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DATE: |
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TO: |
Office of Commission Clerk (Cole) |
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FROM: |
Division of Competitive Markets & Enforcement (Isler) Office of the General Counsel (McKay) |
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RE: |
Docket No. 070431-TX – Request for cancellation of CLEC Certificate No. 7235 by Credit Loans, Inc. d/b/a Lone Star State Telephone Co., effective July 17, 2007. |
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AGENDA: |
09/11/07 – Regular Agenda – Proposed Agency Action – Interested Persons May Participate |
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COMMISSIONERS ASSIGNED: |
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PREHEARING OFFICER: |
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SPECIAL INSTRUCTIONS: |
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FILE NAME AND LOCATION: |
S:\PSC\CMP\WP\070431.RCM.DOC |
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Issue 1:
Should the Commission deny Credit Loans, Inc. d/b/a Lone Star State Telephone Co., a voluntary cancellation of its CLEC Certificate No. 7235 and cancel the certificate on the Commission’s own motion with an effective date of July 17, 2007?
Recommendation:
Yes, the company should be denied a voluntary cancellation as listed on Attachment A. (Isler, McKay)
Staff Analysis:
See attached proposed Order.
Issue 2:
Should this docket be closed?
Recommendation:
Staff recommends that the Order issued from this recommendation will become final and effective upon issuance of a Consummating Order, unless a person whose substantial interests are affected by the Commission’s decision files a protest that identifies with specificity the issues in dispute, in the form provided by Rule 28-106.201, Florida Administrative Code, within 21 days of the issuance of the Proposed Agency Action Order. As provided by Section 120.80(13)(b), Florida Statutes, any issues not in dispute should be deemed stipulated. If the company fails to timely file a protest and to request a Section 120.57, Florida Statutes, hearing, the facts should be deemed admitted and the right to a hearing waived. If the company pays the Regulatory Assessment Fee prior to the expiration of the Proposed Agency Action Order, then the cancellation of the company’s competitive local exchange telecommunications certificate will be voluntary. If the company fails to pay the Regulatory Assessment Fee prior to the expiration of the Proposed Agency Action Order, then the company’s competitive local exchange telecommunications certificate should be cancelled administratively, and the collection of the past due Regulatory Assessment Fee should be referred to the Florida Department of Financial Services for further collection efforts. If the company’s competitive local exchange telecommunications certificate is cancelled in accordance with the Commission’s Order from this recommendation, the company should be required to immediately cease and desist providing competitive local exchange telecommunications service in Florida. This docket should be closed administratively either upon receipt of the payment of the Regulatory Assessment Fee or upon cancellation of the company’s competitive local exchange telecommunications certificate. (McKay)
Staff Analysis:
Staff recommends that the Commission take action as set forth in the foregoing staff recommendation statement.
BEFORE THE PUBLIC SERVICE COMMISSION
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In re: Request for cancellation of CLEC Certificate No. 7235 by Credit Loans, Inc. d/b/a Lone Star State Telephone Co., effective July 17, 2007. |
DOCKET NO. 070431-TX ORDER NO. ISSUED: |
The following Commissioners participated in the disposition of this matter:
LISA POLAK EDGAR, Chairman
MATTHEW M. CARTER II
KATRINA J. MCMURRIAN
NANCY ARGENZIANO
NATHAN A. SKOP
NOTICE OF PROPOSED AGENCY ACTION ORDER
CANCELLING COMPETITIVE LOCAL EXCHANGE TELECOMMUNICATIONS COMPANY CERTIFICATE ON THE COMMISSION’S OWN MOTION
BY THE COMMISSION:
NOTICE is hereby given by the Florida Public Service Commission that the action discussed herein is preliminary in nature and will become final unless a person whose interests are substantially affected files a petition for a formal proceeding, pursuant to Rule 25-22.029, Florida Administrative Code.
Credit Loans, Inc. d/b/a Lone Star State Telephone Co. currently holds Certificate No. 7235, issued by this Commission on December 2, 1999, authorizing the provision of competitive local exchange telecommunications service (CLEC). Pursuant to Section 364.336, Florida Statutes, competitive local exchange telecommunications companies must pay a minimum annual Regulatory Assessment Fee if the certificate was active during any portion of the calendar year. Pursuant to Rule 25-4.0161(2), Florida Administrative Code, the form and applicable fees are due to the Florida Public Service Commission by January 30 of the subsequent year. Pursuant to Section 350.113(4), Florida Statutes, the Regulatory Assessment Fee return forms, for the period of January 1 through December 31, are mailed to entities at least 45 days prior to the date that payment of the fee is due. In addition, Rule 25-24.820, Florida Administrative Code, provides that a competitive local exchange telecommunications company requesting cancellation of its certificate must state its intent and date to pay the current Regulatory Assessment Fee (RAF).
On July 17, 2007, this Commission received a letter from the company’s president, Mr. Larry Miller, dated July 11, 2007, requesting cancellation of Credit Loans, Inc. d/b/a Lone Star State Telephone Co.’s CLEC certificate. Mr. Miller stated the company has no customers in Florida and does not intend to have any. On July 27, 2007, our staff faxed the company a note explaining that before a voluntary cancellation could be recommended, the 2007 RAF must be paid. A representative of the company called our staff and asked that a copy of the rule showing the new minimum RAF be e-mailed. On the same date, July 27, 2007, our staff e-mailed the company a copy of the rule. As of August 20, 2007, the 2007 RAF remains unpaid.
For the reasons described above, we deny Credit Loans, Inc. d/b/a Lone Star State Telephone Co.’s request for voluntary cancellation of its CLEC certificate. However, we find it appropriate to involuntarily cancel the competitive local exchange telecommunications certificate, effective July 17, 2007, on this Commission’s own motion for failure to comply with Rule 25-24.820, Florida Administrative Code, and pursuant to Section 364.336, Florida Statutes.
Since it appears Credit Loans, Inc. d/b/a Lone Star State Telephone Co. does not provide service in Florida and has requested cancellation of its certificate, there would be no purpose in requiring the company to pay a penalty. The cancellation of the CLEC certificate, in no way diminishes the entity’s obligation to pay the applicable RAF. If this Order is not protested, the company’s CLEC Certificate No. 7235 shall be cancelled, effective July 17, 2007. If the company pays the RAF prior to the expiration of the Proposed Agency Action Order, then the cancellation of the company’s competitive local exchange telecommunications certificate will be voluntary. If the company fails to protest the Order or pay the RAF prior to the expiration of the Proposed Agency Action Order, then the company’s competitive local exchange telecommunications certificate should be cancelled administratively, and the collection of the past due RAF should be referred to the Florida Department of Financial Services for further collection efforts. If the company’s competitive local exchange telecommunications certificate is cancelled in accordance with the Commission’s Order from this recommendation, the company should be required to immediately cease and desist providing competitive local exchange telecommunications service in Florida. This docket should be closed administratively either upon receipt of the payment of the RAF or upon cancellation of the company’s competitive local exchange telecommunications certificate. If Credit Loans, Inc. d/b/a Lone Star State Telephone Co.’s CLEC certificate is cancelled on this Commission’s own motion and it subsequently decides to reapply for a certificate as a competitive local exchange telecommunications company, Credit Loans, Inc. d/b/a Lone Star State Telephone Co. shall be required to first pay any outstanding fees, including accrued statutory late payment charges. We are vested with jurisdiction over these matters pursuant to Sections 350.113, 364.336, 364.337, and 364.285, Florida Statutes.
Based on the foregoing, it is
ORDERED that pursuant to Rule 25-24.820, Florida Administrative Code, Credit Loans, Inc. d/b/a Lone Star State Telephone Co.’s CLEC Certificate No. 7235 is hereby cancelled effective July 17, 2007, on this Commission’s own motion for failure to pay the 2007 Regulatory Assessment Fee, pursuant to Section 364.336, Florida Statutes, and Rule 25-4.0161, Florida Administrative Code. It is further
ORDERED that the cancellation of the certificate in no way diminishes Credit Loans, Inc. d/b/a Lone Star State Telephone Co.’s obligation to pay the applicable Regulatory Assessment Fee. If the company’s CLEC certificate is cancelled and the company subsequently decides to reapply for a certificate as a competitive local exchange telecommunications company, that company shall be required to first pay any outstanding fees, including accrued statutory late payment charges. It is further
ORDERED that if Credit Loans, Inc. d/b/a Lone Star State Telephone Co. pays the Regulatory Assessment Fee prior to the expiration of the Proposed Agency Action Order, the cancellation of the certificate shall be deemed voluntary. It is further
ORDERED that if Credit Loans, Inc. d/b/a Lone Star State Telephone Co. does not pay the Regulatory Assessment Fee prior to the expiration of the Proposed Agency Action Order, the collection of the Regulatory Assessment Fee shall be referred to the Florida Department of Financial Services for further collection efforts. It is further
ORDERED that if Credit Loans, Inc. d/b/a Lone Star State Telephone Co.’s certificate is cancelled in accordance with this Order, Credit Loans, Inc. d/b/a Lone Star State Telephone Co. shall immediately cease and desist providing competitive local exchange telecommunications service in Florida. It is further
ORDERED that the provisions of this Order, issued as proposed agency action, shall become final and effective upon the issuance of a Consummating Order unless an appropriate petition, in the form provided by Rule 28-106.201, Florida Administrative Code, is received by the Office of Commission Clerk, 2540 Shumard Oak Boulevard, Tallahassee, Florida 32399-0850, by the close of business on the date set forth in the "Notice of Further Proceedings" attached hereto. It is further
ORDERED that in the event this Order becomes final, this docket shall be closed upon receipt of the Regulatory Assessment Fee, or upon cancellation of the CLEC certificate.
By ORDER of the Florida Public Service Commission this day of , .
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ANN COLE Commission Clerk
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( S E A L )
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NOTICE OF FURTHER PROCEEDINGS OR JUDICIAL REVIEW
The Florida Public Service Commission is required by Section 120.569(1), Florida Statutes, to notify parties of any administrative hearing that is available under Section 120.57, Florida Statutes, as well as the procedures and time limits that apply. This notice should not be construed to mean all requests for an administrative hearing will be granted or result in the relief sought.
Mediation may be available on a case-by-case basis. If mediation is conducted, it does not affect a substantially interested person's right to a hearing.
The action proposed herein is preliminary in nature. Any person whose substantial interests are affected by the action proposed by this order may file a petition for a formal proceeding, in the form provided by Rule 28-106.201, Florida Administrative Code. This petition must be received by the Office of Commission Clerk, 2540 Shumard Oak Boulevard, Tallahassee , Florida 32399-0850, by the close of business on .
In the absence of such a petition, this order shall become final and effective upon the issuance of a Consummating Order.
Any objection or protest filed in this/these docket(s) before the issuance date of this order is considered abandoned unless it satisfies the foregoing conditions and is renewed within the specified protest period.