HomeMy WebLinkAbout20201203Final_Order_No_34851.pdfORDER NO. 34851 1
Office of the Secretary
Service Date
December 3, 2020
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
Optix Media, L.L.C. (“Company”) was issued Certificate of Public Convenience and
Necessity (CPCN) No. 504 in April 2012. This Commission issues CPCNs to telephone
corporations subject to certain conditions. The Company’s Certificate was issued subject to: (1)
compliance with the Number Pool Administrator and Order No. 30425 mandating number resource
utilization forecast (NRUF) reporting; (2) contribution to the Idaho Universal Service Fund, Idaho
Telecommunications Relay Services (TRS), Idaho Telecommunications Assistance Program
(ITSAP) and any future reporting requirements deemed appropriate for competitive
telecommunication providers; (3) filing a final and complete price list with the Commission
containing all of its rates, terms and conditions; and (4) the Company shall relinquish its certificate
and any telephone numbers if, within one year of the issuance of its CPCN, the Company is not
offering local exchange telecommunications services in Idaho. See Order No. 32516.
In a September 9, 2020 decision memorandum, Staff notified the Commission that the
Company had failed to provide Staff with evidence the Company provides basic local exchange
service. Staff alleged it sent a letter to the Company on June 4, 2019, requesting the Company
provide evidence that it is a provider of basic local exchange service. Staff reported that a
Company representative was contacted by phone in August 2019 and confirmed that the letter had
been received by the Company. To date, the Company has never provided the requested evidence.
On September 28, 2020, the Commission issued an Order to Show Cause why the
Commission should not rescind Order No. 32516 based on the Company’s failure to meet the
prescribed conditions for CPCN issuance. See Order No. 34787. The Commission set a hearing
date of October 20, 2020, allowing the Company to appear in person or telephonically. The
Company did not appear or call in for the hearing.
Having reviewed the record, we rescind Order No. 32516 that granted the Company’s
application for a CPCN, thereby revoking CPCN No. 504.
IN THE MATTER OF OPTIX MEDIA,
L.L.C.’S ELIGIBILITY TO HOLD
CERTIFICATE OF PUBLIC CONVENIENCE
AND NECESSITY NO. 504
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CASE NO. OML-T-20-01
ORDER NO. 34851
ORDER NO. 34851 2
ORDER TO SHOW CAUSE
The Commission’s Order to Show Cause and Notice of Hearing required the Company
to appear before the Commission to show cause:
a. Why the Commission should not find the Company violated condition 4 of Order No.
32516;
b. Why the Commission should not find the Company violated the CPCN eligibility
requirements in Order No. 26665; and
c. Why the Commission should not rescind Order No. 32516 pursuant to Idaho Code § 61-
624 based on the Company’s failure to meet the Commission’s prescribed conditions for
CPCN issuance, thereby revoking the Company’s CPCN.
The Commission served a copy of the Order to Show Cause on the Company via certified mail.
On October 20, 2020, the Commission held the show-cause hearing. No representative
of the Company attended the hearing. Commission Staff was represented at hearing by Deputy
Attorney General Matt Hunter. Mr. Hunter requested that several exhibits be entered into the
record. The first exhibit was a copy of the signed certified mail receipt, indicating the Company
received a copy of the Order to Show Cause. The second exhibit was a copy of Order No. 26665,
which established the CPCN eligibility requirements for Title 62 telephone corporations. Without
objection, both exhibits were entered into the record.
COMMISSION FINDINGS AND DECISION
The Commission has jurisdiction in this matter under Idaho Code § 61-501, which vests
the Commission with the authority and jurisdiction to supervise and regulate every public utility
in the state. Further, under Idaho Code § 61-624 the “[C]ommission may at any time, upon notice
to the public utility affected, and after opportunity to be heard as provided in the case of
complainants, rescind, alter[,] or amend any order or decision made by it,” including an order
granting a CPCN to a telephone corporation. See Idaho Code §§ 61-612 to 61-618. The
Commission has noneconomic regulatory authority over telephone corporations that provide basic
local exchange service1 in Idaho. See Idaho Code § 62-605(5)(b). A provider of basic local
exchange service must apply to the Commission for a CPCN. See Order No. 26665.
1 Basic local exchange service means the provision of access lines to residential and small business customers with
the associated transmission of two-way interactive switched voice communication within a local exchange calling
area. Idaho Code § 62-603(1).
ORDER NO. 34851 3
A CPCN can be valuable to a telephone corporation. Idaho Code grants telephone
corporations broad access to rights of way along public roads and highways, and a provider that
holds a CPCN issued by the Commission is generally presumed to be a telephone corporation by
governmental entities granting right-of-way access. See Idaho Code § 62-701. Telephone
corporations that do not provide basic local exchange service are ineligible for a CPCN because
the Commission has almost no regulatory authority over them. See Order Nos. 26665 at 1, and
32059 at 2-3.
As recently as September 2018, the Commission observed that it does not have
authority to regulate a company that does not provide switched-based telecommunication service
in Idaho, and that the Title 62 CPCNs were never intended for companies outside the
Commission’s statutory authority. Order No. 34130. Further, Commission Staff has consistently
reiterated that a CPCN may not be issued or held by a company that is not providing basic local
exchange service. See Case No. IGL-T-18-01, Staff Comments; Case No. SLI-T-20-01, Staff
Comments.
The Company, after repeated attempts by Staff and this Commission, has failed to
provide any evidence or argument that it is providing basic local exchange service to customers.
Consistent with Title 62 and this Commission’s established practices, the Company is, therefore,
ineligible for a CPCN. See Order No. 26665.
Furthermore, Order No. 32516 requires the Company to “relinquish its [CPCN] and all
telephone numbers if, within one year of issuance of a CPCN, the Company is not providing local
exchange telecommunications service in Idaho as defined by Idaho Code § 62-603(1).” To date,
the Company has not responded to inquiries or orders of this Commission. Indeed, a quick internet
search of the Idaho Secretary of State’s website reveals that the business entity “Optix Media,
L.L.C.” was administratively dissolved over a year ago. See IDAPA 31.01.01.263.01(a) and (b).
By any reasonable inference or assumption, the Company has no present intent or ability to provide
basic local exchange service to customers in Idaho. Based on the undisputed facts and evidence
in the record, we find it fair and in the public interest to rescind our Order No. 32516, thereby
revoking CPCN No. 504, effective upon issuance of this Order.
O R D E R
IT IS HEREBY ORDERED that Order No. 32516 is rescinded pursuant to Idaho Code
§ 61-624, effective upon issuance of this Order. As a result, Order No. 504 is revoked.
ORDER NO. 34851 4
IT IS FURTHER ORDERED that this Order shall be served by certified mail on the
registered agent of Optix Media, L.L.C.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date of 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.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 3rd day
of December 2020.
PAUL KJELLANDER, PRESIDENT
KRISTINE RAPER, COMMISSIONER
ERIC ANDERSON, COMMISSIONER
ATTEST:
Jan Noriyuki
Commission Secretary
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