Govt switches to IT&E for long distance calls

The Babauta administration has signed a contract with IT&E Overseas Inc. to provide long distance services to the CNMI government effective Sept. 1, 2005 to Aug. 31, 2007.

The two-year contract replaces Verizon, the government’s current provider.

This developed as Pacific Telecom Inc., the buyer of Verizon, is anticipated to fully take over the telephone company next month.

Last April, a number of Executive Branch officials led by Gov. Juan N. Babauta, also made a switch to SaipanCell for their mobile phone services.

This came after the Commonwealth Telecommunications Commission ruled in favor of the multi-million sale of Verizon to PTI.

In an Aug. 24, 2005 memorandum to all CNMI government agencies, acting Finance Secretary Cathryn C. Villagomez said the two-year contract was awarded to IT&E.

“IT&E will replace Verizon, the existing long distance provider, effective at 12:01am Thursday, Sept. 1, 2005. The services which will be provided are long distance support for authorized telephones and calling cards for approved users,” said Villagomez.

The changeover should be invisible to users of authorized telephones, she said, “as Verizon has provided its existing list of long distance enabled telephones to IT&E for switchover.”

Villagomez said calling cards will be distributed to existing approved users through the government’s administrative mail system.

She said some calling cards will bear only the agency’s name rather than the name of a particular employee.

She said employees will be provided a document to acknowledge receipt of these calling cards.

When reached yesterday, press secretary Peter A. Callaghan said that the switch to IT&E was made “to save on costs.”

“If we change our long distance provider because we got better rate, its good for us and good for the taxpayers,” said Callaghan.

The government local telephone system would remain with Verizon because “it’s the only local provider we have.”

Callaghan earlier denied any politics behind the government’s shift in mobile phone service providers.

Babauta had been opposed to the sale of Verizon to PTI and has openly expressed his disappointment over the CTC’s approval of the sale, saying that the arrangement does not solve the issue of “monopoly” in telecommunications.

IT&E’s direct dial rates for long distance showed that the government would be paying a flat rate of $0.06 per minute to continental United States, Hawaii, Alaska, and Guam; $0.08 to South Korea, China, Taiwan, Australia, Canada, and Singapore; $0.11 to Hong Kong, $0.20 to the Philippines; $0.23 to Thailand; $0.35 to FSM and Marshall Islands; and $0.46 to Fiji.