13. Assignment of Proceeding

Timothy Alan Simon is the assigned Commissioner and W. Anthony Colbert is the assigned ALJ in this proceeding.

Findings of Fact

1. Notice of the application appeared on the Daily Calendar on December 23, 2010. No protests have been filed. A hearing is not required.

2. ABi seeks authorization to provide limited facilities-based and resold competitive local exchange and interexchange telephone service in all the service territories of AT&T, Verizon, SureWest, and Frontier throughout California.

3. ABi has a minimum of $100,000 cash or cash equivalent that is reasonably liquid and readily available to meet its start-up expenses.

4. ABi has sufficient additional cash or cash equivalent to cover deposits that may be required by other telecommunications carriers in order to provide the proposed service.

5. ABi's management possesses sufficient experience, knowledge, and technical expertise to provide local exchange and interexchange services to the public.

6. No one associated with or employed by ABi as an affiliate, officer, director, partner, or owner of more than 10% of ABi was previously associated with a telecommunications carrier that filed for bankruptcy, or was sanctioned by the Federal Communications Commission or any state regulatory agency for failure to comply with any regulatory statute, rule, or order.

7. No one associated with or employed by it as an affiliate, officer, director, partner, or owner of more than 10% of ABi was previously associated with any telecommunications carrier that 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.

8. Except for the deficiencies identified in Attachment A to this decision, ABi's draft tariffs comply with the Commission's requirements.

9. ABi provided a map of the location of its proposed service territory.

10. ABi provided an estimate of its customer base for the first and fifth year of operation.

11. ABi does not propose to construct any facilities.

12. ABi has filed a motion for leave to file Exhibit E to the application as confidential material under seal.

Conclusions of Law

1. ABi should be granted a CPCN to provide limited facilities-based and resold competitive local exchange and interexchange telephone service in all the service territories of AT&T, Verizon, SureWest, and Frontier throughout California subject to the terms and conditions set forth in the Ordering Paragraphs.

2. ABi has the financial ability to provide the proposed service.

3. ABi, once granted a CPCN, should be subject to the applicable Commission rules, decisions, General Orders, and statutes that pertain to California public utilities.

4. Applicant should be granted nondominant carrier status, subject to Commission rules and regulations as detailed in D.85-01-008 and modified in D.85-07-081 and D.85-11-044.

5. ABi's initial tariff filing should correct the tariff deficiencies shown in Attachment A to this decision.

6. Since ABi does not propose to construct any facilities, it can be seen with certainty that granting it authority to provide local exchange service will not have a significant adverse effect upon the environment.

7. ABi's motion to file material under seal should be granted, material under seal should not be made accessible or disclosed to anyone other than the Commission and its staff, except upon further order or ruling of the Commission, the assigned Commissioner, the assigned Administrative Law Judge (ALJ), or the ALJ then designated as Law and Motion Judge.

ORDER

IT IS ORDERED that:

1. A certificate of public convenience and necessity is granted to American Broadband, Inc. to provide limited facilities-based and resold local exchange and interexchange telecommunications service in the service territories of Pacific Bell Telephone Company d/b/a AT&T California and Verizon California, Inc., in California, subject to the terms and conditions set forth below.

2. American Broadband, Inc. may not offer competitive local exchange, interexchange services, and switched access service until tariffs are filed with and authorized by this Commission, in accordance with General Order 96-B and has corrected for deficiencies set forth in Attachment A.

3. The corporate identification number assigned to American Broadband, Inc., U7210C, must be included in the caption of all original filings with this Commission, and in the titles of other pleadings filed in existing cases.

4. American Broadband, Inc. is a nondominant carrier, subject to the Commission rules and regulations as detailed in Decision (D.) 85-01-008 and modified in D.85-07-081 and D.85-11-044.

5. American Broadband, Inc. must file, in this docket, a written acceptance of the certificate granted in this proceeding within 30 days of the effective date of this order. This filing does not reopen the proceeding.

6. American Broadband, Inc. must annually pay the user fee and public purpose surcharges specified in Attachment B. Per the instructions in Exhibit E to Decision 00-10-028, the Combined California Public Utilities Commission Telephone Surcharge Transmittal Form must be submitted even if the amount due is $0. Under Public Utilities Code Section 405, carriers that are in default of reporting and submitting user fees for a period of 30 days or more will be subject to penalties including suspension or revocation of their authority to operate in California. Therefore, carriers must report user fees even if the amount due is $0.

7. Prior to initiating service, American Broadband, Inc. must provide the Commission's Consumer Affairs Branch with the name and address of its designated contact person(s) for purposes of resolving consumer complaints. This information must be updated if the name or telephone number changes, or at least annually.

8. American Broadband, Inc. must notify the Director of the Communications Division in writing of the date that local exchange service is first rendered to the public, no later than five days after service first begins.

9. American Broadband, Inc. must file an affiliate transaction report with the Director of the Communications Division, in compliance with Decision 93-02-019, on a calendar-year basis with the information contained in Attachment D.

10. American Broadband, Inc. must file an annual report with the Director of the Communications Division, in compliance with General Order 104-A, on a calendar-year basis with the information contained in Attachment C to this decision.

11. American Broadband, Inc. must file a tariff within 12 months of the effective date of this order, or its certificate of public convenience and necessity will be cancelled.

12. American Broadband, Inc. must comply with the Consumer Protection Rules contained in General Order 168.

13. In addition to all the requirements applicable to competitive local exchange carriers and interexchange carriers included in Attachments B, C, and D to this decision, American Broadband, Inc. is subject to all applicable Commission rules, decisions, General Orders, and statutes that pertain to California public utilities.

14. American Broadband, Inc.'s request to file materials under seal is granted, materials under seal shall not be made accessible or disclosed to anyone other than the Commission and its staff, except upon further order or ruling of the Commission, the assigned Commissioner, the assigned Administrative Law Judge (ALJ), or the ALJ then designated as Law and Motion Judge.

15. Application 10-12-011 is closed.

This order is effective today.

Dated April 14, 2011, at San Francisco California.

D1104018 Attachments A-D

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