"Since that time, however, not only has Charter's performance been wholly deficient and its behavior before the Commission contrary to the laws of NY state and regulations of the Commission, but it has also repeatedly claimed not to be bound by the terms of the Commission's approval".
The order from the New York Public Service Commission accuses Charter of "persistent actions demonstrating bad faith", claiming that the company has repeatedly failed to live up to promises it made during the merger approval process to connect more New Yorkers to high-speed internet.
The state Public Service Commission has rescinded its approval of the 2016 merger of Time Warner Cable and Charter Communications and ordered Charter to stop doing business in the state under the name Spectrum. The company would not immediately say whether it planned to challenge the commission's decision.
"During the transition process, Charter must continue to comply with all local franchises it holds in NY state and all obligations under the Public Service Law and the Commission regulations", the release said. The regulatory authority shall revoke the authorization for the merger of Charter Communications, Inc. with Time Warner Cable, Inc.
Charter serves 41 states and is New York's largest cable provider. "Just because you're a big corporation doesn't mean you can come into this state and bully the consumers of this state". NY accepted the deal at the time on the contingency that the company meet several performance goals in the future.
Spectrum officials suggested that the move may have been politically motivated, noting that Election Day was nearing.
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Cuomo is up for re-election this year. "But the fact is that Spectrum has extended the reach of our advanced broadband network to more than 86,000 NY homes and businesses since our merger agreement". Cuomo faces off against challenger Cynthia Nixon in the September 13 Democratic gubernatorial primary.
While the feud between the state and Charter has stretched over months, Friday's decision arrived abruptly, announced after a vote at a hastily called special meeting of the commission in Albany.
Consequently, the PSC directed Charter pay $1 million to the State Treasury for missing the June milestone, bringing the total amount of payments ordered by the commission to $3 million, and directed the commission's counsel to bring an enforcement action in State Supreme Court to seek additional penalties for Charter's past failures and ongoing noncompliance.
The commission is "talking to a number of companies" to replace Spectrum, Cuomo said. The governor's office later said the comment was a joke and that he had been referring to the broadband dispute. "They virtually blacked it out of their newscast", he said.
As recently as March 2018, the commission still was disputing Charter's filings, telling the company that 14,522 addresses in a January 8 report were "disqualified" from a report that 42,889 premises had begun service. If Charter handed its services over to another company, the union would continue negotiating with that provider to secure robust pension and medical benefits, Jordan said.