20051017final order no 29893.pdf

Office of the Secretary
Service Date
October 17 2005
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF CITIZENS
TELECOMMUNICATIONS COMPANY OF
IDAHO DBA FRONTIER
COMMUNICATIONS OF IDAHO'S TARIFF
ADVICE NO. ID-O5-06 TO IMPLEMENT
ELECTRONIC BILLING AND PAYMENT
SERVICE FOR RESIDENTIAL
CUSTO MERS.
CASE NO. CTC-O5-
ORDER NO. 29893
On August 29, 2005 , Citizens Telecommunications Company of Idaho dba Frontier
Communications of Idaho ("Frontier ) electronically filed Tariff Advice No. ID-05-06. This
tariff advice proposes to introduce a new residential service called Electronic Bill Presentment
and Payment. With this optional service, customers would receive and pay their monthly
Frontier telecommunications bills on-line.
THE TARIFF AD VI
Frontier proposed that residential customers could choose to receive an e-mail
notifying them when their bills are available to be viewed via Frontier s website. The electronic
bill would include the same information as currently provided to customers on their paper bills as
well as billing messages and inserts normally included with the paper bills. Electronic billing
customers would be able to pay their monthly bills via credit card or electronic withdrawals from
checking accounts.
Frontier also proposed that after registering for the electronic billing serVice
customers would receive both paper and electronic bills for two billing cycles. After two billing
cycles, customers could discontinue their mailed paper bills and simply receive the electronic
bills. Customers discontinuing their monthly paper bill will not be charged for participating
the electronic billing service. On the other hand, customers who continue to receive both paper
bills and electronic bills would be charged $2.00 per month.
The Commission Staff generally supported providing customers with the option
viewing and paying for telecommunication services on-line. Staff recognized that the electronic
billing service provides additional convenience and service to customers while potentially
ORDER NO. 29893
reducing Frontier s costs of preparing and mailing paper bills. However, Staff questioned the
$2.00 monthly rate for receiving both written and electronic bills.
DISCUSSION AND FINDINGS
The Commission compliments the Company for proposing an on-line billing service.
We find that electronic billing and payment options expand customer convenience and may
result in reduced costs and improved efficiencies for the Company. However, we find that
imposing a fee after only two trial billing cycles may not allow sufficient time for customers to
adequately determine whether they no longer wish to receive paper bills. We find that the
electronic billing option should be offered without incurring a fee if the customer elects to
continue to receive a paper bill. We direct Frontier to offer the electronic option without a fee
and to provide the Commission with a report in 12 months outlining its experience with this new
service. At that time, the Company may propose to impose a fee on electronic billing customers
who continue to receive paper bills if it believes that it is warranted by its experience with the
program.
ORDER
IT IS HEREBY ORDERED that Frontier s advice letter No. ID-05-06 is approved
conditioned upon the elimination of the $2.00 monthly fee for customers who continue to receive
both a paper and electronic bill.
IT IS FURTHER ORDERED that 12 months after Frontier implements its electronic
billing service, it provide a report to the Commission reporting on its experience with this new
service.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date of this Order. Within seven (7)
days after any person has petitioned for reconsideration, any other person may cross-petition for
reconsideration. See Idaho Code ~ 61-626.
ORDER NO. 29893
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
/ -
t'"t
day of October 2005.
f\RSHA H. SMITH, COMMISSIONER
ATTEST:
J a D. Jewell
ission Se retary
bls/O:CTC- T -05-04 dh
ORDER NO. 29893