The new Republican U.S. representative from Colorado, Tom Tancredo, and returning representatives Pete Sessions (R-Tex.) and Ed Royce (R-Calif.) issued a “Dear Colleague” letter January 26 stating their intent to introduce legislation to end the e-rate telecommunications subsidies for libraries and schools.
ALA's Washington Office reports that the letter, which is being widely circulated on Capitol Hill, is designed to garner cosponsors for their bill, the E-Rate Termination Act. The letter calls the e-rate a “backdoor tax” that is not needed because of existing Department of Education funding earmarked “to improve technological capabilities.”
In addition, Sen. Conrad Burns (R-Mont.) and Rep. Billy Tauzin (R-La.) plan to reintroduce legislation that would halve the 3% federal excise tax on telephone service and redirect the revenue to fund the e-rate program, phasing out the program's link to phone bills. E-rate supporters maintain that would endanger the program's future since removing it from the universal service fund would require it to undergo congressional scrutiny each year.
Posted February 8, 1999.