20011204.min.doc

MINUTES OF DECISION MEETING
DECEMBER 4, 2001 - 1:30 P.M.

In attendance were Commissioners Paul Kjellander, Dennis Hansen, and Marsha Smith.

Commissioner Kjellander called the meeting to order. The first order of business was approval of items 1-9 on the CONSENT AGENDA. Commissioner Kjellander stated that if there were no objections, they would hold item 8. He asked if there were any comments or questions on any of the items.

Commissioner Smith stated that she had a comment with regard to item 1. She noted that it was mentioned in the body of the memo that the granting of a certificate would be subject to the rural exemption provided by state law, but it wasn't mentioned in the decision paragraph. She stated that she wanted to clarify that when an order is issued, the Commission recognize that exemption. With that clarification, she then moved for approval of agenda items 1-7 and 9. A vote was taken on the motion and it carried unanimously.

The next order of business was MATTERS IN PROGRESS:

Birdelle Brown's November 29, 2001 Decision Memorandum re: Idaho Telecommunications Service Assistance Program (ITSAP) Annual Report and Request for Surcharge Rate Increase.

Ms. Brown reviewed her Decision Memorandum. Commissioner Smith asked Alyson Anderson, the Administrator of the Idaho Telephone Service Assistance Program (ITSAP) why the number of recipients had increased 29%—i.e. was there a lower threshold requirement, more customers, better outreach, or a combination of these factors. Ms. Anderson replied that she wasn't sure what the reason was for the growth in the number of recipients, other than perhaps Health and Welfare is getting better at marketing it. Birdelle Brown stated that other factors could be increased awareness because the federal program has come up with a tribal lifeline program that brings the cost per month to qualified recipients down to $1, which increases the awareness and possibly the number of applications. She said another change has been that LIHEAP has changed its level of qualification to 150% of the poverty level instead of 133%, consequently exposing more people to ITSAP.

Commissioner Kjellander asked if there were any further comments or questions. There were none, and he moved for approval to increase the rate from $.05 to $.08 per line to become effective February 1, 2002. A vote was taken and the motion carried unanimously.

There were no further items on the agenda and Commissioner Kjellander adjourned the meeting.

DATED this _____ day of December, 2001.

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COMMISSION SECRETARY