HELENA, Mont.—Montana customers of Qwest Communications will see their telephone rates go down beginning May 1.
The reductions were agreed to as the company sought to settle a complaint that it was receiving more than its allowable rate of return on its investment in the state. Ken Toole, now a member of the Public Service Commission, filed the complaint against the company in October 2006.
The commission regulates utilities.
Under the settlement, approved by the PSC in December, most residential customers with basic phone service will see a decrease of $4.72 per month. The monthly reductions will range from at least $2 to as high as $10.47.
Business customers will see reductions ranging from $3.94 to $12.41, with most getting a $6.66 decrease.
The reductions in the five-year settlement total $16 million per year for Montana Qwest customers.
Toole did not vote on the settlement agreement, which allows Qwest to offer a mix of other data and telephone services at non-regulated prices.
The settlement also calls for Denver-based Qwest to bring Digital Subscriber Line (DSL) service to an additional 27 Montana communities over the next three years. The PSC said Boulder, Bridger, Canyon Ferry, Clancy, Darby, Forsyth, Park City and Roberts should have DSL by September.
Fromberg, Joliet, Warm Springs and Wolf Creek should have that service by December 2009.
Opportunity, Townsend, Ulm and Victor are slated to receive DSL service by May 2010.
DSL work for Amsterdam, Cascade, Clyde Park, Cooke City, Dutton, East Glacier Park, Gardiner, Pray, Saint Mary, West Glacier and Wilsall must be completed by May 2012.
