Keeping Lines of Communication Open to Everyone
One of the most noticeable changes of the new Information Age has been rapid
growth in ways to communicate. We are in an unprecedented period of
technological advancement which is making our already small world even smaller.
The Internet, cellular telephones, satellite networks, e-mail, fax machines and
advances in digital technology are able to provide communications links to
virtually any location on the planet and at speeds which were impossible just a
few years ago.
While the electronic and telecommunications industries continue to make
technological improvements, Congress has the role of providing a level playing
field in the marketplace and enacting standards to ensure the compatibility of
various communications networks.
Congress has a critical task in trying to monitor all of the new advancements
being made, but equally important is the work to streamline existing regulations
so that consumers are protected from problems with existing technology.
One of the most recent actions of the House of Representatives was to approve
H.R. 1291, the Internet Access Charge Prohibition Act of 2000. This bill was
introduced in response to persistent, yet false and inaccurate, e-mail messages
on the Internet which stated that the Federal Communications Commission (FCC) or
Congress was seeking to impose new charges on Internet use. H.R. 1291
specifically prohibits the FCC from imposing new fees on the Internet. I also
have discussed this matter with FCC officials, who assure me that they have no
intention of making any changes in the way consumers obtain and pay for access
to the Internet.
I am also very concerned about "nickel and dime" charges imposed by the
Federal Communications Commission (FCC) on telephone service. I have been
outspoken in my criticism of the FCC and also have cosponsored legislation to
eliminate tax increases on your telephone bill never approved by Congress. This
week, consumers won an important victory when two of the three major
long-distance companies have agreed to eliminate monthly minimum charges.
The FCC estimates that the reduction in access charges and several other flat
fees could result in a savings of as much as $50 a year for consumers who make
no long-distance calls and about $10 a year for those who make 30 minutes of
long-distance calls each month. The FCC touted the overall reduction in access
charges of $3.2 billion as the largest fee decrease ever adopted.
The House of Representatives has made additional gains for phone customers by
passing H.R. 3916, the Phone Tax Repeal Act. This legislation, which was
sponsored by my friend and fellow Ohio Republican Rep. Rob Portman, repeals a
federal telecommunications excise tax that was originally enacted in 1898 as a
"temporary luxury tax" to finance the Spanish-American War.
When it was enacted in 1898, this "temporary" tax amounted to a penny on
long-distance phone calls costing more than 15 cents. Over the years, the
federal phone tax has survived many efforts to phase it out and Congress made it
a permanent 3 percent tax on telecommunications services in 1990.
The federal phone tax is regressive, affecting lower-income Americans and
people on a fixed income (such as senior citizens) more than other taxpayers.
Additionally, the telephone tax also impacts the millions of Americans who use
residential telephone lines to access the Internet and jeopardizes our efforts
to keep the Internet tax-free.
The stunning achievements we have made in global communications should not be
hampered by outdated regulations or attempts to raise federal revenue. By
ensuring there is a minimum of interference and common sense safeguards, we can
extend the full benefits of affordable and accessible communications for the
future.
Please share your opinions with me. I can best be reached by writing: Congressman Dave Hobson, 1514 Longworth House Office Building, Washington, D.C. 20515.