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                                                        DA 97-847

                            Before the
                FEDERAL COMMUNICATIONS COMMISSION
                     Washington, D.C.  20554


In the Matter of                             )
                                        )
The Respective Applications of                    )
Dakota Cooperative Telecommunications, Inc.,           )
Dakota Telecom, Inc., and                         )
Dakota Wireless Systems, Inc.                )    File No. ETC-97-5
for a Determination of Exempt Telecommunications  )
Company Status under Section 34 of the Public Utility  )
Holding Company Act of 1935, as added by          )
Section 103 of the Telecommunications Act of 1996 )    

                              ORDER

     Adopted: April 21, 1997                 Released: April 22, 1997

By the General Counsel:

I.   Background

     1.   On March 21, 1997, Dakota Cooperative Telecommunications, Inc. ("Dakota"),
Dakota Telecommunications Systems, Inc. ("DTS"), Dakota Telecom, Inc. ("DTI) and Dakota
Wireless Systems, Inc. ("DWS") (individually, an "Applicant" and collectively the "Applicants"),
filed a consolidated application for a Commission determination that each Applicant qualifies as
an "exempt telecommunications company" ("ETC") pursuant to section 34(a)(1) of the Public
Utility Holding Company Act of 1935 ("PUHCA"), as added by section 103 of the
Telecommunications Act of 1996.  The Applicants' consolidated application was placed on
public notice for comment on the adequacy and accuracy of the representations contained therein
on March 21, 1997, Dakota Cooperative Telecommunications, Inc. et al., DA No. 97-605 (OGC
released March 21, 1997).  No comments were filed in response to the public notice.  As
explained below, because each Applicant satisfies the statutory criteria required for an
affirmative determination of ETC status, Applicants' consolidated application is, therefore,
granted. 

     2.   Each of the Applicants represents that it is a South Dakota corporation.  
Applicants further represent that each is currently engaged, directly or indirectly, through one or
more "affiliates" (as defined in PUHCA section 2(a)(11)(B)), and exclusively in the business of
providing telecommunications services, information services, other services or products subject
to the jurisdiction of the Commission, and/or products or services that are related or incidental to
the provision of such products or services within the meaning of PUHCA section 34(a)(1).  Each
of the Applicants represent that it is neither a public utility holding company under PUHCA nor
an "affiliate," as that term is defined in PUHCA section 2(a)(11)(B), of a public utility holding
company.  However, each of the Applicants represent that it may, after obtaining a Commission
determination of ETC status, be acquired by a public utility holding company, or have a public
utility holding company maintain an interest in it, as expressly permitted by Sections 34(c)-(d) of
PUHCA.

     3.   According to the consolidated application, Dakota owns 100% of the shares of the
issued and outstanding stock of DTI, DTS and DWS.  All of the Applicants do business in the
states of South Dakota, Iowa and Minnesota.  Dakota is primarily engaged in the business of
providing local telephone service in the state of South Dakota.  DTI is primarily engaged in the
business of providing cable television service in the states of South Dakota, Iowa and Minnesota. 
DTI is also certified by the South Dakota Public Utilities Commission to provide
telecommunications services in the state of South Dakota.  DTS is primarily engaged in the
business of providing competitive local telephone service in the state of South Dakota.  DTS is
certified by the South Dakota Public Utilities Commission to provide telecommunications
services in the state of South Dakota.  Finally, DWS is primarily engaged in the business of
providing wireless service.

     4.   Based upon the representations contained in the Applicants' consolidated
application, we find that each Applicant meets the statutory requirements for a determination that
it is an exempt telecommunications company as that term is defined in PUHCA section 34(a)(1),
as amended.  

     5.   Accordingly, IT IS ORDERED that the consolidated application IS GRANTED. 
IT IS FURTHER ORDERED that the Securities and Exchange Commission SHALL BE
NOTIFIED of this determination.



                         FEDERAL COMMUNICATIONS COMMISSION




                         William E. Kennard
                         General Counsel