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Utah House adopts substitute to cap telecom franchise base after heated debate
Summary
The House approved a second substitute to HB206, clarifying local franchise-tax bases for telecommunications and allowing cities to add two telephone-related charges only after truth-in-taxation hearings; the measure passed 69–1 after intense debate over an industry-friendly amendment and concerns from cities and consumer advocates.
The Utah House of Representatives on Feb. 22 approved a second substitute to House Bill 206, a measure that clarifies which utility charges can be included in local franchise‑tax bases for telecommunications and allows cities to expand the base to include extended-area-service and customer‑access line charges only after a truth‑in‑taxation public hearing.
Representative Ballantine, who sponsored the substitute, said the bill is “an attempt to codify the status quo” while giving municipalities a narrowly defined option to include two additional telephone charges, noting the changes respond to market shifts since…
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