20040831Decision Memo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER SMITH
CO MMISSI 0 NER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:LISA NORDSTROM
ATE:AUGUST 23, 2004
RE:IN THE MATTER OF THE APPLICATION OF VCI COMPANY f/k/a STAN
EFFERDING d/b/a VILAIRE FOR CERTIFICATE OF PUBLIC
CONVENIENCE AND NECESSITY TO PROVIDE LOCAL EXCHANGE
TELECOMMUNICATIONS SERVICES. CASE NO. GNR-03-21.
On June 3, 2003 , VCI Company ("VCI" or "Company ), filed an Application for a
Certificate of Public Convenience and Necessity as a sole proprietorship, Stan Efferding d/b/a!
Vilaire. To reflect the fact that VCI organized itself as a corporation under the laws of the State of
Washington in November 2003 , the Company filed an Amended Application with this Commission
on July 15 , 2004. VCI requests authority to provide facilities-based and resold local exchange
intraLA T A interexchange and exchange access services primarily to residential customers
throughout the State of Idaho under the corporate name VCI Company.
In the Notice of Application and Modified Procedure issued July 29, 2004, the
Commission solicited comments regarding vcrs Application. Order No. 29550. No comments
were received other than those submitted by Commission Staff.
THE APPLICATION
VCI proposes to provide service to primarily residential customers mainly utilizing
unbundled network elements platform (UNE-P) leased or purchased from Qwest Corporation and
Verizon. VCI proposes to offer all forms of end-user local exchange service and intraLATA toll
service, including but not limited to the following services: 1) local exchange services for residential
customers that will enable customers to originate and terminate local calls in the local calling area
served by the incumbent local exchange carriers (ILECs); 2) switched local exchange services
DECISION MEMORANDUM
including basic service, trunks, carrier access, and any other switched local services that currently
exist or will exist in the future; and 3) operator assistance and directory assistance (via its underlYing
carriers). VCI also proposes to provide exchange access services to interconnection carriers.
VCI plans to offer its services in the service areas currently served by Qwest Corporation
and Verizon. In the future, VCI may compete with all ILECs within the State of Idaho - specifically
ATC Communications; Cambridge Telephone Company; CenturyTel of Idaho, Inc.; Frontier
Communications of Idaho; Direct Communications Rockland, Inc.; Fremont Telcom, Inc.; Inland
Telephone Company; Midvale Telephone Exchange, Inc.; Oregon-Idaho Utilities, Inc.; Pine
Telephone System, Inc.; Potlatch Telephone Company; Rural Telephone Company; Silver Star
Communications and Teton Telecom. VCI does not own any tangible property or premises in Idaho.
VCI has reviewed the Commission s rules applicable to local exchange service providers
and agrees to comply with those rules. VCI will not collect deposits or advance payments from its
customers. Therefore, the Company asserts no escrow account or bonded escrow agent is necessary.
VCI seeks Commission approval of certification without bond or deposit, based upon its financial
ability.
STAFF COMMENTS
Headquartered in Lakewood, Washington, VCI has obtained a Certificate of Authority to
transact business as a foreign corporation from Idaho s Secretary of State. Although the Company
does not maintain an office in Idaho, it does have a registered in-state agent. VCI has submitted its
management profiles and financials for the period ending June 15 2004. Staff has reviewed these
documents and, based on those documents, believes the Company is solvent.
With this Application, VCI proposes to provide resold local exchange services, operator
services, and directory assistance in Idaho s Qwest and Verizon service areas. At this time, the
Company does not propose to collect separate deposits and has not obtained an interconnection
agreement in Idaho. VCI has been granted authority to provide local exchange service in several
other states such as Oregon, Washington, and Wyoming.
Staff has reviewed the Application submitted by VCI and believes the Company
understands and agrees to comply with the Commission s rules and requirements. Based on this
review of vcr Application, Staff believes that the Company s filing has satisfied all the
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requirements of the Commission s Rules and Procedural Order No. 26665. Therefore, Staff
recommends approval of the Application for Certificate of Public Convenience and Necessity.
COMMISSION DECISION
Does the Commission wish to approve VCI Company s Application for a Certificate of
Public Convenience and Necessity?
M:GNRTO321 In
DECISION MEMORANDUM