20021127Comments.pdf

WELDON B. STUTZMAN
DEPUTY ATTORNEY GENERAL
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074
[phone]
IDAHO BAR NO. 3283
~ECEIVED
i~ flED
20HZ NO" 27 Pr1 2= 46
Pit
,.,
r.' i i,_
UTILITIES COf'ir-1ISSION
~'~~....._..."",
Street Address for Express Mail:
472 W. WASHINGTON
BOISE, IDAHO 83702-5983
Attorney for the Commission Staff
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION OF
BRIDGEBAND COMMUNICATIONS, INC. FOR)
A CERTIFICATE OF PUBLIC CONVENIENCE
AND NECESSI1T TO PROVIDE LOCAL
EXCHANGE TELECOMMUNICATIONS SERVICES.
CASE NO. GNR-O2-
COMMENTS OF THE
COMMISSION STAFF
COMES NOW the Staff of the Idaho Public Utilities Commission, by and through its
Attorney of record, Weldon B. Stutzman, Deputy Attorney General, in response to Order No.
29150, the Notice of Application and Notice of Modified Procedure in Case No. GNR-02-
issued on November 8, 2002, submits the following comments.
BACKGROUND
On September 20 , 2002 , BridgeBand Communications, Inc. filed an Application for a
Certificate of Public Convenience and Necessity to provide basic local exchange service within
the State of Idaho. BridgeBand is a full-service competitive communications company offering
data communications and Internet access using DSL technology to provide high-speed, high-
quality, cost-effective ADSL and SDSL service. In addition, BridgeBand offers commercial
grade ISDN, Frame Relay, Dedicated and ATM access services nationwide. The Company has
STAFF COMMENTS NOVEMBER 27 2002
filed copies of its Articles of Organization and Certificate of Existence issued by the Idaho
Secretary of State.
Staff has reviewed the information provided by BridgeBand in its application and
believes it satisfies the requirements of the Commission s Rule of Procedure 111 , IDAP A
31.01.01.111 , and Procedural Order No. 26665 issued November 7, 1996, which sets out the
necessary information to be included with an application for a certificate.
BridgeBand is a Montana corporation, headquartered in Bozeman. It was incorporated in
May 1999. It seeks authority to operate throughout Idaho, and specifically in the territories of
Teton Telecom, Qwest and Verizon.
The application indicated BridgeBand originally provided data and internet services
primarily using DSL technologies, initially in Montana. It subsequently expanded to also
provide other high speed data services nationwide. It is currently expanding its operations to
include voice grade service, as well as video and television service. Staff finds the Company
appears to have adequate technical skills to provide the services identified in the application.
Staff understands the Company s initial services will be to a subdivision outside of
Driggs in the service area of Teton Telecom. The service will initially be provided by reselling
Teton s service, but the Company plans to eventually use at least some of its own facilities.
Teton is a small company serving a relatively rural area. The Commission on December
, 1997, granted Teton a three-year rural exemption from the requirements of Section 251(c),
pursuant to Section 251(f) of the federal Telecommunications Act of 1996 and Section 62-615(2)
of the Idaho Code.
The application included confidential and unaudited balance sheets for 2000 2001 and
2002 through July, which appear to be typical for a young company in a capital intensive
industry. While the financial capabilities of such a new company are unknown, Staff finds that
the benefits of a small bond or other financial security instrument would be outweighed by the
cost of distributing the proceeds and other administrative functions. Therefore, Staff does not
recommend imposing a financial security requirement.
BridgeBand specifically indicated in its application it will comply with all Commission
rules. It has provided an illustrative tariff with its application that demonstrates an understanding
of tariff requirements and processes.
STAFF COMMENTS NOVEMBER 27 2002
STAFF RECOMMENDATION
Staff recommends that a Certificate of Public Convenience and Necessity to provide
competitive local exchange service in Idaho be provided to BridgeBand Communications, Inc.
Respectfully submitted this).,.11ray of November 2002.
Weldon B. Stutzman
Deputy Attorney General
Technical Staff: Wayne Hart
i:u:umisc/comments/gnrtO2.18wswh
STAFF COMMENTS NOVEMBER 27 2002