[comp.dcom.telecom] Modem Tax

Allyn@cup.portal.com (01/04/90)

Ok folks what is the definitive answer on the modem tax?  Is it being
considered again or is this a rumour?  Someone on a local system
claims to have checked (who?  The FCC?) and they say that it IS being
reconsidered!

I remember an article was recently posted to TELECOM which seems to
have put the subjet to rest.  Unfortunately, I can't the article on my
local system.

Can anyone help?


Allyn Lai
allyn@cup.portal.com


[Moderator's Note: It was not a modem 'tax', but rather, a requirement
by Southwestern Bell Telephone Company that users of modems in
general, and BBS operators in particular, pay business rates for their
phone service. This first came up a few years ago, presumably was
squashed, then the issue was raised again lately. Ken Levitt, a
Fidonet participant in the Digest, passed along a report from a group
of BBS sysops in SWBT territory implying the threat was again present.
The following day, a message appeared here which referred to the
earlier message as just a rumor that supposedly had long since been
killed. Levitt sent along another anouncement last week stating that a
group of sysops was actively negotiating that issue and others with
SWBT. I'm sure more news will be forthcoming soon, and that the
sysop's organization will keep us informed.  PT]
    

Miguel_Cruz@um.cc.umich.edu (01/04/90)

> [Moderator's Note: It was not a modem 'tax', but rather, a requirement
> by Southwestern Bell Telephone Company that users of modems in
> general, and BBS operators in particular, pay business rates for their
> phone service. This first came up a few years ago, presumably was
> squashed, then the issue was raised again lately. Ken Levitt, a
> Fidonet participant in the Digest, passed along a report from a group
> of BBS sysops in SWBT territory implying the threat was again present.
> The following day, a message appeared here which referred to the
> earlier message as just a rumor that supposedly had long since been
> killed...  PT]
 
Au contraire...  The "modem tax" is something the FCC rumbles about
every few years when the phone companies start complaining.  It was
apparently put off the last time because of the flood of letters which
came in to FCC people and legislators, presumably as a result of a
national BBS campaign.  The campaign has started again, because the
FCC is apparently considering levying an additional hourly charge
(like $6) on companies like Telenet which make use of the phone
network for information transit.  Also, apparently (though I'm fuzzy
on this) there is something involving a similar fee for any modem use
over phone lines.  I'm sure others out there know much more about
this.

[Moderator's Note: This is true, but the key here is the writer had
asked about a message which appeared in the Digest just a few days
earlier saying the 'tax' was only a rumor. The message he made
reference to was one sent in response to Mr. Levitt's regards SWBT
vrs. the BBS'ers using residence lines. But indeed, the suggested
'tax' you remind us of is still a possible threat also.  Eternal
vigilence is required, friends. PT]

bet@orion.mc.duke.edu (Bennett Todd) (01/05/90)

In-reply-to: Allyn@cup.portal.com

I think two different issues have gotten confused with one and other
here.

1: A couple of years ago the FCC was considering a ruling that would
require services like GTE's PC-Pursuit to pay an access charge,
similar to that paid by alternative LD carriers. This has been hooted
down, and I haven't heard any new news about that in a couple of
years. As far as I know that one's dead.

2: In a completely unrelated piece of news, SWB has been battling for
a while now to force individuals to pay business rates if they use a
modem. They particularly targeted BBS owners. That issue appears to be
open still, though it looks like the sysops have succeeded in making
major headway.


-Bennett
bet@orion.mc.duke.edu

Martin J Shannon <mjs@mozart.att.com> (01/06/90)

Several folks have made mention of the FCC's recurrent proposed tax on
modem use, and the SWBT fiasco with BBS users and operators, and I'm
sure that various & sundry regulatory agencies have proposed
surcharges and/or taxes on modem use in the past, and will continue to
do so until the modeming community makes itself heard.

How to make ourselves heard, you ask?  (I'm *so* glad you did!)

Consider the following for a moment:

How much revenue would the local phone companies (*and* long distance
carriers) lose if most modem use were to cease for a month?  How many
BBS users regularly run up a $100/month bill? $200/month? $500/month?
I can't remember the last time my BBS hopping cost less than $100/
month; in fact, only 1 month in the last 8 or so was under $200!  I
can't really believe that I'm particularly pathological in my modeming
habits, so I'd figure that a protest of voting with our wallets would
carry a great deal of weight.

Now, I'm not (necessarily) actually proposing such a stunt, but if the
FCC (or any of the state PUC's) were to make the mistake of penalizing
BBS users and/or operators, it would seem to me that the only "right
and proper" thing for us all to do is "Just say no!"

Do any of you TELECOM folks have access to ballpark figures of just
how much the "little people" (BBS users & operators) actually pay to
the various phone companies?  I'd love to see some figures!  


Marty Shannon; AT&T Bell Labs; Liberty Corner, NJ, USA 
(Affiliation is given for identification only: I don't speak for 
them; they don't speak for me.)  

"Fred R. Goldstein" <goldstein@carafe.enet.dec.com> (01/06/90)

There are two things.  One is the FCC Enhanced Service Provider (ESP)
surcharge, which they don't call a surcharge, but is one.  That is
what the latest "modeming" chain letter was about.  It is a false
rumor, as my message of last week sought to squash.

The other is Southwestern Bell's idea that people who use modems at
home are really doing business with them, and not qualified for
residential rates.  That's a state issue and totally separate.  SWBT
is losing there too, but seems to fight on.


Fred R. Goldstein   goldstein@carafe.enet.dec.com 
                 or goldstein@delni.enet.dec.com
                    voice:  +1 508 486 7388 

Allyn@uunet.uu.net (01/06/90)

Ok it looks like there are really two similar issues being discussed.
One is the SouthWestern Bell vs. Texas BBS operators issue and the
other is the FCC "access charge" issue.

I think the people on my local BBS are talking about the FCC access
charge.  So I presume that this issue is being discussed in Congress
right now?  Anybody know how to check up on such things?  Doesn't seem
likely to pass what with all the businesses in the U.S. that depend on
common carriers (i.e. Telenet, Tymnet)...

Anyway,

thanks!

Allyn Lai
allyn@cup.portal.com

rocke@lll-crg.llnl.gov> (01/06/90)

In Lai's 1/3 post and moderator's note regarding so-called "modem tax,"
the moderator seems to be confusing and blending two different, yet
conceptually similar, matters.  The so-called "modem tax" affair was
an FCC thing; it was, and is, unrelated to the SWB-COSUARD matters
referenced in the moderator's note.

John Higdon <john@bovine.ati.com> (01/07/90)

Martin J Shannon <mjs@mozart.att.com> writes:

> Do any of you TELECOM folks have access to ballpark figures of just
> how much the "little people" (BBS users & operators) actually pay to
> the various phone companies?  I'd love to see some figures!  

I'm sure everyone's mileage varies, but I know how much I spend to
support my computer habit. My home computer uses four lines, two
measured and two unmeasured. This comes to about $50/month with all
the tax and license. Plus, my machine is in regular contact with
several systems in southern California to the tune of about
$100/month. Simple arithmetic would indicate that my home computer
spends $150/month with "the phone company".

But in all fairness to Pac*Bell, I have to say that there have been no
rumblings whatever about screwing modem users. Furthermore, sometime
this year Pac*Bell and GTE California will drop all charges for touch
tone (as opposed to raising them as I have heard some other telcos are
doing). Pac*Bell is fully aware of the use to which I put my phone
lines and I have never had any crap about upgrading to business, "one
line limit" per machine, or any of the nonsense that SWBT seems to be
laying on its customers.

This is, after all, Silly Con Vallee. As one Pac*Bell rep admitted to
me, it is very common in this area for people to have many residential
lines and have them heavily used for modem traffic. If Pac*Bell were
to pull any of the horsehooey that seems to go on elsewhere, they
would find many people up in arms. There are a lot of Pacific Telesis
buildings in San Francisco to picket in front of, not to mention the
State building down the street!

        John Higdon         |   P. O. Box 7648   |   +1 408 723 1395
    john@bovine.ati.com     | San Jose, CA 95150 |       M o o !