20120720final_order_no_32596.pdf

Office of the Secretary
Service Date
July 20,2012
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF NEW EDGE NETWORK,INC.DBA )CASE NO.NEN-T-11-O1
EARTHLINK BUSINESS FOR A )
CERTIFICATE OF PUBLIC )
CONVENIENCE AND NECESSITY TO )ORDER NO.32596
PROVIDE LOCAL EXCHANGE )
TELECOMMUNICATIONS SERVICES )
_______________________________________________________________________________
)
On October 20,2011,New Edge Network,Inc.dba EarthLink Business applied to the
Commission for a Certificate of Public Convenience and Necessity (CPCN)authorizing the
Company to provide resold and facilities-based local exchange telecommunications service to
business customers in Idaho.1 The Company then amended its Application on June 4,2012.On
June 19,2012,the Commission issued a Notice of Application and Notice of Modified Procedure
soliciting public input and setting a 21-day comment deadline.See Order No.32574.
Commission Staff filed the only comments in the case and supported the Company’s
Application.The Company did not reply.
The Commission has reviewed the record in this case.Based on that review,the
Commission grants the Company’s Application as follows.
THE APPLICATION
With its Application,New Edge seeks to provide wireline local telecommunications
service including local exchange service and exchange access service.The Company primarily
will provide local exchange service by reselling the services of other carriers.The Company
says it also may provide facilities-based local exchange service using its own facilities,facilities
leased from other carriers,or a combination of both.Id.at 1-2.
New Edge says it is a Delaware corporation that is authorized to do business in Idaho.
The Company says it has no Idaho offices.It lists its principal place of business in Georgia,and
says it is a wholly owned indirect subsidiary of EarthLink,Inc.See Application at 2-3,5.
The Company applied for a CPCN under Idaho Code §§61-526 through -528,IDAPA 31.01.01.111 (RP 111),and
Procedural Order No.26665.However,New Edge is a competitive local exchange carrier (CLEC)that is exempt
from Title 61 regulation.See Idaho Code §62-604(1)(a).RP 114,rather than RP 111,governs a CLEC’s
application for a certificate to provide local telecommunications services in Idaho.
ORDER NO.32596 1
New Edge proposes to service areas currently serviced by CenturyLink and Frontier.
The Company says it does not seek to service areas currently serviced by small or rural carriers.
See Amendment to Application at 1.The Company also says it is developing an Idaho
marketing strategy using a professionally trained sales force,and that it will initiate
interconnection negotiations once it receives its CPCN.Id.at 6-8.
New Edge says that if it decides to collect customer deposits,it will enter into an
escrow agreement with a bonded escrow agent before offering service in Idaho,it will file the
agreement with the Commission upon request,and it will comply with the Commission’s rules
regarding deposits.Id.at 8.
New Edge,through its parent company EarthLink,appears to possess the requisite
financial resources to provide resold local exchange telecommunications service.The financial
qualifications were presented in EarthLink’s most recent SEC Form l0-Q.See Application at 6,
Exhibit 5.
New Edge says it will comply with all applicable Idaho laws and Commission rules
and regulations.See Verification attached to Application.
STAFF COMMENTS
Staff reviewed New Edge’s Application for compliance with applicable legal
requirements for acquiring a CPCN,including RP 114,which specifies the information that a
CLEC must include in its application.Based on that review,Staff believes that New Edge
understands and agrees to comply with the Commission’s rules and requirements.Staff also
believes New Edge possesses the requisite financial,managerial,and technical qualifications
necessary to provide telecommunications services.Therefore,Staff recommended that the
Commission issue a CPCN to New Edge,subject to the following conditions:
1.The Company must comply with all number pooling and reporting
requirements of the North American Number Plan Administrator.See
Commission Order No.30425;
2.The Company must comply with all reporting and contribution
requirements as prescribed by the Idaho Universal Service Fund,Idaho
Telecommunications Relay System,Idaho Telecommunications Service
Assistance Program:and
3.The Company must comply with all future reporting requirements deemed
appropriate by the Commission for competitive telecommunications
providers.
ORDER NO.32596 2
DISCUSSION AND FINDINGS
Based on our review of the record,including the Company’s filings and Staffs
comments,we find that the Company’s filings meet the requirements of RP 114.Thus,we
approve the Company’s Application for a CPCN to recognize that the Company will provide
local exchange telecommunications services within Idaho,subject to the conditions set forth
below.
ORDER
IT IS HEREBY ORDERED that New Edge’s Application for a CPCN is granted.
IT IS FURTHER ORDERED that New Edge’s CPCN is subject to the following
conditions:(1)The Company must comply with all number pooling and reporting requirements
of the North American Number Plan Administrator (see Commission Order No.30425;(2)the
Company must comply with all reporting and contribution requirements as prescribed by the
Idaho Universal Service Fund,Idaho Telecommunications Relay System,Idaho
Telecommunications Service Assistance Program;(3)the Company must comply with all future
reporting requirements deemed appropriate by the Commission for competitive
telecommunications providers;and (4)the Company must relinquish its certificate and all
telephone numbers if,within one year of the issuance of a CPCN,the Company is not providing
local exchange telecommunications services in Idaho.
THIS IS A VENAL ORDER.Any person interested in the Order 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.Within seven (7)days after any person has petitioned for
reconsideration,any other person may cross-petition for reconsideration.See Idaho Code §61-
626.
ORDER NO.32596 3
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this O
day of July 2012.
MACK A.REDFORD,MMISSIONER
ATTEST:
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C5mmission S’cretary
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MARSHA H.SMITH,COMMISSIONER
ORDER NO.32596 4