20200911Decision Memo.pdf

DECISION MEMORANDUM
TO COMMISSIONER KJELLAI[DER
COM1VIISSIONER RAPER
COMIVIISSIONER AI\DERSON
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:MATT IIUNTER
DEPUTY ATTORNEY GENERAL
DATE: SEPTEMBER 9,2020
SUBJECT:IN THE MATTER OF THE II\MESTIGATION OF GC PIVOTAL, LLC
DBA GLOBAL CAPACITY'S ELIGIBILITY TO HOLD CERTIFICATE OF
PIIBLIC COIIVENIENCE AND NECESSITY NO. 530; CASE NO. GCP-T-
20-01.
GC Pivotal, LLC dba Global Capacity ("Company") holds Certificate of Public
Convenience and Necessity ("CPCN") No. 530. Commission Staff believes the Company has
failed to comply with Order No. 34484, and therefore recommends the Commission commence
proceedings to require the Company to show cause why it remains eligible for a CPCN.
BACKGROT]NI)
On November 18, 2019, the Commission approved the Company's application for a
CPCN, subject to several conditions. One of the conditions is:
The Company must provide three reports to the Commission indicating
the number of basic local exchange customers it has and the services being
offered. These reports will be due on: February 19,2020; June 17, 2020;
and October 18, 2020.If the Company fails to provide the three reports,
the Company shall relinquish its CPCN and all telephone numbers.
Order No. 34484 at 2.
On December 13, 2019, the Commission issued the Company CPCN No. 530. To date,
the Company has failed to file the first two reports.
STAFF RECOMMENDATION
Staff recommends the Commission cofllmence a proceeding directing the Company to
show cause why it remains eligible to hold a CPCN. Having not received either of the required
1DECISION MEMORANDUM
reports, Staff believes the Company has not met the condition quoted above, and therefore the
Company must relinquish its CPCN. The reporting requirement is not purposeless; a Title 62
telephone corporation is only eligible for a CPCN if it provides basic local exchange service. ,See
Order Nos. 26665 and 34130. The reports are designed to confirm that the Company is indeed
providing basic local exchange service. The Company has provided no evidence it provides this
service.
Staff believes Modified Procedure, IDAPA 31.01.01.201 through .204, is appropriate
for this proceeding and affords ample due process to the Company. The inquiry is a simple one:
does the Company meet the eligibility requirements for a CPCN? Staffbelieves a formal hearing
is unnecessary to answer this question. If, however, the Company wants a formal hearing, it may
request one. See IDAPA 31.01.01.203.
Therefore, Staff recommends the Commission issue a Notice of Complaint and
Modified Procedure, directing the Company and any interested persons to provide any written
comments to Staffs Complaint by October 15,2020. Staff also recommends the Commission
direct Staff to provide any reply comments by October 29,2020.
COMMISSION DECISION
Does the Commission wish to:
l. Issue a Notice of Complaint and Modified Procedure, setting an October 15,2020
comment deadline for the Company and any interested persons, and an October 29,
2020 reply comment deadline for Staff?
2. If not, does the Commission wish to
a. Issue a Notice of Complaint;
b. Order the Company to appear before the Commission to show cause why the
Company remains eligible to hold a CPCN; and
c. Set a date for the show-cause hearing?
Matt Hunter
Deputy Attorney General
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DECISION MEMORANDUM 2