20060801Decision memo.pdf

DECISION MEMORANDUM
TO:CO MMISSI 0 NER KJELLAND ER
COMMISSIONER SMITH
COMMISSIONER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:CECELIA A. GASSNER
DATE:JULY 31, 2006
SUBJECT:APPLICATION OF YMAX COMMUNICATIONS CORP. FOR
APPROVAL OF A CERTIFICATE OF PUBLIC CONVENIENCE AND
NECESSITY TO PROVIDE LOCAL SERVICE IN IDAHO; CASE NO.
YMX-06-
On March 21 , 2006, YMax Communications Corp. ("YMax" or "Company ) filed an
Application for a Certificate of Public Convenience and Necessity with the Commission. In its
Application, YMax states that it is requesting authority to provide basic resold and facilities-
based local exchange services and resold interexchange service to both residential and business
customers by combining unbundled network elements and reselling services obtained from
incumbent local exchange carriers in Idaho pursuant to interconnection agreements.
YMax is a Delaware corporation with a primary place of business in Palm Beach
Florida. The Company has a Certificate of Authority to do business in the State of Idaho issued
by the Idaho Secretary of State on March 10 , 2006. The Company has provided financial
information and the appropriate contact information for its registered agent for service of process
within Idaho. The Company also filed an illustrative tariff (and revisions thereto on June 28
2006). The Company does not intend to require deposits at this time, and thus did not submit
information about a bonded escrow agent.
On July 7, 2006, the Commission issued a Notice of Application and Modified
Procedure, requesting comments.
submitted by the Commission Staff.
Order No. 30095.The only comments received were
DECISION MEMORANDUM
ST AFF COMMENTS
Staff reviews all requests for a Certificate of Public Convenience and Necessity
(CPCN) pursuant to Idaho Code 99 61-526 through -528, IDAPA 31.01.01.111 and 112 (Rules
111 and 112), and Procedural Order No. 26665. To obtain a CPCN, an applicant must provide
the Commission with the following information: (1) name, address, and form of business; (2) the
date on which the applicant proposes to begin construction or anticipates that it will provide
service, including a written description of customer classes and services proposed to be offered;
(3) the proposed service territory; (4) certain financial information; (5) maps regarding the
proposed service area; (6) a proposed initial tariff and price sheets; (7) contact information; (8)
interconnection agreements, if any; (9) an agreement to comply with the Commission s Rules;
and (10) an escrow account with a bonded escrow agent if the Company requires advanced
deposits from its customers. Order No. 26665.
Following discussions with the Company s consultant, Staff received updated
financial data with a letter of credit from the principal owner of the Company. The Company
also complied with requests from Staff to remove certain terms contained within its price list that
did not comport with Commission rules and requirements. Through its review of these
documents and those originally filed, Staff believes that the Company understands and agrees to
comply with Commission rules and requirements.Staff further believes that the Company
possesses the requisite financial , managerial, and technical qualifications necessary to operate as
a provider of telecommunications services.
Based on its review of the Application, Staff recommends approval of the
Application for a Certificate of Public Convenience and Necessity.
COMMISSION DECISION
Does the Commission desire to approve YMax s Application and grant the Company
a Certificate of Public Convenience and Necessity? If so, does the Commission desire to waive
the escrow account requirement until such time as the Company decides to collect deposits?
Cecelia A. Ga ner
M:YMX-O6-cg2
DECISION MEMORANDUM