**DA 04-2602**

**Released: August 20, 2004**

**DOMESTIC SECTION 214 APPLICATION FILED FOR TRANSFER OF CONTROL OF
KILLDUFF, IOWA EXCHANGE FROM SEARSBORO TELEPHONE TO KILLDUFF TELEPHONE**

**STREAMLINED Pleading Cycle Established**

**WC Docket No. 04-315**

**Comments Due: September 3, 2004**

**Reply Comments Due: September 10, 2004**

On July 30, 2004, Searsboro Telephone Company, Inc. ("Searsboro
Telephone"), and Killduff Telephone Company ("Killduff Telephone")
(collectively, the "Applicants"), filed an application pursuant to
sections 63.03 and 63.04 of the Commission's rules[^1] requesting
approval, on an expedited basis, of the sale of Searsboro Telephone's
Killduff, Iowa exchange to Killduff Telephone.[^2] Only the assets in
the Killduff exchange owned by Searsboro Telephone will be transferred
to Killduff Telephone, and no corporate change of control will result
from the proposed transaction.

Applicants assert that this transaction is entitled to presumptive
streamlined treatment under section 63.03(b)(1)(iii) of the Commission's
rules because it involves the transfer of the local exchange assets of
an incumbent local exchange carrier ("LEC") by means other than an
acquisition of corporate control.[^3]

Searsboro Telephone is an independent telephone company that currently
provides local exchange telecommunications services in the Killduff and
Searsboro exchanges, which are located in a rural, sparsely-populated
section of south central Iowa, in counties separated by an adjacent
service area. The Searsboro exchange serves approximately 210 access
lines, and the Killduff exchange serves approximately 190 access lines.
Searsboro Telephone's day-to-day operations are currently managed and
operated by Sully Telephone Association ("Sully Telephone"), which
provides local exchange service to the towns of Sully and Reasnor, Iowa,
as well as the surrounding rural area, and currently manages the
telephone operations in the Killduff exchange, subject to the oversight
of Searsboro Telephone. Searsboro Telephone is owned by Don Long, a U.S.
citizen.

Killduff Telephone is a newly-formed company that intends to operate as
a provider of local exchange and exchange access telecommunications
services in the State of Iowa, utilizing the facilities and equipment
that are currently in place to serve the Killduff exchange. Once the
transaction is complete, Killduff Telephone will provide local,
intrastate, and interstate telecommunications services to the customers
in the Killduff exchange. Killduff Telephone is owned by Karen Turner, a
U.S. citizen.

In this proposed transaction, Searsboro Telephone has agreed to sell the
assets of the Killduff, Iowa exchange to Killduff Telephone. This
transaction will include all assets of the Killduff exchange except
those specifically excluded by the agreement between the parties. Upon
consummation, Killduff Telephone will become the incumbent LEC in the
Killduff, Iowa exchange. Sully Telephone will continue to manage and
oversee the telephone operations of the Killduff exchange after its
transfer to Killduff Telephone. There will be no change in personnel, or
in the telecommunications products offered to end users, or in the
day-to-day operation of the Killduff exchange once the transfer is
complete.

The Applicants state that they will offer substantially identical
telecommunications services, at similar rates, to those currently
available to Searsboro Telephone's customers in the Killduff exchange.
Killduff Telephone, however, intends to implement upgrades and
improvements to enhance service in the Killduff exchange. Searsboro
Telephone intends to use the economic gains realized by the transaction
to enhance services to its remaining customers. No subscribers will lose
their access to local exchange service as a result of the transfer, and
he transfer of the exchange from Searsboro Telephone to Killduff
Telephone will be completely seamless to the subscribers in each
exchange.

The Applicants assert that the proposed transfer of control is in the
public interest because it will result in the efficient provision of
high-quality telecommunications services to rural consumers, and it will
result in direct benefits to customers in both the Killduff and
Searsboro exchanges. Killduff Telephone states they intend to make
several improvements to the facilities serving the Killduff exchange,
including the replacement of switches that will result in the
availability of enhanced features and improve the reliability of service
in the Killduff exchange. Furthermore, Killduff Telephone states that
they plan to build a fiber ring structure throughout the exchange, which
will enhance the redundancy and reliability of the network, as well as
extend high-speed digital transmission capabilities to areas not
currently served by fiber. Subscribers in the Searsboro exchange will
also benefit from the proposed transaction, as Searsboro Telephone
intends to use the economic gains from the sale of the Killduff exchange
to make upgrades to its equipment. The planned upgrades will permit the
company to offer additional and enhanced services in the Searsboro
exchange. Applicants further state that the proposed transaction will
increase the operating efficiency and effectiveness of
telecommunications services in the Killduff and Searsboro exchanges
because it will permit each of them to focus on serving a single
telephone exchange, rather than spreading limited personnel and
management resources over two rural exchanges.

**[GENERAL INFORMATION]{.underline}**

The transfer of control identified herein has been found, upon initial
review, to be acceptable for filing as a streamlined application. The
Commission reserves the right to return any transfer of control
application if, upon further examination, it is determined to be
defective and not in conformance with the Commission's rules and
policies. Interested parties may file **comments on or before September
3, 2004** and **reply comments on or before September 10, 2004**.[^4]
Unless otherwise notified by the Commission, Applicants are permitted to
transfer assets on the 31^st^ day after the date of this notice.[^5]
Comments may be filed using the Commission\'s Electronic Comment Filing
System (ECFS) or by filing paper copies. *See Electronic Filing of
Documents in Rulemaking Proceedings*, 63 Fed. Reg. 24121 (1998).

Comments filed through the ECFS can be sent as an electronic file via
the Internet to \<http://www.fcc.gov/e-file/ecfs.html\>. Generally, only
one copy of an electronic submission must be filed. If multiple docket
or rulemaking numbers appear in the caption of this proceeding, however,
commenters must transmit one electronic copy of the comments to each
docket or rulemaking number referenced in the caption. In completing the
transmittal screen, commenters should include their full name, U.S.
Postal Service mailing address, and the applicable docket or rulemaking
number. Parties may also submit an electronic comment by Internet
e-mail. To get filing instructions for e-mail comments, commenters
should send e-mail to ecfs@fcc.gov, and should include the following
words in the subject line "get form \<your e-mail address\>." A sample
form and directions will be sent in reply.

Parties who choose to file by paper must file an original and four
copies of each filing. If more than one docket or rulemaking number
appears in the caption of this proceeding, commenters must submit two
additional copies for each additional docket or rulemaking number.
Filings can be sent by hand or messenger delivery, by commercial
overnight courier, or by first-class or overnight U.S. Postal Service
mail (although we continue to experience delays in receiving U.S. Postal
Service mail). The Commission's contractor, Natek, Inc., will receive
hand-delivered or messenger-delivered paper filings for the
Commission\'s Secretary at 236 Massachusetts Avenue, N.E., Suite 110,
Washington, D.C. 20002. The filing hours at this location are 8:00 a.m.
to 7:00 p.m. All hand deliveries must be held together with rubber bands
or fasteners. Any envelopes must be disposed of before entering the
building. Commercial overnight mail (other than U.S. Postal Service
Express Mail and Priority Mail) must be sent to

9300 East Hampton Drive, Capitol Heights, MD 20743. U.S. Postal Service
first-class mail, Express Mail, and Priority Mail should be addressed to
445 12th Street, S.W., Washington, D.C. 20554. All filings must be
addressed to the Commission\'s Secretary, Office of the Secretary,
Federal Communications Commission.

**In addition, one copy of each pleading must be sent to each of the
following:**

The Commission's duplicating contractor, Best Copy and Printing, Inc.,
445 12th Street, SW, Room CY-B402, Washington, DC 20554,
[www.bcpiweb.com;]() phone: (202) 488-5300 fax: (202) 488-5563;

(1) Tracey Wilson, Competition Policy Division, Wireline Competition
    Bureau, 445 12^th^ Street, S.W., Room 5-C212, Washington, D.C.
    20554; e-mail: <tracey.wilson-parker@fcc.gov>;

(2) Alex Johns, Competition Policy Division, Wireline Competition
    Bureau, 445 12^th^ Street, S.W., Room 5-A321, Washington, D.C.
    20554; e-mail:
    [alexis.johns@fcc.gov](mailto:russell.hanser@fcc.gov);

(3) Julie Veach, Competition Policy Division, Wireline Competition
    Bureau, 445 12^th^ Street, S.W., Room 5-C124, Washington, D.C.
    20554; e-mail: <julie.veach@fcc.gov>;

(4) Susan O'Connell, Policy Division, International Bureau, 445 12^th^
    Street, S.W., Room 7-B544, Washington, D.C. 20554; email:
    [susan.o'connell@fcc.gov](mailto:cynthia.bryant@fcc.gov); and

(5) James Bird, Office of General Counsel, 445 12^th^ Street, S.W., Room
    8-C824, Washington, D.C. 20554; e-mail: <james.bird@fcc.gov>.

Filings and comments are also available for public inspection and
copying during regular business hours at the FCC Reference Information
Center, Portals II, 445 12th Street, SW, Room CY-A257, Washington, DC,
20554. They may also be purchased from the Commission\'s duplicating
contractor, the Commission's duplicating contractor, Best Copy and
Printing, Inc., Portals II, 445 12th Street, SW, Room CY-B402,
Washington, DC 20554, telephone: (202) 488-5300, fax: (202) 488-5563, or
via e-mail [www.bcpiweb.com](http://www.bcpiweb.com/).

For further information, please contact Tracey Wilson, at (202)
418-1394, or Alex Johns at (202) 418-1167.

\- **FCC** -

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height="6.944444444444445e-4in"}

[^1]: 47 C.F.R §§ 63.03, 63.04; *see* 47 U.S.C. § 214.

[^2]: Applicants are also filing an application for consent to transfer
    control of authorization for international and wireless services.
    Any action on this domestic 214 application is without prejudice to
    Commission action on other related pending applications.

[^3]: *See* 47 C.F.R. § 63.03(b)(1)(iii).

[^4]: *See* 47 C.F.R. § 63.03(a).

[^5]: Such authorization is conditioned upon receipt of any other
    necessary approvals from the Commission in connection with the
    proposed transaction.