Regulatory Information

Pathwayz Communications telephone bills include the following fees and taxes:

911 Fee

This fee funds the provision of 9-1-1 emergency telecommunications services. These funds are remitted to the regional planning commission or designated 9-1-1 agency. The amount varies by city.

Municipal Charge

This fee compensates the municipality for the use of public right-of-way. The amount varies by city.FCC Approved Carrier Line ChargeThis fee is assessed by local telephone companies to recover interstate costs associated with the local loop that are not recovered elsewhere. This charge ranges from $4.31 to $6.95 per line. Other companies generally charge from $5.30 to $9.00 per line.

Local Number Portability

This charge funds the configuration of local telephone companies’ networks so that a customer switching local telephone companies will not need to change his current telephone number as well.

Regulatory Admin Fee

This fee compensates the local telephone company for the administrative costs of collection and remittance of taxes and fees. The charge is $2.99 per line.

Percentage based Taxes and surcharges:

State and Local Sales Tax

Taxes not to exceed 8.25% are levied on telecommunications services and remitted to the state general fund and local governments.

Texas Universal Service

The Texas USF, currently 4.3%, funds affordable service to high-cost rural customers, programs for the disabled, and telecommunications service discounts to low-income customers.

Texas Infrastructure Reimbursement

This charge of 1.25% of telecommunications services recovers a tax on telephone companies that originally funded grants for telecommunications initiatives and distance learning in schools, libraries, and hospitals but now goes to the state general fund.

Federal Excise Tax

This tax of 3% of telecommunications charges is remitted to the US Treasury.

Equalization Surcharge

This $.06 per line surcharge is used to generate additional funds for 9-1-1 services and fund poison control centers.

Federal Universal Service Fund

The FUSF funds telecommunications service discounts to schools, libraries, rural health care providers, and low-income customers. It also funds local telephone companies that serve high-cost areas. This charge on telephone companies is recovered through a 5.5% surcharge on long distance calls.