Actually the Clinton Administration is only calling for a 2 year moratorium.

A copy of our opposition letter from the Mayor is attached.



-----Original Message-----
From: Frances Medema [mailto:[EMAIL PROTECTED]]
Sent: Monday, June 19, 2000 10:32 AM
To: [EMAIL PROTECTED]; [EMAIL PROTECTED]
Subject: [CSMFO Members] AB 1784 Lempert - Internet Tax Freedom Act


This bill is aimed at removing the deadline on the moratorium on internet
taxes thus setting a permanent moratorium on internet taxes.  The bill comes
before Senate Local Government on Wednesday.  Now is the time to phone your
opposition to the committee members, especially Chair Senator Rainey.  Other
membes include Senators Soto, Johannessen, Johnston, Montieth, Perata, and
Polanco.  If your city is in any of these districts, please call your
senator today.

The full implications of internet commerce on local and state revenues and
services has not been fully studied.  The bill analysis questions the need
to rush to extend the moratorium that expires on January 1, 2002.  A report
by the LAO earlier this year recommended futher study before extending the
moratorium.  Even Congress is only considering a five-year extension and
John McCain, chair of the Senate Committee that will hear the extension
bill, has questioned that extension.

Your help is needed to oppose this bill.  

Frances Medema
Policy Analyst
League of California Cities
1400 K Street Suite 400
Sacramento, CA 95814
phone: 916/658-8218
fax:       916/658-8240
email:    [EMAIL PROTECTED]

AB 1784 - Internet Tax Act - Rainey - Oppose - May 9 2000.doc

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