Hundreds Speak Out at CPUC Hearing on AT&T Plan to Ditch Landlines

Source: CBS News  |  By Ruth Dusseault

On Tuesday, over 200 phone comments were heard by the California Public Utilities Commission over their consideration to release AT&T from its obligation to serve as the state's carrier of last resort. The carrier of last resort designation, or COLR, is a cornerstone of utility regulation. It obligates a carrier to serve all customers within their territory no matter where they live, even in places with spotty cellphone service.

According to Regina Costa with The Utility Reform Network, a nonprofit watchdog group that advocates for affordable power and phone service, the two designation requests are linked in a slight-of-hand to get out from regulations. If AT&T is released as the COLR, then it is no longer obligated to provide basic service. "There's the catch," said Costa, "They are saying they will provide California LifeLine, but only where it has an obligation. At the same time, they are asking for a release of the obligation as carrier of last resort. So, it's really a lot of smoke and mirrors." Costa says that AT&T is allowed to offer LifeLine using Voice over Internet Protocol (VoIP), which is a digital service that can be transmitted on either copper or fiber optic wires, but she says the company chooses not to do that. "So, it is being pitched as if they are getting rid of these old, antiquated lines," Costa said. AT&T also co-owns most of the utility poles with PG&E, said Costa. "So, if you want to use the pole, you have to negotiate with AT&T."