CER2520@ritvax.bitnet (Curtis E. Reid) (07/16/90)
Excerpt from Rochester, New York Democrat & Chronicle, Monday, July
16, 1990:
PHONE FIRM WANTS RATEPAYERS TO PAY ITS CHARITY DONATIONS
ALBANY - New York Telephone wants its ratepayers to pay for
$10 million in contributions to charities, despite a court decision
declaring that practice unconstitutional, Attorney General Robert
Abrams said yesterday.
Abrams said the charity request is part of the record $919
million rate hike request New York Telephone has made to the state
Public Service Commission.
In May, the state's highest court ruled unanimously that it is
unconsitutional for utilities to count chartiable contributions as
operating exepenses that can be passed along to consumers.
New York Telephone spokesman Peter Muller said the rate
request was made while the phone company decides whether to appeal the
court decision to the U.S. Supreme Court. If the company does not
appeal or the court decides against the company, the money will be
refunded, he said.
"If (the company) wants to give money to charities and other
private organizations, it should come out of company profits and not
out of the hides of consumers," Abrams said.
Consumers have the right to choose which charities they want
to support and not be unwittingly forced to contribute to causes with
which they may not agree, Abrams said. He called on the PSC to reject
the phone company's request.