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PA Bulletin, Doc. No. 08-704

NOTICES

PENNSYLVANIA PUBLIC UTILITY COMMISSION

Default Order

[38 Pa.B. 1798]
[Saturday, April 12, 2008]

Public Meeting held
March 27, 2008

Commissioners Present:  Wendell F. Holland, Chairperson; James H. Cawley, Vice Chairperson; Tyrone J. Christy; Kim Pizzingrilli

Pennsylvania Public Utility Commission Law Bureau Prosecutory Staff v. New Rochelle Telephone Corp. C-20077900; A-311228; A-311228F0002

Default Order

   On June 29, 2007, the Law Bureau Prosecutory Staff (''Prosecutory Staff'') filed a formal complaint against New Rochelle Telephone Corp. (''New Rochelle'' or ''Respondent'') at Docket No. C-20077900. Respondent was issued a Certificate of Public Convenience by the Commission on July 12, 2003 at Docket Nos. A-311228 and A-311228F0002 to provide, respectively, local and long distance telecommunications services in the Commonwealth of Pennsylvania. Respondent provides services to approximately 1,650 customers in 16 counties.

   In the complaint, Prosecutory Staff alleged that Respondent failed to comply with the Commission's annual reporting requirements pursuant to 52 Pa. Code § 64.201, failed to pay its monthly Universal Service Fund (''USF'') assessments pursuant to 52 Pa. Code §§ 63.161--63.171 and 66 Pa.C.S. §§ 3001--3009, and violated 52 Pa. Code § 64.153(b)(1) by failing to respond within 30 days to 32 informal complaints that were filed with the Bureau of Consumer Services from January 1, 2004 up to and including May 6, 2006. The complaint requested that the Commission order Respondent to file its § 64.201 local exchange carrier (''LEC'') annual report for 2006, and pay its outstanding USF assessment total of $6,957.54 plus late fees. Furthermore, the Complaint also requested that the Commission impose a civil penalty of $1,000 for each violation alleged and for each day's continuance of such violation, and/or cancel the New Rochelle's certificate of public convenience.

   On October 4, 2007, the Commission entered a default order sustaining the complaint and ordering New Rochelle to file its LEC annual report for 2006, pay its outstanding USF assessment total of $16,234.26 plus late fees, agree to comply with § 64.153(b)(1) by responding to all informal complaints within 30 days and pay a civil penalty of $32,000 for the violations alleged in the complaint.

   Since the issuance of the default order, Respondent has filed its LEC annual report for 2006. In addition, Respondent also paid a substantial amount of its outstanding USF assessment totaling $12,215.11. However, $4,019.15 of the USF assessment plus late fees is still outstanding. Moreover, Respondent failed to pay the civil penalty of $32,000 for the violations established herein.

   Again, New Rochelle's failure to pay the civil penalty of $32,000 or formally seek rescission of the order is unacceptable and will not be tolerated. We indicated in the first default order that we will not hesitate to invoke our authority under the Public Utility Code to ensure timely compliance with our regulations and orders including the ordering of such other remedy as the Commission may deem appropriate. 66 Pa.C.S. §§ 504, 505, 506, and 3301. Based on Respondent's failure to pay $1,000 for each of the 32 violations of § 64.153(b)(1), or file any responsive pleading, the Commission shall seek cancellation of Respondent's certificate of public convenience,1 Therefore;

   It Is Ordered That:

   1.  Respondent is hereby required to pay its outstanding Universal Service Fund assessment total of $4,019.15 plus late fees, and agree to comply with § 64.153(b)(1) by responding to all informal complaints within 30 days, and pay a civil penalty of $32,000 for the violations established in the order entered October 4, 2007 at this docket.

   2.  The Secretary serve a copy of this default order upon the Respondent, the Office of Consumer Advocate, the Office of Small Business Advocate, the Office of Trial Staff, and the Attorney General's Bureau of Consumer Protection, and also cause a copy of this default order to be published in the Pennsylvania Bulletin with a 20-day comment period.

   3.  Respondent shall immediately cease acquiring any new customers and, within 10 days of the entry date of this order, shall provide a written notice to its existing customers informing them that the Commission intends to cancel its certificate of public convenience absent the filing of any adverse public comments within the 20-day time period set forth in Ordering Paragraph No. 2.

   4.  The Respondent shall file an abandonment plan as established in our Local Service Provider Abandonment Process regulations at 52 Pa. Code § 63.306, absent the filing of any adverse public comments within the 20-day time period set forth in Ordering Paragraph No. 2.

   5.  This default order shall become final without further order of this Commission and the certificates of public convenience held by New Rochelle Telephone Corp. at A-311228 and A-311228F0002 shall be cancelled, and the Company's name stricken from all active utility lists maintained by the Tariff and Annual Report Section of the Commission's Bureau of Fixed Utility Services and the Assessment Section of the Bureau of Administrative Services, absent the filing of a written response by the Respondent within the 20-day comment period as set forth in Ordering Paragraph No. 2.

JAMES J. MCNULTY,   
Secretary

[Pa.B. Doc. No. 08-704. Filed for public inspection April 11, 2008, 9:00 a.m.]

_______

1  Cancellation of the Respondent's certificates shall occur 55 days after publication in the Pennsylvania Bulletin. This period of time covers the 20 day comment period and contemplates the filing of an abandonment plan 35 days in advance of abandoning services pursuant to § 63.306(b), on day 20, and assuming no meritorious response is filed.



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