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State Court Orders Ore. PUC to Reconsider Payphone Order

A state appeals court ordered the Oregon Public Utility Commission to reconsider an order denying payphone providers refunds from Lumen. The Northwest Public Communications Council (NPCC), a regional payphone provider association, asked the PUC to order Lumen to issue refunds for payphone rates that its predecessor Qwest charged payphone companies between 1996 and 2003, saying the charged rates didn’t comply with federal law. “The PUC's prior orders in this docket neither require nor preclude the requested refunds and … we cannot say whether state and federal law require the PUC to order the requested refunds,” Oregon Appeals Court Judge Darleen Ortega wrote in Wednesday’s decision (case A166810). “However, because we conclude that the PUC relied on factual findings that are not supported by substantial evidence, we reverse Order No. 17-473 and remand to the PUC for reconsideration.” The PUC hasn’t determined if the pre-2003 rates complied with federal law, said Ortega. “Under the applicable regulatory scheme, the PUC does not have discretion to simply ignore NPCC's allegations that Qwest's pre-2003 payphone rates violate section 276” of the 1996 Telecom Act, she said. “And if, after proper inquiry, the PUC finds that Qwest's pre-2003 payphone rates exceeded that allowed by federal law and amount to 'unjust and unreasonable exactions,' the PUC has a duty to protect ratepayers, including NPCC's members, by providing some appropriate remedy,” which “may include ordering refunds for overcharges.” The Oregon PUC "will be reviewing the order and will take appropriate action based on the court’s decision," a spokesperson said Monday. Lumen declined to comment.