HomeMy WebLinkAbout20240419Final_Order_No_36155.pdf Office of the Secretary
Service Date
April 19,2024
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF IM TELECOM,LLC ) CASE NO. IMT-T-23-01
D/B/A INFINITI MOBILE'S APPLICATION )
FOR DESIGNATION AS AN ELIGIBLE ) ORDER NO. 36155
TELECOMMUNICATIONS CARRIER )
On December 15, 2023, IM Telecom, LLC d/b/a Infiniti Mobile ("Company") applied to
the Idaho Public Utilities Commission ("Commission") for designation as an Eligible
Telecommunications Carrier ("ETC") in the State of Idaho ("Application"). The Company also
filed a Notification of Intent to Provide Service on December 20, 2023. The Company requested
the Commission grant it designation as an ETC for the limited purpose of providing Lifeline
services in Idaho. The Company also requested that if granted ETC designation such grant also
allow it to participate and receive reimbursement from the Idaho Telephone Service Assistance
Program ("ITSAP").
On March 4, 2024, the Commission issued a Notice of Application and set deadlines for
public comments and the Company's reply. Order No. 36105. The Commission Staff("Staff')
submitted comments. No other comments were received.
With this Order, we approve the Company's request for designation as an ETC that will
also allow the Company to participate and receive reimbursement from ITSAP.
BACKGROUND
Under the federal Telecommunications Act of 1996 ("Federal Act"), a carrier designated
as an ETC is eligible to receive federal support from the federal Universal Service Fund("USF").1
47 U.S.C. § 214(e). This Commission has the authority, under the Federal Act, to grant ETC
designations within Idaho.47 U.S.C. § 214(e)(2). Authority for the Commission to designate ETC
status is also provided in Idaho law—the Idaho Telecommunications Act of 1988—and expounded
upon in prior Commission orders. See Idaho Code §§ 62-6101)(1), 62-615(1); Order No. 29841.
1 The Federal Communications Commission established the federal USF with the intent to make adequate, efficient
communications available nationwide, at reasonable charges. In the Matter of Lifeline and Link Up Reform and
Modernization, Lifeline and Link Up, Federal-State Joint Board on Universal Service, Advancing Broadband
Availability Through Digital Literacy Training("Lifeline and Link Up Reform Order")27 F.C.C.R. 6656,at 6660-62
(Feb. 6, 2012); 47 U.S.C. § 254(b). Lifeline is a program supported by the USF that provides monthly discounts to
eligible low-income subscribers to maintain access to communications networks.Lifeline and Link Up Reform Order,
27 F.C.C.R. 6656 at 6662-63. Idaho has an analogous state USF program, established in Idaho Code §§ 62-610 and
62-610A-61OF,and a Lifeline program known as ITSAP.Idaho Code§ 56-901.
ORDER NO. 36155 1
Under this authority,this Commission has granted ETC designations to numerous carriers in Idaho,
including wireless carriers. See Order Nos. 32586, 32645, and 34163.
To qualify as an ETC, an applicant must satisfy several requirements established in federal
and state law. See 47 U.S.C. § 214(e); Order No. 29841. The Federal Act requires the applicant to
be a"common carrier,"offering services supported under Section 254(c)of the Federal Act"using
its own facilities or a combination of its own facilities and resale of another carrier's services,"
unless otherwise granted Federal Communications Commission ("FCC") forbearance. 47 U.S.C.
§§ 153(11), 214(e)(1)(A), 160(a)(3) (FCC has regulatory flexibility to forbear application where
consistent with public interest). The Federal Act also requires the applicant "advertise the
availability of such services and the charges therefor using media of general distribution." 47
U.S.C. § 214(e)(1)(B).
Under the Federal Act, state commissions shall determine whether ETC designation is
"consistent with the public interest, convenience, and necessity." 47 U.S.C. § 214(e)(2). In
evaluating this public interest element, the Commission has generally considered two factors. See
Order No. 33002 at 2-3; Order No. 33226 at 3. First,the Commission evaluates whether the carrier
contributes to state assistance programs such as the ITSAP and the Idaho Telecommunications
Relay Services program consistent with Idaho Code§ 61-1301. Second,the Commission considers
if the designation is sought for only part of a rural telephone company's study area, thus leaving
some (perhaps less profitable) customers without service. Such practice, known as "cream
skimming,"has been determined by the Commission to be contrary to the public interest.Id.
Federal regulations include the following additional requirements, which the Commission
has adopted by reference, in evaluating petitions for ETC designation: (1)compliance with service
requirements applicable to support received; (2) submission of a plan for proposed improvements
or upgrades to the network (where applicable); (3) demonstrated ability to remain functional in
emergencies without an external power source; (4) demonstrated willingness to satisfy consumer
protection and service quality standards; (5) financial and technical capability to provide Lifeline
service; and(6) notice to affected Tribes where designation is sought for any part of Tribal lands.
See 47 C.F.R. § 54.202; Order No. 29841 at 5, 16.
For applicants seeking Lifeline-only ETCs,the FCC has waived the requirement to submit
a network improvement and upgrade plan—noting that such ETCs do not receive funds to improve
or extend their networks. Lifeline and Link Up Reform Order, 27 F.C.C.R. 6656,¶386 ("Lifeline
ORDER NO. 36155 2
and Link Up Reform Order"). The Commission—which requires a two-year network improvement
plan and progress report (Order No. 29841 at 18) where applicable—has also waived the
requirement where a Lifeline-only ETC is requested. Order No. 35126 at 3.
THE APPLICATION
The Company is an Oklahoma Limited Liability Company that is a wholly owned
subsidiary of KonaTel, Inc.a Delaware corporation. The Company stated that it uses AT&T
Mobility, Verizon Wireless, and T-Mobile USA, Inc. as underlying carriers and has been granted
ETC designation related specifically to Lifeline services in several states.
The Company requested a limited designation to be authorized to provide Lifeline service
to qualifying Idaho consumers across the entire State of Idaho—including those on federally
recognized Tribal lands.
The Company requested that its designation as an ETC include the authority to participate
in, and receive reimbursement from, the ITSAP. The Company stated that it was not eligible to
receive funds from the USF and was not seeking such designation.
The Company noted it is a common carrier with the ability to provide the telecom services
listed in its Application.
The Company explained that it met all federal and state requirements for designation as an
ETC while also asserting that designating the Company as an ETC is in the public interest.
The Company stated that, if approved, it will offer telecom services in a cost-effective
manner—thereby increasing competition and customer service options within unserved and
underserved areas to eligible customers.
The Company asked that the Commission grant the relief requested in an expeditious
manner so that the Company can begin serving qualifying Idaho customers.
STAFF COMMENTS
Staff reviewed the Company's Application for compliance with the Federal Act , Federal
Communications Commission ("FCC")regulations, and Commission Order No. 29841.
Staff believed the Company's proposal satisfied the relevant public interest considerations.
Staff further believed the Company complied with the tribal notification requirements delineated
in Commission Order No. 35126. Staff noted the Company is not required to have a network
improvement plan. Staff believed the Company will remain functional in emergencies per
Commission Order No. 29841 and FCC requirement 47 C.F.R, § 54.202(a)(2). Lastly, Staff
ORDER NO. 36155 3
believed the Company's Application met the requirements for ETC designation as delineated in
the Appendix to Commission Order No. 29841.
Staff believed the Company's designation as a limited ETC is in the public interest and its
Application should be approved.
COMMISSION FINDINGS AND DECISION
The Commission has authority to grant ETC designation to a telecommunications carrier
under federal and state law. 47 U.S.C. § 214(e) ("Federal Act"); Idaho Code §§ 62-610D and 62-
615(1). The Commission has considered the record, including the Company's Application and
Staff Comments. We now make these findings.
A. Common Carrier, Own Facilities, and Advertising
We first address requirements listed in § 214(e)(1) of the Federal Act. That provision
requires an applicant to be a "common carrier" offering services "using its own facilities or a
combination of its own facilities and resale of another carrier's services,"unless otherwise granted
FCC forbearance. 47 U.S.C. §§ 153(11), 214(e)(1)(A) and 160(a)(3). The FCC has granted
forbearance from the "own-facilities" requirement to Lifeline-only ETCs provided they comply
with certain 911 requirements and file a compliance plan.Lifeline and Link Up Reform Order. The
Company represented that,as a Lifeline-only ETC, it complied with the Federal Act with the filing
of its October 23, 2018, FCC-approved Compliance Plan. The Company stated its intention to
follow 911 requirements governing Lifeline subscribers in accordance with its FCC-approved
Compliance Plan. We find the Company properly complied with the FCC forbearance regarding
the"own facilities"requirement. On the record before us,we find the Company is also a"common
carrier."See 47 U.S.C. § 153(11).
An applicant seeking ETC designation must also"advertise the availability of such services
and the charges therefor using media of general distribution."47 U.S.C. § 214(e)(1)(B). Based on
the record and the Company's assurances, we find this requirement to also be satisfied.
B. Public Interest and Related ETC Designation Requirements
Under the Federal Act, state commissions shall determine whether granting the requested
ETC designation is "consistent with the public interest, convenience, and necessity." 47 U.S.C. §
214(e)(2).
First, the Company committed to offering Lifeline services to a wide array of low-income
and unserved and underserved Idaho residents. See 47 C.F.R. § 54.101(d). We find that the
ORDER NO. 36155 4
Company's offering of these services in the service areas promotes the public interest because
these services will assist unserved or underserved people and provide investment in facilities and
equipment in these areas.
We also consider whether the Company would contribute to the appropriate Idaho funds.
Order No. 33002 at 2-3; Order No 33226 at 3. Staff confirmed that the Company would participate
in the appropriate Idaho programs and comply with the Commission's annual reporting
requirements. We find that the Company's commitment to participating in the appropriate Idaho
programs advances the public interest.
Next,we consider whether the Company is engaged in"cream skimming,"which we have
found to be contrary to the public interest. Order No. 33002 at 2-3; Order No. 33226 at 3. Because
the Company requested limited ETC designation for the entire state, no cream-skimming analysis
is required.
We therefore find that granting the Company limited designation as an ETC in its requested
service area—the State of Idaho—satisfies the public interest requirements.
C. Remaining Requirements
Finally,we address the six remaining requirements from federal regulations and Order No.
29841. See 47 C.F.R. § 54.202.
(1) Service Requirements for Support Received. We find the Company has sufficiently
committed to meeting these requirements.
(2) Plan for Proposed Improvements or Upgrades to the Network. The FCC and this
Commission have waived the requirement for Lifeline-only ETCs who seek only low-income
Lifeline support from the USF to submit a network improvement plan. See Order No. 32501 at 3-
4; 47 C.F.R. § 54.202(a)(1)(ii). We find that the Company is not required to submit a network
improvement plan.
(3)Ability to Remain Functional in Emergencies. The Company noted that it would utilize
its underlying carriers in such a manner as to remain functional in an emergency. We find the
Company has demonstrated sufficient compliance with this requirement.
(4) Willingness to Satisfy Consumer Protection and Service Quality Standards. The
Company stated that it would abide by the qualitied standards of the Cellular Telecommunications
and Internet Association's Consumer Code for Wireless Service.See 47 C.F.R. § 54.202(a)(3). We
are satisfied with the Company's assurances that it will comply with the relevant standards.
ORDER NO. 36155 5
(5)Financial and Technical Capability. Based on the Company's statements concerning its
financial abilities, technical qualifications, and the Company's connections with its parent
company and partners, we also find this requirement to be satisfied.
(6) Notice to Affected Tribes. We find the Company has notified Tribal authorities. The
Commission here notes that the Company's ETC designation shall include federally recognized
tribal lands. See 47 C.F.R. § 54.202(c); Order No. 29841 at 16 (superseded in part by Order No.
35126 at 6).
Based on the above findings, we conclude that the Company has satisfied the federal and
state requirements for limited designation as an ETC carrier. We therefore designate the Company
an ETC in the State of Idaho for the purpose of providing Lifeline service to qualifying Idaho
consumers and to participate in and receive reimbursement from the ITSAP.
ORDER
IT IS HEREBY ORDERED that the Company's Application for limited designation as an
ETC in the State of Idaho is approved. Additionally, the Company may participate in the ITSAP
and provide Lifeline services to qualifying Idaho customers.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date of this Order about 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.Idaho Code §§ 61-626.
N
ORDER NO. 36155 6
DONE by order of the Idaho Public Utilities Commission at Boise, Idaho this 19th day of
April 2024.
ERIC ANDERSON, PRESIDENT
64--em=
R. AMMOND, JR., COMMISSIONER
,
EDWARD LODGE,OMMISSIONER
ATTEST:
M n a s &a&
Commission Secretary
I:\Legal\TELECOM\IMTT2301\IMTT2301_Final_md.docx
ORDER NO. 36155 7