(a) Tax Rate. The tax rate shall be levied upon the gross income from the business activity upon every person engaging or continuing in the business of providing telecommunication services to consumers within this city as follows:
(1) (i) A tax rate at an amount equal to four and one half (4.5) percent upon the gross income of providing telecommunication services.
(ii) Gross income from providing telecommunication services under this subsection includes all telecommunication services provided under Titles II and VI of the Federal Communications Act of 1934, as amended, (47 U.S.C. 201 et. seq.), but excludes resellers of solely interstate services.
(2) (i) A tax rate at an amount equal to an additional one and one-half (1 1/2) percent upon the gross income of providing telecommunication services by any provider who uses any city rights-of- way.
(ii) Gross income from providing telecommunication services under this subsection includes all telecommunication services provided under Titles II and VI of the Federal Communications Act of 1934, as amended, (47 U.S.C. 201 et. seq.), but excludes:
(1) Resellers of solely interstate services;
(2) Resellers who do not separately bill customers for local exchange service; and
(3) Providers of services provided principally by means of wireless transmitter/receiver cell sites located within the rights-of-way together with not more than one thousand (1,000) feet of facility installation per cell site in rights-of-way, provided the wireless provider has independent authorization from the city/town to occupy city/town rights-of-way with such facilities.
(iii) All franchise or license payments made by a person to the city shall be credited toward the payment of the public utility tax levied in this article III. All right-of-way permit payments made by a person to the city shall be credited towards the payment of the public utility tax levied in this subsection (a)(2)(i).
(b) Resale of Telecommunication Services. Gross income from sales of telecommunication services to another provider of telecommunications services for the purpose of providing the purchaser's customers with such service shall be exempt from the tax imposed by this section; provided such purchaser is properly licensed by the city to engage in such business under this article.
(c) Reserved.
(Ord. No. 6926, § 1.B, 4-18-88; Ord. No. 8998, § 2, 12-8-97; Ord. No. 9870, § 2, 6-30-03; Ord. No. 10685, § 1, 6-16-09, eff. 7-1-09; Ord. No. 11369, § 2, 6-7-16, eff. 7-1-16)