Minnesota’s Attorney General: Landline deregulation would raise prices, cut service

A proposal that would change how local phone companies are regulated at the Minnesota State Capitol is facing opposition amidst concerns that it would lead to higher prices and less service in rural areas. The bill's advocates say less regulation would allow them to stay competitive with newer technologies.

Attorney General Lori Swanson said the proposal that's being pushed by telecommunication companies would "eviscerate" 100 years of state law protecting consumers, including a requirement that phone companies provide access in far-flung rural areas. "We're very concerned that they'll just drop people who are too expensive to serve," Swanson said. "And we're very concerned that if they don't drop you, they'll say, 'Great, it will be $250 a month.'" The bills are opposed by former Minnesota Attorney General Skip Humphrey and Mike Hatch, who called it a "metro-centric" bill that would hurt the elderly and the poor.