DOCKET UT-980035 Page 1 BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION In the Matter of the Application ) DOCKET UT-980943 of VoCall Communications Corp., ) for an Order Authorizing ) the Registration of Applicant ) AUTHORIZING as a Telecommunications Company ) REGISTRATION . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . .. . . . . . . ) On July 7, 1998, VoCall Communications Corp., (VoCall), filed an application for registration as a telecommunications company pursuant to RCW 80.36.350. Applicant proposes to offer resold direct dialed long distance, inbound 800/888, travel card, and debit card services to the public. VoCall is a New York corporation, headquartered in Mountainside, New Jersey. The corporation is wholly owned by Gary Frank and Bracha Frank. VoCall has provided information showing that it meets the requirements of RCW 80.36.350. The nature of the debit card service implies VoCall proposes to collect advance payments from customers. Pursuant to statutes and rules governing registration applications and advance payment proposals, VoCall has submitted a satisfactory bond agreement for protection of those advance payments. Initially, the bond agreement will be for $5,000 and will increase proportionally as customer base increases. If VoCall ceases operations, VoCall will provide the insurer and the Commission lists of outstanding account numbers and balances within 48 hours. VoCall will limit the maximum denomination of each debit card purchased by residential customers to not more than $50 and debit cards purchased by business customers to not more than $200. Within 15 days after December 31, 1998, and quarterly thereafter, VoCall will be required to submit to the Commission a report containing the following information specific to its state of Washington operations: (a) total outstanding debit card balance at the beginning of the reporting period (b) dollar amount of debit cards sold during the reporting period (c) depleted usage of debit cards during the reporting period and (d) total outstanding debit card balance at the end of the DOCKET NO. UT-980943 PAGE 1 reporting period. Statements shall continue to be filed within 15 days after each 3-month period thereafter until Commission staff informs applicant such reports are no longer required. Based upon this information, VoCall will adjust the amount of the bond to assure compliance with WAC 480-121-040. In addition, Commission staff may request current company financial information. After one year’s administration of the bond agreement, the reporting requirement may be modified to a semi-annual level if the company has maintained adequate levels in the bond agreement during the previous 12-month period. VoCall will state an unconditional money-back guarantee on the debit card or on supplemental material that will be provided at the time the debit card is purchased with a statement warning customers to safeguard their cards. If VoCall goes out of business, it will provide refund information on the company's 800 phone number for its customers. VoCall will provide a free call detail report to customers upon request. FINDINGS THE COMMISSION FINDS: 1. VoCall Communications Corp., filed an application pursuant to the provisions of RCW 80.36.350 and the rules and regulations of the Commission for an order approving its application for registration as a telecommunications company. 2. As to form, the application filed herein, as supplemented and amended, meets the requirements of RCW 80.36.350 and the rules and regulations of the Commission adopted pursuant thereto. 3. The registration of VoCall Communications Corp., as a telecommunications company is not inconsistent with the public interest. 4. In this proceeding, the Commission in no way endorses the financial viability of applicant nor the investment quality of any securities it may issue. O R D E R THE COMMISSION ORDERS: 1. After the effective date of this order and subject to the conditions hereof, the application of VoCall Communications Corp., filed with the Commission pursuant to the provisions of RCW 80.36.350 requesting an order authorizing registration as a telecommunications company to provide service to the public in this state is approved. 2. The proposed tariff as filed on July 7, 1998, and amended in Exhibit G, attached to the application, is satisfactory. Prior to supplying service to the public as a telecommunications company, VoCall Communications Corp., shall file an initial tariff with the Commission identical to the amended Exhibit G of the application. The tariff shall bear an effective date not less than 30 days subsequent to the date of receipt by the Commission. Failure to file an initial tariff within 30 days from the effective date of this Order and prior to supplying service to the public may result in the Commission taking action to cancel VoCall Communications, Corp.’s registration as a telecommunications company in the state of Washington. 3. VoCall Communications Corp., has submitted to the Commission a satisfactory bond agreement in the amount of $5,000. As part of the bond agreement and in the event the company ceases operations, VoCall Communications Corp., will within 48 hours provide to the bank and the Commission lists of outstanding account numbers and balances. 4. VoCall Communications Corp., will limit the amount of debit cards to be purchased of not more than $50 increments for residential customers and $200 for business customers. 5. Within 15 days after December 31, 1998, and quarterly thereafter, VoCall Communications Corp., will be required to submit to the Commission a report containing the following information specific to its State of Washington operations: (a) total outstanding debit card balance at the beginning of the reporting period (b) dollar amount of debit cards sold during the reporting period (c) depleted usage of debit cards during the reporting period and (d) total outstanding debit card balance at the end of the DOCKET NO. UT-980943 PAGE 1 reporting period. Statements shall continue to be filed within 15 days after each 3-month period thereafter until Commission staff informs applicant such reports are no longer required. Based upon this information, VoCall Communications Corp., will adjust the amount of the bond to assure compliance with WAC 480-121-040. In addition, Commission staff may request current company financial information. After one year’s administration of the bond agreement, the reporting requirement may be modified to a semi-annual level if the company has maintained adequate levels in the bond agreement during the previous 12-month period. 6. VoCall Communications Corp., shall state that there is a money-back guarantee on the debit cards and provide a statement warning customers to safeguard their cards. 7. In the event the company ceases operations, VoCall Communications Corp., will provide refund information on the company's 800 phone number for its customers for a minimum of six months. 8. VoCall Communications Corp., will provide a free call detail report to customers upon request. 9. Registration of VoCall Communications Corp., as a telecommunications company shall not be construed as an endorsement of financial viability nor of the investment quality of any securities it may issue. 10. As a telecommunications company providing service to the public in this state, VoCall Communications Corp., is subject to the jurisdiction of this Commission under the provisions of Title 80 RCW and all rules and regulations of the Commission adopted pursuant thereto. DATED at Olympia, Washington, and effective this 26th day of August, 1998. CAROLE J. WASHBURN, Secretary