Court Slams Qwest Over Attempts To Avoid Fees

A federal appellate court rejected Qwest Communications' argument that right-of-way fees assessed by Tucson and 3 other Arizona cities were unlawful and should be eliminated. The 9th U.S. Circuit Court of Appeals decision represents the latest defeat in Qwest's years-long effort to avoid paying the annual fees for the right to use its lines and cables across Arizona cities and towns. Company officials described the court's recent decision as a setback for consumers because the fees are passed directly to Qwest customers in Tucson, Globe, Miami and Nogales. No two ordinances are identical, but the fees range from 2 percent to 5 percent of the company's gross revenue derived from services offered to residents and businesses. Tucson, for instance, assesses a 2 percent charge on all telecommunications providers and an additional 1.5 percent for right-of-way users such as Qwest.




credit: The Arizona Republic, http://www.azcentral.com