28805.doc

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION OF NEW ACCESS COMMUNICATIONS LLC., FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO PROVIDE RESOLD LOCAL EXCHANGE SERVICES IN IDAHO.
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ORDER NO. 28805

On March 30, 2001, New Access Communications LLC., filed an Application for a Certificate of Public Convenience and Necessity to provide resold local exchange services throughout Idaho in Qwest’s and Verizon’s service territories. New Access states that it has no plans to build facilities and will market its services primarily to residential customers. The Company filed amendments to its Application on June 14, 2001. On July 5, 2001, the Commission issued a Notice of Application and Notice of Modified Procedure that required all written comments to be filed by the parties within twenty-one (21) days of its issuance. Order No. 28767. The Commission Staff was the only party to file written comments and it recommended that the Application be approved.
Based on the comments, the law and the record, the Commission grants the Application. The Commission further finds that the Certificate should be issued subject to the posting of a bond.
STAFF ANALYSIS AND RECOMMENDATION
Staff reviewed the Application submitted by New Access and found that it included all of the required items identified by the Commission in Order No. 26665.
However, Staff believed that because of the limited financial data regarding the Company’s operations that it had failed to demonstrate it had the financial resources that may be necessary, even for the limited scope of the operations it proposes. Staff recommended that New Access be required to post a bond that would protect Idaho customers in the event of the cessation of Idaho operations by the Company in the amount of $40,000, based upon an estimated average exposure of $40 per customer (based upon the rates contained in the proposed price list), and a maximum of 1000 customers recruited in the first year. Staff recommended the Company be required to maintain the bond or other financial security at a level equivalent to no less than $40 per customer, and provide the Commission with quarterly reports identifying the number of customers. If the number of customers increases to a level that would bring the bond amount to less than $40 per customer, the Company would be required to provide the Commission with evidence that the bond or financial security amount had been increased to exceed the $40 per customer level.
COMMISSION FINDINGS
Based on the comments, the law and the record, the Commission grants the Application. The Commission further finds that the Certificate should be issued subject to New Access Communications LLC., providing evidence of establishment of a $40,000 bond.
O R D E R
IT IS HEREBY ORDERED that the Application of New Access Communications LLC., for a Certificate of Public Convenience and Necessity is granted subject to the requirement that the Company provide evidence to the Commission of establishment of a $40,000 bond.
THIS IS A FINAL ORDER. Any person interested in this Order or in interlocutory Orders previously issued in this Case No. GNR-T-01-7 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 or in interlocutory Orders previously issued in this Case No. GNR-T-01-7. Within seven (7) days after any person has petitioned for reconsideration, any other person may cross-petition for reconsideration. See Idaho Code § 61626.

DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
day of July 2001.

PAUL KJELLANDER, PRESIDENT

MARSHA H. SMITH, COMMISSIONER

DENNIS S. HANSEN, COMMISSIONER

ATTEST:

Jean D. Jewell
Commission Secretary

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ORDER NO. 28805 1

Office of the Secretary
Service Date
August 3, 2001