House Prohibits Internet Access Charges

The House passed a bill that would prohibit the Federal Communications Commission from imposing on Internet service providers the access fees to support the Universal Service Fund that are imposed on telephone companies — if the "contribution" would be based on a measure of the time that telecommunications services are used in the provision of Internet access service. The Universal Service Fund is used to help local telephone carriers provide telephone services in rural areas and other hard-to-serve areas, and to assist low-income users with local service. H.R. 1291, the Internet Access Charge Prohibition Act, passed by voice vote when the bill was brought up on the House suspension calendar today, May 16. Suspension rules require a two-thirds majority to pass, limit debate time, and prohibit amendments. Despite the prohibition on access surcharges, the bill does allow the FCC to charge access fees for Internet telephone services, regardless of whether a telephone or other apparatus is used to place the call. When the bill was marked up, Rep. Edward Markey (D-MA) failed (8-31) in limiting the FCC to flat rate charges on Internet phone use. Thus, the FCC can choose any method it wants, including a fee based on the per-minute usage by consumers.
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