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Medford may join lawsuit against Qwest Medford may be the next city to help defend Portland in a lawsuit brought by Qwest Communications. Qwest, Medford's dominant phone service carrier, has withheld franchise fee payments to 30 Oregon cities and is seeking a judgment from the U.S. District Court in Portland supporting that decision. Six other Oregon cities have intervened in the dispute between Portland and Qwest, including Salem, Keizer, Happy Valley, North Plains, Pendleton and Redmond. Medford City Council President Bob Strosser said leaders have discussed joining the suit and endorsed the idea. He said he was unsure when the city might officially join the case. "It would certainly be something I would support," he said. Qwest won a court ruling in Washington state saying that federal law limits cities from collecting excessive fees when utilities use the public right of way, as when they put phone lines under streets. Pamela Beery, a partner in the law firm representing the Oregon cities, said Qwest signed contracts with the cities agreeing to pay the fees. Having six localities join the case will show the court that Qwest's action has statewide implications, Beery said. She said the cities will argue that the Washington case is not applicable because Oregon has stronger laws empowering cities. Qwest Oregon Vice President Judy Peppler said federal law pre-empts local rule on this issue. Still, she said the company is worried that the other cities' involvement will slow the case. Salem City Attorney Stephanie Smythe said the city will file a counterclaim seeking the first quarterly payment of franchise fees that have been withheld, plus interest. The League of Oregon Cities is paying litigation costs and will ask cities for voluntary contributions after the case is decided, Smythe said. Medford collects about $695,000 in franchise fees each year from Qwest, intended to compensate the city for the use of public rights of way. Salem gets about $1 million. Beery said if Qwest wins this case, other utilities would probably follow suit and go to the Legislature seeking to have their own franchise fees nullified. Salem Assistant City Manager Bob Wells said all franchise fees account for $10 million of the $76 million general fund budget. Mail Tribune Home | Ottaway Newspapers, Inc. | Dow Jones & Co., Inc. | Privacy | Contact Us Copyright � 2001 Mail Tribune, Inc.