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Home My WebLink About20260521Supplemental Staff Comments.pdf RECEIVED May 21, 2026 JEFFREY R. LOLL IDAHO PUBLIC DEPUTY ATTORNEY GENERAL UTILITIES COMMISSION IDAHO PUBLIC UTILITIES COMMISSION PO BOX 83720 BOISE, IDAHO 83702 (208) 334-0357 IDAHO BAR NO. 11675 Attorney for the Commission Staff BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF FREMONT TELECOM ) CO.'S APPLICATION FOR THE 2024 ) CASE NO. FRE-T-25-01 BROADBAND EQUIPMENT TAX CREDIT ) 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 July 23, 2025, Fremont Telecom Co. ("Company") applied to the Commission for an order confirming that equipment the Company installed during 2024 is "qualified broadband equipment" under Idaho Code § 63-3029I (Income tax credit for investment in broadband equipment) ("Application"). On December 10, 2025, the Commission issued a Notice of Application and Notice of Modified Procedure establishing written comment deadlines. Order No. 36867. Staff filed Comments on January 6, 2026. On January 16, 2026, rather than submitting reply comments, the Company filed an amended application along with a revised equipment list ("Amended Application"). In 2001, House Bill 377 was enacted, authorizing income tax credit for the installation of qualifying broadband infrastructure in Idaho. Idaho Code § 63-3029B(3)(a)(ii). Idaho Code § 63- STAFF SUPPLEMENTAL COMMENTS I MAY 21, 2026 3029I allows a taxpayer to receive an investment tax credit for eligible broadband equipment installed during a calendar year. Qualified broadband equipment is defined as equipment"capable of transmitting signals at a rate of at least two hundred thousand (200,000) bits per second to a subscriber and at least one hundred twenty-five thousand (125,000) bits per second from a subscriber." Idaho Code § 63-30291(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). The equipment must be primarily used to provide services to subscribers in Idaho to qualify for the credit. Idaho Code § 63-3029I(3)(b)(vii). To be eligible for the tax credit, the taxpayer must obtain an order from the Commission confirming that the installed equipment meets the statutory definition of qualified broadband equipment. Idaho Code§ 63-3029I(4)Commission Order Nos. 35297 and 36970. Prior to making such a determination, the Commission requires applicants to submit "a specific list of the equipment or types of equipment that the applicant is requesting that the Commission determine is `qualified broadband equipment' as defined in Idaho Code § 63-3029I(3)(b)," and to "[l]ist the brand, manufacturer, model numbers of the installed equipment, number of items, and total cost." Order No. 35297, Attachment A. The Commission has emphasized that its "role in applications for broadband equipment tax credit is limited to `confirming that the installed equipment is qualified broadband equipment"' and does not extend to approving costs for non-equipment project expenditures for credit. Order No. 36970, quoting Idaho Code § 63-3029I(4). Once the Commission has determined that the installed equipment is eligible for the broadband equipment tax credit, an order along with the original application is forwarded to the Idaho Tax Commission. THE AMENDED APPLICATION The Company made no changes to the description of its network in the Amended Application. According to the Company, it offers broadband services through Asymmetric Digital Subscriber Line, Very-high-bit-rate Digital Subscriber Line, Broadband Ethernet and Wavelength services. Amended Application at 2. The Company stated that it provides broadband services to its customers at transmission rates of 256,000 bits per second ("bps") up to 1,000,000,000 bps from a subscriber and 768,000 bps up to 1,000,000,000 bps to a subscriber. Id. During 2024, STAFF SUPPLEMENTAL COMMENTS 2 MAY 21, 2026 the Company served 4,271 broadband customers in Idaho out of 13,551 possible broadband subscribers, or 32%of possible subscribers served. Id. In both the Application and the Amended Application, the Company reported investing $2,818,233.75 in qualifying broadband equipment. Id. at 3. STAFF ANALYSIS Staff reviewed the Company's equipment list in the Amended Application and compared it to the list included with the original Application. Staff notes that while the Company removed most line items for "internal labor," "overhead costs," and other entries extending beyond direct investments in physical equipment to additional project expenses from the Amended Application in response to Staff s previous recommendation to the Commission—the total reported investment matched, to the cent, the $2,818,233.75 claimed in the original Application. The Company also made significant changes to the installation dates provided for equipment in the Amended Application, making it difficult to track exactly how costs were shifted around from the original Application. On March 27, 2026, the Company sent an amended spreadsheet directly to Staff with labor and other expenses removed. In the amended spreadsheet, attached to these comments as Attachment A, the Company reported that it invested a total of$387,202.65 in qualifying broadband equipment in 2024. Id. Staff reviewed the information and verified that the items in Attachment A are in accordance with Commission Order Nos. 35297 and 36970. STAFF RECOMMENDATION Staff recommends that the Commission issue an order confirming that the equipment identified in Attachment A is qualified broadband equipment and forward the approving order, along with a copy of the amended Application and the equipment list in Attachment A, to the Idaho Tax Commission. STAFF SUPPLEMENTAL COMMENTS 3 MAY 21, 2026 Respectfully submitted this 21 st day of May 2026. Jeffrev R. Loll Deputy Attorney General Technical Staff. Allison Moore Jon Kruck I:\Utility\UMISC\COMMENTS\FRE-T-25-01 Supplemental Comments.doex STAFF SUPPLEMENTAL COMMENTS 4 MAY 21, 2026 ATTACHMENT A Case No. FRE-T-25-01 Staff Supplemental Comments May 21, 2026 Idaho Broadband Equipment Tax Credit Application Details-Amended Tax year ending 1213112024 Company Information 1.Name of com an: Fremont Telcom Co. 2.Address: 1221 N Russell Street,Missoula,MT 59808 3.Type of company: Telecommunication Carrier 4.Contact erson: Dan!Kinard,CPA dkinard@blackfoot.com Date Installed Asset Description Project ID ASSET ID Manufacturer Brand Model Location Qty Itern Cost Total Cost of Installed Equipment 4/30/2024 Fiber 288,BOC,SM FMT2022076 FMT003519 Commg Coming 288EU4-T4700D20 Fremont 1,928.00 3,504.08 4/30/2024 Fiber 288,BOC,SM FMT2022076 FMT003519 Clearfield Inc Clearfield Inc KCD-CAA Fremont 37.00 27,071.84 30,575.92 4/30/2024 Fiber 288,BOC,SM FMT2023091 FMT003520 Corning Coming 288EU4-T4700D20 Fremont 832.00 1,512.14 1,512.14 7/31/2024 FIBER 288,BOC,SM FMT2024037 FMT003524 Clearfield Inc Clearfield Inc KC1-CAA Fremont 1.00 732.72 7/31/2024 FIBER 288,BOC,SM FMT2024037 FMT003524 Coming Coming 288EU4-T4700D20 Fremont 1,638.00 2,979.37 3,712.09 7/31/2024 FIBER 48,BOC,SM FMT2024037 FMT003525 Comstock Comstock 11RU011CA012BK1 Fremont 1.00 332.59 7/31/2024 FIBER 48,BOC,SM FMT2024037 FMT003525 Corning Corning 048EU4-T4700D20 Fremont 1,640.00 597.03 929.62 8/31/2024 FIBER 288,BOC,SM FMT2024042 FMT003526 Coming Coming 288EU4-T4700D20 Fremont 5,432.00 9,880.32 9AS0.32 8/31/2024 FIBER 48,BOC,SM FMT2024042 FMT003527 Corning Corning 048EU4-T4700D20 Fremont 4,334.00 1,577.75 1,577.75 8/31/2024 FIBER 144,BOC,SM FMT2024044 FMT003528 Coming Coming 144EU4-T4700D20 Fremont 12,656.00 12,361.80 12,361.80 12/31/2024 FIBER 48,BOC,SM FMT2023096 FMT003581 Corning Corning 048EU4-T4700D20 Fremont 3,678.00 1,338.94 1,338.94 12/31/2024 Dell Server-PowerEd a XR11 FMT2023111 FMT003582 Dell Technologies Dell Technologies XR11 Fremont 2.00 11,043.80 11,043.80 12/31/2024 FIBER 288,BOC,SM FMT2024056 FMT003583 Corning Coming 288EU4-T4700D20 Fremont 3,166.00 5,758.67 12/31/2024 FIBER 288,BOC,SM FMT2024056 FMT003583 Comstock Comstock 11RU011CA012BK1 Fremont 4.00 332.59 12/31/2024 FIBER 288,BOC,SM FMT2024056 FMT003583 Clearfield Inc Clearfield Inc KC1-CAA Fremont 1.00 711.55 6,902.81 12/31/2024 Adtran TA5000 SM40 1187040F1 FMT2024101 FMT003584 Adtran Adtran 1187040F1 Fremont 10.00 40,383.65 12/31/2024 Adtran TA5000 SM40 1187040F1 FMT2024101 FMT003584 Adtran Adtran 1442412F1-80-C Fremont 1.00 572.40 12/31/2024 Adtran TA5000 SM40 1187040F1 FMT2024101 FMT003584 Adtran Adtran 1442412F2-80-C Fremont 3.00 1,717.20 12/31/2024 Adtran TA5000 SM40 1187040F1 FMT2024101 FMT003584 Adtran Adtran 1442413F1-C Fremont 6.00 1,113.00 12/31/2024 Adtran TA5000 SM40 1187040F1 FMT2024101 FMT003584 Adtran Adtran 1442413F2-C Fremont 3.00 556.50 12/31/2024 Adtran TA5000 SM40 1187040F1 FMT2024101 FMT003584 Adtran Adtran 1187011F3 Fremont 8.00 4,704.92 12/31/2024 Adtran TA5000 SM40 1187040F1 FMT2024101 FMT003584 Adtran Adtran 1187080G3 Fremont 3.00 1,235.03 50,282.70 12/31/2024 FS-1204E FortiGate Switch Cent FMT2024111 FMT003585 Fortinet Fortinet FG-40E-BDL-950-12 Fremont 1.00 446.00 12/31/2024 FS-1204E FortiGate Switch Cent FMT2024111 FMT003585 Fortinet Fortinet FC-10-S1E24-247-02-1 Fremont 2.00 2,147.90 12/31/2024 FS-1204E FortiGate Switch Cent FMT2024111 FMT003585 Fortinet Fortinet FS-1024E Fremont 2.00 16,522.22 19,116.12 12/31/2024 FIBER 288,BOC,SM FMT2024036 FMT003587 Coming Coming 288EU4-T4700D20 Fremont 2,248.00 4,088.91 12/31/2024 FIBER 288,BOC,SM FMT2024036 FMT003587 FieldSmart FieldSmart R-1 152-048F-1 152D-B- Fremont 1.00 8,900.24 12/31/2024 FIBER 288,BOC,SM FMT2024036 FMT003587 Clearfield Inc Clearfield Inc KC1-CAA Fremont 1.00 732.72 12/31/2024 FIBER 288,BOC,SM FMT2024036 FMT003587 FieldSmart FieldSmart R-1 152-048F-1 152D-B- Fremont 1.00 24,384.48 38,106.35 12/31/2024 FIBER 48,BOC,SM FMT2024036 FMT003588 Corning Coming 048EU4-T4700D20 Fremont 648.00 235.91 235.91 5/20/2026 FMT 2024 12/31/2024 FIBER 12 UNIVERSAL DROP FMT2024036 FMT003589 Comin 1 Coming 012EU4-T4700D20 Fremont 200.00 55.80 55.80 8/31/2024 FIBER 288,BOC,SM FMT2024061 FMT003590 Comin Coming 288EU4-T4700D20 Fremont 16,630.00 30,248.47 8/31/2024 FIBER 288,BOC,SM FMT2024061 FMT003590 Comstock Comstock 11RU011CA012BK1 Fremont 1.00 332.59 30,581.06 8/31/2024 Fiber 2 Toneable Drop FMT2024061 FMT003591 Comin Coming 002EU4-T4701 D20 Fremont 1,360.00 299.11 299.11 8/31/2024 FIBER 12 UNIVERSAL DROP FMT2024061 FMT003592 Comin Coming 012EU4-T4700D20 Fremont 194.00 49.34 49.34 12/31/2024 FIBER 288,BOC,SM FMT2024086 FMT003593 Coming Coming 288EU4-T4700D20 Fremont 4,100.00 7,458.14 7,458.14 12/31/2024 FIBER 144,BOC,SM FMT2024086 FMT003594 Coming Coming 144EU4-T4700D20 Fremont 2,834.00 2,768.13 2,768.13 12/31/2024 FIBER 48,BOC,SM FMT2024086 FMT003595 Coming omin 048EU4-T4700D20 Fremont 1,618.00 589.79 589.79 12/31/2024 Fiber 2 Toneable Drop FMT2024086 FMT003596 Coming Coming 002EU4-T4701 D20 Fremont 1,532.00 336.93 336.93 12/31/2024 FIBER 144,BOC,SM FMT2024113 FMT003597 Coming 144EU4-T4700D20 Fremont 5,200.00 5,079.13 5,079.13 12/31/2024 FIBER 48,BOC,SM FMT2024113 FMT003598 Coming Coming 048EU4-T4700D20 Fremont 2,192.00 799.02 799.02 12/31/2024 BFC 6522 FMT2024113 FMT003599 Superior Essex Superior Essex BW FY-6P22-R-2.5K-ESS Fremont 1,740.00 1,308.04 1,308.04 12/31/2024 FIBER 48,BOC,SM FMT2024121 FMT003600 Corning Coming 048EU4-T4700D20 Fremont 1,138.00 414.82 414.82 12/31/2024 BFC 6X22 FMT2024121 FMT003601 Superior Essex Superior Essex BW FY-6P22-R-2.5K-ESS Fremont 954.00 717.17 717.17 12/31/2024 Adtran 1187503F1 GPON OLT FMT2024056-01 FMT003602 Adtran Adtran 1187503F1 Fremont 1.00 4,618.71 4,618.71 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Coming Coming 040402R5120002M Madison 6.00 205.20 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Corning Corning 040402G5120004M Madison 2.00 70.65 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Cisco Cisco SFP-10G-LR-C Madison 2.00 238.84 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Cisco Cisco SFP-10G-LR-C Madison 6.00 670.00 12/31/2024 N540-28Z4C-SYS-D NCS 54028x10 FMT2022122 FMT003603 Cisco Cisco DWDM-SFP10G-LIM-C Madison 2.00 2,703.00 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Cisco Cisco QSFP-100G-SR4-S-C Madison 2.00 689.00 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Cisco Cisco ADV-AC-10G-RTU-1 Madison 20.00 350.89 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Cisco Cisco ADV-AC-10G-SIA-3 Madison 20.00 294.20 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Cisco Cisco N540-28Z4C-SYS-D Madison 1.00 3,365.45 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Cisco Cisco N540-CBL-BRKT-CL Madison 1.00 14.03 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 Cisco Cisco N540-RCKMT-19-CLD Madison 1.00 14.03 12/31/2024 N540-28Z4C-SYS-D NCS 540 28x10 FMT2022122 FMT003603 CP Technologies CP Technologies MTMT-KM412NXR02 Madison 1.00 148.92 8,764.21 11/30/2024 Fiber 2 Toneable Drop FMT2024001 FMT003604 Coming Coming 002EU4-T4701 D20 Fremont 12,938.00 2,845.46 11/30/2024 Fiber 2 Toneable Drop FMT2024001 FMT003604 Vertiv Vertiv F604860 Fremont 1.00 100.49 11/30/2024 Fiber 2 Toneable Drop FMT2024001 FMT003604 Superior Essex Superior Essex 04-100-27 Fremont 140.00 371.68 11/30/2024 Fiber 2 Toneable Drop FMT2024001 FMT003604 Adtran Adtran 1287733F1 Fremont 2.00 2,114.50 5,432.13 11/30/2024 BFC 3x22 pair Cable FMT2024001 FMT003605 Superior Essex Superior Essex 04-058-17 Fremont 6,338.00 2,461.57 2,461.57 11/30/2024 BFC 25X22 PR CABLE FMT2024001 FMT003606 Superior Essex Superior Essex 04-062-27 Fremont 3,088.00 6,062.51 6,062.51 11/30/2024 BFC 6X22 FMT2024001 FMT003607 Superior Essex Superior Essex BW FY-6P22-R-2.5K-ESS Fremont 2,876.00 2,434.76 2,434.76 5/20/2026 FMT 2024 11/30/2024 FIBER 12 UNIVERSAL DROP FMT2024001 FMT003608 Coming Coming 012EU4-T4700D20 Fremont 1,620.00 411.98 411.98 11/30/2024 Fiber 96.BOC,SM FMT2024001 FMT003609 Comin 096EU4-T4700D20 Fremont 1,500.00 1,016.39 1,016.39 11/30/2024 BFC 25X24 FMT2024001 FMT003610 Superior Essex Superior Essex 04-097-27 Fremont 1,370.00 1,769.84 1,769.94 12/31/2024 BFC 3x22 pair Cable FMT2024002 FMT003611 Superior Essex Superior Essex 04-058-17 Fremont 1,198.00 465.54 465.54 12/31/2024 BFC 3x22 pair Cable FMT2024003 FMT003612 Superior Essex Superior Essex 04-058-17 Fremont 2,260.00 1,033.01 1,033.01 12/31/2024 Fiber 2 Toneable FMT2024003 FMT003613 Coming Corning 002EU4-T4701 D20 Fremont 890.00 195.74 12/31/2024 Fiber 2 Toneable FMT2024003 FMT003613 Adtran Adtran 1287733F1 Fremont 2.00 2,114.49 2,310.23 12/31/2024 FIBER 12 UNIVERSAL DROP FMT2024003 FMT003614 Coming Coming 012EU4-T4700D20 Fremont 766.00 213.73 213.73 12/31/2024 BFC 6X22 FMT2024003 FMT003615 Superior Essex Superior Essex BW FY-6P22-R-2.5K-ESS Fremont 496.00 419.90 419.90 12/31/2024 BFC 25X24 FMT2024003 FMT003616 Superior Essex Superior Essex 04-097-27-111111111ff Fremont 472.00 679.16 679.16 12/31/2024 Fiber 2 Toneable FMT2024004 FMT003617 Corning Corning 002EU4-T4701D20 Fremont 24,144.00 5,310.02 12/31/2024 Fiber 2 Toneable FMT2024004 FMT003617 Comstock Comstock 11RU011CA012BK1 Fremont 1.00 332.58 5,642.60 12/31/2024 BFC 3x22 air Cable FMT2024004 FMT003618 Superior Essex Superior Essex 04-058-17 Fremont 5,094.00 1,977.97 1,977.97 12/31/2024 BFC 6X22 FMT2024004 FMT003619 Superior Essex Superior Essex BW FY-6P22-R-2.5K-ESS Fremont 1,858.00 1,432.97 1,432.97 12/31/2024 BFC 25X22 FMT2024004 FMT003620 Superior Essex Superior Essex 04-062-27 Fremont 522.00 1,008.44 1,008.44 12/31/2024 Fiber 96.BOC,SM FMT2024004 FMT003621 Corning Corning 096EU4-T4700D20 Fremont 440.00 298.14 298.14 12/31/2024 Fiber 2 Toneable FMT2024021 FMT003622 Corning Corning 002EU4-T4701D20 Fremont 81,462.00 17,916.02 12/31/2024 Fiber 2 Toneable FMT2024021 FMT003622 FieldSmart FieldSmart R-1 152-048F-1 152D-B- Fremont 1.00 17,800.46 35,716.48 12/31/2024 Adtran Com atable 1.25GB 2.5GB FMT2024047 FMT003623 Adtran Adtran 1442530G1-OEM Fremont 36.00 4,177.41 4,177.41 ■ 12/31/2024 FIBER 48,BOC,SM FMT2024021 FMT003624 Coming Coming 048EU4-T4700D20 Fremont 36,718.00 13,384.27 13,394.27 12/31/2024 Fiber 96.BOC,SM FMT2024021 FMT003625 Corning Corning 096EU4-T4700D20 Fremont 26,396.00 17,885.72 17,985.72 12/31/2024 FIBER 288,BOC,SM FMT2024021 FMT003626 Coming Coming 288EU4-T4700D20 Fremont 12,162.00 22,123.40 22,123.40 12/31/2024 FIBER 144,BOC,SM FMT2024021 FMT003627 Coming Coming 144EU4-T4700D20 Fremont 7,708.00 7,528.83 7,528.83 TOTAL QUALIFYING BROADBAND COSTS PLACED IN SERVICE IN 2024 387,202.65 5/20/2026 FMT 2024 CERTIFICATE OF SERVICE I HEREBY CERTIFY THAT I HAVE THIS 21st DAY OF MAY 2026, SERVED THE FOREGOING SUPPLEMENTAL COMMENTS OF THE COMMISSION STAFF, IN CASE NO. FRE-T-25-01, BY &MAILING A COPY THEREOF, TO THE FOLLOWING: STACEY MUELLER, CPA CHIEF FINANCIAL OFFICER BLACKFOOT COMMUNICATIONS, INC. 1221 NORTH RUSSELL STREET MISSOULA, MT 59808 E-MAIL: tax(a,blackfoot.com PATRICIA JORD.-kg, SECRETARY CERTIFICATE OF SERVICE