act harmonizes the prepaid wireless definition for all 3 of the prepaid wireless telecommunication services.
Adds providers of prepaid wireless telecommunications services (providers) to the definition of 'retail transaction' and to surcharge remittance procedures for the prepaid wireless 911 charge;
Includes the prepaid wireless 988 charge in the list of taxes or fees that are administered by the department of revenue (department);
Consistent with the treatment of confidential tax information regarding the prepaid wireless 911 charge, allows the department to disclose confidential tax information regarding the prepaid wireless TDA charge and the prepaid wireless 988 charge to their respective enterprises and to the public utilities commission;
Consistent with the requirement for electronic filing and payment for the prepaid wireless 911 charge and the TDA charge, allows the department to require electronic filing and payment for the prepaid wireless 988 charge;
Consistent with the prepaid wireless 911 charge, clarifies that telecommunications services that are not subject to the prepaid wireless TDA charge are subject to other TDA charges imposed by law and makes the same clarification regarding the prepaid wireless 988 charge; and
Consistent with the prepaid wireless 911 charge, imposes the prepaid wireless 988 charge on providers that use federally supported services to provide free prepaid wireless telecommunications services.
(Note: This summary applies to this bill as enacted.)