**Before the**

**Federal Communications Commission**

**Washington, D.C. 20554**

+----------------------------------+----+------------------------------+
| In the Matter of                 | *  | CC Docket No. 96-45          |
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| Federal-State Joint Board on     | ** |                              |
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| Universal Service                | *  |                              |
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| Saddleback Communications        | ** |                              |
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| Supplemental Data as Required by | *  |                              |
| 47                               | *) |                              |
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| C.F.R. § 54.202;                 |    |                              |
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| Supplemental Data as Required by | *) |                              |
| 47                               | ** |                              |
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| C.F.R. § 54.209                  | *  |                              |
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| Gila River Telecommunications,   | ** |                              |
| Inc.                             |    |                              |
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| Petition for Waiver of Section   | *) |                              |
| 54.209 of the Commission's       | ** |                              |
| Rules;                           |    |                              |
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| Supplemental Data as Required by | *) |                              |
| 47                               | ** |                              |
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| C.F.R. § 54.209                  | *  |                              |
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| Pine Belt Cellular, Inc.         | ** |                              |
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| Petition for Waiver of Section   | *  |                              |
| 54.209 of the Commission's       | *) |                              |
| Rules;                           | ** |                              |
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| Petition for Protective Waiver   | *  |                              |
| of Section 54.209 of the         | *) |                              |
| Commission's Rules               | ** |                              |
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| IT&E Overseas, Inc.              | *  |                              |
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| Petition for Protective Waiver   | ** |                              |
| of Section 54.209 of the         |    |                              |
| Commission's Rules;              | *  |                              |
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| Petition for Protective Waiver   | ** |                              |
| of Section 54.209 of the         |    |                              |
| Commission's Rules               | *  |                              |
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+----------------------------------+----+------------------------------+

**ORDER**

**Adopted: July 31, 2008 Released: July 31, 2008**

By the Chief, Wireline Competition Bureau:

# introduction

1.  In this order, we grant petitions for waiver filed by Saddleback
    Communications (Saddleback), Pine Belt Cellular, Inc. (Pine Belt),
    and IT&E Overseas, Inc. (IT&E) seeking waiver of the annual eligible
    telecommunications carrier (ETC) filing deadlines set forth in
    section 54.209(b) of the Commission's rules for 2006 and 2007.[^1]
    We also grant a petition for waiver filed by Gila River
    Telecommunications, Inc. (Gila River) seeking waiver of the annual
    ETC filing deadline for 2006. Finally, we grant in part and deny in
    part Gila River's petition for waiver of: (i) the 2007 annual ETC
    filing deadline; and (ii) the need for Gila River to file further
    reports pursuant to section 54.209.[^2] We find that good cause
    warrants a waiver of the 2006 and 2007 filing deadlines for
    Saddleback, Pine Belt, IT&E, and Gila River as discussed more fully
    below. We deny Gila River's request for a prospective waiver of
    section 54.209.

# background

2.  Section 254(e) of the Communications Act of 1934, as amended (the
    Act), provides that "only an eligible telecommunications carrier
    designated under section 214(e) shall be eligible to receive
    specific Federal universal service support."[^3] Section 214(e)(6)
    of the Act provides that, in the case of a telecommunications
    provider that is not subject to the jurisdiction of a state
    commission, the Commission shall, upon request, designate the
    provider to be an ETC.[^4] Section 54.202 of the Commission's rules
    sets out the requirements for a carrier to be designated an ETC
    under section 214(e)(6) of the Act.[^5]

3.  Section 54.209 of the Commission's rules provides that an ETC
    designated by the Commission under section 214(e)(6) shall file
    annual reports, including a progress report on the ETC's five-year
    service quality improvement plan, information on any outages in the
    past year, the number of requests for service that could not be
    fulfilled, the number of complaints per 1000 lines, and four
    certifications.[^6] Under the Commission's rules, to receive federal
    universal service support for the following calendar year, an ETC
    must file its annual report no later than October 1.[^7] ETCs that
    file the required annual reports after October 1 but before July 1
    of the subsequent year can receive universal service support for
    one, two, or three quarters of the funding year, depending on how
    long after October 1 their filings are made.[^8]

4.  The Commission established the annual reporting requirements of
    section 54.209 in the 2005 *ETC Designation Order*.[^9] Like the
    reports and certifications required to receive an initial
    designation as an ETC, the annual reporting requirements help ensure
    that high-cost universal service support is being used only for its
    intended purposes.[^10] The annual reporting requirements ensure
    that Commission-designated ETCs continue to comply with the
    conditions of their designations.[^11] The Commission concluded that
    the reporting requirements were "reasonable and consistent with the
    public interest and the Act" and that they "further the Commission's
    goal of ensuring that ETCs satisfy their obligations under section
    214(e) of the Act to provide supported services throughout their
    designated service areas."[^12] The Commission "strengthen\[ed\] the
    requirements and certification guidelines to help ensure that
    high-cost support is used in the manner that it is intended."[^13]

5.  *[Saddleback's Petitions for Waiver]{.underline}*. Saddleback is a
    telecommunications company owned by the Salt River Pima Maricopa
    Indian Community, a federally-recognized Indian Tribe located in
    Arizona.[^14] On October 16, 2007, Saddleback filed a petition for
    waiver of section 54.209(b) of the Commission's rules to allow it to
    submit its annual ETC report two days after the October 1, 2007
    filing deadline.[^15] Saddleback contends that the delay resulted
    from a misunderstanding between its management and its outside
    counsel concerning the substance and procedure of the
    requirements.[^16] Saddleback notes that it has taken steps to
    prevent such delays in the future.[^17] Saddleback also contends
    that granting a waiver to allow the filing of universal service data
    only two days late is consistent with Commission precedent.[^18]
    Saddleback states that its receipt of high-cost universal service
    support is necessary for its provision of services to tribal lands,
    and, as a result, Saddleback argues that granting the requested
    waiver will serve the public interest by supporting the core
    universal service policies of the Commission.[^19]

6.  On February 7, 2008, Saddleback filed a petition for waiver of
    section 54.209(b) of the Commission's rules with respect to the
    October 1 filing deadline for Saddleback's 2006 annual ETC
    report.[^20] Saddleback had been notified by USAC on January 31,
    2008, of its failure to file the required section 54.209 report by
    October 1, 2006, some sixteen months earlier.[^21] Saddleback
    contends that the delay was inadvertent and resulted from a lack of
    clarity from USAC regarding the annual filing requirement.[^22]
    Saddleback states that it received a notice from USAC in October
    2007 concerning the missed October 1, 2007 filing deadline, but that
    this notice did not contain any indication of the missed October 1,
    2006 deadline.[^23] As in its 2007 waiver petition, Saddleback
    states that the missed deadline was the result of a misunderstanding
    of the rule, and emphasizes that it acted to rectify the problem by
    filing its 2006 annual ETC report immediately after receiving the
    USAC notification.[^24]

7.  *[Pine Belt's Petitions for Waiver]{.underline}*. On October 30,
    2007, Pine Belt filed a petition for waiver of the October 1, 2007
    deadline in section 54.209 of the Commission's rules to allow it to
    file its 2007 annual ETC report after the deadline.[^25] Pine Belt
    contends that the delay in filing resulted from a lack of clarity
    and completeness in public information provided by USAC, because
    USAC did not include this reporting requirement on its website.[^26]
    Pine Belt states that, because USAC did not list this requirement on
    its website, Pine Belt's outside contractor inadvertently missed the
    filing deadline.[^27] Pine Belt further certifies that it has taken
    steps to ensure future regulatory compliance.[^28] On February 29,
    2008, Pine Belt filed a second petition requesting a waiver of
    section 54.209 of the Commission's rules to allow it to file its
    2006 annual ETC report after the October 1, 2006 deadline.[^29] Pine
    Belt filed its 2006 annual ETC report on February 29, 2008.[^30]
    Pine Belt contends that it is now aware of the annual reporting
    obligation, but that it was not aware it was responsible for the
    reporting requirement in October 2006.[^31]

8.  *[IT&E's Petitions for Waiver]{.underline}*. On March 25, 2008, IT&E
    filed a petition for waiver of the October 1, 2006 deadline for
    filing its 2006 ETC annual report, and on March 28, 2008, IT&E filed
    a petition for waiver of the October 1, 2007 deadline for filing its
    2007 ETC annual report.[^32] IT&E asserts that, because it has a
    small staff of employees with only one staff member devoted
    full-time to regulatory issues, IT&E relies on information from its
    outside contractors, USAC, and the Commission to ensure compliance
    with new or revised universal service requirements.[^33] IT&E states
    that it did not receive notice from the Commission or USAC when the
    new reporting requirement was implemented, and the requirement did
    not appear in information provided by USAC.[^34] The company also
    alleges that it did not become aware of the missed filing deadlines
    until it received a notice from USAC on February 1, 2008, informing
    IT&E that it had missed the October 1, 2006 filing deadline.[^35]
    IT&E filed both its 2006 and 2007 annual ETC reports on March 25,
    2008.[^36]

9.  *[Gila River's Petitions for Waiver]{.underline}*. On October 26,
    2007, Gila River filed a petition for a waiver of section 54.209 of
    the Commission's rules to allow its delayed submission of its 2007
    annual ETC filing.[^37] Gila River contends that the failure to
    receive universal service support will have "a significant adverse
    and harmful impact" on its customers, and that granting a waiver of
    the filing deadline will serve the public interest and support the
    statutory objectives of universal service by promoting access to
    telecommunications services in underserved areas.[^38] In its
    petition, Gila River also requests that the Commission "direct USAC
    to provide \[Gila River\] with USF support going forward" without
    requiring Gila River to file any additional compliance reports in
    the future.[^39]

10. Gila River further contends that the requirement to file compliance
    reports ought not to be imposed on it at all, because: (i) the
    reports are unnecessary to ensure ETC compliance with universal
    service eligibility; (ii) not all ETCs are required to file the
    reports; (iii) the Gila River Indian Community and the Arizona
    Corporation Commission do not require such reports; (iv) the
    Commission was required to consult with the Gila River Indian
    Community prior to imposing reporting requirements; and/or (v)
    because section 54.209 is not in effect because the Commission did
    not publish the effective date of the rule in the Federal
    Register.[^40]

11. On February 8, 2008, Gila River filed a petition for waiver of the
    October 1, 2006 annual ETC filing deadline.[^41] Gila River notes
    that it received notice from USAC in October 2007 concerning the
    missed October 1, 2007 annual ETC filing deadline, but this notice
    did not mention the missed October 1, 2006 deadline.[^42] As in its
    2007 waiver petition, Gila River states that the missed deadline was
    the result of a misunderstanding of the rule, and Gila River acted
    to rectify the problem immediately after receiving notification from
    USAC.[^43]

12. All comments that have been filed in response to these petitions
    support the grant of waivers of the filing deadlines.[^44] The
    Organization for the Promotion and Advancement of Small
    Telecommunications Companies (OPASTCO), filing reply comments in
    response to the 2007 annual ETC report filing deadline waiver
    petitions of Gila River and Saddleback, argues that granting a
    waiver would be consistent with the universal service principles set
    forth in the Act.[^45] OPASTCO also notes that the Commission has
    granted similar waivers in the past.[^46] The National
    Telecommunications Cooperative Association (NTCA), filing two
    separate but substantially identical comments in support of the 2006
    annual ETC filing deadline waiver petitions of Gila River and
    Saddleback, argues that the missed deadlines were based on
    misunderstandings, which have since been rectified.[^47] The Rural
    Cellular Association (RCA), filing comments in support of Pine
    Belt's 2006 annual ETC report filing deadline petition for waiver,
    points to past circumstances in which unclear information provided
    by USAC concerning filing obligations led to a Commission waiver,
    and argues that the same rationale applies here.[^48]

# discussion

13. We grant the petitions of Saddleback, Pine Belt, and IT&E in full,
    and we grant Gila River's 2006 annual ETC report filing deadline
    waiver petition in full.[^49] We grant in part and deny in part Gila
    River's 2007 annual ETC report filing deadline waiver petition. We
    find that good cause exists to waive section 54.209(b) of the
    Commission's rules, allowing the petitioners to file their 2006 and
    2007 annual ETC filings after the October 1 deadline.[^50] The
    petitioners and commenters contend that the missed deadlines were
    caused by misunderstandings resulting from USAC's lack of clarity as
    to the scope of the reporting requirements under section
    54.209.[^51] This problem was further compounded by USAC's initial
    notification to petitioners of the missed October 1, 2007 filing
    deadline, which made no mention of the missed October 1, 2006 filing
    deadline.[^52] Pine Belt notes that many isolated incidents
    contributed to the delay in filing its annual ETC reports, and that
    it is unlikely to miss future deadlines.[^53] Saddleback, Pine Belt,
    IT&E, and Gila River have all established procedures to ensure that
    they will not miss filing deadlines in the future.[^54] In the
    limited circumstances of the petitions at hand, and where the delay
    in filing is inadvertent and where USAC may have, in part,
    contributed to the misunderstandings, we find that waivers of the
    missed filing deadlines are warranted.

14. Although we grant the requested waivers of filing deadlines, we
    remind Saddleback, Pine Belt, IT&E, Gila River, and all ETCs that
    they each bear the individual responsibility to familiarize
    themselves with any and all applicable reporting requirements so
    that they can ensure that their submissions are filed in a timely
    and complete manner. No ETC is permitted to rely solely on
    information provided through the USAC website to determine its
    filing obligations.

15. In its 2007 annual ETC filing deadline waiver petition, Gila River
    also requests a waiver of the annual filing requirements of section
    54.209 of the Commission's rules in the future, to allow Gila River
    to receive federal universal service support without demonstrating
    ongoing compliance with its ETC obligations.[^55] We deny this
    request. Gila River's first contention, that the reports are
    unnecessary to ensure compliance with ETC obligations, is
    incorrect.[^56] The Commission found in the *ETC Designation Order*
    that the annual reporting requirements of section 54.209 are an
    important tool to ensure the appropriate use of universal service
    support and to ensure continued compliance of Commission-designated
    ETCs with their designation obligations.[^57] Gila River's second
    argument, that not all ETCs are required to file the reports, is
    also unpersuasive.[^58] The reporting requirements in section 54.209
    are uniformly applied to all ETCs designated by the Commission. Gila
    River and all other Commission-designated ETCs seeking to receive
    federal universal service support must comply with this rule. We
    also find unpersuasive Gila River's argument that the Gila River
    Indian Community (the Tribe) and the Arizona Corporation Commission
    do not require such reports, and the Commission is required to
    consult with the Tribe prior to imposing requirements, including the
    annual ETC reporting requirement, on Gila River.[^59] As Gila River
    acknowledges in its petition, the Arizona Corporation Commission
    does not have jurisdiction over Gila River for purposes of ETC
    designation.[^60] Pursuant to section 214(e)(6) of the Act,
    therefore, the Commission has jurisdiction over Gila River's ETC
    designation.[^61] Thus, the requirements of the Arizona Corporation
    Commission and the Tribe are inapplicable here. Moreover, the
    reporting requirements at issue were adopted as part of a Commission
    notice and comment rulemaking proceeding, in which comment from the
    public, including the Tribe, was sought prior to the adoption of the
    rules. Finally, Gila River is incorrect in asserting that section
    54.209 is not in effect because the effective date of the rule was
    not published in the Federal Register.[^62] Notice of the effective
    date of the rule was published in the Federal Register on November
    2, 2005.[^63]

16. We emphasize that the Commission is committed to guarding against
    waste, fraud, and abuse and ensuring that federal universal service
    high-cost support funds are used for appropriate purposes. Although
    we grant the waivers of the October 1, 2006 and 2007 filing
    deadlines addressed here, the Commission reserves the right to
    conduct audits and investigations to determine compliance with the
    rules and requirements related to high-cost universal service
    support. Because audits and investigations may provide information
    showing that a service provider failed to comply with the statute or
    Commission rules, such proceedings can reveal instances in which
    universal service funds were disbursed improperly or in a manner
    inconsistent with the statute or the Commission's rules. To the
    extent the Commission finds that funds were not used properly, the
    Commission will require USAC to recover such funds through its
    normal processes. We emphasize that the Commission retains the
    discretion to evaluate the uses of high-cost universal service
    support monies disbursed and to determine on a case-by-case basis
    that waste, fraud, or abuse of such funds occurred and that recovery
    is warranted. The Commission remains committed to ensuring the
    integrity of the universal service program and will continue to
    aggressively pursue instances of waste, fraud, or abuse under the
    Commission's procedures and in cooperation with law enforcement
    agencies.

# ordering clauseS

17. Accordingly, IT IS ORDERED, pursuant to sections 1, 4(i), 5(c), 214,
    and 254 of the Communications Act of 1934, as amended, 47 U.S.C. §§
    151, 154(i), 155(c), 214, and 254, and sections 0.91, 0.291 and 1.3
    of the Commission's rules, 47 C.F.R. §§ 0.91, 0.291 and 1.3, that
    the petitions for waiver filed by Saddleback Communications, Pine
    Belt Cellular, Inc., and IT&E Overseas, Inc., and the petition for
    waiver of the 2006 annual ETC report filing deadline filed by Gila
    River Telecommunications, Inc. ARE GRANTED to the extent described
    herein, and that the petition for waiver of the 2007 annual ETC
    report filing deadline filed by Gila River Telecommunications, Inc.,
    IS GRANTED IN PART and IS DENIED IN PART to the extent described
    herein.

18. IT IS FURTHER ORDERED that, pursuant to section 1.102(b) of the
    Commission's rules, 47 C.F.R. § 1.102(b), this order SHALL BE
    EFFECTIVE upon release.

> FEDERAL COMMUNICATIONS COMMISSION
>
> Dana R. Shaffer
>
> Chief
>
> Wireline Competition Bureau

[^1]: Saddleback Communications Petition for Waiver to Allow Filing of
    Supplemental Data Two Days Late, CC Docket No. 96-45 (filed Oct. 16,
    2007) (Saddleback 2007 Petition); Saddleback Communications
    Protective Petition for Waiver of Section 54.209, CC Docket No.
    96-45 (filed Feb. 7, 2008) (Saddleback 2006 Petition); Pine Belt
    Cellular, Inc. Petition for Waiver of Section 54.209 of the
    Commission's Rules, CC Docket No. 96-45 (filed Oct. 30, 2007) (Pine
    Belt 2007 Petition); Pine Belt Cellular, Inc. Petition for Waiver,
    CC Docket No. 96-45 (filed Feb. 29, 2008) (Pine Belt 2006 Petition);
    IT&E Overseas, Inc. Petition for Protective Waiver of Section 54.209
    of the Commission's Rules, CC Docket No. 96-45 (filed Mar. 28, 2008)
    (IT&E 2007 Petition); IT&E Overseas, Inc. Petition for Protective
    Waiver of Section 54.209 of the Commission's Rules, CC Docket No.
    96-45 (filed Mar. 25, 2008) (IT&E 2006 Petition); *see also* 47
    C.F.R. § 54.209.

[^2]: Gila River Telecommunications, Inc. Protective Petition for Waiver
    of Section 54.209, CC Docket No. 96-45 (filed Feb. 8, 2008) (Gila
    River 2006 Petition); Gila River Telecommunications, Inc. Petition
    for Waiver of Section 54.209 of the Commission's Rules, CC Docket
    No. 96-45 (filed Oct. 26, 2007) (Gila River 2007 Petition).

[^3]: 47 U.S.C. § 254(e).

[^4]: 47 U.S.C. § 214(e)(6).

[^5]: 47 C.F.R. § 54.202(a).

[^6]: 47 C.F.R. § 54.209(a).

[^7]: 47 C.F.R. § 54.209(b).

[^8]: *Id.* ETCs that file their annual reports by January 1 will
    receive support for the second, third, and fourth quarters; ETCs
    that file by April 1 will receive support for the third and fourth
    quarters; and ETCs that file by July 1 will receive support for only
    the fourth quarter. ETCs that file after July 1 will receive no
    support for that year.

[^9]: *Federal-State Joint Board on Universal Service*, CC Docket No.
    96-45, Report and Order, 20 FCC Rcd 6371 (2005) (*ETC Designation
    Order*).

[^10]: *Id.* at 6373, 6400, paras. 4, 68.

[^11]: *Id.* at 6400, para. 68.

[^12]: *Id.* at 6402, para. 70.

[^13]: *Id*.

[^14]: Saddleback 2007 Petition at 1

[^15]: *Id*. Saddleback filed its annual report on October 3, 2007.
    *See* Letter from Mitchell F. Brecher, Greenberg Traurig, to Marlene
    H. Dortch, Secretary, FCC, CC Docket No. 96-45 (filed Oct. 3, 2007).

[^16]: Saddleback 2007 Petition at 2; Attach. 3 at 1 (Affidavit of Bill
    Bryant) (Bryant Aff.).

[^17]: Saddleback 2007 Petition at 3; Bryant Aff. at 1-2.

[^18]: Saddleback 2007 Petition at 3-4 (citing to past Commission
    waivers allowing filings to be made two and five days late).

[^19]: *Id.* at 4-6.

[^20]: Saddleback 2006 Petition as 1-2.

[^21]: *Id.* at 1-2.

[^22]: *Id.* at 2-3.

[^23]: *Id.* at 2.

[^24]: *Id*.

[^25]: Pine Belt 2007 Petition at 1, 4. Pine Belt filed its annual
    report on October 30, 2007. *See* Letter from Phyllis A. Whitten,
    Counsel for Pine Belt Cellular, Inc., to Marlene H. Dortch,
    Secretary, FCC, CC Docket No. 96-45 (filed Oct. 30, 2007).

[^26]: Pine Belt 2007 Petition at 1.

[^27]: *Id.*

[^28]: *Id.* at Exh. 2.

[^29]: Pine Belt 2006 Petition at 1.

[^30]: Letter from Phyllis A. Whitten, Counsel for Pine Belt Cellular,
    Inc., to Marlene H. Dortch, Secretary, FCC, CC Docket No. 96-45
    (filed Feb. 29, 2008).

[^31]: Pine Belt 2006 Petition at 2.

[^32]: IT&E 2006 Petition; IT&E 2007 Petition.

[^33]: IT&E 2006 Petition at 2; IT&E 2007 Petition at 2.

[^34]: IT&E 2006 Petition at 2; IT&E 2007 Petition at 2.

[^35]: IT&E 2006 Petition at 3; IT&E 2007 Petition at 3. IT&E claims
    that it had not been aware of an earlier notice sent by USAC on
    October 13, 2007, informing IT&E that it had missed the October 1,
    2007 annual ETC report filing deadline, because this notice had been
    addressed to the incorrect staff person at IT&E. *Id.*

[^36]: Letter from Benjamin H. Dickens, Attorney for IT&E Overseas,
    Inc., to Marlene H. Dortch, Secretary, Federal Communications
    Commission, CC Docket No. 96-45 (filed Mar. 25, 2008) (IT&E 2006 ETC
    Compliance Report); Letter from Benjamin H. Dickens, Attorney for
    IT&E Overseas, Inc., to Marlene H. Dortch, Secretary, Federal
    Communications Commission, CC Docket No. 96-45 (filed Mar. 25, 2008)
    (IT&E 2007 ETC Compliance Report).

[^37]: Gila River 2007 Petition at 1. Gila River filed its 2007 annual
    ETC report on October 18, 2007. Letter from James U. Troup, Counsel
    for Gila River Telecommunications, Inc., to Marlene H. Dortch,
    Secretary, Federal Communications Commission, CC Docket No. 96-45
    (filed Oct. 18, 2007).

[^38]: Gila River 2007 Petition at 1, 8-9.

[^39]: *Id.* at 2.

[^40]: *Id.* at 1-2, 5.

[^41]: Gila River 2006 Petition at 1-2.

[^42]: *Id.* at 2.

[^43]: *Id.* at 2. Gila River filed its 2006 annual ETC report on
    February 8, 2008. Gila River Telecommunications, Inc., CC Docket No.
    96-45 (filed Feb. 8, 2008).

[^44]: Reply Comments of the Organization for the Promotion and
    Advancement of Small Telecommunications Companies, CC Docket No.
    96-45 (filed Nov. 30, 2007) (OPASTCO Reply Comments); National
    Telecommunications Cooperative Association Initial Comments, CC
    Docket No. 96-45 (filed Feb. 25, 2008) (NTCA Saddleback Comments);
    National Telecommunications Cooperative Association Initial
    Comments, CC Docket No. 96-45 (filed Feb. 25, 2008) (NTCA Gila River
    Comments); Comments of the Rural Cellular Association, CC Docket No.
    96-45 (filed Apr. 18, 2008) (RCA Comments); Comments of GTA
    Teleguam, CC Docket No. 96-45 (filed May 19, 2008) (GTA Comments).
    Pine Belt also filed reply comments in support of waiving the 2007
    annual ETC report deadline for itself, Saddleback, and Gila River.
    Reply Comments of Pine Belt Cellular, Inc., CC Docket No. 96-45
    (filed Nov. 30, 2007) (Pine Belt Reply Comments).

[^45]: OPASTCO Reply Comments at 2-3.

[^46]: *Id.* at 3-4.

[^47]: NTCA Saddleback Comments at 3; NTCA Gila River Comments at 3.

[^48]: RCA Comments at 2-4.

[^49]: Pine Belt notes that its report for Funding Year 2007 does not
    include detailed information responsive to questions about outage
    reports, unfulfilled service requests, and complaints, as this
    information was not retained over the entire time period prior to
    the date of filing, because of numerous technical problems. Pine
    Belt 2006 Petition at 3-4. Pine Belt has completed its filing on the
    basis of personal recollection of management, and has taken steps to
    prevent such incidents from occurring in the future. *Id.* at 4.
    Although we accept Pine Belt's report as filed for purposes of this
    waiver order, we remind Pine Belt and other ETCs that they are
    subject to audit oversight by USAC and the Commission. We also note
    that sanctions, including enforcement action, may be appropriate in
    cases of waste, fraud, and abuse. *See, e.g.*, *Comprehensive Review
    of the Universal Service Fund Management, Administration, and
    Oversight*, WC Docket Nos. 05-195, 02-60, 03-109, CC Docket Nos.
    96-45, 02-6, 97-21, Report and Order, 22 FCC Rcd 16372, 16385, para.
    26 (2007).

[^50]: Generally, the Commission's rules may be waived for good cause
    shown. 47 C.F.R. § 1.3. The Commission may exercise its discretion
    to waive a rule where the particular facts make strict compliance
    inconsistent with the public interest. *Northeast Cellular Telephone
    Co. v. FCC*, 897 F.2d 1164, 1166 (D.C. Cir. 1990) (*Northeast
    Cellular*). In addition, the Commission may take into account
    considerations of hardship, equity, or more effective implementation
    of overall policy on an individual basis. *WAIT Radio v. FCC*, 418
    F.2d 1153, 1159 (D.C. Cir. 1969); *Northeast Cellular*, 897 F.2d at
    1166. Waiver of the Commission's rules is therefore appropriate only
    if special circumstances warrant a deviation from the general rule,
    and such deviation will serve the public interest. *Northeast
    Cellular*, 897 F.2d at 1166.

[^51]: *See, e.g.*, RCA Comments at 3-4; NTCA Gila River Comments at 3;
    Saddleback 2006 Petition at 2-3.

[^52]: *See. e.g.*, Gila River 2006 Petition at 2.

[^53]: Pine Belt 2007 Petition at 3.

[^54]: Saddleback 2007 Petition at 3; Bryant Aff. at 1-2; Pine Belt 2007
    Petition at Exh. 2; Letter from Benjamin H. Dickens, Attorney for
    IT&E Overseas, Inc., to Marlene H. Dortch, Secretary, Federal
    Communications Commission, CC Docket No. 96-45 (filed Apr. 3, 2008);
    Letter from Mitchell F. Brecher, Greenberg Traurig, to Marlene H.
    Dortch, Secretary, Federal Communications Commission, CC Docket No.
    96-45, Affidavit, at 2 (filed Apr. 2, 2008) (Gila River April 2 *Ex
    Parte* Letter).

[^55]: Gila River 2007 Petition at 2.

[^56]: *Id*.

[^57]: *ETC Designation Order*, 20 FCC Rcd at 6400, 6402, paras. 68, 70.

[^58]: Gila River 2007 Petition at 5-6.

[^59]: *Id.* at 5, 7.

[^60]: *Id.* at 3.

[^61]: 47 U.S.C. § 214(e)(6); *see Designation of Fort Mojave
    Telecommunications, Inc., Gila River Telecommunications, Inc., San
    Carlos Telecommunications, Inc., and Tohono O'odham Utility
    Authority as Eligible Telecommunications Carriers Pursuant to
    Section 214(e)(6) of the Communications Act*, AAD/USB File No.
    98-28, Memorandum Opinion and Order, 13 FCC Rcd 4547, 4549, para. 4
    (Com. Car. Bur. 1998) (Gila River asserted that it was not subject
    to the jurisdiction of the Arizona Corporation Commission and was
    granted ETC designation by the Common Carrier Bureau, pursuant to
    its delegated authority from the Commission, under section 214(e)(6)
    of the Act).

[^62]: Gila River 2007 Petition at 9-10.

[^63]: Public Information Collections Approved by Office of Management
    and Budget, 70 Fed. Reg. 66,407 (Nov. 2, 2005) (announcing that OMB
    approval was received, and thus the rule became effective, on
    October 14, 2005); *see also* Office of Management and Budget
    Approval of Public Information Collections, 72 Fed. Reg. 67,858
    (Dec. 3, 2007).