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Connecticut’s Public Utilities Regulatory Authority denied Frontier Communications’...

Connecticut’s Public Utilities Regulatory Authority denied Frontier Communications’ proposed settlement with state officials on public interest conditions for state approval of its proposed purchase of AT&T’s wireline, broadband and video assets there. PURA ordered Frontier Thursday to redraft the agreement…

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with state Attorney General George Jepsen and the Office of Consumer Counsel (http://bit.ly/1lx0SKj). Elements of the agreement released last month (CD Aug 13 p13) “contain merit for further discussion in an effort to rehabilitate them wherever possible,” PURA said. The regulator said it will hold a technical meeting Sept. 10 to examine issues it had with the proposed settlement. PURA said it believes Frontier’s proposal to cap residential rates for 36 months isn’t a real benefit because residential rates weren’t forecast to rise, while Frontier hasn’t sufficiently explained its proposed $63 million broadband investment in Connecticut. Frontier’s proposal to work with the state Department of Veterans Affairs on outreach to state veterans is “premature” before the agency approves the partnership, while its proposal to let PURA determine which charities receive Frontier’s $500,000 in annual charitable contributions in the state is “not appropriate,” the regulator said. Jepsen said in a statement that PURA didn’t note all of the benefits contained in the proposed settlement, which “narrowed issues, produced benefits that might not otherwise be achievable in a contested final decision, and left PURA able to address in this docket or otherwise other issues of concern.” Jepsen said he disagrees “with other conclusions, including that the settlement is not enforceable -- it is enforceable by PURA itself, as with all settlements it approves.” A Frontier spokeswoman said the telco remains “confident” its proposed deal with AT&T is in the best interests of Connecticut residents.