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PA Bulletin, Doc. No. 03-1883

NOTICES

Rescission Order

[33 Pa.B. 4766]

Public Meeting held
September 5, 2003

Commissioners Present: Terrance J. Fitzpatrick, Chairperson; Robert K. Bloom, Vice Chairperson; Aaron Wilson Jr., statement follows; Glen R. Thomas; Kim Pizzingrilli

Pennsylvania Public Utility Commission Law Bureau Prosecutory Staff (2002.0294) v. Association Administrator, Inc.; Doc. No. C-20039877; A-310527

Rescission Order

   On April 1, 2003, Law Bureau Prosecutory Staff (Prosecutory Staff) instituted a complaint against Association Administrator, Inc. (AAI or Respondent), a telecommunications interexchange reseller certificated at A-310527, for failure to pay its 5th semiannual Telephone Consumer Education Program Fund Contribution. Respondent failed to file an answer to the complaint. Consequently, on June 27, 2003, the Commission entered a Default Order in this complaint proceeding against AAI that sustained the complaint and set forth a process to cancel Respondent's certificate of public convenience.

   This is the second violation that has led to initiation of complaint proceedings to cancel AAI's certificate of public convenience since its issuance in 1997. Respondent's certificate was cancelled on April 4, 2002, for failure to file its 1999 Annual Report and a Petition for Reinstatement was filed on June 13, 2002. In the August 8, 2002, Order granting Respondent's request for reinstatement of its certificate, we cautioned that all future Commission correspondence must be answered in a timely manner.

   In this matter, the Respondent submitted a letter dated July 1, 2003, to Prosecutory Staff requesting that the Commission rescind the June 27, 2003, Default Order revoking its certificate of public convenience. Prosecutory Staff filed the letter with the Secretary's Bureau on July 9, 2003. Although the letter included enclosed payment for the 5th and 6th installments, $30 and $19, respectively, no explanation was given for the delinquency.

   Based on the fact that AAI made all required payments including its 5th and 6th semiannual Telephone Consumer Education Program Fund Contribution and that the delinquencies involved minimal amounts, we shall grant AAI's request for rescission of the Default Order. However, in accord with our prior warning about ignoring Commission correspondence directed to AAI in the August 8, 2002, Order, we believe that a civil penalty is warranted in this matter.

   Accordingly, we shall assess a civil penalty in the amount of $250 for failing to pay the 5th semiannual Telephone Consumer Education Program Fund Contribution in a timely manner. Although no explanation was provided for the delinquency and failure to respond to the complaint, upon being informed that payments were due through service of the Default Order, Respondent immediately took action to pay the installments and sought rescission of the Default Order. Therefore, we find that this action on the part of the Respondent indicates negligent rather than intentional conduct. Based on the standards set forth in Joseph A. Rosi v. Bell-Atlantic Pennsylvania, Inc. and Sprint Communications Company, L.P., C-00992409 (March 16, 2000), the presumption is that the penalty will be in the range of zero dollars to $500 per day and we believe that Respondent's quick action, along with the small amount of the delinquency, are mitigating factors to warrant a penalty at the lower end of the range. Given that the Commission retains broad discretion in determining a total civil penalty amount that is reasonable on an individual basis, Rosi at 10, we believe that this amount based on a ''per occurrence'' violation is large enough to deter future violations of Commission regulations by AAI given the following warning: if the Respondent again fails to comply with Commission regulations, we will not be so favorably disposed and will revoke the Respondent's certificate of public convenience, absent extreme extenuating circumstances; Therefore,

It Is Ordered That:

   1.  The Default Order entered June 27, 2003, is hereby rescinded subject to the Respondent's compliance with Ordering Paragraph No. 3.

   2.  A copy of this Rescission Order be published in the Pennsylvania Bulletin and served on the Office of Trial Staff, the Office of Consumer Advocate and the Office of Small Business Advocate.

   3.  Association Administrators, Inc. is ordered to pay a civil penalty in the amount of $250 under sections 3301 and 3315 of the Public Utility Code, 66 Pa.C.S. §§ 3301 and 3315, by sending a certified check or money order within 20 days after entry of this Order to Pennsylvania Public Utility Commission, Secretary's Bureau, P. O. Box 3265, Harrisburg, PA 17105-3265. The docket numbers for this Order should be referenced in the check or money order.

JAMES J. MCNULTY,   
Secretary

[Pa.B. Doc. No. 03-1883. Filed for public inspection September 19, 2003, 9:00 a.m.]


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