Assembly favors freeing phone companies from feeding earnings to customers.(Knight Ridder Newspapers)

From: Knight Ridder/Tribune News Service | Date: May 8, 2002| Author: Tessler, Joelle | Copyright information

SAN JOSE, Calif. _ The California Assembly is expected to pass a controversial bill as early as Thursday that would free Pacific Bell and Verizon, the state's two major local phone companies, from obligations to share excess earnings with customers.

The legislation could cost California residential and business customers at least $3 billion over the next five years, according to the Office of Ratepayer Advocates, the arm of the state Public Utilities Commission charged w...

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