20080929_2365.pdf

DECISION MEMORANDUM
TO:COMMISSIONER REDFORD
CO MMISSI 0 NER SMITH
COMMISSIONER KEMPTON
COMMISSION SECRETARY
LEGAL
WORKING FILE
FROM:CAROLEE HALL
DATE:SEPTEMBER 25, 2008
RE:FREMONT TELCOM DBA F AIRPOINT COMMUNICATIONS SEEKING
COMMISSION AUTHORITY TO OFFER SEASONAL SERVICE TO
CUSTOMERS WHO TEMPORARILY LEAVE THE SERVICE AREA FOR
AN EXTENDED PERIOD OF TIME. ADVICE NO. ID-08-04.
BACKGROUND
On September 19, 2008, Fremont Telecom dba FairPoint Communications ("Fremont"
filed Tariff Advice No. ID-08-04 requesting Commission authority to offer Seasonal Service to
customers who leave the Company s service area for an extended period of time, but wish to retain
their existing telephone service while away. The Company is asking for an effective date of
October 20, 2008.
DISCUSSION
The Company s new service offering is designed to provide a 50% discount to the flat rate
network access line rate. The maximum Seasonal Service Period discount will be 6 months. A
non-recurring Service Order charge applies to establish this service offering. The Company states
that many customers have requested this service because most are vacation home occupants in the
Island Park area and do not spend the winter months there. Fremont has estimated its annual local
service revenue loss to be $12 871. In a recent audit, it was determined that the Company was not
over earning. The Company has explicitly stated that it "will not seek any revenue shortfalls from
the Idaho Universal Service Fund (USF)"
DECISION MEMORANDUM SEPTEMBER 25 2008
ST AFF ANALYSIS AND COMMISSION DECISION
Staff has reviewed this filing and finds that this service is a responsive action by Fremont to
address its seasonal customers' demands and because this will be a discretionary service with no
revenue impact on the Idaho USF, Staff recommends approval. Does the Commission agree?
i/udmemolFremont Telecom Co. d.a FairPoint Communications ID-O8-
DECISION MEMORANDUM SEPTEMBER 25 , 2008