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HomeMy WebLinkAboutIR 8977INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 8977 Iv UIC maywo ally Matnvasa ve uw v.cJ v%F"Kgv.. �+►'" Page 1 of 1 SUBJECT: THE TARRANT COUNTY 9 -1 -1 DISTRICT BUDGET FOR FY2008- 2009 Attached is a copy of the Tarrant County 9 -1 -1 District Operating Budget for Fiscal Year 2008- 2009, and a Resolution for consideration and approval at the City Council meeting on September 23, 2008. Mr. Greg Petrey, Executive Director of the Tarrant County 9 -1 -1 District, will be available to respond to any questions at Pre - Council on September 16, 2008, and again on September 23, 2008, at your regular Council meeting. The 9 -1 -1 District Budget for 2008 -2009 is proposed to be $12, 881,362. The revenues for the District came from a tax imposed on telephone services, both landline and mobile. The District board sets the rate of the tax that is imposed. The City of Fort Worth is represented on the governing board of the District by Jim Austin, the current chair of the board, and Sam Greif. If you have any questions, please contact Joe Paniagua at 817 - 392 -6191. Dale A. Fisifil6r, P.E. City Manager Attachments: Budget Resolution ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS Rf Prepared b Greg t ive Dire&tor Tarrant County - -1 District 2600 Airport Freeway I Fort Worth, Texas 7611 817-334-09-11 DISTRICT TARRANT COUNTY 9-1 -1 2008-2009 BUDGET Executive Summary Continued emphasis on increasing Wireless 9-1-1 activity through continued wireless accuracy testing, testing of new wireless devices and services and expansion • Wireless one-on-one training in PSAPs Continued efforts to assist in reducing the personnel costs of member PSAPs through assistance in recruitment, prehiring testing, training and retention programs A focus • Contingency and Continuation • Operations through the implementation of an additional Regional backup facility and enhanced accessibility of critical documents and programs for TC9-1 -1 Administrative Offices The opening • a new training facility with enhanced opportunities for cost effective training for PSAP personnel Planned progress on Next Generation 9-1-1 through continued interaction with our user base, proof of concept projects and upgrades to Customer Premise Equipment that support migration • NG911 0 0 0 to 19mri ME= - - M An excess of revenues over expenditures in 2007-2008 will result in an increase in reserve funds 0 of just over $2,000,000 by the end of the fiscal year September 30, 2008. The first long anticip upgrade to our ACD sites and installation of our first Next Generation Capable PSAP will necessitate a reserve fund transfer of $1,394,362, leaving an estimated $14.5 million remaining i reserve funds at the close of the year. I The 9-1-1 service itself, being directly impacted by changing technology, has continuously re-invente• itself, from early enhanced 9-1-1 through the explosive growth of wireless. The Tarrant County 9-1 -1 District has been able • be on the cutting edge and has invested heavily in meeting requirements of changing telecommunications. While the existence of 9-1-1 networks that do not accommodate wireless callers continues nationwide, the Tarrant County 9-1-1 District is part of the -f,.8% of the country currently providing its PSAP's with location and call-back data from wireless callers. In 2008, wireless calls accounted for more than 72% of all 9-1-1 calls answered by our member entities. Currently, a push is underway among the larger districts in the state to implement "Next Generation" 9-1-1 (NG9-1-1) services, which recognizes the growing number of callers, both residential and commercial, that have switched their phone service completely to intemet-based telecommunications services. The first phases of this project, the verification database and emergency services routing database, are scheduled for completion in FY09. Limitations of the current network and database platforms were exposed when wireless callers were added to the 9-1-1 network over the past 15 years. The telecommunications industry (both wireline and wireless) is moving rapidly from circuit switched technology to Voice over Internet Protocol (VoIP). It is widely accepted that the existing 9-1-1 technology based on circuit-switched I! IIII ITIT! IIII! III Im III !�!! 1 11 1 A next generation Request for Information (RFI) has been issued by the districts in Texas, acting jointly as The Texas 9-1 -1 Alliance, and a Request for Proposal (RFP) for services will follow. It is anticipated that the Next Generation program will not impact the Tarrant County 9-1 -1 District budget until the 2010-11 fiscal year. It is also anticipated that upgrades to answering center equipment will not begin following the completion of the current upgrades until the 2010-2011 fiscal year. I A Wireless revenues have experience a healthy increase, and this trend is projected into the future, even though it is slowing slightly. Whereas wireless surcharges seem relatively new, having been adopted in 1997, for the past five years they have surpassed landline revenues and the margin between the two forms • revenue continues • increase. The Federal Communications Commission has taken an activist approach to voice over net companies, and has ordered them to be 9-1-1 compatible. The National Emergency Number Association will continue • monitor events and represent public safety in hearings and meetings with commissioners, and push for revenue recovery from voice over net companies. How much and when this recovery might be expected is subject to speculation at this time. In 2006, Vonage began remitting service fees. Other carriers are expected to begin collecting and remitting fees in the near future. June 30, 2006 to June 30, 2008 Revenues 850,000 800,000 750,000 700,000 650,000 600,000 560,000 500,000 450,000 444,000 350,000 300,DOO 250,000 200,0VG 15, 100,000 50,000 el Dafts 13 Expgriditures 011- The 2002 upgrade program has been completed at all centers with the exception of Arlington and Fort Worth. The two largest answering points have been deferred pending resolution of operability issues involving automated call distributor (ACD's). This deferred installation accounts for about $3,000,000 of the District's reserve fund. Salary costs for 2007-2008 were lower than budgeted, due to vacancies that have since been filled d a decrease in health insurance premium. Anticipated software purchases have again been deferred until software problems are rectified AT&T or the call center equipment provider. I 0 An allowance of 4% for merit raises is included, based upon recommendations by District compensation consultant. Expenditures for "Enhancements" include adds, moves and changes for our membi cities PSAP's and the addon • a second regional back-up PSAP. The will begin the long anticipated upgrade to our ACD sites and installation of our first Next Generation Capable PSAP will also take place this fiscal year. HRM Operating Surplus (Deficit) iM 10: 4i I I ; . Is • 1-111110 MI 9 -.11191elmn $157,315 $120,000 $155,750 $356,650 $249,000 $278,950 $9,094,581 $7,250,000 $10,793,141 $11,282,478 $9,289,000 $12,881,362 $557,256 $2,642,000 $0 M Personal Services District compensation is based upon an eleven-step pay schedule developed and updated through a compensation consultant. In addition to the compensation "bands" that were originally developed, the consultant provides an annual recommendation for adjustment to the bands and overall allowance for merit increases, based upon recent market data. For the 2008-09 fiscal year, the consultant recommends an adjustment to the pay bands within the compensation schedule of 2% and an overall allowance for merit raises of 4%. The District selected Principal as its health benefits provider for the July 1, 2008 - June 30, 2009 timeframe. The selection of a plan which changed the Physician Network allows the District to reduce total premiums by about 3.0%. 5110 Salaries $1,231,495 5120 Health Insurance $225,626 5130 Retirement Benefits $171,412 5132 Medicare $18,546 5133 Social Security $1,440 5150 Worker's Comp $5,400 Total Personal Services $1,653,521 Supplies and Materials Expenditures in this budget category provide for purchase of expendable office supplies, postage, software, and reference materials. 5210 Office Supplies (Other Supplies) $37,850 5220 Printing $3,000 Postage $2,700 5240 Map t Data i0 Software Total • Materials $155,750 Isofflo # • Office equipment ent funding includes replacement equipment, such as PC's, a server, firewall, printer; scanner, blackberry's and COOP plan hardware. The replacement of many computer related items were delayed until we moved into our new headquarters, 5310 Office Furniture $25,400 5311 PSAP Furniture $4,400 5320 Office Equipment $234,150 5321 PSp Equipment 15, 000 Yogi Fumduree and Equipment $278,950 Services and Rentals The District retains legal services from Jim Hobson of Miller & Van Eaton, Washington, D.C., for filings and interface with the FCC. Additionally, through our membership in the Texas 9-1-1 Ahiance, the District utilizes the services of Mike Tomsu of Vinson and Elkins, Austin, TX, for negotiation with service providers, both wireless and landline, and for contractual discussions. T Districts who are members of the Texas 9-1-1 Alliance share the cost of Richard Muscat for regulatory representation in Austin. Locally, the firm of Taylor, Olson, Adkins, Sralla, and Elam provides advisory services to the director and the board. I The District has also agreed to participate in a program with the Tarrant Appraisal District to participate in a product called Pictometry, which enhances the capabilities of aerial photography tt provide a better, more useful product for public safety. The District's portion of the costs for 2008-2009 will be $150,000, and it is included in "Other Services." The District also purchases data files and comparisons from the telephone company under the "Other Services" category, as well as consulting services ranging from political advisory services computer network services. Expenditures under Utilities, 9-1 -1 Service, include monthly recurring charges for existing customer eggs premises equipment and services. 9-1-1 Enhancements provides for additional upgrades and 1% installations to be funded during the 2008-2009 year, and \/Vireless Costs provides funding for monthly recurring charges for wireless 9-1-1 service from three wireless companies. 5411 Legal 40,000 f4l 12 Professional Audit 9,000 f414 Equipment Maintenance 40,970 f• 15 Contract & Other Services 855,533 5416 Professional Development/Training 67,295 f, A, 18 Building Improvements — Repairs 102,800 f419 Building Utilities 79,500 Total Contractual Services $1,195,098 -5431 Auto Allowance $45,600 5432 Travel/Restaurant $102,350 Total, Travell and Aato $147,9150 N re 5441 Professional Memberships $7,057 5442 Subscriptions $12,806 Total Memberships and Subscriptions $19,863 5451 4rilfice Telephone $11,600 5452 9-1-1 Telephone Service $4,367,840 5453 9-1-1 Enhancements $3,835,000 5454 PS 9-1-1 Service $20,900 5456 Wireless 9-1-1 Service $891,497 Total Utilities $9,126,837 5460 Insurance $27,000 Total Insurance $27,000 5472 Pub. Ed. Products/Services $76,331 5473 Pub. Ed. Printing $79,000 5474 Pub. Ed. Actives $107,000 Total Advertising $262,331 Total Expenses $12,881,362 101 Reserve Gain (Loss) $0 M 031h, 2008-2013 FUND BALANCE PROJECTION ARM IN ----- ----- The second reserve category is "Reserve for Enhancements," which provides for investment in the next generation of system improvements. While the cost of the next generation is unknown at this time, it is essential to the future of 9-1-1 service in the District to prepare for the non-recurring costs that are likely to begin within the next three to four years. Given completion of the current upgrade program, the reserves for enhancement should be adequate. Fund Balance, September 30, 2007 Projected surplus (deficit), 2007-2008 Projected Fund Balance, September 30, 2008 Required Reserve 2008-2009 (Next generation upgrade, Phase 1) 2009-2010 (Next generation upgrade, Phase 2) 2010-2011 (Next generation upgrade, Phase 3) 2011-2012 (Next generation upgrade, Phase 4) 2012-2013 (Next generation upgrade, Phase 5) ?"rojected Reserve Fund Balance (Sept. 30, 2013) • # M GOALS FOR 2007-2008 (Completed) f. IIIgg'asla- 01 1-1;21"oi 111:4 #11 O 4 Continue to provide comment on all PUC and FCC proceedings affecting this District and its constituents. File comments on the current NPRIVI to the FCC to assure that VAreless accuracy requirements are increased to reflect the growing number of 9-1 -1 calls from wireless phones. Staff monitors regulatory proceedings and during the FY08 performance period were instrumental in providing comments that were filed on a collaborative basis through the Texas • 1-1 Alliance at the FCC, PUC, and CSEC in matters related to VolP, w i r e l e s s , and NG9-1-1. Staff also provided expertise in support • exparte meetings the Alliance's federal regulatory advocate had with FCC staff and Chairman Martin. 2. Continue leadership roles in industry associations and committees. ✓ Wanda McCarley, Immediate Past-President — APCO International ✓ Richard Atkins, NENA Standards and NG9-1-1 Committees ✓ Bill Home, NENA Standards, ESIF and NG9-1-1 Committees ✓ Kevin Kleck, NENA Standards and NG9-1-1 Committees ✓ Greg Petrey, Secretary and Webmaster — Texas 9 -1 -1 Alliance ✓ Yui Skulpoonkifti, North Texas GIS Coordinating Council and Tarrant County College GIS Advisory Board ✓ Alisa Simmons, NENA Public Education Committee 3. Continue to provide expert testimony to State and Federal Legislative bodies, as needed. Staff monitors legislative proceedings and during the FY08 performance period were instrvmental in drafting comments and expertise in support of legislative contacts made by the District's legislative advocate. Staff involvement in industry association committees also provided opportunities to provide District input on filings made by NENA and APCO at the national level. MAINTAIN robust call-delivery network for entire district in order to minimize and/or eliminate is time due to service interruptions. • iii • ii I - 2, Test contingency plan at least annually The contingencyplar, has been reviewed and updated as needed A'Iabletqp�test of the contingency plan has aiso been completed The Continuity of Operations Plan was activated due to a power outage at our office. Staff participated in a full scale exercise at DFW aiWrt. 3. Implement, test and evaluate trial uregional" back-up sde(s). The Soufh Regional Back-up site will be opeerational by year end 'Vegolhations are takft plaroes for ether des within the County M V, 4. Test all existing back-up sites at least once. In conjunction with our PSAP partners, existing back-up sites have been or will tested by the end of the fiscal year I MAINTAIN strong outreach programs to educate public, public officials, and PSAP -f,ersonnel • 9-1-1 related issues. Maintain and expand District website With public information as well as secure sites for PSAPs and Providers. In FY08 our website was completely redesigned to be more customer friendly and t1k. allow for the expansion of on-line training. 2. Publish and expand District Newsletter at least quarterly. The District Newsletter was published four times this year The operations team also I- AIR publishes an electronic newsletter containing training and operational information. 1 3. Publish an Annual Report of District activities and accomplishments. The Annual report was published in July 2008. M Continue to monitor database on a daily basis and report findings monthly. Bill Home, district Database Manager, monitors the database on a daily basis and publishes a 'snapshot"on the District website. 3. Continue efforts to "clean" the database of unnecessary records and duplicates. BN Home, district Database Manager, audits the Telco database and iden - 11 unnecessary records. The effort to remove these records from the database continues. 4. Implement VDB/ERDB to enhance the routing and location accuracy on 9-1-1 calls from users • Internet phone services (VoIP). The VDBIERDB pilot project is progressing. Ric Atkins, district Asst. Director, is monitoring this project on a daily basis. a r*T;FT # - !=40 1. Continue Phase 11 wireless testing. • Document. Provide individual report to each wireless carrier. • Publish report on this testing (print and website). Batch two of wireless testing will be completed and reported before year end. 2. Continually "retest" to validate original data and report finding'i Wireless testing will be an on-going process. hUI, rV7zWTTUTM through the public INTERNET. 1. Continue VoIP testing. 0 Document. Publish report on this testing (print and website). Provide befter training material for call takers. Batch two of VdIP testing will be completed and reported before year end. 2. Continually 'retesf to validate original data and report findings. VdIP testing will be an on-going process. M PROPOSED GOALS FOR 2008-2009 MAINTAIN Tarrant County 9-1-1 District high profile in state and national arenas in order to provide a voice to member entities in matters affecting 9-1-1 call delivery. 1. Continue to provide comment on all PUC and FCC proceedings affecting this District and its constituents. File comments on the NPRM to the FCC to assure that VAreless accuracy requirements are increased to reflect the gromfing number of 9-1 -1 calls from vAreless phones. E. Continue leadership roles in industry associations and committees. Wanda McCarley, Past-President — APCO I ntemational Richard Atkins, NENA Standards and NG9-1-1 Committees Bill Home, NENA Standards, ESIF and NG9-1-1 Committees Kevin Kleck, NENA Standards and NG9-1-1 Committees Greg Petrey, Secretary and Webmaster — Texas 9-1 -1 Alliance Yui Skulpoonkifti, North Texas GIS Coordinating Council, Tarrant County College GIS Advisory Board, NENA Operational Information (OID) Committee on Synchronizing GIS with MSAG and ALI data and Texas 9-1-1 GIS Working Group Alisa Simmons, NENA Public Education Committee 1111=111 1=1* l�111111 11 F 1 1 1 N�� MAINTAIN robust call-delivery network for entire district in order to minimize and/or eliminate down time due to service interruptions. 1. Evaluate future CPE needs and upgrades at all sites. 2. Test contingency plan at least annually. 3. Implement, test and evaluate additional "regional" back-up site(s). 4. Test all existing back-up sites at least once. 5. Continue evaluation and preparation for next generation system by continuing Technical Operations Advisory Committee meetings each quarter and the NG9-1-1 Working Group meetings every 6 months. MAINTAIN strong outreach programs to educate public, public officials, and PSAP personnel on 9-1-1 related issues. 1 . Maintain and expand District websde *th Vublic information as well as secure sftes for PSAPs and Providers. 2. Publish and expand Distnct News left er at least quarterly. 3. Publish an Annual Report of Dist &t a ies and acoomph shore nts. IN 4. Evaluate and implement an expanded training program uzing internal, external and contract trainers. f. Maintain media interest in public recognition of Telecommunicators and civilian "heroes" provide total coverage of all events. i 7. Continue the "Road Show" wireless training program • assure all call-takers are provided hands on training for wireless location accuracy. 1 . Continue to monitor database on a daily basis and report findings monthly. 2. Maintain on-going emphasis in reducing Record Not Found database returns. 3. Continue efforts to "clean" the database of unnecessary records and duplicates. 4. Implement VDB/ERD's • enhance the routing and location accuracy on 9-1-1 calls from users of Internet phone services (VoIP). a =ln Continue Phase 11 wireless testing. Document. • Provide individual report to each wireless carrier. • Publish report on this testing (print and website). !Rrpi �� 111111111111 !! 111111I�� IF -Ilrrw-�Wl 'YU 11 through the public INTERNET. Continue VoIP testing. 0 Document. Publish report on this testing (print and websde), Provide befter training material for call takers, 2. Continually "retest to validate original data and report findings. M Tarrant County 9-1 -1 District Statement of Net Assets and Governmental Fund Balance Sheet ASSETS Cash and investments Service Fees receivable LIABILITIES Accounts payable Long-term liabilities: Due within one year Due in more than one year Total liabilities FUND BALANCE/NET ASSETS Fund Balance: Unreserved, undesignated Total Fund Balance Total liabes and fund balance Ret Assets Invested in capital assets Unrestricted Total net assets September 30, 2007 General $12j,962,5O $ 958,611 $ 19,046 $ 19,046 1 .112 $ 13,921,11., usm= $ 1,459,117 $ 1,459,117 $ 50,605 $ 202,420 $ 253,025 $ 12,962,502 $ 958,611 $ 1,459,117 $ 19,046 $ 50,605 $ 202,420 M TARRANT COUNTY 9-1-1 . - 0 - - - I 20G -2 2009-2010 2010 -2011 2011 -2-Q12 2912-2013 1,440,675 3,562 Health Insurance Estimated Beginning Fund Balance 16,044,067 14,649,705 10,855,893 6,902,502 2,789,717 REVENUES 171,412 178,268 185,399 192,815 200,528 Wreline Service Fee 3,297,000 3,264,030 3,231,390 3,199,076 3,167,085 Wireless Service Fee 7,800,000 8,034,000 8,275,020 8,523,271 8,778,969 Interest Income 390,000 331,500 281,775 239,509 203,582 Total Revenue 11,487,000 11,629,530 11,788,185 11,961,855 12,149,636 . - 0 - - - I Office Lease Salaries 1,231,495 1,280,755 1,331,985 1,385,264 1,440,675 3,562 Health Insurance 225,626 259,470 298,390 343,149 394,621 8240 Retirement Benefits 171,412 178,268 185,399 192,815 200,528 1,815 Medicare 18,548 19,290 20,062 20,864 21,699 !,331 Social Security 1,440 1,498 1,558 1,620 1,685 16473 Worker's Comp 5,000 5,200 5,408 5,624 5,849 Total Personal Services 1,653,521 1,744,480 1,842,801 1,949,336 2,065,056 Supplies and Materials Office Supplies (Other Supplies) 37,850 38,986 40,155 41,360 42,601 Printing 3,000 3,090 3,183 3,278 3,377 Postage 2,700 2,781 2,864 2,950 3,039 Maps and Materials - Data 14,500 14,935 15,383 15,845 16,320 Software 97,700 100,631 103,650 106,759 109,962 Total Supplies and Materials 155,750 160,423 165,235 170,192 175,298 Furniture & Equipment Office Furniture 25,400 26,162 26,947 27,755 28,588 PSAP Furniture 4,400 4,532 4,668 4,808 4,952 Office Equipment 234,150 241,175 248,410 255,862 263,538 PSAP Equipment 15,000 15,450 15,914 16,391 16,883 Total Furniture and Equipment 278,950 287,319 295,938 304,816 313,961 Con dual 15-gakes- Legal 40,000 41,200 42,436 43,709 45,020 Professional Audit 9,0D0 9,270 9,548 9,835 10,130 Equipment Maintenance 40,970 42,199 43,465 44,769 46,112 Contract & Other Services 855,533 881,199 907,635 934,864 962,910 Professional DevelopmnVTaining 67,295 69,314 71,393 73,535 75,741 Building Im-pmmements -Repairs 102,800 1005, 894 109,061 112,332 115J02 Building Ufilitos 79,SW 81,88-5 84,342 86,872 89478 Subtotal Contract6al Services 1A95,098 1230,961 1,267,879 1,305,916 1,345,093 Office Lease 0 0 0 0 0 Equipment Leaw 3,562 3,689 3,779 1892 4,009 Backup Site Lease 8,0001 8240 8,487 9742 9,004 Sne FL *1 1,&30 9 1,815 4,99:7 2,196 swa-up Sft mmftwnanxw i JWri 1, i -or", ',210 !,331 1, Suwaaw L o"mis 14,062 1*65-9 15.291 i 5,%2 16473 IN Trayql & Auto Auto Allowance Travel/Restaurant Subtotal Travel and Auto 1==, � id I N *11 Subscriptions Subtotal Memberships and Subscriptions Utgjm Office Telephone 9-1-1 Telephone Service 9-1 -1 Enhancements PS 9-1-1 Service Wireless 9-1-1 Service Subtotal Utilities Insurance Property and Liability Insurance Subtotal Insurance Advertising Pub. Ed. Products/Services Pub. Ed. Printing Pub. Ed. Activities Subtotal Advertising Total Services and Rentals Reserve Gain (Loss) 45,600 51,300 51,300 51,300 51,300 102,350 87,850 87,850 87.850 87,850 147,950 139,150 139,150 139,150 139,150 7,057 5,328 5,328 5,328 5,328 12,806 13,190 13,586 13,993 14,413 19,863 18,518 18,914 19,321 19,741 11,600 21,200 21,200 21,200 21,200 4,367,840 4,498,875 4,633,841 4,772,857 4,916,042 3,835,000 6,000,000 6,000,000 6,000,000 6,000,000 20,900 21,527 22,173 22,838 23,523 891,497 799,000 822,970 847,659 873,089 9,126,837 11,340,602 11,500,184 11,664,554 11,833,854 27,000 27,810 28,644 29,504 30,389 27,000 27,810 28,644 29,504 30,389 76,331 78,621 80,980 83,409 85,911 79,000 81,370 83,811 86,325 88,915 107, 000 110,210 113,516 116,922 120,429 262,331 270,201 278,307 286.656 295,256 10,793,141 13,231,121 13,437,601 13,650,295 13,869,390 12,881,362 15,234,113 15,552,345 15,885,407 16,234,472 (1,394,362) (3,604,583) (3,764,160) (3,923,552) (4,084,836) 14,649,705 11,045,123 7,280,963 3,357,410 (727,425) M IEM" APPROVING THE FISCAL YEAR 2008-09 TARRANT COUNTY DISTRICT BUDGET WHEREAS, the Tarrant County 911 Emergency District Board of Managers has approved the attached Budget and recommends that the City of Fort Worth approve the same for the Fiscal Year beginning October 1, 2008, for the purposes set forth in the Budget; and, WHEREAS, the Budget is considered to be sufficient to maintain and operate the district and allow full participation by the City of Fort Worth; and '41HEREAS, it is anticipated that no City tax revenues nor an increased monthly per lin!e- fee from Fort Worth telephone customers will be required to carry out the District's functions in the coming year; FORT WORTH, TEXAS: that the budget for the Tarrant County 9-1-1 Emergency Assistance District for the Fiscal Year beginning October 1, 2008, and ending September 30, 2009, is hereby approved by the City Council of the City of Fort Worth. BE IT FURTHER RESOLVED that this resolution shall take effect immediately upon its passage. U-1 LM