DOCKET UT-980886 Page 1 BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION In the Matter of ) United States Telecommunications, ) DOCKET UT-980886 Inc., d/b/a Tel Com Plus ) for an Order Granting ) ORDER GRANTING Registration to ) REGISTRATION Provide Local Exchange ) AND Services and Authorizing ) AUTHORIZING THE Provision of Intraexchange ) PROVISION OF INTRAEXCHANGE Services. ) TELECOMMUNICATIONS ............................................................) SERVICES. On July 7, 1998, United States Telecommunications, Inc., d/b/a Tel Com Plus (Tel Com Plus) filed for authority to provide local exchange telecommunications services in Docket UT-980886. Tel Com Plus is an alternative telephone company primarily furnishing prepaid local dial tone through resale to individuals who have had their telephone disconnected. Tel Com Plus intends to provide an array of integrated telecommunications services primarily as a resale carrier, using the network switching and transport facilities of other facilities based carriers. Tel Com Plus requested extensions for additional time to complete its application for registration by letters to the Commission dated July 15, 1998, August 7, 1998, August 19, 1998, September 1, 1998, and September 17, 1998. Tel Com Plus is a non facilities based reseller of incumbent local exchange carrier services and contracts with other local exchange carriers for installation. Tel Com Plus is a Florida corporation headquartered in Tampa, Florida and is wholly owned by Quantum Law, Inc., Intercontinental Brokers, Inc., Giri Holdings, Inc., and Stephen D. Henderson. Tel Com Plus has established a toll free 800 number for access to customer service representatives. Tel Com Plus intends to serve the geographic regions currently served by incumbent local exchange companies and incorporates the boundares of the exchanges of U S WEST Communications, Inc. Tel Com Plus proposes to collect advance payments from customers in compliance with WAC 480-121-040. Pursuant to statutes and rules governing registration applications and advance payment proposals, Tel Com Plus has proposed a satisfactory bond arrangement for protection of those advanced payments. If Tel Com Plus ceases operations, Tel Com Plus will provide the insurer and the Commission lists of outstanding account numbers, names, and balances within 48 hours and provide refund information on the company’s toll free phone number for its customers. Tel Com Plus’s proposed tariff is satisfactory and will mirror incumbent local exchange company calling areas. Tel Com Plus will submit to the Commission on a quarterly basis, under Docket UT-980886, the following information: The number of Washington customers in total. The geographic location of those customers (either city or county). The number of Washington customers gained within the reporting period. The amount of advance payment dollars collected during the reporting period. Report the amount of advanced payments currently being held by the company. The number of reconnection fees paid during the reporting period. The amount of revenue generated from reconnection fees during the reporting period. The number of disconnections for nonpayment made during the reporting period. Any changes in either company ownership status and legal or regulatory representative contact for the Commission. The reporting requirements and bond agreement may be modified after one year’s administration by Commission Staff, if Staff determines appropriate company compliance during the previous twelve month period. Tel Com Plus will collect and remit to appropriate administrative agencies relevant excise taxes in support of various social programs, including enhanced 911, telecommunications relay services, and lifeline. FINDINGS THE COMMISSION FINDS: 1. United States Telecommunications, Inc., d/b/a Tel Com Plus is a public service company subject to the jurisdiction of this Commission under the provisions of chapter 80.36 R.C.W. 2. It appears, upon investigation, that the request for authority to provide local exchange telecommunications services should be approved. 3. 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 filing with the Commission of United States Telecommunications, Inc., d/b/a Tel Com Plus requesting authority for registration to provide intraexchange telecommunications services is hereby granted. 2. This order shall in no way affect the authority of this Commission over rates, service, accounts, valuations, estimates or determination of costs, or any matters whatsoever that may come before it, nor shall anything herein be construed as an acquiescence in any estimate or determination of costs, or any valuation of property claimed or asserted. 3. Prior to supplying local exchange telecommunications services to the public, United States Telecommunications, Inc., d/b/a Tel Com Plus shall file and receive permission and approval for an initial tariff from the Commission identical to the amended tariff filed in 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. Initial tariff must be filed with the Commission no later than thirty days from the date of this order. 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 United States Telecommunications, Inc., d/b/a Tel Com Plus’s registration as a telecommunications company in the state of Washington. 4. United States Telecommunications, Inc., d/b/a Tel Com Plus shall collect advanced payments and deposits in compliance with WAC 480-121-040. United States Telecommunications, Inc., d/b/a Tel Com Plus has submitted to the Commission an original satisfactory bond arrangement in the amount of $50,000 to protect customer monies. 5. In the event the company ceases operations, United States Telecommunications, Inc., d/b/a Tel Com Plus will within 48 hours provide to the insurer and the Commission lists of outstanding account numbers, names, and balances and will provide refund information on the company’s toll free phone number for its customers for a minimum of six months. 6. United States Telecommunications, Inc., d/b/a Tel Com Plus will submit to the Commission, commencing on December 31, 1998, the following quarterly financial data: The number of Washington customers in total. The geographic location of those customers (either city or county). The number of Washington customers gained within the reporting period. The amount of advance payment dollars collected during the reporting period. Report the amount of advanced payments currently being held by the company. The number of reconnection fees paid during the reporting period. The amount of revenue generated from reconnection fees during the reporting period. The number of disconnections for nonpayment made during the reporting period. Any changes in either company ownership status and legal or regulatory representative contact for the Commission. 7. In this proceeding, the Commission in no way endorses the financial viability of applicant nor the investment quality of any securities it may issue. 8. As a telecommunications company providing service to the public in this state, United States Telecommunications, Inc., d/b/a Tel Com Plus 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, including but not limited to Chapter 480-120-WAC. DATED at Olympia, Washington, and effective this 14th day of October, 1998. WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION CAROLE J. WASHBURN, Secretary