6. Technical Qualifications

To be granted a CPCN for authority to provide local exchange and interexchange service, an applicant must make a reasonable showing of managerial and technical expertise in telecommunications or a related business.¹ Shasta supplied biographical information on its management in Section XIV to its application. Shasta has demonstrated that its management has sufficient expertise and training to operate as a telecommunications provider, except as noted below.

Shasta plans on retaining CCG Consulting LLC (CCG) to design and install its proposed system. CCG does not currently have a Certificate of Status as a Foreign Corporation from the California Secretary of State. In response to the Ruling, Shasta stated that if CCG conducts intrastate business in California, it will register with the Secretary of State. Shasta also stated that CCG may work through a wholly-owned subsidiary or separate entity to provide services to Shasta. Whichever entity provides technical or managerial services to Shasta within California must acquire a Certificate of Status from the California Secretary of State and Shasta must file a copy of such in this docket.

Shasta also verified that, except as noted below, no one associated with or employed by Shasta as an affiliate, officer, director, partner, or owner of more than 10% of Shasta was previously associated with a telecommunications carrier that filed for bankruptcy; was sanctioned by the Federal Communications Commission or any state regulatory agency for failure to comply with any regulatory statute, rule, or order; has been found either civilly or criminally liable by a court of appropriate jurisdiction for a violation of § 17000, et seq. of the California Business and Professions Code or for any actions which involved misrepresentations to consumers, nor is currently under investigation for similar violations.

Shasta disclosed that its affiliate, North County Communications Corporation, is the subject of an on-going proceeding before the FCC regarding alleged violations of law and FCC regulations due to its failure to timely file its annual certification of compliance with the FCC's customer proprietary network information rules. To date, this proceeding has not been resolved. The reinstatement of Shasta's CPCN is granted on the condition that North County Communications Corporation comply with all requirements of the FCC upon resolution of the FCC proceeding, and that Shasta notify the Commission of such compliance through the filing of a status report in this docket.

¹ D.95-12-056 at Appendix C, Rule 4.A.