Remember Lilly Tomlin’s old phone operator comedy routine? She played an arrogant operator, hassling the person on the other end of the phone.

It’s funny when a comedian does it but not very funny when Qwest behaves the same way. Qwest is earning much more profit than it should be and that is coming right out of consumer’s pockets. Here’s the deal:

1. Qwest is a regulated utility and the Public Service Commission sets their authorized rate of return (profit).
2. Qwest’s authorized rate of return is currently set at 10.44 percent
3. Qwest has been earning far in excess of their “authorized rate of return” for a long time

• 2005- Rate of return approximately 21%
• 2004- Rate of return approximately 21%
• 2003- Rate of return approximately 19%
• 2002- Rate of return approximately 19%
• 2001- Rate of return approximately 20%
   

You get the picture. . . .. As a side note here, the above figures represent return on rate base. Last year Qwest earned a whopping 66% on equity!! (All of these figures come from legal filings with the PSC)  The PSC is currently locked in litigation with Qwest trying to get them to come in for examination of these earnings. But the law also allows any individual customer to file a complaint against Qwest.

I’m going to file a complaint. . . .and I’d like your help. My hope is to put more pressure on Qwest and to provide another potential avenue to make them accountable to the PSC.

Denise Peterson has agreed to help with this. She is a former attorney for the Public Service Commission (ironically, she is also running for the legislature against Mike Taylor’s wife Janna Taylor.)

If you would like to join this effort and you are a Qwest customer, just fill out the form below and send me your name and contact information. We will get in touch with more specifics!

Sincerely,

Ken Toole

PS: By the way, Qwest has appealed its property taxes for the last two years and is currently supporting legislation to further deregulate its operations. Good corporate citizens indeed!