20190115Reply Comments.pdf

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ilil MARASHLIAN
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THE COMMLAW GROUP I
January L4,20t9
VIA Overnioht Courier
Diane Hanian
Secretary
Idaho Public Utilities Commission
472 W. Washington Street
Boise, lD 83702
Viasat Carrier Serices, Inc.; Case No. VCS-T-1801 - Reply Comments of
Viasat Carrier Services, Inc. and Supplement
Dear Ms. Hanian:
On behalf of Viasat C.arrier Seruices, Inc. ('Viasatt, transmitted herewith is one (1) original
and seven (7) copies of the Reply Comments of Viasat Carrier Seruices, Inc. and Supplement.
Please date-stamp the duplicate of this filing and return it in the self-addressed, postage-
prepaid envelope. Should you have any questions, please do not hesitate to contact the undersigned.
Respectfu I ly su bm itted,
Re
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Enclosures
Michael P. Donahue
Counsel for Viasat Grrier Seruices, Inc.
P 703.714.1 300
t 703.563.6222
cc:Daniel Klein, Telecom Analyst
Telecommunications Section, Idaho Public Utilities Commission
via e-mail to [e-mail]
secreta rv@ p uc. ida ho. qov
1420 Spring Hill Road, Suite 401
Mclean,Virginia 22102
W www.commlawgroup.com
E [e-mail]
a
E
MICHAEL P. DONAHUE
MARASHUAN & DONAHUE, PLLC
1420 SPRING HILL ROAD
SUilE 401
TYSONS, VIRGINIA 22L01
@unsd for Viasat Carrier Seruices, Inc.
BEFORE THE IDAHO PUBTIC UTIUTIES COMMISSION
IN THE MATTER OF THE APPLICATION OF
VIASAT CARRIER SERVICES, INC. FOR
DESIGNATION AS AN ELIGIBLE
TELECOMMUNICATIONS CARRIER
CASE NO. VCS-T-18-01
REPLY COMMENTS OF
VIASAT CARRIER SERVICES, INC.
AND SUPPLEMENT
Viasat Carrier Seruices, Inc. ('Viasat'), by and through its attorney of record, and as requested
by Idaho Public Utilities C.ommission ('Commission') staff, submits the following commenb in reply to
the Coeur dAlene Tribe ('CDA" or "TribeJ Protest and Comment and Request for Hearing filed on January
8, 2019, in Case No. NEW-T-I8-Ol, In the Matter of the Application of NEWMAX, LLC dba INTERMAX
NETWORKS for Designation as an Eligible Telecommunications Carrier.
BACKGROUND
On September 27, 2018, Viasat filed its application to the Commission for designation as an
eligible telecommunications carrier C'ETC') in the State of Idaho ('ApplicationJ, and supplemented its
application ('Supplement) on December L2,20L8, in Case No. VCS-T-18-01. Idaho Commission Staff
has reviewed and analyzed Viasafs Application, and in Comments filed January 8, 2019 in Case No. VCS-
T-18-01 C'Staff CommentsJ, Idaho @mmission Staff stated that it believes that Viasa(s application is "in
the public interest and should be approved.'a
Viasat is seeking ETC designation only in those census blocks for which it was awarded funding
in the Federal Communications Commission's CrcC1 Connect America Fund Phase II Auction CAuction
1 Comments of the Commission Staff, filed January B, 2079, Case No. VCS-T-18-01.
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9031. Viasat initially reviewed the census block groups and locations awarded for the State of Idaho and
determined that some of the awarded areas were located on the Coeur dAlene Reseruation. As detailed
below, Viasat provided notice of its application for ETC designation and a copy of the application to the
Coeur d'Alene Tribe and otherc. Since that time, Viasat has reviewed the geographic areas more closely
and has determined that none of the census block groups overlay CDA land. While none of the census
blocks are located on the CDA Reseruation, some awarded areas are located on the Duck Valley Indian
Reseruation, the Foft Hall Reservation, and the Nez Perce Reseruation, The census blocks listed in
Exhibit A to the application are correct, however. See Exhibit A hereto for a map of the awarded areas,
In a separate ETC designation proceeding concerning Intermax Network, the Coeur dAlene
Tribe filed ib Protest and Comment and Request for Hearing. As indicated in its comments, the Tribe is
currently seeking ETC designation from the FCC for Red Spectrum, LLC, a tribally owned company. Idaho
Commission Staff has asked Viasat to respond to the concerns and issues raised by CDA in its Protest and
Comments filed in the Intermax ETC proceeding to the extent those issues could pert:in to Viasat.
To summarize, CDA has raised the following issues with respect to the Intermax application:
questions about whether Intermax will provide Lifeline seruices as required by FCC rules and, if so,
whether Intermax will be eligible to receive enhanced Lifeline suppoft; concerns about Intermax'apparent
failure to obtain qualification to do business on the reseruation; issues related to Tribal consultation and
outreach; and whether granting the ETC application is in the public interest given that Red Spectrum,
LLC, has filed a petition for ETC designation with the FCC for the same areas. CDA has requested a
hearing to resolve these issues.
COMMENT
Although Viasat does not seek ETC designation to serue the CDA Reseruation, it does seek ETC
designation for other Tribal lands, Accordingly, Viasat hereby addresses each of the issues raised by CDA
in turn, including with respect to the Tribal areas for which it seeks ETC designation.
Ptouision of Lifeline *ruies and Enhancd Lifeline Support
CDA expressed concern about the grant of ETC designation to a non-facilities-based provider that
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would not be eligible for enhanced Lifeline suppoft and would not have an incentive to market Lifeline
seruices in compliance with Lifeline prcgram requirements.
As Viasat stated in its Application,z Viasat will offer Lifeline seruice as required by the FCC's
rules at all locations where it has been awarded suppoft, including the locations on Tribal lands. Viasat
will provide all applicable Tribal Lifeline discounts for eligible customers on Tribal lands. Viasat commits
to adveftising the availability of Lifeline seruices, including on Tribal areas working with Tribal authorities,
as required by the Lifeline rules.3 Consistent with the Commission's requirements for ETG, supported
seruices will be actively marketed throughout the designated areas in ldaho, using a mmbination of digital
and traditional media (e.9., Internet, U.S. mail, radio, newspapers, magazines, outdoor adveftising, and
direct marketing). To sta( Viasat will use Viasat Inc,t existing and well established independent sales
channels to market Viasafs Lifeline seruices in addition to the marketing that will be conducted by Viasat
directly. Viasat commits to working with Tribal authorities to ensure that it markets suppofted services
in a culturally sensitive manner.
The FtC's enhanced support is targeted toward rural, facilities-based providers of seruice on
Tribal lands.a The FCC expressed its rationale for using enhanced support for last-mile facilities because,
"[w]hen the Lifeline discount is applied to a mnsume/s bill for a facilities-based seruice, those funds go
directly toward the cost of providing that seruice, including provisioning, maintaining and upgrading that
provide/s facilities.'5
Viasat ceftified in its Application that it would only use federal universal service support for
the provision, maintenance, and upgrading of facilities and seruices for which the support is
intended.6
2 Application at 11.
3 Application at 11,
a In the Matter of Bridging the Digital Divide for Low-Income Consumers, Lifeline and Link Up Reform and
Modernization, Telecommunications Carriers Eligible for Universal Seruice Support, WC Docket Nos. 17-
287, et al., Fourth Repoft and Order, Order on Reconsideration, Memorandum Opinion and Order, Notice
of Proposed Rulemaking and Notice of Inquiry, 32 FCC Rcd 10475, para. 21 (20L7).
s Id. para.22.
6 Application at 15.
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As stated in Viasafs application, Viasafs parent company "is a facilities-based satellite
provider with its own fleet of satellites, eafth stations, gateways, switching facilities, and other
associated facilities and, therefore, Viasat will offer the suppofted services using its own facilities
or a combination of its own facilities and resale of another carrier's seruices. (47 U.S.C. 5
21a(e)(1)(A); 47 C.F.R. 5 54.201(dX1)).'' A "facilities-based provider" with regards to satellite
technology is an entity that "owns the poftion of the physical facility that terminates at the end-user
premises or obtains the right to use dark fiber or satellite transponder capacity as paft of its own
network to complete such terminations.a Viasat will obtain the right to use satellite transponder
capacity from its parent company as paft of its own network to provide suppofted seryices to customers
in Idaho and accordingly will provide seruices as a facilities-based provider in the State of Idaho,
including on Tribal lands.
Viasat, Inc. assigned its winning bid to Viasat, designating Viasat as the operating company
that would receive Phase II support, in accordance with the FCC's Auction 903 procedures.s Viasat
Inc. intends to provide staft-up funding to Viasat until such time as the CAF II support and Viasat's
own revenue enable it to operate on a stand-alone basis, including compensating Viasat, Inc. for
any services or equipment it provides. Viasat anticipates that these sources of funds will be used to
enable it to operate independently of Viasat, Inc. within the first year of operation. Viasat currently
does not plan to enter into interconnection agreements with any other carriers, including ILECS, to
7 Application at 11.
8 FCC Form 477, Local Telephone Competition and Broadband Repofting Instructions, at 5. The FCC's
Fourth Report and Order on eligibility for enhanced Lifeline does not address satellite technology. See ^In
the Matter of Bridging the Digital Divide for Low-Income Consumery Lifeline and Link Up Reform and
Modernization, Telecommunications Qrbrs Eligible for Universal Seruice Support, Fourth Report and
Order, Order on Reconsideration, Memorandum Opinion and Order, Notice of Proposed Rulemaking, and
Notice of Inquiry, WC Docket Nos. 17-287, et al, FCC 17-155 (2077), paras 21-26 (cross-referencing Form
477 definitions of "facilities-basedt.
e Connect Ameria Fund Phase II Audion Scheduled for July 24, 2018; Notice and Filing Requhements and
Other Procedures for Auction 903, Public Notice, FCC 18-6, 33 FCC Rcd 1428, para. 37 ('As proposed, if a
holding/parent company or a consoftium/joint venture is announced as a winning bidder in Auction 903,
the entity may designated at least one operating company controlled by the holding/parent company . . .
that will be authorized to receive Phase II suppoft for the winning bids in a state.J
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facilitate seruice provided in CAF Phase II awarded areas. Viasat will utilize only its own or Viasat
Inc.'s satellite and terrestrial network to provide services in ldaho.
Viaa(s fnifial Oufieach and Ongoing Consultations with Trihl Auilrorities
As stated in Viasafs Supplement filed December !2,2018, in this proceeding, in addition to ib
notice to the Coeur dAlene Tribe, Viasat also provided copies of its ETC application to the Shoshone-
Paiute Tribes of the Duck Valley Indian Reseruation, the Shoshone-Bannock Tribes of the Foft Hall
Reseruation, and the Nez Perce Tribe.lo Viasat received an acknowledgment of receipt or other evidence
of delivery for all of the notices provided.ll
As required under the Idaho C-ommission's EfC eilgibility requirements, providers seeking ETC
designation for areas on Tribal lands must provide notice and a copy of the application for ETC designation
to affected Tribal authorities.l2 Subsequently, the Nez Perce Tribe requested a consultation to discuss
Viasafs application to be an ETC, including the area of the Nez Perce Reservation Viasat plans to serue
through the application, the population that is intended to be serued by Viasat, and the infrastructure
that Viasat would construct to provide the seruice. Viasat met with representatives of the Nez Perce Tribe
via teleconference on Friday, December 2L, 20L8, and has continued to consult with the Tribe,
Qualification to do business on Trihl lands
None of the census blocks awarded to Viasat are located on the CDA Reservation. For this reason,
Viasat has not sought an authorization to do business on the CDA Reservation. However, Viasat provided
a copy of its ETC application to the Coeur dAlene Tribe on October 9, 2018, and it was delivered on
October 11s.
As Viasat stated in its initial outreach to Tribal authorities, Viasat stands ready to cooperate with
the Tribes regarding any applicable regulatory, business or licensing requirements to do business on
10 Supplement at 2-3.
11 Supplement at Exhibit A.
12 See August 4, 2005, Order No. 2984L, in which the Idaho Public Utilities Commission adopted ETC
eligibility requirements consistent with FCC requirements contained in 47 C.F.R. 5 54.202(c) (petaining to
carrier seeking ETC designation from the FCC).
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Tribal lands. In addition, as stated in its Supplement Viasat is qualified to operate in the State of ldaho.l3
Designating Viast as an ETC for the Awadd Atas in ldaho is in the Public Intetegt
Even though Viasat is not filing a competing ETC designation application against Red Spectrum,
LLC, Viasat emphasizes that grant if its application, including with respect to Tribal Lands, is in the public
interest.la As stated in its Application, granting Viasat ETC designation will serue the public interest
through the deployment of broadband and voice seMces to unserued and underserued high-cost areas
in Idaho.
CONCTUSION
As stated in its Application, and in the C.omments of Idaho Commission Staff, grant of Viasafs
Application would be in the public interest. For the r@sons stated therein and herein, Viasat respectfully
requests that the &mmission designate Viasat as an ETC in the areas identifled on Exhibit A on an
expedited basis and order such other relief as may be appropriate.
Respectfully submitted this 14th day of January,20t9.
l[J"{OJ-
By:
Michael P. Donahue
Marashlian & Donahue, PLLC
1420 Spring Hill Road, Suite 401
Tysons, V422102
Tel: [phone]
Fax: [phone]
E-Mail: [e-mail]
13 See Supplement at 4 and Exhibit B.
1a See generally Application at 12,
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CERTIFICATE OF SERVICE
I hereby certifo that I have this 14n day of January,20t9, served the foregoing Reply Comments
of Viasat Carrier Seruices, Inc., in Case No. NEW-18-01, by mailing a copy thereof, postage prepaid, to
the following:
Commission Secretary
Idaho Public Utilities Commission
472 W. Washington Street
P.O. Box 83720
Boise, lD 83720-0074
Caitlin E. O'Brien
Smith Malek
601 E. Front Ave, Suite 304
Coeur d'Alene, ID 83814
Email: Caitlin@smithmalek. Com
Eric Van Orden [ISB No. 4774]
Office of Legal Counsel
Coeur dAlene Tribe
850 A. Street
P.O. Box 408
Plummer, ID 83851
Valerie Fasthorse
Di rector, Information Technology
Coeur d'Alene Tribe
850 A. Street
P.O. Box 408
Plummer, ID 83851
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