Assessment and Collection of Regulatory Fees for Fiscal Year 2009, 40089-40116 [E9-19104]
Download as PDF
Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
capped, thereby eliminating direct
contact with contaminated soil. The site
is also fenced, prohibiting trespassing.
Exposure to groundwater contributed a
risk of 3 × 10–4 and an HI of 3.3 to the
overall risk and hazard calculations for
the site. If the groundwater risk
assessment were performed today,
following the practices for calculating
an exposure point concentration (an
upper bound estimate of the mean
concentration) described in the Risk
Assessment Guidance for Superfund,
Part A (1989), and later clarified in the
‘‘Supplemental Guidance to RAGS:
Calculating the Concentration Term’’
(1992), the risk and hazard estimates
would be within the acceptable risk
range. Therefore, EPA determined that
no response action under CERCLA was
appropriate.
V. Deletion Action
The EPA, with concurrence of the
State of New Jersey through the New
Jersey Department of Environmental
Protection, has determined that all
appropriate response actions under
CERCLA, have been completed.
Therefore, EPA is deleting the Site from
the NPL.
Because EPA considers this action to
be noncontroversial and routine, EPA is
taking it without prior publication. This
action will be effective October 13, 2009
unless EPA receives significant adverse
comments by September 10, 2009. If
significant adverse comments are
received within the 30-day public
comment period, EPA will publish a
timely withdrawal of this direct final
notice of deletion before the effective
date of the deletion, and it will not take
effect. EPA will prepare a response to
comments and continue with the
deletion process on the basis of the
notice of intent to delete and the
comments already received. There will
be no additional opportunity to
comment.
List of Subjects in 40 CFR Part 300
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Environmental protection, Air
pollution control, Chemicals, Hazardous
substances, Hazardous waste,
Intergovernmental relations, Penalties,
Reporting and recordkeeping
requirements, Superfund, Water
pollution control, Water supply.
Dated: July 27, 2009.
George Pavlou,
Acting Regional Administrator, Region II.
For the reasons set out in this
document, 40 CFR part 300 is amended
as follows:
■
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PART 300—[AMENDED]
1. The authority citation for part 300
continues to read as follows:
■
Authority: 33 U.S.C. 1321(c)(2); 42 U.S.C.
9601–9657; E.O. 12777, 56 FR 54757, 3 CFR,
1991 Comp., p. 351; E.O. 12580, 52 FR 2923;
3 CFR, 1987 Comp., p. 193.
2. Table 1 of Appendix B to part 300
is amended by removing ‘‘Delilah
Road’’, ‘‘Egg Harbor Township, NJ.’’
■
[FR Doc. E9–19066 Filed 8–10–09; 8:45 am]
BILLING CODE 6560–50–P
FEDERAL COMMUNICATIONS
COMMISSION
47 CFR Part 1
[MD Docket No. 09–65; MD Docket No. 08–
65; FCC 09–62]
Assessment and Collection of
Regulatory Fees for Fiscal Year 2009
AGENCY: Federal Communications
Commission.
ACTION: Final rule.
SUMMARY: In this document, we amend
our Schedule of Regulatory Fees to
collect $341,875,000 in regulatory fees
for Fiscal Year (FY) 2009, pursuant to
section 9 of the Communications Act of
1934, as amended (the Act). These fees
are mandated by Congress and are
collected to recover the regulatory costs
associated with the Commission’s
enforcement, policy and rulemaking,
user information, and international
activities.
DATES:
Effective September 10, 2009.
FOR FURTHER INFORMATION CONTACT:
Daniel Daly, Office of Managing Director
at (202) 418–1832, or Roland Helvajian,
Office of Managing Director at (202)
418–0444.
SUPPLEMENTARY INFORMATION:
I. Introduction
1. In this Report and Order we
conclude the Assessment and Collection
of Regulatory Fees for Fiscal Year (FY)
2009 proceeding 1 to collect
$341,875,000 in regulatory fees for FY
2009, pursuant to section 9 of the
Communications Act of 1934, as
amended (the Act). Section 9 regulatory
fees are mandated by Congress and are
collected to recover the regulatory costs
associated with the Commission’s
enforcement, policy and rulemaking,
user information, and international
1 See Assessment and Collection of Regulatory
Fees for Fiscal Year 2009, MD Docket No. 09–65,
Notice of Proposed Rulemaking and Order, 24 FCC
Rcd 5966 (2009) (FY 2009 NPRM and Order).
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40089
activities.2 The annual regulatory fee
amount to be collected is established
each year in the Commission’s annual
appropriations act which is adopted by
Congress and signed by the President
and which funds the Commission.3 In
this annual regulatory fee proceeding,
we retain many of the established
methods, policies, and procedures for
collecting section 9 regulatory fees
adopted by the Commission in prior
years. Consistent with our established
practice, we intend to collect these
regulatory fees during a filing window
in September 2009 in order to collect
the required amount by the end of our
fiscal year.
II. Report and Order
2. On May 14, 2009, we released a
Notice of Proposed Rulemaking and
Order (FY 2009 NPRM and Order, 74 FR
26329, June 2, 2009) seeking comment
on regulatory fee issues for FY 2009.4
The section 9 regulatory fee proceeding
is an annual rulemaking process to
ensure the Commission collects the fee
amount required by Congress each year.
In the FY 2009 NPRM and Order, we
proposed to largely retain the section 9
regulatory fee methodology used in the
prior fiscal year except as discussed
below. We received nine comments and
two reply comments.5 We address the
issues raised in our FY 2009 NPRM and
Order below.
A. FY 2009 Regulatory Fee Assessment
Methodology—Development of FY 2009
Regulatory Fees
3. We note at the outset that in the
context of their comments on the FY
2009 regulatory fee proceeding,
commenters 6 discussed the
Commission’s Further Notice of
Proposed Rulemaking, which
accompanied the FY 2008 regulatory fee
Report and Order (FY 2008 Report and
Order, 73 FR 50285, August 26, 2008).7
Through that proceeding the
2 47
U.S.C. 159(a).
Omnibus Appropriations Act, 2009, P.L.
111–8, for the FY 2009 appropriations act language
for the Commission establishing the amount of
$341,875,000 of offsetting collections to be assessed
and collected by the Commission pursuant to
section 9 of the Communications Act.
4 See FY 2009 NPRM and Order.
5 See Appendix A for the list of commenters and
abbreviated names.
6 See comments from American Association of
Paging Carriers (AAPC); Coalition of CanadianBased Service Providers (Coalition); Independent
Telephone and Telecommunications Alliance
(ITTA); and United States Telecom Association
(USTelecom).
7 See Assessment and Collection of Regulatory
Fees for Fiscal Year 2008, MD Docket No. 08–65,
Report and Order and Further Notice of Proposed
Rulemaking, 24 FCC Rcd 6389 (2008) (FY 2008
Report and Order).
3 See
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Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
Commission sought comment on how it
could comprehensively make the
Commission’s regulatory fee process
more equitable.8 In the FY 2009 NPRM
and Order, we adopted two proposals
raised in the Further Notice of Proposed
Rulemaking in the FY 2008 Report and
Order.9 The other outstanding matters
stemming from the Further Notice of
Proposed Rulemaking in the FY 2008
Report and Order will be decided at a
later time in a separate Report and
Order.10
4. In our FY 2009 regulatory fee
assessment, we will use the same
section 9 regulatory fee assessment
methodology adopted for FY 2008. Each
fiscal year, the Commission
proportionally allocates the total
amount that must be collected via
section 9 regulatory fees. The results of
our FY 2009 regulatory fee assessment
methodology (including a comparison to
the prior year’s results) are contained in
Appendix B. To collect the
$341,875,000 required by Congress, we
adjust the FY 2008 amount upward by
approximately 9.6 percent and allocate
this amount across the various fee
categories. Consistent with past
practice, we then divide the FY 2009
amount by the number of payment units
in each fee category to determine the
unit fee.11 As in prior years, for cases
involving small fees, e.g., licenses that
are renewed over a multiyear term, we
divide the resulting unit fee by the term
of the license and then round these unit
fees consistent with the requirements of
section 9(b)(2) of the Act.
5. In calculating the FY 2009
regulatory fees listed in Appendix C, we
further adjusted the FY 2008 list of
payment units (see Appendix D) based
upon licensee databases and industry
and trade group projections. In some
instances, Commission licensee
8 FY
2008 Report and Order at paragraph 2.
2009 NPRM and Order at paragraphs 2–5; FY
2008 Report and Order at paragraphs 55 and 56.
10 In an effort to explore how the Commission
could comprehensively make the regulatory fee
process more equitable, the Commission sought and
received comments during FY 2008 about the
regulatory fee process, the calculation of regulatory
fees, and issues relating to specific categories of
fees. FY 2008 Report and Order at paragraphs 25–
58. The comprehensive regulatory fee revision
issues raised in the FY 2008 Further Notice of
Proposed Rulemaking remain outstanding at this
time.
11 In many instances, the regulatory fee amount is
a flat fee per licensee or regulatee. In some
instances, the fee amount represents a per-unit fee
(such as for International Bearer Circuits), a per-unit
subscriber fee (such as for Cable, Commercial
Mobile Radio Service (CMRS) Cellular/Mobile and
CMRS Messaging), or a fee factor per revenue dollar
(Interstate Telecommunications Service Provider
(ITSP) fee). The payment unit is the measure upon
which the fee is based, such as a licensee, regulatee,
or subscriber fee.
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databases were used; in other instances,
actual prior year payment records and/
or industry and trade association
projections were used in determining
the payment unit counts.12 Where
appropriate, we adjusted and rounded
our final estimates to take into
consideration events that may impact
the number of units for which regulatees
submit payment, such as waivers and
exemptions that may be filed in FY
2009, and fluctuations in the number of
licensees or station operators due to
economic, technical, or other reasons.
Therefore, our estimated FY 2009
payment units are based on FY 2008
actual payment units, but the number
may have been rounded or adjusted
slightly to account for these variables.
1. AM and FM Radio Stations
6. As in previous years, we consider
additional factors in determining
regulatory fees for AM and FM radio
stations. We did not receive any
comments on the use of these factors.
These factors are facility attributes and
the population served by the radio
station. The calculation of the
population served is determined by
coupling current U.S. Census Bureau
data with technical and engineering
data, as detailed in Appendix E.
Consequently, the population served, as
well as the class and type of service
(AM or FM), will continue to determine
the regulatory fee amount to be paid.13
2. Submarine Cable Methodology
7. In a Second Report and Order
(Submarine Cable Order, 24 FCC Rcd)
released on March 24, 2009, the
Commission adopted a new submarine
cable bearer circuit methodology that
assessed regulatory fees on a per cable
landing license basis, with higher fees
for larger submarine cable systems and
lower fees for smaller systems, without
12 The databases we consulted are the following:
the Commission’s Universal Licensing System
(ULS), International Bureau Filing System (IBFS),
Consolidated Database System (CDBS) and Cable
Operations and Licensing System (COALS). We also
consulted industry sources including, but not
limited to, Television & Cable Factbook by Warren
Publishing, Inc. and the Broadcasting and Cable
Yearbook by Reed Elsevier, Inc., as well as reports
generated within the Commission such as the
Wireline Competition Bureau’s Trends in
Telephone Service and the Wireless
Telecommunications Bureau’s Numbering Resource
Utilization Forecast and Annual CMRS Competition
Report.
13 In addition, beginning in FY 2005, we
established a procedure by which we set regulatory
fees for AM and FM radio and VHF and UHF
television Construction Permits each year at an
amount no higher than the lowest regulatory fee in
that respective service category. For example, the
regulatory fee for a Construction Permit for an AM
radio station will never be more than the regulatory
fee for an AM Class C radio station serving a
population of less than 25,000.
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distinguishing between common
carriers and non-common carriers.14 For
the other categories of international
bearer circuits—common carrier and
non-common carrier satellite facilities
and common carrier terrestrial
facilities—the Submarine Cable Order
retained the existing regulatory fee
methodology of assessing fees on a per
64 kbps circuit basis.
8. By way of brief background, in the
proposed fee rates for submarine cable
systems in the FY 2009 NPRM and
Order,15 the Commission allocated the
total FY 2009 bearer circuit expected
revenue into two revenue components:
a submarine cable revenue component
(87.6 percent) and a satellite/terrestrial
revenue component (12.4 percent) using
the Consensus Proposal allocation
adopted by the Commission in the
Submarine Cable Order.16 According to
the Consensus Proposal, this allocation
of 87.6 percent (submarine cable) and
12.4 percent (satellite/terrestrial) was
calculated by determining the revenue
obligations of submarine cable systems
with the revenue obligations of the
satellite and terrestrial facilities using
the FY 2008 revenue requirement as its
basis.17 For calculating these new bearer
circuit fees, we will use these allocation
percentages of 87.6 percent (submarine
cable) and 12.4 percent (satellite and
terrestrial) as a starting point. Consistent
with the Commission’s annual process
of updating its schedule of regulatory
fees based on the most recent data, we
will re-examine the allocation
percentages described above on an
annual basis as the starting point for
applying the new submarine cable
methodology.
9. After the adoption of the
Submarine Cable Order, the
Commission notified Congress on April
15, 2009 per section 9(b)(4)(B) of the
Communications Act of the
methodology change.18 The pending 90day congressional notification period
expired on July 15, 2009. The new
bearer circuit methodology is effective.
14 See Assessment and Collection of Regulatory
Fees for Fiscal Year 2008, Second Report and Order,
24 FCC Rcd 4208, paragraph 1 (May 12, 2009)
(Submarine Cable Order).
15 See FY 2009 NPRM and Order at Appendix A.
16 See Submarine Cable Order at paragraphs 1
and 6.
17 Id. at 6.
18 47 U.S.C. 159(b)(4)(B); Letter concerning
permitted amendment from Office of Managing
Director, Federal Communications Commission to
Chair and Ranking Members of U.S. House of
Representatives’ Committees on Energy and
Commerce and Appropriations and applicable
Subcommittees and to Chair and Ranking Members
of the United States Senate Committees on
Commerce, Science, and Transportation and
Appropriations and applicable Subcommittees (sent
April 15, 2009).
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The FY 2009 regulatory fee rates for
submarine cable systems included in
the FY 2009 Schedule of Regulatory
Fees in Appendix C reflect the
Commission’s adoption of the
methodology in the Submarine Cable
Order.
3. Elimination of Regulatory Fee
Categories for International Public Fixed
Radio and International High Frequency
Broadcast Stations
10. In our FY 2008 Report and Order,
we sought comment on eliminating
several categories of services from our
schedule of regulatory fees.19 The
Commission received no comments on
those proposals. In the FY 2009 NPRM
and Order, the Commission adopted an
Order which eliminated the regulatory
fee categories for International Public
Fixed Radio and International High
Frequency Broadcast Stations.20
11. After the adoption of the FY 2009
NPRM and Order, the Commission
notified Congress on May 20, 2009 per
section 9(b)(4)(B) of the
Communications Act of the
methodology change.21 After the
pending 90-day congressional
notification period expires, i.e., after
August 18, 2009, the elimination of
these two regulatory fee categories will
become effective. The FY 2009 Schedule
of Regulatory Fees in Appendix C
reflects the elimination of these two
categories based on the Commission’s
action in the FY 2009 NPRM and Order.
B. Regulatory Fee Obligations for Digital
Broadcasters
12. In our FY 2009 NPRM and Order,
we reiterated that consistent with past
years, we would not assess FY 2009
regulatory fees for both digital and
analog licenses from a licensee in the
process of transitioning from analog to
digital.22 Furthermore, we stated that
stations that were broadcasting in both
analog and digital on October 1, 2008
would be assessed FY 2009 regulatory
fees for their analog license only.23 Also
consistent with our past practice, we
noted that stations that were
broadcasting in digital only on October
19 FY
2008 Report and Order at paragraphs 55 and
56.
20 FY
2009 NPRM and Order at paragraph 5.
U.S.C. 159(b)(4)(B); Letter concerning
permitted amendment from Office of Managing
Director, Federal Communications Commission to
Chair and Ranking Members of U.S. House of
Representatives’ Committees on Energy and
Commerce and Appropriations and applicable
Subcommittees and to Chair and Ranking Members
of the United States Senate Committees on
Commerce, Science, and Transportation and
Appropriations and applicable Subcommittees (sent
May 20, 2009).
22 FY 2009 NPRM and Order at paragraph 10.
23 Id.
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1, 2008 would not be assessed
regulatory fees for their digital license
for FY 2009.24
13. In our FY 2009 NPRM and Order,
we proposed that beginning in FY 2010,
we plan to collect regulatory fees from
digital broadcasters, and we sought
comment on this plan to collect
regulatory fees on full-power digital
broadcast stations beginning with FY
2010, i.e., the fiscal year after the nationwide transition date on June 12, 2009.25
We received no comments on this issue.
Our goal is to ensure that digital
broadcasters will pay their share of
regulatory fees in the years after the
nation-wide transition is complete.
Therefore, in FY 2010, we will collect
regulatory fees from digital broadcasters.
During the FY 2010 regulatory fee
process, we will again remind digital
broadcasters of their regulatory fee
obligations.
C. Commercial Mobile Radio Service
Messaging Service
14. Commercial Mobile Radio Service
(CMRS) Messaging Service, which
replaced the CMRS One-Way Paging fee
category in 1997, includes all
narrowband services.26 In the FY 2009
NPRM and Order, we proposed
maintaining the messaging service
regulatory fee at $0.08 per subscriber,
the rate first established for this service
in FY 2002.27
15. One commenter, AAPC, addressed
this issue.28 AAPC submits that
maintaining the fee at the existing level
is the minimum reasonable and
appropriate action under the prevailing
circumstances in the paging industry.29
We conclude that for FY 2009 we
should continue this regulatory fee rate
at $0.08 per subscriber due to the
declining subscriber base in this
industry.30
D. International Bearer Circuits
1. Terrestrial Non-Common Carrier
Circuits
16. As part of our comprehensive
effort to review our regulatory fees
process for possible ways to make the
process more equitable, we sought
comment in our FY 2009 NPRM and
24 Id.
25 Id.
at paragraph 11.
Assessment and Collection of Regulatory
Fees for Fiscal Year 1997, MD Docket No. 96–186,
Report and Order, 12 FCC Rcd 17161, 17184–85,
paragraph 60 (1997) (FY 1997 Report and Order).
27 FY 2009 NPRM and Order at paragraph 12.
28 AAPC Comments at 1–4.
29 Id. at 2.
30 The subscriber base in the paging industry
declined 83 percent from 40.8 million to 6.95
million, from FY 1997 to FY 2008, according to FY
2008 collection data as of September 30, 2008.
26 See
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40091
Order on whether, beginning in FY
2010, carriers providing international
service over terrestrial circuits should
also pay international bearer circuit
(IBC) fees on non-common carrier
circuits.31 Five parties filed comments
or reply comments. In joint comments,
Bestel USA Inc., Hibernia Atlantic US
LLC, and Level 3 Communications LLC
(Joint Commenters) argue that carriers
should not be assessed regulatory fees
on their non-common carrier circuits, in
part, because the Commission does not
authorize those services or collect data
on them, and thus there is no burden on
the Commission to regulate these
services.32 The Coalition of CanadianBased Service Providers (Coalition)
echoes these arguments, contending that
international terrestrial fiber-based noncommon carriers are not regulated by
the Commission, they do not hold 214
licenses, and are not subject to
enforcement and policymaking
activities.33 Sprint Nextel (Sprint)
opposes the imposition of regulatory
fees on terrestrial non-common carrier
bearer circuits that are used exclusively
for providing Internet/IP services.34
AT&T, on the other hand, argues that in
the interest of providing equitable
treatment of all providers, per circuit
fees should be levied on non-common
carrier terrestrial circuits.35 Verizon and
Verizon Wireless agree with Joint
Commenters, the Coalition and Sprint,
that non-common carrier services over
terrestrial international circuits is
inherently different from such services
over satellite circuits and submarine
cable systems.36 In its reply comments,
AT&T argues that non-common carrier
terrestrial circuits currently receive an
unfair cost advantage because they are
not assessed a regulatory fee, and it is
possible that common carriers will
increasingly market capacity on a noncommon carrier basis to avoid paying
these fees, thereby increasing the fees
for the smaller pool of remaining
common carrier circuits.37
17. The commenters present a number
of competing arguments on whether
carriers should be assessed regulatory
fees for their terrestrial non-common
carrier circuits. In the FY 2009 NRPM
and Order, we sought comment on
whether we should make such an
assessment starting in FY 2010, at the
earliest. Given the complexity of the
31 FY
2009 NPRM and Order at paragraph 13–14.
USA, Hibernia Atlantic US, and Level 3
Communications comments at 3–4.
33 Coalition comments at 3, 8–9.
34 Sprint comments at 1.
35 AT&T comments at 1.
36 Verizon and Verizon Wireless comments at
2–3.
37 AT&T reply comments at 1–2.
32 Bestel
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Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
legal, policy and equity issues involved,
we decline to make a determination at
this time. We may further consider this
issue in the future.
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E. Administrative and Operational
Issues
18. In our FY 2009 NPRM and Order,
we sought general comment on ways to
improve our procedures in collecting
annual section 9 regulatory fees.38 We
received comments from the American
Cable Association (ACA) regarding the
fee notification of CARS (Cable
Television Relay Service) and Earth
Station licensees, and one specific
comment from AT&T to send annual
notification assessments to licensees of
submarine cable systems. We received
no reply comments relating to our
collection procedures and processes. We
will address these comments in the
appropriate paragraphs below.
1. Mandatory Use of Fee Filer
19. In our FY 2009 NPRM and Order,
we proposed to institute a mandatory
filing requirement using the
Commission’s electronic filing and
payment system (also known as Fee
Filer).39 Fee Filer is not a new system
at the Commission, and although we
have strongly encouraged its use for
many years for the filing and payment
of annual regulatory fees, we proposed
this year to make its use mandatory. We
received no comments and no reply
comments regarding this matter.
20. For the reasons discussed in the
FY 2009 NPRM and Order, we conclude
that beginning in the FY 2009 regulatory
fee cycle, licensees filing their annual
regulatory fee payments must begin the
process by entering the Commission’s
Fee Filer system with a valid FRN and
password. Therefore, it is very
important for licensees to have a current
and valid FRN address on file in the
Commission’s Registration System
(CORES). Licensees will also need to
have their FRN passwords available
when entering the Commission’s CORES
registration system. In some instances, it
will be necessary to use a specific FRN
and password that is linked to a
particular regulatory fee bill. Going
forward, only Form 159–E documents
generated from Fee Filer will be
permitted when sending in a regulatory
fee payment to U.S. Bank. By requiring
licensees to use Fee Filer to begin the
regulatory fee payment process, errors
resulting from illegible handwriting on
hardcopy Form 159’s will be greatly
reduced, and we will be able to create
an electronic record of licensee payment
38 FY
39 FY
2009 NPRM and Order at paragraph 15.
2009 NPRM and Order at paragraph 16.
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attributes that are more easily traced
than those payments that are simply
mailed in with a hardcopy Form 159.
21. There are many benefits to
licensees for using the Commission’s
electronic filing and payment system:
(1) Expeditious submission of payment;
(2) no postage or courier costs (when
paid through Fee Filer); (3) fewer errors
caused by illegible handwriting or
payments submitted without an FRN
number or the appropriate data
attributes (e.g., payers will avoid
receiving delinquency notices because
of payment submission errors); (4)
improved recordkeeping and payment
reconciliation; (5) reduced
administrative burden on both licensees
and on Commission staff in processing
regulatory fee payments; (6) less
expensive than a wire transfer; and (7)
a reduced burden of preparing, mailing,
and storing paper documents.
22. We realize that not all licensees
are able to pay their regulatory fees
using Fee Filer. In some instances, the
regulatory fee payment may be greater
than $99,999, in which case, the use of
a credit card will be limited by
restrictions placed on it by the U.S.
Treasury. For those licensees who
choose to pay by check or money order
or pay via wire transfer, a voucher Form
159–E will be needed before mailing the
check to the Commission’s lockbox
bank, or in the case of a wire transfer,
faxing the Form 159–E to the lockbox
bank. For those licensees choosing to
make a payment using their bank
account (also known as an Automated
Clearing House (‘‘ACH’’) payment), the
submission of Form 159–E to the
lockbox bank will not be necessary. In
such situations, regardless of whether a
payment is made online or submitted
with a check or money order along with
a Form 159–E, the Commission’s
requirement now is to begin the process
of paying regulatory fees by starting
with Fee Filer. The primary difference
is that by starting the payment process
using Fee Filer, even if the payment is
then mailed to the Commission’s
lockbox bank, a voucher Form 159–E
will be generated that will have
important electronic attributes
associated with this regulatory fee
payment.
23. The mandatory use of Fee Filer to
begin the regulatory fee payment
process is an important step forward in
providing our licensees with a
paperless, electronic environment to use
when conducting business with the
Commission. This practice of using Fee
Filer will not only enable the
Commission to process regulatory fee
payments more efficiently and
accurately, it will also benefit licensees
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by reducing the administrative burden
of filing and paying annual regulatory
fees. Because no comments or reply
comments were submitted to the
contrary regarding this issue, we will
institute a mandatory use of Fee Filer to
begin the process of filing to pay annual
regulatory fees. Beginning in the FY
2009 regulatory fee cycle, only Form
159–E documents generated from Fee
Filer will be permitted when sending in
a regulatory fee payment to U.S. Bank.
2. Notification and Collection of
Regulatory Fees
a. Pre-Bills
24. In prior years, the Commission
mailed pre-bills via surface mail to
licensees in select regulatory fee
categories: Interstate
telecommunications service providers
(ITSPs), Geostationary (GSO) and NonGeostationary (NGSO) satellite space
station licensees,40 holders of Cable
Television Relay Service (CARS)
licenses, and Earth Station licensees.41
The remaining regulatees did not
receive pre-bills. In our FY 2009 NPRM
and Order, we proposed to show the
attributes of these pre-bills on Fee Filer,
but not actually mail them out to
licensees via surface mail.42 We
received one general comment from the
American Cable Association (ACA), and
one specific comment from AT&T. We
received no reply comments.
25. The ACA contends that because
there are many small cable operators
and independent earth station licensees,
the Commission should provide notice
to each licensee via e-mail when the
pre-bill information for CARS and Earth
Stations is available for viewing in Fee
Filer.43 ACA understands why the
40 Geostationary orbit space station (GSO)
licensees received regulatory fee pre-bills for
satellites that (1) were licensed by the Commission
and operational on or before October 1 of the
respective fiscal year; and (2) were not co-located
with and technically identical to another
operational satellite on that date (i.e., were not
functioning as a spare satellite). Non-geostationary
orbit space station (NGSO) licensees received
regulatory fee pre-bills for systems that were
licensed by the Commission and operational on or
before October 1 of the respective fiscal year.
41 An assessment is a proposed statement of the
amount of regulatory fees owed by an entity to the
Commission (or proposed subscriber count to be
ascribed for purposes of setting the entity’s
regulatory fee) but it is not entered into the
Commission’s accounting system as a current debt.
A pre-bill is considered an account receivable in the
Commission’s accounting system. Pre-bills reflect
the amount owed and have a payment due date of
the last day of the regulatory fee payment window.
Consequently, if a pre-bill is not paid by the due
date, it becomes delinquent and is subject to our
debt collection procedures. See also 47 CFR
1.1161(c), 1.1164(f)(5), and 1.1910.
42 See FY 2009 NPRM and Order at paragraph 20.
43 American Cable Association (ACA) comments
at 4.
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Commission has decided to discontinue
mailing these pre-bills, but contends
that the Commission should consider email as an alternate way of notifying
small operators that their bill
information is available in Fee Filer.44
ACA also contends that if the
Commission decides to cease mailing
pre-bill notices, it is likely that many
small operators will be unaware of this
change, and as a result, some operators
may inadvertently miss the filing
deadline while waiting for receipt of the
pre-bill.45 For this reason, ACA suggests
that cable operators with 5,000 or fewer
subscribers should receive a 180-day
grace period for FY 2009 CARS and
Earth Station regulatory fee payments.46
In its comments, AT&T recommends
that the Commission send a separate
annual fee assessment notification to
each submarine cable licensee
informing them of their obligation to
pay submarine cable regulatory fees.47
26. The Commission does not
maintain a systematic listing of e-mail
addresses for individual CARS and
Earth Station licensees, and so,
attempting to use such a listing to
contact small cable operators and
independent earth station licensees may
not prove useful. However, because all
pre-bills will be loaded into Fee Filer,
once Fee Filer becomes operational, this
will be the signal by which licensees
can view their pre-bill information
online. As we have for many years, the
Commission will post a Public Notice
online announcing the date Fee Filer
will become operational, and once this
Notice is published, licensees will know
that they can view their pre-bill
information in Fee Filer. Having
provided this Notice to licensees and
having urged licensees to use Fee Filer
for several years, the Commission will
not provide a 180-day grace period for
regulatory fee payments as ACA
suggests.
27. In its comments, AT&T suggests
that the Commission notify licensees of
their obligation to pay submarine cable
system regulatory fees. AT&T contends
that because there is a new regulatory
fee methodology for submarine cable
fees, and there can be multiple license
holders for each submarine cable
system, the Commission should try to
contact the license holders of submarine
cable systems to inform them of their
obligation to pay submarine cable
regulatory fees.48 In the Submarine
44 Id.
45 Id.
at 4.
at 5.
Cable Order,49 the Commission did
implement a regulatory fee methodology
change for submarine cable systems.
Although there may be multiple license
holders for each submarine cable
system, the total number of license
holders is small and information
available for each license holder is
relatively accurate. However, rather
than sending individual notification
assessments to each submarine cable
licensee, as AT&T suggests, the
Commission in FY 2009 will publish a
Public Notice that identifies the license
holders of each submarine cable system.
This Public Notice will serve as notice
to all submarine cable license holders of
their FY 2009 obligation to pay
regulatory fees under the new
methodology.
III. Procedural Matters
28. Included below are procedural
items as well as our current payment
and collection methods that we have
revised over the past several years to
expedite the processing of regulatory fee
payments. We include these payments
and collection procedures here as a
useful way to remind regulatory fee
payers and the public about these
aspects of the annual regulatory fee
collection process. For FY 2009, we
have not changed our procedures with
the exception of Pre-Bills, which as
discussed above the Commission will
no longer be sending out via surface
mail. We also discuss at the outset a
procedural matter about waivers raised
by a commenter.
29. In its comments, the Named State
Broadcasters Associations (State
Associations) suggested that the
Commission’s standard for deciding
whether to grant a waiver for financial
hardship should be revised to allow
greater flexibility.50 The State
Associations commented that the
current recession is crippling stations
nationwide.51 Furthermore, the State
Associations commented that:
‘‘Especially during this period of deep
recession, if a station shows the
Commission (i) that its revenues are
down substantially and that it has had
to cut expenses, including employee
layoffs, furloughs, and salary reductions
in order to keep the station operating, or
(ii) that it has broken, or is close to
breaking, loan covenants or is otherwise
in default of its financing, or (iii) that it
is on the brink of some form of
foreclosure or bankruptcy, a waiver of
46 Id.
49 See
47 AT&T
50 State
Submarine Cable Order at paragraph 1.
Associations at 6–7.
51 Id. at 7.
comments at 3.
48 Id. at 3.
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the FY 2009 regulatory fee payment
requirement should be granted.’’ 52
30. We decline to adopt the State
Associations’ proposals. In establishing
the regulatory fee program, the
Commission recognized that in certain
instances payment of a regulatory fee
may impose an undue financial
hardship upon a licensee. The
Commission therefore decided to grant
waivers or reductions of its regulatory
fees in those instances where a
‘‘petitioner presents a compelling case
of financial hardship.’’ 53 Under the
current standard employed by the
Commission, regulatees can establish
financial hardship by submitting:
‘‘Information such as a balance sheet
and profit and loss statement (audited,
if available), a cash flow projection
* * * (with an explanation of how
calculated), a list of their officers and
their individual compensation, together
with a list of their highest paid
employees, other than officers, and the
amount of their compensation, or
similar information.’’ 54 The
Commission also accepts as evidence of
financial hardship that licensees’
stations are bankrupt, undergoing
Chapter 11 reorganization, or in
receivership.55 Furthermore, the
Commission will accept evidence that a
broadcast station is not broadcasting
(dark) as evidence of financial
hardship.56 The current financial
hardship standards have proven useful
as bright line tests that can be
administered predictably. The
Commission does not intend to change
these standards at this time and notes
that various groups of licensees are
impacted by the broader economy from
year to year. Modifying our financial
hardship waiver standards to
accommodate fluctuating economic
changes and a potentially limitless
variety of different financial showings
would not assure that waivers are
granted predictably, fairly, and
efficiently, and would therefore not be
in the public interest.
A. Public Notices and Fact Sheets
31. Each year we post public notices
and fact sheets pertaining to regulatory
fees on our web site. These documents
contain information about the payment
due date and the regulatory fee payment
procedures. We will continue to post
52 Id.
53 See Implementation of Section 9 of the
Communications Act, 9 FCC Rcd 5333, 5346 (1994),
recon. granted, 10 FCC Rcd 12759 (1995)
(Implementation of Section 9 Order).
54 Implementation of Section 9 Order, 10 FCC Rcd
at 12762, paragraph 13.
55 Id. at 12762, paragraph 14.
56 Id. at 12762, paragraph 15.
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this information on https://www.fcc.gov/
fees/regfees.html, but as in previous
years we will not send out public
notices and fact sheets to regulatees en
masse.
B. Assessment Notifications
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1. Media Services Licensees
32. Beginning in FY 2003, we sent fee
assessment notifications via surface
mail to media services entities on a perfacility basis.57 The notifications
provided the assessed fee amount for
the facility in question, as well as the
data attributes that determined the fee
amount. We have since refined this
initiative with improved results.58
Consistent with procedures used last
year, we will continue our notification
assessment initiative in FY 2009 and
mail media assessment notifications to
licensees at their primary record of
contact populated in our Consolidated
Database System (CDBS), and to a
secondary record of contact, if available.
We again will issue fee assessments for
AM and FM Radio Stations, AM and FM
Construction Permits, FM Translators/
Boosters, VHF and UHF Television
Stations, VHF and UHF Television
Construction Permits, Satellite
Television Stations, Low Power
Television (LPTV) Stations and LPTV
Translators/Boosters, to the extent that
applicants, permittees and licensees of
such facilities do not qualify as
government entities or non-profit
entities. Fee assessments have not been
issued for broadcast auxiliary stations in
prior years, nor will they be issued in
FY 2009. We will also continue to make
the Commission-authorized web site
available to licensees so that they can
update or correct any information
regarding their facilities and their feeexempt status.59
57 As stated previously at footnote 42, an
assessment is a proposed statement of the amount
of regulatory fees owed by an entity to the
Commission (or proposed subscriber count to be
ascribed for purposes of setting the entity’s
regulatory fee) but it is not entered into the
Commission’s accounting system as a current debt.
58 Some of those refinements have been to
provide licensees with a Commission-authorized
web site to update or correct any information
concerning their facilities, and to amend their feeexempt status, if need be. Also, our notifications
now provide licensees with a telephone number to
call in the event that they need customer assistance.
The notifications themselves have been refined so
that licensees of fewer than four facilities receive
individual fee assessment postcards for their
facilities; whereas licensees of four or more
facilities now receive a single assessment letter that
lists all of their facilities and the associated
regulatory fee obligation for each facility.
59 If there is a change of address for the facility,
it is the licensee’s responsibility to make the
address change in the Media Bureau’s CDBS
system, as well as in the Commission’s Registration
System (CORES). The Commission-authorized web
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33. Although the Commission will
continue to mail media assessment
notifications, licensees (including media
services) will be required to use Fee
Filer as the first step to paying their
regulatory fee obligations. The
notification assessments are primarily
intended to provide licensees with
media data attributes and should not be
considered a substitute to using Fee
Filer as the first step in filing and paying
regulatory fees. As explained previously
in paragraphs 19 through 23, licensees
must first log onto the Commission’s
Fee Filer system to begin the process of
filing and paying their regulatory fees,
but once in Fee Filer, licensees may pay
by check or money order, credit card,
wire transfer, or by ACH. To pay by
check, money order, or wire transfer,
licensees must log onto Fee Filer and
generate a Form 159–E before mailing in
their payment along with Form 159–E.
2. CMRS Cellular and Mobile Services
Assessments
34. As we have done in prior years,
we will continue to mail an assessment
letter to CMRS providers using data
from the Numbering Resource
Utilization Forecast (NRUF) report that
is based on ‘‘assigned’’ number counts
that have been adjusted for porting to
net Type 0 ports (‘‘in’’ and ‘‘out’’).60
This letter will include a listing of the
carrier’s Operating Company Numbers
(OCNs) upon which the assessment is
based.61 The letters will not include
OCNs with their respective assigned
number counts, but rather, an aggregate
total of assigned numbers for each
carrier.
35. We will also continue our
procedure of giving entities an
opportunity to revise their subscriber
counts by sending an initial and a final
assessment letter. If the carrier does not
agree with the number of subscribers
listed on the initial assessment letter,
the carrier can correct its subscriber
count on the letter and return it by the
date specified in the assessment letter or
by contacting the Commission and
stating a reason for the change (e.g., a
purchase or sale of a subsidiary), the
date of the transaction, and any other
pertinent information that will help to
justify a reason for the change. If we
receive no response or correction to our
initial assessment letter, we will expect
site for media services licensees is https://
www.fccfees.com.
60 See Assessment and Collection of Regulatory
Fees for Fiscal Year 2005 and Assessment and
Collection of Regulatory Fees for Fiscal Year 2004,
MD Docket Nos. 05–59 and 04–73, Report and
Order and Order on Reconsideration, 20 FCC Rcd
12259, 12264, paragraphs 38–44 (2005).
61 Id.
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the fee payment to be based on the
number of subscribers listed on the
initial assessment. We will review all
responses to the initial assessment
letters and determine whether a change
in the number of subscribers is
warranted. The final assessment letter
will inform carriers as to whether we
have accepted their revision in the
number of subscribers.
36. Because some carriers do not file
the NRUF report, they may not receive
a letter of assessment. In these
instances, the carriers should compute
their fee payment using the standard
methodology 62 that is currently in place
for CMRS Wireless services (e.g.,
compute their subscriber counts as of
December 31, 2008), and submit their
fee payment accordingly. Whether a
carrier receives an assessment letter or
not, the Commission reserves the right
to audit the number of subscribers for
which regulatory fees are paid. In the
event that the Commission determines
that the number of subscribers is
inaccurate or that an insufficient reason
is given for making a correction on the
initial assessment letter, the
Commission will assess the carrier for
the difference between what was paid
and what should have been paid.
C. Streamlined Regulatory Fee Payment
Process
1. Cable Television Subscribers
37. We will continue to permit cable
television operators to base their
regulatory fee payment on their
company’s aggregate year-end
subscriber count, rather than requiring
them to sub-report subscriber counts on
a per community unit identifier (CUID)
basis.
2. CMRS Cellular and Mobile Providers
38. In FY 2006, we streamlined the
CMRS payment process by eliminating
the requirement for CMRS providers to
identify their individual calls signs
when making their regulatory fee
payment, requiring instead for CMRS
providers to pay their regulatory fees
only at the aggregate subscriber level
without having to identify their various
call signs.63 We will continue this
practice in FY 2009. In FY 2007, we
consolidated the CMRS cellular and
CMRS mobile fee categories into one fee
category and as one fee code, thereby
eliminating the requirement for CMRS
62 See, e.g., Federal Communications
Commission, Regulatory Fees Fact Sheet: What You
Owe—Commercial Wireless Services for FY 2008 at
1 (rel. Aug. 2008).
63 See Assessment and Collection of Regulatory
Fees for Fiscal Year 2006, MD Docket No. 06–68,
Report and Order, 21 FCC Rcd 8092, 8105,
paragraph 48 (2006).
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providers to separate their subscriber
counts into CMRS cellular and CMRS
mobile fee categories during the
regulatory fee payment process. This
consolidation of fee categories enabled
the Commission to process payments
more quickly and accurately. For FY
2009, we will continue this practice of
combining the CMRS cellular and
CMRS mobile fee categories into one
regulatory fee category.
3. Interstate Telecommunications
Service Providers (ITSP)
39. In FY 2007, we adopted a proposal
to round lines 14 (total subject
revenues) and 16 (total regulatory fee
owed) on FCC Form 159–W to the
nearest dollar. This revision enabled the
Commission to process the ITSP
regulatory fee payments more quickly
because rounding was performed in a
consistent manner and eliminated
processing issues that occurred in prior
years. In FY 2009, we will continue
rounding lines 14 and 16 when
calculating the FY 2009 ITSP fee
obligation, but as indicated earlier, we
will not be mailing out Form 159–W via
surface mail.
D. Payment of Regulatory Fees
1. Lock Box Bank
40. All lock box payments to the
Commission for FY 2009 will be
processed by U.S. Bank, St. Louis,
Missouri, and payable to the FCC. For
all regulatory fees, the address is:
Federal Communications Commission,
Regulatory Fees, P.O. Box 979084, St.
Louis, MO 63197–9000.
2. Receiving Bank for Wire Payments
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41. The receiving bank for all wire
payments is the Federal Reserve Bank,
New York, New York (TREAS NYC).
When making a wire transfer, regulatees
must fax a copy of their Fee Filer
generated Form 159–E to U.S. Bank, St.
Louis, Missouri at (314) 418–4232 at
least one hour before initiating the wire
transfer (but on the same business day),
so as to not delay crediting their
account. Wire transfers initiated after
6:00 p.m. (EDT) will be credited the
next business day. Complete
instructions for making wire payments
are posted at https://www.fcc.gov/fees/
wiretran.html.
3. De Minimis Regulatory Fees
42. Regulatees whose total FY 2009
regulatory fee liability, including all
categories of fees for which payment is
due, is less than $10 are exempted from
payment of FY 2009 regulatory fees.
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4. Standard Fee Calculations and
Payment Dates
43. The Commission will accept fee
payments made in advance of the
window for the payment of regulatory
fees. The responsibility for payment of
fees by service category is as follows:
• Media Services: Regulatory fees
must be paid for initial construction
permits (including construction permits
for digital television stations) that were
granted on or before October 1, 2008 for
AM/FM radio stations, analog VHF/UHF
full service television stations, and
satellite television stations. Regulatory
fees must be paid for all broadcast
facility licenses granted on or before
October 1, 2008. In instances where a
permit or license is transferred or
assigned after October 1, 2008,
responsibility for payment rests with the
holder of the permit or license as of the
fee due date.
• Wireline (Common Carrier)
Services: Regulatory fees must be paid
for authorizations that were granted on
or before October 1, 2008. In instances
where a permit or license is transferred
or assigned after October 1, 2008,
responsibility for payment rests with the
holder of the permit or license as of the
fee due date. We note that audio
bridging service providers are included
in this category.64
• Wireless Services: CMRS cellular,
mobile, and messaging services (fees
based on number of subscribers or
telephone number count): Regulatory
fees must be paid for authorizations that
were granted on or before October 1,
2008. The number of subscribers, units,
or telephone numbers on December 31,
2008 will be used as the basis from
which to calculate the fee payment.
• The first eleven regulatory fee
categories in our Schedule of Regulatory
Fees (see Appendix C) pay ‘‘small multiyear wireless regulatory fees.’’ Entities
pay these regulatory fees in advance for
the entire amount of their five-year or
ten-year term of initial license, and only
pay regulatory fees again when the
license is renewed or a new license is
obtained. We include these fee
categories in our Schedule of Regulatory
Fees to publicize our estimates of the
number of ‘‘small multi-year wireless’’
64 Audio bridging services are toll
teleconferencing services, and audio bridging
service providers are required to contribute directly
to the universal service fund based on revenues
from these services. On June 30, 2008, the
Commission released the InterCall Order, in which
the Commission stated that InterCall, Inc. and all
similarly situated audio bridging service providers
are required to contribute directly to the universal
service fund. See Request for Review by InterCall,
Inc. of Decision of Universal Service Administrator,
CC Docket No. 96–45, Order, 23 FCC Rcd 10731
(2008) (‘‘InterCall Order’’).
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licenses that will be renewed or newly
obtained in FY 2009.
• Multichannel Video Programming
Distributor Services (cable television
operators and CARS licensees):
Regulatory fees must be paid for the
number of basic cable television
subscribers as of December 31, 2008.65
Regulatory fees also must be paid for
CARS licenses that were granted on or
before October 1, 2008. In instances
where a CARS license is transferred or
assigned after October 1, 2008,
responsibility for payment rests with the
holder of the license as of the fee due
date.
• International Services: Regulatory
fees must be paid for earth stations,
geostationary orbit space stations and
non-geostationary orbit satellite systems
that were licensed and operational on or
before October 1, 2008. In instances
where a license is transferred or
assigned after October 1, 2008,
responsibility for payment rests with the
holder of the license as of the fee due
date. Regulatory fees will be paid for
international bearer circuits under our
newly adopted methodology pending a
90-day Congressional notification for
this permitted amendment; 66 if for any
reason the methodology change is not
instituted in FY 2009, the pre-FY 2009
methodology will be used to calculate
FY 2009 bearer circuit regulatory fees.
E. Enforcement
44. Regulatory fee payments must be
received and stamped at the lockbox
bank by the last day of the regulatory fee
filing window to be considered timely.
Section 9(c) of the Act requires us to
impose an additional charge as a
penalty for late payment of any
regulatory fee.67 A late payment penalty
of 25 percent of the unpaid amount of
the required regulatory fee will be
assessed on the first day following the
deadline date for filing of these fees.
Failure to pay regulatory fees and/or any
late penalty will subject regulatees to
sanctions, including those set forth in
§ 1.1910 of the Commission’s rules 68
and in the Debt Collection Improvement
65 Cable television system operators should
compute their basic subscribers as follows: Number
of single family dwellings + number of individual
households in multiple dwelling unit (apartments,
condominiums, mobile home parks, etc.) paying at
the basic subscriber rate + bulk rate customers +
courtesy and free service. Note: Bulk-Rate
Customers = Total annual bulk-rate charge divided
by basic annual subscription rate for individual
households. Operators may base their count on ‘‘a
typical day in the last full week’’ of December 2008,
rather than on a count as of December 31, 2008.
66 See Submarine Cable Order.
67 47 U.S.C. 159(c).
68 See 47 CFR 1.1910.
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Act of 1996 (DCIA).69 We also assess
administrative processing charges on
delinquent debts to recover additional
costs incurred in processing and
handling the related debt pursuant to
the DCIA and § 1.1940(d) of the
Commission’s rules.70 These
administrative processing charges will
be assessed on any delinquent
regulatory fee, in addition to the 25
percent late charge penalty. In case of
partial payments (underpayments) of
regulatory fees, the licensee will be
given credit for the amount paid, but if
it is later determined that the fee paid
is incorrect or not timely paid, then the
25 percent late charge penalty (and
other charges and/or sanctions, as
appropriate) will be assessed on the
portion that is not paid in a timely
manner.
45. We will withhold action on any
applications or other requests for
benefits filed by anyone who is
delinquent in any non-tax debts owed to
the Commission (including regulatory
fees) and will ultimately dismiss those
applications or other requests if
payment of the delinquent debt or other
satisfactory arrangement for payment is
not made.71 Failure to pay regulatory
fees can also result in the initiation of
a proceeding to revoke any and all
authorizations held by the entity
responsible for paying the delinquent
fee(s).
F. Final Regulatory Flexibility Analysis
46. As required by the Regulatory
Flexibility Act of 1980 (RFA),72 the
Commission has prepared a Final
Regulatory Flexibility Analysis (FRFA)
relating to this Report and Order. The
FRFA is set forth in Appendix F.
G. Congressional Review Act Analysis
47. The Commission will send a copy
of this Report and Order in a report to
be sent to Congress and the Government
Accountability Office, pursuant to the
Congressional Review Act.73
H. Final Paperwork Reduction Act
Analysis
48. This Report and Order contains
modified information collection
requirements subject to the Paperwork
Reduction Act of 1995 (PRA), Public
Law 104–13. It will be submitted to the
Office of Management and Budget
(OMB) for review under section 3507(d)
of the PRA.74 Our proposed new form
for submarine cable operators is
attached as Appendix G. OMB and the
general public will be afforded an
opportunity to comment on the
modified information collection
requirements contained in this
proceeding. In addition, we note that
pursuant to the Small Business
Paperwork Relief Act of 2002, Public
Law 107–198, see 44 U.S.C. 3506(c)(4),
we previously sought specific comment
on how the Commission might ‘‘further
reduce the information collection
burden for small business concerns with
fewer than 25 employees.’’ We received
no comment regarding such potential
small business burdens.
IV. Ordering Clauses
49. Accordingly, it is ordered that,
pursuant to sections 4(i) and (j), 9, and
303(r) of the Communications Act of
1934, as amended, 47 U.S.C. 154(i),
154(j), 159, and 303(r), this Report and
Order is hereby adopted.
50. It is further ordered that the FY
2009 section 9 regulatory fee assessment
Exclusive use services
(per license)
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Federal Communications Commission.
Marlene H. Dortch,
Secretary.
List of Subjects in 47 CFR Part 1
Administrative practice and
procedure.
Rule Changes
For the reasons discussed in the
preamble, the Federal Communications
Commission amends 47 CFR part 1 as
follows:
■
PART 1—PRACTICE AND
PROCEDURE
1. The authority citation for part 1
continues to read as follows:
■
Authority: 15 U.S.C. 79 et seq.; 47 U.S.C.
151, 154(i), 154(j), 155, 157, 225, 303(r), and
309.
2. Section 1.1152 is revised to read as
follows:
■
§ 1.1152 Schedule of annual regulatory
fees and filing locations for wireless radio
services.
Fee
amount 1
1. Land Mobile (Above 470 MHz and 220 MHz Local, Base Station & SMRS) (47 CFR, Part 90)
(a) New, Renew/Mod (FCC 601 & 159) .................................
(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ....
(c) Renewal Only (FCC 601 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ..........
220 MHz Nationwide
(a) New, Renew/Mod (FCC 601 & 159) .................................
(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ....
(c) Renewal Only (FCC 601 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ..........
2. Microwave (47 CFR Pt. 101) (Private)
(a) New, Renew/Mod (FCC 601 & 159) .................................
(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ....
69 Delinquent debt owed to the Commission
triggers application of the ‘‘red light rule’’ which
requires offsets or holds on pending disbursements.
47 CFR 1.1910. In 2004, the Commission adopted
rules implementing the requirements of the DCIA.
See Amendment of Parts 0 and 1 of the
Commission’s Rules, MD Docket No. 02–339, Report
and Order, 19 FCC Rcd 6540 (2004); 47 CFR Part
requirements are adopted as specified
herein.
51. It is further ordered that part 1 of
the Commission’s rules is amended as
set forth in the Rule Changes, and these
rules shall become effective September
10, 2009.
52. It is further ordered that the
Commission’s Consumer and
Governmental Affairs Bureau, Reference
Information Center, shall send a copy of
this Report and Order, including the
Final Regulatory Flexibility Analysis in
Appendix F, to the Chief Counsel for
Advocacy of the U.S. Small Business
Administration.
Address
$40.00
40.00
40.00
40.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000.
63197–9000.
40.00
40.00
40.00
40.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000.
63197–9000.
30.00
30.00
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
1, Subpart O, Collection of Claims Owed the United
States.
70 47 CFR 1.1940(d).
71 See 47 CFR 1.1161(c), 1.1164(f)(5), and 1.1910.
72 See 5 U.S.C. 603. The RFA, see 5 U.S.C. 601–
612, has been amended by the Small Business
Regulatory Enforcement Fairness Act of 1996
(‘‘SBREFA’’), Public Law 104–121, Title II, 110 Stat.
PO 00000
Frm 00040
Fmt 4700
Sfmt 4700
847 (1996). The SBREFA was enacted as Title II of
the Contract With America Advancement Act of
1996 (CWAAA).
73 See 5 U.S.C. 801(a)(1)(A). The Congressional
Review Act is contained in Title II, 251, of the
CWAAA; see Public Law 104–121, Title II, 251, 110
Stat. 868.
74 44 U.S.C. 3507(d).
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Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
Exclusive use services
(per license)
3.
4.
5.
6.
7.
8.
9.
Fee
amount 1
(c) Renewal Only (FCC 601 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ..........
218–219 MHz Service
(a) New, Renew/Mod (FCC 601 & 159) .................................
(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ....
(c) Renewal Only (FCC 601 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ..........
Shared Use Services
Land Mobile (Frequencies Below 470 MHz—except 220
MHz)
(a) New, Renew/Mod (FCC 601 & 159) .................................
(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ....
(c) Renewal Only (FCC 601 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ..........
General Mobile Radio Service
(a) New, Renew/Mod (FCC 605 & 159) .................................
(b) New, Renew/Mod (Electronic Filing) (FCC 605 & 159) ....
(c) Renewal Only (FCC 605 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 605 & 159) ..........
Rural Radio (Part 22)
(a) New, Additional Facility, Major Renew/Mod (Electronic
Filing) (FCC 601 & 159).
(b) Renewal, Minor Renew/Mod (Electronic Filing) (FCC 601
& 159).
Marine Coast
(a) New, Renewal/Mod (FCC 601 & 159) ...............................
(b) New, Renewal/Mod (Electronic Filing) (FCC 601 & 159)
(c) Renewal Only (FCC 601 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ..........
Aviation Ground
(a) New, Renewal/Mod (FCC 601 & 159) ...............................
(b) New, Renewal/Mod (Electronic Filing) (FCC 601 & 159)
(c) Renewal Only (FCC 601 & 159) ........................................
(d) Renewal Only (Electronic Only) (FCC 601 & 159) ...........
Marine Ship
(a) New, Renewal/Mod (FCC 605 & 159) ...............................
(b) New, Renewal/Mod (Electronic Filing) (FCC 605 & 159)
(c) Renewal Only (FCC 605 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 605 & 159) ..........
Aviation Aircraft
(a) New, Renew/Mod (FCC 605 & 159) .................................
(b) New, Renew/Mod (Electronic Filing) (FCC 605 & 159) ....
(c) Renewal Only (FCC 605 & 159) ........................................
(d) Renewal Only (Electronic Filing) (FCC 605 & 159) ..........
Amateur Vanity Call Signs
(a) Initial or Renew (FCC 605 & 159) .....................................
(b) Initial or Renew (Electronic Filing) (FCC 605 & 159) ........
CMRS Cellular/Mobile Services (per unit)
(FCC 159) ................................................................................
CMRS Messaging Services (per unit)
(FCC 159) ................................................................................
Broadband Radio Service
(formerly MMDS and MDS) .....................................................
Local Multipoint Distribution Service
40097
Address
30.00
30.00
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
65.00
65.00
65.00
65.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000
63197–9000.
20.00
20.00
20.00
20.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000.
63197–9000.
5.00
5.00
5.00
5.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000.
63197–9000.
20.00
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
20.00
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
45.00
45.00
45.00
45.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000.
63197–9000.
10.00
10.00
10.00
10.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000.
63197–9000.
10.00
10.00
10.00
10.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000.
63197–9000.
5.00
5.00
5.00
5.00
FCC,
FCC,
FCC,
FCC,
P.O.
P.O.
P.O.
P.O.
Box
Box
Box
Box
979097,
979097,
979097,
979097,
St.
St.
St.
St.
Louis,
Louis,
Louis,
Louis,
MO
MO
MO
MO
63197–9000.
63197–9000.
63197–9000.
63197–9000.
1.34
1.34
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
.182
FCC, P.O. Box 979084, St. Louis, MO 63197–9000.
.083
FCC, P.O. Box 979084, St. Louis, MO 63197–9000.
320
320
FCC, P.O. Box 979084, St. Louis, MO 63197–9000.
FCC, P.O. Box 979084, St. Louis, MO 63197–9000.
1 Note that ‘‘small fees’’ are collected in advance for the entire license term. Therefore, the annual fee amount shown in this table that is a
small fee (categories 1 through 5) must be multiplied by the 5- or 10-year license term, as appropriate, to arrive at the total amount of regulatory
fees owed. It should be further noted that application fees may also apply as detailed in § 1.1102 of this chapter.
2 These are standard fees that are to be paid in accordance with § 1.1157(b) of this chapter.
3 These are standard fees that are to be paid in accordance with § 1.1157(b) of this chapter.
3. Section 1.1153 is revised to read as
follows:
jlentini on DSKJ8SOYB1PROD with RULES
■
§ 1.1153 Schedule of annual regulatory
fees and filing locations for mass media
services.
1. AM Class A
<=25,000 population ................................................................
25,001–75,000 population .......................................................
75,001–150,000 population .....................................................
150,001–500,000 population ...................................................
500,001–1,200,000 population ................................................
1,200,001–3,000,000 population .............................................
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$675
1,350
2,025
3,050
4,400
6,750
Fmt 4700
FCC, Radio, P.O. Box 979084, St. Louis, MO 63197–9000.
Sfmt 4700
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Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
>3,000,000 population .............................................................
2. AM Class B
<=25,000 population ................................................................
25,001–75,000 population .......................................................
75,001–150,000 population .....................................................
150,001–500,000 population ...................................................
500,001–1,200,000 population ................................................
1,200,001–3,000,000 population .............................................
>3,000,000 population .............................................................
3. AM Class C
<=25,000 population ................................................................
25,001–75,000 population .......................................................
75,001–150,000 population .....................................................
150,001–500,000 population ...................................................
500,001–1,200,000 population ................................................
1,200,001–3,000,000 population .............................................
>3,000,000 population .............................................................
4. AM Class D
<=25,000 population ................................................................
25,001–75,000 population .......................................................
75,001–150,000 population .....................................................
150,001–500,000 population ...................................................
500,001–1,200,000 population ................................................
1,200,001–3,000,000 population .............................................
>3,000,000 population .............................................................
5. AM Construction Permit .............................................................
6. FM Classes A, B1 and C3
<=25,000 population ................................................................
25,001–75,000 population .......................................................
75,001–150,000 population .....................................................
150,001–500,000 population ...................................................
500,001–1,200,000 population ................................................
1,200,001–3,000,000 population .............................................
>3,000,000 population .............................................................
7. FM Classes B, C, C0, C1 and C2
<=25,000 population ................................................................
25,001–75,000 population .......................................................
75,001–150,000 population .....................................................
150,001–500,000 population ...................................................
500,001–1,200,000 population ................................................
1,200,001–3,000,000 population .............................................
>3,000,000 population .............................................................
8. FM Construction Permits ............................................................
TV (47 CFR, Part 73) VHF Commercial
1. Markets 1 thru 10 .......................................................................
2. Markets 11 thru 25 .....................................................................
3. Markets 26 thru 50 .....................................................................
4. Markets 51 thru 100 ...................................................................
5. Remaining Markets ....................................................................
6. Construction Permits ..................................................................
UHF Commercial
1. Markets 1 thru 10 .......................................................................
2. Markets 11 thru 25 .....................................................................
3. Markets 26 thru 50 .....................................................................
4. Markets 51 thru 100 ...................................................................
5. Remaining Markets ....................................................................
6. Construction Permits ..................................................................
Satellite UHF/VHF Commercial
1. All Markets ..................................................................................
2. Construction Permits ..................................................................
Low Power TV, Class A TV, TV/FM Translator, & TV/FM Booster
(47 CFR Part 74).
Broadcast Auxiliary .........................................................................
4. Section 1.1154 is revised to read as
follows:
jlentini on DSKJ8SOYB1PROD with RULES
■
8,100
550
1,075
1,350
2,300
3,500
5,400
6,475
FCC, Radio, P.O. Box 979084, St. Louis, MO 63197–9000.
500
750
1,000
1,500
2,500
3,750
4,750
FCC, Radio, P.O. Box 979084, St. Louis, MO 63197–9000.
575
875
1,450
1,725
2,875
4,600
5,750
400
FCC, Radio, P.O. Box 979084, St. Louis, MO 63197–9000.
650
1,325
1,825
2,800
4,450
7,250
9,250
FCC, Radio, P.O. Box 979084, St. Louis, MO 63197–9000.
825
1,450
2,725
3,550
5,225
8,350
10,850
650
FCC, Radio, P.O. Box 979084, St. Louis, MO 63197–9000.
77,575
60,550
37,575
22,950
5,950
5,950
FCC, TV Branch, P.O. Box 979084, St. Louis, MO 63197–9000.
24,250
FCC, UHF Commercial, P.O. Box 979084, St. Louis, MO,
63197–9000.
FCC, Radio, P.O. Box 979084, St. Louis, MO 63197–9000.
FCC, Radio, P.O. Box 979084, St. Louis, MO 63197–9000.
21,525
13,350
7,600
1,950
1,950
1,275
650
400
10
FCC Satellite TV P.O. Box 979084, St. Louis, MO 63197–9000.
FCC, Low Power, P.O. Box 979084, St. Louis, MO 63197–9000.
FCC, Auxiliary, P.O. Box 979084, St. Louis, MO 63197–9000.
§ 1.1154 Schedule of annual regulatory
charges and filing locations for common
carrier services.
Fee
amount
Address
Radio Facilities:
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Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
Fee
amount
1. Microwave (Domestic Public Fixed) (Electronic Filing)
(FCC Form 601 & 159).
Carriers:
1. Interstate Telephone Service Providers (per interstate and
international end-user revenues (see FCC Form 499–A).
5. Section 1.1155 is revised to read as
follows:
■
Address
$30.00
FCC, P.O. Box 979097, St. Louis, MO 63197–9000.
.00342
FCC, Carriers, P.O. Box 979084, St. Louis, MO 63197–9000.
§ 1.1155 Schedule of regulatory fees and
filing locations for cable television services.
Fee
amount
1. Cable Television Relay Service .................................................
2. Cable TV System (per subscriber) .............................................
6. Section 1.1156 is revised to read as
follows:
■
40099
$260
.88
Address
FCC, Cable, P.O. Box 979084, St. Louis, MO 63197–9000.
§ 1.1156 Schedule of regulatory fees and
filing locations for international services.
(a) The following schedule applies for
the listed services:
Fee category
Fee
amount
Address
(1) Space Stations (Geostationary Orbit) .......................................
$127,175
(2) Space Stations (Non-Geostationary Orbit) ...............................
137,225
(3) Earth Stations: Transmit/Receive & Transmit only (per authorization or registration).
210
FCC, International, P.O. Box 979084, St. Louis, MO 63197–
9000.
FCC, International, P.O. Box 979084, St. Louis, MO 63197–
9000.
FCC, International, P.O. Box 979084, St. Louis, MO 63197–
9000.
(b) (1) International Terrestrial and
Satellite. Regulatory fees for
International Bearer Circuits are to be
paid by facilities-based common carriers
that have active (used or leased)
international bearer circuits as of
December 31, of the prior year in any
terrestrial or satellite transmission
facility for the provision of service to an
end user or resale carrier, which
includes active circuits to themselves or
to their affiliates. In addition, noncommon carrier satellite operators must
pay a fee for each circuit sold or leased
to any customer, including themselves
or their affiliates, other than an
international common carrier
authorized by the Commission to
provide U.S. international common
carrier services. ‘‘Active circuits’’ for
these purposes include backup and
redundant circuits. In addition, whether
circuits are used specifically for voice or
data is not relevant in determining that
they are active circuits.
(2) The fee amount, per active 64 KB
circuit or equivalent will be determined
for each fiscal year. Payment, if mailed,
shall be sent to: FCC, International, P.O.
Box 979084, St. Louis, MO 63197–9000.
International terrestrial and satellite
(capacity as of December 31, 2008)
Fee amount
Address
Terrestrial Common Carrier, Satellite Common Carrier,
Satellite Non-Common Carrier.
$0.75 per 64 KB Circuit ......
FCC, International, P.O. Box 979084, St. Louis, MO
63197–9000.
(c) Submarine cable: Regulatory fees
for submarine cable systems will be
paid annually, per cable landing license,
for all submarine cable systems
operating as of December 31 of the prior
year. The fee amount will be determined
by the Commission for each fiscal year.
Payment, if mailed, shall be sent to:
Submarine cable systems
(capacity as of December 31)
Fee
amount
jlentini on DSKJ8SOYB1PROD with RULES
< 2.5 Gbps ......................................................................................
$15,075
2.5 Gbps or greater, but less than 5 Gbps ....................................
30,125
5 Gbps or greater, but less than 10 Gbps .....................................
60,250
10 Gbps or greater, but less than 20 Gbps ...................................
120,525
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Louis, MO 63197–9000.
Frm 00043
Fmt 4700
Address
FCC, International,
9000.
FCC, International,
9000.
FCC, International,
9000.
FCC, International,
9000.
Sfmt 4700
P.O. Box 979084, St. Louis, MO 63197–
P.O. Box 979084, St. Louis, MO 63197–
P.O. Box 979084, St. Louis, MO 63197–
P.O. Box 979084, St. Louis, MO 63197–
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Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
Submarine cable systems
(capacity as of December 31)
Fee
amount
20 Gbps or greater .........................................................................
Note: The following appendixes will not
appear in the Code of Federal Regulations.
241,025
Address
FCC, International, P.O. Box 979084, St. Louis, MO 63197–
9000.
Appendix A
LIST OF COMMENTERS
Commenter
Abbreviated name
American Association of Paging Carriers .......................................................................................................................
American Cable Association ...........................................................................................................................................
AT&T, Inc ........................................................................................................................................................................
Bestel USA Inc., Hibernia Atlantic US LLC, and Level 3 Communications, LLC ..........................................................
Coalition of Canadian-Based Service Providers ............................................................................................................
Independent Telephone and Telecommunications Alliance ...........................................................................................
Sprint Nextel ...................................................................................................................................................................
Named State Broadcasters Associations .......................................................................................................................
United States Telecom Association ................................................................................................................................
AAPC.
ACA.
AT&T.
Joint Commenters.
Coalition.
ITTA.
Sprint.
State Associations.
USTelecom.
LIST OF COMMENTERS—REPLY COMMENTS
Commenter
Abbreviated name
AT&T, Inc ........................................................................................................................................................................
Verizon and Verizon Wireless ........................................................................................................................................
AT&T.
Verizon.
Appendix B
CALCULATION OF FY 2009 REVENUE REQUIREMENTS AND PRO-RATA FEES
[Regulatory fees for the categories shaded in gray are collected by the Commission in advance to cover the term of the license and are
submitted along with the application at the time the application is filed]
FY 2009
payment units
jlentini on DSKJ8SOYB1PROD with RULES
Fee category
PLMRS (Exclusive Use) ......................
PLMRS (Shared use) ...........................
Microwave ............................................
218–219 MHz (Formerly IVDS) ...........
Marine (Ship) .......................................
GMRS ..................................................
Aviation (Aircraft) .................................
Marine (Coast) .....................................
Aviation (Ground) .................................
Amateur Vanity Call Signs ...................
AM Class A ..........................................
AM Class B ..........................................
AM Class C ..........................................
AM Class D ..........................................
FM Classes A, B1 & C3 ......................
FM Classes B, C, C0, C1 & C2 ...........
AM Construction Permits .....................
FM Construction Permits 1 ...................
Satellite TV ...........................................
Satellite TV Construction Permit ..........
VHF Markets 1–10 ...............................
VHF Markets 11–25 .............................
VHF Markets 26–50 .............................
VHF Markets 51–100 ...........................
VHF Remaining Markets ......................
VHF Construction Permits 1 .................
UHF Markets 1–10 ...............................
UHF Markets 11–25 .............................
UHF Markets 26–50 .............................
UHF Markets 51–100 ...........................
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Years
1,200
11,500
7,500
3
7,500
11,000
7,000
275
1,500
15,000
65
1,567
938
1,715
3,045
3,051
107
224
127
3
42
55
75
118
200
3
87
81
110
164
PO 00000
Frm 00044
FY 2008
revenue
estimate
10
10
10
10
10
5
10
10
10
10
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
Fmt 4700
Pro-rated
FY 2009
revenue
requirement
Computed
new
FY 2009
regulatory
fee
460,000
2,300,000
1,960,000
1,800
840,000
350,000
375,000
108,500
170,000
184,500
227,500
2,737,000
958,375
3,241,400
6,764,000
8,292,175
39,425
179,400
149,225
1,785
2,984,100
3,050,925
2,581,425
2,480,950
1,092,000
22,400
1,931,475
1,596,950
1,344,700
1,142,400
501,932
2,509,659
2,138,666
1,964
916,571
381,905
409,183
118,390
185,497
201,318
248,238
2,986,494
1,045,737
3,536,873
7,405,656
9,073,132
43,019
145,600
162,828
1,948
3,257,932
3,330,848
2,818,550
2,708,256
1,191,542
17,850
2,109,219
1,744,200
1,468,956
1,247,604
Sfmt 4700
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42
22
29
65
12
7
6
43
12
1.34
3,819
1,906
1,115
2,062
2,432
2,974
402
650
1,282
649
77,570
60,561
37,581
22,951
5,958
5,950
24,244
21,533
13,354
7,607
11AUR1
Rounded
new
FY 2009
regulatory
fee
40
20
30
65
10
5
5
45
10
1.34
3,825
1,900
1,125
2,050
2,425
2,975
400
650
1,275
650
77,575
60,550
37,575
22,950
5,950
5,950
24,250
21,525
13,350
7,600
Expected
FY 2009
revenue
480,000
2,300,000
2,250,000
1,950
750,000
275,000
350,000
123,750
150,000
201,000
248,625
2,977,300
1,055,250
3,515,750
7,384,125
9,076,725
42,800
145,600
161,925
1,950
3,258,150
3,330,250
2,818,125
2,708,100
1,190,000
17,850
2,109,750
1,743,525
1,468,500
1,246,400
Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
40101
CALCULATION OF FY 2009 REVENUE REQUIREMENTS AND PRO-RATA FEES—Continued
[Regulatory fees for the categories shaded in gray are collected by the Commission in advance to cover the term of the license and are
submitted along with the application at the time the application is filed]
FY 2009
payment units
Fee category
UHF Remaining Markets .....................
UHF Construction Permits 1 .................
Broadcast Auxiliaries ...........................
LPTV/Translators/Boosters/Class A TV
CARS Stations .....................................
Cable TV Systems ...............................
Interstate Telecommunication Service
Providers ..........................................
CMRS Mobile Services (Cellular/Public
Mobile) ..............................................
CMRS Messag. Services .....................
BRS 2 ....................................................
LMDS ...................................................
Per 64 kbps Int’l Bearer Circuits Terrestrial (Common) & Satellite (Common & Non-Common)
Submarine Cable Providers (see chart
in Appendix C) 3 ...............................
Earth Stations ......................................
Space Stations (Geostationary) ...........
Space Stations (Non-Geostationary ....
FY 2008
revenue
estimate
Years
Pro-rated
FY 2009
revenue
requirement
Computed
new
FY 2009
regulatory
fee
Rounded
new
FY 2009
regulatory
fee
Expected
FY 2009
revenue
195
15
27,500
3,450
650
64,500,000
1
1
1
1
1
1
347,400
32,400
276,000
1,277,500
153,750
51,840,000
379,068
29,250
301,159
1,393,952
167,765
56,565,522
1,944
1,950
11
404
258
0.8769
1,950
1,950
10
400
260
0.88
380,250
29,250
275,000
1,380,000
169,000
56,760,000
46,800,000,000
1
146,638,000
160,004,920
0.0034189
0.00342
160,056,000
276,000,000
7,000,000
1,725
335
1
1
1
1
44,200,000
560,000
501,500
98,825
48,280,138
560,000
552,000
107,200
0.1749
0.080
320
320
0.180
0.080
320
320
49,680,000
560,000
552,000
107,200
1,482,372
1
8,137,500
1,106,700
0.747
0.75
1,111,779
32.44
4,050
87
6
1
1
1
1
......................
780,000
10,140,500
754,500
7,818,300
851,102
11,064,866
823,277
241,008
210
127,182
137,213
241,000
210
127,175
137,225
7,818,040
850,500
11,064,225
823,350
* * * Total Estimated Revenue to
be Collected ..............................
..........................
............
313,305,285
341,814,783
....................
....................
342,998,994
* * * Total Revenue Requirement
..........................
............
312,000,000
341,875,000
....................
....................
341,875,000
Difference ......................................
..........................
............
1,305,285
39,783
....................
....................
1,123,994
1 The
FM Construction Permit revenues and the VHF and UHF Construction Permit revenues were adjusted to set the regulatory fee to an
amount no higher than the lowest licensed fee for that class of service. The reductions in the FM Construction Permit revenues are offset by increases in the revenue totals for FM radio stations. Similarly, reductions in the VHF and UHF Construction Permit revenues are offset by increases in the revenue totals for VHF and UHF television stations, respectively.
2 MDS/MMDS category was renamed Broadband Radio Service (BRS). See Amendment of Parts 1, 21, 73, 74 and 101 of the Commission’s
Rules to Facilitate the Provision of Fixed and Mobile Broadband Access, Educational and Other Advanced Services in the 2150–2162 and 2500–
2690 MHz Bands, Report & Order and Further Notice of Proposed Rulemaking, 19 FCC Rcd 14165, 14169, paragraph 6 (2004).
3 The chart at the end of Appendix C lists the submarine cable bearer circuit regulatory fees (common and non-common carrier basis) that resulted from the adoption of the following proceedings: Assessment and Collection of Regulatory Fees for Fiscal Year 2008, Second Report and
Order (MD Docket No. 08–65, RM–11312), released March 24, 2009; and Assessment and Collection of Regulatory Fees for Fiscal Year 2009
and Assessment and Collection of Regulatory Fees for Fiscal Year 2008, Notice of Proposed Rulemaking and Order (MD Docket No. 09–65, MD
Docket No. 08–65), released on May 14, 2009.
Appendix C
FY 2009 SCHEDULE OF REGULATORY FEES
[Regulatory fees for the categories shaded in gray are collected by the Commission in advance to cover the term of the license and are
submitted along with the application at the time the application is filed]
Annual regulatory fee
(U.S. $’s)
jlentini on DSKJ8SOYB1PROD with RULES
Fee category
PLMRS (per license) (Exclusive Use) (47 CFR part 90) ........................................................................................................................
Microwave (per license) (47 CFR part 101) ............................................................................................................................................
218–219 MHz (Formerly Interactive Video Data Service) (per license) (47 CFR part 95) ....................................................................
Marine (Ship) (per station) (47 CFR part 80) ..........................................................................................................................................
Marine (Coast) (per license) (47 CFR part 80) .......................................................................................................................................
General Mobile Radio Service (per license) (47 CFR part 95) ...............................................................................................................
Rural Radio (47 CFR part 22) (previously listed under the Land Mobile category) ...............................................................................
PLMRS (Shared Use) (per license) (47 CFR part 90) ............................................................................................................................
Aviation (Aircraft) (per station) (47 CFR part 87) ....................................................................................................................................
Aviation (Ground) (per license) (47 CFR part 87) ...................................................................................................................................
Amateur Vanity Call Signs (per call sign) (47 CFR part 97) ...................................................................................................................
CMRS Mobile/Cellular Services (per unit) (47 CFR parts 20, 22, 24, 27, 80 and 90) ...........................................................................
CMRS Messaging Services (per unit) (47 CFR parts 20, 22, 24 and 90) ..............................................................................................
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40
30
65
10
45
5
20
20
5
10
1.34
.18
.08
320
40102
Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
FY 2009 SCHEDULE OF REGULATORY FEES—Continued
[Regulatory fees for the categories shaded in gray are collected by the Commission in advance to cover the term of the license and are
submitted along with the application at the time the application is filed]
Annual regulatory fee
(U.S. $’s)
Fee category
Broadband Radio Service (formerly MMDS/MDS) (per license) (47 CFR part 21) ................................................................................
Local Multipoint Distribution Service (per call sign) (47 CFR, part 101) ................................................................................................
AM Radio Construction Permits ..............................................................................................................................................................
FM Radio Construction Permits ..............................................................................................................................................................
TV (47 CFR part 73) VHF Commercial:
Markets 1–10 ....................................................................................................................................................................................
Markets 11–25 ..................................................................................................................................................................................
Markets 26–50 ..................................................................................................................................................................................
Markets 51–100 ................................................................................................................................................................................
Remaining Markets ...........................................................................................................................................................................
Construction Permits ........................................................................................................................................................................
TV (47 CFR part 73) UHF Commercial:
Markets 1–10 ....................................................................................................................................................................................
Markets 11–25 ..................................................................................................................................................................................
Markets 26–50 ..................................................................................................................................................................................
Markets 51–100 ................................................................................................................................................................................
Remaining Markets ...........................................................................................................................................................................
Construction Permits ........................................................................................................................................................................
Satellite Television Stations (All Markets) ...............................................................................................................................................
Construction Permits—Satellite Television Stations ...............................................................................................................................
Low Power TV, Class A TV, TV/FM Translators & Boosters (47 CFR part 74) .....................................................................................
Broadcast Auxiliaries (47 CFR part 74) ..................................................................................................................................................
CARS (47 CFR part 78) ..........................................................................................................................................................................
Cable Television Systems (per subscriber) (47 CFR part 76) ................................................................................................................
Interstate Telecommunication Service Providers (per revenue dollar) ...................................................................................................
Earth Stations (47 CFR part 25) .............................................................................................................................................................
Space Stations (per operational station in geostationary orbit) (47 CFR part 25) also includes DBS Service (per operational station) (47 CFR part 100) ........................................................................................................................................................................
Space Stations (per operational system in non-geostationary orbit) (47 CFR part 25) .........................................................................
International Bearer Circuits—Terrestrial/Satellites (per 64KB circuit) ...................................................................................................
International Bearer Circuits—Submarine Cable ....................................................................................................................................
1 See
320
400
650
77,575
60,550
37,575
22,950
5,950
5,950
24,250
21,525
13,350
7,600
1,950
1,950
1,275
650
400
10
260
.88
.00342
210
127,175
137,225
.75
(1)
table below.
FY 2009 SCHEDULE OF REGULATORY FEES (Continued)
FY 2009 Radio Station Regulatory Fees
AM class
A
Population served
<= 25,000 .................................................................................................
25,001–75,000 .........................................................................................
75,001–150,000 .......................................................................................
150,001–500,000 .....................................................................................
500,001–1,200,000 ..................................................................................
1,200,001–3,000,00 .................................................................................
> 3,000,000 ..............................................................................................
AM class
B
AM class
C
AM class
D
$675
1,350
2,025
3,050
4,400
6,750
8,100
$550
1,075
1,350
2,300
3,500
5,400
6,475
$500
750
1,000
1,500
2,500
3,750
4,750
$575
875
1,450
1,725
2,875
4,600
5,750
FM
classes
A, B1 &
C3
$650
1,325
1,825
2,800
4,450
7,250
9,250
FM
classes
B, C, C0,
C1 & C2
$825
1,450
2,725
3,550
5,225
8,350
10,850
FY 2009 SCHEDULE OF REGULATORY FEES—INTERNATIONAL BEARER CIRCUITS—SUBMARINE CABLE
Submarine cable systems
(capacity as of December 31, 2008)
Fee amount
$15,075
2.5 Gbps or greater, but less than 5 Gbps ................................
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< 2.5 Gbps ...................................................................................
30,125
5 Gbps or greater, but less than 10 Gbps .................................
60,250
10 Gbps or greater, but less than 20 Gbps ...............................
120,525
20 Gbps or greater .....................................................................
241,025
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Address
FCC, International,
9000.
FCC, International,
9000.
FCC, International,
9000.
FCC, International,
9000.
FCC, International,
9000.
P.O. Box 979084, St. Louis, MO 63197–
P.O. Box 979084, St. Louis, MO 63197–
P.O. Box 979084, St. Louis, MO 63197–
P.O. Box 979084, St. Louis, MO 63197–
P.O. Box 979084, St. Louis, MO 63197–
E:\FR\FM\11AUR1.SGM
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Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
Appendix D
Sources of Payment Unit Estimates for
FY 2009
In order to calculate individual service fees
for FY 2009, we adjusted FY 2008 payment
units for each service to more accurately
reflect expected FY 2009 payment liabilities.
We obtained our updated estimates through
a variety of means. For example, we used
Commission licensee data bases, actual prior
year payment records and industry and trade
association projections when available. The
databases we consulted include our
Universal Licensing System (ULS),
International Bureau Filing System (IBFS),
Consolidated Database System (CDBS) and
Cable Operations and Licensing System
(COALS), as well as reports generated within
the Commission such as the Wireline
Competition Bureau’s Trends in Telephone
Service and the Wireless
Telecommunications Bureau’s Numbering
Resource Utilization Forecast.
We tried to obtain verification for these
estimates from multiple sources and, in all
cases, we compared FY 2009 estimates with
actual FY 2008 payment units to ensure that
our revised estimates were reasonable. Where
appropriate, we adjusted and/or rounded our
final estimates to take into consideration the
40103
fact that certain variables that impact on the
number of payment units cannot yet be
estimated exactly. These include an
unknown number of waivers and/or
exemptions that may occur in FY 2009 and
the fact that, in many services, the number
of actual licensees or station operators
fluctuates from time to time due to economic,
technical, or other reasons. When we note,
for example, that our estimated FY 2009
payment units are based on FY 2008 actual
payment units, it does not necessarily mean
that our FY 2009 projection is exactly the
same number as FY 2008. We have either
rounded the FY 2009 number or adjusted it
slightly to account for these variables.
Fee category
Sources of payment unit estimates
Land Mobile (All), Microwave, 218–219 MHz, Marine
(Ship & Coast), Aviation (Aircraft & Ground), GMRS,
Amateur Vanity Call Signs, Domestic Public Fixed.
Based on Wireless Telecommunications Bureau (WTB) projections of new applications and renewals taking into consideration existing Commission licensee data
bases. Aviation (Aircraft) and Marine (Ship) estimates have been adjusted to take
into consideration the licensing of portions of these services on a voluntary basis.
Based on WTB projection reports, and FY 08 payment data.
Based on WTB reports, and FY 08 payment data.
Based on CDBS data, adjusted for exemptions, and actual FY 2008 payment units.
Based on CDBS data, adjusted for exemptions, and actual FY 2008 payment units.
Based on CDBS data, adjusted for exemptions, and actual FY 2008 payment units.
Based on CDBS data, adjusted for exemptions, and actual FY 2008 payment units.
Based on actual FY 2008 payment units.
Based on WTB reports and actual FY 2008 payment units.
Based on WTB reports and actual FY 2008 payment units.
Based on data from Media Bureau’s COALS data base and actual FY 2008 payment
units.
Based on publicly available data sources for estimated subscriber counts and actual
FY 2008 payment units.
Based on FCC Form 499–Q data for the four quarters of calendar year 2008, the
Wireline Competition Bureau projected the amount of calendar year 2008 revenue
that will be reported on 2008 FCC Form 499–A worksheets in April 2009.
Based on International Bureau (IB) licensing data and actual FY 2008 payment units.
Based on IB data reports and actual FY 2008 payment units.
Based on IB reports and submissions by licensees.
Based on IB license information.
CMRS Cellular/Mobile Services .........................................
CMRS Messaging Services ...............................................
AM/FM Radio Stations .......................................................
UHF/VHF Television Stations ............................................
AM/FM/TV Construction Permits .......................................
LPTV, Translators and Boosters, Class A Television .......
Broadcast Auxiliaries ..........................................................
BRS (formerly MDS/MMDS) ..............................................
LMDS
Cable Television Relay Service (CARS) Stations .............
Cable Television System Subscribers ...............................
Interstate Telecommunication Service Providers ..............
Earth Stations .....................................................................
Space Stations (GSOs & NGSOs) ....................................
International Bearer Circuits ..............................................
Submarine Cable Licenses ................................................
Appendix E
Factors, Measurements, and Calculations
That Go Into Determining Station Signal
Contours and Associated Population
Coverages
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AM Stations
For stations with nondirectional daytime
antennas, the theoretical radiation was used
at all azimuths. For stations with directional
daytime antennas, specific information on
each day tower, including field ratio,
phasing, spacing and orientation was
retrieved, as well as the theoretical pattern
root-mean-square of the radiation in all
directions in the horizontal plane (RMS)
figure milliVolt per meter (mV/m) @ 1 km)
for the antenna system. The standard, or
modified standard if pertinent, horizontal
plane radiation pattern was calculated using
techniques and methods specified in 73.150
and 73.152 of the Commission’s rules.1
Radiation values were calculated for each of
360 radials around the transmitter site. Next,
estimated soil conductivity data was
retrieved from a data base representing the
1 47
CFR 73.150 and 73.152.
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18:21 Aug 10, 2009
Jkt 217001
information in FCC Figure R3.2 Using the
calculated horizontal radiation values, and
the retrieved soil conductivity data, the
distance to the principal community (5 mV/
m) contour was predicted for each of the 360
radials. The resulting distance to principal
community contours were used to form a
geographical polygon. Population counting
was accomplished by determining which
2,000 block centroids were contained in the
polygon. (A block centroid is the center point
of a small area containing population as
computed by the U.S. Census Bureau.) The
sum of the population figures for all enclosed
blocks represents the total population for the
predicted principal community coverage
area.
FM Stations
The greater of the horizontal or vertical
effective radiated power (ERP) (kW) and
respective height above average terrain
(HAAT) (m) combination was used. Where
the antenna height above mean sea level
(HAMSL) was available, it was used in lieu
of the average HAAT figure to calculate
specific HAAT figures for each of 360 radials
under study. Any available directional
pattern information was applied as well, to
produce a radial-specific ERP figure. The
HAAT and ERP figures were used in
conjunction with the Field Strength (50–50)
propagation curves specified in 47 CFR
73.313 of the Commission’s rules to predict
the distance to the principal community (70
dBu (decibel above 1 microVolt per meter) or
3.17 mV/m) contour for each of the 360
radials.3 The resulting distance to principal
community contours were used to form a
geographical polygon. Population counting
was accomplished by determining which
2,000 block centroids were contained in the
polygon. The sum of the population figures
for all enclosed blocks represents the total
population for the predicted principal
community coverage area.
Appendix F
Final Regulatory Flexibility Analysis
1. As required by the Regulatory Flexibility
Act (RFA),1 the Commission prepared an
3 47
CFR 73.313.
U.S.C. 603. The RFA, 5 U.S.C. 601–612 has
been amended by the Contract With America
Advancement Act of 1996, Public Law 104–121,
15
2 See Map of Estimated Effective Ground
Conductivity in the United States, 47 CFR 73.190
Figure R3.
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Continued
11AUR1
40104
Federal Register / Vol. 74, No. 153 / Tuesday, August 11, 2009 / Rules and Regulations
Initial Regulatory Flexibility Analysis (IRFA)
of the possible significant economic impact
on small entities by the policies and rules
proposed in its Notice of Proposed
Rulemaking.2 Written public comments were
sought on the FY 2009 fees proposal,
including comments on the IRFA. This
present Final Regulatory Flexibility Analysis
(FRFA) conforms to the RFA.3
I. Need for, and Objectives of, the Report and
Order
2. This rulemaking proceeding was
initiated for the Commission to amend its
Schedule of Regulatory Fees in the amount
of $341,875,000, which is the amount that
Congress has required the Commission to
recover. The Commission seeks to collect the
necessary amount through its revised
Schedule of Regulatory Fees in the most
efficient manner possible and without undue
public burden.
II. Summary of Significant Issues Raised by
Public Comments in Response to the IRFA
3. No parties have raised issues in response
to the IRFA.
III. Description and Estimate of the Number
of Small Entities to Which the Rules Will
Apply
jlentini on DSKJ8SOYB1PROD with RULES
4. The RFA directs agencies to provide a
description of, and where feasible, an
estimate of the number of small entities that
may be affected by the proposed rules and
policies, if adopted.4 The RFA generally
defines the term ‘‘small entity’’ as having the
same meaning as the terms ‘‘small business,’’
‘‘small organization,’’ and ‘‘small
governmental jurisdiction.’’ 5 In addition, the
term ‘‘small business’’ has the same meaning
as the term ‘‘small business concern’’ under
the Small Business Act.6 A ‘‘small business
concern’’ is one which: (1) Is independently
owned and operated; (2) is not dominant in
its field of operation; and (3) satisfies any
additional criteria established by the SBA.7
5. Small Businesses. Nationwide, there are
a total of approximately 27.2 million small
businesses, according to the SBA.8
110 Stat. 847 (1996) (CWAAA). Title II of the
CWAAA is the Small Business Regulatory
Enforcement Fairness Act of 1996 (SBREFA).
2 See Assessment and Collection of Regulatory
Fees for Fiscal Year 2009, MD Docket No. 09–65,
Notice of Proposed Rulemaking and Order, (rel.
May 14, 2009) (FY 2009 NPRM and Order).
3 5 U.S.C. 604.
4 5 U.S.C. 603(b)(3).
5 5 U.S.C. 601(6).
6 5 U.S.C. 601(3) (incorporating by reference the
definition of ‘‘small-business concern’’ in the Small
Business Act, 15 U.S.C. 632). Pursuant to 5 U.S.C.
601(3), the statutory definition of a small business
applies ‘‘unless an agency, after consultation with
the Office of Advocacy of the Small Business
Administration and after opportunity for public
comment, establishes one or more definitions of
such term which are appropriate to the activities of
the agency and publishes such definition(s) in the
Federal Register.’’
7 15 U.S.C. 632.
8 See SBA, Office of Advocacy, ‘‘Frequently
Asked Questions,’’ https://web.sba.gov/faqs
(accessed Jan. 2009).
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16:58 Aug 10, 2009
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6. Small Organizations. Nationwide, there
are approximately 1.6 million small
organizations.9
7. Small Governmental Jurisdictions. The
term ‘‘small governmental jurisdiction’’ is
defined generally as ‘‘governments of cities,
towns, townships, villages, school districts,
or special districts, with a population of less
than fifty thousand.’’ 10 Census Bureau data
for 2002 indicate that there were 87,525 local
governmental jurisdictions in the United
States.11 We estimate that, of this total,
84,377 entities were ‘‘small governmental
jurisdictions.’’ 12 Thus, we estimate that most
governmental jurisdictions are small.
8. We have included small incumbent local
exchange carriers in this present RFA
analysis. As noted above, a ‘‘small business’’
under the RFA is one that, inter alia, meets
the pertinent small business size standard
(e.g., a telephone communications business
having 1,500 or fewer employees), and ‘‘is
not dominant in its field of operation.’’ 13 The
SBA’s Office of Advocacy contends that, for
RFA purposes, small incumbent local
exchange carriers are not dominant in their
field of operation because any such
dominance is not ‘‘national’’ in scope.14 We
have therefore included small incumbent
local exchange carriers in this RFA analysis,
although we emphasize that this RFA action
has no effect on Commission analyses and
determinations in other, non-RFA contexts.
9. Incumbent Local Exchange Carriers
(ILECs). Neither the Commission nor the SBA
has developed a small business size standard
specifically for incumbent local exchange
services. The appropriate size standard under
SBA rules is for the category Wired
Telecommunications Carriers. Under that
size standard, such a business is small if it
has 1,500 or fewer employees.15 According to
Commission data,16 1,311 carriers have
reported that they are engaged in the
provision of incumbent local exchange
services. Of these 1,311 carriers, an estimated
1,024 have 1,500 or fewer employees and 287
9 Independent Sector, The New Nonprofit
Almanac & Desk Reference (2002).
10 5 U.S.C. 601(5).
11 U.S. Census Bureau, Statistical Abstract of the
United States: 2006, Section 8, p. 272, Table 415.
12 We assume that the villages, school districts,
and special districts are small, and total 48,558. See
U.S. Census Bureau, Statistical Abstract of the
United States: 2006, section 8, p. 273, Table 417.
For 2002, Census Bureau data indicate that the total
number of county, municipal, and township
governments nationwide was 38,967, of which
35,819 were small. Id.
13 15 U.S.C. 632.
14 Letter from Jere W. Glover, Chief Counsel for
Advocacy, SBA, to William E. Kennard, Chairman,
FCC (May 27, 1999). The Small Business Act
contains a definition of ‘‘small-business concern,’’
which the RFA incorporates into its own definition
of ‘‘small business.’’ See 15 U.S.C. 632(a) (Small
Business Act); 5 U.S.C. 601(3) (RFA). SBA
regulations interpret ‘‘small business concern’’ to
include the concept of dominance on a national
basis. See 13 CFR 121.102(b).
15 13 CFR 121.201, North American Industry
Classification System (NAICS) code 517110.
16 FCC, Wireline Competition Bureau, Industry
Analysis and Technology Division, ‘‘Trends in
Telephone Service’’ at Table 5.3, Page 5–5 (Aug.
2008) (Trends in Telephone Service). This source
uses data that are current as of November 1, 2006.
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Sfmt 4700
have more than 1,500 employees.
Consequently, the Commission estimates that
most providers of incumbent local exchange
service are small businesses that may be
affected by our proposed action.
10. Competitive Local Exchange Carriers
(CLECs), Competitive Access Providers
(CAPs), ‘‘Shared-Tenant Service Providers,’’
and ‘‘Other Local Service Providers.’’ Neither
the Commission nor the SBA has developed
a small business size standard specifically for
these service providers. The appropriate size
standard under SBA rules is for the category
Wired Telecommunications Carriers. Under
that size standard, such a business is small
if it has 1,500 or fewer employees.17
According to Commission data,18 1005
carriers have reported that they are engaged
in the provision of either competitive access
provider services or competitive local
exchange carrier services. Of these 1005
carriers, an estimated 918 have 1,500 or
fewer employees and 87 have more than
1,500 employees. In addition, 16 carriers
have reported that they are ‘‘Shared-Tenant
Service Providers,’’ and all 16 are estimated
to have 1,500 or fewer employees. In
addition, 89 carriers have reported that they
are ‘‘Other Local Service Providers.’’ Of the
89, all have 1,500 or fewer employees.
Consequently, the Commission estimates that
most providers of competitive local exchange
service, competitive access providers,
‘‘Shared-Tenant Service Providers,’’ and
‘‘Other Local Service Providers’’ are small
entities that may be affected by our proposed
action.
11. Local Resellers. The SBA has
developed a small business size standard for
the category of Telecommunications
Resellers. Under that size standard, such a
business is small if it has 1,500 or fewer
employees.19 According to Commission
data,20 151 carriers have reported that they
are engaged in the provision of local resale
services. Of these, an estimated 149 have
1,500 or fewer employees and two have more
than 1,500 employees. Consequently, the
Commission estimates that the majority of
local resellers are small entities that may be
affected by our proposed action.
12. Toll Resellers. The SBA has developed
a small business size standard for the
category of Telecommunications Resellers.
Under that size standard, such a business is
small if it has 1,500 or fewer employees.21
According to Commission data,22 815 carriers
have reported that they are engaged in the
provision of toll resale services. Of these, an
estimated 787 have 1,500 or fewer employees
and 28 have more than 1,500 employees.
Consequently, the Commission estimates that
the majority of toll resellers are small entities
that may be affected by our proposed action.
13. Payphone Service Providers (PSPs).
Neither the Commission nor the SBA has
developed a small business size standard
specifically for payphone services providers.
The appropriate size standard under SBA
17 13
CFR 121.201, NAICS code 517110.
in Telephone Service’’ at Table 5.3.
19 13 CFR 121.201, NAICS code 517310.
20 ‘‘Trends in Telephone Service’’ at Table 5.3.
21 13 CFR 121.201, NAICS code 517310.
22 ‘‘Trends in Telephone Service’’ at Table 5.3.
18 ‘‘Trends
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rules is for the category Wired
Telecommunications Carriers. Under that
size standard, such a business is small if it
has 1,500 or fewer employees.23 According to
Commission data,24 526 carriers have
reported that they are engaged in the
provision of payphone services. Of these, an
estimated 524 have 1,500 or fewer employees
and two have more than 1,500 employees.
Consequently, the Commission estimates that
the majority of payphone service providers
are small entities that may be affected by our
proposed action.
14. Interexchange Carriers (IXCs). Neither
the Commission nor the SBA has developed
a small business size standard specifically for
providers of interexchange services. The
appropriate size standard under SBA rules is
for the category Wired Telecommunications
Carriers. Under that size standard, such a
business is small if it has 1,500 or fewer
employees.25 According to Commission
data,26 300 carriers have reported that they
are engaged in the provision of interexchange
service. Of these, an estimated 268 have
1,500 or fewer employees and 32 have more
than 1,500 employees. Consequently, the
Commission estimates that the majority of
IXCs are small entities that may be affected
by our proposed action.
15. Operator Service Providers (OSPs).
Neither the Commission nor the SBA has
developed a small business size standard
specifically for operator service providers.
The appropriate size standard under SBA
rules is for the category Wired
Telecommunications Carriers. Under that
size standard, such a business is small if it
has 1,500 or fewer employees.27 According to
Commission data,28 28 carriers have reported
that they are engaged in the provision of
operator services. Of these, an estimated 27
have 1,500 or fewer employees and one has
more than 1,500 employees. Consequently,
the Commission estimates that the majority
of OSPs are small entities that may be
affected by our proposed action.
16. Prepaid Calling Card Providers. Neither
the Commission nor the SBA has developed
a small business size standard specifically for
prepaid calling card providers. The
appropriate size standard under SBA rules is
for the category Telecommunications
Resellers. Under that size standard, such a
business is small if it has 1,500 or fewer
employees.29 According to Commission
data,30 88 carriers have reported that they are
engaged in the provision of prepaid calling
cards. Of these, an estimated 85 have 1,500
or fewer employees and three have more than
1,500 employees. Consequently, the
Commission estimates that the majority of
prepaid calling card providers are small
entities that may be affected by our proposed
action.
23 3
CFR 121.201, NAICS code 517110.
in Telephone Service’’ at Table 5.3.
25 13 CFR 121.201, NAICS code 517110.
26 ‘‘Trends in Telephone Service’’ at Table 5.3.
27 13 CFR 121.201, NAICS code 517110.
28 ‘‘Trends in Telephone Service’’ at Table 5.3.
29 13 CFR 121.201, NAICS code 517310.
30 ‘‘Trends in Telephone Service’’ at Table 5.3.
24 ‘‘Trends
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17. 800 and 800-Like Service
Subscribers.31 Neither the Commission nor
the SBA has developed a small business size
standard specifically for 800 and 800-like
service (toll free) subscribers. The
appropriate size standard under SBA rules is
for the category Telecommunications
Resellers. Under that size standard, such a
business is small if it has 1,500 or fewer
employees.32 The most reliable source of
information regarding the number of these
service subscribers appears to be data the
Commission receives from Database Service
Management on the 800, 866, 877, and 888
numbers in use.33 According to our data, at
the end of December 2007, the number of 800
numbers assigned was 7,860,000; the number
of 888 numbers assigned was 5,210,184; the
number of 877 numbers assigned was
4,388,682; and the number of 866 numbers
assigned was 7,029,116. We do not have data
specifying the number of these subscribers
that are independently owned and operated
or have 1,500 or fewer employees, and thus
are unable at this time to estimate with
greater precision the number of toll free
subscribers that would qualify as small
businesses under the SBA size standard.
Consequently, we estimate that there are
7,860,000 or fewer small entity 800
subscribers; 5,210,184 or fewer small entity
888 subscribers; 4,388,682 or fewer small
entity 877 subscribers, and 7,029,116 or
fewer entity 866 subscribers.
18. Satellite Telecommunications and All
Other Telecommunications. These two
economic census categories address the
satellite industry. The first category has a
small business size standard of $15 million
or less in average annual receipts, under SBA
rules.34 The second has a size standard of $25
million or less in annual receipts.35 The most
current Census Bureau data in this context,
however, are from the (last) economic census
of 2002, and we will use those figures to
gauge the prevalence of small businesses in
these categories.36
19. The category of Satellite
Telecommunications ‘‘comprises
establishments primarily engaged in
providing telecommunications services to
other establishments in the
telecommunications and broadcasting
industries by forwarding and receiving
communications signals via a system of
satellites or reselling satellite
telecommunications.’’ 37 For this category,
Census Bureau data for 2002 show that there
were a total of 371 firms that operated for the
entire year.38 Of this total, 307 firms had
31 We include all toll-free number subscribers in
this category.
32 13 CFR 121.201, NAICS code 517310.
33 ‘‘Trends in Telephone Service’’ at Tables 18.4,
18.5, 18.6, and 18.7.
34 13 CFR 121.201, NAICS code 517410.
35 13 CFR 121.201, NAICS code 517919.
36 13 CFR 121.201, NAICS codes 517410 and
517910 (2002).
37 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517410 Satellite Telecommunications’’; https://
www.census.gov/naics/2007/def/ND517410.HTM.
38 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, ‘‘Establishment and
Firm Size (Including Legal Form of Organization),’’
Table 4, NAICS code 517410 (issued Nov. 2005).
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annual receipts of under $10 million, and 26
firms had receipts of $10 million to
$24,999,999.39 Consequently, we estimate
that the majority of Satellite
Telecommunications firms are small entities
that might be affected by our action.
20. The second category of All Other
Telecommunications comprises, inter alia,
‘‘establishments primarily engaged in
providing specialized telecommunications
services, such as satellite tracking,
communications telemetry, and radar station
operation. This industry also includes
establishments primarily engaged in
providing satellite terminal stations and
associated facilities connected with one or
more terrestrial systems and capable of
transmitting telecommunications to, and
receiving telecommunications from, satellite
systems.’’ 40 For this category, Census Bureau
data for 2002 show that there were a total of
332 firms that operated for the entire year.41
Of this total, 303 firms had annual receipts
of under $10 million and 15 firms had annual
receipts of $10 million to $24,999,999.42
Consequently, we estimate that the majority
of All Other Telecommunications firms are
small entities that might be affected by our
action.
21. Wireless Telecommunications Carriers
(except Satellite). This category includes
cellular, PCS, and certain SMR. Since 2007,
the Census Bureau has placed wireless firms
within this new, broad, economic census
category.43 Prior to that time, such firms were
within the now-superseded categories of
‘‘Paging’’ and ‘‘Cellular and Other Wireless
Telecommunications.’’ 44 Under the present
and prior categories, the SBA has deemed a
wireless business to be small if it has 1,500
or fewer employees.45 Because Census
Bureau data are not yet available for the new
category, we will estimate small business
prevalence using the prior categories and
associated data. For the category of Paging,
data for 2002 show that there were 807 firms
that operated for the entire year.46 Of this
39 Id. An additional 38 firms had annual receipts
of $25 million or more.
40 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517919 All Other Telecommunications’’; https://
www.census.gov/naics/2007/def/
ND517919.HTM#N517919.
41 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, ‘‘Establishment and
Firm Size (Including Legal Form of Organization),’’
Table 4, NAICS code 517910 (issued Nov. 2005).
42 Id. An additional 14 firms had annual receipts
of $25 million or more.
43 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517210 Wireless Telecommunications Categories
(Except Satellite)’’; https://www.census.gov/naics/
2007/def/ND517210.HTM#N517210.
44 U.S. Census Bureau, 2002 NAICS Definitions,
‘‘517211 Paging’’; https://www.census.gov/epcd/
naics02/def/NDEF517.HTM.; U.S. Census Bureau,
2002 NAICS Definitions, ‘‘517212 Cellular and
Other Wireless Telecommunications’’; https://
www.census.gov/epcd/naics02/def/NDEF517.HTM.
45 13 CFR 121.201, NAICS code 517210 (2007
NAICS). The now-superseded, pre-2007 CFR
citations were 13 CFR 121.201, NAICS codes
517211 and 517212 (referring to the 2002 NAICS).
46 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, ‘‘Establishment and
Firm Size (Including Legal Form of Organization,’’
Table 5, NAICS code 517211 (issued Nov. 2005).
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total, 804 firms had employment of 999 or
fewer employees, and three firms had
employment of 1,000 employees or more.47
For the category of Cellular and Other
Wireless Telecommunications, data for 2002
show that there were 1,397 firms that
operated for the entire year.48 Of this total,
1,378 firms had employment of 999 or fewer
employees, and 19 firms had employment of
1,000 employees or more.49 Thus, we
estimate that the majority of wireless firms
are small.
22. Internet Service Providers. The 2007
Economic Census places these providers,
which includes voice over Internet protocol
(VoIP) providers, in the category of All Other
Telecommunications.50 The SBA small
business size standard for such firms is:
Those having annual average receipts of $25
million or less.51 The most current Census
Bureau data on such entities, however, are
the 2002 data for the previous census
category 52 called Internet Service Providers.
The 2002 data show that there were 2,529
such firms that operated for the entire year.53
Of those, 2,437 firms had annual receipts of
under $10 million, and an additional 47
firms had receipts of between $10 million
and
$24,999,999.54 Consequently, we estimate
that the majority of ISP firms are small
entities that may be affected by our action.
23. Common Carrier Paging. As noted, the
SBA has developed a small business size
standard for Wireless Telecommunications
Carriers (except Satellite) firms within the
broad economic census categories of
‘‘Cellular and Other Wireless
Telecommunications.’’ 55 Since 2007, the
Census Bureau has placed wireless firms
within this new, broad, economic census
category.56 Prior to that time, such firms were
within the now-superseded categories of
‘‘Paging’’ and ‘‘Cellular and Other Wireless
47 Id. The census data do not provide a more
precise estimate of the number of firms that have
employment of 1,500 or fewer employees; the
largest category provided is for firms with ‘‘1000
employees or more.’’
48 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, ‘‘Establishment and
Firm Size (Including Legal Form of Organization,’’
Table 5, NAICS code 517212 (issued Nov. 2005).
49 Id. The census data do not provide a more
precise estimate of the number of firms that have
employment of 1,500 or fewer employees; the
largest category provided is for firms with ‘‘1,000
employees or more.’’
50 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517919 All Other Telecommunications’’; https://
www.census.gov/naics/2007/def/
ND517919.HTM#N517919.
51 13 CFR 121.201, NAICS code 517919 (updated
for inflation in 2008).
52 U.S. Census Bureau, ‘‘2002 NAICS Definitions:
518111 Internet Service Providers’’; https://
www.census.gov/epcd/naics02/def/NDEF518.HTM.
53 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, ‘‘Establishment and
Firm Size (Including Legal Form of Organization),’’
Table 4, NAICS code 518111 (issued Nov. 2005).
54 An additional 45 firms had receipts of $25
million or more.
55 13 CFR 121.201, NAICS code 517212.
56 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517210 Wireless Telecommunications Categories
(Except Satellite)’’; https://www.census.gov/naics/
2007/def/ND517210.HTM#N517210.
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Telecommunications.’’ 57 Under the present
and prior categories, the SBA has deemed a
wireless business to be small if it has 1,500
or fewer employees.58 Because Census
Bureau data are not yet available for the new
category, we will estimate small business
prevalence using the prior categories and
associated data. For the category of Paging,
data for 2002 show that there were 807 firms
that operated for the entire year.59 Of this
total, 804 firms had employment of 999 or
fewer employees, and three firms had
employment of 1,000 employees or more.60
For the category of Cellular and Other
Wireless Telecommunications, data for 2002
show that there were 1,397 firms that
operated for the entire year.61 Of this total,
1,378 firms had employment of 999 or fewer
employees, and 19 firms had employment of
1,000 employees or more.62 Thus, we
estimate that the majority of wireless firms
are small.
24. In addition, in the Paging Second
Report and Order, the Commission adopted
a size standard for ‘‘small businesses’’ for
purposes of determining their eligibility for
special provisions such as bidding credits
and installment payments.63 A small
business is an entity that, together with its
affiliates and controlling principals, has
average gross revenues not exceeding $15
million for the preceding three years.64 The
SBA has approved this definition.65 An
auction of Metropolitan Economic Area
57 U.S. Census Bureau, 2002 NAICS Definitions,
‘‘517211 Paging’’; https://www.census.gov/epcd/
naics02/def/NDEF517.HTM; U.S. Census Bureau,
2002 NAICS Definitions, ‘‘517212 Cellular and
Other Wireless Telecommunications’’; https://
www.census.gov/epcd/naics02/def/NDEF517.HTM.
58 13 CFR 121.201, NAICS code 517210 (2007
NAICS). The now-superseded, pre-2007 CFR
citations were 13 CFR 121.201, NAICS codes
517211 and 517212 (referring to the 2002 NAICS).
59 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, ‘‘Establishment and
Firm Size (Including Legal Form of Organization,’’
Table 5, NAICS code 517211 (issued Nov. 2005).
60 Id. The census data do not provide a more
precise estimate of the number of firms that have
employment of 1,500 or fewer employees; the
largest category provided is for firms with ‘‘1,000
employees or more.’’
61 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, ‘‘Establishment and
Firm Size (Including Legal Form of Organization,’’
Table 5, NAICS code 517212 (issued Nov. 2005).
62 Id. The census data do not provide a more
precise estimate of the number of firms that have
employment of 1,500 or fewer employees; the
largest category provided is for firms with ‘‘1,000
employees or more.’’
63 Revision of Part 22 and Part 90 of the
Commission’s Rules to Facilitate Future
Development of Paging Systems, Second Report and
Order, 12 FCC Rcd 2732, 2811–2812, paras. 178–
181 (Paging Second Report and Order); see also
Revision of Part 22 and Part 90 of the Commission’s
Rules to Facilitate Future Development of Paging
Systems, Memorandum Opinion and Order on
Reconsideration, 14 FCC Rcd 10030, 10085–10088,
paragraphs 98–107 (1999).
64 Paging Second Report and Order, 12 FCC Rcd
at 2811, paragraph 179.
65 See Letter from Aida Alvarez, Administrator,
SBA, to Amy Zoslov, Chief, Auctions and Industry
Analysis Division, Wireless Telecommunications
Bureau (‘‘WTB’’), FCC (Dec. 2, 1998) (Alvarez Letter
1998).
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(MEA) licenses commenced on February 24,
2000, and closed on March 2, 2000. Of the
2,499 licenses auctioned, 985 were sold.66
Fifty-seven companies claiming small
business status won 440 licenses.67 An
auction of MEA and Economic Area (EA)
licenses commenced on October 30, 2001,
and closed on December 5, 2001. Of the
15,514 licenses auctioned, 5,323 were sold.68
One hundred thirty-two companies claiming
small business status purchased 3,724
licenses. A third auction, consisting of 8,874
licenses in each of 175 EAs and 1,328
licenses in all but three of the 51 MEAs
commenced on May 13, 2003, and closed on
May 28, 2003. Seventy-seven bidders
claiming small or very small business status
won 2,093 licenses.69
25. Currently, there are approximately
74,000 Common Carrier Paging licenses.
According to the most recent Trends in
Telephone Service, 281 carriers reported that
they were engaged in the provision of
‘‘paging and messaging’’ services.70 Of these,
an estimated 279 have 1,500 or fewer
employees and two have more than 1,500
employees.71 We estimate that the majority of
common carrier paging providers would
qualify as small entities under the SBA
definition.
26. Wireless Communications Services.
This service can be used for fixed, mobile,
radiolocation, and digital audio broadcasting
satellite uses. The Commission defined
‘‘small business’’ for the wireless
communications services (WCS) auction as
an entity with average gross revenues of $40
million for each of the three preceding years,
and a ‘‘very small business’’ as an entity with
average gross revenues of $15 million for
each of the three preceding years.72 The SBA
has approved these definitions.73 The
Commission auctioned geographic area
licenses in the WCS service. In the auction,
which commenced on April 15, 1997 and
closed on April 25, 1997, there were seven
bidders that won 31 licenses that qualified as
very small business entities, and one bidder
that won one license that qualified as a small
business entity.
27. 1670–1675 MHz Services. An auction
for one license in the 1670–1675 MHz band
commenced on April 30, 2003 and closed the
same day. One license was awarded. The
winning bidder was not a small entity.
28. Wireless Telephony. Wireless
telephony includes cellular, personal
communications services, and specialized
mobile radio telephony carriers. As noted,
the SBA has developed a small business size
66 See ‘‘929 and 931 MHz Paging Auction Closes,’’
Public Notice, 15 FCC Rcd 4858 (WTB 2000).
67 See id.
68 See ‘‘Lower and Upper Paging Band Auction
Closes,’’ Public Notice, 16 FCC Rcd 21821 (WTB
2002).
69 See ‘‘Lower and Upper Paging Bands Auction
Closes,’’ Public Notice, 18 FCC Rcd 11154 (WTB
2003).
70 ‘‘Trends in Telephone Service’’ at Table 5.3.
71 ‘‘Trends in Telephone Service’’ at Table 5.3.
72 Amendment of the Commission’s Rules to
Establish Part 27, the Wireless Communications
Service (WCS), Report and Order, 12 FCC Rcd
10785, 10879, para. 194 (1997).
73 See Alvarez Letter 1998.
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standard for Wireless Telecommunications
Carriers (except Satellite).74 Under the SBA
small business size standard, a business is
small if it has 1,500 or fewer employees.75
According to Trends in Telephone Service
data, 434 carriers reported that they were
engaged in wireless telephony.76 Of these, an
estimated 222 have 1,500 or fewer employees
and 212 have more than 1,500 employees.77
We have estimated that 222 of these are small
under the SBA small business size standard.
29. Broadband Personal Communications
Service. The broadband personal
communications services (PCS) spectrum is
divided into six frequency blocks designated
A through F, and the Commission has held
auctions for each block. The Commission has
created a small business size standard for
Blocks C and F as an entity that has average
gross revenues of less than $40 million in the
three previous calendar years.78 For Block F,
an additional small business size standard for
‘‘very small business’’ was added and is
defined as an entity that, together with its
affiliates, has average gross revenues of not
more than $15 million for the preceding three
calendar years.79 These small business size
standards, in the context of broadband PCS
auctions, have been approved by the SBA.80
No small businesses within the SBAapproved small business size standards bid
successfully for licenses in Blocks A and B.
There were 90 winning bidders that qualified
as small entities in the Block C auctions. A
total of 93 ‘‘small’’ and ‘‘very small’’ business
bidders won approximately 40 percent of the
1,479 licenses for Blocks D, E, and F.81 On
March 23, 1999, the Commission reauctioned
155 C, D, E, and F Block licenses; there were
113 small business winning bidders.82
30. On January 26, 2001, the Commission
completed the auction of 422 C and F
Broadband PCS licenses in Auction No. 35.
Of the 35 winning bidders in this auction, 29
qualified as ‘‘small’’ or ‘‘very small’’
businesses.83 Subsequent events, concerning
Auction 35, including judicial and agency
determinations, resulted in a total of 163 C
and F Block licenses being available for
grant. On February 15, 2005, the Commission
completed an auction of 188 C block licenses
and 21 F block licenses in Auction No. 58.
There were 24 winning bidders for 217
74 13
CFR 121.201, NAICS code 517210.
75 Id.
76 ‘‘Trends
in Telephone Service’’ at Table 5.3.
in Telephone Service’’ at Table 5.3.
78 See Amendment of Parts 20 and 24 of the
Commission’s Rules—Broadband PCS Competitive
Bidding and the Commercial Mobile Radio Service
Spectrum Cap, Report and Order, 11 FCC Rcd 7824,
7850–7852, paras. 57–60 (1996) (PCS Report and
Order); see also 47 CFR 24.720(b).
79 See PCS Report and Order, 11 FCC Rcd at 7852,
para. 60.
80 See Alvarez Letter 1998.
81 FCC News, ‘‘Broadband PCS, D, E and F Block
Auction Closes,’’ No. 71744 (rel. Jan. 14, 1997).
82 See ‘‘C, D, E, and F Block Broadband PCS
Auction Closes,’’ Public Notice, 14 FCC Rcd 6688
(WTB 1999).
83 See ‘‘C and F Block Broadband PCS Auction
Closes; Winning Bidders Announced,’’ Public
Notice, 16 FCC Rcd 2339 (2001).
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licenses.84 Of the 24 winning bidders, 16
claimed small business status and won 156
licenses. On May 21, 2007, the Commission
completed an auction of 33 licenses in the A,
C, and F Blocks in Auction No. 71.85 Of the
14 winning bidders, six were designated
entities.86
31. Narrowband Personal Communications
Services. The Commission held an auction
for Narrowband PCS licenses that
commenced on July 25, 1994, and closed on
July 29, 1994. A second auction commenced
on October 26, 1994 and closed on November
8, 1994. For purposes of the first two
Narrowband PCS auctions, ‘‘small
businesses’’ were entities with average gross
revenues for the prior three calendar years of
$40 million or less.87 Through these
auctions, the Commission awarded a total of
41 licenses, 11 of which were obtained by
four small businesses.88 To ensure
meaningful participation by small business
entities in future auctions, the Commission
adopted a two-tiered small business size
standard in the Narrowband PCS Second
Report and Order.89 A ‘‘small business’’ is an
entity that, together with affiliates and
controlling interests, has average gross
revenues for the three preceding years of not
more than $40 million.90 A ‘‘very small
business’’ is an entity that, together with
affiliates and controlling interests, has
average gross revenues for the three
preceding years of not more than $15
million.91 The SBA has approved these small
business size standards.92 A third auction
commenced on October 3, 2001 and closed
on October 16, 2001. Here, five bidders won
317 (Metropolitan Trading Areas and
nationwide) licenses.93 Three of these
claimed status as a small or very small entity
and won 311 licenses.
32. Lower 700 MHz Band Licenses. The
Commission previously adopted criteria for
defining three groups of small businesses for
84 See ‘‘Broadband PCS Spectrum Auction Closes;
Winning Bidders Announced for Auction No. 58,’’
Public Notice, 20 FCC Rcd 3703 (2005).
85 See ‘‘Auction of Broadband PCS Spectrum
Licenses Closes; Winning Bidders Announced for
Auction No. 71,’’ Public Notice, 22 FCC Rcd 9247
(2007).
86 Id.
87 Implementation of Section 309(j) of the
Communications Act—Competitive Bidding
Narrowband PCS, Third Memorandum Opinion and
Order and Further Notice of Proposed Rulemaking,
10 FCC Rcd 175, 196, para. 46 (1994).
88 See ‘‘Announcing the High Bidders in the
Auction of ten Nationwide Narrowband PCS
Licenses, Winning Bids Total $617,006,674,’’ Public
Notice, PNWL 94–004 (rel. Aug. 2, 1994);
‘‘Announcing the High Bidders in the Auction of 30
Regional Narrowband PCS Licenses; Winning Bids
Total $490,901,787,’’ Public Notice, PNWL 94–27
(rel. Nov. 9, 1994).
89 Amendment of the Commission’s Rules to
Establish New Personal Communications Services,
Narrowband PCS, Second Report and Order and
Second Further Notice of Proposed Rule Making, 15
FCC Rcd 10456, 10476, para. 40 (2000)
(Narrowband PCS Second Report and Order).
90 Narrowband PCS Second Report and Order, 15
FCC Rcd at 10476, para. 40.
91 Id.
92 See Alvarez Letter 1998.
93 See ‘‘Narrowband PCS Auction Closes,’’ Public
Notice, 16 FCC Rcd 18663 (WTB 2001).
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purposes of determining their eligibility for
special provisions such as bidding credits.94
The Commission defined a ‘‘small business’’
as an entity that, together with its affiliates
and controlling principals, has average gross
revenues not exceeding $40 million for the
preceding three years.95 A ‘‘very small
business’’ is defined as an entity that,
together with its affiliates and controlling
principals, has average gross revenues that
are not more than $15 million for the
preceding three years.96 Additionally, the
lower 700 MHz Service had a third category
of small business status for Metropolitan/
Rural Service Area (‘‘MSA/RSA’’) licenses.
The third category is ‘‘entrepreneur,’’ which
is defined as an entity that, together with its
affiliates and controlling principals, has
average gross revenues that are not more than
$3 million for the preceding three years.97
The SBA approved these small size
standards.98 An auction of 740 licenses (one
license in each of the 734 MSAs/RSAs and
one license in each of the six Economic Area
Groupings (EAGs)) commenced on August
27, 2002, and closed on September 18, 2002.
Of the 740 licenses available for auction, 484
licenses were sold to 102 winning bidders.
Seventy-two of the winning bidders claimed
small business, very small business or
entrepreneur status and won a total of 329
licenses.99 A second auction commenced on
May 28, 2003, and closed on June 13, 2003,
and included 256 licenses: 5 EAG licenses
and 476 Cellular Market Area licenses.100
Seventeen winning bidders claimed small or
very small business status and won 60
licenses, and nine winning bidders claimed
entrepreneur status and won 154 licenses.101
On July 26, 2005, the Commission completed
an auction of 5 licenses in the Lower 700
MHz band (Auction No. 60). There were
three winning bidders for five licenses. All
three winning bidders claimed small
business status.
33. The Commission recently reexamined
its rules governing the 700 MHz band in the
700 MHz Second Report and Order.102 An
94 See Reallocation and Service Rules for the 698–
746 MHz Spectrum Band (Television Channels 52–
59), Report and Order, 17 FCC Rcd 1022 (2002)
(Channels 52–59 Report and Order).
95 See Channels 52–59 Report and Order, 17 FCC
Rcd at 1087–88, paragraph 172.
96 See id.
97 See id., 17 FCC Rcd at 1088, paragraph 173.
98 See Letter from Aida Alvarez, Administrator,
SBA, to Thomas Sugrue, Chief, WTB, FCC (Aug. 10,
1999) (Alvarez Letter 1999).
99 See ‘‘Lower 700 MHz Band Auction Closes,’’
Public Notice, 17 FCC Rcd 17272 (WTB 2002).
100 See ‘‘Lower 700 MHz Band Auction Closes,’’
Public Notice, 18 FCC Rcd 11873 (WTB 2003).
101 See id.
102 Service Rules for the 698–746, 747–762 and
777–792 MHz Bands, WT Docket No. 06–150,
Revision of the Commission’s Rules to Ensure
Compatibility with Enhanced 911 Emergency
Calling Systems, CC Docket No. 94–102, Section
68.4(a) of the Commission’s Rules Governing
Hearing Aid-Compatible Telephones, WT Docket
No. 01–309, Biennial Regulatory Review—
Amendment of Parts 1, 22, 24, 27, and 90 to
Streamline and Harmonize Various Rules Affecting
Wireless Radio Services, WT Docket 03–264,
Former Nextel Communications, Inc. Upper 700
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auction of 700 MHz licenses commenced
January 24, 2008. For the Lower 700 MHz
band, 176 licenses over Economic Areas in
the A Block, 734 licenses over Cellular
Market Areas in the B Block, and 176
licenses over EAs in the E Block are available
for licensing.103 Winning bidders may be
eligible for small business status (those with
attributable average annual gross revenues
that exceed $15 million and do not exceed
$40 million for the preceding three years), or
very small business status (those with
attributable average annual gross revenues
that do not exceed $15 million for the
preceding three years).
34. Upper 700 MHz Band Licenses. In the
700 MHz Second Report and Order, the
Commission revised its rules regarding
Upper 700 MHz licenses. On January 24,
2008, the Commission commenced Auction
73 in which several licenses in the Upper 700
MHz band are available for licensing: 12
licenses over Regional Economic Area
Groupings (REAGs) in the C Block, and one
nationwide license in the D Block.104
Winning bidders may be eligible for small
business status (those with attributable
average annual gross revenues that exceed
$15 million and do not exceed $40 million
for the preceding three years), or very small
business status (those with attributable
average annual gross revenues that do not
exceed $15 million for the preceding three
years.
35. 700 MHz Guard Band Licenses. In the
700 MHz Guard Band Order, the Commission
adopted size standards for ‘‘small
businesses’’ and ‘‘very small businesses’’ for
purposes of determining their eligibility for
special provisions such as bidding credits
and installment payments.105 A small
business in this service is an entity that,
together with its affiliates and controlling
principals, has average gross revenues not
exceeding $40 million for the preceding three
years.106 Additionally, a very small business
is an entity that, together with its affiliates
and controlling principals, has average gross
revenues that are not more than $15 million
for the preceding three years.107 SBA
approval of these definitions is not
required.108 An auction of 52 Major
MHz Guard Band Licenses and Revisions to Part 27
of the Commission’s Rules, WT Docket No. 06–169,
Implementing a Nationwide, Broadband,
Interoperable Public Safety Network in the 700 MHz
Band, PS Docket No. 06–229, Development of
Operational, Technical and Spectrum
Requirements for Meeting Federal, State and Local
Public Safety Communications Requirements
Through the Year 2010, WT Docket No. 96–86,
Second Report and Order, FCC 07–132 (2007) (700
MHz Second Report and Order).
103 See ‘‘Auction of 700 MHz Band Licenses
Scheduled for January 16, 2008; Comment Sought
on Competitive Bidding Procedures For Auction
73,’’ Public Notice, FCC Rcd 15004 (WTB 2007).
104 See id.
105 See Service Rules for the 746–764 MHz Bands,
and Revisions to Part 27 of the Commission’s Rules,
Second Report and Order, 15 FCC Rcd 5299 (2000)
(746–764 MHz Band Second Report and Order).
106 See 746–764 MHz Band Second Report and
Order, 15 FCC Rcd at 5343, para. 108.
107 See id.
108 See id., 15 FCC Rcd 5299, 5343, para. 108
n.246 (for the 746–764 MHz and 776–794 MHz
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Economic Area (MEA) licenses commenced
on September 6, 2000, and closed on
September 21, 2000.109 Of the 104 licenses
auctioned, 96 licenses were sold to nine
bidders. Five of these bidders were small
businesses that won a total of 26 licenses. A
second auction of 700 MHz Guard Band
licenses commenced on February 13, 2001,
and closed on February 21, 2001. All eight
of the licenses auctioned were sold to three
bidders. One of these bidders was a small
business that won a total of two licenses.110
36. Specialized Mobile Radio. The
Commission awards ‘‘small entity’’ bidding
credits in auctions for Specialized Mobile
Radio (SMR) geographic area licenses in the
800 MHz and 900 MHz bands to firms that
had revenues of no more than $15 million in
each of the three previous calendar years.111
The Commission awards ‘‘very small entity’’
bidding credits to firms that had revenues of
no more than $3 million in each of the three
previous calendar years.112 The SBA has
approved these small business size standards
for the 900 MHz Service.113 The Commission
has held auctions for geographic area licenses
in the 800 MHz and 900 MHz bands. The 900
MHz SMR auction began on December 5,
1995, and closed on April 15, 1996. Sixty
bidders claiming that they qualified as small
businesses under the $15 million size
standard won 263 geographic area licenses in
the 900 MHz SMR band. The 800 MHz SMR
auction for the upper 200 channels began on
October 28, 1997, and was completed on
December 8, 1997. Ten bidders claiming that
they qualified as small businesses under the
$15 million size standard won 38 geographic
area licenses for the upper 200 channels in
the 800 MHz SMR band.114 A second auction
for the 800 MHz band was held on January
10, 2002 and closed on January 17, 2002 and
included 23 BEA licenses. One bidder
claiming small business status won five
licenses.115
37. The auction of the 1,053 800 MHz SMR
geographic area licenses for the General
Category channels began on August 16, 2000,
and was completed on September 1, 2000.
Eleven bidders won 108 geographic area
licenses for the General Category channels in
the 800 MHz SMR band qualified as small
businesses under the $15 million size
standard.116 In an auction completed on
bands, the Commission is exempt from 15 U.S.C.
632, which requires Federal agencies to obtain SBA
approval before adopting small business size
standards).
109 See ‘‘700 MHz Guard Bands Auction Closes:
Winning Bidders Announced,’’ Public Notice, 15
FCC Rcd 18026 (2000).
110 See ‘‘700 MHz Guard Bands Auction Closes:
Winning Bidders Announced,’’ Public Notice, 16
FCC Rcd 4590 (WTB 2001).
111 47 CFR 90.814(b)(1).
112 47 CFR 90.814(b)(1).
113 See Alvarez Letter 1999.
114 See ‘‘Correction to Public Notice DA 96–586
‘FCC Announces Winning Bidders in the Auction
of 1020 Licenses to Provide 900 MHz SMR in Major
Trading Areas,’ ’’ Public Notice, 18 FCC Rcd 18367
(WTB 1996).
115 See ‘‘Multi-Radio Service Auction Closes,’’
Public Notice, 17 FCC Rcd 1446 (WTB 2002).
116 See ‘‘800 MHz Specialized Mobile Radio
(SMR) Service General Category (851–854 MHz) and
Upper Band (861–865 MHz) Auction Closes;
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December 5, 2000, a total of 2,800 Economic
Area licenses in the lower 80 channels of the
800 MHz SMR service were awarded.117 Of
the 22 winning bidders, 19 claimed small
business status and won 129 licenses. Thus,
combining all three auctions, 40 winning
bidders for geographic licenses in the 800
MHz SMR band claimed status as small
business.
38. In addition, there are numerous
incumbent site-by-site SMR licensees and
licensees with extended implementation
authorizations in the 800 and 900 MHz
bands. We do not know how many firms
provide 800 MHz or 900 MHz geographic
area SMR pursuant to extended
implementation authorizations, nor how
many of these providers have annual
revenues of no more than $15 million. One
firm has over $15 million in revenues. In
addition, we do not know how many of these
firms have 1500 or fewer employees.118 We
assume, for purposes of this analysis, that all
of the remaining existing extended
implementation authorizations are held by
small entities, as that small business size
standard is approved by the SBA.
39. 220 MHz Radio Service—Phase I
Licensees. The 220 MHz service has both
Phase I and Phase II licenses. Phase I
licensing was conducted by lotteries in 1992
and 1993. There are approximately 1,515
such non-nationwide licensees and four
nationwide licensees currently authorized to
operate in the 220 MHz band. The
Commission has not developed a definition
of small entities specifically applicable to
such incumbent 220 MHz Phase I licensees.
To estimate the number of such licensees that
are small businesses, we apply the small
business size standard under the SBA rules
applicable to Wireless Telecommunications
Carriers (except Satellite).119 This category
provides that a small business is a wireless
company employing no more than 1,500
persons.120 The Commission estimates that
most such licensees are small businesses
under the SBA’s small business standard.
40. 220 MHz Radio Service—Phase II
Licensees. The 220 MHz service has both
Phase I and Phase II licenses. The Phase II
220 MHz service is a new service, and is
subject to spectrum auctions. In the 220 MHz
Third Report and Order, the Commission
adopted a small business size standard for
defining ‘‘small’’ and ‘‘very small’’
businesses for purposes of determining their
eligibility for special provisions such as
bidding credits and installment payments.121
This small business standard indicates that a
‘‘small business’’ is an entity that, together
Winning Bidders Announced,’’ Public Notice, 15
FCC Rcd 17162 (2000).
117 See, ‘‘800 MHz SMR Service Lower 80
Channels Auction Closes; Winning Bidders
Announced,’’ Public Notice, 16 FCC Rcd 1736
(2000).
118 See generally 13 CFR 121.201, NAICS code
517210.
119 Id.
120 Id.
121 Amendment of Part 90 of the Commission’s
Rules to Provide For the Use of the 220–222 MHz
Band by the Private Land Mobile Radio Service,
Third Report and Order, 12 FCC Rcd 10943, 11068–
70, paras. 291–295 (1997).
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with its affiliates and controlling principals,
has average gross revenues not exceeding $15
million for the preceding three years.122 A
‘‘very small business’’ is defined as an entity
that, together with its affiliates and
controlling principals, has average gross
revenues that do not exceed $3 million for
the preceding three years.123 The SBA has
approved these small size standards.124
Auctions of Phase II licenses commenced on
September 15, 1998, and closed on October
22, 1998.125 In the first auction, 908 licenses
were auctioned in three different-sized
geographic areas: three nationwide licenses,
30 Regional Economic Area Group (EAG)
Licenses, and 875 Economic Area (EA)
Licenses. Of the 908 licenses auctioned, 693
were sold.126 Thirty-nine small businesses
won 373 licenses in the first 220 MHz
auction. A second auction included 225
licenses: 216 EA licenses and 9 EAG licenses.
Fourteen companies claiming small business
status won 158 licenses.127 A third auction
included four licenses: 2 BEA licenses and 2
EAG licenses in the 220 MHz Service. No
small or very small business won any of
these licenses.128 The Commission
conducted a fourth auction in 2007 with
three of the five winning bidders claiming
small or very small business status.129
41. Private Land Mobile Radio (PLMR).
PLMR systems serve an essential role in a
range of industrial, business, land
transportation, and public safety activities.
These radios are used by companies of all
sizes operating in all U.S. business
categories, and are often used in support of
the licensee’s primary (nontelecommunications) business operations.
For the purpose of determining whether a
licensee of a PLMR system is a small
business as defined by the SBA, we use the
broad census category, Wireless
Telecommunications Carriers (except
Satellite). This definition provides that a
small entity is any such entity employing no
more than 1,500 persons.130 The Commission
does not require PLMR licensees to disclose
information about number of employees, so
the Commission does not have information
that could be used to determine how many
PLMR licensees constitute small entities
under this definition. We note that PLMR
licensees generally use the licensed facilities
in support of other business activities, and
therefore, it would also be helpful to assess
PLMR licensees under the standards applied
122 Id.
at 11068, para. 291.
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123 Id.
124 See Letter from Aida Alvarez, Administrator,
SBA, to Daniel Phythyon, Chief, WTB, FCC (Jan. 6,
1998) (Alvarez to Phythyon Letter 1998).
125 See generally ‘‘220 MHz Service Auction
Closes,’’ Public Notice, 14 FCC Rcd 605 (1998).
126 See ‘‘FCC Announces It is Prepared to Grant
654 Phase II 220 MHz Licenses After Final Payment
is Made,’’ Public Notice, 14 FCC Rcd 1085 (1999).
127 See ‘‘Phase II 220 MHz Service Spectrum
Auction Closes,’’ Public Notice, 14 FCC Rcd 11218
(1999).
128 See ‘‘Multi-Radio Service Auction Closes,’’
Public Notice, 17 FCC Rcd 1446 (2002).
129 See ‘‘Auction of Phase II 220 MHz Service
Spectrum Licenses Closes,’’ Public Notice, 22 FCC
Rcd 11573 (WTB 2007).
130 See 13 CFR 121.201, NAICS code 517210.
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to the particular industry subsector to which
the licensee belongs.131
42. The Commission’s 1994 Annual Report
on PLMRs 132 indicates that at the end of
fiscal year 1994, there were 1,087,267
licensees operating 12,481,989 transmitters
in the PLMR bands below 512 MHz. We note
that any entity engaged in a commercial
activity is eligible to hold a PLMR license,
and that the revised rules in this context
could therefore potentially impact small
entities covering a great variety of industries.
43. Fixed Microwave Services. Fixed
microwave services include common
carrier,133 private operational-fixed,134 and
broadcast auxiliary radio services.135 At
present, there are approximately 22,015
common carrier fixed licensees and 61,670
private operational-fixed licensees and
broadcast auxiliary radio licensees in the
microwave services. The Commission has not
created a size standard for a small business
specifically with respect to fixed microwave
services. For purposes of this analysis, the
Commission uses the SBA small business
size standard for the category Wireless
Telecommunications Carriers (except
Satellite), which is 1,500 or fewer
employees.136 The Commission does not
have data specifying the number of these
licensees that have no more than 1,500
employees, and thus are unable at this time
to estimate with greater precision the number
of fixed microwave service licensees that
would qualify as small business concerns
under the SBA’s small business size
standard. Consequently, the Commission
estimates that there are 22,015 or fewer
common carrier fixed licensees and 61,670 or
fewer private operational-fixed licensees and
broadcast auxiliary radio licensees in the
microwave services that may be small and
may be affected by the rules and policies
proposed herein. We note, however, that the
common carrier microwave fixed licensee
category includes some large entities.
44. 39 GHz Service. The Commission
created a special small business size standard
for 39 GHz licenses—an entity that has
average gross revenues of $40 million or less
131 See
generally 13 CFR 121.201.
Communications Commission, 60th
Annual Report, Fiscal Year 1994, at paragraph 116.
133 See 47 CFR 101 et seq. for common carrier
fixed microwave services (except Multipoint
Distribution Service).
134 Persons eligible under parts 80 and 90 of the
Commission’s Rules can use Private OperationalFixed Microwave services. See 47 CFR Parts 80 and
90. Stations in this service are called operationalfixed to distinguish them from common carrier and
public fixed stations. Only the licensee may use the
operational-fixed station, and only for
communications related to the licensee’s
commercial, industrial, or safety operations.
135 Auxiliary Microwave Service is governed by
Part 74 of Title 47 of the Commission’s rules. See
47 CFR Part 74. This service is available to licensees
of broadcast stations and to broadcast and cable
network entities. Broadcast auxiliary microwave
stations are used for relaying broadcast television
signals from the studio to the transmitter, or
between two points such as a main studio and an
auxiliary studio. The service also includes mobile
television pickups, which relay signals from a
remote location back to the studio.
136 13 CFR 121.201, NAICS code 517210.
132 Federal
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in the three previous calendar years.137 An
additional size standard for ‘‘very small
business’’ is: An entity that, together with
affiliates, has average gross revenues of not
more than $15 million for the preceding three
calendar years.138 The SBA has approved
these small business size standards.139 The
auction of the 2,173 39 GHz licenses began
on April 12, 2000 and closed on May 8, 2000.
The 18 bidders who claimed small business
status won 849 licenses.
45. Local Multipoint Distribution Service.
Local Multipoint Distribution Service
(LMDS) is a fixed broadband point-tomultipoint microwave service that provides
for two-way video telecommunications.140
The auction of the 986 LMDS licenses began
on February 18, 1998 and closed on March
25, 1998. The Commission established a
small business size standard for LMDS
licenses as an entity that has average gross
revenues of less than $40 million in the three
previous calendar years.141 An additional
small business size standard for ‘‘very small
business’’ was added as an entity that,
together with its affiliates, has average gross
revenues of not more than $15 million for the
preceding three calendar years.142 The SBA
has approved these small business size
standards in the context of LMDS
auctions.143 There were 93 winning bidders
that qualified as small entities in the LMDS
auctions. A total of 93 small and very small
business bidders won approximately 277 A
Block licenses and 387 B Block licenses. On
March 27, 1999, the Commission reauctioned 161 licenses; there were 32 small
and very small businesses winning that won
119 licenses.
46. 218–219 MHz Service. The first auction
of 218–219 MHz (previously referred to as
the Interactive and Video Data Service or
IVDS) spectrum resulted in 178 entities
winning licenses for 594 Metropolitan
Statistical Areas (MSAs).144 Of the 594
licenses, 567 were won by 167 entities
qualifying as a small business. For that
auction, the Commission defined a small
137 See Amendment of the Commission’s Rules
Regarding the 37.0–38.6 GHz and 38.6–40.0 GHz
Bands, ET Docket No. 95–183, Report and Order, 12
FCC Rcd 18600 (1997).
138 Id.
139 See Letter from Aida Alvarez, Administrator,
SBA, to Kathleen O’Brien Ham, Chief, Auctions and
Industry Analysis Division, WTB, FCC (Feb. 4,
1998); See Letter from Hector Barreto,
Administrator, SBA, to Margaret Wiener, Chief,
Auctions and Industry Analysis Division, WTB,
FCC (Jan. 18, 2002).
140 See Rulemaking to Amend Parts 1, 2, 21, 25,
of the Commission’s Rules to Redesignate the 27.5–
29.5 GHz Frequency Band, Reallocate the 29.5–30.5
Frequency Band, to Establish Rules and Policies for
Local Multipoint Distribution Service and for Fixed
Satellite Services, Second Report and Order, Order
on Reconsideration, and Fifth Notice of Proposed
Rule Making, 12 FCC Rcd 12545, 12689–90,
paragraph 348 (1997) (LMDS Second Report and
Order).
141 See LMDS Second Report and Order, 12 FCC
Rcd at 12689–90, paragraph 348.
142 See id.
143 See Alvarez to Phythyon Letter 1998.
144 See ‘‘Interactive Video and Data Service
(IVDS) Applications Accepted for Filing,’’ Public
Notice, 9 FCC Rcd 6227 (1994).
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business as an entity that, together with its
affiliates, has no more than a $6 million net
worth and, after federal income taxes
(excluding any carry over losses), has no
more than $2 million in annual profits each
year for the previous two years.145 In the
218–219 MHz Report and Order and
Memorandum Opinion and Order, we
defined a small business as an entity that,
together with its affiliates and persons or
entities that hold interests in such an entity
and their affiliates, has average annual gross
revenues not exceeding $15 million for the
preceding three years.146 A very small
business is defined as an entity that, together
with its affiliates and persons or entities that
hold interests in such an entity and its
affiliates, has average annual gross revenues
not exceeding $3 million for the preceding
three years.147 The SBA has approved of
these definitions.148 A subsequent auction is
not yet scheduled. Given the success of small
businesses in the previous auction, and the
prevalence of small businesses in the
subscription television services and message
communications industries, we assume for
purposes of this analysis that in future
auctions, many, and perhaps most, of the
licenses may be awarded to small businesses.
47. Location and Monitoring Service
(LMS). Multilateration LMS systems use nonvoice radio techniques to determine the
location and status of mobile radio units. For
purposes of auctioning LMS licenses, the
Commission has defined ‘‘small business’’ as
an entity that, together with controlling
interests and affiliates, has average annual
gross revenues for the preceding three years
not exceeding $15 million.149 A ‘‘very small
business’’ is defined as an entity that,
together with controlling interests and
affiliates, has average annual gross revenues
for the preceding three years not exceeding
$3 million.150 These definitions have been
approved by the SBA.151 An auction for LMS
licenses commenced on February 23, 1999,
and closed on March 5, 1999. Of the 528
licenses auctioned, 289 licenses were sold to
four small businesses.
48. Rural Radiotelephone Service. The
Commission has not adopted a size standard
for small businesses specific to the Rural
Radiotelephone Service.152 A significant
subset of the Rural Radiotelephone Service is
the Basic Exchange Telephone Radio System
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145 Implementation
of Section 309(j) of the
Communications Act—Competitive Bidding, Fourth
Report and Order, 9 FCC Rcd 2330 (1994).
146 Amendment of Part 95 of the Commission’s
Rules to Provide Regulatory Flexibility in the 218–
219 MHz Service, Report and Order and
Memorandum Opinion and Order, 15 FCC Rcd 1497
(1999).
147 Id.
148 See Alvarez to Phythyon Letter 1998.
149 Amendment of Part 90 of the Commission’s
Rules to Adopt Regulations for Automatic Vehicle
Monitoring Systems, Second Report and Order, 13
FCC Rcd 15182, 15192, paragraph 20 (1998)
(Automatic Vehicle Monitoring Systems Second
Report and Order); see also 47 CFR 90.1103.
150 Automatic Vehicle Monitoring Systems
Second Report and Order, 13 FCC Rcd at 15192,
para. 20; see also 47 CFR 90.1103.
151 See Alvarez Letter 1998.
152 The service is defined in section 22.99 of the
Commission’s rules, 47 CFR 22.99.
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(BETRS).153 In the present context, we will
use the SBA’s small business size standard
applicable to Wireless Telecommunications
Carriers (except Satellite), i.e., an entity
employing no more than 1,500 persons.154
There are approximately 1,000 licensees in
the Rural Radiotelephone Service, and the
Commission estimates that there are 1,000 or
fewer small entity licensees in the Rural
Radiotelephone Service that may be affected
by the rules and policies proposed herein.
49. Air-Ground Radiotelephone Service.155
The Commission has previously used the
SBA’s small business definition applicable to
Wireless Telecommunications Carriers
(except Satellite), i.e., an entity employing no
more than 1,500 persons.156 There are
approximately 100 licensees in the AirGround Radiotelephone Service, and under
that definition, we estimate that almost all of
them qualify as small entities under the SBA
definition. For purposes of assigning AirGround Radiotelephone Service licenses
through competitive bidding, the
Commission has defined ‘‘small business’’ as
an entity that, together with controlling
interests and affiliates, has average annual
gross revenues for the preceding three years
not exceeding $40 million.157 A ‘‘very small
business’’ is defined as an entity that,
together with controlling interests and
affiliates, has average annual gross revenues
for the preceding three years not exceeding
$15 million.158 These definitions were
approved by the SBA.159 In May 2006, the
Commission completed an auction of
nationwide commercial Air-Ground
Radiotelephone Service licenses in the 800
MHz band (Auction No. 65). On June 2, 2006,
the auction closed with two winning bidders
winning two Air-Ground Radiotelephone
Services licenses. Neither of the winning
bidders claimed small business status.
50. Aviation and Marine Radio Services.
There are approximately 26,162 aviation,
34,555 marine (ship), and 3,296 marine
(coast) licensees.160 The Commission has not
153 BETRS is defined in 22.757 and 22.759 of the
Commission’s rules, 47 CFR 22.757 and 22.759.
154 13 CFR 121.201, NAICS code 517210.
155 The service is defined in section 22.99 of the
Commission’s rules, 47 CFR 22.99.
156 13 CFR 121.201, NAICS codes 517210.
157 Amendment of Part 22 of the Commission’s
Rules to Benefit the Consumers of Air-Ground
Telecommunications Services, Biennial Regulatory
Review—Amendment of Parts 1, 22, and 90 of the
Commission’s Rules, Amendment of Parts 1 and 22
of the Commission’s Rules to Adopt Competitive
Bidding Rules for Commercial and General Aviation
Air-Ground Radiotelephone Service, WT Docket
Nos. 03–103 and 05–42, Order on Reconsideration
and Report and Order, 20 FCC Rcd 19663,
paragraphs 28–42 (2005).
158 Id.
159 See Letter from Hector V. Barreto,
Administrator, SBA, to Gary D. Michaels, Deputy
Chief, Auctions and Spectrum Access Division,
WTB, FCC (Sept. 19, 2005).
160 Vessels that are not required by law to carry
a radio and do not make international voyages or
communications are not required to obtain an
individual license. See Amendment of Parts 80 and
87 of the Commission’s rules to Permit Operation
of Certain Domestic Ship and Aircraft Radio
Stations Without Individual Licenses, Report and
Order, WT Docket No. 96–82, 11 FCC Rcd 14849
(1996).
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developed a small business size standard
specifically applicable to all licensees. For
purposes of this analysis, we will use the
SBA small business size standard for the
category Wireless Telecommunications
Carriers (except Satellite), which is 1,500 or
fewer employees.161 We are unable to
determine how many of those licensed fall
under this standard. For purposes of our
evaluations in this analysis, we estimate that
there are up to approximately 62,969
licensees that are small businesses under the
SBA standard.162 In December 1998, the
Commission held an auction of 42 VHF
Public Coast licenses in the 157.1875–
157.4500 MHz (ship transmit) and 161.775–
162.0125 MHz (coast transmit) bands. For
this auction, the Commission defined a
‘‘small’’ business as an entity that, together
with controlling interests and affiliates, has
average gross revenues for the preceding
three years not to exceed $15 million dollars.
In addition, a ‘‘very small’’ business is one
that, together with controlling interests and
affiliates, has average gross revenues for the
preceding three years not to exceed $3
million dollars.163 Further, the Commission
made available Automated Maritime
Telecommunications System (AMTS)
licenses in Auctions 57 and 61.164 Winning
bidders could claim status as a very small
business or a very small business. A very
small business for this service is defined as
an entity with attributed average annual gross
revenues that do not exceed $3 million for
the preceding three years, and a small
business is defined as an entity with
attributed average annual gross revenues of
more than $3 million but less than $15
million for the preceding three years.165
Three of the winning bidders in Auction 57
qualified as small or very small businesses,
while three winning entities in Auction 61
qualified as very small businesses.
51. Offshore Radiotelephone Service. This
service operates on several ultra high
frequencies (UHF) television broadcast
channels that are not used for television
broadcasting in the coastal areas of states
bordering the Gulf of Mexico.166 There is
presently 1 licensee in this service. We do
not have information whether that licensee
would qualify as small under the SBA’s small
161 13
CFR 121.201, NAICS code 517210.
licensee may have a license in more than
one category.
163 Amendment of the Commission’s Rules
Concerning Maritime Communications, PR Docket
No. 92–257, Third Report and Order and
Memorandum Opinion and Order, 13 FCC Rcd
19853 (1998).
164 See ‘‘Automated Maritime
Telecommunications System Spectrum Auction
Scheduled for September 15, 2004, Notice and
Filing Requirements, Minimum Opening Bids,
Upfront Payments and Other Auction Procedures,’’
Public Notice, 19 FCC Rcd 9518 (WTB 2004);
‘‘Auction of Automated Maritime
Telecommunications System Licenses Scheduled
for August 3, 2005, Notice and Filing Requirements,
Minimum Opening Bids, Upfront Payments and
Other Auction Procedures for Auction No. 61,’’
Public Notice, 20 FCC Rcd 7811 (WTB 2005).
165 47 CFR 80.1252.
166 This service is governed by Subpart I of Part
22 of the Commission’s rules. See 47 CFR 22.1001–
22.1037.
162 A
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business size standard for Wireless
Telecommunications Carriers (except
Satellite) services.167 Under that SBA small
business size standard, a business is small if
it has 1,500 or fewer employees.168
52. Multiple Address Systems (MAS).
Entities using MAS spectrum, in general, fall
into two categories: (1) Those using the
spectrum for profit-based uses, and (2) those
using the spectrum for private internal uses.
With respect to the first category, the
Commission defines ‘‘small entity’’ for MAS
licenses as an entity that has average gross
revenues of less than $15 million in the three
previous calendar years.169 ‘‘Very small
business’’ is defined as an entity that,
together with its affiliates, has average gross
revenues of not more than $3 million for the
preceding three calendar years.170 The SBA
has approved of these definitions.171 The
majority of these entities will most likely be
licensed in bands where the Commission has
implemented a geographic area licensing
approach that would require the use of
competitive bidding procedures to resolve
mutually exclusive applications. The
Commission’s licensing database indicates
that, as of January 20, 1999, there were a total
of 8,670 MAS station authorizations. Of
these, 260 authorizations were associated
with common carrier service. In addition, an
auction for 5,104 MAS licenses in 176 EAs
began November 14, 2001, and closed on
November 27, 2001.172 Seven winning
bidders claimed status as small or very small
businesses and won 611 licenses. On May 18,
2005, the Commission completed an auction
(Auction No. 59) of 4,226 MAS licenses in
the Fixed Microwave Services from the 928/
959 and 932/941 MHz bands. Twenty-six
winning bidders won a total of 2,323
licenses. Of the 26 winning bidders in this
auction, five claimed small business status
and won 1,891 licenses.
53. With respect to the second category,
which consists of entities that use, or seek to
use, MAS spectrum to accommodate internal
communications needs, we note that MAS
serves an essential role in a range of
industrial, safety, business, and land
transportation activities. MAS radios are
used by companies of all sizes, operating in
virtually all U.S. business categories, and by
all types of public safety entities. For the
majority of private internal users, the small
business size standard developed by the SBA
would be more appropriate. The applicable
size standard in this instance appears to be
that of Wireless Telecommunications Carriers
(except Satellite). This definition provides
that a small entity is any such entity
employing no more than 1,500 persons.173
The Commission’s licensing database
indicates that, as of January 20, 1999, of the
167 13
CFR 121.201, NAICS code 517210.
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168 Id.
169 See Amendment of the Commission’s Rules
Regarding Multiple Address Systems, Report and
Order, 15 FCC Rcd 11956, 12008, paragraph 123
(2000).
170 Id.
171 See Alvarez Letter 1999.
172 See ‘‘Multiple Address Systems Spectrum
Auction Closes,’’ Public Notice, 16 FCC Rcd 21011
(2001).
173 See 13 CFR 121.201, NAICS code 517210.
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8,670 total MAS station authorizations, 8,410
authorizations were for private radio service,
and of these, 1,433 were for private land
mobile radio service.
54. 1.4 GHz Band Licensees. The
Commission conducted an auction of 64 1.4
GHz band licenses, beginning on February 7,
2007,174 and closing on March 8, 2007.175 In
that auction, the Commission defined ‘‘small
business’’ as an entity that, together with its
affiliates and controlling interests, had
average gross revenues that exceed $15
million but do not exceed $40 million for the
preceding three years, and a ‘‘very small
business’’ as an entity that, together with its
affiliates and controlling interests, has had
average annual gross revenues not exceeding
$15 million for the preceding three years.176
Neither of the two winning bidders sought
designated entity status.177
55. Incumbent 24 GHz Licensees. This
analysis may affect incumbent licensees who
were relocated to the 24 GHz band from the
18 GHz band, and applicants who wish to
provide services in the 24 GHz band. The
applicable SBA small business size standard
is that of Wireless Telecommunications
Carriers (except Satellite). This category
provides that such a company is small if it
employs no more than 1,500 persons.178 The
broader census data notwithstanding, we
believe that there are only two licensees in
the 24 GHz band that were relocated from the
18 GHz band, Teligent 179 and TRW, Inc. It
is our understanding that Teligent and its
related companies have fewer than 1,500
employees, though this may change in the
future. TRW is not a small entity. There are
approximately 122 licensees in the Rural
Radiotelephone Service, and the Commission
estimates that there are 122 or fewer small
entity licensees in the Rural Radiotelephone
Service that may be affected by the rules and
policies proposed herein.
56. Future 24 GHz Licensees. With respect
to new applicants in the 24 GHz band, we
have defined ‘‘small business’’ as an entity
that, together with controlling interests and
affiliates, has average annual gross revenues
for the three preceding years not exceeding
$15 million.180 ‘‘Very small business’’ in the
24 GHz band is defined as an entity that,
together with controlling interests and
affiliates, has average gross revenues not
exceeding $3 million for the preceding three
years.181 The SBA has approved these
174 See ‘‘Auction of 1.4 GHz Bands Licenses
Scheduled for February 7, 2007,’’ Public Notice, 21
FCC Rcd 12393 (WTB 2006).
175 See ‘‘Auction of 1.4 GHz Band Licenses
Closes; Winning Bidders Announced for Auction
No. 69,’’ Public Notice, 22 FCC Rcd 4714 (2007)
(Auction No. 69 Closing PN).
176 Auction No. 69 Closing PN, Attachment C.
177 See Auction No. 69 Closing PN.
178 13 CFR 121.201, NAICS code 517210.
179 Teligent acquired the DEMS licenses of
FirstMark, the only licensee other than TRW in the
24 GHz band whose license has been modified to
require relocation to the 24 GHz band.
180 Amendments to Parts 1, 2, 87 and 101 of the
Commission’s Rules To License Fixed Services at 24
GHz, Report and Order, 15 FCC Rcd 16934, 16967,
paragraph 77 (2000) (24 GHz Report and Order); see
also 47 CFR 101.538(a)(2).
181 24 GHz Report and Order, 15 FCC Rcd at
16967, para. 77; see also 47 CFR 101.538(a)(1).
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definitions.182 The Commission will not
know how many licensees will be small or
very small businesses until the auction, if
required, is held.
57. Broadband Radio Service. Broadband
Radio Service systems, previously referred to
as Multipoint Distribution Service (MDS) and
Multichannel Multipoint Distribution Service
(MMDS) systems, and ‘‘wireless cable,’’
transmit video programming to subscribers
and provide two-way high speed data
operations using the microwave frequencies
of the Broadband Radio Service (BRS) and
Educational Broadband Service (EBS)
(previously referred to as the Instructional
Television Fixed Service (ITFS)).183 In
connection with the 1996 BRS auction, the
Commission established a small business size
standard as an entity that had annual average
gross revenues of no more than $40 million
in the previous three calendar years.184 The
BRS auctions resulted in 67 successful
bidders obtaining licensing opportunities for
493 Basic Trading Areas (BTAs). Of the 67
auction winners, 61 met the definition of a
small business. BRS also includes licensees
of stations authorized prior to the auction. At
this time, we estimate that of the 61 small
business BRS auction winners, 48 remain
small business licensees. In addition to the
48 small businesses that hold BTA
authorizations, there are approximately 392
incumbent BRS licensees that are considered
small entities.185 After adding the number of
small business auction licensees to the
number of incumbent licensees not already
counted, we find that there are currently
approximately 440 BRS licensees that are
defined as small businesses under either the
SBA or the Commission’s rules.
58. In addition, the SBA’s Cable Television
Distribution Services small business size
standard is applicable to EBS. There are
presently 2,032 EBS licensees. All but 100 of
these licenses are held by educational
institutions. Educational institutions are
included in this analysis as small entities.186
Thus, we estimate that at least 1,932
licensees are small businesses. Since 2007,
Cable Television Distribution Services have
been defined within the broad economic
182 See Letter from Gary M. Jackson, Assistant
Administrator, SBA, to Margaret W. Wiener, Deputy
Chief, Auctions and Industry Analysis Division,
WTB, FCC (July 28, 2000).
183 Amendment of Parts 21 and 74 of the
Commission’s Rules with Regard to Filing
Procedures in the Multipoint Distribution Service
and in the Instructional Television Fixed Service
and Implementation of Section 309(j) of the
Communications Act—Competitive Bidding, MM
Docket No. 94–131 and PP Docket No. 93–253,
Report and Order, 10 FCC Rcd 9589, 9593,
paragraph 7 (1995) (MDS Auction R&O).
184 47 CFR 21.961(b)(1).
185 47 U.S.C. 309(j). Hundreds of stations were
licensed to incumbent MDS licensees prior to
implementation of Section 309(j) of the
Communications Act of 1934, 47 U.S.C. 309(j). For
these pre-auction licenses, the applicable standard
is SBA’s small business size standard.
186 The term ‘‘small entity’’ within SBREFA
applies to small organizations (nonprofits) and to
small governmental jurisdictions (cities, counties,
towns, townships, villages, school districts, and
special districts with populations of less than
50,000). 5 U.S.C. 601(4)–(6). We do not collect
annual revenue data on EBS licensees.
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census category of Wired
Telecommunications Carriers; that category
is defined as follows: ‘‘This industry
comprises establishments primarily engaged
in operating and/or providing access to
transmission facilities and infrastructure that
they own and/or lease for the transmission of
voice, data, text, sound, and video using
wired telecommunications networks.
Transmission facilities may be based on a
single technology or a combination of
technologies.’’ 187 The SBA has developed a
small business size standard for this category,
which is: all such firms having 1,500 or fewer
employees. To gauge small business
prevalence for these cable services we must,
however, use current census data that are
based on the previous category of Cable and
Other Program Distribution and its associated
size standard; that size standard was: All
such firms having $13.5 million or less in
annual receipts.188 According to Census
Bureau data for 2002, there were a total of
1,191 firms in this previous category that
operated for the entire year.189 Of this total,
1,087 firms had annual receipts of under $10
million, and 43 firms had receipts of $10
million or more but less than $25 million.190
Thus, the majority of these firms can be
considered small.
59. Television Broadcasting. This
Economic Census category ‘‘comprises
establishments primarily engaged in
broadcasting images together with sound.
These establishments operate television
broadcasting studios and facilities for the
programming and transmission of programs
to the public.’’ 191 The SBA has created the
following small business size standard for
Television Broadcasting firms: those having
$14 million or less in annual receipts.192 The
Commission has estimated the number of
licensed commercial television stations to be
1,379.193 In addition, according to
Commission staff review of the BIA
Publications, Inc., Master Access Television
Analyzer Database (BIA) on March 30, 2007,
about 986 of an estimated 1,374 commercial
television stations (or approximately 72
percent) had revenues of $13 million or
less.194 We therefore estimate that the
majority of commercial television
broadcasters are small entities.
60. We note, however, that in assessing
whether a business concern qualifies as small
187 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517110 Wired Telecommunications Carriers’’
(partial definition); https://www.census.gov/naics/
2007/def/ND517110.HTM#N517110.
188 13 CFR 121.201, NAICS code 517110.
189 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, Table 4, Receipts Size
of Firms for the United States: 2002, NAICS code
517510 (issued November 2005).
190 Id. An additional 61 firms had annual receipts
of $25 million or more.
191 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘515120 Television Broadcasting’’ (partial
definition); https://www.census.gov/naics/2007/def/
ND515120.HTM#N515120.
192 13 CFR 121.201, NAICS code 515120 (updated
for inflation in 2008).
193 See FCC News Release, ‘‘Broadcast Station
Totals as of December 31, 2007,’’ dated March 18,
2008; https://www.fcc.gov/Daily_Releases/
Daily_Business/2008/db0318/DOC-280836A1.pdf.
194 We recognize that BIA’s estimate differs
slightly from the FCC total given supra.
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under the above definition, business (control)
affiliations 195 must be included. Our
estimate, therefore, likely overstates the
number of small entities that might be
affected by our action, because the revenue
figure on which it is based does not include
or aggregate revenues from affiliated
companies. In addition, an element of the
definition of ‘‘small business’’ is that the
entity not be dominant in its field of
operation. We are unable at this time to
define or quantify the criteria that would
establish whether a specific television station
is dominant in its field of operation.
Accordingly, the estimate of small businesses
to which rules may apply does not exclude
any television station from the definition of
a small business on this basis and is therefore
possibly over-inclusive to that extent.
61. In addition, the Commission has
estimated the number of licensed
noncommercial educational (NCE) television
stations to be 380.196 These stations are
nonprofit, and therefore considered to be
small entities.197
62. In addition, there are also 2,295 low
power television stations (LPTV).198 Given
the nature of this service, we will presume
that all LPTV licensees qualify as small
entities under the above SBA small business
size standard.
63. Radio Broadcasting. This Economic
Census category ‘‘comprises establishments
primarily engaged in broadcasting aural
programs by radio to the public.
Programming may originate in their own
studio, from an affiliated network, or from
external sources.’’ 199 The SBA has
established a small business size standard for
this category, which is: Such firms having $7
million or less in annual receipts.200
According to Commission staff review of BIA
Publications, Inc.’s Master Access Radio
Analyzer Database on March 31, 2005, about
10,840 (95%) of 11,410 commercial radio
stations had revenues of $6 million or less.
Therefore, the majority of such entities are
small entities.
64. We note, however, that in assessing
whether a business concern qualifies as small
under the above size standard, business
affiliations must be included.201 In addition,
195 ‘‘[Business concerns] are affiliates of each
other when one concern controls or has the power
to control the other or a third party or parties
controls or has the power to control both.’’ 13 CFR
21.103(a)(1).
196 See FCC News Release, ‘‘Broadcast Station
Totals as of December 31, 2007,’’ dated March 18,
2008; https://www.fcc.gov/Daily_Releases/
Daily_Business/2008/db0318/DOC-280836A1.pdf.
197 See generally 5 U.S.C. 601(4), (6).
198 See FCC News Release, ‘‘Broadcast Station
Totals as of December 31, 2007,’’ dated March 18,
2008; https://www.fcc.gov/Daily_Releases/
Daily_Business/2008/db0318/DOC-280836A1.pdf.
199 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘515112 Radio Stations’’; https://www.census.gov/
naics/2007/def/ND515112.HTM#N515112.
200 13 CFR 121.201, NAICS code 515112 (updated
for inflation in 2008).
201 ‘‘Concerns and entities are affiliates of each
other when one controls or has the power to control
the other, or a third party or parties controls or has
the power to control both. It does not matter
whether control is exercised, so long as the power
to control exists.’’ 13 CFR 121.103(a)(1) (an SBA
regulation).
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to be determined to be a ‘‘small business,’’
the entity may not be dominant in its field
of operation.202 We note that it is difficult at
times to assess these criteria in the context
of media entities, and our estimate of small
businesses may therefore be over-inclusive.
65. Auxiliary, Special Broadcast and Other
Program Distribution Services. This service
involves a variety of transmitters, generally
used to relay broadcast programming to the
public (through translator and booster
stations) or within the program distribution
chain (from a remote news gathering unit
back to the station). The Commission has not
developed a definition of small entities
applicable to broadcast auxiliary licensees.
The applicable definitions of small entities
are those, noted previously, under the SBA
rules applicable to radio broadcasting
stations and television broadcasting
stations.203
66. The Commission estimates that there
are approximately 5,618 FM translators and
boosters.204 The Commission does not collect
financial information on any broadcast
facility, and the Department of Commerce
does not collect financial information on
these auxiliary broadcast facilities. We
believe that most, if not all, of these auxiliary
facilities could be classified as small
businesses by themselves. We also recognize
that most commercial translators and
boosters are owned by a parent station
which, in some cases, would be covered by
the revenue definition of small business
entity discussed above. These stations would
likely have annual revenues that exceed the
SBA maximum to be designated as a small
business ($7.0 million for a radio station or
$14.0 million for a TV station). Furthermore,
they do not meet the Small Business Act’s
definition of a ‘‘small business concern’’
because they are not independently owned
and operated.205
67. Cable Television Distribution Services.
Since 2007, these services have been defined
within the broad economic census category
of Wired Telecommunications Carriers; that
category is defined as follows: ‘‘This industry
comprises establishments primarily engaged
in operating and/or providing access to
transmission facilities and infrastructure that
they own and/or lease for the transmission of
voice, data, text, sound, and video using
wired telecommunications networks.
Transmission facilities may be based on a
single technology or a combination of
technologies.’’ 206 The SBA has developed a
small business size standard for this category,
which is: All such firms having 1,500 or
fewer employees. To gauge small business
prevalence for these cable services we must,
however, use current census data that are
based on the previous category of Cable and
Other Program Distribution and its associated
size standard; that size standard was: All
such firms having $13.5 million or less in
202 13
203 13
CFR 121.102(b) (an SBA regulation).
CFR 121.201, NAICS codes 515112 and
515120.
204 See supra note 242.
205 See 15 U.S.C. 632.
206 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517110 Wired Telecommunications Carriers’’
(partial definition); https://www.census.gov/naics/
2007/def/ND517110.HTM#N517110.
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annual receipts.207 According to Census
Bureau data for 2002, there were a total of
1,191 firms in this previous category that
operated for the entire year.208 Of this total,
1,087 firms had annual receipts of under $10
million, and 43 firms had receipts of $10
million or more but less than $25 million.209
Thus, the majority of these firms can be
considered small.
68. Cable Companies and Systems. The
Commission has also developed its own
small business size standards, for the
purpose of cable rate regulation. Under the
Commission’s rules, a ‘‘small cable
company’’ is one serving 400,000 or fewer
subscribers, nationwide.210 Industry data
indicate that, of 1,076 cable operators
nationwide, all but eleven are small under
this size standard.211 In addition, under the
Commission’s rules, a ‘‘small system’’ is a
cable system serving 15,000 or fewer
subscribers.212 Industry data indicate that, of
7,208 systems nationwide, 6,139 systems
have under 10,000 subscribers, and an
additional 379 systems have 10,000–19,999
subscribers.213 Thus, under this second size
standard, most cable systems are small.
69. Cable System Operators. The
Communications Act of 1934, as amended,
also contains a size standard for small cable
system operators, which is ‘‘a cable operator
that, directly or through an affiliate, serves in
the aggregate fewer than 1 percent of all
subscribers in the United States and is not
affiliated with any entity or entities whose
gross annual revenues in the aggregate
exceed $250,000,000.’’ 214 The Commission
has determined that an operator serving
fewer than 677,000 subscribers shall be
deemed a small operator, if its annual
revenues, when combined with the total
annual revenues of all its affiliates, do not
exceed $250 million in the aggregate.215
Industry data indicate that, of 1,076 cable
operators nationwide, all but ten are small
207 13
CFR 121.201, NAICS code 517110.
Census Bureau, 2002 Economic Census,
Subject Series: Information, Table 4, Receipts Size
of Firms for the United States: 2002, NAICS code
517510 (issued November 2005).
209 Id. An additional 61 firms had annual receipts
of $25 million or more.
210 47 CFR 76.901(e). The Commission
determined that this size standard equates
approximately to a size standard of $100 million or
less in annual revenues. Implementation of Sections
of the 1992 Cable Act: Rate Regulation, Sixth Report
and Order and Eleventh Order on Reconsideration,
10 FCC Rcd 7393, 7408 (1995).
211 These data are derived from: R.R. Bowker,
Broadcasting & Cable Yearbook 2006, ‘‘Top 25
Cable/Satellite Operators,’’ pages A–8 & C–2 (data
current as of June 30, 2005); Warren
Communications News, Television & Cable
Factbook 2006, ‘‘Ownership of Cable Systems in the
United States,’’ pages D–1805 to D–1857.
212 47 CFR 76.901(c).
213 Warren Communications News, Television &
Cable Factbook 2006, ‘‘U.S. Cable Systems by
Subscriber Size,’’ page F–2 (data current as of Oct.
2005). The data do not include 718 systems for
which classifying data were not available.
214 47 U.S.C. 543(m)(2); see 47 CFR 76.901(f) &
nn. 1–3.
215 47 CFR 76.901(f); see Public Notice, FCC
Announces New Subscriber Count for the Definition
of Small Cable Operator, DA 01–158 (Cable
Services Bureau, Jan. 24, 2001).
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under this size standard.216 We note that the
Commission neither requests nor collects
information on whether cable system
operators are affiliated with entities whose
gross annual revenues exceed $250
million,217 and therefore we are unable to
estimate more accurately the number of cable
system operators that would qualify as small
under this size standard.
70. Open Video Systems. The open video
system (OVS) framework was established in
1996, and is one of four statutorily
recognized options for the provision of video
programming services by local exchange
carriers.218 The OVS framework provides
opportunities for the distribution of video
programming other than through cable
systems. Because OVS operators provide
subscription services,219 OVS falls within the
SBA small business size standard covering
cable services, which is ‘‘Wired
Telecommunications Carriers.’’ 220 The SBA
has developed a small business size standard
for this category, which is: All such firms
having 1,500 or fewer employees. To gauge
small business prevalence for such services
we must, however, use current census data
that are based on the previous category of
Cable and Other Program Distribution and its
associated size standard; that size standard
was: All such firms having $13.5 million or
less in annual receipts.221 According to
Census Bureau data for 2002, there were a
total of 1,191 firms in this previous category
that operated for the entire year.222 Of this
total, 1,087 firms had annual receipts of
under $10 million, and 43 firms had receipts
of $10 million or more but less than $25
million.223 Thus, the majority of cable firms
can be considered small. In addition, we note
that the Commission has certified some OVS
operators, with some now providing
service.224 Broadband service providers
(BSPs) are currently the only significant
holders of OVS certifications or local OVS
216 These data are derived from: R.R. Bowker,
Broadcasting & Cable Yearbook 2006, ‘‘Top 25
Cable/Satellite Operators,’’ pages A–8 & C–2 (data
current as of June 30, 2005); Warren
Communications News, Television & Cable
Factbook 2006, ‘‘Ownership of Cable Systems in the
United States,’’ pages D–1805 to D–1857.
217 The Commission does receive such
information on a case-by-case basis if a cable
operator appeals a local franchise authority’s
finding that the operator does not qualify as a small
cable operator pursuant to section 76.901(f) of the
Commission’s rules. See 47 CFR 76.909(b).
218 47 U.S.C. 571(a)(3)–(4). See Annual
Assessment of the Status of Competition in the
Market for the Delivery of Video Programming,
Thirteenth Annual Report, 24 FCC Rcd 542, 606
paragraph 135 (2009) (‘‘Thirteenth Annual Cable
Competition Report’’).
219 See 47 U.S.C. 573.
220 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517110 Wired Telecommunications Carriers’’;
https://www.census.gov/naics/2007/def/
ND517110.HTM#N517110.
221 13 CFR 121.201, NAICS code 517110.
222 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, Table 4, Receipts Size
of Firms for the United States: 2002, NAICS code
517510 (issued November 2005).
223 Id. An additional 61 firms had annual receipts
of $25 million or more.
224 A list of OVS certifications may be found at
https://www.fcc.gov/mb/ovs/csovscer.html.
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40113
franchises.225 The Commission does not have
financial or employment information
regarding the entities authorized to provide
OVS, some of which may not yet be
operational. Thus, again, at least some of the
OVS operators may qualify as small entities.
71. Cable Television Relay Service. This
service includes transmitters generally used
to relay cable programming within cable
television system distribution systems. This
cable service is defined within the broad
economic census category of Wired
Telecommunications Carriers; that category
is defined as follows: ‘‘This industry
comprises establishments primarily engaged
in operating and/or providing access to
transmission facilities and infrastructure that
they own and/or lease for the transmission of
voice, data, text, sound, and video using
wired telecommunications networks.
Transmission facilities may be based on a
single technology or a combination of
technologies.’’ 226 The SBA has developed a
small business size standard for this category,
which is: All such firms having 1,500 or
fewer employees. To gauge small business
prevalence for cable services we must,
however, use current census data that are
based on the previous category of Cable and
Other Program Distribution and its associated
size standard; that size standard was: All
such firms having $13.5 million or less in
annual receipts.227 According to Census
Bureau data for 2002, there were a total of
1,191 firms in this previous category that
operated for the entire year.228 Of this total,
1,087 firms had annual receipts of under $10
million, and 43 firms had receipts of $10
million or more but less than $25 million.229
Thus, the majority of these firms can be
considered small.
72. Multichannel Video Distribution and
Data Service. MVDDS is a terrestrial fixed
microwave service operating in the 12.2–12.7
GHz band. The Commission adopted criteria
for defining three groups of small businesses
for purposes of determining their eligibility
for special provisions such as bidding
credits. It defined a very small business as an
entity with average annual gross revenues not
exceeding $3 million for the preceding three
years; a small business as an entity with
average annual gross revenues not exceeding
$15 million for the preceding three years; and
an entrepreneur as an entity with average
annual gross revenues not exceeding $40
million for the preceding three years.230
225 See Thirteenth Annual Cable Competition
Report, 24 FCC Rcd at 606–07 paragraph 135. BSPs
are newer firms that are building state-of-the-art,
facilities-based networks to provide video, voice,
and data services over a single network.
226 U.S. Census Bureau, 2007 NAICS Definitions,
‘‘517110 Wired Telecommunications Carriers’’
(partial definition); https://www.census.gov/naics/
2007/def/ND517110.HTM#N517110.
227 13 CFR 121.201, NAICS code 517110.
228 U.S. Census Bureau, 2002 Economic Census,
Subject Series: Information, Table 4, Receipts Size
of Firms for the United States: 2002, NAICS code
517510 (issued November 2005).
229 Id. An additional 61 firms had annual receipts
of $25 million or more.
230 Amendment of Parts 2 and 25 of the
Commission’s Rules to Permit Operation of NGSO
FSS Systems Co-Frequency with GSO and
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These definitions were approved by the
SBA.231 On January 27, 2004, the
Commission completed an auction of 214
MVDDS licenses (Auction No. 53). In this
auction, ten winning bidders won a total of
192 MVDDS licenses.232 Eight of the ten
winning bidders claimed small business
status and won 144 of the licenses. The
Commission also held an auction of MVDDS
licenses on December 7, 2005 (Auction 63).
Of the three winning bidders who won 22
licenses, two winning bidders, winning 21 of
the licenses, claimed small business
status.233
73. Amateur Radio Service. These licensees
are held by individuals in a noncommercial
capacity; these licensees are not small
entities.
74. Aviation and Marine Services. Small
businesses in the aviation and marine radio
services use a very high frequency (VHF)
marine or aircraft radio and, as appropriate,
an emergency position-indicating radio
beacon (and/or radar) or an emergency
locator transmitter. The Commission has not
developed a small business size standard
specifically applicable to these small
businesses. For purposes of this analysis, the
Commission uses the SBA small business
size standard for the category Wireless
Telecommunications Carriers (except
Satellite), which is 1,500 or fewer
employees.234 Most applicants for
recreational licenses are individuals.
Approximately 581,000 ship station licensees
and 131,000 aircraft station licensees operate
domestically and are not subject to the radio
carriage requirements of any statute or treaty.
For purposes of our evaluations in this
analysis, we estimate that there are up to
approximately 712,000 licensees that are
small businesses (or individuals) under the
SBA standard. In addition, between
December 3, 1998 and December 14, 1998,
the Commission held an auction of 42 VHF
Public Coast licenses in the 157.1875–
157.4500 MHz (ship transmit) and 161.775–
162.0125 MHz (coast transmit) bands. For
purposes of the auction, the Commission
defined a ‘‘small’’ business as an entity that,
together with controlling interests and
affiliates, has average gross revenues for the
preceding three years not to exceed $15
million dollars. In addition, a ‘‘very small’’
business is one that, together with controlling
interests and affiliates, has average gross
revenues for the preceding three years not to
exceed $3 million dollars.235 There are
approximately 10,672 licensees in the Marine
Coast Service, and the Commission estimates
that almost all of them qualify as ‘‘small’’
businesses under the above special small
business size standards.
75. Personal Radio Services. Personal radio
services provide short-range, low power
radio for personal communications, radio
signaling, and business communications not
provided for in other services. The Personal
Radio Services include spectrum licensed
under Part 95 of our rules.236 These services
include Citizen Band Radio Service (CB),
General Mobile Radio Service (GMRS), Radio
Control Radio Service (R/C), Family Radio
Service (FRS), Wireless Medical Telemetry
Service (WMTS), Medical Implant
Communications Service (MICS), Low Power
Radio Service (LPRS), and Multi-Use Radio
Service (MURS).237 There are a variety of
methods used to license the spectrum in
these rule parts, from licensing by rule, to
conditioning operation on successful
completion of a required test, to site-based
licensing, to geographic area licensing. Under
the RFA, the Commission is required to make
a determination of which small entities are
directly affected by the rules being proposed.
Since all such entities are wireless, we apply
the definition of Wireless
Telecommunications Carriers (except
Satellite), pursuant to which a small entity is
defined as employing 1,500 or fewer
persons.238 Many of the licensees in these
services are individuals, and thus are not
small entities. In addition, due to the mostly
unlicensed and shared nature of the
spectrum utilized in many of these services,
the Commission lacks direct information
upon which to base an estimation of the
number of small entities under an SBA
definition that might be directly affected by
the proposed rules.
76. Public Safety Radio Services. Public
Safety radio services include police, fire,
local government, forestry conservation,
highway maintenance, and emergency
medical services.239 There are a total of
Terrestrial Systems in the Ku-Band Frequency
Range; Amendment of the Commission’s Rules to
Authorize Subsidiary Terrestrial Use of the 12.2–
12.7 GHz Band by Direct Broadcast Satellite
Licensees and their Affiliates; and Applications of
Broadwave USA, PDC Broadband Corporation, and
Satellite Receivers, Ltd. to provide A Fixed Service
in the 12.2–12.7 GHz Band, ET Docket No. 98–206,
Memorandum Opinion and Order and Second
Report and Order, 17 FCC Rcd 9614, 9711,
paragraph 252 (2002).
231 See Letter from Hector V. Barreto,
Administrator, U.S. Small Business Administration,
to Margaret W. Wiener, Chief, Auctions and
Industry Analysis Division, WTB, FCC (Feb.13,
2002).
232 See ‘‘Multichannel Video Distribution and
Data Service Auction Closes,’’ Public Notice, 19
FCC Rcd 1834 (2004).
233 See ‘‘Auction of Multichannel Video
Distribution and Data Service Licenses Closes;
Winning Bidders Announced for Auction No. 63,’’
Public Notice, 20 FCC Rcd 19807 (2005).
234 13 CFR 121.201, NAICS code 517210.
235 Amendment of the Commission’s Rules
Concerning Maritime Communications, Third
Report and Order and Memorandum Opinion and
Order, 13 FCC Rcd 19853 (1998).
236 47 CFR Part 90.
237 The Citizens Band Radio Service, General
Mobile Radio Service, Radio Control Radio Service,
Family Radio Service, Wireless Medical Telemetry
Service, Medical Implant Communications Service,
Low Power Radio Service, and Multi-Use Radio
Service are governed by Subpart D, Subpart A,
Subpart C, Subpart B, Subpart H, Subpart I, Subpart
G, and Subpart J, respectively, of Part 95 of the
Commission’s rules. See generally 47 CFR Part 95.
238 13 CFR 121.201, NAICS Code 517210.
239 With the exception of the special emergency
service, these services are governed by Subpart B
of part 90 of the Commission’s rules, 47 CFR 90.15–
90.27. The police service includes approximately
27,000 licensees that serve state, county, and
municipal enforcement through telephony (voice),
telegraphy (code) and teletype and facsimile
(printed material). The fire radio service includes
approximately 23,000 licensees comprised of
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approximately 127,540 licensees in these
services. Governmental entities 240 as well as
private businesses comprise the licensees for
these services. All governmental entities with
populations of less than 50,000 fall within
the definition of a small entity.241
IV. Description of Projected Reporting,
Recordkeeping and Other Compliance
Requirements
77. With certain exceptions, the
Commission’s Schedule of Regulatory Fees
applies to all Commission licensees and
regulatees. Most licensees will be required to
count the number of licenses or call signs
authorized, complete and submit an FCC
Form 159 Remittance Advice, and pay a
regulatory fee based on the number of
licenses or call signs.242 Interstate telephone
private volunteer or professional fire companies as
well as units under governmental control. The local
government service is presently comprised of
approximately 41,000 licensees that are state,
county, or municipal entities that use the radio for
official purposes not covered by other public safety
services. There are approximately 7,000 licensees
within the forestry service which is comprised of
licensees from state departments of conservation
and private forest organizations who set up
communications networks among fire lookout
towers and ground crews. The approximately 9,000
state and local governments are licensed to provide
highway maintenance service and emergency and
routine communications to aid other public safety
services to keep main roads safe for vehicular
traffic. The approximately 1,000 licensees in the
Emergency Medical Radio Service (EMRS) use the
39 channels allocated to this service for emergency
medical service communications related to the
delivery of emergency medical treatment. 47 CFR
90.15–90.27. The approximately 20,000 licensees in
the special emergency service include medical
services, rescue organizations, veterinarians,
handicapped persons, disaster relief organizations,
school buses, beach patrols, establishments in
isolated areas, communications standby facilities,
and emergency repair of public communications
facilities. 47 CFR 90.33–90.55.
240 47 CFR 1.1162.
241 5 U.S.C. 601(5).
242 See 47 CFR 1.1162 for the general exemptions
from regulatory fees. E.g., Amateur radio licensees
(except applicants for vanity call signs) and
operators in other non-licensed services (e.g.,
Personal Radio, part 15, ship and aircraft).
Governments and non-profit (exempt under section
501(c) of the Internal Revenue Code) entities are
exempt from payment of regulatory fees and need
not submit payment. Non-commercial educational
broadcast licensees are exempt from regulatory fees
as are licensees of auxiliary broadcast services such
as low power auxiliary stations, television auxiliary
service stations, remote pickup stations and aural
broadcast auxiliary stations where such licenses are
used in conjunction with commonly owned noncommercial educational stations. Emergency Alert
System licenses for auxiliary service facilities are
also exempt as are instructional television fixed
service licensees. Regulatory fees are automatically
waived for the licensee of any translator station
that: (1) Is not licensed to, in whole or in part, and
does not have common ownership with, the
licensee of a commercial broadcast station; (2) does
not derive income from advertising; and (3) is
dependent on subscriptions or contributions from
members of the community served for support.
Receive only earth station permittees are exempt
from payment of regulatory fees. A regulatee will
be relieved of its fee payment requirement if its
total fee due, including all categories of fees for
which payment is due by the entity, amounts to less
than $10.
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service providers must compute their annual
regulatory fee based on their interstate and
international end-user revenue using
information they already supply to the
Commission in compliance with the Form
499–A, Telecommunications Reporting
Worksheet, and they must complete and
submit the FCC Form 159. Compliance with
the fee schedule will require some licensees
to tabulate the number of units (e.g., cellular
telephones, pagers, cable TV subscribers)
they have in service, and complete and
submit an FCC Form 159. Licensees
ordinarily will keep a list of the number of
units they have in service as part of their
normal business practices. No additional
outside professional skills are required to
complete the FCC Form 159, and it can be
completed by the employees responsible for
an entity’s business records.
78. As discussed previously in the
accompanying Order at paragraphs 19
through 23, the Commission has concluded
that beginning in the FY 2009 regulatory fee
cycle, licensees filing their annual regulatory
fee payments must begin the process by
entering the Commission’s Fee Filer system
with a valid FRN and password. In some
instances, it will be necessary to use a
specific FRN and password that is linked to
a particular regulatory fee bill. Going
forward, the submission of hardcopy Form
159 documents will not be permitted for
making a regulatory fee payment. By
requiring licensees to use Fee Filer to begin
the regulatory fee payment process, errors
resulting from illegible handwriting on
hardcopy Form 159’s will be reduced, and
we will create an electronic record of
licensee payment attributes that are more
easily traced than those payments that are
simply mailed in with a hardcopy Form 159.
79. Licensees and regulatees are advised
that failure to submit the required regulatory
fee in a timely manner will subject the
licensee or regulatee to a late payment
penalty of 25 percent in addition to the
required fee.243 If payment is not received,
new or pending applications may be
dismissed, and existing authorizations may
be subject to rescission.244 Further, in
accordance with the DCIA, federal agencies
may bar a person or entity from obtaining a
federal loan or loan insurance guarantee if
that person or entity fails to pay a delinquent
debt owed to any federal agency.245
Nonpayment of regulatory fees is a debt owed
the United States pursuant to 31 U.S.C. 3711
et seq., and the DCIA. Appropriate
enforcement measures as well as
administrative and judicial remedies, may be
exercised by the Commission. Debts owed to
the Commission may result in a person or
entity being denied a federal loan or loan
guarantee pending before another federal
agency until such obligations are paid.246
80. The Commission’s rules currently
provide for relief in exceptional
circumstances. Persons or entities may
request a waiver, reduction or deferment of
payment of the regulatory fee.247 However,
timely submission of the required regulatory
fee must accompany requests for waivers or
reductions. This will avoid any late payment
penalty if the request is denied. The fee will
be refunded if the request is granted. In
exceptional and compelling instances (where
payment of the regulatory fee along with the
waiver or reduction request could result in
reduction of service to a community or other
financial hardship to the licensee), the
Commission will defer payment in response
to a request filed with the appropriate
supporting documentation.
V. Steps Taken To Minimize Significant
Economic Impact on Small Entities, and
Significant Alternatives Considered
81. The RFA requires an agency to describe
any significant alternatives that it has
considered in reaching its approach, which
may include the following four alternatives:
(1) The establishment of differing compliance
or reporting requirements or timetables that
take into account the resources available to
small entities; (2) the clarification,
consolidation, or simplification of
compliance or reporting requirements under
the rule for small entities; (3) the use of
performance, rather than design, standards;
and (4) an exemption from coverage of the
rule, or any part thereof, for small entities.248
In the NPRM, we sought comment on
alternatives that might simplify our fee
procedures or otherwise benefit filers,
including small entities, while remaining
consistent with our statutory responsibilities
in this proceeding. We received no comments
specifically in response to the IRFA.
82. Several categories of licensees and
regulatees are exempt from payment of
regulatory fees. Also, waiver procedures
provide regulatees, including small entity
regulatees, relief in exceptional
circumstances. We note that small entities
should be assisted by our implementation of
the Fee Filer program, and that we have
continued our practice of exempting fees
whose total sum owed is less than $10.00.
VI. Report to Congress
83. The Commission will send a copy of
this Report and Order, including this FRFA,
in a report to be sent to Congress and the
Government Accountability Office pursuant
to the Congressional Review Act.249. In
addition, the Commission will send a copy
of this Report and Order, including the
FRFA, to the Chief Counsel for Advocacy of
the Small Business Administration. A copy
of this Report and Order and FRFA (or
summaries thereof) will also be published in
the Federal Register.250
Appendix G
Proposed Letter to Submarine Cable
Operators
[insert address of submarine cable operator]
Re:/Regulatory Fees for Fiscal Year [insert
year]
Our annual regulatory fee assessment for
submarine cable operators is based on the
total capacity for the submarine cable system.
For this reason, we require submarine cable
operators to advise us of the appropriate
category for determining regulatory fees.
Please indicate below the correct category
and return this letter to us by February 15,
20lll.
Submarine cable systems
(capacity as of December 31)
Please
check the
appropriate
category
<2.5 Gbps.
2.5 Gbps or greater, but less
than 5 Gbps.
5 Gbps or greater, but less than
10 Gbps.
10 Gbps or greater, but less
than 20 Gbps.
20 Gbps or greater.
Thank you for your assistance in this
matter.
Certification Statement
I lllll certify under penalty of
perjury that the foregoing and supporting
information is true and correct to the best of
my knowledge, information and belief.
Signature lllll Date lllll
Appendix H
FY 2008 SCHEDULE OF REGULATORY FEES
Annual
regulatory fee
(U.S. $’s)
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Fee category
PLMRS (per license) (Exclusive Use) (47 CFR part 90) ................................................................................................................
Microwave (per license) (47 CFR part 101) ....................................................................................................................................
218–219 MHz (Formerly Interactive Video Data Service) (per license) (47 CFR part 95) ............................................................
Marine (Ship) (per station) (47 CFR part 80) ..................................................................................................................................
243 47
CFR 1.1164.
CFR 1.1164(c).
245 Public Law 104–134, 110 Stat. 1321 (1996).
246 31 U.S.C. 7701(c)(2)(B).
244 47
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247 47
CFR 1.1166.
U.S.C. 603.
249 See 5 U.S.C. 801(a)(1)(A). The Congressional
Review Act is contained in Title II, section 251, of
248 5
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the CWAAA; see Public Law 104–121, Title II,
section 251, 110 Stat. 868.
250 See 5 U.S.C. 604(b).
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60
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FY 2008 SCHEDULE OF REGULATORY FEES—Continued
Annual
regulatory fee
(U.S. $’s)
Fee category
Marine (Coast) (per license) (47 CFR part 80) ...............................................................................................................................
General Mobile Radio Service (per license) (47 CFR part 95) .......................................................................................................
Rural Radio (47 CFR part 22) (previously listed under the Land Mobile category) .......................................................................
PLMRS (Shared Use) (per license) (47 CFR part 90) ....................................................................................................................
Aviation (Aircraft) (per station) (47 CFR part 87) ............................................................................................................................
Aviation (Ground) (per license) (47 CFR part 87) ...........................................................................................................................
Amateur Vanity Call Signs (per call sign) (47 CFR part 97) ...........................................................................................................
CMRS Mobile/Cellular Services (per unit) (47 CFR parts 20, 22, 24, 27, 80 and 90) ...................................................................
CMRS Messaging Services (per unit) (47 CFR parts 20, 22, 24 and 90) ......................................................................................
Broadband Radio Service (formerly MMDS/MDS) (per license sign) (47 CFR part 21) ................................................................
Local Multipoint Distribution Service (per call sign) (47 CFR, part 101) ........................................................................................
AM Radio Construction Permits ......................................................................................................................................................
FM Radio Construction Permits ......................................................................................................................................................
TV (47 CFR part 73) VHF Commercial:
Markets 1–10 ............................................................................................................................................................................
Markets 11–25 ..........................................................................................................................................................................
Markets 26–50 ..........................................................................................................................................................................
Markets 51–100 ........................................................................................................................................................................
Remaining Markets ...................................................................................................................................................................
Construction Permits ................................................................................................................................................................
TV (47 CFR part 73) UHF Commercial:
Markets 1–10 ............................................................................................................................................................................
Markets 11–25 ..........................................................................................................................................................................
Markets 26–50 ..........................................................................................................................................................................
Markets 51–100 ........................................................................................................................................................................
Remaining Markets ...................................................................................................................................................................
Construction Permits ................................................................................................................................................................
Satellite Television Stations (All Markets) .......................................................................................................................................
Construction Permits—Satellite Television Stations .......................................................................................................................
Low Power TV, TV/FM Translators & Boosters (47 CFR part 74) .................................................................................................
Broadcast Auxiliary (47 CFR part 74) .............................................................................................................................................
CARS (47 CFR part 78) ..................................................................................................................................................................
Cable Television Systems (per subscriber) (47 CFR part 76) ........................................................................................................
Interstate Telecommunication Service Providers (per revenue dollar) ...........................................................................................
Earth Stations (47 CFR part 25) .....................................................................................................................................................
Space Stations (per operational station in geostationary orbit) (47 CFR part 25) also includes Direct Broadcast Satellite Service (per operational station) (47 CFR part 100) ..........................................................................................................................
Space Stations (per operational system in non-geostationary orbit) (47 CFR part 25) .................................................................
International Bearer Circuits (per active 64KB circuit) ....................................................................................................................
International Public Fixed (per call sign) (47 CFR part 23) ............................................................................................................
International (HF) Broadcast (47 CFR part 73) ...............................................................................................................................
35
5
20
20
5
10
1.23
.17
.08
295
295
415
600
71,050
53,525
33,525
21,025
5,600
5,600
21,225
19,475
11,900
6,800
1,800
1,800
1,175
595
365
10
205
.80
.00314
195
119,300
125,750
.93
2,025
860
FY 2008 SCHEDULE OF REGULATORY FEES (Continued)
FY 2008 Radio Station Regulatory Fees
AM Class
A
Population served
< =25,000 .................................................................................................
25,001–75,000 .........................................................................................
75,001–150,000 .......................................................................................
150,001–500,000 .....................................................................................
500,001–1,200,000 ..................................................................................
1,200,001–3,000,000 ...............................................................................
> 3,000,000 ..............................................................................................
AM Class
B
AM Class
C
AM Class
D
$650
1,325
1,975
2,975
4,300
6,600
7,925
$500
1,025
1,275
2,175
3,325
5,100
6,125
$450
650
875
1,325
2,200
3,300
4,175
$525
775
1,300
1,550
2,575
4,125
5,150
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[FR Doc. E9–19104 Filed 8–10–09; 8:45 am]
BILLING CODE 6712–01–P
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11AUR1
FM
Classes
A, B1 &
C3
$600
1,225
1,675
2,600
4,125
6,700
8,550
FM
Classes
B, C, C0,
C1 & C2
$775
1,375
2,550
3,325
4,900
7,850
10,200
Agencies
[Federal Register Volume 74, Number 153 (Tuesday, August 11, 2009)]
[Rules and Regulations]
[Pages 40089-40116]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-19104]
=======================================================================
-----------------------------------------------------------------------
FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 1
[MD Docket No. 09-65; MD Docket No. 08-65; FCC 09-62]
Assessment and Collection of Regulatory Fees for Fiscal Year 2009
AGENCY: Federal Communications Commission.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: In this document, we amend our Schedule of Regulatory Fees to
collect $341,875,000 in regulatory fees for Fiscal Year (FY) 2009,
pursuant to section 9 of the Communications Act of 1934, as amended
(the Act). These fees are mandated by Congress and are collected to
recover the regulatory costs associated with the Commission's
enforcement, policy and rulemaking, user information, and international
activities.
DATES: Effective September 10, 2009.
FOR FURTHER INFORMATION CONTACT: Daniel Daly, Office of Managing
Director at (202) 418-1832, or Roland Helvajian, Office of Managing
Director at (202) 418-0444.
SUPPLEMENTARY INFORMATION:
I. Introduction
1. In this Report and Order we conclude the Assessment and
Collection of Regulatory Fees for Fiscal Year (FY) 2009 proceeding \1\
to collect $341,875,000 in regulatory fees for FY 2009, pursuant to
section 9 of the Communications Act of 1934, as amended (the Act).
Section 9 regulatory fees are mandated by Congress and are collected to
recover the regulatory costs associated with the Commission's
enforcement, policy and rulemaking, user information, and international
activities.\2\ The annual regulatory fee amount to be collected is
established each year in the Commission's annual appropriations act
which is adopted by Congress and signed by the President and which
funds the Commission.\3\ In this annual regulatory fee proceeding, we
retain many of the established methods, policies, and procedures for
collecting section 9 regulatory fees adopted by the Commission in prior
years. Consistent with our established practice, we intend to collect
these regulatory fees during a filing window in September 2009 in order
to collect the required amount by the end of our fiscal year.
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\1\ See Assessment and Collection of Regulatory Fees for Fiscal
Year 2009, MD Docket No. 09-65, Notice of Proposed Rulemaking and
Order, 24 FCC Rcd 5966 (2009) (FY 2009 NPRM and Order).
\2\ 47 U.S.C. 159(a).
\3\ See Omnibus Appropriations Act, 2009, P.L. 111-8, for the FY
2009 appropriations act language for the Commission establishing the
amount of $341,875,000 of offsetting collections to be assessed and
collected by the Commission pursuant to section 9 of the
Communications Act.
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II. Report and Order
2. On May 14, 2009, we released a Notice of Proposed Rulemaking and
Order (FY 2009 NPRM and Order, 74 FR 26329, June 2, 2009) seeking
comment on regulatory fee issues for FY 2009.\4\ The section 9
regulatory fee proceeding is an annual rulemaking process to ensure the
Commission collects the fee amount required by Congress each year. In
the FY 2009 NPRM and Order, we proposed to largely retain the section 9
regulatory fee methodology used in the prior fiscal year except as
discussed below. We received nine comments and two reply comments.\5\
We address the issues raised in our FY 2009 NPRM and Order below.
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\4\ See FY 2009 NPRM and Order.
\5\ See Appendix A for the list of commenters and abbreviated
names.
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A. FY 2009 Regulatory Fee Assessment Methodology--Development of FY
2009 Regulatory Fees
3. We note at the outset that in the context of their comments on
the FY 2009 regulatory fee proceeding, commenters \6\ discussed the
Commission's Further Notice of Proposed Rulemaking, which accompanied
the FY 2008 regulatory fee Report and Order (FY 2008 Report and Order,
73 FR 50285, August 26, 2008).\7\ Through that proceeding the
[[Page 40090]]
Commission sought comment on how it could comprehensively make the
Commission's regulatory fee process more equitable.\8\ In the FY 2009
NPRM and Order, we adopted two proposals raised in the Further Notice
of Proposed Rulemaking in the FY 2008 Report and Order.\9\ The other
outstanding matters stemming from the Further Notice of Proposed
Rulemaking in the FY 2008 Report and Order will be decided at a later
time in a separate Report and Order.\10\
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\6\ See comments from American Association of Paging Carriers
(AAPC); Coalition of Canadian-Based Service Providers (Coalition);
Independent Telephone and Telecommunications Alliance (ITTA); and
United States Telecom Association (USTelecom).
\7\ See Assessment and Collection of Regulatory Fees for Fiscal
Year 2008, MD Docket No. 08-65, Report and Order and Further Notice
of Proposed Rulemaking, 24 FCC Rcd 6389 (2008) (FY 2008 Report and
Order).
\8\ FY 2008 Report and Order at paragraph 2.
\9\ FY 2009 NPRM and Order at paragraphs 2-5; FY 2008 Report and
Order at paragraphs 55 and 56.
\10\ In an effort to explore how the Commission could
comprehensively make the regulatory fee process more equitable, the
Commission sought and received comments during FY 2008 about the
regulatory fee process, the calculation of regulatory fees, and
issues relating to specific categories of fees. FY 2008 Report and
Order at paragraphs 25-58. The comprehensive regulatory fee revision
issues raised in the FY 2008 Further Notice of Proposed Rulemaking
remain outstanding at this time.
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4. In our FY 2009 regulatory fee assessment, we will use the same
section 9 regulatory fee assessment methodology adopted for FY 2008.
Each fiscal year, the Commission proportionally allocates the total
amount that must be collected via section 9 regulatory fees. The
results of our FY 2009 regulatory fee assessment methodology (including
a comparison to the prior year's results) are contained in Appendix B.
To collect the $341,875,000 required by Congress, we adjust the FY 2008
amount upward by approximately 9.6 percent and allocate this amount
across the various fee categories. Consistent with past practice, we
then divide the FY 2009 amount by the number of payment units in each
fee category to determine the unit fee.\11\ As in prior years, for
cases involving small fees, e.g., licenses that are renewed over a
multiyear term, we divide the resulting unit fee by the term of the
license and then round these unit fees consistent with the requirements
of section 9(b)(2) of the Act.
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\11\ In many instances, the regulatory fee amount is a flat fee
per licensee or regulatee. In some instances, the fee amount
represents a per-unit fee (such as for International Bearer
Circuits), a per-unit subscriber fee (such as for Cable, Commercial
Mobile Radio Service (CMRS) Cellular/Mobile and CMRS Messaging), or
a fee factor per revenue dollar (Interstate Telecommunications
Service Provider (ITSP) fee). The payment unit is the measure upon
which the fee is based, such as a licensee, regulatee, or subscriber
fee.
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5. In calculating the FY 2009 regulatory fees listed in Appendix C,
we further adjusted the FY 2008 list of payment units (see Appendix D)
based upon licensee databases and industry and trade group projections.
In some instances, Commission licensee databases were used; in other
instances, actual prior year payment records and/or industry and trade
association projections were used in determining the payment unit
counts.\12\ Where appropriate, we adjusted and rounded our final
estimates to take into consideration events that may impact the number
of units for which regulatees submit payment, such as waivers and
exemptions that may be filed in FY 2009, and fluctuations in the number
of licensees or station operators due to economic, technical, or other
reasons. Therefore, our estimated FY 2009 payment units are based on FY
2008 actual payment units, but the number may have been rounded or
adjusted slightly to account for these variables.
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\12\ The databases we consulted are the following: the
Commission's Universal Licensing System (ULS), International Bureau
Filing System (IBFS), Consolidated Database System (CDBS) and Cable
Operations and Licensing System (COALS). We also consulted industry
sources including, but not limited to, Television & Cable Factbook
by Warren Publishing, Inc. and the Broadcasting and Cable Yearbook
by Reed Elsevier, Inc., as well as reports generated within the
Commission such as the Wireline Competition Bureau's Trends in
Telephone Service and the Wireless Telecommunications Bureau's
Numbering Resource Utilization Forecast and Annual CMRS Competition
Report.
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1. AM and FM Radio Stations
6. As in previous years, we consider additional factors in
determining regulatory fees for AM and FM radio stations. We did not
receive any comments on the use of these factors. These factors are
facility attributes and the population served by the radio station. The
calculation of the population served is determined by coupling current
U.S. Census Bureau data with technical and engineering data, as
detailed in Appendix E. Consequently, the population served, as well as
the class and type of service (AM or FM), will continue to determine
the regulatory fee amount to be paid.\13\
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\13\ In addition, beginning in FY 2005, we established a
procedure by which we set regulatory fees for AM and FM radio and
VHF and UHF television Construction Permits each year at an amount
no higher than the lowest regulatory fee in that respective service
category. For example, the regulatory fee for a Construction Permit
for an AM radio station will never be more than the regulatory fee
for an AM Class C radio station serving a population of less than
25,000.
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2. Submarine Cable Methodology
7. In a Second Report and Order (Submarine Cable Order, 24 FCC Rcd)
released on March 24, 2009, the Commission adopted a new submarine
cable bearer circuit methodology that assessed regulatory fees on a per
cable landing license basis, with higher fees for larger submarine
cable systems and lower fees for smaller systems, without
distinguishing between common carriers and non-common carriers.\14\ For
the other categories of international bearer circuits--common carrier
and non-common carrier satellite facilities and common carrier
terrestrial facilities--the Submarine Cable Order retained the existing
regulatory fee methodology of assessing fees on a per 64 kbps circuit
basis.
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\14\ See Assessment and Collection of Regulatory Fees for Fiscal
Year 2008, Second Report and Order, 24 FCC Rcd 4208, paragraph 1
(May 12, 2009) (Submarine Cable Order).
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8. By way of brief background, in the proposed fee rates for
submarine cable systems in the FY 2009 NPRM and Order,\15\ the
Commission allocated the total FY 2009 bearer circuit expected revenue
into two revenue components: a submarine cable revenue component (87.6
percent) and a satellite/terrestrial revenue component (12.4 percent)
using the Consensus Proposal allocation adopted by the Commission in
the Submarine Cable Order.\16\ According to the Consensus Proposal,
this allocation of 87.6 percent (submarine cable) and 12.4 percent
(satellite/terrestrial) was calculated by determining the revenue
obligations of submarine cable systems with the revenue obligations of
the satellite and terrestrial facilities using the FY 2008 revenue
requirement as its basis.\17\ For calculating these new bearer circuit
fees, we will use these allocation percentages of 87.6 percent
(submarine cable) and 12.4 percent (satellite and terrestrial) as a
starting point. Consistent with the Commission's annual process of
updating its schedule of regulatory fees based on the most recent data,
we will re-examine the allocation percentages described above on an
annual basis as the starting point for applying the new submarine cable
methodology.
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\15\ See FY 2009 NPRM and Order at Appendix A.
\16\ See Submarine Cable Order at paragraphs 1 and 6.
\17\ Id. at 6.
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9. After the adoption of the Submarine Cable Order, the Commission
notified Congress on April 15, 2009 per section 9(b)(4)(B) of the
Communications Act of the methodology change.\18\ The pending 90-day
congressional notification period expired on July 15, 2009. The new
bearer circuit methodology is effective.
[[Page 40091]]
The FY 2009 regulatory fee rates for submarine cable systems included
in the FY 2009 Schedule of Regulatory Fees in Appendix C reflect the
Commission's adoption of the methodology in the Submarine Cable Order.
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\18\ 47 U.S.C. 159(b)(4)(B); Letter concerning permitted
amendment from Office of Managing Director, Federal Communications
Commission to Chair and Ranking Members of U.S. House of
Representatives' Committees on Energy and Commerce and
Appropriations and applicable Subcommittees and to Chair and Ranking
Members of the United States Senate Committees on Commerce, Science,
and Transportation and Appropriations and applicable Subcommittees
(sent April 15, 2009).
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3. Elimination of Regulatory Fee Categories for International Public
Fixed Radio and International High Frequency Broadcast Stations
10. In our FY 2008 Report and Order, we sought comment on
eliminating several categories of services from our schedule of
regulatory fees.\19\ The Commission received no comments on those
proposals. In the FY 2009 NPRM and Order, the Commission adopted an
Order which eliminated the regulatory fee categories for International
Public Fixed Radio and International High Frequency Broadcast
Stations.\20\
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\19\ FY 2008 Report and Order at paragraphs 55 and 56.
\20\ FY 2009 NPRM and Order at paragraph 5.
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11. After the adoption of the FY 2009 NPRM and Order, the
Commission notified Congress on May 20, 2009 per section 9(b)(4)(B) of
the Communications Act of the methodology change.\21\ After the pending
90-day congressional notification period expires, i.e., after August
18, 2009, the elimination of these two regulatory fee categories will
become effective. The FY 2009 Schedule of Regulatory Fees in Appendix C
reflects the elimination of these two categories based on the
Commission's action in the FY 2009 NPRM and Order.
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\21\ 47 U.S.C. 159(b)(4)(B); Letter concerning permitted
amendment from Office of Managing Director, Federal Communications
Commission to Chair and Ranking Members of U.S. House of
Representatives' Committees on Energy and Commerce and
Appropriations and applicable Subcommittees and to Chair and Ranking
Members of the United States Senate Committees on Commerce, Science,
and Transportation and Appropriations and applicable Subcommittees
(sent May 20, 2009).
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B. Regulatory Fee Obligations for Digital Broadcasters
12. In our FY 2009 NPRM and Order, we reiterated that consistent
with past years, we would not assess FY 2009 regulatory fees for both
digital and analog licenses from a licensee in the process of
transitioning from analog to digital.\22\ Furthermore, we stated that
stations that were broadcasting in both analog and digital on October
1, 2008 would be assessed FY 2009 regulatory fees for their analog
license only.\23\ Also consistent with our past practice, we noted that
stations that were broadcasting in digital only on October 1, 2008
would not be assessed regulatory fees for their digital license for FY
2009.\24\
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\22\ FY 2009 NPRM and Order at paragraph 10.
\23\ Id.
\24\ Id.
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13. In our FY 2009 NPRM and Order, we proposed that beginning in FY
2010, we plan to collect regulatory fees from digital broadcasters, and
we sought comment on this plan to collect regulatory fees on full-power
digital broadcast stations beginning with FY 2010, i.e., the fiscal
year after the nation-wide transition date on June 12, 2009.\25\ We
received no comments on this issue. Our goal is to ensure that digital
broadcasters will pay their share of regulatory fees in the years after
the nation-wide transition is complete. Therefore, in FY 2010, we will
collect regulatory fees from digital broadcasters. During the FY 2010
regulatory fee process, we will again remind digital broadcasters of
their regulatory fee obligations.
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\25\ Id. at paragraph 11.
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C. Commercial Mobile Radio Service Messaging Service
14. Commercial Mobile Radio Service (CMRS) Messaging Service, which
replaced the CMRS One-Way Paging fee category in 1997, includes all
narrowband services.\26\ In the FY 2009 NPRM and Order, we proposed
maintaining the messaging service regulatory fee at $0.08 per
subscriber, the rate first established for this service in FY 2002.\27\
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\26\ See Assessment and Collection of Regulatory Fees for Fiscal
Year 1997, MD Docket No. 96-186, Report and Order, 12 FCC Rcd 17161,
17184-85, paragraph 60 (1997) (FY 1997 Report and Order).
\27\ FY 2009 NPRM and Order at paragraph 12.
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15. One commenter, AAPC, addressed this issue.\28\ AAPC submits
that maintaining the fee at the existing level is the minimum
reasonable and appropriate action under the prevailing circumstances in
the paging industry.\29\ We conclude that for FY 2009 we should
continue this regulatory fee rate at $0.08 per subscriber due to the
declining subscriber base in this industry.\30\
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\28\ AAPC Comments at 1-4.
\29\ Id. at 2.
\30\ The subscriber base in the paging industry declined 83
percent from 40.8 million to 6.95 million, from FY 1997 to FY 2008,
according to FY 2008 collection data as of September 30, 2008.
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D. International Bearer Circuits
1. Terrestrial Non-Common Carrier Circuits
16. As part of our comprehensive effort to review our regulatory
fees process for possible ways to make the process more equitable, we
sought comment in our FY 2009 NPRM and Order on whether, beginning in
FY 2010, carriers providing international service over terrestrial
circuits should also pay international bearer circuit (IBC) fees on
non-common carrier circuits.\31\ Five parties filed comments or reply
comments. In joint comments, Bestel USA Inc., Hibernia Atlantic US LLC,
and Level 3 Communications LLC (Joint Commenters) argue that carriers
should not be assessed regulatory fees on their non-common carrier
circuits, in part, because the Commission does not authorize those
services or collect data on them, and thus there is no burden on the
Commission to regulate these services.\32\ The Coalition of Canadian-
Based Service Providers (Coalition) echoes these arguments, contending
that international terrestrial fiber-based non-common carriers are not
regulated by the Commission, they do not hold 214 licenses, and are not
subject to enforcement and policymaking activities.\33\ Sprint Nextel
(Sprint) opposes the imposition of regulatory fees on terrestrial non-
common carrier bearer circuits that are used exclusively for providing
Internet/IP services.\34\ AT&T, on the other hand, argues that in the
interest of providing equitable treatment of all providers, per circuit
fees should be levied on non-common carrier terrestrial circuits.\35\
Verizon and Verizon Wireless agree with Joint Commenters, the Coalition
and Sprint, that non-common carrier services over terrestrial
international circuits is inherently different from such services over
satellite circuits and submarine cable systems.\36\ In its reply
comments, AT&T argues that non-common carrier terrestrial circuits
currently receive an unfair cost advantage because they are not
assessed a regulatory fee, and it is possible that common carriers will
increasingly market capacity on a non-common carrier basis to avoid
paying these fees, thereby increasing the fees for the smaller pool of
remaining common carrier circuits.\37\
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\31\ FY 2009 NPRM and Order at paragraph 13-14.
\32\ Bestel USA, Hibernia Atlantic US, and Level 3
Communications comments at 3-4.
\33\ Coalition comments at 3, 8-9.
\34\ Sprint comments at 1.
\35\ AT&T comments at 1.
\36\ Verizon and Verizon Wireless comments at 2-3.
\37\ AT&T reply comments at 1-2.
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17. The commenters present a number of competing arguments on
whether carriers should be assessed regulatory fees for their
terrestrial non-common carrier circuits. In the FY 2009 NRPM and Order,
we sought comment on whether we should make such an assessment starting
in FY 2010, at the earliest. Given the complexity of the
[[Page 40092]]
legal, policy and equity issues involved, we decline to make a
determination at this time. We may further consider this issue in the
future.
E. Administrative and Operational Issues
18. In our FY 2009 NPRM and Order, we sought general comment on
ways to improve our procedures in collecting annual section 9
regulatory fees.\38\ We received comments from the American Cable
Association (ACA) regarding the fee notification of CARS (Cable
Television Relay Service) and Earth Station licensees, and one specific
comment from AT&T to send annual notification assessments to licensees
of submarine cable systems. We received no reply comments relating to
our collection procedures and processes. We will address these comments
in the appropriate paragraphs below.
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\38\ FY 2009 NPRM and Order at paragraph 15.
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1. Mandatory Use of Fee Filer
19. In our FY 2009 NPRM and Order, we proposed to institute a
mandatory filing requirement using the Commission's electronic filing
and payment system (also known as Fee Filer).\39\ Fee Filer is not a
new system at the Commission, and although we have strongly encouraged
its use for many years for the filing and payment of annual regulatory
fees, we proposed this year to make its use mandatory. We received no
comments and no reply comments regarding this matter.
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\39\ FY 2009 NPRM and Order at paragraph 16.
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20. For the reasons discussed in the FY 2009 NPRM and Order, we
conclude that beginning in the FY 2009 regulatory fee cycle, licensees
filing their annual regulatory fee payments must begin the process by
entering the Commission's Fee Filer system with a valid FRN and
password. Therefore, it is very important for licensees to have a
current and valid FRN address on file in the Commission's Registration
System (CORES). Licensees will also need to have their FRN passwords
available when entering the Commission's CORES registration system. In
some instances, it will be necessary to use a specific FRN and password
that is linked to a particular regulatory fee bill. Going forward, only
Form 159-E documents generated from Fee Filer will be permitted when
sending in a regulatory fee payment to U.S. Bank. By requiring
licensees to use Fee Filer to begin the regulatory fee payment process,
errors resulting from illegible handwriting on hardcopy Form 159's will
be greatly reduced, and we will be able to create an electronic record
of licensee payment attributes that are more easily traced than those
payments that are simply mailed in with a hardcopy Form 159.
21. There are many benefits to licensees for using the Commission's
electronic filing and payment system: (1) Expeditious submission of
payment; (2) no postage or courier costs (when paid through Fee Filer);
(3) fewer errors caused by illegible handwriting or payments submitted
without an FRN number or the appropriate data attributes (e.g., payers
will avoid receiving delinquency notices because of payment submission
errors); (4) improved recordkeeping and payment reconciliation; (5)
reduced administrative burden on both licensees and on Commission staff
in processing regulatory fee payments; (6) less expensive than a wire
transfer; and (7) a reduced burden of preparing, mailing, and storing
paper documents.
22. We realize that not all licensees are able to pay their
regulatory fees using Fee Filer. In some instances, the regulatory fee
payment may be greater than $99,999, in which case, the use of a credit
card will be limited by restrictions placed on it by the U.S. Treasury.
For those licensees who choose to pay by check or money order or pay
via wire transfer, a voucher Form 159-E will be needed before mailing
the check to the Commission's lockbox bank, or in the case of a wire
transfer, faxing the Form 159-E to the lockbox bank. For those
licensees choosing to make a payment using their bank account (also
known as an Automated Clearing House (``ACH'') payment), the submission
of Form 159-E to the lockbox bank will not be necessary. In such
situations, regardless of whether a payment is made online or submitted
with a check or money order along with a Form 159-E, the Commission's
requirement now is to begin the process of paying regulatory fees by
starting with Fee Filer. The primary difference is that by starting the
payment process using Fee Filer, even if the payment is then mailed to
the Commission's lockbox bank, a voucher Form 159-E will be generated
that will have important electronic attributes associated with this
regulatory fee payment.
23. The mandatory use of Fee Filer to begin the regulatory fee
payment process is an important step forward in providing our licensees
with a paperless, electronic environment to use when conducting
business with the Commission. This practice of using Fee Filer will not
only enable the Commission to process regulatory fee payments more
efficiently and accurately, it will also benefit licensees by reducing
the administrative burden of filing and paying annual regulatory fees.
Because no comments or reply comments were submitted to the contrary
regarding this issue, we will institute a mandatory use of Fee Filer to
begin the process of filing to pay annual regulatory fees. Beginning in
the FY 2009 regulatory fee cycle, only Form 159-E documents generated
from Fee Filer will be permitted when sending in a regulatory fee
payment to U.S. Bank.
2. Notification and Collection of Regulatory Fees
a. Pre-Bills
24. In prior years, the Commission mailed pre-bills via surface
mail to licensees in select regulatory fee categories: Interstate
telecommunications service providers (ITSPs), Geostationary (GSO) and
Non-Geostationary (NGSO) satellite space station licensees,\40\ holders
of Cable Television Relay Service (CARS) licenses, and Earth Station
licensees.\41\ The remaining regulatees did not receive pre-bills. In
our FY 2009 NPRM and Order, we proposed to show the attributes of these
pre-bills on Fee Filer, but not actually mail them out to licensees via
surface mail.\42\ We received one general comment from the American
Cable Association (ACA), and one specific comment from AT&T. We
received no reply comments.
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\40\ Geostationary orbit space station (GSO) licensees received
regulatory fee pre-bills for satellites that (1) were licensed by
the Commission and operational on or before October 1 of the
respective fiscal year; and (2) were not co-located with and
technically identical to another operational satellite on that date
(i.e., were not functioning as a spare satellite). Non-geostationary
orbit space station (NGSO) licensees received regulatory fee pre-
bills for systems that were licensed by the Commission and
operational on or before October 1 of the respective fiscal year.
\41\ An assessment is a proposed statement of the amount of
regulatory fees owed by an entity to the Commission (or proposed
subscriber count to be ascribed for purposes of setting the entity's
regulatory fee) but it is not entered into the Commission's
accounting system as a current debt. A pre-bill is considered an
account receivable in the Commission's accounting system. Pre-bills
reflect the amount owed and have a payment due date of the last day
of the regulatory fee payment window. Consequently, if a pre-bill is
not paid by the due date, it becomes delinquent and is subject to
our debt collection procedures. See also 47 CFR 1.1161(c),
1.1164(f)(5), and 1.1910.
\42\ See FY 2009 NPRM and Order at paragraph 20.
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25. The ACA contends that because there are many small cable
operators and independent earth station licensees, the Commission
should provide notice to each licensee via e-mail when the pre-bill
information for CARS and Earth Stations is available for viewing in Fee
Filer.\43\ ACA understands why the
[[Page 40093]]
Commission has decided to discontinue mailing these pre-bills, but
contends that the Commission should consider e-mail as an alternate way
of notifying small operators that their bill information is available
in Fee Filer.\44\ ACA also contends that if the Commission decides to
cease mailing pre-bill notices, it is likely that many small operators
will be unaware of this change, and as a result, some operators may
inadvertently miss the filing deadline while waiting for receipt of the
pre-bill.\45\ For this reason, ACA suggests that cable operators with
5,000 or fewer subscribers should receive a 180-day grace period for FY
2009 CARS and Earth Station regulatory fee payments.\46\ In its
comments, AT&T recommends that the Commission send a separate annual
fee assessment notification to each submarine cable licensee informing
them of their obligation to pay submarine cable regulatory fees.\47\
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\43\ American Cable Association (ACA) comments at 4.
\44\ Id. at 4.
\45\ Id. at 5.
\46\ Id.
\47\ AT&T comments at 3.
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26. The Commission does not maintain a systematic listing of e-mail
addresses for individual CARS and Earth Station licensees, and so,
attempting to use such a listing to contact small cable operators and
independent earth station licensees may not prove useful. However,
because all pre-bills will be loaded into Fee Filer, once Fee Filer
becomes operational, this will be the signal by which licensees can
view their pre-bill information online. As we have for many years, the
Commission will post a Public Notice online announcing the date Fee
Filer will become operational, and once this Notice is published,
licensees will know that they can view their pre-bill information in
Fee Filer. Having provided this Notice to licensees and having urged
licensees to use Fee Filer for several years, the Commission will not
provide a 180-day grace period for regulatory fee payments as ACA
suggests.
27. In its comments, AT&T suggests that the Commission notify
licensees of their obligation to pay submarine cable system regulatory
fees. AT&T contends that because there is a new regulatory fee
methodology for submarine cable fees, and there can be multiple license
holders for each submarine cable system, the Commission should try to
contact the license holders of submarine cable systems to inform them
of their obligation to pay submarine cable regulatory fees.\48\ In the
Submarine Cable Order,\49\ the Commission did implement a regulatory
fee methodology change for submarine cable systems. Although there may
be multiple license holders for each submarine cable system, the total
number of license holders is small and information available for each
license holder is relatively accurate. However, rather than sending
individual notification assessments to each submarine cable licensee,
as AT&T suggests, the Commission in FY 2009 will publish a Public
Notice that identifies the license holders of each submarine cable
system. This Public Notice will serve as notice to all submarine cable
license holders of their FY 2009 obligation to pay regulatory fees
under the new methodology.
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\48\ Id. at 3.
\49\ See Submarine Cable Order at paragraph 1.
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III. Procedural Matters
28. Included below are procedural items as well as our current
payment and collection methods that we have revised over the past
several years to expedite the processing of regulatory fee payments. We
include these payments and collection procedures here as a useful way
to remind regulatory fee payers and the public about these aspects of
the annual regulatory fee collection process. For FY 2009, we have not
changed our procedures with the exception of Pre-Bills, which as
discussed above the Commission will no longer be sending out via
surface mail. We also discuss at the outset a procedural matter about
waivers raised by a commenter.
29. In its comments, the Named State Broadcasters Associations
(State Associations) suggested that the Commission's standard for
deciding whether to grant a waiver for financial hardship should be
revised to allow greater flexibility.\50\ The State Associations
commented that the current recession is crippling stations
nationwide.\51\ Furthermore, the State Associations commented that:
``Especially during this period of deep recession, if a station shows
the Commission (i) that its revenues are down substantially and that it
has had to cut expenses, including employee layoffs, furloughs, and
salary reductions in order to keep the station operating, or (ii) that
it has broken, or is close to breaking, loan covenants or is otherwise
in default of its financing, or (iii) that it is on the brink of some
form of foreclosure or bankruptcy, a waiver of the FY 2009 regulatory
fee payment requirement should be granted.'' \52\
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\50\ State Associations at 6-7.
\51\ Id. at 7.
\52\ Id.
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30. We decline to adopt the State Associations' proposals. In
establishing the regulatory fee program, the Commission recognized that
in certain instances payment of a regulatory fee may impose an undue
financial hardship upon a licensee. The Commission therefore decided to
grant waivers or reductions of its regulatory fees in those instances
where a ``petitioner presents a compelling case of financial
hardship.'' \53\ Under the current standard employed by the Commission,
regulatees can establish financial hardship by submitting:
``Information such as a balance sheet and profit and loss statement
(audited, if available), a cash flow projection * * * (with an
explanation of how calculated), a list of their officers and their
individual compensation, together with a list of their highest paid
employees, other than officers, and the amount of their compensation,
or similar information.'' \54\ The Commission also accepts as evidence
of financial hardship that licensees' stations are bankrupt, undergoing
Chapter 11 reorganization, or in receivership.\55\ Furthermore, the
Commission will accept evidence that a broadcast station is not
broadcasting (dark) as evidence of financial hardship.\56\ The current
financial hardship standards have proven useful as bright line tests
that can be administered predictably. The Commission does not intend to
change these standards at this time and notes that various groups of
licensees are impacted by the broader economy from year to year.
Modifying our financial hardship waiver standards to accommodate
fluctuating economic changes and a potentially limitless variety of
different financial showings would not assure that waivers are granted
predictably, fairly, and efficiently, and would therefore not be in the
public interest.
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\53\ See Implementation of Section 9 of the Communications Act,
9 FCC Rcd 5333, 5346 (1994), recon. granted, 10 FCC Rcd 12759 (1995)
(Implementation of Section 9 Order).
\54\ Implementation of Section 9 Order, 10 FCC Rcd at 12762,
paragraph 13.
\55\ Id. at 12762, paragraph 14.
\56\ Id. at 12762, paragraph 15.
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A. Public Notices and Fact Sheets
31. Each year we post public notices and fact sheets pertaining to
regulatory fees on our web site. These documents contain information
about the payment due date and the regulatory fee payment procedures.
We will continue to post
[[Page 40094]]
this information on https://www.fcc.gov/fees/regfees.html, but as in
previous years we will not send out public notices and fact sheets to
regulatees en masse.
B. Assessment Notifications
1. Media Services Licensees
32. Beginning in FY 2003, we sent fee assessment notifications via
surface mail to media services entities on a per-facility basis.\57\
The notifications provided the assessed fee amount for the facility in
question, as well as the data attributes that determined the fee
amount. We have since refined this initiative with improved
results.\58\ Consistent with procedures used last year, we will
continue our notification assessment initiative in FY 2009 and mail
media assessment notifications to licensees at their primary record of
contact populated in our Consolidated Database System (CDBS), and to a
secondary record of contact, if available. We again will issue fee
assessments for AM and FM Radio Stations, AM and FM Construction
Permits, FM Translators/Boosters, VHF and UHF Television Stations, VHF
and UHF Television Construction Permits, Satellite Television Stations,
Low Power Television (LPTV) Stations and LPTV Translators/Boosters, to
the extent that applicants, permittees and licensees of such facilities
do not qualify as government entities or non-profit entities. Fee
assessments have not been issued for broadcast auxiliary stations in
prior years, nor will they be issued in FY 2009. We will also continue
to make the Commission-authorized web site available to licensees so
that they can update or correct any information regarding their
facilities and their fee-exempt status.\59\
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\57\ As stated previously at footnote 42, an assessment is a
proposed statement of the amount of regulatory fees owed by an
entity to the Commission (or proposed subscriber count to be
ascribed for purposes of setting the entity's regulatory fee) but it
is not entered into the Commission's accounting system as a current
debt.
\58\ Some of those refinements have been to provide licensees
with a Commission-authorized web site to update or correct any
information concerning their facilities, and to amend their fee-
exempt status, if need be. Also, our notifications now provide
licensees with a telephone number to call in the event that they
need customer assistance. The notifications themselves have been
refined so that licensees of fewer than four facilities receive
individual fee assessment postcards for their facilities; whereas
licensees of four or more facilities now receive a single assessment
letter that lists all of their facilities and the associated
regulatory fee obligation for each facility.
\59\ If there is a change of address for the facility, it is the
licensee's responsibility to make the address change in the Media
Bureau's CDBS system, as well as in the Commission's Registration
System (CORES). The Commission-authorized web site for media
services licensees is https://www.fccfees.com.
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33. Although the Commission will continue to mail media assessment
notifications, licensees (including media services) will be required to
use Fee Filer as the first step to paying their regulatory fee
obligations. The notification assessments are primarily intended to
provide licensees with media data attributes and should not be
considered a substitute to using Fee Filer as the first step in filing
and paying regulatory fees. As explained previously in paragraphs 19
through 23, licensees must first log onto the Commission's Fee Filer
system to begin the process of filing and paying their regulatory fees,
but once in Fee Filer, licensees may pay by check or money order,
credit card, wire transfer, or by ACH. To pay by check, money order, or
wire transfer, licensees must log onto Fee Filer and generate a Form
159-E before mailing in their payment along with Form 159-E.
2. CMRS Cellular and Mobile Services Assessments
34. As we have done in prior years, we will continue to mail an
assessment letter to CMRS providers using data from the Numbering
Resource Utilization Forecast (NRUF) report that is based on
``assigned'' number counts that have been adjusted for porting to net
Type 0 ports (``in'' and ``out'').\60\ This letter will include a
listing of the carrier's Operating Company Numbers (OCNs) upon which
the assessment is based.\61\ The letters will not include OCNs with
their respective assigned number counts, but rather, an aggregate total
of assigned numbers for each carrier.
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\60\ See Assessment and Collection of Regulatory Fees for Fiscal
Year 2005 and Assessment and Collection of Regulatory Fees for
Fiscal Year 2004, MD Docket Nos. 05-59 and 04-73, Report and Order
and Order on Reconsideration, 20 FCC Rcd 12259, 12264, paragraphs
38-44 (2005).
\61\ Id.
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35. We will also continue our procedure of giving entities an
opportunity to revise their subscriber counts by sending an initial and
a final assessment letter. If the carrier does not agree with the
number of subscribers listed on the initial assessment letter, the
carrier can correct its subscriber count on the letter and return it by
the date specified in the assessment letter or by contacting the
Commission and stating a reason for the change (e.g., a purchase or
sale of a subsidiary), the date of the transaction, and any other
pertinent information that will help to justify a reason for the
change. If we receive no response or correction to our initial
assessment letter, we will expect the fee payment to be based on the
number of subscribers listed on the initial assessment. We will review
all responses to the initial assessment letters and determine whether a
change in the number of subscribers is warranted. The final assessment
letter will inform carriers as to whether we have accepted their
revision in the number of subscribers.
36. Because some carriers do not file the NRUF report, they may not
receive a letter of assessment. In these instances, the carriers should
compute their fee payment using the standard methodology \62\ that is
currently in place for CMRS Wireless services (e.g., compute their
subscriber counts as of December 31, 2008), and submit their fee
payment accordingly. Whether a carrier receives an assessment letter or
not, the Commission reserves the right to audit the number of
subscribers for which regulatory fees are paid. In the event that the
Commission determines that the number of subscribers is inaccurate or
that an insufficient reason is given for making a correction on the
initial assessment letter, the Commission will assess the carrier for
the difference between what was paid and what should have been paid.
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\62\ See, e.g., Federal Communications Commission, Regulatory
Fees Fact Sheet: What You Owe--Commercial Wireless Services for FY
2008 at 1 (rel. Aug. 2008).
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C. Streamlined Regulatory Fee Payment Process
1. Cable Television Subscribers
37. We will continue to permit cable television operators to base
their regulatory fee payment on their company's aggregate year-end
subscriber count, rather than requiring them to sub-report subscriber
counts on a per community unit identifier (CUID) basis.
2. CMRS Cellular and Mobile Providers
38. In FY 2006, we streamlined the CMRS payment process by
eliminating the requirement for CMRS providers to identify their
individual calls signs when making their regulatory fee payment,
requiring instead for CMRS providers to pay their regulatory fees only
at the aggregate subscriber level without having to identify their
various call signs.\63\ We will continue this practice in FY 2009. In
FY 2007, we consolidated the CMRS cellular and CMRS mobile fee
categories into one fee category and as one fee code, thereby
eliminating the requirement for CMRS
[[Page 40095]]
providers to separate their subscriber counts into CMRS cellular and
CMRS mobile fee categories during the regulatory fee payment process.
This consolidation of fee categories enabled the Commission to process
payments more quickly and accurately. For FY 2009, we will continue
this practice of combining the CMRS cellular and CMRS mobile fee
categories into one regulatory fee category.
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\63\ See Assessment and Collection of Regulatory Fees for Fiscal
Year 2006, MD Docket No. 06-68, Report and Order, 21 FCC Rcd 8092,
8105, paragraph 48 (2006).
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3. Interstate Telecommunications Service Providers (ITSP)
39. In FY 2007, we adopted a proposal to round lines 14 (total
subject revenues) and 16 (total regulatory fee owed) on FCC Form 159-W
to the nearest dollar. This revision enabled the Commission to process
the ITSP regulatory fee payments more quickly because rounding was
performed in a consistent manner and eliminated processing issues that
occurred in prior years. In FY 2009, we will continue rounding lines 14
and 16 when calculating the FY 2009 ITSP fee obligation, but as
indicated earlier, we will not be mailing out Form 159-W via surface
mail.
D. Payment of Regulatory Fees
1. Lock Box Bank
40. All lock box payments to the Commission for FY 2009 will be
processed by U.S. Bank, St. Louis, Missouri, and payable to the FCC.
For all regulatory fees, the address is: Federal Communications
Commission, Regulatory Fees, P.O. Box 979084, St. Louis, MO 63197-9000.
2. Receiving Bank for Wire Payments
41. The receiving bank for all wire payments is the Federal Reserve
Bank, New York, New York (TREAS NYC). When making a wire transfer,
regulatees must fax a copy of their Fee Filer generated Form 159-E to
U.S. Bank, St. Louis, Missouri at (314) 418-4232 at least one hour
before initiating the wire transfer (but on the same business day), so
as to not delay crediting their account. Wire transfers initiated after
6:00 p.m. (EDT) will be credited the next business day. Complete
instructions for making wire payments are posted at https://www.fcc.gov/fees/wiretran.html.
3. De Minimis Regulatory Fees
42. Regulatees whose total FY 2009 regulatory fee liability,
including all categories of fees for which payment is due, is less than
$10 are exempted from payment of FY 2009 regulatory fees.
4. Standard Fee Calculations and Payment Dates
43. The Commission will accept fee payments made in advance of the
window for the payment of regulatory fees. The responsibility for
payment of fees by service category is as follows:
Media Services: Regulatory fees must be paid for initial
construction permits (including construction permits for digital
television stations) that were granted on or before October 1, 2008 for
AM/FM radio stations, analog VHF/UHF full service television stations,
and satellite television stations. Regulatory fees must be paid for all
broadcast facility licenses granted on or before October 1, 2008. In
instances where a permit or license is transferred or assigned after
October 1, 2008, responsibility for payment rests with the holder of
the permit or license as of the fee due date.
Wireline (Common Carrier) Services: Regulatory fees must
be paid for authorizations that were granted on or before October 1,
2008. In instances where a permit or license is transferred or assigned
after October 1, 2008, responsibility for payment rests with the holder
of the permit or license as of the fee due date. We note that audio
bridging service providers are included in this category.\64\
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\64\ Audio bridging services are toll teleconferencing services,
and audio bridging service providers are required to contribute
directly to the universal service fund based on revenues from these
services. On June 30, 2008, the Commission released the InterCall
Order, in which the Commission stated that InterCall, Inc. and all
similarly situated audio bridging service providers are required to
contribute directly to the universal service fund. See Request for
Review by InterCall, Inc. of Decision of Universal Service
Administrator, CC Docket No. 96-45, Order, 23 FCC Rcd 10731 (2008)
(``InterCall Order'').
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Wireless Services: CMRS cellular, mobile, and messaging
services (fees based on number of subscribers or telephone number
count): Regulatory fees must be paid for authorizations that were
granted on or before October 1, 2008. The number of subscribers, units,
or telephone numbers on December 31, 2008 will be used as the basis
from which to calculate the fee payment.
The first eleven regulatory fee categories in our Schedule
of Regulatory Fees (see Appendix C) pay ``small multi-year wireless
regulatory fees.'' Entities pay these regulatory fees in advance for
the entire amount of their five-year or ten-year term of initial
license, and only pay regulatory fees again when the license is renewed
or a new license is obtained. We include these fee categories in our
Schedule of Regulatory Fees to publicize our estimates of the number of
``small multi-year wireless'' licenses that will be renewed or newly
obtained in FY 2009.
Multichannel Video Programming Distributor Services (cable
television operators and CARS licensees): Regulatory fees must be paid
for the number of basic cable television subscribers as of December 31,
2008.\65\ Regulatory fees also must be paid for CARS licenses that were
granted on or before October 1, 2008. In instances where a CARS license
is transferred or assigned after October 1, 2008, responsibility for
payment rests with the holder of the license as of the fee due date.
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\65\ Cable television system operators should compute their
basic subscribers as follows: Number of single family dwellings +
number of individual households in multiple dwelling unit
(apartments, condominiums, mobile home parks, etc.) paying at the
basic subscriber rate + bulk rate customers + courtesy and free
service. Note: Bulk-Rate Customers = Total annual bulk-rate charge
divided by basic annual subscription rate for individual households.
Operators may base their count on ``a typical day in the last full
week'' of December 2008, rather than on a count as of December 31,
2008.
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International Services: Regulatory fees must be paid for
earth stations, geostationary orbit space stations and non-
geostationary orbit satellite systems that were licensed and
operational on or before October 1, 2008. In instances where a license
is transferred or assigned after October 1, 2008, responsibility for
payment rests with the holder of the license as of the fee due date.
Regulatory fees will be paid for international bearer circuits under
our newly adopted methodology pending a 90-day Congressional
notification for this permitted amendment; \66\ if for any reason the
methodology change is not instituted in FY 2009, the pre-FY 2009
methodology will be used to calculate FY 2009 bearer circuit regulatory
fees.
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\66\ See Submarine Cable Order.
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E. Enforcement
44. Regulatory fee payments must be received and stamped at the
lockbox bank by the last day of the regulatory fee filing window to be
considered timely. Section 9(c) of the Act requires us to impose an
additional charge as a penalty for late payment of any regulatory
fee.\67\ A late payment penalty of 25 percent of the unpaid amount of
the required regulatory fee will be assessed on the first day following
the deadline date for filing of these fees. Failure to pay regulatory
fees and/or any late penalty will subject regulatees to sanctions,
including those set forth in Sec. 1.1910 of the Commission's rules
\68\ and in the Debt Collection Improvement
[[Page 40096]]
Act of 1996 (DCIA).\69\ We also assess administrative processing
charges on delinquent debts to recover additional costs incurred in
processing and handling the related debt pursuant to the DCIA and Sec.
1.1940(d) of the Commission's rules.\70\ These administrative
processing charges will be assessed on any delinquent regulatory fee,
in addition to the 25 percent late charge penalty. In case of partial
payments (underpayments) of regulatory fees, the licensee will be given
credit for the amount paid, but if it is later determined that the fee
paid is incorrect or not timely paid, then the 25 percent late charge
penalty (and other charges and/or sanctions, as appropriate) will be
assessed on the portion that is not paid in a timely manner.
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\67\ 47 U.S.C. 159(c).
\68\ See 47 CFR 1.1910.
\69\ Delinquent debt owed to the Commission triggers application
of the ``red light rule'' which requires offsets or holds on pending
disbursements. 47 CFR 1.1910. In 2004, the Commission adopted rules
implementing the requirements of the DCIA. See Amendment of Parts 0
and 1 of the Commission's Rules, MD Docket No. 02-339, Report and
Order, 19 FCC Rcd 6540 (2004); 47 CFR Part 1, Subpart O, Collection
of Claims Owed the United States.
\70\ 47 CFR 1.1940(d).
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45. We will withhold action on any applications or other requests
for benefits filed by anyone who is delinquent in any non-tax debts
owed to the Commission (including regulatory fees) and will ultimately
dismiss those applications or other requests if payment of the
delinquent debt or other satisfactory arrangement for payment is not
made.\71\ Failure to pay regulatory fees can also result in the
initiation of a proceeding to revoke any and all authorizations held by
the entity responsible for paying the delinquent fee(s).
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\71\ See 47 CFR 1.1161(c), 1.1164(f)(5), and 1.1910.
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F. Final Regulatory Flexibility Analysis
46. As required by the Regulatory Flexibility Act of 1980
(RFA),\72\ the Commission has prepared a Final Regulatory Flexibility
Analysis (FRFA) relating to this Report and Order. The FRFA is set
forth in Appendix F.
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\72\ See 5 U.S.C. 603. The RFA, see 5 U.S.C. 601-612, has been
amended by the Small Business Regulatory Enforcement Fairness Act of
1996 (``SBREFA''), Public Law 104-121, Title II, 110 Stat. 847
(1996). The SBREFA was enacted as Title II of the Contract With
America Advancement Act of 1996 (CWAAA).
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G. Congressional Review Act Analysis
47. The Commission will send a copy of this Report and Order in a
report to be sent to Congress and the Government Accountability Office,
pursuant to the Congressional Review Act.\73\
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\73\ See 5 U.S.C. 801(a)(1)(A). The Congressional Review Act is
contained in Title II, 251, of the CWAAA; see Public Law 104-121,
Title II, 251, 110 Stat. 868.
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H. Final Paperwork Reduction Act Analysis
48. This Report and Order contains modified information collection
requirements subject to the Paperwork Reduction Act of 1995 (PRA),
Public Law 104-13. It will be submitted to the Office of Management and
Budget (OMB) for review under section 3507(d) of the PRA.\74\ Our
proposed new form for submarine cable operators is attached as Appendix
G. OMB and the general public will be afforded an opportunity to
comment on the modified information collection requirements contained
in this proceeding. In addition, we note that pursuant to the Small
Business Paperwork Relief Act of 2002, Public Law 107-198, see 44
U.S.C. 3506(c)(4), we previously sought specific comment on how the
Commission might ``further reduce the information collection burden for
small business concerns with fewer than 25 employees.'' We received no
comment regarding such potential small business burdens.
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\74\ 44 U.S.C. 3507(d).
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IV. Ordering Clauses
49. Accordingly, it is ordered that, pursuant to sections 4(i) and
(j), 9, and 303(r) of the Communications Act of 1934, as amended, 47
U.S.C. 154(i), 154(j), 159, and 303(r), this Report and Order is hereby
adopted.
50. It is further ordered that the FY 2009 section 9 regulatory fee
assessment requirements are adopted as specified herein.
51. It is further ordered that part 1 of the Commission's rules is
amended as set forth in the Rule Changes, and these rules shall become
effective September 10, 2009.
52. It is further ordered that the Commission's Consumer and
Governmental Affairs Bureau, Reference Information Center, shall send a
copy of this Report and Order, including the Final Regulatory
Flexibility Analysis in Appendix F, to the Chief Counsel for Advocacy
of the U.S. Small Business Administration.
Federal Communications Commission.
Marlene H. Dortch,
Secretary.
List of Subjects in 47 CFR Part 1
Administrative practice and procedure.
Rule Changes
0
For the reasons discussed in the preamble, the Federal Communications
Commission amends 47 CFR part 1 as follows:
PART 1--PRACTICE AND PROCEDURE
0
1. The authority citation for part 1 continues to read as follows:
Authority: 15 U.S.C. 79 et seq.; 47 U.S.C. 151, 154(i), 154(j),
155, 157, 225, 303(r), and 309.
0
2. Section 1.1152 is revised to read as follows:
Sec. 1.1152 Schedule of annual regulatory fees and filing locations
for wireless radio services.
------------------------------------------------------------------------
Fee
Exclusive use services (per amount Address
license) \1\
------------------------------------------------------------------------
1. Land Mobile (Above 470 MHz and
220 MHz Local, Base Station &
SMRS) (47 CFR, Part 90)
(a) New, Renew/Mod (FCC 601 & $40.00 FCC, P.O. Box 979097, St.
159). Louis, MO 63197-9000.
(b) New, Renew/Mod (Electronic 40.00 FCC, P.O. Box 979097, St.
Filing) (FCC 601 & 159). Louis, MO 63197-9000.
(c) Renewal Only (FCC 601 & 40.00 FCC, P.O. Box 979097, St.
159). Louis, MO 63197-9000.
(d) Renewal Only (Electronic 40.00 FCC, P.O. Box 979097, St.
Filing) (FCC 601 & 159). Louis, MO 63197-9000.
220 MHz Nationwide
(a) New, Renew/Mod (FCC 601 & 40.00 FCC, P.O. Box 979097, St.
159). Louis, MO 63197-9000.
(b) New, Renew/Mod (Electronic 40.00 FCC, P.O. Box 979097, St.
Filing) (FCC 601 & 159). Louis, MO 63197-9000.
(c) Renewal Only (FCC 601 & 40.00 FCC, P.O. Box 979097, St.
159). Louis, MO 63197-9000.
(d) Renewal Only (Electronic 40.00 FCC, P.O. Box 979097, St.
Filing) (FCC 601 & 159). Louis, MO 63197-9000.
2. Microwave (47 CFR Pt. 101)
(Private)
(a) New, Renew/Mod (FCC 601 & 30.00 FCC, P.O. Box 979097, St.
159). Louis, MO 63197-9000.
(b) New, Renew/Mod (Electronic 30.00 FCC, P.O. Box 979097, St.
Filing) (FCC 601 & 159). Louis, MO 63197-9000.
[[Page 40097]]
(c) Renewal Only (FCC 601 & 30.00 FCC, P.O. Box 979097, St.
159). Louis, MO 63197-9000.
(d) Renewal Only (Electronic 30.00 FCC, P.O. Box 979097, St.
Filing) (FCC 601 & 159). Louis, MO 63197-9000.
3. 218-219 MHz Service
(a) New, Renew/Mod (FCC 601 & 65.00 FCC, P.O. Box 979097, St.
159). Louis, MO 63197-9000.
(b) New, Renew/Mod (Electronic 65.00 FCC, P.O. Box 979097, St.
Filing) (FCC 601 & 159). Louis, MO 63197-9000.
(c) Renewal Only (FCC 601 & 65.00 FCC, P.O. Box 979097, St.
159). Louis, MO 63197-9000
(d) Renewal Only (Electronic 65.00 FCC, P.O. Box 979097, St.
Filing) (FCC 601 & 159). Louis, MO 63197-9000.
4. Shared Use