2000106_cc.doc

DECISION MEMORANDUM

TO: COMMISSIONER HANSEN
COMMISSIONER SMITH
COMMISSIONER KJELLANDER
MYRNA WALTERS
RON LAW
TONYA CLARK
LYNN ANDERSON
DON HOWELL
STEPHANIE MILLER
JOE CUSICK
SYD LANSING
TERRI CARLOCK
DOUG COOLEY
JUDY STOKES
WORKING FILE

FROM: CHERI C. COPSEY

DATE: JANUARY 6, 2000

RE: IN THE MATTER OF THE JOINT APPLICATION OF MIDVALE TELEPHONE EXCHANGE, INC. AND SAWTOOTH TELEPHONE, INC. FOR AUTHORITY TO INCREASE RATES AND DISBURSEMENTS FROM THE IDAHO USF – CASE NOS. MIDT991 AND SAW-T-99-1

On September 28, 1999, Midvale Telephone Exchange, Inc. and Sawtooth Telephone, Inc. filed a Joint Application requesting authority for Midvale and Sawtooth to increase local exchange rates and receive increased distributions from the Idaho Universal Service Fund effective November 1, 1999. On October 19, 1999, the Commission suspended the rates that are subject of the Application for a period of thirty (30) days plus five (5) months from the proposed effective date of November 1, 1999, pursuant to Idaho Code § 61-622. Order No. 28179. On December 10, 1999, the Applicants filed revised testimony that substantially changed its calculation of the revenue deficiency and USF request.

The parties have agreed to a schedule to address the Application, including a technical hearing and public hearings. Because the Applicants filed revised testimony that substantially changed its calculation of the revenue deficiency and USF request, the case cannot be fully submitted for decision before the suspension runs. Therefore, the parties also agree that there is good cause to continue that suspension for an additional sixty (60) days or until the Commission issues a final order.
STAFF RECOMMENDATION
Based on the parties agreement and on the fact that the Applicants revised their revenue deficiencies projections and USF request, Staff recommends suspending the tariff for an additional period of sixty (60) days. The suspension will allow Staff to investigate the proposed EAS and to allow the Commission to hear the evidence to be presented in this matter, to consider that evidence and to determine the issues presented in this Application.

COMMISSION DECISION
Should the tariff be suspended pursuant to Idaho Code § 61-622 for an additional period of sixty (60) days, or until such time as the Commission may issue an Order accepting or rejecting or modifying the Application in this matter?

Cheri C. Copsey

Staff: Doug Cooley
Judy Stokes

M:midt991-sawt991_cc2
On December 17, 1999, the Commission approved the merger of Midvale and Sawtooth. Order No. 28233.

DECISION MEMORANDUM 2