For Immediate Release
6/12/07

CONTACT:

Donald Houser
(717) 787-1377

Corman Bill Would Require VoIP providers to Forward 911 Fees to Commonwealth

MEASURE UNANIMOUSLY PASSED STATE SENATE

(HARRISBURG) - The Senate today approved legislation that would require voice over the internet (VoIP) providers who charge customers for E-911 services to forward those fees to the Commonwealth, according to Sen. Jake Corman (R-Centre), who sponsored the measure.

In May of 2005, the FCC issued an order requiring interconnected VoIP providers to provide customers with E-911 service.  These companies are similar to traditional telephone providers in that they enable customers to receive calls from and terminate calls to the public switched telephone network.  Examples of VoIP providers include Vonage, Packet8, AT&T's CallVantage, Broadvoice, SunRocket and Voicepulse. 

Corman noted that many of these companies already collect fees for providing 911 services to customers.  However, Pennsylvania currently has no law that compels them to forward those 911 fees back to the Commonwealth like traditional and wireless phone companies must do.

"VoIP companies have been charging their customers fees for 911 services and scantily worded 'regulatory recovery fees' for years," Corman said.  "But some keep these fees and do not send them back to the states like their competitors in the landline and wireless industries must do, to the detriment of our county 911 centers.  This bill would rectify that discrepancy and put all of the industries on equal footing."

Corman's legislation requires all interconnected VoIP companies to charge customers $1 for each line and forward that money to Pennsylvania.  The Pennsylvania Emergency Management Agency would then provide the fees to the counties where the customers are located.

"In 2003 we responded to counties who said they were losing 911 fees to the wireless industry by placing a charge on each cell phone," Corman said.  "Now we must respond to the increasing market share of the VoIP industry and ensure that they also send 911 fees back to our counties to help pay for the infrastructure and services they use."

Senate Bill 385 now goes to the House of Representatives for consideration.

Senator Jake Corman, the Senate Policy Chairman, represents the 34th Senatorial District, which includes Centre, Mifflin, Juniata, Perry and Union Counties.

Additional Information:
Improving Emergency Preparedness