New York state”™s Public Service Commission has voted in favor of a $12 million settlement with Charter Communications that will allow the Stamford cable provider to remain in the state.
The 3-1 vote formalizes a compromise reached between the two parties in April.
Charter is required to provide broadband service to 145,000 upstate customers at an estimated cost of more than $600 million, and to pay the state $12 million for other broadband projects under its Spectrum brand. To date, Charter has reached about 65,000 new homes and businesses; it has until September 2021 to reach the 145,000 figure.
The agreement brings to an end a battle that began last July when the Public Service Commission (PSC) accused Charter of “repeated failures to serve New Yorkers and honor its commitments” and threatened it with expulsion by forcing it to cede its internet, television and phone services to another company.
The roots of the dispute date back to 2016 when Charter signed a deal with the PSC to gain approval of its purchase of Time Warner Cable. As part of that agreement, the Stamford company was required to add more than 58,000 homes, mostly in rural areas, to its Spectrum network by May 2018. While Charter said it had done so, the PSC held that it had inflated its figures by relying too much on New York City subscribers.
Regarding the latest development, Charter released a statement saying, “We”™re pleased the PSC has approved the agreement, and we look forward to continuing to serve our customers and expanding the availability of high-speed broadband in New York state. We thank the PSC, Chairman (John) Rhodes, the commissioners and staff for working with us throughout this process.”
