dits webinar: cutting through regulatory fog
DESCRIPTION
Confused by Regulatory fees? Not sure how to best manage or control them across your organization? This webinar features a best practice approach to understand and control regulatory fees. You will learn: •The major types of regulatory fees associated with your telecom services •Spot and navigate through inconsistencies in how they are applied •How to minimize their impact on your budget Recorded: November 13, 2013 Host: Leo Berz, Director Professional Services, Telecom for Ecova.TRANSCRIPT
Cutting Though the Regulatory Fog Best Practices, Trends, and Money Saving Advice
Presenter: Leo Berz, Director Professional Services, Telecom - Ecova Date: 11/13/2013
Agenda
Tax Regulatory Overview
Types of Regulatory Fees
Impact of Technology
Best Practices
Summing It all Up
Q&A
Telecom Tax/Regulatory Challenges
Taxes and Regulatory Fees Average Over 20% of Costs
Very Complex and Fluid Issue
– Open to controversy
– Becoming more prone to errors
Fees Are Not Standardized Across The Industry Or Service
– Terminology varies
– Rates vary between providers
– Assessed fees themselves vary between providers
– Some providers bundle fees together
A Good Strategy Can Reduce Telecom Expenses Upwards of 5%
Tax and Regulatory Fees
Tax Versus Fees– End users are responsible for taxes
– Providers are responsible for fees
Tax– Federal
– State
– Local (county & city)
Well Known Fees
Interstate Access
Preferred Interstate Carrier Charge
Universal Service Fund
E-911/911
Tax and Regulatory Fees Continued
Number Portability
Telecom Relay Service
Lesser Know Fees
Franchise Fee
Transit Authority Surcharge
Poison Control Surcharge
Property Tax Recovery
Administrative Recovery Fee
Access Recovery Charge
Not all Technologies are Taxed Equally
Internet Services
– 1998 Internet Tax Freedom Act
– 3rd extension to expire in November 2014
Bundled Services
– If part of the bundled service is exempt than all service is exempt
– LD on a monthly wireless plan is a good example
Voice over Internet Protocol
– Variables include
• Nomadic or Fixed• Originating and terminating device
types
Turbulent Waters
Access Reform
Connect America
Internet Services
VoIP
Best Practices For Minimizing Fees
1. Educate yourself on the topic of taxation and regulatory charges
2. Identify fees and rates from potential providers during procurement activities.
3. Consider the financial impact when evaluating technologies
4. Dispute new fees when they first appear
5. Make Providers prove their charges
Winning Strategies
Use Internet Based Services Where Possible
Bundled Service Can Eliminate USF on Access
Many Fees can be negotiated or minimized
Dispute new fees when they first appear
Stay Informed as opportunities change
Q&A
Thank You for Attending