There's a battle brewing in the state legislature over broadband services.

House Bill 1252 would require cities that provide communications services, like Internet and phone, to follow the same laws as private companies. If the bill passes, municipalities would not be able to cross-subsidize, or fund those services using money from things like taxes or other utilities bills. Towns would also have to prepare an annual audit of competitive fairness.

The bill's primary sponsor, Representative Ty Harrell, said it's not about preventing municipalities from starting communication services.

"We want to make sure that all parties involved are playing by the same rules," Harrell said.

The main issue, Harrell said, boils down to preventing cities and towns from using government funds to help pay for communications services.

"They're basically being funded to be a competitor to private industry," Harrell said.

Brad Phillips with the North Carolina Telecommunications Association said private companies have no problem competing as long as it's fair.

"Is it right for a local government to tax a local company and then use those taxes to compete with that company? We think that's unfair," Phillips said.

But many think the proposed bill is not fair.

The City of Wilson is one of the few in the state to create its own fiber optic system because it said private service wasn't fast enough. Wilson is exempt from the bill because it already has established a service, but City Manager Grant Goings said he's supporting other municipalities.

"The premise that we should just wait until the private sector decides its worthy of investment is a very dangerous one," Goings said.

Brian Bowman with the City of Wilson said the city does not support its service with tax money.

Other bill opponents, like Kelli Kukara with the North Carolina League of Municipalities, said the current law is fine the way it is, and the bill adds too many regulations on municipalities.

"I believe the cities and towns need to have the ability to manage broadband as they see fit at a local level," Kukara said.