An arbitrator has ruled that Alaska Communications Systems Inc. may not charge General Communication Inc. increased fees to use ACS-installed and maintained telecommunications infrastructure.
The rule is the latest development in the ongoing struggle between the two Anchorage-based companies.
The arbitrator was Cheryl Tritt, an attorney with Washington, D.C. office of Morrison & Foerster LLP. She ruled that "ACS' efforts to impose additional costs on GCI for these routine outside plant modifications is an impermissible ... change."
The decision, which came out Dec. 20, did not consider a separate order issued earlier in the month by the Regulatory Commission of Alaska. That judgment required ACS to provide GCI customers with telecommunications hardware at the same price ACS charges its clients.
Dana Tindall, GCI vice president of legal and regulatory affairs, said the arbitrator considered the contract that exists between the two companies while the RCA heard public comment about ACS's practices.
"She (Tritt) came to the same conclusion as the RCA but by different resources," Tindall said. "We think that's a pretty strong verdict."
Mary Ann Pease, the vice president of ACS, however, said the ruling was based on history, not present competitive conditions.
"My take is that the arbitrator said two things that are important here." Pease said. "She said we are not compelled to build out our facilities by the interconnection agreement or by the telecommunication act. She did say we are compelled to build out because of past practice."
ACS will appeal the ruling to the regulatory commission, Pease said. Tindall said she expects the appeals process will continue on until it involves the court room.
"I'm sure that ultimately some judge in a courtroom will hear it," she said.