HomeMy WebLinkAbout20061221_1768.pdfDECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER SMITH
COMMISSIONER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:CECELIA A. GASSNER
DATE:DECEMBER 18, 2006
SUBJECT:CACTUS INTERNATIONAL, INc.'APPLICATION FOR
CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY; CASE
NO. CZ8- T -06-
On November 7, 2006, Cactus International, Inc. ("Cactus ) filed an Application for a
Certificate of Public Convenience and Necessity (CPCN) to provide telephone service to
customers who collocate equipment in its facility, such as Direct Inward Dialed telephone lines to
Internet service providers. The Application states that it will provide these services through
interconnection agreements with Verizon Northwest Inc. and intends to be able to start providing
such services beginning January 1 2007.
Cactus has a Certificate of Incorporation showing it has been an Idaho corporation
since March 12, 1990. Its principal place of business is in Moscow, Idaho. The Company has
provided financial information and the appropriate contact information for its registered agent for
service of process within Idaho. The Company also filed a revised illustrative tariff on November
2006. Its proposed service territory will coincide with Verizon s Moscow, Idaho market area.
On November 22, 2006, the Commission issued a Notice of Modified Procedure and
solicited comments. Order No. 30184. Staff timely filed comments on December 13, 2006. No
other comments were submitted.
ST AFF COMMENTS -
- -. -
Staff reviewed the information provided by Cactus 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
DECISION MEMORANDUM
to be included with an application for a certificate. Cactus ' Application includes all of the
required information.
According to the Application, Cactus will offer telecommunications services using its
own network in the Moscow area currently served by Verizon. The Company will initially
provide phone service to customer s equipment that is collocated at their facility, especially
Direct Inward Dialed lines to Internet service providers or call centers. The Company also
expects to expand to voice over Internet protocol (VoIP) services at some time in the future. The
Company entered into an interconnection agreement with Verizon, which was approved by this
Commission in Order No. 29882 on October 4, 2005.
The Application included unaudited financial information for 2005 and up-to-date
information for 2006. Staff is satisfied that the Company has the technical, managerial and
financial strength to provide the services identified in the Application.
Staff noted that Cactus specifically stated in its Application that 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. The Company will not require advance
deposits by its customers and therefore did not submit an executed copy of an escrow account.
Staff recommended that the Application be approved, and that a Certificate of Public
Convenience and Necessity be granted to Cactus.
COMMISSION DECISION
Does the Commission approve the Application and desire to grant a Certificate of
Public Convenience and Necessity to Cactus?
Cecelia A.' assner
M:CZ8-O6-cg2
DECISION MEMORANDUM