FairPoint to use $2.8 million penalty to fund more NH broadband

The New Hampshire Public Utilities Commission on Jan. 29 approved a proposal by FairPoint Communications to use $2.8 million in service quality penalties incurred in 2009 and 2010 to expand high-speed Internet to under-served parts of the state.

As part of the agreement, the company will invest an additional $500,000, bringing the value of the project to $3.3 million. That's enough to bring broadband Internet to 2,500 homes, business or schools throughout the state that now only have access to much slower and less-reliable Internet connections, according to a company spokesperson. FairPoint incurred the penalties for problems that arose when telephone and Internet service in the state was transferred from Verizon. The penalties were based on such measures as how long it took for a customer to get an answer at a call center; how long it took to get dial tone installed; how long it took to get a problem fixed; and how many network problems were reported per 100 access lines.