20040611Final Order No 29527.pdf

Office of the Secretary
Service Date
June 11 2004
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE STAFF'
PETITION TO INITIATE A COMMISSION
INVESTIGATION TO DETERMINE IF OCMC
INC. VIOLATED THE TERMS OF ITS PRICE
LIST AND THE COMMISSION'S OPERATOR
SERVICES AND PAY TELEPHONE RULE
104.04.
CASE NO. GNR-04-
ORDER NO. 29527
On March 15, 2004, Staff of the Idaho Public Utilities Commission filed a Petition
recommending that the Commission initiate an investigation to resolve subscriber complaints
about OCMC, Inc., determine if OCMC is providing service in compliance with its Price List
and to decide if OCMC, Inc. has violated the Commission s Operator Services and Pay
Telephone Rules IDAPA 31.51.01 et seq.OCMC , Inc., is an operator services provider
aSP"), operating in the State of Idaho as itself or under the assumed business names of
OPTICOM, Inc., One Call Communications, Inc., AdvantTel, LiveTel, SuperTel, RegionTel or
800-MAX-SA VE (hereinafter "OCMC"). Specifically, Staff alleged that OCMC violated the
Commission s Operator Services and Pay Telephone Rule 104.04 and the terms of its own Price
List between the dates of March 15, 2002 until July 29, 2003 by failing to provide the
opportunity for customers to receive information about call charges on connected, intrastate
collect calls.
On April 1 , 2004, the Commission issued Notice of Petition, Notice of Schedule and
Notice of Hearing. Order No. 29456. On May 8, 2004, OCMC filed a Motion to Terminate
Investigation where it disputed Staff s allegations and the legal basis for them.
1 Rule 104., enacted on March 15 2002, requires asps like aCMC to:
Disclose, audibly and distinctly to the consumer (caller for non-collect calls, called party for
collect calls), at no charge, and before connecting any instrastate operator service call, how to
obtain the total cost of the call, including any aggregator surcharge, or the maximum possible
total cost of the call, including any aggregator surcharge, before providing further advice to
the consumer on how to proceed to make the call. The oral disclosure required in Rule
104.04 shall instruct consumers that they may obtain applicable rate and surcharge quotations
either, at the option of the provider of operator services, by dialing no more than (2) digits or
by remaining on the line.
IDAPA 31.51.01.104.04.
ORDER NO. 29527
On June 4, 2004, Staff and OCMC , the only parties in this proceeding, filed a
Stipulation and Settlement Agreement ("Agreement"), pursuant to Commission Rule of
Procedure 272, IDAP 31.01.01.272. Staff and OCMC represented that this Agreement is
reasonable, in the public interest and consistent with the law and regulatory policy. The parties
requested that the Commission accept this Agreement without material change. After reviewing
the terms of the Agreement the Commission accepts it. As a result the Commission also orders
the vacation of the procedural schedule as provided in Order No. 29456 and closes Case No.
GNR- T -04-
THE STIPULATION AND SETTLEMENT AGREEMENT
The following terms are contained in the Agreement. OCMC has agreed to make a
voluntary payment to the State of Idaho in the amount of $15 000 within thirty (30) days of
Commission approval of the Agreement. OCMC has also agreed to make reimbursements to
specific customers listed in Exhibit A attached to the Agreement. The Company will make these
reimbursements in the amounts shown in Exhibit A by credit or refund. OCMC has also stated
in the Agreement that it will not engage in any future acts, practices or omissions that would
constitute violations of the Idaho Code, Title 62 or the Commission s Rules. Staff and OCMC
also stated that they would not recommend that the Commission issue a press release in
conjunction with any Order it issues accepting this Agreement. However, the parties understand
and acknowledge that it is within the Commission s discretion whether to issue a press release in
any particular matter. The Agreement also provides that OCMC is not admitting liability to the
allegations contained in Staff s Petition. Finally, the Agreement provides that the parties
acknowledge that the time period covered by Staff s investigation is March 2002 through July
, 2003, and that Staff will not file any additional formal proceedings against OCMC for the
specific conduct it alleged in its Petition the Company had engaged in.
In the Agreement Staff and OCMC recognized the complexity of the issues presented
in this case, the amount of resources and effort expended by the parties thus far, and the length of
time that has elapsed since the case was first initiated. The parties stated the Agreement is made
to compromise contested claims and is entered solely for the purpose of avoiding expense
inconvenience, and uncertainty of further litigation. Furthermore, the parties agree that this
Agreement represents a reasonable resolution of the issues in this case and believe that it is in the
public interest for the Commission to accept it without material change.
ORDER NO. 29527
COMMISSION DECISION
Pursuant to Commission Rule of Procedure 274, IDAPA. 31.01.01.274, the
Commission has reviewed the terms of this Agreement to determine whether it is appropriate to
accept it as a means to resolve the issues in this case. First, the Commission finds that Staff and
the Company are the only proper parties in this case. Although consumers who used OCMC'
services are those directly affected by OCMC's alleged conduct, Staffs position in this case as
demonstrated by the record has been in the best interest of these individuals.
In the Agreement OCMC made several commitments in order to resolve this case: a
financial contribution to the State; reimbursements to specific customers; and assurances that it
will not engage in future practices, omissions or other acts in the provision of operator services
in the State of Idaho that would constitute violations of the Commission Rules and Idaho Code
Title 62. In consideration for these commitments this case will be closed and Staff will not file
further proceedings concerning the specific allegations contained in its Petition that occurred
between March 15, 2002 and July 29 , 2003. Finally, OCMC does not admit liability on any
allegations made by Staff in its Petition. After considering the Agreement the Commission finds
that the parties have carried their burden to demonstrate that the Commission should accept it.
The terms demonstrate that the Agreement is in the best interest of consumers and it resolves
issues that could cause the parties to incur significant costs in order to litigate to finality. Thus
the Commission finds that this Stipulation and Settlement Agreement is reasonable, in the public
interest, and otherwise in accordance with the law and regulatory policy. Accordingly, the
Commission accepts the Agreement. The Commission directs the parties to comply with all
terms of the Settlement Agreement. Failure to comply with the terms of the Agreement would
constitute grounds for further proceedings. The Commission also directs OCMC to make its
voluntary payment by check, to be paid to the general account of the State Treasury for the State
of Idaho. OCMC is ordered to send this check to the Commission Secretary within thirty (30)
days of issuance of this Order.
ORDER
IT IS HEREBY ORDERED that the June 4, 2004, Stipulation and Settlement
Agreement entered into between the Commission Staff and OCMC, Inc., is accepted and
approved. The Commission directs OCMC to make the $15 000 voluntary payment to the
general account of the Treasury of the State of Idaho within thirty (30) days from issuance of this
ORDER NO. 29527
Order. This check shall be sent to the Commission Secretary for the Idaho Public Utilities
Commission.
IT IS FURTHER ORDERED that the parties shall comply with all terms of the
Stipulation and Settlement Agreement.
IT IS FURTHER ORDERED that all proceedings including the evidentiary hearing
as provided in Order No. 29456 are vacated and Case No. GNR- T -04-4 is closed.
THIS IS A FINAL ORDER. Any person interested in this Order (or in issues finally
decided by this Order) or in interlocutory Orders previously issued in this Case No. GNR- T -04-
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 interlocutory Orders previously issued in this
case. Within seven (7) days after any person has petitioned for reconsideration, any other person
may cross-petition for reconsideration. See Idaho Code 99 61-626 and 62-619.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this fA..
day of June 2004.
J.J~
MARSHA H. SMITH, COMMISSIONER
ATTEST:
0: GNR T0404 jh3
ORDER NO. 29527