HomeMy WebLinkAbout19990817.docDECISION MEMORANDUM
TO: COMMISSIONER HANSEN
COMMISSIONER SMITH
COMMISSIONER KJELLANDER
MYRNA WALTERS
DON HOWELL
STEPHANIE MILLER
TONYA CLARK
RON LAW
LYNN ANDERSON
JOE CUSICK
WAYNE HART
WORKING FILE
FROM:
DATE: August 17, 1999
RE: CASE NO. GNR-T-99-6; APPLICATION OF DSLNET COMMUNICATIONS, LLC FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY
On April 26, 1999, an Application was filed by DSLnet Communications, LLC for a Certificate of Public Convenience and Necessity to provide local exchange services within the state of Idaho. The Application states that DSLnet intends to provide resold and facilities-based, switched and dedicated local exchange telecommunications services. On July 9, 1999, the Commission issued a Notice of Application and Notice of Modified Procedure to process the Application.
Written comments were filed regarding DSLnet’s Application by the Commission Staff and TDS Telecom and Century Telephone Company. Staff noted that DSLnet intends to operate initially in the areas of both U S WEST and GTE, and that it does not intend to provide local exchange service in the areas of Idaho served by incumbent LECs that qualify for a rural exemption. The Company nonetheless requested “statewide local exchange authority, so that it may expand its service areas as market conditions warrant and as additional service areas become open to competition.” Staff noted that the evidence of financial ability provided by the Company does not satisfy the conditions established by the Commission for a CPCN in Order No. 26665. However, Staff also stated that DSLnet intends to initially provide Title 62 services, and “that the Company will have ample opportunity to prove its financial capabilities in the market-place before it begins to provide a significant level of services to the Title 61 customers for which the Commission’s financial security obligations apply.” Staff thus recommended that the Application of DSLnet for a Certificate of Public Convenience and Necessity to provide local exchange telecommunications services be approved, subject to the filing of a copy of the escrow agreement required of companies that intend to require customer deposits.
In joint comments filed by TDS Telecom and Century Telephone Company, the companies stated that they provide telecommunication services in rural areas of Idaho. TDS and Century note that “certain restrictions apply to potential competitors in Idaho’s rural exchanges,” and the companies ask the Commission to consider those restrictions if a Certificate is issued to DSLnet.
Subject to the filing of a copy of an escrow agreement, Staff recommends that the Application of DSLnet Communications, LLC for a Certificate of Public Convenience and Necessity be approved. Staff notes that the rural exemption that may apply to TDS and Century, as well as other rural telephone companies, will provide adequate protection to those companies without particular action by the Commission at this time.
Commission Decision
Should the Application of DSLnet Communications, LLC for a Certificate of Public Convenience and Necessity be approved?
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DECISION MEMORANDUM 2