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BY JEANETTE EBERLIN-RIZZELLO

The Hazelwood City Council has made sure the city gets everything it’s entitled to in settlements of taxes owed to municipalities by major cellular telephone companies in Missouri.

In an emergency action at last its last meeting, the council gave two readings to a bill accepting a settlement from U. S. Cellular company because the paperwork had to be submitted to the state before the Jan. 18 deadline.

First reading also was given to a bill accepting the settlement from AT&T and Sprint cellular companies whose deadlines are set at Feb. 25 and March 10. Second reading of this bill will be at the Jan.16 city council meeting. Hazelwood had previously adopted an ordinance approving the Verizon settlement agreement.

After the meeting when asked about the history behind the actions, Assistant City Manager Robert Frank explained the situation this way:

“For at least six years cell telephone companies have not paid taxes to local governments. They contend they are not in the business of providing telephone services to customers.

“The cell companies had persuaded the Missouri General Assembly to prohibit municipalities from collecting taxes from them and also to dismiss any lawsuits against them; however, the Missouri Supreme Court nullified this statute within a year of its passage. ”

“The cell companies are now entering into negotiations with municipalities to seek settlement of all pending lawsuits,” Frank explained.

In the discussion at the council meeting, City Attorney Kevin O’Keefe said, “There are still lawsuits pending against a number of smaller cell phone companies. It is hoped these smaller companies will fall in line with the terms already accepted by the major carriers, and this entire dispute can be brought to a close.”
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