Case Background
On April 17,
2024, Boomerang Wireless d/b/a enTouch Wireless’s (Boomerang or Company) filed
a petition with the Florida Public Service Commission (FPSC or Commission)
seeking designation as an eligible telecommunications carrier (ETC) for the
sole purpose of providing Lifeline service to qualifying consumers throughout
Florida. Boomerang is a provider of commercial mobile radio service (CMRS) and
offers prepaid wireless telecommunications services to consumers as a reseller.
Specifically, Boomerang uses the network infrastructure and wireless
transmission facilities of T-Mobile USA, Inc. (T-Mobile) to operate as a Mobile
Virtual Network Operator. Boomerang is currently designated as an ETC providing
Lifeline service in 37 other states.
As a CMRS
provider, Boomerang is regulated as a common carrier pursuant to 47 U.S.C. §
153(11). Boomerang is an Iowa limited liability
company (LLC) authorized to do business as a foreign LLC in the state of
Florida. The company asserts in Florida it will be operating under its
authorized fictitious name “enTouch”. Boomerang is wholly owned by ViaOne
Acquisitions Company, LLC.
Boomerang
asserts that it meets all applicable federal requirement for designation as a
Lifeline only ETC in Florida pursuant to 47 U.S.C. § 214(e) and 47 C.F.R. §
54.201. Boomerang acknowledges and asserts that, if approved, it will comply
with Sections 364.10 and 364.105, Florida Statutes (F.S.), and Rule 25-4.0665,
Florida Administrative Code (F.A.C.), which govern Lifeline service and provide
for a transitional discount for customers who no longer qualify for Lifeline.
In addition to the federal rules and statutes discussed above, the Commission
has jurisdiction in this matter pursuant to Section 364.10, F.S.
Section
214(e)(2) of the Telecommunications Act of 1996 (the Act) provides state public
utility commissions with “primary responsibility” for the designation of ETCs.
The Commission initially exercised this authority to designate both wireline
and wireless carriers as ETCs. In 2011, the Florida Legislature removed the
FPSC authority to designate wireless ETC providers. However, the Florida Legislature amended
Section 364.10, F.S., in 2024 to specifically grant the Commission jurisdiction
to address wireless ETC petitions for Lifeline purposes only.
Discussion
of Issues
Issue 1:
Should Boomerang be granted an ETC designation to
provide Lifeline service throughout the State of Florida?
Recommendation:
Yes. Boomerang should be granted an ETC designation to
provide Lifeline service throughout the State of Florida. Staff also recommends
that if there is a future change of Company ownership, the new owners should be
required to file a petition with the Commission and demonstrate that it is in
the public interest to maintain the Company’s ETC designation. (Deas, Day, Mallow, Fogleman)
Staff Analysis:
ETC designation is necessary for telecommunications
companies to participate in the federal Lifeline program.
Section 364.10, F.S. allows the Commission to approve wireless Lifeline ETC
petitions for requesting carriers. Specifically, paragraphs 364.10(1)(a) and
(3)(a) F.S., provide the Commission with the authority to designate a CMRS
provider as an ETC for the limited purpose of providing Lifeline service.
Federal rules outline the requirements for ETC
designation. To
obtain ETC designation to provide Lifeline services, federal rules require that
carriers:
1)
Be a common carrier;
2)
Offer the services that are supported by the federal
universal support mechanisms either using its own facilities or a combination
of its own facilities and resale of another carrier’s services;
3)
Advertise the availability of its Lifeline service
through a media of general distribution;
4)
Provide voice grade access to the public switch network
or its functional equivalent;
5)
Offer minutes of use for local service at no additional
charge to end users;
6)
Provide access to the emergency services available by
local government or other public safety organizations;
7)
Provide Broadband Internet Access Service;
8)
Demonstrate that it is financially and technically
capable of providing the supported Lifeline service. and
9)
Not charge Lifeline customers a monthly
number-portability charge.
In addition, Florida law
requires the following for ETC designation:
1)
Offer a discounted transitional basic
telecommunications service.
2)
Participate in the Lifeline Promotion Process.
Forbearance of Facilities Requirements
Boomerang plans to offer all of
the supported services enumerated under Section 254(c) of the Act through its
wireless resale agreement with T-Mobile. Therefore, it sought forbearance of
the facilities requirement from the FCC. On August 8, 2012, the FCC approved
Boomerang’s compliance plan as a condition of obtaining forbearance from the
facilities requirement for the provision of Lifeline service. As part of its
compliance plan Boomerang committed to do the following:
1)
Provide the supported services throughout the carrier’s
designated areas;
2)
Remain functional in emergency situations;
3)
Comply with the Cellular Telecommunications and
Internet Association's Consumer Code for Wireless Service;
4)
Demonstrate that it is financially and technically
capable of providing the Lifeline service in compliance with federal rules; and
5)
Describe the terms and conditions of the broadband
Internet access service plans offered to Lifeline subscribers.
Because Boomerang will offer the
supported services and is compliant with the FCC requirements pursuant to 47
U.S.C. 214(e) and 47 C.F.R. 54.201, as well as the Florida specific
requirements, Boomerang is eligible for designation as a Lifeline only ETC in
Florida.
Financial,
Managerial, and Technical Capabilities
As noted in its petition, Boomerang has offered service
since 2008 and has not filed for any form of bankruptcy relief. The company has
operated as an ETC in 37 states and has not been subject to any enforcement
actions or ETC revocation proceedings. The Company has over 15 years of
technical and managerial experience, and it does not rely exclusively on
Lifeline reimbursements for its operating revenues. As Boomerang will be
providing resold wireless service, it will also rely upon the managerial and
technical expertise of its underlying carrier.
Public Interest
State commissions are required to find that ETC
designation is in the public interest.
Boomerang asserts granting its ETC designation will bring Lifeline eligible
consumers more choice in providers without creating an additional burden on the
federal high-cost programs. In Florida, consumers are currently limited to
three wireless Lifeline providers. These three companies represent 98 percent
of the Lifeline market in Florida.
However, the FPSC’s estimated Lifeline participation rate for the last two
years has hovered around 18 percent.
The increase in carriers servicing this market may increase participation
through additional marketing and would serve the public interest.
Conclusion
Staff has reviewed Boomerang’s petition for ETC
designation in Florida. Boomerang meets all the requirements for designation as
an ETC. Additionally, the Company has demonstrated sufficient financial,
managerial, and technical capabilities. Therefore, staff recommends Boomerang
should be granted an ETC designation throughout the State of Florida as
identified in Attachment A of this recommendation. Staff further recommends
that if there is a future change of Company ownership, the new owners should be
required to file a petition with the Commission to demonstrate that it is in
the public interest to maintain the Company’s ETC designation.
Issue 2:
Should this docket be closed?
Recommendation:
Yes. If no person whose substantial interests are
affected by the proposed agency action files a protest within 21 days of the
issuance of the Proposed Agency Action Order, this docket should be closed upon
the issuance of a consummating order. (Imig)
Staff Analysis:
At the conclusion of the protest period, if no
protest is filed, this docket should be closed upon the issuance of a
consummating order.
