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HomeMy WebLinkAbout20230620Application.pdf Suite 500 East 1301 K Street NW Washington, D.C. 20005-3317 K.C. Halm John C. Nelson, Jr. 202-973-4287 tel 202-973-4487 fax kchalm@dwt.com johnnelson@dwt.com June 20, 2023 Jan Noriyuki Commission Secretary Idaho Public Utilities Commission 13311 W. Chinden Boulevard Building 8, Suite 201-A Boise, Idaho 83714 jan.noriyuki@puc.idaho.gov Re: Order No. 35038, Case No. SUD-T-21-01, In the Matter of Cebridge Telecom ID, LLC d/b/a Suddenlink Communications’ Application for Designation as an Eligible Telecommunications Carrier – Notification of Relinquishment of Eligible Telecommunications Carrier Designation Dear Secretary Noriyuki: On behalf of Cebridge Telecom ID, LLC d/b/a Optimum f/k/a Suddenlink Communications (“Optimum” or the “Company”), and in accordance with 47 U.S.C. § 214(e)(4), 47 C.F.R. § 54.205, and Idaho Code § 62-610D(4), the Company hereby notifies the Idaho Public Utilities Commission (“Commission”) of the Company’s intent to relinquish its eligible telecommunications carrier (“ETC”) designation in the state of Idaho. Background On February 7, 2020, the Federal Communications Commission (“FCC”) issued a Report and Order adopting the Rural Digital Opportunity Fund (“RDOF”), in which service providers competed to receive up to $20.4 billion to offer voice and broadband service in unserved high-cost areas.1 The Company participated in Phase I of the RDOF auction (Auction 904) and was a successful winning bidder in several states, including Idaho, as set forth in the FCC’s December 7, 2020 public notice announcing Auction 904 results (the “Auction 904 Results Notice”).2 Specifically, the FCC designated the Company as a winning bidder of $10,556.00 in nineteen census blocks in Idaho, which are located within the certificated territories of the Blackfoot 1 See In re Rural Digital Opportunity Fund, et al., Report and Order, 35 FCC Rcd. 686 (2020). 2 See Rural Digital Opportunity Fund Phase I Auction (Auction 904) Closes, Public Notice, 35 FCC Rcd. 13888 (2020). The designated winning bidder, Altice USA, Inc., formally assigned its winning bids to its subsidiary, the Company, on December 22, 2020, consistent with FCC procedures. RECEIVED 2023 June 20, AM 8:06 IDAHO PUBLIC UTILITIES COMMISSION CASE NO. SUD-T-23-01 June 15, 2023 Page 2 Telephone Cooperative (“Blackfoot”) as well as the territories of certain affiliates of Frontier Communications Corp. (“Frontier”) and Lumen Technologies, Inc. f/k/a CenturyLink (“CenturyLink”).3 To receive RDOF support, the FCC required the Company (and other RDOF winning bidders) to secure designation as an ETC in the areas where it was identified as a winning bidder in the RDOF proceeding. On May 7, 2021, in Case No. SUD-T-21-01, the Commission designated the Company as an ETC in the census blocks where the Company was deemed a winning bidder.4 On July 26, 2021, the Company, along with numerous other winning bidders in Auction 904, received correspondence from FCC Staff identifying census blocks awarded in Auction 904 that may be either already served by one or more broadband providers offering speeds of 25/3 Mbps or better, or that may not have any serviceable households – therefore rendering the census blocks ineligible for RDOF support. In the July 2021 correspondence FCC Staff requested that winning bidders review the census blocks they were awarded and consider withdrawing their bids to the extent the census blocks were actually served or lacked serviceable households. In response to this request, the Company performed its own review and/or walkout of all nineteen awarded census blocks in Idaho, which was the entirety of its awarded bid in the state, and determined that they were all already served or lacked serviceable households. On August 30, 2021, the Company informed the FCC that it would no longer seek RDOF support in the nineteen Idaho census blocks where it was designated the winning bidder and requested to default on the Company’s winning bid in these areas (the “Default Request”).5 On October 6, 2021, the Company filed in Case No. SUD-T-21-01 a letter notifying the Commission of its Default Request, that it anticipated the FCC would grant its Default Request, and that it anticipated filing with the Commission a notice regarding the relinquishment of its ETC designation in Idaho following the FCC’s action to grant its Default Request.6 On May 3, 2022, the FCC issued a public notice identifying a number of entities that were defaulting on their RDOF winning bids (the “Default Notice”), which included the Company and the nineteen census blocks in Idaho where it was deemed a winning bidder.7 3 See IDAHO PUB. UTILS. COMM’N, Idaho Telephone Exchanges and Company Areas, available at https://puc.idaho.gov/FileRoom/PublicFiles/maps/exchanges.pdf (last visited Feb. 17, 2023). 4 See In re Cebridge Telecom ID, LLC d/b/a Suddenlink Communications’ Application for Designation as an Eligible Telecommunications Carrier, Case No. SUD-T-21-01, Order No. 35038 (May 7, 2021). 5 See Petition for Waiver of Altice USA, Inc., AU Docket No. 20-34, WC Docket Nos. 19-126, 10-90 (filed Aug. 30, 2021). 6 See Letter from P. Richardson, Counsel, Cebridge Telecom ID, LLC, to J. Noriyuki, Secretary, Idaho Public Utilities Commission, Case No. SUD-T-21-01 (filed Oct. 6, 2021). 7 See Rural Digital Opportunity Fund Support for 2,324 Winning Bids Ready to Be Authorized; Bid Defaults Announced, Public Notice, DA 220483, 2022 WL 1442704, at *5 (May 3, 2022). See also id. at Att. B (identifying winning bidders that have notified the FCC that they intend to default on all or some of their winning bids in one or more states). June 15, 2023 Page 3 Federal law provides an objective standard for ETC relinquishment – that a state commission “shall permit” an ETC to relinquish its ETC designation “in any area” so long as that area is served by more than one ETC – and the FCC’s rules require an ETC to “give advance notice to the state commission of such relinquishment.”8 Echoing these rules, Idaho Code § 62-610D(4) permits ETCs to relinquish their ETC designation so long as the ETC “give[s] no less than thirty (30) days notice to the commission of its intent to relinquish such designation.” By this letter, the Company notifies the Commission that it intends to relinquish its ETC designation in the state of Idaho because it will not receive RDOF support in the aforementioned nineteen Idaho census blocks, and will therefore not be providing any federally-supported services in Idaho. As such, the original purpose for which the Company sought an ETC designation from the Commission has changed, and the ETC designation is no longer necessary. Relinquishment of the ETC designation will not harm the public and no consumers will be impacted because: (i) the Company does not serve any Idaho customers pursuant to its ETC designation and (ii), there are other ETCs already operating in the census blocks in which the Company has been designated as an ETC, including Blackfoot and the CenturyLink and Frontier affiliates.9 Thus, there will be no impact on any Idaho residents associated with the relinquishment of the Company’s ETC designation. The Company would appreciate confirmation from the Commission that this notice has been received and, to the extent required, that the Commission issue an order confirming the Company’s relinquishment of its ETC designation in all geographic areas of Idaho and relief from any ongoing duties or obligations associated with the relinquished ETC designation. 8 47 C.F.R. § 54.205(a). 9 See supra note 3 and accompanying text. June 15, 2023 Page 4 Should you have any questions or need any further information, please do not hesitate to contact the undersigned. Respectfully submitted, /s/ K.C. Halm K.C. Halm John C. Nelson, Jr. Davis Wright Tremaine LLP 1301 K Street, N.W. Suite 500 East Washington, D.C. 20005 kchalm@dwt.com johnnelson@dwt.com Counsel for Cebridge Telecom ID, LLC d/b/a Optimum f/k/a Suddenlink Communications