AgdaPkt 2005-08-22 - Laserfiche WebLink

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;7;1. -1 TELECOMMUNICATIONS PRINCIPLES from page 3 . . . . . . . . . . . . . . . . . . . . . . . . . . Any communications company obtaining a franchise should pay the appropriate franchise fee to protect and maintain the taxpayer's interest in the public right-of-way. . Any company providing communications services to a local community should also be required to provide or support Public, Educational, and Govemmental (PEG) access to new net- works including PEG equipment, funding and support. . Local communities should provide an equitable regulatory and taxation framework for all companies seeking to provide communications services to a community. . The authority to generate revenues to provide for the public interest is vital to state and local govemments and should be preserved. Reform should allow for solutions that preserve state and local revenue. 1) Competing communication services that are either equivalent or viewed as viable substi- tutes by consumers (hereinafter "functionally equivalent services"1) should be treated on a non-discriminatory basis for taxes or special purpose fees, rent and costs, if any by state and local govemments regardless of technologies used to deliver them. . Technology Neutral: Regardless of method of delivery, transactional taxes and fees will be assessed equally. 2) A time of transition should be incorporated for all parties to adjust to any agreed-upon communications tax reform. 3) State and local revenues on communications services should reflect major recent changes in this industry, which is rapidly evolving. . General communications taxes such as UUT would be applied to communications provid- ers across the board, including but not limited to providers of cable, video services, wireless, wireline (phone line), satellite or any other platform. 4) State and local communications policy should allow for consumer selection of service providers and technology. 5) State and local taxation should not advantage one communications service provider over an other provider of a functionally equivalent service. 6) Reforms should strive to simplify the collection, reporting and auditing of state and local taxes on communications services. 7) Tax obligation should not be based on the provider's presence in a taxing jurisdiction.2 (more...) , Define functionally equivalent services. 2 This principle addresses the nexus problem created by Bellas Hess and Quill Supreme Court decisions. These decisions prohibit state and local governments from requiring out-of-state merchants to collect their taxes. PAGE 4/PRIORITY FOCUS Continued on Page 5 Visit the League's Official Websitenwww.cacities.org .,...-