Town countersues RCN
By Anne Scadding/ Correspondent

Thursday, December 30, 2004

The battle between the town and RCN has headed into a new realm -U.S. District Court- in an ongoing dispute that leaves one out of 10 Wakefield households with no choice when it comes to selecting a cable access provider. Both the town and RCN have filed lawsuits against one another during the past month over the cable provider's failure to complete the building of its system and provide service to all residents. While roughly 9,000 residents can choose between either RCN or Comcast when they subscribe to cable, an estimated 932 homes - or roughly one out of every 10 within town - can not access RCN due to the provider's failure to complete its system, said Town Counsel Tom Mullen. Most of these homes are in newer subdivisions in which utilities are located below ground. In its lawsuit - and in an earlier petition to the Board of Selectmen to modify its license - RCN argues that the costs to complete the service ran higher than expected, Mullen said.

"The problem with their argument is that it was completely foreseeable when their license was granted in 1999 that it would be more expensive to (provide service) in some parts of town rather than others," Mullen said. RCN had filed for Chapter 11 bankruptcy in May, but maintained that it did not anticipate any interruptions in service to residents as a result of the filing. While it has filed its court appeal, the cable provider remains optimistic it can reach an agreement with town officials, said a company spokesperson. "We have every intention to work toward a solution with the selectmen, which is our ultimate goal," said Brooke Tyson, an RCN spokesperson. "We continue to be very proud that we're offering excellent service to 90 percent of the town." The town filed its lawsuit against RCN on Dec. 9, asking a federal court to order the cable provider to finish building its system and give all homes access, Mullen said. In addition, the town wants to receive monetary damages.

While the dollar amount remains unspecified, it should be enough to allow the town to complete the excavation work and building so that all residences have access, Mullen said. In the petition to modify its license filed with the Board of Selectmen earlier this year, RCN estimated it would cost $660,000 to finish the wiring of the town. Finally, the town wants the court to award it the right to use a $100,000 performance bond and $10,000 letter of credit RCN posted when it signed its licensing agreement with Wakefield in 1999, Mullen said. Wakefield filed its lawsuit only after RCN filed suit against the town in mid-November, Mullen said. In that lawsuit, the cable provider appealed a July decision by the Board of Selectmen to deny an RCN request to modify its license.

Continued at townonline.com