20040211Final Order No 29426.pdf

Office ofthe Secretary
Service Date
February 11, 2004
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF KMC TELECOM V, INc. FOR A
CERTIFICATE OF PUBLIC CONVENIENCE
AND NECESSITY TO PROVIDE LOCAL
EXCHANGE TELECOMMUNICATIONS
SERVICES.
ORDER NO. 29426
CASE NO. KMC-O3-
On October 28, 2003, KMC Telecom V, Inc. ("KMC V" or "Company ) filed an
Application for a Certificate of Public Convenience and Necessity to provide facilities-based and
resold competitive local exchange and interexchange services throughout the State of Idaho.
the Notice of Application and Modified Procedure issued January 12, 2004, the Commission
solicited comments regarding KMC V's Application. Order No. 29415. No comments were
received other than those submitted by Commission Staff. Based on the comments, the law and
the record, the Commission grants KMC V's Application.
THE APPLICATION
KMC V seeks authority to provide all forms of switched, dedicated, and
interexchange telecommunications services throughout the State of Idaho. KMC V also intends
to provide its Idaho customers with access to directory assistance, operator services, emergency
911 services, and telephone relay services independently or through arrangements with other
carriers. As such, KMC V intends to compete with incumbent local exchange corporations in
Idaho, including, but not limited to Qwest Corporation, as well as other competitive local
exchange carriers and MTS/W A TS long distance service providers. At this time, however, the
Company would not enter into competition with a rural local exchange carrier until the
Commission has found such competition to be in the public interest as set out in Section
251(f)(1) of the Telecommunications Act of 1996.
According to its Application, the Company does not intend to collect end user
deposits and/or advance payments from its customers. In the event KMC V decides in the future
to require deposits and/or advance payments, the Company states that it will comply with all
applicable federal and state laws, rules, and regulations, including modifying its existing tariffs.
ORDER NO. 29426
STAFF COMMENTS
Staff described KMC V as a full-service competitive communications company
offering all forms of switched, dedicated and interexchange telecommunications services. Its
parent company, KMC Telecom Holdings, Inc., is a Delaware corporation with its principal
offices located in Bedminster, New Jersey. The Company has filed copies of its Articles of
Incorporation and Certificate of Authority issued by the Idaho Secretary of State.
Staff reviewed the information provided by KMC V 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. The Application included a list
of corporate officers and a description of their many years of management and technical
expertise with telecommunications companies. Staff believes the Company appears to have
adequate technical and managerial skills to provide the services identified in the Application.
The Application also included unaudited and confidential KMC V financial
information that indicated relatively strong position for a young competitive
telecommunications company. Therefore, Staff did not recommend imposing a financial security
requirement.KMC V specifically indicated in its Application it will comply with all
Commission Rules. It also provided an illustrative tariff with its Application that demonstrates
an understanding of tariff requirements and processes.
In light of the foregoing, Staff recommended that a Certificate of Public Convenience
and Necessity to provide competitive local exchange service in Idaho be issued to KMC V.
COMMISSION FINDINGS
Based on the comments, the law and the record, the Commission grants the
Application. When considering an application for a Certificate, the Commission must determine
if the applicant has the necessary qualifications to provide service while still fostering
competition in the local telecommunications market. Based upon our review of the filing and the
record in this case, the Commission finds that KMC V's filing satisfies the requirements ofthe
Commission s Rules and Procedural Order No. 26665. Id. Thus, we approve KMC V'
Application for a Certificate of Public Convenience and Necessity to allow the Company to
provide telecommunications services statewide. This is consistent with our previous Orders
ORDER NO. 29426
granting statewide authority to provide telecommunications servIces to carriers meeting the
established requirements.
ORDER
IT IS HEREBY ORDERED that KMC Telecom V, Inc. is granted a Certificate of
Public Convenience and Necessity to provide basic local exchange services within the state of
Idaho.
THIS IS A FINAL ORDER. Any person interested in this Order or in interlocutory
Orders previously issued in this case 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 in
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 9 61-626.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho, this II
day of February 2004.
LJ
MARSHA H. SMITH, COMMISSIONER
ATTEST:
O:KMCT0301 In2
ORDER NO. 29426