2. Background
On September 16, 2011 California Broadband Cooperative, Inc. (CBC) filed an application for a certificate of public convenience and necessity (CPCN) to provide full facilities-based and resold local exchange telecommunication services in the service territories of Pacific Bell Telephone Company dba AT&T California (AT&T), Verizon California Inc. (Verizon), SureWest Telephone (SureWest), and Frontier Communications of California and Citizens Long Distance, and full facilities-based and resold intrastate interexchange telecommunication services within California. Included with the CBC application was a Motion For Leave To File Confidential Materials (Exhibits 4 thru 7) Under Seal pursuant to Pub. Util. Code § 583 and General Order 66-C.
On September 21, 2011 CBC filed a Motion to Strike Reference to Frontier Communications of the Westcoast, Inc. from the application because that company is a rate-regulated telecommunication carrier whose territory is not yet open to competition.
In its application, CBC seeks to provide full facilities-based and resold local exchange services and intrastate interexchange services to business customers and other certificated carriers throughout the state of California. CBC asserts that it will provide services through a combination of its own facilities and unbundled network elements from incumbent local exchange carriers (ILECs). Although it seeks statewide authority, CBC asserts that it initially intends to offer facilities-based local exchange services as part of its Digital 395 Middle Mile network, which will provide wholesale middle mile broadband and backhaul services in the Counties of Inyo, Mono, San Bernardino and Kern. CBC asserts that it anticipates that its middle mile services will be provided to wholesale customers and other prospective members, including government, education and medical agencies, telephone, wireless, cable, and Internet Service Providers.
CBC also seeks authority to resell the local exchange and interexchange services of other carriers to business customers throughout the state. CBC asserts that it intends to resell local exchange service and switched and dedicated interexchange carrier services. CBC seeks such statewide resale authority because it will permit CBC to serve those customers in the state that it would be unable to serve by means of its own facilities-based operations.
CBC has been awarded grants totaling $100,443,505 through California Advanced Services Fund (CASF) funding of $19,294,7172 and American Recovery and Reinvestment Act of 2009 (ARRA) funding of $81,148,7883. CBC will expend these funds to deploy a broadband telecommunications network within existing public rights of-way and on public/private property in the Counties of Inyo, Mono, San Bernardino and Kern. Such network will operate utilizing a newly deployed Voice over Internet Protocol Class 5 end office switch and a SONET-based passive optical network transmission platform. The system will also include facilities to provide switching, routing and transmission, network management and associated support systems, including backup power sources. Local distribution loops will be constructed using optical fiber cables and other telecommunications transmission media. Further, CBC believes that the system design will coincide with the specifications in the description that it provided with its CASF Application.
CBC asserts that the annual fixed and operating costs of its operations are expected to be well within the financial resources available to CBC through the procurement of financing and anticipated revenues. CBC asserts that the financing will be secured by revenues generated from operating the network and through an interest in the network facilities.
CBC's principal place of business is located at 1101 Nimitz Avenue, Vallejo, CA 94592.
2 See Resolution T-17232 (describing CBC's "Digital 395 project" for which it conditionally received a California Advanced Services Fund grant).
3 See NTIA Awarded Grants ( http://www2.ntia.doc.gov/grantee/california-broadbandcooperative-inc).
