Rescind or Change Rule Requiring Phone Replacement

Date: May 17, 2016 Last Edit: July 04, 2016

Small businesses with more than 7000 square feet of space and a multi-line phone system could be required to scrap their phones and buy a new system before December 31 of 2016 under a little known rule.

The original rule was written to apply to larger businesses with more than 40,000 square feet, but during the rules promulgation process the square footage threshold was lowered to 7,000 square feet. Also, the required changes were initially scheduled to take effect on December 31, 2011, but the deadline was extended to December 31, 2016.

The rules also state that businesses in violation of the act after December 31, 2016 may be assessed a fine by the commission from $500.00 to $5,000.00 per offense.

NFIB is working to address this poorly constructed rule and the problems it will create for small business.

UPDATE: NFIB supported legislation to extend the deadline date to the end of 2019 has passed both chambers and has been signed by Governor Snyder as Public Act 244 of 2016. NFIB will continue to work to change this rule to reflect the concerns and costs to small business before the new deadline.

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