4. Discussion
Applicants request authority under Pub. Util. Code §§ 851 through 854 for Welsh Carson to indirectly acquire control of DeltaCom through an equity financing transaction with DeltaCom's parent, ITC. Section 854(a) states, in relevant part, as follows:
No person or corporation...shall merge, acquire, or control...any public utility organized and doing business in this state without first securing authorization to do so from the commission...Any merger, acquisition, or control without that prior authorization shall be void and of no effect.
The Commission has broad discretion to determine if it is in the public interest to authorize a transaction pursuant to § 854(a).1 The primary standard used by the Commission to determine if a transaction should be authorized under § 854(a) is whether the transaction will adversely affect the public interest.2 The Commission may also consider if the transaction will serve the public interest.3 Where necessary and appropriate, the Commission may attach conditions to a transaction in order to protect and promote the public interest.4
For the following reasons, we conclude that it is reasonable to grant this application for authority under § 854(a) for Welsh Carson to acquire indirect control of DeltaCom. First, there will be no change to rates, services, or operations of DeltaCom as a result of the transaction. Thus, DeltaCom's customers and the public will not be harmed by the change in control of its parent company. Second, Applicants have provided information indicating that Welsh Carson's management has the telecommunications experience and technical, managerial, and financial qualifications necessary to exercise control over DeltaCom. Third, the public may benefit from the indirect transfer of control to the extent the transaction enhances DeltaCom's ability to maintain and expand its services and operations in California. Fourth, there is no opposition to this application. For these reasons, we see no reason to withhold authority for the transfer of control before us here.
1 D.95-10-045, 1995 Cal. PUC LEXIS 901, *18-19; and D.91-05-026, 40 CPUC 2d 159, 171. 2 D.00-06-079, p. 13; D.00-06-057, p. 7; D.00-05-047, p. 11 and Conclusion of Law (COL) 2; D.00-05-023, p. 18; D.99-03-019, p. 14; D.98-08-068, p. 22; D.98-05-022, p. 17; D.97-07-060, 73 CPUC 2d 601, 609; D.70829, 65 CPUC 637, 637; and D.65634, 61 CPUC 160, 161. 3 D.00-06-005, 2000 Cal. PUC LEXIS 281, *4; D.99-04-066, p. 5; D.99-02-036, p. 9; D.97-06-066, 72 CPUC 2d 851, 861; D.95-10-045, 62 CPUC 2d 160, 167; D.94-01-041, 53 CPUC 2d 116, 119; D.93-04-019, 48 CPUC 2d 601, 603; D.86-03-090, 1986 Cal. PUC LEXIS 198 *28 and COL 3; and D.8491, 19 CRC 199, 200. 4 D.95-10-045, 62 CPUC 2d 160, 167-68; D.94-01-041, 53 CPUC 2d116, 119; D.90-07-030, 1990 Cal. PUC LEXIS 612 *5; D.89-07-016, 32 CPUC 2d 233, 242; D.86-03-090, 1986 Cal. PUC LEXIS 198 *84-85 and COL 16; and D.3320, 10 CRC 56, 63.
