4. Discussion
FONES4ALL has shown good cause to stay the provisions of D.00-10-028 that limit the recovery of lost revenues pending our consideration of FONES4ALL's petition to modify these provisions. Therefore, FONES4ALL's motion for a partial stay of D.00-10-028 is granted.
The partial stay of D.00-10-028 adopted herein applies only to FONES4ALL. The limit on the recovery of lost revenues established by D.00-10-028 shall continue to apply to all other utilities that recover lost revenues from the ULTS Fund.
If we ultimately deny FONES4ALL's petition to modify D.00-10-028, FONES4ALL will be required to reimburse the ULTS Fund for the amount of lost revenues that it recovers from the ULTS Fund in excess of that allowed by D.00-10-028, plus interest based on the three-month commercial paper rate published in Federal Reserve Statistical Release G-13. To ensure that FONES4ALL is able to reimburse the ULTS Fund, we shall require FONES4ALL to obtain a surety bond3 that contains the following terms and conditions:
_ A statement that the purpose of the surety bond is to guarantee payment to the ULTS Fund in the event that FONES4ALL's petition is denied in whole or part.
_ The amount of the bond equals the lost revenues that FONES4ALL recovers from the ULTS Fund in excess of that allowed by D.00-10-028, plus interest based on the 3-month commercial paper rate published in Federal Reserve Statistical Release G-13.
_ The ULTS Fund is named as the obligee.
_ The bond shall remain in effect until (1) FONES4ALL's petition to modify D.00-10-028 is granted, or (2) FONES4ALL reimburses the ULTS Fund as described previously.
_ A party to the bond can cancel the bond only after filing notice at the Commission's Docket Office, and serving the same notice on the assigned Administrative Law Judge, the assigned Commissioner, and the Director of the Commission's Telecommunications Division. The notice must be filed and served 90 days in advance of the cancellation.
_ The surety is licensed by the California Department of Insurance to provide the bond.
The stay of D.00-10-028 granted by this decision shall not become effective until FONES4ALL submits a compliance filing that (1) contains a copy of the surety bond required by this decision, and (2) demonstrates that the surety bond included in the compliance filing satisfies the requirements of this decision.4 The compliance filing shall be submitted no later than 30 days after the effective date of this decision. Failure by FONES4ALL to maintain the surety bond may be deemed good cause to (i) rescind the stay granted by this decision, and (ii) dismiss FONES4ALL's petition to modify D.00-10-028.
3 A surety bond is a three-party agreement among a Principal, Obligee, and Surety. Under the surety bond required by this decision, the Surety will provide a guarantee that the Surety will carry out FONES4ALL's (the Principal) obligation to repay the ULTS Fund (the Obligee) in the event that FONES4ALL's fails to perform. 4 The compliance filing should identify the exact text of the surety bond agreement that addresses each specific requirement of this decision.
