20120615Comments.pdf

NEIL PRICE
DEPUTY ATTORNEY GENERAL
IDAHO PUBLIC UTILITIES COMMISSION
P0 BOX 83720
BOISE, IDAHO 83720-0074
[phone]
BAR NO. 6864
RE CE IV ED
?012 JUN 15 ?M I:5
IDAHO HJLlC
UTRJTIES OOMM1SS
Street Address for Express Mail:
472 W. WASHINGTON
BOISE, IDAHO 83702-5918
Attorney for the Commission Staff
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION OF )
SYRINGA WIRELESS, LLC FOR ) CASE NO. SYR-T-08-01
CONDITIONAL DESIGNATION AS AN )
ELIGIBLE TELECOMMUNICATIONS )
CARRIER IN "EXPANSION AREAS" ) COMMENTS OF THE
) COMMISSION STAFF
)
The Staff of the Idaho Public Utilities Commission, comments as follows on Syringa
Wireless, LLC's Application for a Conditional Designation as an Eligible Telecommunications
Carrier ("ETC").
BACKGROUND
On May 18, 2012, Syringa Wireless, LLC ("Syringa Wireless" or "Company") filed an
Application for Conditional Designation as an Eligible Telecommunications Carrier ("ETC") in
certain areas outside its existing ETC areas, pursuant to Sections 21 4(e)( I )-(2) of the
Telecommunications Act of 1934, as amended ("the Act"), 47 U.S.C. § 214(e)(1)-(2), and §
54.201 of the Federal Communications Commission's ("FCC") rules, 47 C.F.R. § 54.201, and
Idaho Public Utilities Commission ("Commission") Orders.
STAFF COMMENTS 1 JUNE 15, 2012
On August 28, 2008, the Commission previously granted ETC status to Syringa Wireless
in specific rural and non-rural wire centers in Idaho.'
Overview of the Mobility Fund, Phase 1
On November 19, 2011, the FCC released the USF/ICC Transformation Order (the
Order) in which it established the Auction 901.2 The FCC set aside $300 million to be used to
increase the availability of current generation mobile broadband and mobile voice across the
country.3 The FCC recognized that the current system4 is not efficient and that universal service
ftinding for mobile networks must be deployed in a more targeted and efficient fashion.
Auction 901 will award funds to carriers that commit to deploying 3G or better mobile
voice and broadband services in census blocks where such services are unavailable. Support will
be allocated to maximize the road miles covered by new mobile services without exceeding the
budget of $300 million. Winning bidders will be obligated to choose whether to deploy 3G
service within two years or 40 within three years of the award.5
To identify the under-served areas of the country, the FCC began by documenting "the
availability of service at the census block level as the first step in indentifying those area that are
eligible for the Auction 901 support." The census block is the smallest geographic unit for
which the Census Bureau collects and tabulates decennial census data. By determining the
extent of current-generation mobile wireless services by census block, a detailed picture would
emerge of the availability of 30 mobile services.6 Some census blocks, particularly in rural
areas, may include both served and unserved areas.7
To participate in Auction 901 and receive monetary support, "an applicant must
demonstrate, for the areas on which it wishes to bid, that it has been designated as an ETC and
has access to the spectrum necessary to satisfy the applicable performance requirements."8
'See Order No. 30629.
2 USF/ICC Transformation Order, released on November 18, 2011 para. 299
Id. para. 295.
""Yet despite growth in annual funding [of USF] for competitive ETCs of almost 1000 percent over the past
decade—from less than $17 million in 2001 to roughly $1.2 billion in 2010—there remain many areas of the country
where people live, work, and travel that lack any mobile voice coverage,m and still larger geographic areas that lack
current generation mobil broadband coverage." Id, at para. 295
Auction 901 Procedures Public Notice DA 12-721, released on May 8, 2012, para. 2. 6 USS/ICC Transformation Order para. 331.
7 1d. para. 332.
8 901 Procedures Public Notice para. 32.
STAFF COMMENTS 2 JUNE 15, 2012
On February 10, 2012, the FCC issued DA 12-187. In this notice, the FCC provided an
updated list of potentially eligible Census Blocks. The Summary of Updated List of Potentially
Eligible Census Blocks provides information for each state.
Census Block information for Idaho
Total No. of Tracts with Unserved Blocks 93
Total No. of Counties with Unserved Blocks 39
Total Population of Unserved Blocks 43,207
Total Area (square miles) of Unserved Blocks 38,962
Pre-Auction Dates and Deadlines'0
FCC Form 180 (Short Form) Application Filing Window Opens 6/27/12; 12:00 noon ET
FCC Form 180 (Short Form) Application Filing Deadline 7/11/12; 6:00 p.m. ET
Mock Auction 9/25/12
Auction Begins 9/27/12
Specific Mobility Fund Phase 1 Eligibility Requirements and Certifications"
1. ETC Designation Certification. To be eligible to participate in Auction 901, the
applicant must be designated as an ETC pursuant to Section 214 of the Communications Act in
any geographic area for which it seeks support, with the exception of tribally-owned or
controlled entities. The entity, and not a subsidiary or parent holding company, must be
designated by a State or the FCC as an ETC in that geographic area to be eligible to participate in
the auction.'2
ETC status carries with it certain obligations. A party might obtain the required ETC
designation but may not be subject to the obligations unless and until it is awarded Mobility
Fund support. The FCC will allow a party to participate in the auction if it has an ETC
designation conditioned upon the party winning support in the auction. 13
9 1d. Attachment A at 1.
'°Id para. 40.
"Id. at 29.
12 Id. para. 93
'31d. para. 94.
STAFF COMMENTS 3 JUNE 15, 2012
2.Access to Spectrum Description and Certification. Pursuant to the USF/ICC
Transformation Order, any applicant for Auction 901 must have access to the necessary spectrum
to fulfill any obligations related to support. 14
3.Financial and Technical Capability Certification. The FCC requires that an
applicant certify in the pre-auction short-form application that it is financially and technically
capable of providing 30 or better service within the specified timeframe in the geographic areas
for which it seeks support.
4.Certification that Applicant Will Not Seek Support for Areas in Which It has
Made a Public Commitment to Deploy 30 or Better Service by December 31, 2012. The FCC
requires each applicant for Auction 901 support to certify that it will not seek support for any
areas in which it has previously made a public commitment to deploy 30 or better wireless
service by December 31, 2012.'
Staff believes Syringa satisfies or will meet the first three requirements and that the
Company will be required to meet the last requirement upon participate in the Auction 901.
The Application
Syringa Wireless wishes to participate in the FCC's upcoming Mobility Phase I Auction.
Therefore, the Company requests conditional ETC status in all unserved census blocks subject to
the FCC's Mobility Fund Phase I Auction in Adams, Boise, Elmore, Gem, Payette, Valley and
Washington Counties in Idaho (the "Expansion Areas"). Syringa "requests that it be designated
as eligible to receive all available support from the federal Universal Service Fund (USF)
including, but not limited to, support for rural, insular, high cost areas and low income customers
in the Expansion Areas set forth in this Application, and that it be approved to participate in the
Lifeline program." 6
The Company is a facilities-based provider of wireless voice, messaging and data
services and is currently licensed to serve the Basic Trading Areas (BTA5) in Idaho Falls,
Pocatello, and Twin Falls. 17 Through the use of facilities owned or operated by Syringa
14 Id. para. 96.
'5 Id. para. 98.
16 at 2.
17 Application at 2.
STAFF COMMENTS 4 JUNE 15, 2012
Networks,'8 along with the facilities of Syringa Wireless, the Company has the capability of
expanding and providing services to additional areas. 19 Syringa's Application states that the
"Expansion Areas are adjacent to areas currently served by the Company and areas it intends to
serve in the near future."20
Syringa believes "it meets all statutory and regulatory prerequisites for ETC designation
and the public interest would be served by granting its request, thereby enabling the Company to
deploy mobile wireless infrastructure in order to provide mobile voice and broadband service to
unserved and under-served areas within the Expansion Areas that would benefit consumers in
rural Idaho."2 '
The Company asserts that it satisfies all of the requirements for designation as an ETC as
established under Sections 214(e) and 254 of the Telecommunications Act, and the ETC
Requirements Order of the Idaho Public Utilities Commission. Specifically, Syringa Wireless:
(i) is a common carrier; (ii) offers services that are supported by the federal universal support
mechanisms; (iii) will use its own facilities, in whole or in part, to provide the supported
services; (iv) will provide the supported services throughout its designated service area; (v) will
advertise the availability of such services using media of general distribution; (vi) will make
Lifeline service available to qualifying low-income consumers; (vii) will certify that it will
comply with the service requirements applicable to the support that it receives; (viii) will submit
a 2-year [5-year for the FCC] service improvement plan; (ix) will remain functional in
emergency situations; (x) will satisfy consumer protection and service quality standards; (xi) will
provide local usage plans comparable to the incumbent local exchange carriers (ILEC) operating
in the proposed Expansion Areas; (xii) will provide notice to any affected tribal governments or
tribal regulatory authorities; (xiii) will comply with all applicable reporting requirements, and
(xiv) will take steps to limit fraud, waste and abuse of the federal U SF.22
On April 1, 2012, Syringe Wireless became a wholly-owned subsidiary of Syringa Networks, LLC. Syringa
Networks provides wholesale telecommunications services over its fiber optic network throughout southern Idaho.
'9 1d.
20 Application at 3.
21 Application at 1.
22 Application at 4.
STAFF COMMENTS 5 JUNE 15, 2012
STAFF ANALYSIS
Staff has reviewed Syringa's Application and has conducted an analysis of the
Company's fulfillment of 47 U.S.C. § 214(e)(2), 47 C.F.R. § 54.1003, Order No. 29841 and the
Auction 901 requirements. In addition, Staff has analyzed the public interest benefits of
awarding the Company a conditional ETC designation.
Public Interest Analysis
Under Section 214 of the Telecommunications Act of 1996, individual State
Commissions must determine that an ETC designation is consistent with the public interest,
convenience and necessity.
Mobility Fund Phase 1 recipients must offer voice service with coverage of at least 75
percent or more of the designated road miles within the area for which support is provided.
Additional, receipt of the Mobility Fund Phase I support is conditioned upon the recipient
providing service over a network that achieves particular data rates under particular conditions,
which the FCC refers to as 3G networks or better. 23
Syringa' s Application requests ETC designation outside of its current ETC service area
and in unserved areas. As such, the public interest analysis is a simple one. The fact that no
other carriers currently serve these census blocks suggests that it would be in the public interest
to allow Syringa the opportunity to deploy services to these areas.
Other Public Interest Considerations
When applying the public interest test for an ETC Application, Staff has reviewed other
requirements that ETCs must satisfy. These public interest considerations are summarized
below:
Company contribution to the Idaho Telephones Service Assistance Program (ITSAP).
Staff has verified that the Company is remitting ITSAP fees to the program Administrator. 24
Syringa has the ability to remain functional in emergency situations. 25 Syringa "has the
ability to remain functional in emergency situations as demonstrated in the description of its
23 Auction 901 Procedures Public Notice para. 26.
" 2011 ITSAP Annual Report, Confidential Monthly Reports. 25 Application at 6.
STAFF COMMENTS 6 JUNE 15, 2012
fault-tolerant network,26 and "as more particularly set forth in Syringa's annual ETC
recertification report on file with the Commission."27
For the reasons stated above, Staff believes that Syringa satisfies the public interest
analysis.
Other ETC Designation Requirements
Additional requirements for ETC designation, not previously discussed, are detailed in
the Appendix 1 of Order No. 29841 and discussed more fully below.
1.Common Carrier Status. Syringa is a Commercial Mobile Radio Services (CMRS)
carrier providing "mobile service" as defined in 47 U.S.C. § 153(27).21
2.Provide the Universal Services. Syringa offers the federally designated services listed
at 47 U.S.C. §54.10(a).29
3.Advertising. Syringa will advertise the availability and pricing of its universal
service offering. 30
4.The Commitment and Ability to Provide Supported Service. Syringa will use USF
support as set forth under the Phase 1 Mobility Fund.3 '
5.Commitment to Consumer Protection and Service. Syringa will satisfy applicable
consumer protection and service quality standards in accordance with 47 C.F.R. § 54.202(a)(3)
and the IPUC ETC Requirements Order. 32
6.Description of the Local Usage Plan. Syringa's service offering are comparable to
the offerings of the incumbent local exchange carrier (ILEC), taking into consideration all of the
attributes of its and the ILECs' service offering. 33
26 See Order No. 30629 at 3.
27 Application at 7.
28 Id. at 4.
29 Id
30 id.
' Id.
32 Id
Id
STAFF COMMENTS 7 JUNE 15, 2012
7. Tribal Notification. Syringa will comply with this requirement. Syringa submitted a
copy of its Application to Coeur d'Alene Tribe, Shoshone-Bannock Tribes of the Fort Hall
Reservation of Idaho, Nez Perce Tribe of Idaho and Kootenai Tribe of Idaho. 34
STAFF RECOMMENDATION
Staff has reviewed the Application of Syringa for the conditional designation as an ETC
for the purpose of participating in the Mobility Fund Phase 1 Auction for areas outside of its
existing ETC area and only in the areas in which it is awarded Mobility Fund Support.
Staff believes that Syringa's Application for a conditional ETC designation in the
unserved census blocks in Idaho is in the public interest and recommends approval of the
Application.
Respectfully submitted this J of June 2012.
Neil Price
Deputy Attorney General
Technical Staff: Grace Seaman
I :umisc:comments/syrt 10.1 npgs comments2
34 1d.
STAFF COMMENTS 8 JUNE 15, 2012
CERTIFICATE OF SERVICE
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SERVED THE FOREGOING COMMENTS OF THE COMMISSION STAFF, IN
CASE NO. SYR-T-08-01, BY MAILING A COPY THEREOF, POSTAGE PREPAID,
TO THE FOLLOWING:
CYNTHIA A MELILLO
ATTORNEY AT LAW
8385 W EMERALD ST
BOISE ID 83704
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