PSC rejects AARP call to dismiss phone rate requests
By LOUIS HAU
Published November 4, 2003
The Florida Public Service Commission rejected 4-1 Monday a request from the AARP that it dismiss applications by Verizon, BellSouth and Sprint for sharp increases in their local basic phone rates.
Instead, the commission will go ahead with its plans to consider the applications, with a final hearing and vote on the matter scheduled Dec. 10-12. PSC chairman Lila Jaber was the sole dissenter.
Under a new state law crafted by the big phone companies, local rates can be increased in exchange for corresponding cuts in instate access fees charged to long-distance carriers.
AARP, the seniors advocacy group, argued that the applications should be thrown out because of the lack of specifics about how much cuts in access fees would reduce long-distance rates.
Some commissioners agreed that such information would be useful in determining whether the proposed rates would benefit residential customers. When asked why long distance carriers hadn't provided such information, AT&T attorney Tracy Hatch said, "Nobody in the competitive marketplace is going to tip their hand three months in advance."
TECO Transport
The commission delayed an evaluation of Tampa Electric Co.'s new five-year coal-transport contract with TECO Transport. That PSC review will be separated from the commission's hearings Nov. 12-14 on utility requests for fuel cost recovery.
The commission didn't set a date, but PSC spokesman Tarik Noriega said hearings on the transport contract likely will start before July 2004.