20040819Final Order No 29565.pdf

Office of the Secretary
Service Date
August 19 2004
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION OF
LIGHTYEAR NETWORK SOLUTIONS, LLC FOR
A CERTIFICATE OF PUBLIC CONVENIENCE
AND NECESSITY TO PROVIDE LOCAL
EXCHANGE TELECOMMUNICATIONS SERVICES.
CASE NO. LYC-O4-
ORDER NO. 29565
On April 12, 2004, Light year Network Solutions, LLC ("Light year" or "Company
filed an Application for a Certificate of Public Convenience and Necessity to provide facilities-
based local exchange services to residential and business customers throughout Idaho in all
exchanges which are not exempt from competition. Principally located in Louisville, Kentucky,
Light year is a nationwide interexchange telecommunications carrier in all states but Alaska.
Light year also provides local exchange services in 36 states. In the Notice of Application and
Modified Procedure issued July 8, 2004, the Commission solicited comments regarding
Light year s Application. Order No. 29545. No comments were received other than those
submitted by Commission Staff. Based on the comments, the law and the record, the
Commission grants Light year s Application.
THE APPLICATION
Light year proposes to provide local exchange services via unbundled network
element platforms (UNE-P). Upon certification, the Company intends to offer service as soon as
the early third quarter of 2004. The Company will offer these services in conjunction with its
interexchange toll servIces which include inbound and outbound interexchange
telecommunications services. It also plans to offer bundled offerings consisting of local and long
distance services combined with voice mail and other desired service features. Light year intends
to offer operator assisted services to its own customers.
Light year intends to offer service in the geographic areas currently served by Qwest
Corporation. Light year has an interconnection agreement with Qwest, which has been approved
and is on file with the Commission. Order No. 29425. According to its Application, Light year
will initially mirror the basic local calling scopes of the incumbent local exchange companies.
ORDER NO. 29565
Light year asserts it has the managerial, technical and financial ability to provide local
telecommunications services in Idaho. Light year anticipates the Idaho operations will require
expenses for leasing UNE-P and additional administrative and sales overhead. According to its
Application, Light year s incremental administrative and sales costs are not projected to be
significant for the Company and no new funds or capital will be required to expand the
Company s services in Idaho.
Light year believes approval of this Application is in the public interest because the
proposed services will increase the competitive choices available to Idaho consumers. The
Company argues that enhanced telecommunications competition will likely stimulate further
economic development in Idaho and create incentives for all carriers to offer lower prices, more
innovative services, and more responsive customer service.
Light year has reviewed the Commission s rules applicable to local exchange service
providers and agrees to comply with those rules except to the extent the rules are explicitly
waived for Light year or all carriers in its class. Light year specifically requests exception from
the following rules: 1) Telephone Customer Information Rule 102.03 (31.41.02.102.03) - Press
Release; 2) Telephone Customer Relations Rule 601 (31.41.01.601) - Directories and Customer
Listing; and 3) any reporting requirements that are not applicable to competitive providers such
as Light year.
ST AFF COMMENTS
In its evaluation of the Company s CPCN Application, Staff discovered that there
were two open slamming complaints on file with the Commission. These complaints were filed
against the interexchange carrier arm of the Company. Upon notification of these complaints
Light year promptly resolved the complaints, which have subsequently been closed.
The Company has re-organized and was recently discharged from bankruptcy.
Consequently, it has little debt. With its customer base, national presence and low debt ratio, it
will most likely be financially viable and able to compete with Qwest. Light year currently has
an interconnection agreement with Qwest on file with this Commission per Commission Order
No. 29425. On July 15, 2004, the Company filed an Agreement to adopt Qwest's Statement of
Generally Available Terms (SGAT). Case No. QWE-04-19.
Finally, the Company will not be collecting deposits; therefore, it will not need an
escrow account as required in Commission Order No. 26665. Staff believes that Light year has
ORDER NO. 29565
met all the requirements of the Commission s Rules and Procedural Order No. 26665 and
recommends approval of its Application for a certificate along with the requested waivers.
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 Light year s filing satisfies the requirements of the
Commission s Rules and Procedural Order No. 26665. Id. Thus, we approve Light year
Application for a Certificate of Public Convenience and Necessity (and requested waivers) to
allow the Company to provide telecommunications services statewide. This is consistent with
our previous Orders granting statewide authority to provide telecommunications services to
carriers meeting the established requirements.
ORDER
IT IS HEREBY ORDERED that Light year Network Solutions, LLC 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.
ORDER NO. 29565
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho, this ICI
tk--
day of August 2004.
MARSHA H. SMITH, COMMISSIONER
Out of the Office on this Date
DENNIS S. HANSEN, COMMISSIONER
ATTEST:
D. Jewell
ission Secretary
O:L YCT0401 In2
ORDER NO. 29565