20210401Comments.pdf

MATT HUNTER
DEPUTY ATTORNEY GENERAL ou o.go
IDAHO PUBLIC UTILITIES COMMISSION soo -
PO BOX 83720
BOISE,IDAHO 83720-0074
[phone]
IDAHO BAR NO.10655
Street Address for Express Mail:
11331 W CHINDEN BLVD,BLDG 8,SUITE 201-A
BOISE,ID 83714
Attorneyfor the Commission Staff
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF CUSTER )TELEPHONE BROADBAND SERVICES )CASE NO.CTB-T-21-01
LLC'S APPLICATION FOR EXPANSION )
OF ITS ELIGIBLE TELECOMMUNICA-)TIONS CARRIER DESIGNATED SERVICE )COMMENTS OF THE
AREA )COMMISSION STAFF
STAFF OF the Idaho Public Utilities Commission,by and through its Attorneyof
record,Matt Hunter,Deputy AttorneyGeneral,submits the followingcomments.
BACKGROUND
On January 29,2021,Custer Telephone Broadband Services LLC ("CTBS"or the
"Company")applied to expand its designated service area as an Eligible Telecommunications
Carrier ("ETC")in Idaho.The Company needs the expanded ETC designation so that it can
receive funding that was provisionallyawarded under the Federal Communications Commission
("FCC")Rural Digital OpportunityFund ("RDOF")Auction.
CTBS is a whollyowned subsidiary of Custer Telephone Cooperative,Inc.,which was a
winningbidder in the RDOF Auction 904 to provide broadband service in specific Idaho census
blocks.Custer Telephone Cooperative,Inc.assigned its winning bids to CTBS on December 22,
2020.CTBS asserts it is required under the RDOF Auction's rules to seek and receive
designationas an ETC in all census blocks in which it was awarded RDOF support.
STAFF COMMENTS 1 APRIL 1,2021
In 2014,CTBS sought designation as an ETC for the limited purpose of participating in
Lifeline and receiving universal service fund,low-income support in the Salmon,Idaho
exchange area.See Case No.CTB-T-14-01,Order No.32989.In Order No.33002,the
Commission designated CTBS a Lifeline-only ETC.
CTBS seeks Commission approval "to expand its low-income/Lifeline-onlyETC
designation for purposes of receiving high cost RDOF support in those areas located within its
[existing service area]and to expand its [existing service area]to include those areas...for which
it has been awarded RDOF support via Auction 904."Application at 2.
CTBS asserts it meets the federal and state requirements for designationas an ETC and
that designating CTBS as an ETC is in the public interest.CTBS asks that the Commission issue
a final order on its Application before June 7,2021.
THE APPLICATION
CTBS is an Idaho limited liabilitycompany with its principal place of business at 1101 E.
Main Avenue,Challis,Idaho 83226.CTBS is authorized to do business in Idaho,the
Commission issued the Company a Certificate of Public Convenience and Necessity to provide
local exchange and interexchange services in Idaho in Case No.CTB-T-11-01,Order No.32383.
It was subsequently granted ETC status in Case No.CTB-T-14-01.The Company provides local
exchange services in its existing service area using its own facilities.
The Company states it qualifies for ETC designationunder the federal
Telecommunications Act of 1996 (47 U.S.C.§214(e)).Specifically,the Company asserts it
originallyprovided all of the information required by the Commission in its ETC designation
case,and that "CTBS has complied with the conditions and service requirements of its ETC
designation applicable to the support it receives and will continue to do so in the expanded
RDOF Service Area."Application at 4.
STAFF ANALYSIS
Staff has reviewed CTBS's Application and has conducted an analysis of the Company's
fulfillment of requirements under the federal Telecommunications Act of 1996,the FCC's
regulations,the RDOF requirements,and Commission Order No.29841.In addition,Staff has
STAFF COMMENTS 2 APRIL 1,2021
analyzed the public interest considerations of awarding the Company ETC designation.Specific
state and federal requirements for ETC designation are discussed in more detail below.
Public Interest Analysis
Staff typically applies a two-prong test when analyzing whether a company's ETC
application is in the public interest.First,Staff verifies that the company will contribute to the
appropriate Idaho funds.Second,Staff analyzes whether the company's application raises
"cream skimming"concerns.
The Company participates in the appropriateIdaho programs,complies with the
Commission's annual reporting requirements,and otherwise complies with Order No.29841.
The Company indicates that it will continue to do so in the expanded RDOF service area.The
Company requests ETC designation for entire census blocks in areas that are unserved,high-cost
areas of Idaho;therefore,no cream skimming analysis is required.See Id.at 4-5.Thus,Staff
believes CTBS's Application satisfies the public interest considerations.
Network ImprovementPlan
The Commission requires all ETCs receiving high-cost support to provide a two-year
network improvement and progress report.See Order No.29841 at 18.However,the FCC
waived the requirement for a winning bidder to file a five-year plan as part of the FCC ETC
designationprocess.WCB Reminds Connect Am.Fund Phase II Auction Applicants of the
Process for Obtaining A Fed Designation as an Eligible Telecommunications Carrier,33 F.C.C.
Rcd.6696 (2018).The FCC removed this requirement because it "adopted more specific
measures to track deployment,including annual reporting of service to geocoded locations and
certification of compliance with benchmark milestones."Id.
The Company did not provide a two-year network improvement and progress report as
part of its Application.Staff believes a waiver to the Commission's two-year plan requirement is
appropriatebecause of the FCC's heightenedoversight of RDOF Action winners.
STAFF COMMENTS 3 APRIL 1,2021
STAFF RECOMMENDATION
Based on its review of the Company's Application,Staff believes the Application
demonstrates the Company's commitment to fulfill the obligations of an ETC in Idaho.Thus,
Staff believes CTBS's Application for expansion of its ETC designation is in the public interest
and should be approved.
Respectfully submitted this j day of April 2021.
Matt Hunter
Deputy AttorneyGeneral
Technical Staff:Daniel Klein
STAFF COMMENTS 4 APRIL 1,2021
CERTIFICATE OF SERVICE
I HEREBY CERTIFY THAT I HAVE THIS 16T DAY OF APRIL 2021,
SERVED THE FOREGOING COMMENTS OF THE COMMISSION STAFF,IN
CASE NO.CTB-T-21-01,BY E-MAILING A COPY THEREOF TO THE
FOLLOWING:
CYNTHIA A MELILLO PLLC JD BENNETTS
8385 W EMERALD ST CUSTER TELE BROADBAND
BOISE ID 83704 SERVICES LLC
E-MAIL:[e-mail] PO BOX 324
CHALLIS ID 83226
E-MAIL:id.bennetts custertel.com
SECRETARY
CERTIFICATE OF SERVICE