20230412Final_Order_No_35738.pdf

ORDER NO. 35738 1
Office of the Secretary
Service Date
April 12, 2023
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

THE 2022 BROADBAND EQUIPMENT TAX
CREDIT APPLICATION FOR SYRINGA
NETWORKS, LLC
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CASE NO. SZ9-T-23-01

ORDER NO. 35738

On February 23, 2023, Syringa Networks, LLC (“Company”) applied for an order
confirming that equipment it installed in 2022 is “qualified broadband equipment” under Idaho
Code § 63-3029I (Income tax credit for investment in broadband equipment).
On March 6, 2023, the Company submitted an Amended Application (“Amended
Application”) that provided additional information about the broadband equipment and
transactions in compliance with Commission’s Order No. 35297.
With this Order, we confirm that the installed equipment is “qualified broadband
equipment” under Idaho Code § 63-3029I and Order No. 35297.
THE APPLICATION
The Company asserted it made certain investments that constituted “qualified broadband
equipment.” Amended Application at 3; see also Idaho Code § 63-3029I(3)(b). Specifically, the
Company stated its net investment in qualifying broadband equipment in 2022 was $1,930,095.92.
The Company indicated the minimum transmission rate of “1.5 MB/second or 12,000,000
bits/second” for both uploads and downloads meets the required rates of 200,000 bits per second
to a subscriber and 125,000 bits per second from a subscriber. Amended Application at 2. The
Company further indicated that approximately 700 of its Idaho subscribers have access to the
broadband network. Finally, the Company certified that the equipment it lists in its Amended
Application “is necessary to the provision of broadband service and an integral part of the
broadband network.” Id. at 3.
THE BROADBAND EQUIPMENT TAX CREDIT
Idaho Code § 63-3029I allows a taxpayer to receive an income tax credit for having
installed qualified broadband equipment during a calendar year. Before the taxpayer is eligible for
the tax credit, the taxpayer must first apply to the Commission for an order confirming the installed
equipment is “qualified broadband equipment” as defined in the statute. Idaho Code § 63-3029I(4).
The statute defines “qualified broadband equipment” as equipment that: (1) qualifies for the Idaho
Code § 63-3029B capital investment credit and “is capable of transmitting signals at a rate of at
ORDER NO. 35738 2
least [200,000 bps] to a subscriber and at least [125,000 bps] from a subscriber” (Idaho Code §
63-3029I(3)(b)); and (2) is primarily used to provide services in Idaho to public subscribers. See
Idaho Code § 63-3029I(3)(b)(vii). In “the case of a telecommunications carrier, such qualifying
equipment shall be necessary to the provision of broadband service and an integral part of a
broadband network.” Idaho Code § 63-3029I(3)(b)(i).
In furtherance of its statutory responsibility, the Commission issued Order No. 28784.1
That order specifies the information the taxpayer must include in the broadband tax credit
application. In 2021, in Case No. GNR-T-21-10, the Commission modified the informational
requirements set forth by Order No. 28784. See Order No. 35297.
When the taxpayer files the application, Commission Staff (“Staff”) reviews it to determine
whether the listed equipment meets the statutory definition of “qualified broadband equipment.”
Staff then submits a recommendation to the Commission. If the Commission ultimately approves
the application, then the Commission forwards it and the order to the Idaho State Tax Commission.
STAFF REVIEW
Staff reviewed and audited the list of proposed broadband equipment and believed the
identified equipment qualifies for the investment tax credit pursuant to Order No. 35297 and Idaho
Code § 63-3029I(3)(b). Staff thus recommended the Commission: (1) issue an order confirming
that the Company’s equipment is “qualified broadband equipment,” and (2) forward copies of the
Application and order to the Idaho State Tax Commission.
COMMISSION FINDINGS
Having reviewed the Company’s Application, Amended Application, and Staff’s
recommendations, we find that the Company’s equipment identified in Case No. SZ9-T-23-01 is
“qualified broadband equipment” eligible for the tax credit under Idaho Code § 63-3029I and
Order No. 35297. Accordingly, it is appropriate for the Commission to issue an order confirming
that the Company’s equipment is “qualified broadband equipment.” The Commission makes no
findings regarding the costs of the installed broadband equipment or other expenses.
O R D E R
IT IS HEREBY ORDERED that the Company’s Application for an order confirming that
equipment it installed in 2022 is “qualified broadband equipment” is granted.

1 The Commission issued Order No. 28784 pursuant to Idaho Code § 63-3029I(4), which empowers the Commission
to “issue procedural orders necessary to implement” the statute.
ORDER NO. 35738 3
IT IS FURTHER ORDERED that a copy of this Order and a copy of the Application and
Amended Application be served on 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 regarding any matter decided therein. Within seven (7) days after any person
has petitioned for reconsideration, any other person may cross-petition for reconsideration. See
Idaho Code §§ 61-626 and 62-619.
DONE by order of the Idaho Public Utilities Commission at Boise, Idaho this 12th day of
April 2023.

ERIC ANDERSON, PRESIDENT

JOHN R. HAMMOND JR., COMMISSIONER

EDWARD LODGE, COMMISSIONER

ATTEST:

Jan Noriyuki
Commission Secretary

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