FREEDOMWORKS ENCOURAGED BY NATIONAL CONFERENCE OF STATE LEGISLATURES’ BROADBAND POLICY ANNOUNCEMENT

The recent policy announcement by the National Conference of State Legislatures (NCSL) with regard to “Twenty-first Century Communications” calls for a new approach to telecommunications regulation that will promote innovation and widespread broadband deployment. The new policy recognizes the significant changes in the telecommunications marketplace that have taken place since the 1996 Telecommunications Act and the damaging impact of outdated regulations on competition and critical investment in new broadband technologies.

FreedomWorks President Matt Kibbe commented:

“It is encouraging that the NCSL acknowledges the changing marketplace and the new sources of competition stemming from wireless and cable providers. The call for more open markets and “minimal” regulation is promising. In addition, efforts to treat all forms of telecommunications services similarly are important to encourage investment and competition. This is a great opportunity to reduce regulation for all providers by eliminating unnecessary regulatory burdens. The NCSL policy statement is in line with the growing consensus that, in fact, there is a great deal of competition in telecommunications services.”

“We are less enthusiastic about the taxation policies included in the NCSL statement. Our goal has been to maintain the Internet as a tax free zone to encourage innovation. Providing states the authority to levy discriminatory taxes on Internet access and taxes on the Internet backbone will limit the deployment of broadband technologies and reduce the benefits the Internet has brought to millions of Americans.”

“But, overall, by recognizing that the vast majority of telecom taxes and regulations are outdated, arbitrary, and counterproductive, the NCSL is moving the debate on telecom deregulation forward.”