20040412min.doc

IDAHO PUBLIC UTILITIES COMMISSION

MINUTES OF DECISION MEETING

APRIL 12, 2004 – 1:30 P.M.

In attendance were Commissioners Paul Kjellander, Marsha Smith and Dennis Hansen.

Commissioner Kjellander called the meeting to order. The first order of business was approval of the CONSENT AGENDA, items 1-4. There were no comments or questions. Commissioner Kjellander made a motion to approve the Consent Agenda items. A vote was taken and the motion carried unanimously.

The next order of business was MATTERS IN PROGRESS:

David Hattaway’s April 12, 2004 Decision Memorandum re: Calculating the 2004 Regulatory Fee Assessments for Public Utilities and Railroads, Case Nos. F-2004-01 and F-2004-02.

Mr. Hattaway reviewed his Decision Memorandum. Commissioner Kjellander noted that the 28 companies that are delinquent in reporting their gross intrastate operating revenues for 2003 are all Title 62 companies, which might be a commentary on the status of competition in the telephone industry in Idaho.

Commissioner Smith stated that it is a commentary on the regulatory compliance of companies in that sector. She then made a motion to approve Staff’s calculation of the 2004 assessments and send a strongly worded letter to recalcitrant and non-compliant companies. Commissioner Kjellander stated that he looked forward to a report regarding the number of the non-compliant companies that are still doing business in the state.

Commissioner Hansen asked if the assessment rates of .2405% for utilities and .6161% for railroads are down from last year. Mr. Hattaway replied they are down, and the rate for utilities is essentially the same as last year but the railroad rate is down about 21% from what it was last year. Commissioner Hansen asked what the rate was last year, and Mr. Hattaway replied it was .2384% last year.

There was no further discussion. A vote was taken on the motion and it carried unanimously.

Doug Cooley’s April 7, 2004 Decision Memorandum re: 2003 Annual Report and Recommendations for the Idaho Telephone Service Assistance Program.

Mr. Cooley reviewed his Decision Memo. Commissioner Hansen made a motion to continue with the Idaho Telephone Service Assistance Program surcharge rate of $.12 per line per month.

There was no discussion. A vote was taken on the motion and it carried unanimously.

Doug Cooley’s April 7, 2004 Decision Memorandum re: Telecommunications Relay Service 2003 Annual Report.

Commissioner Smith asked Robert Dunbar, the Administrator of the Telecommunications Relay Service, if there was anything unusual happening or if there were any trends the Commission needed to be aware of. Mr. Dunbar replied that Mr. Cooley had done a good job in his memo of outlining his report. He noted the only large item that could come up is video relay, which has been approved by the FCC and costs $10 per minute. He said NECA is paying for it right now, but they were originally going to make the states pay for it. He said that NECA may continue to pay for it, but if they ever decide to make the states pay for it, we would have to “close the door financially” because we can’t afford it.

Commissioner Smith asked Mr. Dunbar if he expected the minutes of use to continue to decline. Mr. Dunbar stated that he does expect them to decline—traditional relay is on a downhill trend.

Commissioner Kjellander made a motion to approve Staff’s recommendations, including its recommendation to forego the CapTel service for the 2004 budget. A vote was taken on the motion and it carried unanimously.

There were no further items on the agenda and Commissioner Kjellander adjourned the meeting.

DATED this ______ day of April, 2004.

_______________________________________
COMMISSION SECRETARY

2