Taxes, Fees and Surcharges
Below is a summary of some of the charges that may appear on your Fastwyre bill each month.
Alaska Telecom Relay Charge – Alaska Statute 42.05.296 requires that telephone companies provide service to the deaf, hard of hearing, and speech-impaired subscribers so that they can communicate by telephone. The regulations require cost recovery through a surcharge added to the local service rate.
Alaska Universal Service Fund (AUSF) – AUSF is a surcharge on a customer’s local and Intrastate services. The surcharge provides support for certain high-cost rural areas, helping to keep local and long-distance service rates affordable.
Carrier Cost Recovery/Access Recovery Charge (ARC) – As permitted under the FCC’s rules (which became effective December 29, 2011), the Access Recovery Charge enables Fastwyre to recover from end-user customers a limited portion of revenues lost due to FCC-mandated reductions in intercarrier payments.
Enhanced 911 (E-911) Emergency System Surcharge – The E-911 system provides support for emergency communication services provided by municipalities. The surcharge is authorized by Alaska law (AS 29.35.131-29.35.173). The statutes provide that an E-911 surcharge of up to $2.00 per month per local access line and wireless telephone number may be imposed where an enhanced 911 system is utilized. Fastwyre remits the proceeds from these surcharges, less a small administrative fee, directly to the municipalities that have adopted them by ordinance.
FCC Regulatory Fee – Regulatory fees are mandated by Congress, pursuant to Section 9 of the Communications Act of 1934, as amended. Section 9 requires the Commission to collect regulatory fees to recover the regulatory costs associated with its enforcement, policy and rulemaking, user information, and international activities.
Federal Excise Tax – Fastwyre is required to collect this tax, mandated by the federal government on local telecommunications services.
Federal Universal Service Fund (FUSC) – The Universal Service Fund is a federal program funded by the Federal Universal Service Charge (FUSC). The program is designed to keep local phone service rates affordable in all areas of the United States, including higher-cost rural areas. The fund also supports schools and libraries, rural health care providers, and low-income consumers. This rate may change quarterly.
Local Sales Taxes – Fastwyre is required to collect local taxes on behalf of organized cities and boroughs within Alaska.
Network Access Fee (NAF) – The Regulatory Commission of Alaska (RCA) adopted a new Intrastate Access structure to lower the rates that long-distance phone companies pay for using the local exchange companies’ networks. As a result of the change, the Commission instituted a Network Access Fee or NAF beginning April 1, 2005. Although not required, the surcharge provides an opportunity for long-distance carriers to reduce in-state long-distance calling rates.
Network Enhancement Fee – Fastwyre charges a network enhancement fee for network maintenance and upgrades.
Regulatory Cost Charge (RCC) – The Regulatory Cost Charge is a surcharge applied to all regulated in-state retail customer billings to pay the local and long-distance phone companies’ share of the budget of the Regulatory Commission of Alaska.
Subscriber Line Charge (SLC) – The SLC was established by the Federal Communications Commission (FCC) to cover costs of the local phone network used to originate and terminate interstate long-distance calls that are not recovered through charges paid by long-distance companies.