nanog mailing list archives

Re: Cost Recovery Surcharge & Va Personal Property Tax Recovery for IP Transit


From: Clayton Zekelman <clayton () MNSi Net>
Date: Mon, 06 Jan 2020 09:56:41 -0500


It seems to me the cable companies started this long ago to account for various local taxes being levied upon them in different jurisdictions. They figured "why should someone in this county make us less money than someone in another county", so they leveled the field by breaking the taxes out.

It seems to have worked so well, that they just started off loading anything they could find in to below the line pricing. We're seeing this more and more. The company that hauls our office trash away has decided to put an "environmental surcharge" and "fuel surcharge" on our bills. It's all spelled out in the contract fine print, but it seems to me that the $43.00 per trip surcharge is enough diesel to go back and forth 10 times between our location and the transfer station...


At 09:46 AM 06/01/2020, Brandon Martin wrote:
On 1/6/20 9:39 AM, Siyuan Miao wrote:
- Va Personal Property Tax Recovery (1.8%)
- Cost Recovery Surcharge (3%)?

These sound like your typical BS "authorized fees" many carriers at all levels love to levy. They're basically attempting to itemize various regulatory (i.e. regulations they have to comply with just like any business would) overhead and pass it on to you directly. Cable companies and incumbent telecoms love to do this since it's a way to make more money without raising base rates that they actually have to quote to people.

They were probably described deep in the bowels of your contract. If not...you might be able to get out of them.
--
Brandon Martin

--

Clayton Zekelman
Managed Network Systems Inc. (MNSi)
3363 Tecumseh Rd. E
Windsor, Ontario
N8W 1H4

tel. 519-985-8410
fax. 519-985-8409

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