20030804_571.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER SMITH
COMMISSIONER HANSEN
GENE FADNESS
WORKING FILE
FROM:JOHN R. HAMMOND
DATE:July 30, 2003
RE:IN THE MATTER OF THE APPLICATION OF IDGH TECH TELEPHONES,
INC. FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY
TO PROVIDE LOCAL EXCHANGE SERVICES IN IDAHO. CASE NO.
GNR-03-
On January 8, 2003 , High Tech Telephones, Inc. (High Tech) filed an Application for a
Certificate of Public Convenience and Necessity (CPCN) to provide basic local exchange services in
the State ofIdaho. On July 8, 2003, the Commission issued a Notice of Application and a Notice of
Modified Procedure. Order No. 29283. Staff was the only party to submit written comments on
High Tech's Application.
BACKGROUND
High Tech states that it is a non facilities-based reseller oflocal exchange services, inter-
exchange private lines, access to long distance services and custom calling features. The Company
also states that it intends to be a facilities-based provider as well. High Tech intends to provide
service in Qwest Corporation s southern Idaho exchanges of Boise, Nampa, Meridian and Caldwell.
Currently, the Company does not have any interconnection agreements with other carriers but intends
to begin negotiating one as soon as it can obtain its CPCN. High Tech is organized and incorporated
in the State of Idaho and obtained a Certificate of Authority from Idaho s Secretary of State on
December 24, 2002. The Company maintains an office in Boise, Idaho.
STAFF REVIEW AND RECOMMENDATION
Staff reviewed the Application submitted by High Tech and believed that it provides
sufficient grounds upon which the Commission could grant the Company a CPCN. Staff also
believes the Company understands and will comply with the Commission s Rules and requirements.
In addition, Staffhas reviewed the Company s finances and believes that although the Company has
DECISION MEMORANDUM
a relatively small budget, it has demonstrated positive net income in 2002. Finally, Staff notes that
the Company would establish an escrow account with a local bank in the event that customer
deposits are required.
Based on Staffs review of High Tech's Application, Staffbelieves the Company s filing
satisfies all the requirements of the Commission s Rules and Procedural Order No. 26665. Staffalso
believes that the public interest would be served by the issuance of this Certificate: first, by
maintaining and enhancing competition in the local exchange market place in Idaho, and second, by
increasing customer choice. Accordingly, Staff recommends approval of the Application for a
Certificate of Public Convenience.
COMMISSION DECISION
Does the Commission wish to approve High Tech Telephone s Application for a
Certificate of Public Convenience and Necessity?
Staff: Doug Cooley
M:GNRTO30Uh
DECISION MEMORANDUM