20140410final_order_no_33021.pdf

Office of the Secretary
Service Date
April 10,2014
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF ALBION TELEPHONE COMPANY DBA )CASE NO.ALB-T-14-01
ATC COMMUNICATIONS FOR AN )
INVESTMENT TAX CREDIT FOR )
INSTALLING QUALIFYING BROADBAND )ORDER NO.33021
EQUIPMENT )
On March 20,2014,Albion Telephone Company dba ATC Communications filed an
Application requesting approval of equipment it installed as eligible for a broadband tax credit
pursuant to Order No.28784 and Idaho Code §63-30291(4).To be eligible for the tax credit,the
taxpayer must obtain an Order from the Commission confirming that the equipment has been
installed and that it meets the definition of qualified broadband equipment set out in Idaho Code
§63-3029I(3)(b).Qualified broadband equipment must be capable of transmitting signals at a
rate of at least 200,000 bits per second (bps)to a subscriber and at least 125,000 bps from a
subscriber.If installed by a telecommunications carrier,the qualified broadband equipment must
also “be necessary to the provision of broadband service and an integral part of a broadband
network.”Idaho Code §63-30291(3)(b)(i).In this Order,we find that the Company’s
investment meets the applicable standards.
THE APPLICATION
Albion’s Application lists the broadband investments it made during calendar year
2013 in the Idaho counties of Butte,Cassia,Custer,and Oneida.The Company states that it
“continued to deploy fiber in the ioop,install Digital Loop Carrier systems with 12,000-foot
loops and [is]developing a fiber backbone that will have the ability to handle huge amounts of
data.”In 2013,the Company added 10 miles of copper and duct,and 137 miles of fiber cable
and duct.Albion states it provides various subscriber line services (ADSL,IDSL,HDSL,and
SDSL)to its customers at network transmission rates of 1.5 Mbps to 20 Mbps and the service is
available to 99%of its customers.According to its Application,Albion’s 2013 broadband
investment is approximately $2 million.
STAFF REVIEW
To implement its responsibilities under Idaho Code §63-3 0291,the Commission
issued Procedural Order No.28784 in July 2001.This Order identifies information that must be
ORDER NO.33021 1
included in an application for a broadband tax credit.Once the information is filed with the
Commission,Staff reviews the application and submits a recommendation to the Commission.
Staff has reviewed the list of proposed broadband equipment submitted by Albion and believes
that the equipment identified meets the statutory criteria.Staff therefore recommended approval
of the Application and further recommended that the Commission forward an approving Order
along with a copy of the original Application to the Idaho State Tax Commission.
COMMISSION FINDINGS
Based upon our review of the Application and the recommendations of the Staff,we
find that Albion’s Application for a qualifying broadband equipment Order should be granted.
Albion has adequately demonstrated that the equipment identified in its Application meets the
statutory standards for qualifying broadband equipment subject to the tax credit.We further find
that Albion is a telecommunications carrier and,as presently configured,the installed equipment
is an integral part of the Company’s broadband network and that it is necessary to facilitate the
delivery of broadband Internet service to Idaho customers.It is therefore appropriate for the
Commission to issue this Order confirming that the equipment identified in Albion’s Application
is qualified broadband equipment as defined in Idaho Code §63-30291.
ORDER
IT IS HEREBY ORDERED that Albion Telephone Company dba ATC
Communications’Application for an Order certifying that it installed qualifying broadband
equipment during 2013 is granted.
IT IS FURTHER ORDERED that a copy of this Order and a copy of Albion’s
Application be served upon the Idaho State Tax Commission.
THIS IS A FINAL ORDER.Any person interested in this Order (or in issues finally
decided by this Order)may petition for reconsideration within twenty-one (21)days of the
service date of this Order with regard to any matter decided in this Order.Within seven (7)days
after any person has petitioned for reconsideration,any other person may cross-petition for
reconsideration.Idaho Code §61-626,63-30291(4).
ORDER NO.33021 2
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this /0
day of April 2014.
ATTEST:
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MACK A.REDFOR,COMMISSIONER
OxL /jJ
MARSHA H.SMITH,COMMISSIONER
IC).i
Jean D.1[ewell
Commiion Secretary
bls/O:ALB-T-14O1ws
ORDER NO.33021