November 22, 2024
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PUC delays phone hearing Jan. 3 new date for FairPoint talks

State regulators have postponed until next month a hearing to consider changes to FairPoint Communications’ proposal to purchase 1.6 million telephone land lines in northern New England from Verizon.

The Maine Public Utilities Commission had been scheduled to meet Wednesday to review amendments to a settlement agreement among the two companies, PUC staff and other parties. The settlement agreement, also known as a “stipulation,” was the product of closed-door negotiations to address some, but not all, concerns raised about the $2.7 billion deal.

The hearing has been rescheduled for 9 a.m. Thursday, Jan. 3, in the PUC hearing room in Augusta. Officials agreed to reschedule after several parties from out of state were having problems getting back to Maine the day after Christmas, PUC spokeswoman Nicole Clegg said Monday.

Regulators in Maine, Vermont and New Hampshire are now reviewing FairPoint’s proposal to buy Verizon’s phone and Internet lines in the three states. Utility regulators in all three states must sign off on the deal.

Verizon would retain its wireless operations in the three-state region.

At the Jan. 3 meeting the commission is expected to review the changes, most of which are relatively minor in nature, as well as begin delving into the meat of the settlement agreement, Clegg said. The PUC is not expected to begin deliberating on the overall buyout until later in the month, however.

“There are still a lot of issues outside of the stipulation that will have to be deliberated,” Clegg said.

Charlotte, N.C.-based FairPoint also is encountering turbulence in the other two states.

Last week, Vermont regulators denied FairPoint’s current application, citing concerns about the company’s financial ability to purchase and maintain so many lines. But Vermont’s Public Service Board said it could approve the buyout if the financial issues were addressed and invited FairPoint to submit a revised application.

The staff of New Hampshire’s Public Utilities Commission also has recommended denial of the initial proposal.

Clegg said Maine would continue with its review despite FairPoint’s at least temporary setback in Vermont.

“It doesn’t in any way impact the process going on in Maine,” she said. “We’re mindful of it, but we’re going forward with our process.”

Several parties in Maine, including the Communication Workers of America and the International Brotherhood of Electrical Workers, did not agree to the stipulation.


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