20250625Staff Comments.pdf

RECEIVED
June 25, 2025
JEFFREY R. LOLL IDAHO PUBLIC
DEPUTY ATTORNEY GENERAL UTILITIES COMMISSION
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074
[phone]
IDAHO BAR NO. 11675
Street Address for Express Mail:
11331 W CHINDEN BLVD, BLDG 8, SUITE 201-A
BOISE, ID 83714
Attorney for the Commission Staff
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF TRUCONNECT )
COMMUNICATIONS,INC.'S APPLICATION ) CASE NO. TCC-T-24-01
FOR DESIGNATION AS AN ELIGIBLE )
TELECOMMUNICATIONS CARRIER )
SECOND SUPPLEMENTAL
COMMENTS OF THE
COMMISSION STAFF
COMMISSION STAFF ("STAFF") OF the Idaho Public Utilities Commission
("Commission"), by and through its Attorney of record, Jeffrey R. Loll, Deputy Attorney
General, submits the following comments.
BACKGROUND
On March 4, 2024, TruConnect Communications, Inc. ("Company") applied to the
Commission for designation as an Eligible Telecommunications Carrier("ETC") in the State of
Idaho. The Company requested designation as an ETC solely to provide Lifeline services.
Application at 1. The Company asked to participate in and receive reimbursement from the
Idaho Telephone Service Assistance Program("ITSAP") accordingly. Id. On July 9, 2024, the
Company submitted materials to supplement its application.
STAFF SECOND SUPPLEMENTAL COMMENTS 1 JUNE 25, 2025

On July 11, 2024, Staff submitted comments arguing that the Company's request for ETC
status should be denied. Staff Comments at 9-10. Among other things, Staff asserted that the
Company failed to meet the necessary requirements for an ETC to remain functional during an
emergency and to promote the public interest. Id. at 8.
On July 18, 2024, the Company submitted reply comments arguing that the items of non-
compliance referred to by Staff were not actually requirements for obtaining ETC status.
Company Reply Comments at 3. Therefore, the Company contended it should not be denied
ETC status for not submitting these non-mandatory items. Id. at 9. After reviewing the reply
comments, Staff recommended that the Commission issue a Notice of Supplemental Comment
and Reply Deadlines to allow the parties to submit additional documentation and analysis for
consideration by the Commission. The Commission adopted Staff's recommendation and
ordered a supplemental period accordingly. Order No. 36284.
On August 15, 2024, the Company moved to stay this case for six months. Company's
Motion to Stay Proceedings at. 1. The Company explained that this would give its corporate
parent time to decide on the future of TCC and Sage Telecom Communications, LLC dba
TruConnect("Sage")—an affiliate telephone company operating in Idaho. Id. Staff did not
oppose this request.
On August 16, 2024, Staff filed supplemental comments. In these comments, Staff
explained that they believed TCC's corporate parent did not intend for both TCC and Sage to
provide the same services in the same area while operating under separate ETC designations.
Supplemental Staff Comments at 2. Instead, the companies were to have different owners or be
sufficiently distinct to justify separate designations. Id. Because the Company had yet to decide
which path to take, Staff recommended that the Commission stay the case for up to six months so
the Company could finalize its plan. Id. at 3. The Commission directed Staff to recommend the
appropriate course of action once the six-month stay elapsed or TCC and Sage's futures became
clear.
On October 4, 2024, the Commission stayed this case for six months to give the
Company time to determine its path forward. Order No. 36344.
On May 20, 2025, during the Commission's Decision Meeting, Staff presented a
decision memorandum recommending that the Commission establish a second set of
supplemental comment deadlines to conclude this case. According to Staff, this would give all
STAFF SECOND SUPPLEMENTAL COMMENTS 2 JUNE 25, 2025

parties the opportunity to address the impact of a written certification TCC's corporate parent
would file regarding its plans for TCC and Sage on the Company's application for ETC
designation. The Commission adopted Staff's recommendation and ordered a second
supplemental comment and reply period accordingly. Order No. 36634.
CERTIFICATION
On May 30, 2025, Sage submitted a certification to the Commission regarding its plans
for its ETC designation status in Idaho. Sage stated the following:
1. Within one year of the effective date of a Commission order designating TruConnect
as an ETC, Sage Telecom will do one of the following:
a. Offer Lifeline service to eligible low-income Idaho consumers under a brand
name other than" TruConnect", and that includes at least one plan that differs
from the standard Lifeline plan offered by TruConnect;
b. Enter into an agreement with a third party to be acquired or to materially change
ownership; or
c. Relinquish Sage's ETC status without prejudice. This will allow TCC's corporate
parent to complete a broader, multi-state initiative to align TCC's ETC service
area with that of Sage. Once this effort is complete, the corporate parent intends
to coordinate with the Federal Communications Commission ("FCC")to transfer
Sage's customers to TCC.
2. Sage will advise Staff via email on a quarterly basis regarding its progress in
transferring customers to TruConnect and its plans for brand and Lifeline plan
differentiation or for a material change in ownership.
STAFF ANALYSIS
As a result of Sage certification, Staff has determined that its public interest concerns
have been adequately addressed. Furthermore, Staff conducted a review of all the Company's
filings related to this case, including discussions between Staff s counsel and the Company.
Staff also analyzed the Company's compliance with the Act, the FCC regulations, and the Idaho
Public Utilities Commission Order Nos. 29841 and 35126. Staff believes that the Company's
Application for designation as an ETC serves the public interest and should be approved. The
STAFF SECOND SUPPLEMENTAL COMMENTS 3 JUNE 25, 2025

specific Lifeline Service offerings, along with the state and federal requirements for ETC, are
discussed in more detail below.
Lifeline Service Offerings
The Company confirmed that its service offering will include prepaid wireless services,
affordable pricing for local and long-distance calling, text messaging, broadband access, and the
option for consumers to bring their own device. Application at 4-5. It also includes
complimentary access to custom calling features such as Caller ID, Call Waiting, Call
Forwarding, 3-Way Calling, and Voicemail. Id. at 4. A user-friendly handset or hotspot device
may also be provided. Id. at 4-5. No service contract will be required from customers. Id. at 4.
Additionally, its products and plans will be specifically designed to serve lower-income
communities in rural areas that are generally unserved by other ETCs designated in the state. Id.
at 5. Thus, the Company's service offering will contribute to the expansion of mobile wireless
and broadband services for low-income consumers in Idaho.
The Company stated that its Lifeline customers will receive, as shown in Table 1 below,
unlimited voice minutes, unlimited text messages, and 4.5 gigabytes ("GB") of data per month
with full access to the T-Mobile and Verizon networks at a net cost of$0.00 after the application
of Lifeline support. Id. at 16. Customers will be able to purchase additional data as needed. Id.
All plans will include nationwide domestic long-distance calls at no extra per-minute charge and
free international calling to Canada, Mexico, China, Vietnam, and South Korea. Id. The
Company will not assess any usage charges for access to its free customer services (611). Id.
Emergency (911) calls will be free, regardless of service activation or availability of minutes,
and will not count against the customer's airtime. Id.
Table 1: Proposed Wireless Lifeline Offering
DATA (High Free
LIFELINE TEXT Speed-4G International Lifeline
PLAN VOICE (SMS) minimum) Calling Price
Canada, Mexico,
Lifeline China, Vietnam,
Only Unlimited Unlimited 4.5 GB South Korea $0.00
Tribal Canada, Mexico,
Lifeline China, Vietnam,
Only Unlimited Unlimited 10 GB South Korea $0.00
STAFF SECOND SUPPLEMENTAL COMMENTS 4 JUNE 25, 2025

Id. at Exhibit 6.
The packages offered also include, as illustrated in Table 2, free calls to TruConnect
Customer Service, free calls to 611 services, free calls to 911 emergency services, free access to
Voicemail, Caller-ID, and Call Waiting features (Voice minutes may be used for domestic long
distance at no extra cost), and a free SIM card. Id. at Exhibit 6.
Table 2: Top-Ups
"TOP-UPS" Price
International Top-Up 55 Countries $5
500 MB High-Speed Data $5
1 GB High-Speed Data $10
3 GB $20
8 GB $30
Id. at Exhibit 6.
A. Statutory ETC Designation Requirements Per Commission Order No. 35126
1. Common Carrier Status
The Company is a common carrier as defined by Title 47 U.S.C. § 153(10) and Section
332(c)(1)(A) of the Act. Id. at 9.
2. Provide Universal Services
The Company confirmed that, through its Underlying Carriers, it will provide all required
services and functionalities as outlined in Section 54.101(a) of the FCC's Rules (47 C.F.R.§
54.101(a)). Id at 9.
3. Advertising
The Company provided a sample of advertisements that it will use in Idaho for any
Lifeline-related marketing and advertising. Id. at Exhibit 4. The availability and rates for its
Lifeline service offerings will be advertised through general distribution media as required by 47
U.S.C. § 214(e)(1)(B). Section 54.405(c) of the FCC's rules, and Idaho Code § 62- 6101)(3)(b).
Id. at 12 -13.
STAFF SECOND SUPPLEMENTAL COMMENTS 5 JUNE 25, 2025

4. Public Interest
Staff applies a two-prong test when analyzing whether a company's ETC Application is
in the public interest. First, Staff determines whether the company contributes to Idaho funds.
Second, Staff analyzes whether the company's Application raises "cream-skimming"1 concerns.
In its Application, the Company specifically requested that its ETC designation include
the authority to participate in and receive reimbursement from the ITSAP. Id. at 2. The
Company also requested an ETC designation that is statewide in scope, including federally
recognized tribal lands, to allow the Company to provide Lifeline services wherever its
underlying, facilities-based providers have wireless coverage. Id. at 11. Therefore, no cream-
skimming analysis was required. Staff believes the Company satisfies the public interest
considerations.
Furthermore, the Company indicated that receiving the ETC designation will serve the
public interest because of its wireless service offerings. Id. at 20. This includes expanded
calling areas, the convenience and security of mobile service, and unlimited voice options. Id. at
21. Moreover, a substantial amount of broadband access is provided at no cost, following the
application of Lifeline support, including free caller ID, call waiting, voicemail features, and
access to 911 services, regardless of the remaining voice minutes on the Lifeline consumer's
plan. Id. The Company asserted that these no-cost services are an invaluable resource for
consumers facing financial difficulties, and the prepaid nature of the service also offers an option
for consumers without bank accounts. Id.
5. Tribal Notification
The Company acknowledges this requirement and has filed an addendum to its
Application on May 1, 2024,providing a declaration certifying that a copy of this Application
was sent via United States Mail to all five Tribes located in the State of Idaho. Staff believes this
certificate complies with the requirements set forth in Commission Order No. 35126.
B. Additional EliIibility Requirements of the Commission Order No. 35126
1. The Commitment and Ability to Provide Supported Services
' Cream skimming is a term used to refer to a company providing a service to only the high-value or low-cost
customers of that service,while disregarding less profitable clients for the company.
STAFF SECOND SUPPLEMENTAL COMMENTS 6 JUNE 25, 2025

The Company stated that it is committed to providing all supported services through its
Underlying Carriers' service across the proposed ETC-designated service area to all customers,
as required by Section 54.101(a) of the FCC's Rules (47 C.F.R. § 54.101(a)). Application at 9.
2. The Ability to Remain Functional in Emergencies
The Company stated that it will provide prepaid wireless telecommunications services to
consumers by using the underlying wireless networks of the Underlying Carriers. Id. at 3-4.
Thus, because of this access to the Underlying Carriers' networks, it can remain functional in
emergencies, in compliance with Commission Order Nos. 29841, 35126, and 47 C. F. R, § 54.
202(a)(2). Id. at 14.
The Company confirmed that it will utilize the extensive and well-established network
and facilities of T-Mobile and Verizon to provide its Lifeline services. Id. The Underlying
Carriers' networks have access to a reasonable amount of backup power to ensure functionality
without an external power source, can reroute traffic around damaged facilities, and are capable
of managing traffic spikes resulting from emergencies. Id.
3. A Commitment to Consumer Protection and Service
The Company stated that it is committed to satisfying all such applicable state and federal
requirements related to consumer protection and service quality standards, including compliance
with the Cellular Telecommunications and Internet Association's Consumer Code for Wireless
Service as required by 47 C.F.R. § 54. 202(a)(3). Id.
4. Description of the Local Usage Plan
The Company offered a Lifeline service plan as outlined in Exhibit 6.
5. Network Improvement Plan
The Commission requires a two-year network improvement and progress report from all
ETCs receiving high-cost support. The Company's Application seeks only low-income USF
support as a Lifeline-only ETC. Therefore, Staff believes that the Company does not need to
submit a network improvement plan with its Application.
STAFF RECOMMENDATION
Based on Staff s examination of the Company's Application, along with all additional
filings and discussions in this case, Staff believes that the Company has demonstrated its
commitment to fulfilling the responsibilities of a Lifeline-only ETC in Idaho. The Company will
STAFF SECOND SUPPLEMENTAL COMMENTS 7 JUNE 25, 2025

provide all universal services supported by the federal USF throughout its service area and has
addressed the public interest questions associated with an ETC Application. Additionally, the
Company will offer multiple pricing plans, thereby increasing consumer choice for low-income
telephone services in Idaho.
Currently, the Commission has granted wireless ETCs access to participate in the State's
ITSAP program. Staff supports allowing the Company to participate in the ITSAP program.
Staff believes that the Company's Application for designation as an ETC serves the
public interest and recommends approval of the Application for the entire State of Idaho as the
service area.
Respectfully submitted this 25th day of June 2025.
ffrey oll
Deputy Attorney General
Technical Staff. Johan Kalala-Kasanda
I:\Utility\UMISC\COMMENTS\TCC-T-24-01 Second Supplemental Comments.docx
STAFF SECOND SUPPLEMENTAL COMMENTS 8 JUNE 25, 2025

CERTIFICATE OF SERVICE
I HEREBY CERTIFY THAT I HAVE THIS 25th DAY OF JUNE 2025, SERVED
THE FOREGOING SECOND SUPPLEMENTAL COMMENTS OF THE COMMISSION
STAFF, IN CASE NO. TCC-T-24-01, BY E-MAILING A COPY THEREOF TO THE
FOLLOWING:
NATHAN JOHNSON DANIELLE PERRY
TRUCONNECT COMMUN. TRUCONNECT COMMUN.
1149 S HILL ST, STE H-400 1149 S HILL ST, STE H-400
LOS ANGELES CA 90015 LOS ANGELES CA 90015
E-MAIL: njohnson(a�truconnect.com E-MAIL: dperrX(a),truconnect.com
PATRICIA JORDAfT, SECRETARY
CERTIFICATE OF SERVICE