Charter Communications (and the Spectrum internet service) has officially signed a deal to stay in New York State with the Public Service Commission agree on an arrangement that the Charter will fulfill its original broadband extension obligations that the company had agreed to when it merged with Time Warner Cable in 2016, through Ars Technica.
Originally, the Charter threatened to be blocked from operating fully in the state because it failed to expand super-fast internet services to more homes that the company had originally promised to do as a condition for merging with Time Warner Cable.
Under the agreement, "Charter will extend its network to high-speed broadband service to 145,000 homes and businesses in full Upstate New York" by September 30, 2021, with Charter to pay the estimated $ 600 million bill for that extension. According to the Public Service Commission estimate, the Charter has reached around 65,000 of the 145,000 addresses that it is required, meaning that it will have sufficient work to meet that deadline over the next two years.
In addition to meeting the extension obligations, the Charter will also have to pay $ 12 million for "additional broadband expansion projects at locations selected by the Department of Public Service and the New York State Broadband Program Office." That money will be split in two, with $ 6 million to the New York State Broadband Program Office, and $ 6 million to an escrow fund for Charter to do work as directed by the state.
They are nice concessions as far as the state of New York is concerned, with the only possible shortcoming that it is dependent on the Charter to actually do the expansion that it has not done before. The PSC notes that this time there are "frequent intermediate and enforceable milestone requirements", along with a $ 2,800 fine for each address to which the Charter does not offer service.