2. Background
Application (A.) 02-05-010 of Comcast Business Communications (CBC) seeks approval of the change in control of CBC that will occur indirectly as a result of the placement of AT&T Broadband Phone Company of California (AT&T Broadband Phone) and CBC under a new parent, AT&T Comcast Corporation (AT&T Comcast). CBC serves approximately 75 customers in California.
A.02-05-011 of AT&T Broadband Phone seeks approval of the change of control of AT&T Broadband Phone that will occur indirectly as a result of the placement of AT&T Broadband Phone and CBC under a new parent AT&T Comcast. AT&T Broadband Phone serves approximately 145,000 customers in California.
Resolution ALJ 176-3088 of May 16, 2002 preliminarily determined that these are ratemaking proceedings for which no hearings would prove necessary.
On June 7, 2002, The Utility Reform Network (TURN) and the Consumer Federation of America (CFA) filed a joint protest to these applications, stating that the proposed financial transaction "constitutes a major change in the status of the company and raises significant public policy issues."1 The TURN-CFA protest states that although "the Commission is not required to conduct the public interest analysis contained in Sections 854(b) and 854(c) [of the Public Utilities Code], the Commission can (and should) still closely scrutinize the transaction using the elements from that public interest test."2
Qwest Communications Corporation (Qwest) filed a protest asking the Commission to order the applicants to serve testimony, permit discovery, and hold evidentiary hearings to resolve any disputed issues of fact. Qwest asks that the Commission "either deny the application, or grant the application subject to conditions to protect the public interest, including, but not limited to requiring applicants to provide equal access to competitors to provide cable telephone and cable modem services over applicants' cable network facilities."3
On June 17, 2002, AT&T Broadband Phone and CBC (Applicants), filing separately, responded to the protests of Qwest and TURN-CFA. The responses ask that the Commission summarily dismiss the protests. The responses argue that the protests raise issues not pertinent to the applications and that "the public interest requires rejection of the protests."4
On July 19, 2002, the Commission held a joint PHC to determine the next steps in these two proceedings. Discussions focused on the points made by parties in their protests and responses. Discussions also focused on the information needed to develop a scoping memo and a plan for managing a consolidated proceeding.
1 TURN-CFA Protest, June 7, 2002, p. 1.
2 Ibid., p. 9.
3 Qwest Protest June 7, 2002, p. 2.
4 AT&T Broadband Telephone, Response, June 17, 2002, p. 10; also CBC, Response, June 17, 2002, p. 10.
