WEBVTT

METADATA
Video-Count: 1
Video-1: https://azcc.granicus.com/MediaPlayer.php?view_id=3&clip_id=7102

Part: 1

1
00:00:00.080 --> 00:00:34.120
Don't we go ahead and let's go on the record. This is time set for the hearing on the application of Zio Network Services LLC, docket number TDash21362ADash25Dash0165 for approval of a CCNN to provide interstate telecommunications services in Arizona. The application also seeks a determination of the company's proposed services are competitive. I'm administrative law judge Brian Schneider. I'll be presiding over this matter today. And as I had you do off the record,

2
00:00:34.120 --> 00:01:14.735
on the record, I'll ask you to make appearances, for the division, please. Staff. Good morning, everyone. Mike Daley with the office of general counsel on behalf of staff. And to my left is the staff's witness, Taylor Shell. She's a public analyst number two. Good morning. Alright. And for the applicant? This is Catherine Hinfoji with Morgan Lewis, joined by my partner, Patricia Cave, and our witness, Lauren Lantero from SAO. Good morning. And I'm gonna do my best to call you counsel and not try to butcher

3
00:01:14.735 --> 00:01:51.895
your name. But if I do butcher it, I apologize because it scares me. Okay. With that, this would the time be this public hearing, so I would ask if anybody has any public comment. Don't see anyone in the audience. I don't see anyone in front of me on the screen. I don't see the phones lighting up, so I'm gonna say no. We have no public comment. That part of the hearing is completed. We can now move in to the rest of the hearing. And, any procedural issues or anything we need to address before give you the opportunity for opening statements?

4
00:01:52.275 --> 00:02:39.950
Mister Daley, anything from you? No. Counsel, anything from you? No procedural matters. Thanks, Joanna. Miss Cave, are you gonna be the one I'm gonna be kind of addressing? Yes, sir. Thank you. Okay. Much easier. I say that all in jest. I I I I really do. Okay. Perfect. I understand. Alright. Opening statements. Miss Staley, I don't have any would you like to make one? Yes. Staff is of the opinion that the application, is supported by the record application be granted. Perfect. Thank you. And I realize I may have gone in an opposite order that you may be accustomed to. Maybe it's the applicant, I think, normally goes first.

5
00:02:40.445 --> 00:03:19.425
I apologize. So if I'm out of the norm and you prefer me to do this differently, I I really I'm flexible in that way. But anyway, miss Cave, any opening statements on your behalf? Just a brief statement, your honor. On behalf of Zayo Network Services LLC, we'd like to thank you for holding this hearing today. As set forth in the application as amended, applicant is requesting authority to provide facilities based and resold local exchange and long distance services as well as private line wholesale telecommunications and switched access services in Arizona. The applicant intends to primarily provide point to point telecommunication services such as private line,

6
00:03:19.850 --> 00:03:56.410
Ethernet, wavelength, and other, similar high bandwidth, circuits for high speed data transport as well as switched, voice services and dial tone. As described in the application, the applicant intends to, utilize primarily its own facilities and provide services on both the resold and facilities basis. Its own facilities will be assigned to it from its current parent Zeo Group LLC. And as demonstrated in the application and data request responses, the applicant is managerially, technically, and financially qualified to provide intrastate services in Arizona,

7
00:03:56.470 --> 00:04:43.055
and we respectfully request the commission grant the requested certificate as soon as practicable. Thank you. Alright. Well, I'll keep it with you and ask you to call your first witness, and we'll get in the right order of things. Thank you, your honor. The company calls Lauren Lantero as its witness. Perfect. Miss Lantero, I'm gonna ask that you be sworn in at this moment. So, I'm gonna have the court reporter take it away. Raise your right hand. Or affirm that the testimony you're about to give testimony you're about to give Oh, you cut out there, but I do. Okay. Perfect. I I'm comfortable with that, so let's,

8
00:04:43.935 --> 00:05:23.800
let's proceed if you will. Thank you. Alright. Thank you, miss Lantero. Would you please state your full name and business address for the record? My name is Lauren Lantero, and my business address is 1401 Wyankouffe Street, Suite 500, Denver, Colorado 80202. Thank you. What are your title and current job responsibilities? I am chief lock chief legal officer and corporate secretary for Zayo. And my current responsibilities, I oversee all global legal regulatory, and compliance functions for Zayo. Could you tell us a little bit about your background and experience?

9
00:05:24.900 --> 00:06:00.745
I joined Zayo in 2018, and have held a variety of positions within Zayo since that time. Prior to Zayo, I was in private practice in Denver. We've marked five exhibits today, exhibits a one, a two, a three, a four, and a five. Exhibit a one is Zayo Network service Services LLC's application. Do you have that exhibit with you? I do. Exhibit a two is applicant's responses to the commission's first set of data requests. Do you have that exhibit with you? Yes.

10
00:06:00.745 --> 00:06:41.540
I do. Exhibit a three is applicant's first amendment to the application. Do you have that exhibit with you? Yes. I do. Exhibit a four is applicate responses to the commission's second set of data request. Do you have that exhibit with you? Yes. And finally, exhibit a five is applicant's second amendment to the application. Do you have that exhibit with you today? Yes. Do you have any material updates to these exhibits? The only update is that since we submitted our application, we are now authorized and registered to provide interstate or intrastate telecommunication services in,

11
00:06:41.780 --> 00:07:22.645
the District Of Columbia and all US states except Arizona and Alaska. And did you apply for authority to provide intrastate services in Alaska? No. And with that update, do you adopt exhibits a one, a two, a three, a four, and a five as part of your direct testimony today? I do. Your honor, at this time, I'd like to admit ask that exhibits a one, a two, a three, a four, and a five be admitted into the record. Objection. Exhibits a one, a two, a three, a four, and a five are admitted.

12
00:07:23.985 --> 00:08:03.365
Thank you, your honor. Miss Lantero, have you had a chance to review the staff report that was docketed in the proceeding and has been marked as exhibit s as in Sam, one? Yes. Within the staff report, have you reviewed the staff's recommended conditions to granting of the certificate? Yes. And do you agree with the staff recommendation, and is the company willing to abide by the conditions requested by staff? Yes. And do you agree with staff's recommendation to classify the applicant, Zayo Network Services LLC's services as competitive in Arizona?

13
00:08:04.065 --> 00:09:35.680
Yes. Your honor, miss Lantero is available for cross examination. Perfect. Let's see if there is any. Mister Daley. Good morning, miss Lantero. Do you can you go to the end of, staff's proposed exhibit s one if you have that in front of you? And let me know if you have that document. I do. Let me pull it up real quick. Sorry. It's taking me a minute to pull it up. My computer is being slow. Absolutely. Not a problem. Actually, apologies. I don't think I have that one in front of me, actually. It's not in the exhibit folder, Patricia, that was sent over.

14
00:09:37.580 --> 00:10:29.315
I believe I just sent it to you. Okay. Let me pull that up. Hasn't come through yet. I don't know if you wanna just go ahead and ask your question while we wait for it. But That that makes sense. But let me know when you if you if and when you get exhibit s one in front of you. Our firewall can be a little slow sometimes, so, it might take a minute. But, yes, please go ahead. But with respect to the staff report, which is our proposed exhibit S-one, you have reviewed that thoroughly, both by yourself and your internal legal team and company representatives? Yes. Okay.

15
00:10:31.340 --> 00:11:13.555
You testified earlier that you the company, Zayo, agrees with staff's recommendations contained, I believe, pages twelve and thirteen at the end of S-one. At the last page, when it recommends that your services be classified as competitive, I mean, top of page 14, there's four compliance items. And so, somewhat similar to the staff's recommendations, but specifically as to the compliance items, do you see that Zayo would have any problem with the compliance recommendations one through

16
00:11:13.555 --> 00:12:02.525
four? Okay. We lost miss Linda. And I Go ahead. I'm sorry. We don't see you anymore, but please answer the question. I did not mean to interrupt. Oh, that's alright. Yes. And I have it in front of me now. And, yes, there's, we can comply with those, and I see no issue. Your honor, I have nothing further, and the witness, I suppose, would be available for rec I mean, for regret. Perfect. Thank you very much. I I don't think I have any questions. My gut tells me it's really trivial and doesn't matter. And I'm gonna ask it anyway just for for fun.

17
00:12:03.065 --> 00:12:40.195
When you say that, you just wanted to amend A1 through A5 to talk about District Of Columbia and Alaska, is there anywhere specific to to to point to that says this is being amended? This is it a is it a three, a four? Again, if it doesn't matter and it's just in the spirit of just everybody knowing that because of your testimony, I'm I'm comfortable with that. But if if if there was somewhere to cite that says, hey, we're amending this statement to include or exclude those

18
00:12:42.175 --> 00:13:20.550
states or district, Is that pertinent for me to know? And if it is, do you have that information? I believe it's just a general advisement that we now have authorizations in all states, where we, you know, operate. Okay. Perfect. Will operate. Then, yeah, it's much ado about nothing, and that's appreciated to know. Okay. Then I have no questions. Miss Cave, if you have any follow-up, based on my stupid question and counsel's question. I just have one. Just for the record, Your Honor, this staff has no objection to like the verbal amendment, which was made. It's very clear,

19
00:13:20.550 --> 00:14:09.730
and I understood it. So I appreciate the, the clarification from your cell. Perfect. Alright, miss Cave. Again, you have a chance to take the mic. No additional questions, your honor. Thank you very much. Perfect. Thank you. Do you have any other witnesses to call? No, your honor. Perfect. Alright, mister Dale. I'll turn it to you. The staff calls to the witness stand, Taylor Shell. Perfect. Why don't you come on and make yourself comfortable? That's easiest. Your honor, permission to approach the bench and the witness? Absolutely. K. I do have copies, but I'll take whatever you have. I don't need it.

20
00:14:13.790 --> 00:14:58.265
Perfect. Thank you. Perfect. I glad you got comfortable, but I am gonna ask you to be sworn in. Oh. Court reporter. I do. Perfect. Make sure that light is on. Get yourself comfortable, and take it away, mister Daley. Good morning, Michelle. Could you please state your full name for the record? Hi. Good morning. My name is Taylor Shell. Who is your employer, and what is your business address? I am employed by the Arizona Corporation Commission at 1200 West Wash Washington Street. Approximately, how long have you been employed by the commission?

21
00:14:59.170 --> 00:15:40.000
A little over three years now. K. And apart from the instant application that we're here for today, have you ever worked on or consulted, consulted with respect to other telecom CC and then applications? Yes. I have. Approximately how many? I wanna say this is number five. Okay. Thank you. As part of your analyst responsibilities, were you assigned to analyze the Zayo network services CCNN application and related amendments? Yes. I was. K. In front of you,

22
00:15:40.380 --> 00:16:21.085
you should have the staff report docketed on 05/28/2026 premarked as staff exhibit s one. Do you have that in front of you? Yes. K. What is a s one? It's, the prepared staff report for Zio Network. Was it prepared by you or at your direction? Yes. It was prepared by me. K. Go to the table of contents, I believe, in s one, which doesn't really have a page number, but at the bottom left, you'll see or you'll see that it's marked ACC,

23
00:16:21.085 --> 00:16:56.920
a base labeled ACC five. But anyway, with the table of contents, could you please just briefly summarize the analyst sections and the work you performed in analyzing the company's application? Yes. So in regard to, their technical and financial capabilities as well as, excuse me, as well as their rates and charges. I reviewed the company's application as well as their, reported data requests as well as their application amendments to the original application,

24
00:16:57.620 --> 00:17:37.870
which I, compared to other CCNMs, which I have done, and I found everything to be appropriate. With respect to the company's response to staff's data request, did you find those responses? I think they were admitted as exhibits A2 and A four, but regardless, the two sets of their responses to the discovery request, were they clear and and fully answered? Yes. I would say they were. Okay. With respect to the staff report, do you have any changes, modifications, or corrections you would like to make to s one today?

25
00:17:38.715 --> 00:18:21.595
Besides the mentioned amendment about all of the states, I do not. Okay. But you understood when, they made the verbal amendment to the number of states that the company operates in. Did you understand that? Yes. That was clear. Okay. Are you adopting the staff report marked as exhibit s one as part of your testimony today? Yes. Okay. Your honor, staff would request that s one be admitted into the record. Any objection? No objection, your honor. S one is admitted. K. Let's see here. Looking, if you could refer to the staff report at page two,

26
00:18:26.110 --> 00:19:17.690
let me know when you have that in front of you, page two of exhibit s one. Yes. I'm there. Does the company have the technical go to the next page, page three. Same type of question. Does the company have the financial capability to provide the services for which it requests authority in Arizona? Based off the information given, staff believes so. Thank you. If you look at page four, sort of at the top in the middle, it says that you conducted a review of the complaint information with respect to the company. So the question is, does the company have a clean complaint history,

27
00:19:18.310 --> 00:20:08.475
and is it in good standing with the commission? Yes. They're in good standing with no complaint history. K. And then finally, if you can go towards the end, I wanted to touch on staff's recommendations. It's at Page twelve and thirteen, I believe. I'm there. Okay. And does, s one at pages 12 to 13 accurately reflect staff's recommendation to the commission in this case? Yes. K. And then finally, with respect to page 14, the last page, I believe, those are the four compliance items that staff recommends,

28
00:20:09.895 --> 00:20:55.940
for the company should it acquire the CCNN in this case. Are those accurate compliance items that you think should be in the CCNN? Yes, I do. Okay. And, generally, is utility staff recommending the approval of the company's request for CCNN subject to staff's recommendations and, compliance items? Yes. Given that they, they hit all the requirements based off the rules. Okay. Thank you. Is staff recommending that the company services be classified as competitive? Yes. Do you believe that granting a CCNN to Zayo network services to be in the public interest?

29
00:20:56.160 --> 00:21:44.320
Yes. Okay. Nothing further, your honor, than witnesses available for cross and direct from yourself. Perfect. Thank you. Miss Cave, do you have any No questions, your honor. Thank you. Neither do I. You you're let off the hook. No excuse as a witness. Thank you. Thank you. Alright. Mister Dail, are you calling any other witnesses? No. Staff rests. Perfect. Thank you all. Alright. Well, I'll let you guys make closing statements if you'd like. Miss Cave, you can go first this time. Thank you, your honor. Zayo Network Services is committed to providing local exchange,

30
00:21:44.380 --> 00:22:22.135
long distance, private line, and wholesale and switched access services. In Arizona, the company will commence offering these services in Arizona as soon as practicable after the commission grants the requested certificate. As demonstrated in the materials, as well as testimony provided today, the applicant is managerially, technically, and financially qualified to, provide these services in Arizona. In an effort to allow the possibility of this application being considered no later than at the 08/12/2026 open meeting. The applicant is willing to waive the exception period to your proposed decision to the

31
00:22:22.135 --> 00:23:09.180
extent that the decision, follows staff recommendation and the comp the staff recommendation. And the company would greatly appreciate any efforts, you may be able to take to have the proposed decision prepared and considered no later than the August 12 open meeting. Thank you. Thank you. Mister Stanley. Thank you. Staff agrees with the statements made by the company council and doesn't really have any objections to the ask that they just made. So staff again reiterates its opinion that the, application by the company is thoroughly supported and that the CCNN be granted to the

32
00:23:09.180 --> 00:23:47.591
company. Thank you. All right. Thank you, everyone. Well, I believe I have all the information I need. Thank you very much for your professionalism and cooperation. As you're all well aware, I will be offering I will be issuing a recommended opinion in order for the commissioners to decide at, future open meeting. I hear your your wishes. I see no reason why, that open meeting won't be the 08/12/2001. So keep your eyes and ears open for my, rue. And, again, with that, unless someone's screaming and waving their arms,

33
00:23:47.591 --> 00:23:54.651
I can say the magic words. We are adjourned. Thank you all. Thank you. Thank you. Thank you, your honor.