20240917Decision Memo.pdf

DECISION MEMORANDUM
TO: COMMISSIONER ANDERSON
COMMISSIONER HAMMOND
COMMISSIONER LODGE
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM: MICHAEL DUVAL
DEPUTY ATTORNEY GENERAL
DATE: SEPTEMBER 17, 2024
SUBJECT: IN THE MATTER OF TRUCONNECT COMMUNICATIONS, INC.'S
APPLICATION FOR DESIGNATION AS AN ELIGIBLE
TELECOMMUNICATIONS CARRIER; CASE NO. TCC-T-24-01.
On March 4, 2024, TruConnect Communications, Inc. ("Company" or"TCC") applied to
the Idaho Public Utilities Commission ("Commission") for designation as an Eligible
Telecommunications Carrier ("ETC") in the State of Idaho. The Company requested designation
as an ETC for the sole purpose of providing Lifeline services. The Company asked that it be
allowed to participate and receive reimbursement from the Idaho Telephone Service Assistance
Program.
On June 20, 2024, the Commission issued a Notice of Application and set deadlines for
public comments and the Company's reply. Order No. 36227.
The Company submitted materials supplementing its Application on July 9, 2024.
Staff submitted comments on July 11, 2024. Staff s Comments argued that the Company's
request for ETC status should be denied.Among other things, Staff argued that the Company failed
to meet the necessary requirements for an ETC to remain functional in an emergency and promote
the public interest.
The Company submitted Reply Comments on July 18,2024. The Company argued that the
items of non-compliance referred to by Staff were not actually requirements for obtaining ETC
status. Therefore, the Company argued it should not be denied ETC status for not abiding by these
non-mandatory items.
DECISION MEMORANDUM 1

Staff reviewed the Company's Reply Comments and believed that adding additional
documentation and analysis to the record would place the Commission in the best position to make
a fully informed decision. The Commission ordered a supplemental period accordingly. Order No.
36284.
On August 15, 2024, the Company submitted an Unopposed Motion to Stay Proceedings
asking for an up to six months stay in the case while the Company figured out its goal for TCC
and a parallel company—Sage Telecom Communications, LLC dba TruConnect ("Sage"). TCC
and Sage are both owned by TSC Acquisition Corporation ("TSC").
Staff filed supplemental comments on August 16,2024,relaying Staff s understanding that
it was not the intent of TSC for TCC and Sage to offer the same services, in the same general area,
under two different ETC designations. Rather, the intent was for TCC and Sage to have different
owners—or to be sufficiently distinct to justify separate ETC designations. Because the Company
did not yet know what path forward it might take, Staff recommended that the Commission order
a stay in this for up to six months while the Company and its related entities solidified the details
of their proposed plan. Once six months has elapsed, or the Company's path forward is clear, Staff
will make the appropriate recommendation to the Commission based upon the information then
available.
While the Company's position was made clear in its August 15, 2024, Motion, the
Company did not reply to Staffs comments.
STAFF RECOMMENDATION
Staff recommends that the Commission issue an interlocutory order staying this case for
up to six months from the issuance of that order.
COMMISSION DECISION
Does the Commission wish to issue an interlocutory order staying this case for up to
six months from the issuance of that order?
Michael Duval
Deputy Attorney General
I:\Legal\TELECO WTCCT2401\TCCT2401_dec3_md.docx
DECISION MEMORANDUM 2