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(1) (a) (i) 1) a)dK+b70t _5xŗ+tq12 102_5(_>7Default Paragraph Font5dK+b70t _5xŗ+tw3w4#PP##PP#2 Kv\FZ"i~'^:DTddDDDd4D48ddddddddddDDd||||DXp||dp||ppL8LTdDddXdX8dd88X8ddddLL8dXXXLP8PlD4lTDDD4DDDDDDdDd8|d|d|d|d|dX|X|X|X|XD8D8D8D8dddddddddpX|ddddpXd|d|d|d|dXXlXx|X|X|X|XdddldldD8DdDDDddllXp8pHpDp@p8dtdddd|L|L|LdLdLdLllpHp8pTddddddplpLpLpLdpDddLpDpdx4ddC,CWddddddddddddddddddddddddddddddddddddddddNHxxHhdLdddddd8@d<@d<DDppdDDxddxHxxHkddDpd<"dxtldxxdy.X80,ɒX\  P6G;P7jC:,ynXj\  P6G;XP 7nC:,\4  pG;W!@(#,h@\  P6G;hPH5!,),5\  P6G;,P\{,W80,%BZW*f9 xr G;X\5hC:,%rXh*f9 xr G;XX yO-> X-x` `  hh@hpp    X-  #&I\  P6Qu&P#Federal Communications Commission`}(#DA 982237 ă  yxdddyڝ   #C\  P6QɒP# v3 #C\  P6QɒP#Before the Federal Communications Commission  yO} Washington, D.C. 20554 #XP\  P6QynXP#у In the Matter ofR) R)  X-Petition of Saddleback Communications forR)hppCC Docket No. 9645  X-Designation as an EligibleR)hpp Telecommunications Carrier Pursuant toR) Section 214(e)(6) of the Communications ActR)  X -  MEMORANDUM OPINION AND ORDER T  X[ -v Adopted: November 4, 1998 Released: November 4, 1998 TT TPBy the Deputy Chief, Common Carrier Bureau:  X-x1.` ` In this Memorandum Opinion and Order, we grant Saddleback  X-Communications' (Saddleback) petition yOa-ԍ Petition of Saddleback Communications for Designation as an Eligible Telecommunications Carrier Pursuant to Section 214(e)(6) of the Communications Act, FCC 97419 (filed June 2, 1998) (Petition). for designation as an eligible telecommunications  X-carrier (ETC) pursuant to section 214(e)(6) of the Communications Act of 1934 (Act).Q  {O-ԍ 47 U.S.C.  151, et seq. Q  X-" BACKGROUND ĐTP  Xu-x2.` ` In the Telecommunications Act of 1996 (1996 Act),u yO-ԍ Pub. L. No. 104104, 110 Stat. 56. Hereinafter, all citations to the Act and the 1996 Act will be to the relevant section of the United States Code unless otherwise noted. Congress amended the Act by, among other things, adding section 254 to the Act. Section 254(e) provides that, after the effective date of the Commission's regulations implementing section 254, "only an eligible telecommunications carrier designated under section 214(e) shall be eligible to receive specific  X-Federal universal service support."@  yO!-ԍ 47 U.S.C.  254(e).@ Section 214(e)(1) requires that to be designated an eligible telecommunications carrier a common carrier must, throughout its service area: (1)offer all of the services designated for support by the Commission pursuant to section 254(c) "either using its own facilities or a combination of its own facilities and resale of"0*%%ZZl"  X-another carrier's services . . .;"F yOy-ԍ 47 U.S.C.  214(e)(1)(A).F and (2) "advertise the availability of such services and the  X-charges therefor through media of general distribution."FX yO-ԍ 47 U.S.C.  214(e)(1)(B).F Section 214(e)(2) states that, XxX` ` [a] State commission shall upon its own motion or upon request designate a common carrier that meets the requirements of paragraph (1) as an eligible telecommunications carrier for a  Xv-service area designated by the State commission.Cv yO -ԍ 47 U.S.C.  214(e)(2).C x` x  XH-On May 8, 1997, the Commission released the Universal Service Order implementing section  X3-254 of the Act.l  3x {O\-ԍ Federal-State Joint Board on Universal Service, CC Docket No. 96-45, Report and Order, 12 FCC Rcd  {O&-8776 (1997) (Universal Service Order), as corrected by Federal-State Joint Board on Universal Service, Errata,  {O-CC Docket No. 96-45, FCC 97-157 (rel. June 4, 1997), consolidated appeal pending sub nom Texas Office of  {O-Public Utility Counsel v. FCC and USA, No. 97-60421 (5th Cir. 1997); Federal-State Joint Board on Universal  {O-Service, Order on Reconsideration, CC Docket No. 96-45, 12 FCC Rcd 10095 (rel. July 10, 1997); Changes to the Board of Directors of the National Exchange Carrier Association Inc., Federal-State Joint Board on  {O-Universal Service, CC Docket Nos. 97-21, 96- 45, Report and Order and Second Order on Reconsideration, 12  {O-FCC Rcd 18400 (1997), as corrected by Federal-State Joint Board on Universal Service, Errata, CC Docket No.  {O-96-45, DA 97-2477 (rel. Dec. 3, 1997); Changes to the Board of Directors of the National Exchange Carrier  {Ot-Association Inc., Federal-State Joint Board on Universal Service, CC Docket Nos. 97-21, 96- 45, Order on Reconsideration, Second Report and Order and Further Notice of Proposed Rulemaking, 12 FCC Rcd 12444  {O-(1997); Federal-State Joint Board on Universal Service, CC Docket Nos. 96-45, 97-160, Third Report and Order,  {O-12 FCC Rcd 22485 (1997), as corrected by Federal-State Joint Board on Universal Service, Erratum, CC Docket  {O-Nos. 96-45 and 97-160 (rel. Oct. 15, 1997); Changes to the Board of Directors of the National Exchange Carrier  {Od-Association, Inc., Federal-State Joint Board on Universal Service, CC Docket No. 97-21, Report and Order and  {O.-Second Order on Reconsideration in CC Docket 97-21, 12 FCC Rcd 22423 (1997); Federal-State Joint Board on  {O-Universal Service, CC Docket No. 96-24, Third Order on Reconsideration, 12 FCC Rcd 22801 (1997);  {M-Federal-State Joint Board on Universal Service, Access Charge Reform, Price Cap Performance Review for  {O-Local Exchange Carriers, Transport Rate Structure and Pricing, End User Common Line Charge, CC Docket  {OT-Nos. 96-45, 96-262, 94-1, 91- 213, 95-72, Fourth Order on Reconsideration, 13 FCC Rcd 5318 (1997) (Fourth  {O-Reconsideration Order), as corrected by Federal-State Joint Board on Universal Service, Errata, CC Docket Nos.  {O-96-45, 96-262, 94-1, 91-213, 95-72, DA 98-158 (rel. Jan 29, 1998), appeal pending in Alenco Communications,  {O -Inc., et al. v. FCC and USA, No. 98-60213 (5th Cir. 1998).l  X -x3.` ` On December 1, 1997, Congress amended the Act to add subsection (e)(6) to  X -section 214 of the Act.a ` yO$-ԍ Pub. L. No. 105-125, 111 Stat. 2540 (1997) (Amendment).a New section 214(e)(6) requires the Commission, upon request, to"  0*%%ZZ " designate ETCs providing telephone exchange service and exchange access that are not subject  X-to the jurisdiction of a state commission.C  yOb-ԍ 47 U.S.C.  214(e)(6).C Section 214(e)(6) provides: XxX` ` In the case of a common carrier providing telephone exchange service and exchange access that is not subject to the jurisdiction of a State commission, the Commission shall upon request designate such a common carrier that meets the requirements of [section 214(e)(1)] as an eligible telecommunications carrier for  XH-a service area designated by the Commission.3 HX {OQ -ԍ Id.3x` The Commission established the procedures that it would use to implement the Amendment in  X -a public notice released on December 29, 1997.S ^  {O-ԍ Procedures for FCC Designation of Eligible Telecommunications Carriers Pursuant to Section 214(e)(6)  {Oh-of the Communications Act, Public Notice, FCC 97419 (rel. Dec. 29, 1997), 63 Fed. Reg. 162 (Jan. 5, 1998) at  {O2-2 (214(e)(6) Public Notice).S x  X -x4.` ` The Salt River PimaMaricopa Indian Community (Salt River Community) is a federally recognized Indian tribe that is selfgoverning. The Salt River Community is located in Arizona. Saddleback is a division of the Salt River Community. Saddleback is a common carrier providing telephone exchange service, and exchange access in the Salt River Community. On June 2, 1998, Saddleback requested that the Commission designate Saddleback as an ETC within the Salt River Community.  X4-x5.` ` The Commission issued a public notice seeking comments on the petition,  4 {O-ԍ Petition of Saddleback Communications for Designation as an Eligible Telecommunications Carrier,  {O-Public Notice, DA 981082 (Accounting Policy Division rel. June 9, 1998) (Public Notice).  and the National Telephone Cooperative Association (NTCA) responded with comments in support  X-thereof.l  yO#-ԍ Comments of the National Telephone Cooperative Association (filed June 30, 1998) (NTCA Comments).  X-  X-(DISCUSSION ă  X-x6.` ` We view section 214(e)(6) as calling for a two part analysis to determine whether to grant the Petition. We must find in the first part that Saddleback is not subject to the jurisdiction of the Arizona Corporation Commission (ACC). The second part requires an"| 0*%%ZZ2"  X-examination of Saddleback's compliance vel non with the ETC requirements of section 214(e)(1), for a service area designated by the Commission. For the reasons that follow, we designate Saddleback as an ETC for the Salt River Community.  X-x7.` ` In the absence of evidence to the contrary, we accept the petitioner's representation of its status as a carrier not subject to the jurisdiction of a state commission.  Xx-The 214(e)(6) Public Notice required carriers seeking designation from the Commission, pursuant to section 214(e)(6), to provide certification and a brief statement of the supporting  XL-facts demonstrating that the petitioner is not subject to the jurisdiction of a state commission.ML {O -ԍ 214(e)(6) Public Notice at 2.M  X5-In addition, the 214(e)(6) Public Notice directed petitioners to provide copies of their petitions  X -for designation to the appropriate state commissions.? Z {O+ -ԍ Id.? Saddleback's petition states that it is  X -"subject to the jurisdiction of the Salt River, a distinct federallyrecognized Indian tribe,"8  yO-ԍ Petition at 3.8 and  X -that "the ACC does not assert jurisdiction over Saddleback."4 | {O-ԍ  Id.4 To further support its claim, Saddleback attaches to its petition a letter from the ACC in which the ACC states that it has  X -no jurisdiction over the services provided by Saddleback on the reservation.C  yO-ԍ Petition at Attachment G.C Although the ACC was notified of Saddleback's petition, it did not submit comments in this proceeding. Moreover, no party challenges the petitioner's assertion that it is not subject to the jurisdiction of a state commission. Accordingly, we find that the petitioner is not subject to the jurisdiction of a state commission for purposes of section 214(e)(6), and, therefore, we may,  XQ-pursuant to our delegated authority,Q {O-ԍ See 214(e)(6) Public Notice and 47 C.F.R. 0.291. See also 47 C.F.R.  0.91. designate Saddleback as an ETC.  X#-x8.` ` Section 214(e)(1) requires that to be designated an ETC a common carrier must, throughout its service area: (1)offer all of the services designated for support by the Commission pursuant to section 254(c) "either using its own facilities or a combination of its  X-own facilities and resale of another carrier's services . . .;"F0  yO!-ԍ 47 U.S.C.  214(e)(1)(A).F and (2) "advertise the availability  X-of such services and the charges therefor through media of general distribution."F  yO8$-ԍ 47 U.S.C.  214(e)(1)(B).F The record"P 0*%%ZZ" documents Saddleback's provision of the services designated for support by the Commission, using a combination of its own facilities and resale of another carrier's services. It also establishes that Saddleback properly advertises its charges and the availability of its services. Therefore, based upon the record before us, we find that Saddleback meets the requirements of section 214(e)(1).  Xv-x9.` ` Section 214(e)(5) states that, "[i]n the case of an area served by a rural telephone company, service area' means such company's study area' unless and until the  XH-Commission and the States . . . establish a different definition."CH yO -ԍ 47 U.S.C.  214(e)(5).C In the 214(e)(6) Public  X3-Notice, the Commission directed petitioners that meet the definition of a rural telephone  X -company to identify their study areas.M X {O' -ԍ 214(e)(6) Public Notice at 3.M Saddleback asserts that it is a rural telephone company pursuant to section 3(37) of the Act, and identifies its study area as the Salt River  X -Community.8  yO-ԍ Petition at 5.8 Based upon these uncontested facts, we designate the Salt River Community as Saddleback's service area.  X -x10.` ` Pursuant to section 5301 of the AntiDrug Abuse Act of 1988, no applicant is eligible for any new, modified, or renewed instrument of authorization from the Commission, including authorizations issued pursuant to section 214 of the Act, unless the applicant certifies that neither it, nor any party to its application, is subject to a denial of federal  XO-benefits, including Commission benefits.Oz {Oz-ԍ 47 C.F.R.  1.2002(a); 21 U.S.C.  862. This provision does not apply to, inter alia, "Federal, State, or local governmental entities or subdivisions thereof." 47 C.F.R.  1.2002(c). This certification must also include the names of  X8-individuals specified by section 1.2002(b) of the Commission's rules.98 yO-ԍ Section 1.2002(b) provides that a certification pursuant to that section shall include: "(1) [i]f the applicant is an individual, that individual; (2) [i]f the applicant is a corporation or unincorporated association, all officers, directors, or persons holding 5% or more of the outstanding stock or shares (voting and/or nonvoting) of the petitioner; and (3) [i]f the applicant is a partnership, all nonlimited partners and any limited partners holding a 5% or more interest in the partnership." 47 C.F.R.  1.2002(b).9 Saddleback has provided certification consistent with the requirements of the AntiDrug Abuse Act of 1988. We, therefore, find that Saddleback has satisfied the requirements of the AntiDrug Abuse Act of 1988, as codified in sections 1.20011.2003 of the Commission's rules. " 0*%%ZZ"Ԍ X-  ORDERING CLAUSES ă  X-x11.` ` Accordingly, IT IS ORDERED that, pursuant to the authority contained in section 214(e)(6) of the Communications Act and section 0.291 of the Commission's rules, 47 U.S.C.  214(e)(6) and 47 C.F.R.  0.291, Saddleback Communications IS DESIGNATED AN ELIGIBLE TELECOMMUNICATIONS CARRIER. Such designation is effective immediately.  XH-x12.` ` IT IS FURTHER ORDERED that a copy of this Memorandum Opinion and Order SHALL BE transmitted to the Universal Service Administrative Company consistent with the Bureau's Public Notice, DA1892 (rel. Sept. 29, 1997). x` `  hh@James D. Schlichting x` `  hh@Deputy Chief, Common Carrier Bureau