HomeMy WebLinkAbout20060410_1511.pdfDECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
CO MMISSI 0 NER SMITH
CO MMISSI 0 NER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:CECELIA A. GASSNER
DATE:MARCH 27, 2006
SUBJECT:CASE NO. DZI-06-1, APPLICATION OF DIGITAL
COMMUNICATIONS A.A. DIGI-COMM FOR APPROVAL OF A
CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY TO
PROVIDE LOCAL SERVICE IN IDAHO
On February 1 2006, Larry Cromwell filed an Application for a Certificate of Public
Convenience and Necessity with the Commission for his business, Digital Communication a.
Digi-Comm ("Digi-Comm ). In the Application, Digi-Comm proposes to provide dial-up and
high-speed Internet access, dial tone, long distance, multiple customer convenience services and
digital streaming television on a retail basis to business and residential consumers.The
Company anticipates also providing monitored security and mobile Internet services to its
customers. On March 6, 2006, the Commission solicited comments regarding Digi-Comm
Application. See Order No. 29982. No comments were received other than those filed by Staff.
THE APPLICATION
The Application indicates that Digi-Comm will offer telecommunications services
through its own facilities as well as resale and unbundled network element agreements with
Qwest. Digi-Comm has been providing Internet services to Idaho customers for a number of
years as Digi-Comm 256 , LLC.Digi-Comm 256, LLC notified the Commission it was
providing advance telecommunications services (high speed data lines) in 2004 , and in 2005
notified the Commission of the change to sole proprietorship.
Digital Communications a.k.a. Digi-Comm is a sole proprietorship with a principal
place of business in Emmett, Idaho. The Company has provided certain financial information
and the appropriate contact information for its registered agent for service of process within
DECISION MEMORANDUM
Idaho.According to the Application, the principals at Digi-Comm have considerable
telecommunications experience, especially in data and advanced communications. Digi-Comm
specifically indicated in its Application it will comply with all Commission Rules. It has
provided an illustrative tariff with its Application that demonstrates an understanding of tariff
requirements and processes.
STAFF COMMENTS
Staff has reviewed the information provided by Digi-Comm in its Application and
believes it satisfies the requirements of the Commission s Rule of Procedure 111 , IDAPA
31.01.01.111 , and Procedural Order No. 26665 issued November 7, 1996, which sets out the
necessary information to be included with an application for a certificate. Staff finds the
Company has sufficient technical expertise to provide the services identified in the Application.
The Application did not include significant financial information, which is not unusual for a new
company. In its Application, the Company claimed it had a funding commitment for $500 000
to finance initial activities. While Staff is concerned about the financial capability of the
Company, the identified financial resources, plus the Company s existing base of data customers
should be sufficient for initial operations, and allow the Company to slowly grow. Staff does not
recommend the imposition of any financial guarantees.
Staff believes that the Company possesses the requisite financial, managerial, and
technical qualifications necessary to operate as a provider of telecommunications services.
Therefore, Staff recommends Commission approval of the Application for a Certificate of Public
Convenience and Necessity.
COMMISSION DECISION
Does the Commission wish to approve the Application of Digital Communications
k.a. Digi-Comm and grant the Company a Certificate of Public Convenience and Necessity?
M:DZI-O6-cg2
DECISION MEMORANDUM