D.C. not paying the phone bill


iconThe city of Washington D.C. seems to be having credit problems. Verizon is even threatening to shut off their phone service for non-payment, reports the Washington Post.

The troubles date to at least 1998, when the phone company accused the District of failing to pay bills totaling more than $6 million over two years.

"There's never an explanation as to why. They just say: 'Upon advice of counsel, we're not paying this portion of the bill,' " Rabe said. "They have not been, frankly, an easy customer for us to work with." [...]

With the city's contract set to expire at midnight April 30, Verizon executives notified the District in February that it would not agree to an extension at preferred rates. Instead, the city would be free to seek another provider or to pay Verizon the much higher rates it normally charges customers.

Bobb took over the negotiations in mid-April and tried to persuade the company to extend the preferred contract. Verizon refused and, with the expiration date approaching, threatened to cut off non-emergency service unless the city paid its bills.

Perhaps they should treat D.C. like any other credit risk and make them pay a deposit.


Category:  Schadenfreude
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What can you expect of a corrupt, hostile, third-world nation that can't even fix its roads?

And they want a new stadium complex, *and* to tax people who work there but do not live there.

Posted by: Lornkanaga at May 2, 2005 7:03 AM

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