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Apr 24, 2008 4:23 pm US/Central

Texans Could Soon Get Phone Bills Break

DALLAS (AP) ―

Phone bills may drop about 1-percent starting in January if a proposed $144 million cut to the state's telecom taxes is approved Friday as expected.

The Texas' Universal Service Fund has some of the highest telecom taxes in the nation.

The proposed cut was the result of a compromise agreement between the Public Utilities Commission and the phone companies.

If the PUC approves the negotiated cut at its Friday meeting, it will be the second reduction to Texas' telecom taxes. The first came last year, when legislators killed the Telecommunications Infrastructure Fund that added 1.25 percent to telecom bills.