Lumen Considering Alternatives After Wash. UTC Rejects Competitive Classification

A disappointed Lumen is reviewing its options after the Washington Utilities and Transportation Commission rejected a proposed settlement between the company and UTC staff related to the state’s method of regulation, a Lumen spokesperson said Tuesday. The pact would have reduced regulation of the telco by classifying Lumen’s CenturyLink ILECs as competitive. In a 3-0 order Friday, the commission took issue with a proposed process for discontinuing service in challenging customer locations (CCLs), which the agreement defines as “an existing CenturyLink local service customer location in Washington that lacks both fixed internet availability from at least one provider at [25 Mbps download and 3 Mbps upload] speed or greater priced at $61.13 per month or less, and mobile wireless service at $61.13 per month or less.” Under the pact, CenturyLink would have to get UTC approval before discontinuing stand-alone residential or business exchange service to any area including a CCL. However, the commission agreed with concerns by the state attorney general’s public counsel office that “that the CCL definition is too narrow, and that the discontinuance process could leave some customers without adequate service.” The commission sought “broader protections and a more stringent approval process.” The UTC added that “CenturyLink, a profitable company that has previously accepted federal money to provide these services to customers needs to do more to meet the needs of its most vulnerable customers who would be affected by the inequities of this proposal.” The rejection means a “temporary extension” of the current alternative form of regulation (AFOR) scheme until parties can adjust the settlement and the commission can resolve Lumen’s Jan. 8 petition seeking competitive reclassification, said the order in docket UT-240029. CenturyLink has operated for nearly a decade under an AFOR in Washington state (see 2402060015). Lumen “worked closely with [Washington UTC] staff to reach a settlement creating a comprehensive new regulatory structure reflective of today’s competitive market,” said the company’s spokesperson. “The proposed settlement contained multiple levels of safeguards that ensured no CenturyLink customers would be left without service.”