Access for Smaller Urban Markets . . . . monthly savings/annual savings

Texas has and continues to allow a select group of mid-size cities to use the legislation of Texas Senate Bill 632 to bolster rural economic development.

What is the rural and urban impact in dollars for business and residential costs to call Lubbock, Amarillo, Abilene, etc., long distance each month? A simple and extremely conservative example: a city with a population 2500 (approximately 715 households at $15 each calling Lubbock, Amarillo, Abilene, etc.) is expected to save at least:

Rural City Monthly savings
(no long distance to adjoining major trade area city . . .

$ 10,000 to $ 15,000

One rural city of 2500 population
Annual savings . . .

$120,000 to $180,000

For conservative regional estimates assume a non-Lubbock, Amarillo, Abilene, etc., regional population within 60 miles of these cities to be approximately 125,000 people.

Total Regional monthly savings--rural only
(savings for rural cities surrounding the larger city . . .

$500,000 to $750,000

It is estimated that adjoining rural towns use approximately 65% of their wealth and purchasing power in the primary trade area, in this case Lubbock, Amarillo, Abilene, etc.. Therefore, for simplicity, we figure that the long distance costs for Lubbock, Amarillo, Abilene, etc., the business’ and individuals with inbound 800 telephone numbers, might spend at least 25% of the above figure (using the same ratio). In reality these two numbers are closer together than 65/25. (But, to be conservative . . . )

Monthly Lubbock, Amarillo, Abilene, etc.
(savings for the major trade area city

$125,000 to $187,500

Total Region-Wide Annual Savings
(one region only IE., Amarillo alone . . .

$7,500,000 to $11,250,000

So, for simplicity sake it looks like a joke. But, just ask Lubbock, Amarillo, Abilene, etc. businesses with toll free in-bound telephone lines, and the hundred thousand plus consumers who live within the individual trade areas' of either Lubbock, Amarillo, Abilene, etc.,--just ask them how much time they spend communicating to Lubbock, Amarillo, Abilene, etc.

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