City of Gary v. Indiana Bell Telephone Co.

ON PETITION TO TRANSFER

SULLIVAN, Justice.

Ameritech Indiana sought declaratory and injunctive relief to prevent the City of Gary from imposing a “requirements-based fee” on telecommunications providers using City .rights-of-way. The trial court declared the fee void as an improper tax issued beyond the City’s powers. We reverse in part, finding that the City was initially entitled to charge compensation for the private, commercial use of its real estate, until the legislature affirmatively said otherwise.

*152 Background

On January 6, 1998, the City of Gary enacted Ordinance Nos. 6970 & 6971, which…