This week RCRC submitted comments to the Proposed Decision Approving the Corporate Restructuring With Conditions (Proposed Decision) of Frontier Communications Corporation (Frontier). The CPUC is poised to vote on a Proposed Decision and approve Frontier Communications corporate restructuring so the company can exit Chapter 11 bankruptcy as early as March 18, 2021. The Proposed Decision seeks to condition the corporate restructuring based on a variety of operational, financial, service, pricing, and employment matters thus necessitating a Compliance Monitor, funded by Frontier, to assist the CPUC with future enforcement efforts. Further, tribal and local governments will be given a “right of first offer” to purchase property that Frontier proposes to sell or dispose of. Also, Frontier will be able to retain its Carrier of Last Resort status. It is estimated that nearly 90% of Frontier’s rural households do not have fiber services, whereas approximately 42% of its urban households do.

On April 14, 2020, Frontier filed for Chapter 11 bankruptcy in the U.S Bankruptcy Court, proposing to restructure ownership and deal with its $17.5 billion debt and triggering California law requiring CPUC input. Frontier is one of the two largest Incumbent Local Exchange Carriers in California, offering phone, video, and/or broadband service in 44 counties. At the request of the CPUC, RCRC became a formal party to this proceeding on September 30, 2020.