The New York Public Service Commission refused to stay an interim...
The New York Public Service Commission refused to stay an interim decision in an interconnection dispute over rates and terms between wholesale transport and termination provider Neutral Tandem and competitive retail carrier Level 3 Communications. Level 3 sought a…
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state stay until a federal court rules on whether PSC action on this dispute is preempted by federal law. The PSC (Case 07-C-1332) ruled that staying its order would unfairly disadvantage Neutral Tandem. Level 3 had threatened to disconnect itself from Neutral Tandem, but the PSC told the companies to maintain interconnection under existing terms until they negotiated new rates and terms, or until the PSC ruled on the disputed issues. Level 3 in its January appeal to the federal courts asserted the PSC exceeded its authority under federal law. The PSC said denial of the stay fitted its established policy of pressing ahead with its own proceeding despite pending federal litigation. The PSC said a functional and effective telecom market requires prompt resolution of participants’ disputes.