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HomeMy WebLinkAbout200407271st Response of Rural Telephone to Staff.pdf892 W MADISON AVE. GLENNS FERRY, IDAHO 83623 (208) 366-2614 . FAX (208) 366-2615 TEL E P H 0 NE e 0 M PAN Y WWWRTCI.NET '.. r't- ~ t. l. r.. I V ~' ! L ."......_""""""'~""""""'- July 21 2004 , .., . ; i. U Li L. i \..,.. UTiliTIES COr'1r'1ISSION Lisa Nordstrom, Deputy Attorney General Idaho Public Utilities Commission PO Box 83720 Boise, ill 83720-0074 RE:Case No. GNR-01- Dear Ms. Nordstrom: The following is Rural Telephone Company s response to the above referenced Staff questions. Request No.1: How are calls currently transported from the Shoup exchange to the Century Tel exchanges of North Fork and Salmon? Are there any plant/facility problems or limitations in this route? Does Rural Telephone plan to change or upgrade any of these facilities within the next five years?i) Calls are currently transported via T-I copper ii) There is a capacity facility problem iii) Rural Telephone plans to upgrade the facilities within the next five years to increase capacity. Responder:Michael J. Martell, OSP Manager 7/21/04 (208) 366-2614 Request No.Please describe any facility upgrades or new equipment that would be required to implement BAS on the routes listed in Request No.1. Itemize the type of equipment/facilities, labor required and the estimated cost. i) A new T -1 would be required to implement EAS for the route listed. ii) T-I $3 000 Software bum 5 000Labor 2 000 Facility 2 000 Misc. * 000TOTAL $1 7 000 est. *Engineering, permitting etc... Responder:Michael J. Martell, OSP Manager 7/21/04 (208) 366-2614 Request No.Please list all access revenue generated from calls between the routes described in Request No.1. Itemize access revenue according to originating and terminating common carrier line charges, switching, transport minutes, billing and collection, and any additional access charges Rural Telephone assesses. Please refer to the attached Toll Study report and RTC Exhibits #1-#3. Responder:Mark R. Martell, Administrative Manager 7/21/04 (208) 366-2614 Request No.Did Rural Telephone use a stimulation factor in its estimates for facilities upgrades? If so, what factor was used? Describe how this stimulation factor was derived. Rural Telephone did not per se apply a stimulation factor, as the estimates for an additional T -1 facilities upgrade should be sufficient for the EAS traffic volume to Salmon for the foreseeable future. Responder:Mark R. Martell, Administrative Manager 7/21/04 (208) 366-2614 Request No.Does Rural Telephone foresee any significant problems in providing the EAS described in Request No. I? Does Rural Telephone suggest any alternatives to EAS among the exchanges described in Request No. I.i) No. However, the timing would need to be coordinated as there are several projects in process and slated for completion within the next 18 months. Responder:Mark R. Martell, Administrative Manager 7/21/04 (208) 366-2614 Request No.Does Rural Telephone support the provision ofEAS for the routes described in Request No.1? Why or why not? As long as the provision ofEAS is revenue neutral to the Company, Rural supports EAS from Shoup to the Century Tel exchanges of Salmon and North Fork. Responder:Mark R. Martell, Administrative Manager 7/21/04 (208) 366-2614 Request No.Staffhas calling data from Shoup to the North Fork and Salmon exchanges during May 2001. Staff believes this calling data continues to reflect the number of customers and calling traffic for this case. Does Rural Telephone agree or should new calling data be gathered? Rural has supplied new calling data, a toll study report using July 2004 access billing minutes by carrier was provided in the comPany s response to Staff Request No. See above responseii) Responder:Mark R. Martell, Administrative Manager 7/21/04 (208) 366-2614 Req nest No.To your knowledge, do customers in the Shoup exchange have access to local internet service? Shoup customers do not have access to local Internet at this time. However Internet is available via a long distance number. Responder:Mark R. Martell, Administrative Manager 7/21/04 (208) 366-2614 Sincerely, Mark R. Martell Administrative Manager Cc:Doug Cooley Technical Staff De t e r m i n a t i o n o f P r o j e c t e d EA S C o s t s a n d R e v e n u e R e q u i r e m e n t f o r R u r a l T e l e p h o n e (B a s e d o n e s t i m a t e d c a p i t a l c o s t s i n p r o v i d i n g E A S f r o m t h e c o m p a n y s S h o u p E x c h a n g e t o C e n t u r y s S a l m o n a n d N o r t h F o r k E x c h a n g e s ) Li n e # Es t i m a t e d C a p i t a l C o s t s / E x p e n d i t u r e s : Ge n e r a l S u p p o r t - Po w e r L i n e ( A i C 2 1 1 0 ) Sw i t c h i n g E q u i p m e n t ( A i C 2 2 1 0 ) Ci r c u i t E q u i p m e n t ( A i C 2 2 3 0 ) C& W F E q u i p m e n t - F i b e r ( A i C 2 4 1 0 ) To t a l E s t i m a t e d C a p i t a l C o s t s To t a l $0 . $0 . $1 7 00 0 . $0 . $1 7 00 0 . Gr o s s e d U p R e t u r n - ( L n 6 x 7 . 86 3 % R O R ) (L n 6 x . 04 2 9 8 6 x 1 . 4 1 2 6 5 5 2 5 5 ) + ( L n 6 x . 03 0 6 2 1 ) 35 5 . An n u a l D e p r e c i a t i o n : Ge n e r a l S u p p o r t - Po w e r L i n e - 3 % Sw i t c h i n g E q u i p m e n t - 1 2 % Ci r c u i t E q u i p m e n t - 1 0 % C& W F E q u i p m e n t - Fi b e r - 5 % To t a l A n n u a l D e p r e c i a t i o n $0 . $0 . 70 0 . $0 . 70 0 . Ot h e r R e v e n u e s / E x p e n d i t u r e s : ( P r e l i m i n a r y E s t i m a t e ) Lo s t A c c e s s R e v e n u e ( S e e E x h i b i t # 3 ) 86 7 . Fe d e r a l S u p p o r t L o s t (S h i f t i n l i S t o S t a t e ) $0 . An n u a l C a s e C o s t s $0 . $5 , 56 7 . To t a l A n n u a l i z e d E A S C o s t s ( L n s 7 + 1 3 + 1 5 + 1 6 + 1 7 ) Le s s r e v e n u e i n c r e a s e f r o m c h a n g e i n L o c a l R a t e s (S e e E x h i b i t # 2 ) In c r e a s e i n I D US F ( L n 1 8 - 19 ) $1 , 4 8 2 . 4 8 $4 , 08 4 . Ex h i b i t # 1 * R e t u r n a p p r o v e d i n I P U C C a s e N o . R U R - O1 - Ex h i b i t # 2 ~e v e n u e ~m D a c t 2 ! . J n c r e a s e in R u r a l T e l e D h o n e s L o c a l S e r v i c e R a t e s (A ) (B ) (C ) (0 ) (E ) (F ) (G ) (H ) (I ) (J ) (K ) 12 / 3 1 / 2 0 0 4 12 / 3 1 / 2 0 0 4 To t a l Ra t e Ra t e Ra t e $$ / a n n u a l Ra t e Ra t e Ra t e $$ / a n n u a l $$ / a n n u a l Li n e s Be f o r e Af t e r In c r e a s e In c r e a s e Li n e s Be f o r e Af t e r In c r e a s e In c r e a s e In c r e a s e (C - (A x O ) x 1 2 (H - (F x l ) x 1 2 (E + J ) Ex c h a n g e s Ex c h # Sh o u p 39 4 $2 1 . $2 4 . $2 . 4 7 $1 , 24 4 . $4 0 . $4 2 . $1 . $2 3 7 . $1 , 4 8 2 . 4 8 To t a l s 24 4 . $2 3 7 . Exhibit #3 Rural Telephone Company- Traffic to Century Tel. exchanges Salmon & North Fork) from Shoup July 2004 Sample Period July 2004 July 2004 NPA NXX Access B&C Century Tel. Exchanges Minutes Msg Ln#Terminating Exchanges:Salmon/North Fork 208 700 918 Total Originating Minutes July 2004 700 918 SUBTOTAL:ORIG 700 918 TERM (T/O=1)700 TOTAL - July. 04 MOU/MSG 5,400 918 ANNUALIZED MOU/MSG 800 016 ANNUALIZED REVENUE LOST 875.$991.44 $3.867. RATE ORIG**04438 TERM**04438 B&C Transport 01719 01719 CCl Total **04438 Shoup REV REQEAS originating - JuILEx#3 9:49 AM TX S T 5 5 Ru r a l T e l e p h o n e Co . CA L L S T O S E L E C T E D C I T Y PA G E 7/ 2 3 / 0 4 8: 5 8 : 1 2 SA L M O N 0 7 / 1 5 / 0 4 OR I G I N A T I N G E X C H A N G E : SH O U P 39 4 TE R M I N A T I N G E X C H A N G E : SA L M O N BI L L I N G D A T E 7/ 2 2 / 2 0 0 4 CA L L NU M B E R O F NU M B E R BI L L E D PE A K A C C E S S OF F P E A K AC C E S S FR E Q U E N C Y LI N E S OF C A L L S RE V E N U E LI N E S MI N U T E S MI N U T E S 00 0 0 0 0 36 0 6 1- 1 00 09 8 3 12 . 2- 5 00 13 1 1 66 . 6- 1 0 00 11 4 7 10 8 . 10 + 83 5 00 29 5 0 51 2 . 00 0 0 00 0 0 00 00 0 0 00 0 0 00 00 0 0 00 0 0 16 - 3 0 00 0 0 . . 31 - 4 5 00 00 0 0 46 - 6 0 00 0 0 61 - 1 0 0 00 00 0 0 . 0 OV E R 1 0 0 00 00 0 0 TO T A L 91 8 69 9 . TX S T 5 6 7/ 2 3 / 0 4 8: 5 8 : 0 9 BI L L I N G D A T E CA L L NU M B E R O F FR E Q U E N C Y LI N E S 39 4 B U S 39 4 R E S Ru r a l T e l e p h o n e Co . TO T A L S SA L M O N 0 7 / 1 5 / 0 4 PA G E 7/ 2 2 / 2 0 0 4 NU M B E R BI L L E D BI L L E D PE A K A C C E S S OF C A L L S RE V E N U E MI N U T E S MI N U T E S 63 7 34 3 . 28 1 1, 3 5 5 . OF F P E A K MI N U T E S AC C E S S 00 0 0 0 0