20050404Final Order No 29750.pdf

Office of the Secretary
Service Date
April 4, 2005
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION OF
SYRINGA NETWORKS, LLC FOR AN
INVESTMENT TAX CREDIT FOR
INSTALLING QUALIFIED BROADBAND
EQ UIPMENT
CASE NO. SZ9-05-
ORDER NO. 29750
On February 17, 2005 , the Commission issued Order No. 29712 confirming that the
equipment identified in the Application of Syringa Networks, LLC filed on February 1 , 2005
qualified for the Idaho broadband tax credit pursuant to Order No. 28784 and Idaho Code ~ 63-
30291(4). To be eligible for the tax credit, the taxpayer must obtain an Order from the
Commission confirming that the installed equipment qualifies for the tax credit.
On March 10, 2005 , Syringa filed a second Application identifying additional
expenditures for equipment it claimed met the criteria for the broadband tax credit. Syringa
requested that the Commission approve the additional expenditures. In this Order, we find that
the equipment installed qualifies for the tax credit.
THE APPLICATION
Syringa s second Application primarily contains revised expenditure levels for the
same projects that were included in the original Application. These expenditures were for the
completion of work started in 2002 and 2003 , including the installation of its fiber optic cable
network, digital switching equipment, SONET multiplexers, testing equipment, modular routers
and supporting power supply and software. The new Application also includes an additional
project that provides redundancy for a section of the network to improve reliability of broadband
servIces.
ST AFF REVIEW
Staff reviewed the list of proposed broadband equipment submitted by Syringa and
found that it complies with Idaho Code ~ 63-30291(3)(b) and Procedural Order No. 28784. Staff
determined that the expenditures identified by Syringa, a telecommunications provider, were for
equipment that is "necessary for the provision of broadband services and an integral part of a
broadband network." Idaho Code ~ 63-30291(3)(b)(i). Therefore, Staff recommended that the
Commission issue an Order approving Syringa s second Application.
ORDER NO. 29750
CO MMISSI 0 N FIND IN GS
Based upon our review of the Application and Staff recommendations, we find that
the Application for a qualifying broadband equipment Order should be granted. Syringa has
adequately demonstrated that the equipment identified in its second Application is qualifying
broadband equipment subject to the tax credit. We further find that Syringa is a
telecommunications carrier and, as configured, the installed equipment is an integral part of a
broadband network necessary to deliver broadband services to Idaho customers. Idaho Code
63-30291(3)(b )(i). It is therefore appropriate for the Commission to issue this Order confirming
that the equipment identified by Syringa is qualified broadband equipment.
ORDER
IT IS HEREBY ORDERED that Syringa Networks, LLC's second Application for an
Order certifying it has installed qualifying broadband equipment is granted.
IT IS FURTHER ORDERED that a copy of this Order and a copy of the Application
be served upon the Idaho State Tax Commission.
THIS IS A FINAL ORDER. Any person interested in this Order (or in issues finally
decided by this 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 ~9 61-626 , 63-30291(4).
ORDER NO. 29750
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this if ti..
day of April 2005.
J61~llMARSHA H. SMITH, COMMISSIONER
ATTEST:
~JD.
. D. Jewell
ission Secretary
0: SZ9T0502 - kdp
ORDER NO. 29750