20250408Final_Order_No_36531.pdf

Office of the Secretary
Service Date
April 8,2025
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF ALBION TELEPHONE ) CASE NO. ALB-T-25-01
COMPANY'S APPLICATION FOR THE 2024 )
BROADBAND EQUIPMENT TAX CREDIT ) ORDER NO. 36531
On January 22, 2025, Albion Telephone Company ("Company") applied to the Idaho
Public Utilities Commission("Commission")seeking an order approving equipment,installed and
put into operation during the calendar year 2024, as eligible for the broadband tax credit.
The Company represented that the broadband services it offers to its customers are
associated with Digital Subscriber Line, wireless, and fiber-to-the-home technologies, which are
carried out using Fujitsu, Adva, Juniper, and Brocade in the Company's backbone network and
several brands of digital loop carriers, including Adtran and Calix. The Company asserted that, in
2024, as part of upgrading its network infrastructure, it added 1.2 miles of copper and duct and
97.14 miles of fiber cable and duct.
The Company confirmed that it offers broadband services to its customers at transmission
rates that range from 25 megabits per second to 10 gigabits per second for both upstream and
downstream transmissions. The Company stated that, during 2024, it added 57 new internet
customers, bringing its total number of customer base to 3,917, and the Company indicated that
99% of its Idaho subscribers have access to its broadband network.
The Company represented that in 2024 it invested $2,006,608.58 in qualifying broadband
equipment that it confirmed is integral to its broadband network.
THE BROADBAND EQUIPMENT TAX CREDIT
In 2001, the Idaho Legislature enacted House Bill 377 authorizing an income tax credit for
the installation of qualifying broadband infrastructure in Idaho. Idaho Code § 63-3029B. Section
63-3029I allows a taxpayer to receive an income tax credit for eligible broadband equipment
installed during a calendar year. Qualified broadband equipment is defined as those network
facilities "capable of transmitting signals at a rate of at least two hundred thousand(200,000) bits
per second(bps)to a subscriber and at least one hundred twenty-five thousand(125,000)bps from
ORDER NO. 36531 1

a subscriber."Idaho Code § 63-3029I(3)(b). If the equipment is installed by a telecommunications
carrier, it must also be "necessary to the provision of broadband services and an integral part of a
broadband network."Idaho Code § 63-3029I(3)(b)(i).
To be eligible for the income tax credit, the taxpayer must obtain an order from the
Commission confirming that the installed equipment meets the statutory definition of qualified
broadband equipment. Commission Order No. 35297; Idaho Code § 63-3029I(4). Once the
Commission has determined the installed equipment is eligible for the income tax credit, the
Commission will issue an order granting the application, and the Commission will forward the
order and application to the Idaho Tax Commission.
STAFF REVIEW
Staff reviewed the Company's Application under Idaho Code § 63-3029I and Order No.
35297. Based on its review, Staff believed the listed equipment met the statutory criteria and was
qualified broadband equipment that was eligible for the tax credit. Staff recommended the
Commission: (1) issue an order confirming that the Company's equipment is qualified broadband
equipment, and (2) forward copies of the Application and the order to the Idaho State Tax
Commission.
COMMISSION FINDINGS
Having reviewed the Company's Application and Staffs recommendation, the
Commission finds that the Company's equipment identified in Case No.ALB-T-25-01 is qualified
broadband equipment eligible for the income tax credit under Idaho Code § 63-3029I. The
Commission makes no findings regarding the costs of the installed broadband equipment or other
expenses.
ORDER
IT IS HEREBY ORDERED that the Company's Application is granted.
IT IS FURTHER ORDERED that a copy of this order and a copy of the Application be
served on the Idaho State Tax Commission.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date upon this Order regarding 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. See Idaho Code §§ 61-
626 and 62-619.
ORDER NO. 36531 2

DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho, this 8th day of
April 2025.
G
EDWARD LODGE, P SIDENT
J R. HAMMOND JR., COMMISSIONER
DAYN H DIE, COMMISSIONER
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ORDER NO. 36531 3