Attachment Joint Application

This document pretains to ITC-T/C-20180430-00080 for Transfer of Control on a International Telecommunications filing.

IBFS_ITCTC2018043000080_1384700

                                Before the
                   FEDERAL COMMUNICATIONS COMMISSION
                                Washington, D.C. 20554


In the Matter of




                                                             N/ N/ N/ NN NN NNN NNN NNN
The Shareholders of
Respond Communications, Inc.
                    Transferors,

and                                                                                       WC Docket No. ___

Wabash Independent Networks, Inc.
                    Transferee,

For Consent pursuant to Section 214
of the Communications Act of 1934, as amended, to
Transfer Control of
Montrose Mutual Telephone Company and
Montrose Mutual Long Distance, Inc.


         JOINT APPLICATION FOR TRANSFER OF CONTROL
  OF DOMESTIC AND INTERNATIONAL SECTION 214 AUTHORIZATIONS

        The Shareholders of Respond Communications, Inc. ("Shareholders" or

"Transferors") and Wabash Independent Networks, Inc. ("WIN" or "Transferee") (and

jointly, "Applicants") hereby respectfully request authorization to transfer control of the

Section 214 authorizations held by the wholly—owned subsidiaries of Respond

Communications, Inc. ("Respond"), Montrose Mutual Telephone Company ("MMTC")

and Montrose Mutual Long Distance, Inc. ("MMLD"), (together, the "Montrose

Companies" or "Licensees") from Transferors to WIN. Applicants request processing of

these requests pursuant to the Commission‘s streamlined procedures.

        In support of this Application, the following information is provided:


      1.      Transfer of Control of International Section 214 Authorization Holder

      Applicant MMLD holds an international Section 214 authorization to provide

international services granted by the Commission under File No. ITC—214—19960227—

00019. In accordance with the requirements of Section 63.24(e) of the Commission‘s

Rules, Applicants submit the following information:

(1)        Name, address and telephone number of each applicant:

Transferors:

Shareholders of
Respond Communications, Inc.                                    (no FRN)
c/o Bruce Elliott
1204 S. 4t® St.
Springfield, IL 62703
Telephone: (217) 924—4310
E—mail: funnyfarm@mmtcnet.com

Licensees:

Montrose Mutual Telephone Company                               FRNs: 0003726890
                                                                      0002812493
                                                                      0020071650
Montrose Mutual Long Distance, Inc.                             FRN: 0003726916
102 N Main St,.
Dieterich, IL 62424
Telephone: (217) 925—5242
E—mail: geot@mmtcnet.com

Transferee:
Wabash Independent Networks, Inc.                               FRNs: 0004327219
210 S. Church St.                                                     0000053124
Louisville, Illinois 62858
Telephone: (618) 665—3311
E—mail: barryadair@wabash.net


(2)        The government, state, or territory under the laws of which each corporate
           or partnership applicant is organized.

           All Applicants and are organized under the laws of the State of Illinois.


(3)    The name, title, post office address, and telephone number of the officer or
contact point, such as legal counsel, to whom correspondence concerning the
application is to be addressed (and response to Question 10, International
Application).

For Transferors, Respond and the Montrose Companies:

Bruce Elliott
President
Montrose Mutual Telephone Company
102 N. Main St
Dieterich IL 62424
Telephone: (217) 925—5242
Email: funnyfarm@mmtenet.com

       With copies to:

Gary L. Smith
Loewenstein and Smith, PC
1204 S. 4th Street
Springfield, Illinois 62703
Telephone: (217) 789—0500
Email: lexsmith@lhoslaw.com

For Transferee:

Barry Adair
Executive Vice President/General Manager
Wabash Independent Networks, Inc.
210 S. Church St.
Louisville, Illinois 62858
Telephone: (618) 665—3311
E—mail: barryadair@wabash.net

       With a copy to:

Sylvia Lesse
Communications Advisory Counsel, LLC
5151 Wisconsin Avenue, NW, Suite 311
Washington, DC 20016
Phone: (202) 333—5273
Fax: (202) 318—3213
Email: sylvia@independent—tel.com


(4)    Statement as to whether the applicants have previously received authority
       under Section 214 of the Act (and response to Question 10, International
       Application).

Transferor:

       MMLD holds international Section 214 authority pursuant to IB File No. ITC—

214—19960227—00019. The Montrose Companies provide interstate service by virtue of

blanket domestic Section 214 authority, 47 C.F.R. § 63.01.

Transferee:

       WIN holds authorization to provide global switched resale authority under

Section 214 pursuant to File No. ITC—214—19960226—00089. In addition, WIN is the

assignee of Section 214 authority granted in File No. ITC—214—20161026—00289 (via

assignment of that authorization under File No. ITC—ASG—20161214—00359). WIN also

provides interstate service by virtue of blanket domestic Section 214 authority, 47 C.F.R.

§ 63.01.

(5)    The name, address, citizenship and principal business of any person or entity
       that directly or indirectly owns at least ten (10) percent of the equity of the
       applicant, and the percentage of equity owned by each of those entities (to the
       nearest one (1) percent) (and response to Question 11, International
       Application)

Transferors

       Respond Communications, Inc. ("Respond"), an Illinois corporation, holds 100%

of the shares of both MMTC and MMLD. Respond is widely—held, with no person or


entity holding ten percent or more of its shares. The two persons with the largest

holdings in Respond are:


Name and Address                Percentage              Citizenship     Business
George P. Tays                  8%                      USA             Communications
102 N Main St
Dieterich IL 62424

David Behras                    5%                      USA             Communications
102 N Main St
Dieterich IL 62424

Transferee

        WIN is wholly—owned by Wabash Telephone Cooperative, Inc. ("Wabash"), FRN

0004327201, an Illinois incumbent telephone company, organized as a cooperative

corporation. Wabash is owned by its members—subscribers; no single member—subscriber

owns or controls more than five percent (5%) of the equity interests of Wabash. The

address for both WIN and Wabash is 210 S. Church Street, Louisville, Illinois 62858.

The principal business of both WIN and Wabash is telecommunications.

(6)     Certification as to whether or not Transferee is, or is affiliated with, a foreign
        carrier.

        WIN certifies that neither it nor any affiliate or successor is or will be foreign

carriers, and that neither it nor any affiliate or successor is or will be affiliated with any

foreign carrier.

(7)     Certification as to whether or not Transferee seeks to provide international
        telecommunications services to any country for which certain conditions are
        true.

        WIN certifies that neither it nor any affiliate or successor will provide

international telecommunications to any destination country for which it or an affiliate or

successor (1) is a foreign carrier in that country; (2) controls a foreign carrier in that


country; (3) is owned more than 25% by or controlled by an entity that controls a foreign

carrier in that country.

(8)     Showing regarding provision of international telecommunications service to
        a country where the applicant is a foreign carrier or is affiliated with a
        foreign carrier.

N/A

(9)     Regulatory classification under Section 63.10 of the Rules for foreign—
        affiliated carrier.

N/A

(10)     Certification that applicant has not agreed to accept special concessions
        directly or indirectly from any foreign carrier.

        WIN and its affiliates and the Montrose Companies certify that they have not

agreed to accept special concessions directly or indirectly from any foreign carrier with

respect to any US international route where the foreign carrier possesses market power on

the foreign end of the route and will not enter into such agreements in the future.


(11)    Certification pursuant to §§1.2001 through 1.2003 of this chapter that no
        party to the application is subject to a denial of Federal benefits pursuant to
        section 5301 of the Anti—Drug Abuse Act of 1988. See 21 U.S.C. 853.

        Applicants hereby certify, pursuant to 47 C.F.R. §§ 1.2001—1.2003, that to the best

of their knowledge, information, and belief, no party to the application is subject to denial

of federal benefits pursuant to section 5301 of the Anti—Drug Abuse Act of 1988, 21

U.S.C. § 583.
(12)    Qualification for streamlined processing (and response to Question 20,
        International Application).

        This Application qualifies for streamlined processing under Sections 63.12(a) and

(b) of the Commission‘s rules. No party is a foreign carrier or affiliated with any foreign


carrier in any destination market. No party has an affiliation with a dominant US carrier

whose international switched or private line services the Applicants seek authority to

resell, and none is anticipated as a result of the public offering which likely will result in

widely held interests. No party to this application seeks authority to provide switched

basic services over private lines to a country for which the Commission has not

previously authorized the provision of switched services over private lines.

Authorization is sought to complete a transaction in such a manner that would continue

the current operations as a non—dominant carrier providing international services of one or

more unaffiliated US carriers.

            IL. Transfer of Control of Domestic Section 214 Authorization

        Pursuant to Section 63.04(b) of the Commission‘s Rules, Applicants submit the

following information:

(1)     Name, address and telephone number of each applicant:

        Please see Section I(1).

(2)     The government, state, or territory under the laws of which each corporate
        or partnership applicant is organized.

        Please see Section I(2).

(3)     The name, title, post office address, and telephone number of the officer or
        contact point, such as legal counsel, to whom correspondence concerning the
        application is to be addressed.

        Please see Section I(3).

(4)     The name, address, citizenship and principal business of any person or entity
        that directly or indirectly owns at least ten (10) percent of the equity of the
        applicant, and the percentage of equity owned by each of those entities (to the
        nearest one (1) percent).

        Please see Section I(5).


(5)    Certification pursuant to §§1.2001 through 1.2003 of this chapter that no
       party to the application is subject to a denial of Federal benefits pursuant to
       section 5301 of the Anti—Drug Abuse Act of 1988. See 21 U.S.C. 853.

       Please see Section I(11).

(6)    Description of the transaction (and response to Question 13, International
       Application)

       WIN proposes to acquire all of the stock of Respond through a reverse triangular

merger, wherein a single—purpose acquisition subsidiary is formed by WIN for the

purpose of merging with Respond, which will be the survivor of the merger transaction.

Specifically, WIN has formed an Illinois corporate subsidiary, Wabash Respond

Corporation, which will merge with Respond, in accordance with the corporate law of the

State of Illinois. Respond will be the surviving corporation and the existence of Wabash

Respond Corporation, upon consummation and effectiveness of the proposed transaction,

will terminate, leaving Respond as a wholly—owned subsidiary of WIN. After

consummation of this transaction, the Montrose Companies will continue to exist and

operate in their existing corporate formats and under existing corporate names, and

continue to provide service pursuant to then—existing rates, terms and conditions for the

near term. No carrier change charges will result from this transaction and no customer

service or billing contact information will change as a result of this transaction.

Furthermore, this transaction will not affect customers‘ preferred carrier freezes.

Accordingly, this transaction will be transparent to consumers. Moreover, WIN does not

seek any modification in the federal regulatory status of the Montrose Companies,

facilitating post—transaction administration and administrative efficiency.

       Charts depicting the pre— and post—transaction ownership structure of the

Montrose Companies are provided as Exhibit A.


       The proposed transaction will be reviewed by the Illinois Commerce

Commission.

(7)    Description of the geographic areas in which the transferor and transferee
       (and their affiliates) offer domestic telecommunications services, and what
       services are provided in each area

Licensees:

       MMTC, an Illinois corporation, is a rural incumbent local exchange company,

providing local exchange and exchange access service to four exchanges in Effingham,

Jasper and Cumberland Counties, Illinois. In addition, high—speed Internet access is

available in approximately 90% of the MMTC service territory.

       MMLD, also an Illinois corporation, provides domestic interexchange services in

and around MMTC‘s incumbent service territory to approximatelsl 866 subscribers.

        Respond is a holding company with no current operations.

Transferee:

       Applicant WIN, an Illinois corporation, is wholly—owned by Wabash Telephone

Cooperative, Inc. ("Wabash"), also an Illinois corporation. Wabash is a rural incumbent

local exchange company, providing exchange and exchange access service to nine rural

exchanges in Clay, Wayne, Effingham, Jasper, Marion, Edwards, Wabash and Richland

Counties, Illinois, serving approximately 146 business and 402 residential access lines.

       WIN provides competitive exchange and exchange access telecommunications

services adjacent to, but wholly outside, the telephone service area of Wabash, to

approximately 3,801 subscribers in and around Flora, Fairfield and Salem, Illinois. In

addition, WIN provides broadband, video and interexchange services to its own

customers, as well as Wabash customers. WIN serves approximately 5,350


interexchange customers, approximately 3,507 video customers, and approximately 7,024

broadband customers. The service area of Wabash abuts the service area of MMTC.

See attached map, Exhibit B.

(8)    Statement as to how the application fits into one or more of the presumptive
       streamlined categories in Section 63.03 of the Commission‘s Rules or why it
       is otherwise appropriate for streamlined treatment

       Although Wabash and MMTC‘s service areas border one another, Applicants

nonetheless submit that streamlined treatment is appropriate in this situation. Fulfilling all

requirements of Section 63.03(b)(2)(iii) of the Commission‘s Rules‘ except that related to

adjacent service areas, Applicants submit that in this transaction between small entities,

the interests of predictability, efficiency and transparency in the review process are not

diminished by the fact that the Applicants share a small border.

       Applicants, together with their affiliates, currently serve fewer than 2% of the

nation‘s aggregate subscriber lines. Upon consummation of the proposed transaction,

Transferee and its affiliates will continue to have a market share in the interstate,

interexchange market well less than ten percent (10%). Finally, to the extent Transferee

and its affiliates provide competitive telephone exchange services or competitive

exchange access services, upon consummation of the transaction, they will do so

exclusively in geographic areas served by a dominant local exchange carrier that is not a

party to the transaction.

        This proposed transaction simply does not raise any public interest issues

requiring an in—depth review because competitive service is currently available from two

national wireless service providers in the MMTC service area. Streamlined processing



4       47 C.F.R. § 63.03(b)(2)(iii).

                                              10


would further the public interest by reducing the burden on the business and legal

resources of both the buying and selling entities, without sacrificing meaningful

oversight. Accordingly, streamlined treatment is warranted.

(9)    Identification of all other Commission applications related to the same
       transaction

       In addition to this combined application for the transfer of control of the Domestic

and International Section 214 Authorizations held by the Montrose Companies,

applications for the transfer of control of MMRC‘s Microwave Industrial/Business Pool

license (WQBI285),and 3650—3700 MHz license (WQML998) will be filed with the

Commission to allow consummation of this transaction.

(10)   Statement of whether the applicants are requesting special consideration
       because either party to the transaction is facing imminent business failure

       Neither party to the transaction is facing imminent business failure. Therefore,

Applicants are not requesting special consideration for this reason.

(11)   Identification of any separately filed waiver requests being sought in
       conjunction with the transaction

       No separately filed waiver requests are being sought in conjunction with the

transaction.

(12)   Statement showing how grant of the application will serve the public interest,
       convenience and necessity, including any additional information that may be
       necessary to show the effect of the proposed transaction on competition in
       domestic markets

       Grant of this Application will serve the public interest, because it (1) will not

result in any violation of the Communications Act of 1934, as amended (the "Act"), or

any other applicable statutory provision; (2) will not result in a violation of the

Commission‘s Rules; (3) will not substantially frustrate or impair the Commission‘s



                                              11


enforcement of the Act or interfere with the objective of the Act or other statutes; and (4)

does promise to yield affirmative public interest benefits."

       The Application itself indicates that its grant will result in no violation of the Act,

Commission Rules or other statutory provisions. Moreover, the grant will not in any way

frustrate or impair the Commission‘s enforcement of the Act or interfere with the

objectives of the Act inasmuch as Wabash seeks no change of the current regulatory

treatment of the Montrose Companies.

       Finally, the proposed transaction will yield affirmative public interest benefits by

allowing for the continued provision of high—quality communications services to

customers of the Montrose Companies. Transferee and its affiliates are experienced in

the provision of rural telecommunications services, and will efficiently integrate

management of the Montrose Companies into ongoing operations. The proximity of

service areas will allow greater efficiencies in operations, and WIN intends to ensure that

customers enjoy a seamless transition in ownership, without disruption or interruptions in

service. The transaction will not adversely affect subscribers, competitors or the market

for the provision of telecommunications services.

       After consummation of the proposed transaction, the Montrose Companies will

continue to exist and operate under the Section 214 authorizations each currently holds,

and each of the Montrose Companies will, post—consummation, continue to provide the




2      See, e.g., SBC Communications, Inc. and BellSouth Corp. for Consent to Transfer
of Control or Assignment ofLicenses and Authorizations, Memorandum Opinion and
Order, 15 FCC Red. 25459, 25464 (Wireline Telecommunications Bureau and
International Bureau 2000).

                                              12


same services at the same rates for the near term. Accordingly, the proposed transaction

will be wholly transparent to current customers.

                                       Conclusion

        For the foregoing reasons, the Applicants respectfully request the expeditious

grant of this Application.

                                             Respectfully submitted,

The Shareholders of Respond                  Wabash Independent Networks, Inc.,
      Communications, Inc.,                      Transferee
      Transferor



                                                      siites]
By: 64*i éflU«‘F‘b CSL/)                      By:        /é/m [LfifiC,
    Gary Smith


Their Counsel                                Its Counsel

Loewenstein and Smith, PC                    Communications Advisory Counsel, LLC
1204 S. 4th Street                           5151 Wisconsin Avenue NW, Suite 311
Springfield, Illinois 62703                  Washington DC 20016
(217) 789—0500                               (202) 333—5273




Date:   April 30, 2018




                                            13


                             EXHIBIT A

Pre— and Post—Transaction Ownership Structure of the Montrose Companies


                                           EXHIBIT A—1

                             PRE—TRANSACTION OWNERSHIP




                                         Shareholders of
                                   Respond Communications, Inc.



                                               100%

                               Respond Communications, Inc.

                            100%                             100%


Montrose Mutual Telephone
                                                                    Montrose Mutual Long
      Company, Inc.
                                                                       Distance, Inc.


                                         EXHIBIT A—2

                             POST—TRANSACTION OWNERSHIP



                                   Cooperative Membership


                                             100%

                            Wabash Telephone Cooperative, Inc.


                                             100%


                             Wabash Independent Networks, Inc.



                                             100%

                               Respond Communications, Inc.

                            100%                            100%


Montrose Mutual Telephone
                                                                   Montrose Mutual Long
      Company, Inc.
                                                                       Distance, Inc.


EXHIBIT
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                       DECLARATION OF BRUCE ELLIOTT


      I, Bruce Elliott, President of Respond Communications, Inc., President of
Montrose Mutual Telephone Company, and President of Montrose Mutual Long
Distance, Inc. (collectively, "Montrose") do hereby declare under penalty of perjury that I
have read the foregoing "JOINT APPLICATION FOR TRANSFER OF CONTROL OF
DOMESTC AND INTERNATIONAL SECTION 214 AUTHORIZATIONS" and the
information contained therein regarding Montrose is true and accurate to the best of my
knowledge, information, and belief.



 4 —zs0—14"
       Date
                                                e MeaseLs
                                                     Bruce Elliott                  w


                        DECLARATION OF BARRY ADAIR


       I, Barry Adair, Executive Vice President of Wabash Independent Networks, Inc.
and General Manager of Wabash Telephone Cooperative, Inc. (collectively, "Wabash")
do hereby declare under penalty of perjury that I have read the foregoing "JOINT
APPLICATION FOR TRANSFER OF CONTROL OF DOMESTC AND
INTERNATIONAL SECTION 214 AUTHORIZATIONS" and the information
contained therein regarding Wabash is true and accurate to the best of my knowledge,
information, and belief.


        ,‘/'/    /                                   '/         /   //   P

      ‘Z" /30   /:Aj/                             .'//fl/‘)     [{f( l4 L
       Date                                       BarryAdair


                              CERTIFICATE OF SERVICE


      I, Sylvia Lesse, of Communications Advisory Counsel, LLC, do hereby verify
that on this 30th day of April, 2018, I caused to be sent via First Class US Mail, postage
prepaid, the foregoing "JOINT APPLICATION FOR TRANSFER OF CONTROL OF
DOMESTC AND INTERNATIONAL SECTION 214 AUTHORIZATIONS" to the
following:

The Hon. Bruce Rauner
Office of the Governor
207 State House
Springfield, Illinois 62706

US Department of Defense
Assistant Secretary for Network Information and Integration (NI)
6000 Defense Pentagon
Washington, DC 20301—6000

US Department of State
EB/CIP/SCA
Room 4826
2001 C Street, NW
Washington, DC 20520

*Jodie May Donavan
*Dennis Johnson
*Tracey Wilson—Parker
*Myrva Charles
Wireline Competition Bureau
Federal Communications Commission
445 12¢" Street SW
Washington DC 20554

*Sumita Makhoty
*David Krech
*Adrienne McNeil
International Bureau
Federal Communications Commission
445 12"" Street, SW
Washington, DC 20554

*Via e—mail



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Document Created: 2018-04-30 12:37:07
Document Modified: 2018-04-30 12:37:07

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