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HomeMy WebLinkAbout2018Annual Report.pdfANNUAL REPORT i;i[f;f lVilil iil i! l\f'R I 6 fiF,! 8r LB OF FREMONT TELECOM NAME L221 N. RUSSELL ST. MISSOULA, MT 59808 ADDRESS TO THE IDAHO PUBLIC UTILITIES COMMISSION FOR THE YEAR ENDED: 2OL8 l:\Regulatory Reporting\IDAHO\lD PUC\ID PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018 3t1312019 Cover rRE-T ANNUAL REPORT OF SMALL TELEPHONE COMPANIES TO THE IDAHO PUBLIC UTILITIES COMMISSION FOR THE YEAR ENDING December 31, 2018 COMPANY INFORMATION Fremont Telcom Co. 1221N RussellSt, Missoula, MT 59808 Exact name of utility: Address of principal office Telephone Number Cities or towns served: 406-541-5000 Saint Anthony, Ashton, Teton, and lsland Park, lD Name and title of officer having custody of the general corporate books of account:Marilee Klaudt, Paralegal Address of office where corporate books are kept and phone number: 1221N RussellSt., Missoula, MT 59808 406-541-51 1 1 Organized under the laws of the State of:ldaho Date of organization:March 9, 1994 Corporation Names of affiliated companies. Give address and description of business: Blackfoot Telephone Cooperative, lnc. BTC Holdings, Blackfoot Communications, lnc., TeleSphere Software, lnc., collectively doing business as Blackfoot. OFFICERS Report below the title, name and office address of each general officer of the utility at the end of the year. lf there were any changes during the year, show the name, title, and address of the previous officer and the date of change. Title Name Address Chief Executive Officer Jason Williams 1221 N. RussellSt., Missoula, MT 59808 Assistant Treasurer, Chief Financial Officer Stacey Mueller 1221N. RussellSt., Missoula, MT 59808 Assistant Secretary Stacey Mueller 1221N. RussellSt., Missoula, MT 59808 Vice President - HR & Commu Relations Laura Marshall 1221 N. Russell St.Mi MT 59808 1221N. RussellSt., Missoula, MT 59808Vice President - Stretegic Planning Joe Fanguy Chief T Officer Dave Martin 1221 N. Russell St.MT 59808 Vice President - Sales & Marketinq J.P. Violette 1221 N. Russell St.Missoula. MT 59808 Page I l:\Regulatory Reporting\IDAHOVD PUC\ID PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018 4110t2019 Rev 3/02 Comp lnfo Form of organization (proprietorship, association, corporation): lf a Subchapter S Corporation, please specify: Name and address of controlling company, if any: DIRECTORS List the name of each person who was a member of the Board of Directors at any given time during the year: (Fees related to meetings only.) Term Expired or Current Term Will Expire Meetings Attended Thls year Fees Pald Durlng Year Name Address 5/1 9 12 16,660.00 Geoffrey Wilson, Vice President 2704 Soutb.siqq &q41, Superior, MT 5982? 512!12 16,660.00 Cindy Lewis, Secretary/Treasurer PO Box 529, Seeley Lake, MT 59868 5t20 12 19,670.00 Jim Blush PO Box 158, St. lgnatius, MT 59865 5t20 12 15,370.00 Ross Friede PO Box 184, Hall, MT 59837 5t21 12 1 3,1 80.00 Les lverson 31580 Potomac Rd., Potomac, MT 59823 5/19 12 17 520.00 Stuart Morton PO Box 396, St. lqnatius, MT 59865 5/1 I 12 14,060.00 Jim Newberg 1971 South Couture Loop, Arlee, MT 59821 5121 12 14,060.00 John Teague 8945 Teague Ranch Rd., Clinton, MT 59825 5120 12 20,960.00 Name of Chairman of the Board: Name of Secretary (or Clerk) of Board: Number of Meetings of the Board during the year: President - Tom Eggensperger Secretary - Cindy Lewis 12 MANAGERS List the name of each person who performed management duties for the Company during the year, and the total wages and bonuses paid to those persons: (Oo not include Oirector fees in these amounts.) Name Wages and Bonuses Pald N/A Rev 3/02 Pago 2 l:\Regulatory ReportingUDAHOUD PUCUD PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018 4t10t2019 Directors Tom Eggensperger, President PO Box 219, Thompson Falls, MT 59873 NOTES TO THE FINANCIAL STATEMENTS Please provide important information such as changes in accounting or depreciation practices, extensions or additions to the system; disposal of any substantial portion of the property of the utility; reorganization, mergers, or consolidations with other companies; leases executed; other contracts or agreements entered into; changes made in articles of incorporation or amendments; the occurrence of contingency losses or gains. None Rev 3/02 Page 3 l:\Regulatory Reporting\IDAHO\ID PUC\ID PUC 2018\Fremont ANNUAL REPORT FORtvl FOR SM TELS 2018 3113t2019 Notes to Fin BALANCE SHEET Assets and Other Debits Title of Account Current Assets1120 Cash and Equivalents 1 130 Cash1140 Special Cash Deposits1150 Working Cash Advances1160 Temporary lnvestments1180 TelecommunicationsAccts. Receivable 1 '181 Accts. Rec. Allow. -Telecommunications 1 190 Other Accounts Receivable 1 '191 Accounts Receivable Allow. - Other1200 Notes Receivable1201 Notes Receivable Allowance1210 lnterest & Dividends Receivable1220 l\tlaterial and Supplies1280 Prepayments1290 Prepaid Rents1300 Prepaid Taxes1310 Prepaid lnsurance1320 Prepaid Directory Expenses1330 Other Prepayments1350 Other Current Assets Noncurrent Assets1401 lnvestment in Affiliated Companies1402 lnvestment in Nonaffiliated Companies'1406 Nonregulatedlnvestments1407 Unamortized Debt lssuance Expense1408 Sinking Funds1410 Other Noncurrent Assets1438 Deferred Maintenance & Retirements1439 Deferred Charges1500 Other Jurisdiction Assets - Net Property, Plant and Equipment2001 Telecommunications Plants in Service2002 Prop. Held for Future Telecom. Use2003 Telecom. Plant under Constr. - Short Term2004 Telecom. Plant under Constr. - Long Term2005 Telecom. Plant Adjustment2006 Nonoperating Plant2007 Goodwill Depreciation and Amortization Accounts 3100 AccumulatedDepreciated3200 Accum. Depre. - Held for Future Use3300 Accumulated Depreciation - Nonoperating3400 Accumulated Amortization - Tangible3410 Accum. Amort. - Capitalized Leases3420 Accum. Amort. - Leasehold lmprovements3500 Accumulated Amortization - lntangible3600 Accumulated Amortization - Other Balance Beginning of Year Balance at End of Year 2018 lncrease or (Decrease) '1 ,149,861 2,468,238 1,318,377 3,709 104,218 100,509 235,349 188,734 (46,615) 195,982 236 726 40 744 20,574 12,547 (8,027) 37 595 40,200 -60n1,973,800 1,973,800 48,922 39,309,158 39,562,376 253,218 57,426 91,403 33,977 384,975 (2e,28e,542) (29,846,182)(556,640) (1,424,856) (1,745,328)(320,4!4 TOTAL ASSETS 12,702,953 13,471,707 768,754 Rev 3/02 Paoe 4l:\Regulatory Reporting\IDAHO\ID PUC\ID PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018 311312019 Bal Sheet -4F BALANCE SHEET Liabilities & Stockholders' Equity Title of Account 401 0 4020 4030 4040 4050 4060 4070 4080 41 00 4110 4120 4130 Current Liabilities Accounts Payable Notes Payable Advance Billings and Payments Customer Deposits Current Maturities - Long -Term Debt Current Maturities - Capital leases lncome Taxes - Accrued Other Taxes - Accrued Net Current Defer. Oper. lncome Taxes Net Current Defer. Nonoper. lncome Taxes Other Accrued Liabilities Other Current Liabilities Long-Term Debt Funded Debt Premium on Long-Term Debt Discount on Long-Term Debt Reacquired Debt Obligations Under Capital Leases Advances from Affiliated Companies Othe erm Debt Other Liabilities & Deferred Credits Other Long-Term Liabilities Unamort. Oper. lnvest. Tax Credits - Net Unamort. Nonoper. lnvest. Tax Credits - Net Net Noncurrent Defer. Oper. lncome Taxes Net Noncur. Defer. Nonoper. Income Taxes Other Deferred Credits Other Juris. Liab. & Def. Credits - Net Stockholders' Equity Capital Stock Additional Paid-ln Capital Treasury Stock Other Capital Retained Earnings Balance Beginning of Year 278,098 43,287 43,761 286,026 2,218 5,016,399 5,822,588 Balance at End of Year 2018 402,518 lncrease or (Decrease) 124,420 32,873 (10,414) 4210 4220 4230 4240 4250 4260 4270 9,897 4310 4320 4330 4340 4350 4360 4370 11,981 9,763 130,749 130,749 1,397 451 0 4520 4530 4540 4550 5,016,399 5,822,588 918,648 1,757,279 838,631 TOTAL LIAB. & OTHER CREDITS 12,411,025 13,471,707 1 060 682 Rev 3/02 Page 5 l:\Regulatory Reporting\IDAHO\ID PUC\ID PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018 311312019 Liab __@ 295,923 goa .E Co(L co oNaJtuF atolJ- troLL -^LU,*o5B(L(L uJu -J fzz co Eo)LLL co oN O =(L o Of(L o o- o=(,) C Loo-o)t L.9 o:O rat =qPoi !t$&s t-C9@(oO O)_ r,o cf) oF-o- NNN (o ryrJ) o- o)(0 cf) rr) cf) oFzfooo z Jo- o lr)t-N- @rr) CD. 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Minor amounts in Account 1406 may be grouped by classes. Description Date Acquired Book Cost of lnvestments Disposed of Thic Year Book Cost of lnvestments Held at End of Januarv Totals RECEIVABLES Itemize amounts show in Accounts 1 180, 1 190 and 1200. For notes receivable list each note separately and include the maturity date and interest rate. Minor amounts in Account 1210 may be combined. Name of Companv Customers Amount at End of vearNotes AccountsReceivable Receivable 104,218 CABS 29 783 NECA 155 713 USAC BO Misc 3 158 Totals 289,794 Rev 3/02 Page 10 NOTES PAYABLE For Notes Payable, list each note separately and include the maturity date and interest rate Name of Creditor ldahome Farms Date of Note 112612017 lnterest Rate 3.50% Due Date 1213112026 Totals ACCOUNTS PAYABLE Report below all Accounts Payable amounting to more than $100.00 Name of Creditor A/P Trade Amount 63,765 Directory 4,893 ldaho Sales Tax 30 ldaho 911 (County)2,803 FUSC 2,094 ldaho State USF 707 Accrued lnterest 11 981 A/P Affiliates 328,226 Unclaimed Property 1,397 Totals 415,896 Rev 3/02 Page 11 l:\Regulatory Reporting\IDAHO\ID PUC\ID PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018311312019 AP Face Amount $ 328,796 -ooo EL o)F coJ @ oN @J TIJF a(.oLL toLL Ftro(L tut J fzz o Eo IL @ oNol(L o ol(L o o- o o)CEoo-q)t b9o,o-Eooe.lO.Atr- :(f) N q)(,)o(L No c.) q) x. cl =IHEIg<r -lel ol EIol cl-r ol aEltt !rlolgNl :ls El8t itol EI .=lEI EIEt 5tot Ft E"trEt E 'ilG ,:-l EEIf>lo {cfoooo -cooo o aoo o,C =oca Eco Lo_o E c cfoC)(-)coi>\=-oEEoo_!-Lop.coo-l=oo)o-o-.9 olC>?o)Uau;H9osavaa-cf!o LL'-(o!>o-!orq.loa.= '= b.P(s0O)L:U3:.-cEo'Eoo)o(,bEgEoE _a EO f(EooD0):L-ooo5> (,(E =ts o (ttEtr(EoF-(\ltd(o(\rl or()(\$d\f(\l$d (\t{o fo()o FoIIJo =uIU I (9zo -EEI$Eil x fi=El =l ogloootool oo-, b .els, Eloa .Eo El l'!gol *,ool z CAPITAL STOCK Report below the particulars called for concerning common and preferred stock at end of year, designating separate series of any general class. Show totals separately for common and preferred. For each class of preferred stock, show the dividend rate and whether dividends are cumulative or noncumulative. Show details in a footnote of capital stock sold during the year. lnclude number of shares, consideration received, premium or discount, and expenses incurred. Class & Series of Stock Common Par Value per Share Outstanding per Balance Sheet 0 Shares 5,016 Amount 5,016,399 Rev 3/02 Page 13 l:\Regulatory Reporting\IDAHO\ID PUC\ID PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018 311312019 CaPital Stock Number of Shares Authorized 100,000 Item INCOME & RETAINED EARNINGS STATEMENT Total Company ldaho Only Total Operating lncome (from page 15) Total Operating Expenses (from page 17) 7100 Other Operating lncome and Expense 7210 Operating lnvestment Tax Credits-Net 7220 Opetaling Federal lncome Taxes 7230 Operating State and Local lncome Taxes 7240 Operating Other Taxes 7250 Provision for Deferred Operating lncome Taxes-Net 7200 Operating Taxes (Total) 7310 Dividend lncome 7320 lnterest lncome 7330 lncome from Sinking and Other Funds 7340 Allowance for Funds Used During Construction 7350 Gains/Losses from the Disposition of Certain Property 7360 Other Nonoperating lncome 7370 Special Charges 7300 Nonoperating lncome and Expense 4,171 ,609 4.230,350 (3,650) 82,570 78,920 (]!) 47,375 47,359 11 981 1 1,981 (743,7041 Same as Total Company 7410 7420 7430 7440 7450 7400 Nonoperating lnvestment Tax Credits-Net Nonoperating Federal lncome Taxes Nonoperating State and Local lncome Taxes Nonoperating Other Taxes Provision for Deferred Nonoperatrng lncome Taxes-Net Nonoperating Taxes 7510 lntereston Funded Debt 7520 lnterest Expense-Capital Leases 7530 Amortization of Debt lssuance Expense 7540 Other lnterest Deductions 7500 lnterest and Related ltems 7610 Extraordinary lncome Credits 7620 Extraordinary lncome Charges 7630 Current lncome Tax Effect of Extraordinary ltems-Net 7640 Provision for Deferred lncome Tax Effect of Extraordinary ltems-Net 7600 Extraordinary ltems 7910 lncome Effect of Jurisdictional Ratemaking Differences-Net 7990 Nonregulated Net lncome (includes GAAP adj) AMOUNT TRANSFERRED TO RETAINEO EARNINGS 546,703 Rev 3/02 Page 14 l:\Regulatory Reporting\IDAHO\ID PUC\ID PUC 2018\Fremont ANNUAL REPORT FORIM FOR SM TELS 2018 3t13t2019 lncome & Retained Item OPERATING REVENUES TotalCompany ldaho Only Local Network Services Revenues 5001 Basic Area Revenue 5002 Optional Extended Area Revenue 5003 Cellular Mobile Revenue 5004 Other Mobile Services Revenue 5010 Public Telephone Revenue 5040 Local Private Line Revenue 5050 Customer Premises Revenue 5060 Other Local Exchange Revenue 5069 Other Local Exchange Settlements Network Access Services Revenues 5081 End User Revenue (SLC) 5082 Switched Access Revenue (lnterstate) 5083 Special Access Revenue 5084 State Access Revenue (lntrastate) 5100 Long Distance Message Revenue - All Miscellaneous Reven ues 5230 Directory Revenue 5240 Rent Revenue 5250 Corporate Operations Revenue 5261 Special Billing Arrangements Revenue 5262 Customer Operations Revenue 5263 Plant Operations Revenue 5264 Other lncidental Regulated Revenue 5269 Other Revenue Settlements 5270 Carrier Billing & Collection Revenue Uncollectible Revenues 5301 Uncollectible Revenue - Telecommunications 5302 Uncollectible Revenue - Other TOTAL OPERATING REVENUES Please identify the following revenues: 1,075,977 2,301,014 274,928 94,098 6,489 417,480 27,401 (25,778\ 4,171,609 To what account were they booked? To what account were they booked? Same as Total Company 5082/5083/5069 (rCLS, CAF, HCL, ACAIV) 5082 NECA USF $ State USF $ 2,074,935 57,258 Rev 3/02 Page 15 l:\Regulatory Reporting\IDAHO\lD PUC\lD PUC 2018\Fremont ANNUAL REPORT FORM FOR SIvt TELS 2018311312019 16 Operating Rev Item OPERATING REVENUES TotalGompany ldaho Only Plant Specific Operations Expense 6'l '10 Network Support Expenses 61 12 Motor Vehicle Expense 61 13 Aircraft Expense 61 14 Special Purpose Vehicles Expense 6'l 15 Garage Work Equipment Expense 6116 Other Work Equipment Expense 6120 General Support Expenses 6121 Land and Building Expenses 6122 Furnilure and Artworks Expense 6123 Office Equipment Expense 6124 General Purpose Computers Expense 6210 Central Office Switching Expenses 6211 Analog Electronic Expense 6212 Digital Electronic Expense 621 5 Electro-Mechanical Expense 6220 Operators System Expense 6230 Central Office Transmission Expenses 6231 Radio Systems Expense 6232 Circuit Equipment Expense 6310 lnformation Origination/Termination Expense 631 1 Station Apparatus Expense 6341 Large Private Branch Exchange Expense 6351 Public Telephone Terminal Equipment Expense 6362 Other Terminal Equipment Expense 6410 Cable and Wire Facilities Expenses 641 1 Pole Expense 6421 Aerial Cable Expense 6422 Underground Cable Expense 6423 Buried Cable Expense 6424 Submarine Cable Expense 6425 Deep Sea Cable Expense 6426 lntrabuilding Network Cable Expense 6431 Aerial Wire Expense 6441 Conduit Systems Expense Same as Total Company 11,297 171 10 158,150 22,185 278,906 92,274 822,629 TOTAL PLANT SPECIFIC OPERATIONS EXPENSE 1,564,161 Page 16 l:\Regulatory Reporting\IDAHO\ID PUC\ID PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018 3t13t2019 Rev 3/02 Plant Op Exp 6,810 Item OPERATING REVENUES Total Company ldaho Only Plant Nonspecific Operations Expense 651 0 Other Property/PlanUEquipment Expenses 651 1 Property Held for Future Telecomm. Use Expenses 6512 Provisioning Expense 6530 Network Operations Expense 6531 Power Expense 6532 Network Administration Expense 6533 Testing Expense 6534 Plant Operations Administration Expense 6535 Engineering Expense 6540 Access Expense 6560 Depreciation and Amortization Expenses 6561 Depreciation Expense-Telecom. Plant in Service 6562 Depreciation Expense-Property Held for Future Use 6563 Amortization Expense - Tangible 6564 Amortization Expense - lntangible 6565 Amortization Expense - Other Total Plant Nonspecific Operations Expenses Customer Operations Expense 6610 Marketing 661 1 Product Management 6612 Sales 661 3 Product Advertising 6620 Services 6621 Call Completion Services 6622 Number Services 6623 Customer Services Total Customer Operations Expense 63,927 102,813 59,404 22 724 209 913 15,329 175,354 320 766 '1,970,230 190,385 21,972 319 316 531 673 Corporate Operations Expense 67'10 Executive and Planning 6711 Executive 6712 Planning 6720 General and Administrative 6721 Accounting and Finance 67 22 External Relations 6723 Human Resources 67 24 lnformation Management 6725 Legal 6726 Procurement 6727 Research and Development 6728 Other General and Administrative 6790 Provision for Uncollectible Notes Receivable Total Corporate Operations Expense 59 330 4 527 507 99,922 164,296 TOTAL OPERATING EXPENSES 4,230,350 Page 17Rev 3/02 l:\Regulatory Reporting\IDAHO\lD PUC\lD PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 20.t8 Op Exp Same as Total Company oo o frgcoO co oNaJtUF =atoLL =tro @Ll Foto)(E)1(Lfi t J =zz co Ec)LLL @ oNo =(L o of(L o oI o =o)cEoo-otboo)o)ota.No(') o)t o)@(olr)- N iri! ooge OE-oAAo'Eoo-ooE EO.=atg A1o(Utro) EDOqc6 0 ==LE()EobE EB =6 EE ==bozt- o,o roo .9.coz goEoE.qE =o.coz -cz =oL..oOCEDK E9..t2 i, Ji9o;iri -6ohaz rl lo.rtOqb..o€9,gEtr! oGt--.CEEooo uoror 35 6.OFF =(UoEi5i5 @@o_ N $oa. @ (f)s o(o@ (oo 9=l 6t sr@l @l5J $-l l-l bo!abBpkpE8-u.=oc-EoSbE,EEEazauJ (ooo_ o$c{ N@ (oc{ N(o @(a@ (ooN (or() \ro) (olo - 9lol m(! 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Notary Public My Commission expires Mnn t ao Rev 3/02 gdUexcel/jnelson/anulrpts/telannualrpt Chief Financial Officer (Year)() Page21 jLttrJ*^- #'^^'J'4-STEPHANIE Bt,Rffi NC'IARY PUISLIC ror rtu, State of Montana Hosidrrrg at Missoula. MTiIy Cornrrrission Exoires MarchZ0,20Zd.. IDAHO SEPARATED RESULTS OF OPERATIONS SEE ATTACHED P36 COST STUDY REPORT 20L7 provided - 2018 is not available OF FREMONT TELECOM NAM E L22L N. RUSSELL ST. MISSOULA, MT 59808 ADDRESS TO THE IDAHO PUBLIC UTILITIES COMMISSION FOR THE YEAR ENDED: 2018 l:\Regulatory Reporting\IDAHO\ID PUC\ID PUC 2018\Fremont ANNUAL REPORT FORM FOR SM TELS 2018 3t13t2019 lD Separated Results of Oper MOSSADAHS Fremont Telecom, Inc 2017 Cost Study 2018-1 HCIS Data Collection 4 7-7"2 ". z z , .4 z 4 7. /. 'ta. ? 2 'azz zv4 ?. 71 ? 2 z - z 1.., = ?. z 'a ? z. z + z ".4. ?.% =. 7. ? z z a ?- z -z: "z 7. v ?- z Z z ? "4. 7- z '1 4 z ? z 'z ?- 7 .? ,- ,. 'a z = 2 z z + *v-.4 -- 4 z 'a :a z "a 4 7. ? 4 7 v .j- 7... L 'z 7. ?. z zz?.9,? 'z ?"z. 2 z.z z,I z ? z 7. '4 z z + 's.u. 7. 4 al i:sarrlii 3:ia ]rf:J.i*r:"z. 'z z 7, z I n: lliiF:-;illaia ;i,1::aa ::: l:,i: 3].arrn *l :, Certifi cation Forms Fremont Telecom, lnc Study Area: 472222 Study Year: 2017 EXHIBIT 6-1 NATIONAL EXCHANGE CARRIER ASSOCIATION COST STUDY CERTIFICATION FORM lam (Title of Certifying Officer or Employee) I hereby certify that I have overall responsibility for the preparation of all data in the attached 2017 Cost Study data submission for (Title of Data Submission) Fremont Telecom, lnc (Name of Exchange Carrier) and that I am authorized to execute this certification. Based on information known to me or provided to me by employees responsible for the preparation of the data in this submission, I hereby certify that the data have been examined and reviewed and are complete, accurate, and consistent with the rules of the Federal Communications Commission. Additionally, I certify the following regarding the source of the financial data included in the Cost Study (Please check appropriate response): f This company is audited and the financial data used for the cost study, with appropriate adjustments as per FCC rules, is based on audited data. I This company is audited at holding company level. The audited entity is tr This company is audited at study area level. f This company is audited but the audit has not been completed. Any necessary updates resulting from the audit will be recognized in future cost study revisions. I will provide a copy of the audit report upon its completion prior to December 31,2018. tr This company is not audited and therefore does not have audited financials. Date: Certifying Signature: Name: Title: Pursuant to FCC Rules, Section 69.601(c), Exchange Carriers are required to certify Cost Study Data submitted to NECA. (FCC Rules state that persons making willful false statements in this data submission can be punished by fine or imprisonment under the provisions of the U.S. Code, Title 18, Section 1001.) Fremont Telecom, lnc UNIVERSAL SERVICE FUND DATA COLLECTION FORM VII. CERTIFICATIONFORM IAM I HEREBY CERTIFY THAT I HAVE OVERALL (TITLE OF CERTIFYING OFFICER OR EMPLOYEE) RESPONSIBILITY FOR THE PREPARATION OF ALL DATA IN THE ATTACHET 2018-1 DATA SUBMISSION FOR (TITLE OF DATA SUBMISSION) Fremont Telecom, lnc (NAME OF CARRIER) AND THAT I AM AUTHORIZED TO EXECUTE THIS CERTIFICATION. BASED ON INFORI\,4ATION KNOWN TO ME OR PROVIDED TO ME BY Ei/PLOYEES RESPONSIBLE FOR THE PREPARATION OF THE DATA IN THIS SUBIVISSION, I HEREBY CERTIFY THAT THE DATA HAVE BEEN EXAMINED AND REVIEWED AND ARE COIVPLETE, ACCURATE, AND CONSISTENT WITH THE RULES OF THE FEDERAL CO[/[/UNICATIONS COIV1MISSION. DATE: CERTIFYING SIGNATURE: NAME: TITLE: PERIOO COVERED:January'1,20'17 - December3l, 2017 Vll.A RURAL STATUS: The rural status of this company during the calendar year 2019 will be: (Check One) NON-RURALRURAL Vll.B. ACQUtSITION CERTIFICATION (cHEcK oNE) I\,,IY COMPANY HAS I' Sellinq Comoanv No. of Loops PURSUANT TO FCC RULES, SECTION 69.901(C), EXCHANGE CARRIERS ARE REQUIRED TO CERTIFY UNIVERSAL SERVICE FUND DATA SUBMITTED TO NECA. (FCC RULES STATE THAT PERSONS MAKING WILLFUL FALSE STATEMENTS IN THIS DATA SUBMISSION CAN BE PUNISHED BY FINE OR IMPRISONMENT UNDER THE PROVISIONS OF THE U.S. CODE, TITLE 18, SECTION 1OO1). X ll\ilY COMPANY Exchanoe Name Pool Reporting 66rorNc)cf)$$$l'\@O)OrrrrNN{o-otcrrO)rrs- o) = =o ;tr)o !q)o Eo)oo)o I f- o)cf-: I z.(E c(5- Gfc LoaEtrc ELg6O EDNt.s EFEXE9odEU E8 o- @tr) @sf,o N(f)N(Oo- @-rONCO CO NrCA Cf)r- sf-(o o)N(O Fn- tr .6 E";IEAYb E5 EC >LL tr,1 :<L*.= oS aD t.aQr7€Eoq 60) 0) Xh !! 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EXCHANGE CARRIERYDATA IDENTIFICATION (010) StudyArea Codet472222 (020) Contact Name: Stacey Mueller (O3O) ContactTelephone Number: 406.541.5424 (O4O) USF Data Collection Period:2018-'1 Pending Mew 20'18-1 AmountDescriotionData --Iire- II. WORKING LOOPS (060) Total Loops (cat. 1.'1, 1.2 and 1.3) (070) Category 1.3 Loops (Excluding Cat. 1.3 TwX Loops) (090) Consumer Broadband0nly Lmps III. INVESTMENT. EXPENSE ANO TAXES Net Plant lnvestment (160) Acct. 200'l - Telephone Plant in Sorvice (1 70) Accl. 1220 - Materials and Suppli€s (190) Acct. 3'100 - Accumulatad Depreciation (195) Acct. 3400 - Accumulated Amortization Tangible (210) Acct.4340 - Net Noncurrent Deferrgd Operating lncome Taxos (220\ Net Plant lnvestment (Sum of Lines '1 60 + 1 70 Minus Lines 1 90 Throuqh 21 0) Selected Plant Accounts (230) Acct. 2210 - Central Office Switching Equipment (235) Acct.2220 - Operator System EquiDment (240) Acct. 2230 - Central Offlce Transmission Equipmnt (245) Total Central Office Equioment (Sum of Lines 230 Throuqh 240) (250) Circuit Equipment Category 4.13 (255) Acct. 2410 - Cable and Wire Facilities Total (260) Acct.3100 (2210) - Accumulated Depreciation Central Office Swtching Equipment (265) Acct. 3100 (2220) - Accumulated Depreciation Opsrator Svstem Equiprent (270\ Acct. 3100 (2230) - Accumulated Dopreciation Central Office Transmission Equipment (275\ Acct.31OO (221O-2230) - Total A@umulated Oepr*iation Central Office Equiprent (Sum of Lanes 260 Through 270) (280) Acct. 3100 (2410) - Accumulated Depreciation Cable and Wire Facilities (310) Acct. 4340 (2210) - Net Noncurrent Deferred Operating lncome Taxes - Csntral Offrce Switching Equipmnt (315) Acct. 4340 (2220) - Net Noncurrent Oeferred Operating lncore Taxes - ODerator Syst€m Equipment (320) Acct. 4340 (2230) - N€t Noncurrent Oeferred Operating lncore Taxes - Central Office Transmission Equipment (325) Acct.4g4O (2210-2230) - Net Noncurrent Defer€d Operating lncome Tax€s - Central Office Equipment (Sum of Lines 310 Throuoh 320) (330) Acct. 4340 (2410) - Net Noncurr€nt Deferred Operating lncore Taxes'Cable and Wire Facilities 2.420 70 29,669,505 195,982 26,338,526 (1,1 85,270) 4.712.231 490,6s2 s.009,795 5,093,781 1 8,1 62,439 41 0,869 8,348,070 16.517,872 248.461 298.495 (1,240,909) 1of3 9,500,447 a o17 1ii 50,033 9l20/2O1a Universal Service Fund - High Cost Loop Support Oata Collection Form SAC:472222 SA Name: Fremont Telecom, lnc Region: Western Data --J-ipe-Descriolion Plant-Specifi c Operation Expense (335) Acct. 61 10 - Network Support ExDense Total (340) Acct. 61 10 - Benefits Portion of N€twork Support Expense (345) Acct. 61 '1 0 - Rents Portion of Network Supoort Expense (350) Acct. 6'120 - General Supoort Expense Total (355) Acct.6120 - Benefits Portion ofGeneral Support Expense (360) Acct. 6120 - Rents Portion of General Support Expense (365) Acct. 6210 - Central Offlce Switching Exponse - Total (370) Acct.6210 - Benefits Portion ofCentral Office Switchinq Expense (375) Acct.6210 - Rents Portion ofCentral Office Switching Expense (380) Acct.6220 - Operator System Expense - Total (385) Acct. 6220 - Benefits Portion of Operator Svstem Expense (390) Acct. 6220 - Rents Portion ofOp€rator SYStem Expense (395) Acct. 6230 - Central Offic€ Expense - Transmission Equipmnt - Total (400) Acct. 6230 - Benelits Portion ofCentral Offlce Expense -Transmission Equipment (405) Acct. 6230 - Rents Portion of Central Office Expense'Transmission Equipment (410) Accts. 62'lM23O - Central Office Expense Total (Sum of Lines 365 + 380 + 395) (430) Acct.6410 - Cable and Wire Facilities Expense - Total (435) Acct.6410 - Benefits Portion Cable and Wire Facilities Expense (440) Acct.6410 - Rents Portion Cable and Wire Facilities Expense (445) Total Plant-Specific Expense (Sum of Lines 335 + 350 + 365 + 380 + 395 + 415 + 430) Plant-Nonspecific Expense (450) Acct. 6530 - Network Operations Expense'Total (455) Acct. 6530 - Benefits Portion Network Operations Expense Deprsiation and Amortization Expenses (510) Acct. 6560 (2210) - Depreciation and Arcrtization Expense -Central Office Switchinq Equipment (515) Acct. 6560 (2220) - Depreciation and Amrtization Expense -Opsrator Svst€m Equipment (520) Acct. 6560 (2230) - Depreciation and Amrtization Expense -C€ntral Office Transmission Equipment (525) Acct.6560 (22'10-2230) - Depreciation and Amortization Central Otfice Equipment (Sum of Linss 510 Throuoh 520) (530) Acct. 6560 (2410) - Oepreciauon and Amortization Expense -Cable and Wire Facilities 177.297 14,462 1 '16.857 817 218,834 61.522 335,690 659.91 0 154,571 87.528 1 ,1 81.436 281.549 73,970 59,868 298,363 358,231 171,801 2of3 Pending View2n1n-1 Ah^,,nt Universal Service Fund - High Cost Loop Support Data Collection Form 9l20/2018 Pending View 2018-1 Amount SAC:472222 SA Name: Fremont Telecom, lnc Region: Western Data Oescrlplgl--J-ipe- Corporate Operatinq Expenses (535) Acct,6710 - Executive and Planninq Expense - Total (90) Acct.6710 - B€nefits Portion Executive and Planninq Expense (550) Acct. 6720 - General Administrative Expense - Total (555) Acct.6720 - Benefits Portion -General Administrative Expense (565) Total Corporate Operations Expense (Sum of Lines 535 + 550) Other Expenses and Revenues (600) Benefits Portion ofAll Operating Expenses - Total (610) Rents Portion ofAll Operatinq Expenses - Total Taxes (650) Acct. 7200 - Operating Taxes IV. PART 36 -COST STUDY DATA (700) Acct. 2410 - Cost Studv Cable and Wire Facilities (710) Cct Study Cable and Wire Facilities Cat. 1 - Total Exchange Line C&WF Excludinq Wide Band V. AMORTIZABLE TANGIBLE ASSETS (Refer to instructions prior to completinq this section) (800) Acct.2680 - Amortizable Tangible Assets (805) Acct. 2680 (2230) - Amortizable Tangible Assets - Central Office Transmission Equipment (810) Acct. 2680 (2230) - Amortizable Tanqible Assets - Central Office Transmission Equipment Allocated to Cateqory 4.13 (815) Acct. 2680 (2410) - Amortizable Tanqible Assets - Cable and Wire Facilities (820) Acct. 2680 (2410) - Amortizable Tangible Assets - Cable and Wire Facilities Allmated to Category '1 (830) Acct.6560 (2680) - Depreciation and Arcrtization Expense -Amortizable Tangible Assets VI. OTHERACCOUNTS (850) Acct. 6310- lnformationOriginatonffermination Expense (860) Acct. 651 0 - Other Propertv Plant and Equipment Expense (870) Acct. 6610 - Customer Operations Expense: Marketing (880) Acct. 6620 - Customer ODerations Expense: Services Sum of Data Collection lnputs VII. COMMENTSiSIGNIFICANT CHANGE EXPLANATION 798,630 40.955 798,630 404.006 101,990 104.212 '18,162,439 16,121,154 54,969 91.626 246,550 1 75,749,500 Vlll. RENT REVENUE: OFFSET TO EXPENSE (1) Account 6120 - General Support Expense (2) Account 6210 - Central Office Switching Expense (3) Account 6220 - Central Offic€ Operator Expense (4) Account 6230 - C€ntral Oflice Transmission Expense (5) Account 6310 - lnformation Orig/Term Expense (6) Account 6410 - Cable & Wire Facilities Expense TOTAL . 3of3 C&WF Loops, Terms, & Ci rcuit Miles Rate Base N (rr("I @ =f-$ Ntr-c'l \ocaas a(,) 4o -(vOF -*o"'(Jc(Jil-trgo5o,P ::(JEtri-i=ov_=(JOO ).io,:()=.=? 'a l9E bo E.6 ? 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Expense Summary Frcilont feleilil, Ilt R4ydue oill &Nny Sufifrury Linr Bmkr P.n g.\dju{mcrb Dchit Credil Reguhlcd Brl.o(e Dchir Crcdil Sludl Brlxo.e E\cldcd For USF LSf Studt Frenront 'l elecom. lnc l.0t9.t9i ll.9ia 5-.lix 16,970 l.li9l,6i8 l.:06 190,75u lr),588 1.019.195 ir.t-i8 16.970 l.8rt.6:t8 t,:06 190,75i 10.58N 1,010 1.0+9.195 :I,95i j-.ri8 16.970 1.885,618 l.:06 190.753 10.588 1.019.:95 :!,957 5-.158 1.88i.61 8 l.l0a) t91).15:l lr).58E 1.i09.11 l l.l09.ll l ?.0:0 t.l )t.l9l ll9.5ll 16 txnl 17,:17 Ii.lt7 t?.I7 iE_i.51 l tr.tl7 r,l-l i(x)l) 1xl 516r) !(l 5081 0l 5081 0l 5081. lrl 508:r 0rl 5r)8l.0ll 5r)Et. lr) 5r)81 ]l 5l00.rx) 5100 00 i:00.10 ilrx) l0 5l0r) 0i) Baric Uul Ss\lcc Rssue - EAS End Us$ hlostatcCommon Line & Swilchel Accqrs High Cost LNp Supprt Intsstale S&rial Acc.ss Intrr$alc Commoil Linc & SNilchal Acc6s hra$rle Speial Acc6s Srarc USF Suwn Tolal NdN1trk Acc6s S.nic€ Rs'flus Long Disrance M(sge Ps'6u6t ng Distsnce M6egc kflue Total bng DslanccM6egc Rs'mue Operalitrg Rcyenues [fiscclhrmus Reverucr: Unolldible Rs'6u6 - Cr(toal) TohlOwatins hau6 Mi$dlrn$us Rdsu6 Billing & Collelion - htssbte Billing & Coll{lion - huaslate r.r9t.l:1 t3i.51 l i.r0E.90l i.{) 1.881 :t.10 1.881 Rcsulil(l Bnllncc General Suppod Asds CentEl Office Switching CdtEl Office Op@tor ContEl Office TEnsision lnformation OriginatiorvTemimtbfi Equipment Cable & Wire Faciliti6Rwffue Not Clasified by Ac@unt Tolrl &sir Lf,rl Sd\ice Rdouc rwhnnt T.l..on. ln. Retenu( and E\Nns Sunnary 70t1 Linc Bmkr Prrl fl,\dio'hctrlsDcbil Crcdil Regulatcd Brlan(c Per Bmkr Srudy,\dju(mcnriDebit Crcdit Stud) Eilan(c Excluded [or USF USF Sludr_ Bilaoce 6110.00 (,110.00 6:l 0.00 6l:0.00 6l:i0.0u 6:llr) 0r) 6llr) 00 651 0.00 65jr) 00 65{0 00 OFmlirs ErDcr3es Planl Srrilic Opcraiions E\pds$ Nd\ork Suppn Cq6al Suppon Cfllral Ollleo SsitchinE oFatf slsllms Cmrral Olliec Transmissi)n hlormation Orig Tm Cablcand Wrc Facilili6 Tohl P]anr Spei6c OFrtlms Expdss Planl Nonspsilic Opsations Erposd Othd Ptupdly Planl & Equipmenl Ndsork Op{aiions 9.?tlll7.:jl lll.06l lH.0E5 61,i.i89 l.:t6 I t0.6:6 8.15i l:6.63r l],061 ll1.0Ei 6lj.j89 t85 i0.667 1.8r5 4.:19 7.010 [.]lt 8.5:iR l _r.191 I t6.85? I8.Xil 659.910 8.518 t1 .1.)91 I 16,85? : I 8.8:i4 l.l 17.406 54.9(n 166.668 190il lt.9E- l9r)ll l,t 15.719 54,969 r66,668 ?:.r16 ?.010 It.sl) t.t 8t.l:i6 54.969 llt I .5J9 l. I 8 l.l:](, i4.169 t8t.5.19 :110.6J9 t9.1)l I Il.6:t8 14.88r)I6.51I tt6.5l 8 Fulsal Unirs$l Sflice ErMse StateUni's$l Sf ice Expdsc hng Dislance Acc6s Chargc Nonsp€ilic Erpfl s6 (Conl'd) Dflreiation & honizrtron E\psss ll l0 Suppon A$ds (scl. bnd)lll0 Colral Otlce E4uiprnfll Ssilching lll0 Opsator Slsfls 1230 Cqtral Onice Tratrsmission 2il0 IOT futripmmtl4l0 Cablc & Wire Facililiuj Propdy Hcld lbr Futue Telcommunicatims U* Totrl Dllr$rDllil Erpsrsqa 6563 Trnsible Capilal Ldse Lushold Inpro!snob 6564 Intangiblc 6565 Ohcr ToDl horlialion E\p6*x Tohl Deftrsiarion & AnortiTrlion E\pos I t9.l:t l5t.6ll 108.655 I it.8r)l t6.il0 101.6tr) r 5i,61:l 108,655 I 71.t0 I 9:i.775 9i.?15 .1.06? l0t.65r) i9.8t8 l98.l6l t -1.80 I l0:.6i0 59.868 r98,i6:i I 71.80t 6il.169 tNt.!"1 16,7:0 tSl.ril 616,748 9:t.175 9-.Sll 6t:.681 6I.681 t8l.97l 9i5.9) 176 t89 t8 t.97t 298,69: I7 701 6l6.?lE 9i8 186 93.7?5 10E.655 91.811 97.811 6:I,681 969.t00 6il.6lt: 9(r9.100 Frcnoat T.lfrn. Int Rfflrw odd &Fnesunnary Line Dcs.rirnioil Part fl,\dj$tmcrtr Dchil Crcdil Rrruhrcd Bilucr Prr Bmk\D.bii Studt ExDctr\c Ercludcd Fdr llSP USF Study 6r,t0 00 66t0. l0 66t0.ll 66:0.i1 66:0.9) 6610.61 6610.70 6610.80 6610.00 Cusloms Opsations 8xp$sc 6610 Markding 6610 Str\icls 6610.r 6610 l Tclshone Opsibr Publishel Drsbry 56 ic$ Listing 6610.il hal Bus OlTExFsc 6610.ll Rssue fucoutingI MNge PrN6sing l. olh6 Eilling & Colldrioo J. CABS 6620 Telsommuristions Rclay Ssicc(Cat. l) 66:0 Orhtr Tolal Cusbmd Onlrati,ns ErBnst 6?.1 t0 I 1.8'1 +.6t9 t6.l7r i8.869 6r.1 1r) 1.1.001 +.619 16.l7l rl.i I (, 10.96:i t:.869 t0l ?,llo 9t.616 t9t.96N l?.869 t8.961 9r.616 I94.968 17.869 1.15: 18.96t i8.869 t?1.0:tl -l.l5l t.ll0 18.l-6 ll8.l i6 Cuf omcr Seric€ Operations CrtcAorUrtiotr: TclohoneOpera!trSd\icc l0l)0(X)lf. BnlanccPublishql Dirdory LisinS: CIa$siliodTM Alpha F0eig hlsslate htqmTA lnrqsate hra LATA lnrasate tt16LATA hrasbre hraHTA EAS Isal 0.0000"" 0 000000 0 0000"" 0.000000 0 0000"0 0.00000" 0.00000" 0.00000i 0.000000 Crtcgory | - Ltrrl Busincsr Offfcc:F).t)rs 8.rl.rncc End Us.r Ssrice Ord6 Prftssins: Prsubsiption Ohs End Usq Palmfil & Collstim End Usq Billing hquby htsc\ch Car Ss Ords Prs Lilsc\ch Car Pa)mnt &Coll htsc\ch Cir Billmg hquiry Coin Colldion 6.1j1).f n It,8191r.28590" 41.50t l5.l l97d; 87.969l5.6il6"; 30.{?9 0.1 108"0 216:.1155"" t.t8l9.6]]+0" 18.78: 0 00000" t00 0r),0 l9l.96t Cateaory 2 - Rcvcoue,\ccouDtiog:Fre(trs &ilaoeu MssagePrffBsing 0.0000Dt Orhu Billhrg & Collslion 100.00000"17,869 ' IS End Usq Mcasagc Toll - lnrs$ate htqLATA MssrgcToll - Inknsrare IntsLATA M$sagc Toll - hilrastate htaLATA hal 5 ltt,, t8 i:r,. t.i9l j.897 l.r,l5 1.615 9,:90EAS 0 00,. rurur-------iilIiliFl --i:ffit Canis Acc6s Billing 100.00""t.'51 C.lcpry 3 - r\ll Ott.r Cclmr Scwlce: Factors Balance Mffigc Toll - Intsslale IntqLATA l0rr lllxl'r l7,E9iMNgeToll-IntrElatehramTA 0.0({n)oi MsageToll-Inra$archrsHTA loili)or!I'o 1,069 ML\sge Toll - Inta$ate hlrahTA 0 0(uPo kral _ olhs l0lr'(lXrl"" Joint Msage 0.0r[x/o BNA Dirccl f,xDcn3er RsoNc Accoruiling OB&C CABS liffil-3rl \|r.il lrrn Fftnont TelP.om. In. R9enu( afrd Erpeny Sunilury Line Bmkr Part 64 ,\diNh€nts Dcbit Crcdil Regulrted Brlrtrce Dcbii Cr.dit Current Studl EUcnsf Excludcd For tlSI USF Sitrdy 6710.00 67t0 0l lt40 l0 7t40.00rtt0.ll 7140. l0 ?210.10 7210 l0 7ll0 00 7150.00 7:50 I 0 7110.00 s t]i) ll) s tli) 1) s rtt0.00 s.150.00 s rl,t0 0l Corporate Opdadons E\p{sc 6711) E\euiieanil Plannirg 67:0 Cfl tral nnd Aihinistali\e Total Co@rate Opsations E\pmse Opoating Taxs ?100 Gross Rseipts Ta\ 7:00 Ad Vahrem (P P & RE.) 7100 oths 7100 R@labry F€s Tohl Tax6 (exchrde FlT. SIT) lncome Tax6 - Cos Study 7100 hldmflt Cralits - Fdqal 7100 hvcrmflt Crslis - Slalc 7200 Fqlsal IncomeTa\ (FIT) - Curflt 7100 Fderal IncomeTa\ (FIT) - hl 7201) Fqlsal lncomeTr\ (FIT) - DcfTa\ RnleChange 7100 Shle hsme Tar (SIT) Iotal Tax6 (FlT. SIT) hcome-faxs - USF S-Corp Only 7:00 hvBhsl Crqlils - Fdtral 7200 hvGhsl Crelits - Slale 7100 Fsleral Income Tax (FIT) - Curmtll00 Fdsal Income Tilx (FIT) - DeI ll00 Srate Lrcomc Ta\ (SlT) Total Tars (FIT. SIT) Equal Acc.ss Erp6s6 Equl Accuss DeTreiation Eipcnses Subnohl Operating Expmss Nd ftdatnr! hurn. ll,t58 l6 1.068 r98.610 r98.6:10 9L0i6 (i90) 94.71 5 2.871 ll.l58 l.16 (ie0) 9:t,178 2 871 161.1)68 t.rl0 ?98.610 (irl)) ,:l.l;8 8:l r98.610 (190) 93,:i?8 t0 l8l 97. I 98 1.316 95.86r :i:8,r I l i59,ji7 r98 l0_t,l 1 (li8,rl) :li9.jil 198 l0 i.lt I (158.711) 159,5i? :t59.7jj :li8.1l 1,041 I,0rl :1.791.951 (519) i9i,l5l 193.151t8i.il l 1,tr)l.699 I tOl 611.908 611 908 6i1.954 6l 9il t,,:91.651 l0 118 :i,:191.65:l tr tt8 h..t Ifu{il" kg 1.. l.t-j -.r tr.tsl Drst Assignmsi of ht6$ale Cost Study ExBse: Dcfiled Tax Adjushot C-CoA Only I 1."3. PY Detiirsl Ta\ klaDce CY Ddkrd Tar Balance NLl Cltange in hlhd Tar Baiance?li0 Arcoul Balance Dct'nd Tar e\pfl se adiu$mdl (r,i44,816) (r,185,170) 159,5i7 359,i57 Frcmont Tcletum. ln. Rfltnu? and &peav Sunnary Lhrc Dcscriiliotr Bihncc Part 6 ldiu*mcd(s Dchil Rcgulared I)rhil ( rcdil Sludy Ercluded ror USF USF S(ldt Balance 1l0r). l0 '10 t.00 rlt0.00 rll0.00 r:t00 l0 7:l0l). lr) 7$0.00 7i00. l0 7j(D.10 7500.i0 7500.{) i990 00 Other Incme & Chrrges (f,xp) ?100 Ohs Opuating hcomeand E\psse ?100 9999 Cumularile EIT$I olChangein Acdg khciple 7100 Nonopdating Income and Erpfl sc5 Conrihurions (?:ir{)) AFUDC AtEndondql Consruction Othtr Total 7:i0l) 7ll0 Nonopsrting FIT A C ?5 I 0 hls(sl on Fuddl Deh AC Tili) hlqst E\Hse - Capilal Lss(s A C 75i{l Anoniatn)n olDd{ lssunce Expflse AC 75{0 lntqst on Cuilomtr Drysils AC 75{) Othd lrilsst Dqtmlions Tolal 7500 lnld$l and Rclaled Xsns Total Olh.r hcome rnd Chargs Reslared Nd l.cme (L6s) Nof,-Rlyulrtrl Ltlonc lncomc Adiurhunsl Mo(izaliur oluxcc{s dcihd tar$ Shqlulc M ftrcomc Adiush.nt lTsnBtrrry ) Plant A(lnNunEts E\Hse tuliusnndtr Tolal S.hdhde M Adiuhrcnt\ Othd Inco'nc Adiustndl (Psmnnql) Planl Adtu$ilrols E\pmsc A{ius!Ddts +.ixl (i8.t 8it t8.lEi t.nx)1.i00 1.50r) (lt.68i) 0 16.060) r 1,600 5.681 rtl t8.l8i 5.681 1,sil) I1.600 .{.500 1.09: r)91 1..i00 1.09: I il)l ( II.16l ) ll0.92t I 6 t.00i l5l.tt5 539.757 i.6x1 ls.917 I 1, l0i) (9.898) 8.508 610.16262 r.q8 8.591 r.636 8.59: 1.636 Fremont Telecom, Inc Fixed Charges 2017 Balance P€r Studl Line Acct DescriDtion Source Average Current Year Prior Year nvestment Fremont Telecom, lnc I 2 3 1 5 6 7 8 9 l0 lt t2 l3 t4 l5 l6 t7 l8 l9 20 2t 22 23 24 25 26 27 28 29 30 3l 32 l3 34 1220 Material & Supplies 1402 Class RTB Stock 2001 Telephone Plant In Service 2002 Property Held For Future Use 2003 Telephone Plant Under Construction 2005 Telecommunications Plant Adjustment 3 100 Accumulated Depreciation 3200 Accum Depreciation Held For Future Use 3400 Accum Amortization - Tangible 3500 Accum Amortization - Intangible 3600 Accum Amortization - Other 4100 Net Current Deferred Operating lncome Taxes 4340 Net Non-Current Defbrred Operating Income Taxes Total Operating Net [nvestment I 120 Cash and Equivalents CWC Cash and Equivalents (net of CWC) 1220 Property Held for Sale or Lease l40l Investment in Afliliated Companies 1.102 Investment in Non-Atliliated Companies (x/RTB) 1406 Non-Regulated Investments tiom part 64 study I 406 Non-Regulated [nvestments Reserued from Manual Non-Operating Adjustment 2005 Non-Operating Plant - Plant Adjustment/Goodwill 360 I Accumulated - Non-Operating Plant Adj/Goodwill 4 I I 0 Net Cunent Deti Non-Operating [nc. Taxes 4350 Net Noncurent Def, Non-Operating Inc. Taxes Total Non-Operating Net lnvestment Total Net Investment Percent Operating Net lnvestment Percent Non-Operating Net lnvestment 7500 Total Fixed Charges Operating Portion olTotal Fixed Charges 7-8..1 P3 P3 P2 P3 P3 P3 P4 P4 P4 P4 P4 P6 P3 Ln r90,029 28,982,025 az,:as 26, I 89,32 I I 95,982 29,669,505 v.iza 26,338,s26 184,077 28,294,544 zt,iqs 26,040,1 l5 I ( r,365,048) ( l, l 85,270) ( 1,511,826) 4,390, l 69 ctL Pl3 Ln l6-17 G/L G/L GIL Part 64 GIL 1,207,535 98,959 t, I 08,575 701 ,813 6,927,592 384,975 t9,249 (21,461) 4,769,657 CY 594,8s3 6,657,628 384,97s 38,497 (.18,922) 4,010,682 PY 808,773 7,197,556 384,975 Non-Onerating Portion ofTotal Fixed Charces GIL GIL clL G/L Ln|8..23-24..26 LnI5+27 Ln I 5/28 Ln27l28 EI Ln2 8*29 Ln28+30 9,128,t67 l 3,5 l 8,336 32.4757% 67.5243% 12,600 4,092 8,508 lperating Investment Fixed Charges Financial Statements Tria I Ba la nce, Reserve, Depreciation Expense Benefits & Rents Part 64 Fremont Telecom, lnc Rate Base Summary 12t31t2017 Fremont Telecom, lnc Total Telecom, lnc Fremont Telecom,Non- lncAccountPlant Description Adjusted Total 2110.00 2111.00 2210.00 2220.00 2230.00 2310.00 2410.00 2681.00 2682.00 2690.00 2001.00 2002.00 2003.00 2005.00 3100.00 3200 00 1401 .00 1402.00 1410.00 1406.00 1220.00 1438.00 1439.00 1120.00 1120.10 4040.00 4100.00 4310.00 4340.00 4360.00 General Support Assets (excluding Land) Land Central Offi ce Switching Operator Systems Central Office Transmission lnformation Origfferm Cable and Wire Facilities Amortizable Tangible Assets Capital Leases Leasehold lmproveement Amortizable lntangible Assets Total Plant in Service Plant Held for Future Use Plant Under Construction Telephone Plant AdjustmenVGoodwill Accumulated Depreciation Reserve - Plant Held for Future Use lnvestment in Affiliate lnvestment in Nonaffiliate Other Noncunent Assets Nonregulated lnvestment (net) Materials and Supplies Deferred Charges Equal Access Gross lnvestment Cash & Equivalents Working Cash Customer Deposits Current Deferred Operating lncome Tax Accrued postretirement BenefiULiability Non-Current Deferred Operating lncome Tax Other Long Term Liabilities and Deferred Credits 2,294,050 39,421 1 ,259,197 8,882,627 136,538 20,039,697 1,973,800 34,625,330 57,426 384,975 (30,7r4,398) 37,595 6,657,628 195,982 1,149,861 48,922 2,294,050 39,421 1,259,197 8,882,627 136,538 20,039,697 1,973,800 34,625,330 57,426 384,975 (30,714,398) 37,595 6,657,628 195,982 1,149,861 48,922 321,330 5,522 136,538 1,973,800 2,437,189 384,975 (1,880,834) 6,657,628 48,922 1,972,720 33,899 1,259,197 8,882,627 20,039,697 32,188,141 57,426 (28,833,s64) 37,595 195,982 1,149,861 Rate Base 't2,443,320 12,443,320 7,647,880 4,795,41 Net Nonregulated Assets: 1 406 Nonregulated lnvestments 594,853 594,853 Fremont Telecom, lnc Accumulated Depreciation Summary 1213112017 Fremont Telecom, lnc Total Telecom, lnc Non-Fremontlated Telecom lncAccount PlantDescription Adjusted Total 31 10 3210 3220 3230 331 0 341 0 3501 3502 3600 3601 General Support Assets Central Office Switching Operator Systems Central Office Transmission I nformation Orig/Termination Cable and Wire Facilities Amortizable Tangible Assets Capital Leases Leasehold I mprovements Amortizable I ntangible Assets Amortization - Plant AdjustmenUGoodwill (1,712,449) (1,054,444) (8,014,788) (112,731) (18,395,130) (1,386,359) (38,497) (1,712,449) (1,054,444) (8,014,788) (112,731) (18,395,130) (1,386,3s9) (38,497) (23e,864) (103,383) (112,731) (1,386,35e) (38,497) (1,472,585) (1,054,444) (7,91 1,405) (18,395,130) Total Accumulated Depreciation (30,714,398)(30.7{4,398)(1,880,834)(28,833,564) Fremont Telecom, lnc Management !ncome Statement 12t31t2017 Fremont Telecom, lnc Total Fremont Telecom, lnc Fremont Telecom, lnc 1,049,29s 32,957 46,970 1,892,638 1,206 290,753 20,588 57,258 17,237 76,211 3,485,112 1,115,719 321,638 272,034 959,698 636,748 95,861 3,401,699 83,412 (4,500) 78,912 12,600 Description Adjusted Total Network Access: End User lnterstate Common Line & Switched Access High Cost Loop Support lnterstate Special Access lntrastate Common Line & Switched Access lntrastate Special Access State USF Support Operating Expenses: Plant specific Plant non-specific Customer Corporate Depreciation and Amortization Other operating taxes Total Operating Expenses lncome available for fixed charges Nonregulated Operations (Net) Total Operating Revenues Operating Income Other income (expense) lnterest and Related ltems Operating Revenues: 5000.00lLocal network 5060.00 Local network - EAS Miscellaneous B&C - lnterstate B&C - lntrastate 5081.00 5082.00 5082.1 0 5083.00 5084.00 5084.1 0 5084.20 5100.00 Long Distance 5200.00 5200.10 5200.20 5300.00 Uncollectible 1,049,295 32,957 46,970 1,892,638 1,206 290,753 20,588 366,749 36,000 161,007 3,955,420 1,137,706 340,649 310,904 973,056 935,440 97,198 3,794,952 160,468 149,745 310,213 1,049,295 32,957 46,970 1,892,638 1,206 290,753 20,588 366,749 161,007 3,955,420 1,137,706 340,649 310,904 973,056 935,440 97,198 3,794,952 310,213 57,258 36,000 160,468 't49,745 18,284 349,512 36,000 77,056 154,245 231,301 5,684 84,797 470,309 21,987 19,011 38,869 13,358 298,692 1,336 393,253 225,616 66291,929 291,929Net Income 57,258 18,284 Fremont Telecom, lnc Expense Summary 1213112017 Fremont Telecom, lnc Telecom, lnc Non-Fremont lncAccount Description Adjusted Total 61 10.00 6120.00 6210.00 6220.OO 6230.00 6310.00 6410.00 Network Support General Support Central Office Switching Operator System Central Office Transmission lnformation Orig/Term Cable and Wire Facilities 9,714 147,257 121,062 214,085 645,589 9,714 147,257 121,062 214,085 645,589 1,361 20,626 8,353 126,631 121,062 214,085 645,589 6510.00 6530.00 6540.00 6560.1 0 6560.21 6560.22 6560.23 b5bu.5u 6560.40 6560.50 6563.1 0 6563.20 6564.00 656s.00 Total Plant Specific Other Plant Network Operations Access Depreciation & Amortization General Support Central Office Switching Operator Systems Central Office Transmission Information Orig/Term Cable & Wire Facilities Property Held for Future Use Amortization Tangible Assets Capital Lease Leasehold lmprovements Amortization lntangible Assets Amortization Other 1,137,706 54,969 266,668 19,01 1 1 19,371 153,643 208,655 171 ,801 281 ,971 1,137,706 54,969 266,668 19,01 1 1t9,371 153,643 208,655 171,80'l 281,971 21,987 19,011 16,720 281,971 1,115,719 54,969 266,668 102,650 153,643 208,655 171,801 Total Depr & Amort 935,440 935,440 298,692 636,748 Total Plant Non-Specific 1,276,089 1,276,089 317.703 958.386 6610.00 6620.1 0 6620.22 6620.3'l 6620.50 6620.62 6620.70 6620.80 Marketing Operator Services Directory Other Local Business Office Rev. Acctng. Ivlessage Process Rev. Acctng. Other B & C CabsB&C Other Customer Service (TRS) 67,1 1 0 212,87 4 4,649 26.271 67,1 10 212,874 4,649 26,271 38,869 67,1 10 174,004 4,649 26.271 6710.00 6720.00 Total Customer Operations Executive & Planning General & Administrative 310,904 973.0s6 310,904 973.056 38,869 13.358 272,034 9s9.698 7100.10 7210.10 7210.20 7220.00 7230.00 7240.00 7240.10 7240.20 7240.30 72s0.00 7300.1 0 7300.20 7340.00 7370.00 7400.00 7500.'10 7500.20 7500.30 7500.40 7600.00 7990.00 Total Corporate Operations Other Oper. lnc/Exp Other Operating Taxes - ITC Federal Operating Taxes - ITC State Operating Taxes Federal Operating Taxes State Property Taxes Regulatory Fees Gross Reciepts Tax Other Taxes Deferred Operating Taxes - Fed/State Other Nonoperating lncome/Expense Abandonded construction AFUDC Contributions Non Operating Taxes - Federal/State lnterest on Long Term Debt lnterest on Capital Leases Amortization of Deferred Credits lnterest on Customer Deposits Extraordinary ltems Nonreoulated ooerations (net) 973,055 94,715 2,873 (3e0) (38,1 8s) 4,500 (1 16,060) 12,600 5,684 (161.007) 973,056 94,71 5 2,873 (3e0) (38,1i8s) 4,500 (1 16,060) 12,600 5,684 (161 .007) 13,358 1,336 (38,185) (1 16,060) 5,684 (84.797) 959,598 93,378 2,873 (3e0) 4,500 12.600 (76.211 Total Taxes & Misc Accounts (19s,270)(195,270)(232,0211 36,751 Total Expenses and Taxes 3,502.484 3.502.484 159.896 3.342"589 EEEttttsc dadaiada aaaadddTEEEEEEE EEEEEEE 99999999 C99!!99TTTAZZEEEEEZZEZZZZZZZZZZZZEZZZEEEES9SSSSSS::EEEUZZZZEZZZ'cTZTEEEEEE!TSSSZETZZZZZZZZZ-cZZZ EEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEE€!44 -!94EEEEEEEEEEEEEEEEEEEEEP9-O999PEEEEEEEEEEEEEEEEaU====:t.ooo oooo==--=-aa ::::::::::15:1:11:1i:::::1::::::::nEiEEEEE::1::11::M::1:::1::!E!EEEt:1:1::::1::1::::EEEdBEEEd$EEdTUUO$UE$TEUTSEEEOETEE::*:,:;,:;EIEEEEEE!UEEEUEEUEEEE:::::::UI!UEEEEUEUEdEEE6ii.6i56566i5i5dd666666i566666666566666ss!!E!E!66i56i5d666i56666666dd66!!!sEE!66666666d666-66d t: ildddd il ed?-o<@tson+dd-dddFrNdN{ddod-dd idd Ndd i E! ! .96a= zn !!E!EEEE!s9!!!!s 99PPPTP*FP!iqq+c{qcq 2tt22222222 E E ER E U9 F6Zz Eq I g E. 8z ;a =a2 +ts{d+dddN- aoa-dddNdiidN-doNN{N{dddddN-dd J J do- NdN ; dd@dddodqqdN-N ; i d6J E p : idddJ 3 dd d+d + d d xttlxll*l*llt*ll**lllllll<x<<x< Ei6 EEtr 3a + E 3 aaaaaaaoaaaa a Ea==.!s e H io E !ir# s€s? 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" e i " !, '.{+iE 3 !: iEd,rdlhsS.a ,- IE ,f+ecie!it: E*_.ro.;oEEtroeE*g ??EE€5EE,.E5e}57;a;;9, id**-3IoE: pj{EE6*e,BEEEEe!fugqSEEEEgfaEaatEf!a"55! 88888888888888888E8E338?8q?EE8EPEEEE888EE8E8q???RSSEsEsEEEEsqEEEEEEEEEE ooood{6oodoo onoooooFd roo*o3oo{do6oodddooddoosrr{i!d{ss{rooididsd*@oi 8888:*888!:g:::::!r:188888888888888889PR8888883 8 I E i "EE Ei* i $' i !r!r ri+={ *8,: s,;EEEt€i€ .E$ $f* * cgHqeE"t€tttiSttE Heig -g iE ieis i:i rr :l iifi ifi iil$ll,; sgiE g ! 8983 -do.<----ooddoooooooddo oodd@666do6o@6@oddi+{iioodooooooooodooo6ddd666dd6ooodoodddddo CCCESEEECEBCCCgCCCBBERB 99q9ee9SqS9 ooooooooooo 9Q9eaesq9qq dddd Jddddd a 2> 2>>22>>>> f, =o = I dE -ab EE:i I o EE E z d 3 E c I s v y e-P e P I P S P 3 P+ E 3 Pd_:3-i3-:3lT-:3AAaaaaa 6 6aoctrLId[[daIc.^,-oooooooooooilxlo o o o ooo9!P!!gPSPP!eH ooooooooooo6lE c c c.Oo oooooooooooootttEEESSEtttE s999999999999 a t E 9 E ,9 - I -€ .P dg9 FdZz9o E_ E 6 E3. =az 3n b- 9 0 o F oE Fremont Teleconr. lnc SSA Summary 2017 Acct Cod€Debit Credit 2410 3410 6s60.4 2230 3230 6560.23 6120 6210 6230 6410 6530 661 0 6620.31 6620.62 6620.7 Nts 6720 4340.1 4340.21 4340.23 4340.4 4340 Nts 4360 7250.1 6't't 0 6't20 6210 6230 6410 6530 6610 6620.31 6620.7 6620.8 6720 ssa fl c&wF C&WF Reserve C&WF Depreciation Expense To remove nonregulatod inv€stment for Synnga Fiber ssA #2 coE Reserv€ - COE Dep Exp - COE To remove COE nonr€gulated investmont for Syringa central office lease SSA *3 Goneral Support Contral Offic€ Switching Transmission Cabl6 and Wire Network Operations 66'10 Marketing Local Bus Off Expens€ Other Billing & Colletion CABS Not in Study Gen€ral & Administrative To relassify @rporat€ op€rations fe€s lo proper expsnss ac@unt based on the function of the charge frcm the Blackfoot parent ssA t4 Def. Tax - GSA D€f. Tax - Switching D€f. Tax - Transmission Def. Tax - CwF Dof. Tax - General Not in Study Ooferrsd Regulatory liability D6forred regulatory Amortization Expense To allocate Defetred Tax6 to proper CS account sories. SSA fl5 1,877,2s8.00 1,877,258.00 617.779 63 641.377 2A 4.066 59 47.457 50 129 10 8.964 80 23.026.90 17,103.50 27,869 40 242.856 1.240.909 124,951 20 Nehrork Support General Support Central Office Switching Transmission Cable and Wire Network Operations 6610 Marketang Local Bus Off Expense CABS Other Customer S€ruice General & Administrative 6620 I 1oo,oo00% 61 10 6120 6210 6230 6410 6530 6610 6620.31 6620.7 0.51 300/0 7.77760/o 7.43560/0 1 3.1 4890/0 39.65170/o 16.37860/o 4.12190/o 10.64720k 0.28550/o 36,117.02 185.29 2,809.03 2,685.50 4,7 49.01 14,321.00 5,91 5.47 1,488.70 3.8s9.91 103.12 50.033 248,461 36,117.02 7,309.95 7.020 6620.8 7240.1 to spread the amount associalsd with post r6tir6ment ben€fit to prcper expense accounts SSA '6 TRS Regulatory Fe€ To rolcassify th6 state PUC regulatory fee to proper account ssA #7 Gatilay Switch Revenu6 Switching Expense 7,309.95 7.0205082 6210 Fremont Telecom, Inc Regulated Federal/State Income Tax Reconciliation l'remont Telecom, Inc Regulated FederaUState Income Tax Reconciliation 7.40% State Tax Rate 34.00% Federal Tax Rate 2017 Acct Description 5ou rce Total Regulated Non-Reg Resulated Federal/State lncome Tax 1 Total Revenue 2 Operating Expense (Excl lnc Tax) 3 Contributions 4 lnterest on Customer Deposits 5 Other lncome (Expense) (7300.10) 6 Non-regulated lncome (Loss) (7990.00) 7 lncome Before Tax and lnc. Adjustments 8 Fixed Charges 9 lncome Adjustments 10 Total Taxable lncome LL State Tax Rate 12 State Operating lncome Tax L3 State Tax Adjustments/Credits L4 Net State Operating Income Tax 15 Taxable lncome less SIT 16 Federal Tax Rate 1.7 Federal Operating lncome Tax 18 Federal Tax Adjustments/Credits 19 Net Federal Operating lncome Tax MA Calculated lncome Tax 20 State Operating lncome Tax 21 State Operating lncome Tax - Credit 22 Federal Current Operating lncome Tax 23 Federal Current OperatinB lncome Tax - Credit 24 Deferred Operating lncome Tax E1 E1 E1 E1 E1 E1 Lns 1:6 E1 Lns 26:29 Lns 7:9 3,794,4L3 (3,794,9s21 (4,s00) 38,185 161,007 3,401,881 (3,390,613) (4,s00) 392,532 (4O4,34O1, 38,185 L6L,OO7 794,753 1L8,2841 6,768 (4,0921 187,38s lt4,tezl 175,869 7.40% 73,074 2,676 7.40% 198 L73,r92 7.40% L2,8L6Ln 10*11 E1 Ln 12+13 Ln 1.0-14 Ln 15*16 E1 Ln 17+18 t3,o14 152,855 34.00% 198 2,478 34.00% 12,8L6 760,376 34.00% 55,371 843 54,528 55,371 13,014 55,377 198 (3s8,7141 359,557 72,815 414,085 (3s9,ss7) 843 54,528 Ln 12 Ln 13 Ln 77-24 Ln L8 E1 Taxable lncome Proof 25 Net lncome 26 Less: Nontaxable lnterest lncome 2l Nontaxable Dividend lncome 28 Other nontaxable lncome 29 Add: Nondeductible Expenses 30 Less: AFUDC 31 Add: Operating FIT 32 Operating SIT 33 Deferred Operating FIT& SIT 34 Nonoperating FITIS|T EL Records Records Records Records E1 E1 E1 E1 E1 291.,929 (1 16,060) (3s8,714) 198 359,557 358,7L4 ( 1s8) (3s9,ss7) (116,060) 7,536 290,293 35 Total Taxable lncome (Ln 10)175,869 2,676 173,L92 Fremont Telecom, Inc Regulated Federal/State Income Tax 2017 Acct Description Source Balance I Total Regulated Operating Revenue 2 Total Regulated Operating Expense 3 Operating Income 4 Income Adjustments 5 Total Regulated Taxable Income 6 State Tax Rate 7 Regulated State Operating Income Tax 8 State Tax Adjustments/Credits 9 Net Regulated State Operating Income Tax E1 E1 Ln l+2 E1 Ln3-4 3,401,881 3,395,1 l3 6,168 4,092 2,676 7.40% Ln 5*6 E1 Ln 7+8 198 198 10 Regulated Taxable Income less SIT l1 Federal Tax Rate l2 Regulated Federal Operating Income Tax l3 Federal Tax Adjustments/Credits l4 Net Regulated Federal Operating Income Tax Ln 5-9 2,478 34.00% Ln 10*1 1 E1 Ln 12+13 843 843 15 Net Regulated State Operating Income Tax 16 Net Regulated Federal Current Operating Income Tax 17 Regulated Deferred Operating Income Tax Ln9 Ln 14-17 EI 198 (358,714) 359,557 18 State Book Income Tax Expense 7230.00 SIT Adjustment E1 Ln 9-18 198 19 Federal Book Income Tax Expense 1220.00 FIT Adjustment E1 Ln 16-19 (3s8,714) 20 Deferred Book Income Tax Expense 7250.00 Deferred Tax Adjustment E1 Ln 17-20 359.551 Traffi c Factors As part of our procedures, we did not complete a traffic study for the CY as frozen factors apply.