20131107Comments.pdf

NEIL PRICE
DEPUTY ATTORNEY GENERAL
TDAHO PUBLIC UTTLITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074
(208) 334-03 l4
BAR NO. 6864
Street Address for Express Mail:
472 W. WASHINGTON
BOISE, IDAHO 83702-5918
Attorney for the Commission Staff
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BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION OF )
INLAND CELLULAR LLC FOR CONDITIONAL)
EXPANSION OF ITS DESIGNATION AS AN )
ELIGIBLE TELECOMMUNICATIONS )
CARRIER.)
)
)
COMES NOW the Staff of the Idaho Public Utilities Commission (Commission), by
and though its attorney of record, Neil Price, Deputy Attorney General, and in response to the
Notice of Application and Notice of Modified Procedure issued in Order No. 32909 on October
17,2013 in Case No. INC-T-I3-01, submits the following comments.
BACKGROUND
On October 4,2013, lnland Cellular LLC ("Inland" or "Comp&f,y"), a subsidiary of
Inland Cellular Telephone Corporation ("ICTC"), filed an Application for conditional expansion
of its ETC status in Idaho. The Commission previously granted ETC status to ICTC in Order
No. 30212. Inland requests that the Commission grant a conditional expansion of Inland's ETC
area to include areas outside its existing ETC area for the purposes of establishing eligibility to
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CASE NO. INC.T.13-01
COMMENTS OF THE
COMMISSION STAFF
STAFF COMMENTS NOVEMBER 7,2013
participate in the Tribal Mobility Fund Phase I auction to be held by the Federal
Communications Commission ("FCC") on December 19, 2013 ("Auction 902").1
Overview of the Tribal Mobility Fund, Phase 12 (Auction 902)
On November 19, 201I, the Federal Communications Commission (FCC) released the
Report and Order and Further Notice of Proposed Rulemaking (USF/ICC Transformation
Order) that established the Tribal Mobility Fund to provide service to Tribal lands that have
historically had less access than other segments of the population.3 The FCC defines Tribal
lands as any federally recognized Indian tribe's reservation, pueblo, or colony.a
On August 7,2013, FCC issued DA 13-1672 to establish the procedures, terms, and
conditions that will apply to the reverse auction that will award up to $50 million in one-time
Tribal Mobility Fund Phase 1 support (Auction 902). The Summary of Idaho's Eligible Census
Blocks for Auction 902 is provided below.
Census Block Information for Idahos
Number of Eligible Blocks
Number of Tribal Lands with Eligible Blocks
Number of Counties with Eligible Blocks
Number of Bidding Areas
Total Population of Eligible Blocks
Total Area (square feet) of Eligible Blocks
Total Road Miles of Eligible Blocks
334
4
8
9
3,416
320.40
700.64
To participate in Auction 902 and receive monetary support, all Connect American Fund
(CAF) recipients, including Tribal Mobility Fund Phase I recipients, must meet certain public
interest obligations described below.
I Application at l.
2 Connect America Fund, WC Docket No. l0-90.
3 Report and Order qnd Further Notice of Proposed Rulemaking, FCC 1l-161, 1419 and 481 (USF/ICC
Tr ansfor m at i on Or d er).
o- Id. p. 48, fn. rg7 .
' Public Notice DA 13-1762, Attachment A-1, released August 7,2013.
STAFF COMMENTS NOVEMBER 7, 2013
Tribal Mobilify Fund Phase I Public Interest Obligations
1. Voice and Broadband Service. Offer stand-alone voice service to the public with
coverage of at least 75 percent or more of the population within the area for which support is
provided.6
2. Data Rates. On a 3G network, commit to provide outdoor minimum data
transmission rates of 50 kilobits per second (Kbps) uplink and 200 kbps downlink at vehicle
speed appropriate for the areas covered. On a 4G network commit to provide outdoor minimum
data transmission rates of 200 kbps uplink and 768 kbps downlink at vehicle speeds appropriate
for the area covered. The transmission latency for both 3G and 4G networks must be low
enough to enable the use of real-time applications.T
3. Performance Deadlines. Commit to provide service over either a 3G or a 4G network
for at least 75 percent or more of the population within the area for which the carrier receives
funds. Carriers of 3G networks must do so within two years of being authorized to receive
support and 4G carriers must do so within three years of being authorized to receive support. If a
carrier provides coverage in excess of the minimum population, support will be made available
for up to 100 percent of the eligible population.s
4. Reasonable Comparable Rates. Certify annually, for at least five years after the date
of the award, that service offerings rates in supported areas are within a reasonable range of rates
for similar service plans offered by mobile wireless providers in urban areas.e
5. Collocation. Allow for reasonable collocation by other providers of services that
would meet the voice and data requirements of Tribal Mobility Fund Phase I on newly-
constructed towers (owned or managed) by the recipient in the area for which it receives
support.lo
6. Voice and Data Roaming. Must provide voice and data roaming on networks built
the support, consistent with the requirements of Section 20.12 of the FCC Rules.ll
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STAFF COMMENTS NOVEMBER 7,2013
Tribal Mobility Fund Phase I Eligibility Requirements
l. ETC Designation. Carriers must be designated as an ETC pursuant to Section 214 of
the Communications Act in any geographic area for which it seeks support.12
2. Access to Spectrum Description and Certification. Carrier must possess the necessary
spectrum to fulfill any obligations related to support.13
3. Financial and Technical Capability Certification. Carrier must certify that it is
f,rnancially and technically capable of providing 3G or better service within the specified
timeframe in the geographic areas for which it seeks support.la
4. Certification that Applicant Will Not Seek Support for Areas in Which It Has Made a
Public Commitment to Deploy 3G or Better Service by December 31. 2012. This requirement
conserves the fund and helps to assure that Tribal Mobility Fund Phase I support will not go to
finance coverage that carriers would have provided in the near term without any subsidy.ls
Following the resumption of normal federal government operations, on October 30,2073,
the FCC released Public Notice DA 13-2057, with a revised schedule for the Tribal Mobility
Fund Phase 1,902 Auction. The new dates and deadlines that apply to Auction 902 are as
follows:
Revised Auction Tutorial Available (via Internet)
Short-form Application Filing Window Reopens
Short-Form Application Filing Window Deadline
Mock Auction
Auction
The Application
Inland is a Washington corporation, authorized to do business in the State of Idaho, with
its business offices located in Roslyn, Washington.'6 In Case No. INC-T-13-01, the Commission
designated Inland as an ETC for the Washington RSA No. 8 Limited Partnership (WASLP) dba
Inland Cellular. In December 2072,Inland purchased the remaining limited partnership interest
November 18,2013
November 18,2013
December 5,2013
February 21,2014
February 25,2014
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16 Application at 2.
STAFF COMMENTS NOVEMBER 7,2013
in WA8LP. ICTC formed a subsidiary called Inland Cellular LLC (dba Inland Cellular) and the
FCC transferred the cellular licenses for WASLP to Inland Cellular LLC.|1
Inland states that in order to participate in Auction 902 an applicant must be designated
as an ETC for the areas on which it wishes to bid for Tribal Mobility Fund Phase I support at the
time it submits its Short Form Application. Inland notes that the deadline for Short Form
Applications was scheduled for October 9,2013. However, subsequent conversations with
representatives of the Company revealed that the Company believes this deadline will be pushed
back due to the current "federal government shutdown."
Inland states that the FCC's Auction 902 will award one-time support to carriers that
commit to provide 3G or better mobile voice and broadband services to Tribal lands, specific
census tracts and census blocks, that have been identified by the FCC as lacking such services.
Support will be allocated to maximize the population covered by new mobile services.
Inland states that it continues to meet the minimum eligibility requirements for
designation as an ETC in Idaho including, but not limited to: common carrier status; offers
services supported by federal universal service support mechanisms; utilizes its own facilities to
provide the supported services; provides the supported services throughout its designated service
area; advertises the availability ofits universal service offerings and charges for such offerings
using media of general distribution; makes Lifeline service available to qualifying low-income
consumers; and meets additional application requirements as required.
The eligible areas in Idaho include census blocks within Inland's ETC area and census
blocks that are outside the Company's ETC area. Inland seeks an Order from the Commission
granting ETC designation for any areas outside Inland's ETC area for which Inland wins Tribal
Mobility Fund Phase I support.rs Inland believes that granting its Application for conditional
expansion of its ETC service area to include census blocks outside its existing ETC area is in the
public interest. Inland asserts that Tribal Mobility Fund Phase I support will allow the Company
to provide Tribal consumers with competitive pricing, new services, and a higher level of service
quality and customer service.
Inland requests that the Commission: A) Acknowledge the name change to Inland
Cellular LLC dba Inland Cellular under SAC 479007 (formally Washington RSA No. 8 limited
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tB Id. at 4.
STAFF COMMENTS NOVEMBER 7,2013
Partnership); B) Designate Inland Cellular as an ETC in areas outside its existing ETC Area
conditional upon Inland Cellular winning support from the Tribal Mobile Fund Phase 1 auction,
such that Inland Cellular shall be deemed an ETC outside of its existing ETC Area only in the
areas in which it is awarded Tribal Mobility Fund Phase I support.
STAFF ANALYSIS
Staff has reviewed the Inland Applications and analyzed the Company's fulfillment of 47
U.S.C. $ 21a(e)(2), 47 C.F.R. $ 54.1003, Order No. 29841 and the Auction 902 requirements. In
addition, Staff has analyzedthe public interest benefits of awarding the Comparry aconditional
ETC designation to the Company.
Inland seeks ETC designation conditioned upon the Company winning support from the
Tribal Mobility Fund Phase I auction, as outlined in the FCC's USF/ICC Transformation Order
and the Public Notice DA l3-1672. Inland does not seek additional ETC designation if the
Company does not receive funds from the Auction 902.
Public Interest Analysis
Under Section 213 of the Telecommunications Act of 1996, individual state
Commissions must determine that an ETC designation is consistent with the public interest,
convenience and necessity.re The Tribal Mobility Fund Phase I recipients must offer voice
coverage of at least 75 percent or more of the designated population within the area where
support is provided. Additionally, receipt of the Tribal Mobility Fund Phase I support is
conditioned upon the recipient providing a minimum level of service over a network that
achieves particular data rates under particular conditions on a 3G or better network.2O
Inland's Application for conditional ETC designation is outside of it current ETC service
area and in under-served areas. As such, the public interest is a simple one. The fact that no
other carriers serve these census blocks with a 3G or broadband network suggest that the public
interest would be served if Inland is given the opportunity to deploy services to these areas.
'' 47 u.s.c. g 21a(eX2).
20 Application at 3.
STAFF COMMENTS NOVEMBERT,2OT3
Other Public Interest Considerations
In applying the public interest test for an ETC designation, Staff reviews other public
interest considerations discussed below:
l. Company Contribution to the Idaho Telephone Service Assistance Program (ITSAP).
Staff verified that the Company is remitting ITSAP fees to the program Administrator.2l
2. The Ability to Remain Functional in Emergency Situations. Inland states that it has
the ability to remain functional in emergency situations. The Company claims that it has
reasonable amount of back-up power to ensure functionality without an external power source, is
able to re-route traffic around damaged facilities, and is capable of managing traffic spikes
resulting from emergency situations.22
For the foregoing reasons, Staff believes Inland satisfies the public interest analysis.
Other ETC Designation Requirements
Additional requirements for ETC designation are detailed in Appendix 1 of Order No.
29841and discussed more fully below:
1. Common Carrier Status. Inland is a Commercial Mobile Radio Services (CMRS)
carrier providing "mobile service" as defined in 47 U.S.C. $ 153(27).23
2. Provision of Universal Service. Inland offers the federally designated services listed
at 47 U.S.C. $54.10(a).24
3. Advertising. Inland will advertise the availability and pricing of its universal service
offering.25
4. The Commitment and Ability to Provide Supported Service. Inland commits to
provide all of the supported services throughout its designated service area as required.26
5. Commitment to Consumer Protection and Service. Inland will satisfy applicable
consumer protection and service quality standards in accordance with 47 C.F,R, $ 5a.202(aXl)(i)
and the IPUC ETC Requirements Order.27
" 2Ol2ITSAP Annual Report, Con/idential Monthly Report.
22 Application at 6.
23 Id. at 5.
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STAFF COMMENTS NOVEMBER 7, 2013
6. Description of the Local Usage Plan. Inland's service offering are comparable to the
offerings of the incumbent local exchange carrier (ILEC), taking into consideration all of the
attributes of its and the ILECs' service offering.2s
7. Tribal Notification. Inland will comply with this requirement. Inland submitted a
copy of its Application to the Coeur d'Alene and the Nez Perce Tribes of Idaho.2e
STAFF RECOMMENDATION
Staff has reviewed Inland's Application for conditional designation as an ETC for areas
outside of its existing ETC area for the purpose of participating in the Tribal Mobility Fund
Phase I or Auction9}2 and only in the areas in which it is awarded Tribal Mobility Fund
support.
Staff believes that Inland possesses the requisite financial and managerial requirements
skills necessary to operate as an ETC. Finally, Staff believes Inland's Application for
conditional ETC designation in the unserved census blocks in Idaho is in the public interest and
recommends approval of the Application.
Neil Price
Deputy Attorney General
Respecttully submitted this +Ny day of November 2013.
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Technical Staff: Grace Seaman
i:umisc/comments/inctl3. lnpgs comments
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2e Id. Certifrcate of Service.
STAFF COMMENTS NOVEMBER 7, 2013
CERTIFICATE OF SERVICE
I HEREBY CERTIFY THAT I HAVE THIS 7.h DAY oF NOVEMBER 2013,
SERVED THE FOREGOING COMMENTS OF THE COMMISSION STAFF, IN
CASE NO. INC.T-l3-OI, BY MAILING A COPY THEREOF, POSTAGE PREPAID, TO
THE FOLLOWING:
JAMES K BROOKS
INLAND CELLULAR LLC
103 SOUTH 2ID STREET
PO BOX 688
ROSLYN WA 98941
EMAIL: [e-mail]
MARK P TRINCHERO
DAVIS WRIGHT TREMAINE
STE 24OO
I3OO SW FIFTH AVE
PORTLAND OR 97201
EMAIL: [e-mail]
CERTIFICATE OF SERVICE