19910312.docx

Minutes of Decision Meeting
March 12, 1991 - 1:30 p.m.
In attendance:
Commissioners Joe Miller, Ralph Nelson and Marsha Smith; staff members Mike Gilmore, Eileen Benner, Birdelle Brown, Belinda Anderson, and Marjorie Maxwell.
Item 1. Case No. 31.N-R-90-1, Title 62 Rulemaking.
The commissioners decided to discuss rulemaking of Title 62, 31.N-R-90-1 because that was the one they all had time to adequately review.  Commissioners commended Mike Gilmore for his job well done on this monumental task.
Commissioner Miller asked why the break between (5) and (6) under 1.2.  Mike Gilmore said it is to give the eye a break.
Commissioner Miller wondered why "and services" was added, or needed, under 1.3, c.  Mike Gilmore thought it was added at staffs' suggestion.  Eileen Benner said she didn't think it made any difference.  Commissioners agreed "and services" should be dropped from definition of local exchange service.
Commissioner Miller asked Commissioner Smith to go ahead with questions she had.
Commissioner Smith said on page 7, 2.3, a. Price Lists or Tariffs, she thought "regulation under" the Telecommunications Act of 1988 should be changed by deleting "regulation under" and simply read "All telephone corporations subject to the Telecommunications Act of 1988..."  Agreed.
Next change she had would be on page 9 where it should be specified "decrease" in rates, the filing would be adequate notice.
Agreed.
She asked if ITAP and USF are stated separately somewhere in the tariff.  Belinda Anderson said she did not believe USF charges  were defined; one could not go to a specific place in the tariff to locate.
Commissioner Miller said he thinks that is okay.  Agreed.  He also said he would like to see a change under explanation at the bottom of page 8.  Commissioner Smith said we could just change "or" to "and/or."  Agreed.
Mike Gilmore said he thought a portion on page 11 under 3.2 regarding administrator of the USF would be more appropriate if located under 3.1.  That is, "Rules or order issued by the Commission concerning administration of the USF supersede previous rules, order or provisions of the contract."  Agreed.
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Discussion about (A), 3.3, page 12 on the percent surcharge.  Commissioners decided there needed to be an addition of a phrase saying "for all MTS/WATS companies using this option"...
Commissioner Miller asked Mike to check some of his verb tenses; Commissioner Smith said tenses should be in the imperative sense.  Mike Gilmore said he would go back through looking specifically for those tenses.
Commissioner Nelson asked about the calculations:  the difference between 4 and 12 is not 2 1/2.  Mike Gilmore said when all is considered it will work out.
Commissioner Miller said page 15 was an example of where verb tenses needed to be changed from "to be" to "shall be."  Also need to say that the "commission" calculates surcharge in one of two ways; if company chooses second option and calculates, those calculations are verified by USF administrator.
Commissioner Smith said under explanation the term "reimpose" should not be used, just say "impose."  
There was discussion regarding the last paragraph on page 16.  The amount of payment is the same figured either way.  Commissioner Smith asked if some note should be made that companies may choose to remit the amount without charging specific amounts to their customers--currently some of the smaller companies do that and we do not want it to seem that we are requiring them to charge customers.
Eileen Benner said the obligation is to remit the amount owed, but that amount doesn't have to be charged to customers.  Commissioner Miller thinks a note under explanation good idea; rule is fine.  Agreed.
Discussion was held on 3.6. and form of application for USF funds.  Commissioner Miller said rule doesn't seem to indicate that there is anything required.  Mike Gilmore said usually first time through a general rate case would be used.  Eileen Benner said the request may be considered without a general rate case--some small companies might qualify after an audit by us--the intent of this rule is to leave discretion with us.  Mike Gilmore just thought there is no provision to reduce charge.
Mike Gilmore said he will rewrite the 3.6, b. and float the rewrite by commissioners.
Agreed to remove "the" before Idaho Code 3.11, c, page 19.
Page 20, 3.12, b., commissioners wanted "interim report" changed to "compliance report."
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Commissioner Smith stated what she thought 3.13 was difficult to understand.  Aren't we saying that the number of customers subscribing to a service in each rate group must be reported?  Eileen Benner said we could require exchange by exchange reporting in those exchanges within a rate group who have different rates.    Commissioners thought Eileen's idea was good.
Page 22, 3.13, b. and c.  Commissioners wanted to change "require" to "reports also must include;" Page 23, 3.13, d. change "report" to "data;" page 23, 3.13; explanation section, 3rd paragraph, change "case reports must..." to "case data must..."
Commissioner Nelson expressed concern over time frame expressed under administrator's quarterly report; thought 7 days after close of quarter did not allow enough time for administrator to get bank statements.  Commissioners agreed to 15 days and also wanted to say "shall submit a report" rather than "submits a report," on page 24.
Page 25, 3.22, a. Commissioners wanted it to read "administrator shall calculate..." rather than "administrator calculates a .."
Commissioner Smith had question on page 28 regarding the term "budget" for administrator.  She wondered if there might not be other expenses we had not thought of.  Belinda Anderson asked where funds came from if we ended up having to sue a telephone company for non-payment, which is something we may face.  Short discussion and decided to say "administrator's annual expenses."
Commissioner Nelson to do necessary IRS filing.
Mike Gilmore said the commission should stay quite a ways away from this.  Agreed that Alyson should get herself a lawyer.  Commissioner Miller said any number of people could do it.  Thinks this can be done outside a rule.
Page 30, 4.1, first paragraph, first sentence, commissioners deleted "on those services."
Commissioner Smith made change to long sentence on page 31, 4.2, d.  She said to make two sentences out of first sentence.  Make sentence out of clause "on or before the time...by saying "The filing must be made on or before..."
Commissioner Smith said the time lines are fine with her, but we need to check with Alyson Anderson to see if they will work for her.
Commissioner Miller said USF Fund is non-profit and thinks should be set up as non-profit corporation.  Funds are being invested and will start earning income--need to obtain formal status as non-profit organization with corporate officers.  There are
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benefits to doing that; for instance a change in administrator, requires only a change of corporate officer.  Funds are not controlled by state agency and are not state money.  Might give administrator more flexibility to be considered an employee with a benefit package.  Commissioner Smith said fine with her; Commissioner Nelson agreed.
Beverly Barker arrived.
Belinda Anderson said she has requests for exemption on 3 cases involving jails--definitely direction pay phones are going.  Wants commissioners to look at these before addressing AOS rules.
Commissioner Miller said might merit dealing with jails separately.  Belinda Anderson said they are referred to as "institutions of confinement."  Commissioner Miller said we can get Belinda's memo and Mike Gilmore's memo before determining how we can deal with all this.  Belinda Anderson said there is no where else for the consumer to go except the rules.
Commissioner Smith thinks commission can go ahead with AOS and pay phone rules right away.
Commissioner Miller asked Mike Gilmore to what extent do we want to mirror federal rules and where do we want to stray from those rules?  Have you been following this?  Mike Gilmore said he would follow the progress of federal rules; he would like to mirror those rules as much as possible; however, Beverly Barker has several issues she wants to see addressed.  Commissioner Smith asked if they would need to wait for the federal rules before proceeding.  
Commissioner Miller said on Thursday, March 14 afternoon we would go back to Title 61 rules.  (After meeting, Thursday was changed to Friday, March 22, 1991 due to commissioners being out of town, etc.).
Mike Gilmore said the OOIDA hearing is still on for Thursday morning; Commissioner Miller asked if Mike Gilmore thought there would be any problem if some or all of the commissioners showed up for the hearing--Mike said he didn't think so, but he would check it out.  
DATED at Boise, Idaho this              day of April, 1991.

Dean J. Miller, President

Ralph Nelson, Commissioner

M/30Marsha H. Smith, Commissioner