1998 Biennial Regulatory Review-Review of Accounts Settlement in the Maritime Mobile and Maritime Mobile-Satellite Radio Services, 4269-4275 [2017-00597]

Download as PDF asabaliauskas on DSK3SPTVN1PROD with PROPOSALS Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Proposed Rules (v) Is there any means by which a member of the public could obtain access to the information? Is the information of a kind that you would customarily not release to the public? (vi) Has any governmental body made a determination as to the confidentiality of the information? If so, please attach a copy of the determination. (vii) For each item or category of information claimed as confidential, explain with specificity why release of the information is likely to cause substantial harm to your competitive position. Explain the specific nature of those harmful effects, why they should be viewed as substantial, and the causal relationship between disclosure and such harmful effects. How could your competitors make use of this information to your detriment? (viii) Do you assert that the information is submitted on a voluntary or a mandatory basis? Please explain the reason for your assertion. If you assert that the information is voluntarily submitted information, please explain whether the information is the kind that would customarily not be released to the public. (ix) Whether you assert the information as voluntary or involuntary, please address why disclosure of the information would tend to lessen the availability to the EPA of similar information in the future. (x) If you believe any information to be (a) trade secret(s), please so state and explain the reason for your belief. Please attach copies of those pages containing such information with brackets around the text that you claim to be (a) trade secret(s). (xi) Explain any other issue you deem relevant. (2) Identification of claims. If any of the information contained in the answers to the questions listed in paragraph (b)(1) of this section is asserted to be confidential, the submitter must clearly identify the information that is claimed as confidential by marking the specific information on each page with a label such as ‘‘confidential business information,’’ ‘‘proprietary,’’ or ‘‘trade secret.’’ (3) Certification statement for claims. In submitting a claim of confidentiality, a person must certify the truth of the following four statements concerning all information which is claimed as confidential: (i) My company has taken reasonable measures to protect the confidentiality of the information. (ii) I have determined that the information is not required to be VerDate Sep<11>2014 16:35 Jan 12, 2017 Jkt 241001 disclosed or otherwise made available to the public under any other Federal law. (iii) I have a reasonable basis to conclude that disclosure of the information is likely to cause substantial harm to the competitive position of the person. (iv) I have a reasonable basis to believe that the information is not readily discoverable through reverse engineering. § 710.39 Electronic filing. (a) EPA will accept information submitted under this subpart only if submitted in accordance with this section. All information must be submitted electronically to EPA via CDX. Prior to submission to EPA via CDX, Notices of Activity and any associated information must be generated and completed using the eNOA software module. (b) Obtain instructions for registering in CDX as follows: (1) Web site. The CDX Registration User Guide is available at https:// www.epa.gov/sites/production/files/ documents/cdx_registration_guide_v0_ 02.pdf. To register in CDX, go to https:// cdx.epa.gov and follow the appropriate links. (2) Telephone. Contact the EPA CDX Help Desk at 1–888–890–1995. (3) Email. Email the EPA CDX Help Desk at HelpDesk@epacdx.net. (c) Obtain instructions for using the eNOA software module as follows: (1) Web site. Go to the EPA New Chemicals under the Toxic Substances Control Act Web site at https:// www.epa.gov/reviewing-new-chemicalsunder-toxic-substances-control-act-tsca/ how-submit-e-pmn and follow the appropriate links. (2) Telephone. Contact the EPA TSCA Hotline at 1–202–554–1404. (3) Email. Email the EPA TSCA Hotline at TSCA-Hotline@epa.gov. [FR Doc. 2016–31923 Filed 1–12–17; 8:45 am] BILLING CODE 6560–50–P FEDERAL COMMUNICATIONS COMMISSION 47 CFR Part 1 [IB Docket No. 98–96; FCC 16–179] 1998 Biennial Regulatory Review— Review of Accounts Settlement in the Maritime Mobile and Maritime MobileSatellite Radio Services Federal Communications Commission. ACTION: Notice of proposed rulemaking. AGENCY: In this document, the Federal Communications Commission SUMMARY: PO 00000 Frm 00072 Fmt 4702 Sfmt 4702 4269 (Commission) proposes to withdraw as an accounting authority and transition its functions and duties to private accounting authorities. The Commission seeks comment on a transition plan and a timetable to implement an orderly transition to the privatization of the accounts-settlement function. DATES: Comments due on or before March 14, 2017, and reply comments due on or before April 13, 2017. ADDRESSES: You may submit comments, identified by IB Docket 98–96, by any of the following methods: • Federal eRulemaking Portal: https:// www.regulations.gov. Follow the instructions for submitting comments. • Federal Communications Commission’s Web site: https:// www.fcc.gov/cgb/ecfs. Follow the instructions for submitting comments. • People with Disabilities: Contact the FCC to request reasonable accommodations (accessible format documents, sign language interpreters, CART, etc.) by email: FCC504@fcc.gov or phone: 202–418–0530 or TTY: 202– 418–0432. • Email: ecfs@fcc.gov. Include IB Docket No. 98–96 in the subject line of the message. • Mail: Commercial overnight mail (other than U.S. Postal Service Express Mail, and Priority Mail, must be sent to 9300 East Hampton Drive, Capitol Heights, MD 20743. U.S. Postal Service first-class, Express, and Priority mail should be addressed to 445 12th Street SW., Washington, DC 20554. For detailed instructions for submitting comments and additional information on the rulemaking process, see the SUPPLEMENTARY INFORMATION section of this document. FOR FURTHER INFORMATION CONTACT: Dana Shaffer, Office of Managing Director at (202) 418–0832. SUPPLEMENTARY INFORMATION: This is a summary of the Commission’s Second Further Notice of Proposed Rulemaking (Second FNPRM), FCC 16–179, IB Docket No. 98–96, adopted on December 22, 2016, and released on December 30, 2016. The full text of this document is available for inspection and copying during normal business hours in the FCC Reference Center, 445 12th Street SW., Room CY–A257, Portals II, Washington, DC 20554, and may also be purchased from the Commission’s copy contractor, BCPI, Inc., Portals II, 445 12th Street SW., Room CY–B402, Washington, DC 20554. Customers may contact BCPI, Inc. via their Web site, https://www.bcpi.com, or call 1–800– 378–3160. This document is available in alternative formats (computer diskette, large print, audio record, and braille). E:\FR\FM\13JAP1.SGM 13JAP1 4270 Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Proposed Rules Persons with disabilities who need documents in these formats may contact the FCC by email: FCC504@fcc.gov or phone: 202–418–0530 or TTY: 202–418– 0432. I. Procedural Matters asabaliauskas on DSK3SPTVN1PROD with PROPOSALS A. Ex Parte Rules—Permit-But-Disclose 1. The proceeding this Second FNPRM initiates shall be treated as a ‘‘permit-but-disclose’’ proceeding in accordance with the Commission’s ex parte rules.1 Persons making ex parte presentations must file a copy of any written presentation or a memorandum summarizing any oral presentation within two business days after the presentation (unless a different deadline applicable to the Sunshine period applies). Persons making oral ex parte presentations are reminded that memoranda summarizing the presentation must (1) list all persons attending or otherwise participating in the meeting at which the ex parte presentation was made, and (2) summarize all data presented and arguments made during the presentation. If the presentation consisted in whole or in part of the presentation of data or arguments already reflected in the presenter’s written comments, memoranda or other filings in the proceeding, the presenter may provide citations to such data or arguments in his or her prior comments, memoranda, or other filings (specifying the relevant page and/or paragraph numbers where such data or arguments can be found) in lieu of summarizing them in the memorandum. Documents shown or given to Commission staff during ex parte meetings are deemed to be written ex parte presentations and must be filed consistent with rule 1.1206(b). In proceedings governed by rule 1.49(f) or for which the Commission has made available a method of electronic filing, written ex parte presentations and memoranda summarizing oral ex parte presentations, and all attachments thereto, must be filed through the electronic comment filing system available for that proceeding, and must be filed in their native format (e.g., .doc, .xml, .ppt, searchable .pdf). Participants in this proceeding should familiarize themselves with the Commission’s ex parte rules. B. Comment Period and Procedures 2. Pursuant to sections 1.415 and 1.419 of the Commission’s rules, 47 CFR 1.415, 1.419, interested parties may file comments and reply comments on or 1 47 CFR 1.1200 et seq. VerDate Sep<11>2014 16:35 Jan 12, 2017 before the dates indicated on the first page of this document. Comments may be filed using the Commission’s Electronic Comment Filing System (ECFS). See Electronic Filing of Documents in Rulemaking Proceedings, 63 FR 24121 (1998). D Electronic Filers: Comments may be filed electronically using the Internet by accessing the ECFS: https:// fjallfoss.fcc.gov/ecfs2/. D Paper Filers: Parties who choose to file by paper must file an original and one copy of each filing. If more than one docket or rulemaking number appears in the caption of this proceeding, filers must submit two additional copies for each additional docket or rulemaking number. Filings can be sent by hand or messenger delivery, by commercial overnight courier, or by first-class or overnight U.S. Postal Service mail. All filings must be addressed to the Commission’s Secretary, Office of the Secretary, Federal Communications Commission. D All hand-delivered or messengerdelivered paper filings for the Commission’s Secretary must be delivered to FCC Headquarters at 445 12th St. SW., Room TW–A325, Washington, DC 20554. The filing hours are 8:00 a.m. to 7:00 p.m. All hand deliveries must be held together with rubber bands or fasteners. Any envelopes and boxes must be disposed of before entering the building. D Commercial overnight mail (other than U.S. Postal Service Express Mail and Priority Mail) must be sent to 9300 East Hampton Drive, Capitol Heights, MD 20743. D U.S. Postal Service first-class, Express, and Priority mail must be addressed to 445 12th Street SW., Washington DC 20554. People with Disabilities: To request materials in accessible formats for people with disabilities (braille, large print, electronic files, audio format), send an email to fcc504@fcc.gov or call the Consumer & Governmental Affairs Bureau at 202–418–0530 (voice), 202– 418–0432 (tty). C. Initial Regulatory Flexibility Analysis 3. As required by the Regulatory Flexibility Act of 1980 (RFA),2 the Commission has prepared an Initial Regulatory Flexibility Analysis (IRFA) of the possible significant economic impact on small entities of the policies and rules proposed in this Second FNPRM. The IRFA is found near the end of this document. We request written public comment on the analysis. 2 See Jkt 241001 PO 00000 5 U.S.C. 603. Frm 00073 Fmt 4702 Sfmt 4702 Comments must be filed in accordance with the same deadlines as comments filed in response to this Second FNPRM, and must have a separate and distinct heading designating them as responses to the IRFA. The Commission’s Consumer and Governmental Affairs Bureau, Reference Information Center, will send a copy of this Second FNPRM, including the IRFA, to the Chief Counsel for Advocacy of the Small Business Administration. 4. Copies to Private Accounting Authorities and Governmental Users. The Commission’s Consumer and Governmental Affairs Bureau, Reference Information Center, shall send a copy of this Second Further Notice of Proposed Rulemaking, including the Initial Regulatory Flexibility Analysis, to the current U.S.-certified private accounting authorities: Mackay Communications, Inc., Astrium Services Business Communications Inc., Seven Seas Communications Inc., Omnet, Inc., KFS World Communications dba GLOBE WIRELESS, GMPCS Personal Communications, Inc., ShipCom, L.L.C. (formerly M M R Radio, L.L.C.), Stratos Mobile Networks Inc., Exxon Communications Company, Vizada, Inc., Raytheon Service Co., Telemar USA LLC, MVS USA Inc., A–N–D Group Plc, Selex ES Ltd, Selex ES Ltd, NSSLGlobal, Airtime Billing Department. D. Initial Paperwork Reduction Analysis 5. This document does not contain a proposed information collection(s) subject to the Paperwork Reduction Act of 1995 (PRA, Pub. L. 104–13). In addition, therefore, it does not contain any new or modified information collection burden for small business concerns with fewer than 25 employees, pursuant to the Small Business Paperwork Relief Act of 2002, Public Law 107–198, see 44 U.S.C. 3506(c)(4). II. Introduction 6. In this Second Further Notice of Proposed Rulemaking (2016 Accounting Authority Second FNPRM), we propose to transition the functions and duties performed by the Commission as an accounting authority to private accounting authorities. In doing so, we seek to revisit findings in the 1999 Report and Order and Further Notice of Proposed Rulemaking (1999 Accounting Authority Order & FNPRM),3 which 3 1998 Biennial Regulatory Review—Review of Accounts Settlement in the Maritime Mobile and Maritime Mobile-Satellite Radio Services and Withdrawal of the Commission as an Accounting Authority in the Maritime Mobile and the Maritime Mobile-Satellite Radio Services, Report and Order and Further Notice of Proposed Rulemaking, 15 E:\FR\FM\13JAP1.SGM 13JAP1 Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Proposed Rules included the Commission’s decision that it should withdraw as an accounting authority in the maritime mobile and maritime mobile-satellite radio services.4 The Commission tentatively concluded that a three-year transition period following adoption of a Report and Order was appropriate to permit the preparation and implementation of a plan to ensure a smooth, non-disruptive transition to private accounting authorities, and to develop the transition plan.5 Although in that Order the Commission concluded that ‘‘the Commission shall cease operating as an accounting authority for settling accounts for maritime mobile, maritime satellite, aircraft,6 and handled terminal radio services,’’ and that ‘‘a transition period is necessary to allow for an orderly transition to a full privatization of the accounts-settlement function,’’ we stopped short of proscribing a transition plan, instead seeking further comment ‘‘on a number of proposals regarding how best to implement this transition.’’ 7 7. The completion of a plan based on those comments, however, was subsequently delayed. Thus, no definitive timeline for the transition to implement our decision in the Order to withdraw as accounting authority has been established. 8. We continue to believe that it is in the public interest for the Commission to withdraw as an accounting authority. Given the passage of time, we now, in this 2016 Accounting Authority Second FNPRM, seek further comment on the appropriate transition plan and period to implement our decision in the 1999 Accounting Authority Order & FNPRM to withdraw as an accounting authority in the maritime mobile and maritime mobile-satellite radio services. asabaliauskas on DSK3SPTVN1PROD with PROPOSALS III. Background 9. International maritime mobile communications are HF or VHF radio communications between a ship and a coast station operated by the telecommunications operator in the country in which the station is located, and international maritime mobileFCC Rcd 20703 (1999) (1999 Accounting Authority Order & FNPRM). 4 Id. 5 Id. at 20717. 6 The focus of this FNPRM is the effect on maritime communications, as the Commission has not, for several years, settled aeronautical accounts. It is important to note, however, that our withdrawal as accounting authority of last resort would include a cessation in our settling of accounts for maritime mobile, maritime satellite, aircraft, and handled terminal radio services, as we previously concluded. 7 Id. VerDate Sep<11>2014 16:35 Jan 12, 2017 Jkt 241001 satellite communications services are conducted by satellite. Payment for the services provided by the telecommunications operators involves interaction with an entity known as an ‘‘accounting authority,’’ which settles an account between the telecommunications operator and the customer. In practice, the telecommunications operator, the earth or coast station, sends its bill either to the accounting authority that the customer has designated to act for it or to an ‘‘accounting authority of last resort,’’ which, as the name implies, settles accounts for customers that have not designated a particular accounting authority. The function of the accounting authority, also referred to as a ‘‘clearinghouse’’ or ‘‘settlement authority,’’ involves presenting the bill to the customer, accepting payment from the customer, and remitting the collected funds to the telecommunications operator. 10. Historically, most nations required individual ships to settle their accounts with their telecommunications provider; however, since 1934, the Commission has acted as an accounting authority in the United States, to settle accounts for maritime, aircraft, and hand-held terminal radio services to both private users and other U.S. federal government agencies. Over time, the Commission has reduced its accounting authority or clearinghouse function related to the maritime mobile radio services and the satellite-based services, including aeronautical and hand-held terminals. The primary reason for this reduction is that private accounting authorities provide similar account settlement services for U.S. users. Certification and operation of private accounting authorities are governed under part 3 of our rules, which ensure that qualified applicants are authorized as accounting authorities and that such authorities, once approved, have adequate guidance of the standard of conduct required of them by the Commission. We believe that this process has been working effectively.8 Currently, there are twentytwo entities certified as U.S. private accounting authorities.9 8 See Letter from Bruce Henoch, Inmarsat, to Accounting Authority Certification Office, Federal Communications Commission (dated April 20, 2015); Letter from Robert Swanson, Airbus Defense and Space, to Marlene Dortch, Federal Communications Commission (dated January 30, 2015); Letter from Steven Chernoff, Lukas, Nace, Gutierrez, and Sachs, LLP, to Accounting Authority Certification Officer, Federal Communications Commission (April 15, 2015) (providing inventories of accounting authority settlements). 9 Some of these private accounting authorities may not currently settle accounts for maritime services; however, our certification does not limit PO 00000 Frm 00074 Fmt 4702 Sfmt 4702 4271 11. When the Commission last considered this matter more than fifteen years ago, it found no public policy reason for the Commission’s continued function as an accounting authority,10 and concluded in the Report and Order section of the decision, therefore, that the Commission should withdraw as a clearinghouse for the settlement of accounts in the maritime mobile radio, maritime mobile-satellite, and other satellite-based communications services.11 The Commission tentatively concluded that it should not designate a new accounting authority of last resort,12 and that a three year transition plan was sufficient to ensure a smooth transition.13 The Commission sought further comment on these tentative conclusions.14 IV. Discussion 12. In the Order portion of the 1999 R&O and FNPRM, the Commission announced its decision to withdraw from the accounting authority function. Additionally, it revised section 3.10(e) to make explicit the authorities’ obligations not to discriminate,15 grandfathered the accounting authority of EXXON to permit it to continue to settle accounts only for its ships, and provided guidance to allow applicants to amend their pending applications in light of the change to section 3.10(e). In the Second FNPRM, the Commission requested comments on two issues. First, the Commission sought comment on whether to appoint or allow an entity to take over the Commission’s function as the accounting authority of last resort, require customers to presubscribe to an accounting authority or to designate an accounting authority on every message, or to develop a formula to spread undesignated messages among several private accounting authorities. Second, the Commission tentatively concluded that the appropriate phaseout period was three years following Federal Register publication of a final order, and invited comment. A. Withdrawal by the Commission From the Accounting Authority Function 13. In the 1999 R&O and FNPRM, the Commission decided to withdraw from performing the functions of an accounting authority, and to leave the settlement of accounts to the private any certified U.S. accounting authority to the settlement of accounts for only one class of service. 10 1999 Accounting Authority Order & FNPRM at 20709. 11 Id. at 20723. 12 Id. at 20715. 13 Id. at 20718. 14 Id. at 20715, 20723. 15 47 CFR 3.10(e). E:\FR\FM\13JAP1.SGM 13JAP1 4272 Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Proposed Rules asabaliauskas on DSK3SPTVN1PROD with PROPOSALS accounting authorities subject to part 3 of our rules. Although the Commission never implemented a transition plan, many users of the Commission’s services subsequently have transitioned to one of these accounting authorities. We continue to believe that it is in the public interest for the Commission to withdraw as an accounting authority and seek comment on our proposals to do so below. The function of an accounting authority is not necessarily a governmental function, but can be performed equally well by privately owned entities, subject to Commission oversight under our part 3 rules.16 Since the Commission last visited this issue, U.S. private accounting authorities have continued to succeed in providing these functions.17 We anticipate that our action to step away from the functions of an accounting authority will create further competition for the settlement of maritime and satellite accounts, and may thereby encourage the industry to provide the public with more choices in obtaining settlement of their accounts. 14. Since 1999, the number of users relying on the Commission to provide accounting authority services has decreased,18 even as the activity handled by other accounting authorities, in general, appears to have increased in scope. We recognize that an immediate departure of the Commission as an accounting authority will require those U.S. international ship and satellite operators currently handled by the Commission to select an alternative accounting authority. We also believe, unlike in 1999 when we suggested a three-year transition period, that maritime operators are far better prepared to adjust to the departure of the Commission as the accounting authority. First, the Commission possesses the ability to contact current users and thereby their expedite transition. Second, through outreach and coordination with the maritime industry, Commission staff have learned that many of those entities using the 16 The FCC’s withdrawal as an accounting authority will in no way change the rules by which we certify and monitor private entities serving as accounting authorities for maritime mobile and maritime satellite services. See 47 CFR 3.1 et seq. 17 See 1999 R&O and FNPRM, 15 FCC Rcd at 20706–09, paragraphs 7–12; See Letter from Bruce Henoch, Inmarsat, to Accounting Authority Certification Office, Federal Communications Commission (dated April 20, 2015); Letter from Robert Swanson, Airbus Defense and Space, to Marlene Dortch, Federal Communications Commission (dated January 30, 2015); Letter from Steven Chernoff, Lukas, Nace, Gutierrez, and Sachs, LLP, to Accounting Authority Certification Officer, Federal Communications Commission (dated April 15, 2015) (providing inventories of accounting authority settlements). 18 See supra n.5. VerDate Sep<11>2014 16:35 Jan 12, 2017 Jkt 241001 Commission’s accounting authority services have anticipated the change, and they have initiated a transition process in contracting with other accounting authorities. Consequently, we believe that most maritime mobile satellite users will be able to accommodate this change, and that they will act promptly to select an alternative accounting authority. We therefore, recommend a one year transition period and seek comment on this recommendation. 15. We continue to believe that we should not designate a new accounting authority of last resort, but, rather, customers should designate an accounting authority for each call or should presubscribe for the services of an accounting authority.19 We seek further comment on this tentative conclusion. B. Government Agencies 16. In the 1999 R&O and FNPRM we acknowledged that the Commission at that time acted as the accounting authority for the maritime and satellite communications of a majority of U.S. governmental agencies.20 At the time, because we anticipated that Government agency users might have special needs that differ from other users, we requested the agencies to address this issue in their comments.21 17. In their 1998 comments, the United States Coast Guard urged the Commission to maintain a default accounting authority, provide ample notice to affected users and small vessel organizations, provide a smooth transition process to a new default accounting authority, and ensure the economic impact on small entities is non-significant.22 The National Telecommunications and Information Administration (NTIA), in coordination with the Interdepartment Radio Advisory Committee (which includes the Coast Guard), expressed concern that the Commission’s withdrawal might lead to disruption or curtailment of communication services to federal users, as well as increased cost to the taxpayer.23 They requested that the FCC retain its accounting authority, or, in the alternative, noted that most government agencies operate on a three year budget 19 See id. at 20715 (tentatively concluding not to designate a new accounting authority of last resort). 20 See 1999 R&O and FNPRM, 15 FCC Rcd at 20709, para. 13. 21 See 1999 R&O and FNPRM, 15 FCC Rcd at 20709, para. 13. 22 Letter from J.D. Hersey, Jr., Chief, Spectrum Management Division, to Magalie Roman Salas, FCC Secretary, August 21, 1998. 23 See Comments of the National Telecommunications and Information Administration, filed August 24, 1998, at page 2. PO 00000 Frm 00075 Fmt 4702 Sfmt 4702 cycle, and asked that the FCC defer termination of its accounting authority responsibility ‘‘until an [sic] alternative billing and payment arrangements ensuring uninterrupted service can be established.24 NTIA further urged that the FCC either retain its accounting authority, or designate an authority of last resort that would ‘‘not charge more than the Commission currently charges its accounts until users are notified and given a chance to select their own accounting authority or accept the terms offered.’’ 25 18. We agree that, as part of an effective plan for the Commission to withdraw as an accounting authority, U.S. Government agencies must have in place alternate arrangements upon the Commission’s withdrawal to ensure that critical communications are not disrupted. In the more than fifteen years, since our 1999 decision, Commission staff have contacted the various government agencies informing them of the Commission’s intent to terminate its accounting authority; as a result, many of these various agencies, have moved to alternative accounting authorities for some or all of their services.26 In light of this trend, and the more than fifteen years impacted entities have had to transition to a new accounting authority, we seek comment on the appropriate time period to complete the Commission’s transition from serving as accounting authority for government agencies. Movement of government agencies anticipating our change in function suggests that a transition period shorter than the threeyear period previously proposed is appropriate to accommodate these particular changes, including anticipated government budget planning changes. We propose that the transition period for government and nongovernment entities be the same. We seek comment on whether one year suffices for government agencies to transition to an alternative accounting authority. Alternatively, we invite comment on whether this period should be longer or shorter. C. Accounting Authority of Last Resort 19. The Commission historically has served as the ‘‘accounting authority of last resort’’ for the United States, which resulted in the Commission receiving from foreign telecommunications 24 Id. 25 Letter from William T. Hatch, Acting Associate Administrator, National Telecommunications and Information Administration, to Magalie Roman Salas, FCC Secretary, October 29, 1998. 26 Commission staff have confirmed the removal of many of the terminals once billed to these agencies from the FCC as the accounting authority. E:\FR\FM\13JAP1.SGM 13JAP1 Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Proposed Rules operators all accounts for which the customer did not designate a specific accounting authority.27 In 1999, we tentatively concluded that we should not designate a new accounting authority of last resort.28 Instead, we found that customers should designate an accounting authority for each call or should presubscribe for the services of an accounting authority.29 We noted, however, that in order to prevent a deleterious effect on safety communications, the Commission must take care to ensure a seamless transition to new accounting authorities.30 20. We continue to believe that, although the functions of an accounting authority of last resort may still be necessary to address infrequent situations where an authority is or cannot be designated due to circumstances beyond the control of the user, it remains the basic responsibility of the user, whether a private or governmental entity, to provide for an accounting authority to handle its calls. However, as we withdraw as an accounting authority, we tentatively conclude, based on the commenters’ urging us, in 1998, to either retain our accounting authority or ensure an alternative is in place before withdrawing,31 that it will be necessary to have an alternative arrangement in place that will eliminate the possibility of messages being sent without having an accounting authority necessary to settle accounts. We seek comment on possible approaches to ensure an alternative is in place: (1) Requiring all customers to pre-subscribe to an accounting authority or to designate an accounting authority on every message; (2) developing a formula to spread undesignated messages among several private accounting authorities; and/or (3) appointing through comparative selection one of the private accounting authorities as the new authority of last resort. asabaliauskas on DSK3SPTVN1PROD with PROPOSALS Table 1—Government Agencies Who Use the Commission as an Accounting Authority Defense Information Systems Agency 27 See 1999 R&O and FNPRM, 15 FCC Rcd at 20715, paragraph 25. 28 Id. at para. 26. 29 Id. 30 Id. at para. 27 (citing Coast Guard Comments at 1). 31 Letter from J.D. Hersey, Jr., Chief, Spectrum Management Division, to Magalie Roman Salas, FCC Secretary, August 21, 1998. See, also Comments of the National Telecommunications and Information Administration, filed August 24, 1998, at page 2 and Letter from William T. Hatch, Acting Associate Administrator, National Telecommunications and Information Administration, to Magalie Roman Salas, FCC Secretary, October 29, 1998. VerDate Sep<11>2014 16:35 Jan 12, 2017 Jkt 241001 Department of Agriculture Department of Air Force Department of the Army Department of Commerce Department of Defense—Office of Secretary of Defense Department of Energy Department of Health and Human Services Department of Homeland Security— United States Coast Guard Department of Justice Department of Justice—Federal Bureau of Investigation Department of Justice—U.S. Drug Enforcement Administration Department of the Interior Department of the Navy Department of State Department of Transportation Department of Treasury Department of Veteran Affairs Federal Aviation Administration Federal Emergency Management Agency National Aeronautics and Space Administration National Science Foundation On-Site Inspection Agency U.S. Environmental Protection Agency U.S. General Services Administration United States Information Agency U.S. Postal Service 21. Given the reduction of reliance on the FCC as an accounting authority and the resulting lower volume of customers 32 who will be affected when we withdraw as accounting authority (see Table 1 above), we tentatively conclude that the best alternative is the first option noted above, to require all customers to pre-subscribe to an accounting authority or to designate an accounting authority on every message. We seek comment on this tentative conclusion as well as the merits of each of the three proposals. For example, is it technically feasible, for U.S. maritime and satellite radio traffic for which no accounting authority is designated and for which the customer is not able or willing to designate an accounting authority on every message, to allow the provider to bill for such traffic through a certified accounting authority of its choice? Is this feasible for a ship-toshore radiotelephone call made through a foreign coast station? In the alternative, is it feasible to allow public coast stations to designate their own 32 We note that, for 2016, traffic billed by the FCC as accounting authority to private and/or third parties is exclusively satellite traffic, and ask commenters to address whether that fact, coupled with the potential to allow providers to choose a U.S. accounting authority to bill traffic for which no accounting authority has been designated by the customer, mitigates any concerns regarding a potential gap in service once the FCC withdraws as accounting authority of last resort. PO 00000 Frm 00076 Fmt 4702 Sfmt 4702 4273 ‘‘default’’ accounting authority in order to send bills to mariners who have not chosen/designated a private accounting authority? 33 Is there a need for the Commission to adopt additional qualifying criteria for an existing accounting authority to serve as a designated accounting authority of last resort? If so, what should the additional criteria be? We also seek comment on any potential enforcement or authority issues that may arise from each of the proposed alternatives for providing an accounting authority of last resort. We also request that commenting parties propose any other viable alternatives that help ensure a smooth transition while relieving the Commission from performing this function. 22. We note that withdrawal of the Commission as an accounting authority without an effective transition plan could leave a gap for some U.S. maritime and satellite radio traffic for which no accounting authority is designated. Thus, during any transition period and subsequently, we intend to conduct outreach to make users aware of our decision and their options for ensuring that they continue to receive the services of an accounting authority. 23. In any event, we believe that an accounting authority, whether selected by the ship, the provider, or a competent default accounting authority, must be in place for distress and safety telecommunications on board ships, particularly when a maritime mobile satellite system is being used. We therefore seek comment on whether, if we decline to designate an accounting authority, we should designate an accounting authority of last resort specifically for Global Maritime Distress and Safety System (GMDSS) mobile satellite communications.34 Although maritime distress and certain safety communications are provided at no charge, other types of safety communications do incur a charge. If neither the designated nor a competent default accounting authority exists, then foreign earth stations may have no way to bill the U.S. satellite user. As a result, the user may, through no fault of its 33 There are few users of maritime public coast stations now due to the closure worldwide of public coast stations; however, ensuring the safety of such users is important. We, therefore, seek comment on what different approaches may be necessary for radio communications via a foreign public coast station versus satellite communications via a mobile satellite communications provider. 34 INMARSAT continues to be the only worldwide maritime mobile satellite system providing these safety communications. INMARSAT will commission a new ship terminal intended to carry distress and safety communications only if the application designates an accounting authority. E:\FR\FM\13JAP1.SGM 13JAP1 asabaliauskas on DSK3SPTVN1PROD with PROPOSALS 4274 Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Proposed Rules own, find that its ship earth station has been barred for non-payment of bills. We understand that, although a ship mobile device has been ‘‘barred’’ from the network provider (e.g., foreign earth station), a ship can still initiate a shipto-shore distress alert. In such a situation, however, it could not communicate further with the Coast Guard, even if those further communications are safety related. A ship on the high seas that has been barred from such communications may be a danger to itself and others, as well as a potential problem for the Coast Guard. We agree with commenters that any change in accounting authorities must ensure that critical communications are not disrupted. First, during any transition period that we adopt, we will notify users of GMDSS mobile satellite communications of our decision to withdraw as an accounting authority and of their need to select a new accounting authority. Moreover, we seek comment, not only on designation of an accounting authority of last resort for all users, including GMDSS mobile satellite and GMDSS maritime mobile communications, but also on whether there are other options to ensure that the Commission’s withdrawal as accounting authority would not cause ship stations to become barred because they were unaware that they need to choose a new accounting authority. 24. We also invite comment whether advancements in technology and the business community could reduce the burdens associated with our proposal to withdraw as accounting authority of last resort. Technological changes may mitigate concerns that stem from the fact that the Commission’s service as the accounting authority of last resort has made it unnecessary for users to be aware that they may select a private accounting authority. We can promptly notify users which relied on the Commission as accounting authority of last resort for the need to select an alternative accounting authority. In doing so, we seek comment on notifying users from the past seven years. Alternatively, should we make the period of users which relied on the Commission as carrier of last resort shorter or longer? In addition, the Commission could review on a periodic basis the plan it adopts to ensure that the need for accounting authority services is being met, including distress and safety communications on board ships, and determine whether further modifications are appropriate. VerDate Sep<11>2014 16:35 Jan 12, 2017 Jkt 241001 Initial Regulatory Flexibility Analysis 1. As required by the Regulatory Flexibility Act (RFA),35 the Commission prepared this Initial Regulatory Flexibility Analysis (IRFA) of the possible significant economic impact on small entities by the policies and rules proposed in this Second Further Notice of Proposed Rulemaking (Second FNPRM). Written comments are requested on this IRFA. Comments must be identified as responses to the IRFA and must be filed by the deadline for comments on this Second FNPRM. The Commission will send a copy of this Second FNPRM, including the IRFA, to the Chief Counsel for Advocacy of the Small Business Administration (SBA).36 In addition, this Second FNPRM and IRFA (or summaries thereof) will be published in the Federal Register.37 A. Need for and Objectives of, the Notice 2. In this Second Further Notice of Proposed Rulemaking (Second FNPRM), we propose to transition the functions and duties performed by the Commission as an accounting authority to private accounting authorities. In doing so, we seek to revisit findings in the 1999 Report and Order and Further Notice of Proposed Rulemaking (1999 Accounting Authority Order & FNPRM),38 which included the Commission’s decision that it should withdraw as an accounting authority in the maritime mobile and maritime mobile-satellite radio services. The Commission tentatively concluded that a three-year transition period following adoption of a Report and Order was appropriate to permit the preparation and implementation of a plan to ensure a smooth, non-disruptive transition to private accounting authorities, and to develop the transition plan.39 The 35 5 U.S.C. 603. The RFA, 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). 36 5 U.S.C. 603(a). 37 Id. 38 1998 Biennial Regulatory Review—Review of Accounts Settlement in the Maritime Mobile and Maritime Mobile-Satellite Radio Services and Withdrawal of the Commission as an Accounting Authority in the Maritime Mobile and the Maritime Mobile-Satellite Radio Services, Report and Order and Further Notice of Proposed Rulemaking, 15 FCC Rcd 20703 (1999) (1999 R&O and FNPRM). The Commission as part of its Further Notice of Proposed Rulemaking sought comments to be filed by comments August 23, 1999, and replies by September 8, 1999. 39 1998 Biennial Regulatory Review—Review of Accounts Settlement in the Maritime Mobile and Maritime Mobile-Satellite Radio Services and Withdrawal of the Commission as an Accounting Authority in the Maritime Mobile and the Maritime Mobile-Satellite Radio Services, Order, 14 FCC Rcd 13504 (1999). The order extended the deadline for PO 00000 Frm 00077 Fmt 4702 Sfmt 4702 completion of the plan was subsequently delayed and until now, the proceeding has been inactive. 3. In this 2016 Accounting Authority Second FNPRM, we now seek comment on whether the findings in the 1999 Accounting Authority Order & FNPRM remain in the public interest. As such, we seek input on whether the Commission should withdraw as an accounting authority in the maritime mobile and maritime mobile-satellite radio services. In doing so, we seek information on whether interested parties continue to support the Commission’s 1999 decision and if not, why that decision should be revisited or amended. B. Legal Basis 4. This Second Further Notice of Proposed Rulemaking is adopted pursuant to Sections 1, 4(i), 4(j), 11, 201–205, 303(r) of the Communications Act of 1934, as amended, 47 U.S.C. 151, 154(i), 161, 201–205, and 303(r). C. Description and Estimate of the Number of Small Entities To Which the Rules Will Apply 5. 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.40 The RFA generally defines the term ‘‘small entity’’ as having the same meaning as the terms ‘‘small business,’’ ‘‘small organization,’’ and ‘‘small governmental jurisdiction.’’ 41 In addition, the term ‘‘small business’’ has the same meaning as the term ‘‘small business concern’’ under the Small Business Act.42 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.43 6. The rules proposed in this Second Notice of Proposed Rulemaking apply to entities providing account-settlement services for maritime mobile and maritime mobile-satellite radio services. filing comments to October 25, 1999 and reply comments to November 29, 1999. The extension of time was made to allow for a fuller record. 40 5 U.S.C. 603(b)(3). 41 5 U.S.C. 601(6). 42 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.’’ 43 15 U.S.C. 632. E:\FR\FM\13JAP1.SGM 13JAP1 Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Proposed Rules Small businesses may be able to become accounting clearinghouses, as the establishment of such a function does not appear to involve high implementation costs. The rules also apply to existing maritime mobile and maritime satellite customers who have not presubscribed to a U.S. accounting authority and are, therefore, billed through the FCC as the accounting authority of last resort. An estimated thirty small entities have been billed for traffic by the FCC as an accounting authority in 2016. The proposed action in this Second Notice of Proposed Rulemaking does not appear to involve high implementation costs for such entities. D. Reporting, Recordkeeping, and Other Compliance Requirements 7. The proposed action in this Second Further Notice of Proposed Rulemaking would affect those entities already certified and those applying for certification as a private accounting authority in the maritime mobile, maritime mobile-satellite, aeronautical and other satellite-based radio services. The amended rule, however, merely clarifies an existing requirement imposed on accounting authorities. It, therefore, does not alter the reporting, recordkeeping or other compliance requirements of certified accounting authorities. F. Federal Rules That Overlap, Duplicate or Conflict With These Proposed Requirements 9. None. V. Ordering Clauses 10. It is ordered that pursuant to sections 4(i), 4(j), 11, 201–205 and 303(r) of the Communications Act of 1934, as amended, 47 U.S.C. 154(i), 154(j), 161, 201–205 and 303(r), this Second Further Notice of Proposed Rulemaking is adopted. 11. It is further ordered that the Commission’s Consumer and Governmental Affairs Bureau, Reference Information Center, shall send a copy of this Second Further Notice of Proposed Rulemaking, including the Initial Regulatory Flexibility Analysis, to the Chief Counsel for Advocacy of the Small Business Administration. Federal Communications Commission. Marlene H. Dortch, Secretary. [FR Doc. 2017–00597 Filed 1–12–17; 8:45 am] BILLING CODE 6712–01–P FEDERAL COMMUNICATIONS COMMISSION 47 CFR Part 54 [WC Docket No. 10–90; FCC 16–178] Connect America Fund Federal Communications Commission. ACTION: Proposed rule. AGENCY: 8. As stated above, we propose to transition the functions and duties performed by the Commission as an accounting authority to private accounting authorities. In doing so, we seek to revisit findings in 1999 Accounting Authority Order & FNPRM),44 which included the Commission’s decision that it should withdraw as an accounting authority in the maritime mobile and maritime mobile-satellite radio services. We seek comment on the impact of our proposals on small entities and on any possible alternatives that could minimize the impact of our rules on small entities. asabaliauskas on DSK3SPTVN1PROD with PROPOSALS E. Steps Taken To Minimize Significant Economic Impact on Small Entities and Significant Alternatives Considered SUMMARY: 44 1998 Biennial Regulatory Review—Review of Accounts Settlement in the Maritime Mobile and Maritime Mobile-Satellite Radio Services and Withdrawal of the Commission as an Accounting Authority in the Maritime Mobile and the Maritime Mobile-Satellite Radio Services, Report and Order and Further Notice of Proposed Rulemaking, 15 FCC Rcd 20703 (1999) (1999 R&O and FNPRM). The Commission as part of its Further Notice of Proposed Rulemaking sought comments to be filed by comments August 23, 1999, and replies by September 8, 1999. VerDate Sep<11>2014 16:35 Jan 12, 2017 Jkt 241001 In this document, the Federal Communications Commission (Commission) seeks comment on whether to expand the Alternative Connect America Cost Model (A–CAM) budget for rate-of-return carriers to provide additional funding with an associated increase in broadband deployment obligations. DATES: Comments are due on or before February 13, 2017 and reply comments are due on or before February 27, 2017. If you anticipate that you will be submitting comments, but find it difficult to do so within the period of time allowed by this document, you should advise the contact listed below as soon as possible. ADDRESSES: You may submit comments, identified by WC Docket No. 10–90, by any of the following methods: • Federal eRulemaking Portal: https:// www.regulations.gov. Follow the instructions for submitting comments. • Federal Communications Commission’s Web site: https:// fjallfoss.fcc.gov/ecfs2/. Electronic Filers: PO 00000 Frm 00078 Fmt 4702 Sfmt 4702 4275 Comments may be filed electronically using the Internet by accessing the ECFS: https://fjallfoss.fcc.gov/ecfs2/. D Paper Filers: Parties who choose to file by paper must file an original and one copy of each filing. Because more than one docket number appears in the caption of this proceeding, filers must submit two additional copies for each additional docket number. • Filings can be sent by hand or messenger delivery, by commercial overnight courier, or by first-class or overnight U.S. Postal Service mail. All filings must be addressed to the Commission’s Secretary, Office of the Secretary, Federal Communications Commission. Æ All hand-delivered or messengerdelivered paper filings for the Commission’s Secretary must be delivered to FCC Headquarters at 445 12th St. SW., Room TW–A325, Washington, DC 20554. The filing hours are 8:00 a.m. to 7:00 p.m. All hand deliveries must be held together with rubber bands or fasteners. Any envelopes and boxes must be disposed of before entering the building. D Commercial overnight mail (other than U.S. Postal Service Express Mail and Priority Mail) must be sent to 9300 East Hampton Drive, Capitol Heights, MD 20743. D U.S. Postal Service first-class, Express, and Priority mail must be addressed to 445 12th St. SW., Washington, DC 20554. • People with Disabilities: Contact the FCC to request reasonable accommodations (accessible format documents, sign language interpreters, CART, etc.) by email: FCC504@fcc.gov or phone: (202) 418–0530 or TTY: (202) 418–0432. FOR FURTHER INFORMATION CONTACT: Alexander Minard, Wireline Competition Bureau, (202) 418–7400 or TTY: (202) 418–0484. SUPPLEMENTARY INFORMATION: This is a synopsis of the Commission’s Further Notice of Proposed Rulemaking (FNPRM) in WC Docket No. 10–90; FCC 16–178, adopted on December 19, 2016 and released on December 20, 2016. The full text of this document is available for public inspection during regular business hours in the FCC Reference Center, Room CY–A257, 445 12th St. SW., Washington, DC 20554 or at the following Internet address: https:// transition.fcc.gov/Daily_Releases/Daily_ Business/2016/db1220/FCC-16178A1.pdf. I. Further Notice of Proposed Rulemaking 1. In this Further Notice of Proposed Rulemaking, the Commission seeks E:\FR\FM\13JAP1.SGM 13JAP1

Agencies

FEDERAL COMMUNICATIONS COMMISSION

[Federal Register Volume 82, Number 9 (Friday, January 13, 2017)]
[Proposed Rules]
[Pages 4269-4275]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-00597]

=======================================================================
-----------------------------------------------------------------------

FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 1

[IB Docket No. 98-96; FCC 16-179]

1998 Biennial Regulatory Review--Review of Accounts Settlement in
the Maritime Mobile and Maritime Mobile-Satellite Radio Services

AGENCY: Federal Communications Commission.

ACTION: Notice of proposed rulemaking.

-----------------------------------------------------------------------

SUMMARY: In this document, the Federal Communications Commission
(Commission) proposes to withdraw as an accounting authority and
transition its functions and duties to private accounting authorities.
The Commission seeks comment on a transition plan and a timetable to
implement an orderly transition to the privatization of the accounts-
settlement function.

DATES: Comments due on or before March 14, 2017, and reply comments due
on or before April 13, 2017.

ADDRESSES: You may submit comments, identified by IB Docket 98-96, by
any of the following methods:
Federal eRulemaking Portal: https://www.regulations.gov.
Follow the instructions for submitting comments.
Federal Communications Commission's Web site: https://www.fcc.gov/cgb/ecfs. Follow the instructions for submitting comments.
People with Disabilities: Contact the FCC to request
reasonable accommodations (accessible format documents, sign language
interpreters, CART, etc.) by email: FCC504@fcc.gov or phone: 202-418-
0530 or TTY: 202-418-0432.
Email: ecfs@fcc.gov. Include IB Docket No. 98-96 in the
subject line of the message.
Mail: Commercial overnight mail (other than U.S. Postal
Service Express Mail, and Priority Mail, must be sent to 9300 East
Hampton Drive, Capitol Heights, MD 20743. U.S. Postal Service first-
class, Express, and Priority mail should be addressed to 445 12th
Street SW., Washington, DC 20554.
For detailed instructions for submitting comments and additional
information on the rulemaking process, see the SUPPLEMENTARY
INFORMATION section of this document.

FOR FURTHER INFORMATION CONTACT: Dana Shaffer, Office of Managing
Director at (202) 418-0832.

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Second
Further Notice of Proposed Rulemaking (Second FNPRM), FCC 16-179, IB
Docket No. 98-96, adopted on December 22, 2016, and released on
December 30, 2016. The full text of this document is available for
inspection and copying during normal business hours in the FCC
Reference Center, 445 12th Street SW., Room CY-A257, Portals II,
Washington, DC 20554, and may also be purchased from the Commission's
copy contractor, BCPI, Inc., Portals II, 445 12th Street SW., Room CY-
B402, Washington, DC 20554. Customers may contact BCPI, Inc. via their
Web site, https://www.bcpi.com, or call 1-800-378-3160. This document is
available in alternative formats (computer diskette, large print, audio
record, and braille).

[[Page 4270]]

Persons with disabilities who need documents in these formats may
contact the FCC by email: FCC504@fcc.gov or phone: 202-418-0530 or TTY:
202-418-0432.

I. Procedural Matters

A. Ex Parte Rules--Permit-But-Disclose

1. The proceeding this Second FNPRM initiates shall be treated as a
``permit-but-disclose'' proceeding in accordance with the Commission's
ex parte rules.\1\ Persons making ex parte presentations must file a
copy of any written presentation or a memorandum summarizing any oral
presentation within two business days after the presentation (unless a
different deadline applicable to the Sunshine period applies). Persons
making oral ex parte presentations are reminded that memoranda
summarizing the presentation must (1) list all persons attending or
otherwise participating in the meeting at which the ex parte
presentation was made, and (2) summarize all data presented and
arguments made during the presentation. If the presentation consisted
in whole or in part of the presentation of data or arguments already
reflected in the presenter's written comments, memoranda or other
filings in the proceeding, the presenter may provide citations to such
data or arguments in his or her prior comments, memoranda, or other
filings (specifying the relevant page and/or paragraph numbers where
such data or arguments can be found) in lieu of summarizing them in the
memorandum. Documents shown or given to Commission staff during ex
parte meetings are deemed to be written ex parte presentations and must
be filed consistent with rule 1.1206(b). In proceedings governed by
rule 1.49(f) or for which the Commission has made available a method of
electronic filing, written ex parte presentations and memoranda
summarizing oral ex parte presentations, and all attachments thereto,
must be filed through the electronic comment filing system available
for that proceeding, and must be filed in their native format (e.g.,
.doc, .xml, .ppt, searchable .pdf). Participants in this proceeding
should familiarize themselves with the Commission's ex parte rules.
---------------------------------------------------------------------------

\1\ 47 CFR 1.1200 et seq.
---------------------------------------------------------------------------

B. Comment Period and Procedures

2. Pursuant to sections 1.415 and 1.419 of the Commission's rules,
47 CFR 1.415, 1.419, interested parties may file comments and reply
comments on or before the dates indicated on the first page of this
document. Comments may be filed using the Commission's Electronic
Comment Filing System (ECFS). See Electronic Filing of Documents in
Rulemaking Proceedings, 63 FR 24121 (1998).
[ssquf] Electronic Filers: Comments may be filed electronically
using the Internet by accessing the ECFS: https://fjallfoss.fcc.gov/ecfs2/.
[ssquf] Paper Filers: Parties who choose to file by paper must file
an original and one copy of each filing. If more than one docket or
rulemaking number appears in the caption of this proceeding, filers
must submit two additional copies for each additional docket or
rulemaking number.
Filings can be sent by hand or messenger delivery, by commercial
overnight courier, or by first-class or overnight U.S. Postal Service
mail. All filings must be addressed to the Commission's Secretary,
Office of the Secretary, Federal Communications Commission.
[ssquf] All hand-delivered or messenger-delivered paper filings for
the Commission's Secretary must be delivered to FCC Headquarters at 445
12th St. SW., Room TW-A325, Washington, DC 20554. The filing hours are
8:00 a.m. to 7:00 p.m. All hand deliveries must be held together with
rubber bands or fasteners. Any envelopes and boxes must be disposed of
before entering the building.
[ssquf] Commercial overnight mail (other than U.S. Postal Service
Express Mail and Priority Mail) must be sent to 9300 East Hampton
Drive, Capitol Heights, MD 20743.
[ssquf] U.S. Postal Service first-class, Express, and Priority mail
must be addressed to 445 12th Street SW., Washington DC 20554.
People with Disabilities: To request materials in accessible
formats for people with disabilities (braille, large print, electronic
files, audio format), send an email to fcc504@fcc.gov or call the
Consumer & Governmental Affairs Bureau at 202-418-0530 (voice), 202-
418-0432 (tty).

C. Initial Regulatory Flexibility Analysis

3. As required by the Regulatory Flexibility Act of 1980 (RFA),\2\
the Commission has prepared an Initial Regulatory Flexibility Analysis
(IRFA) of the possible significant economic impact on small entities of
the policies and rules proposed in this Second FNPRM. The IRFA is found
near the end of this document. We request written public comment on the
analysis. Comments must be filed in accordance with the same deadlines
as comments filed in response to this Second FNPRM, and must have a
separate and distinct heading designating them as responses to the
IRFA. The Commission's Consumer and Governmental Affairs Bureau,
Reference Information Center, will send a copy of this Second FNPRM,
including the IRFA, to the Chief Counsel for Advocacy of the Small
Business Administration.
---------------------------------------------------------------------------

\2\ See 5 U.S.C. 603.
---------------------------------------------------------------------------

4. Copies to Private Accounting Authorities and Governmental Users.
The Commission's Consumer and Governmental Affairs Bureau, Reference
Information Center, shall send a copy of this Second Further Notice of
Proposed Rulemaking, including the Initial Regulatory Flexibility
Analysis, to the current U.S.-certified private accounting authorities:
Mackay Communications, Inc., Astrium Services Business Communications
Inc., Seven Seas Communications Inc., Omnet, Inc., KFS World
Communications dba GLOBE WIRELESS, GMPCS Personal Communications, Inc.,
ShipCom, L.L.C. (formerly M M R Radio, L.L.C.), Stratos Mobile Networks
Inc., Exxon Communications Company, Vizada, Inc., Raytheon Service Co.,
Telemar USA LLC, MVS USA Inc., A-N-D Group Plc, Selex ES Ltd, Selex ES
Ltd, NSSLGlobal, Airtime Billing Department.

D. Initial Paperwork Reduction Analysis

5. This document does not contain a proposed information
collection(s) subject to the Paperwork Reduction Act of 1995 (PRA, Pub.
L. 104-13). In addition, therefore, it does not contain any new or
modified information collection burden for small business concerns with
fewer than 25 employees, pursuant to the Small Business Paperwork
Relief Act of 2002, Public Law 107-198, see 44 U.S.C. 3506(c)(4).

II. Introduction

6. In this Second Further Notice of Proposed Rulemaking (2016
Accounting Authority Second FNPRM), we propose to transition the
functions and duties performed by the Commission as an accounting
authority to private accounting authorities. In doing so, we seek to
revisit findings in the 1999 Report and Order and Further Notice of
Proposed Rulemaking (1999 Accounting Authority Order & FNPRM),\3\ which

[[Page 4271]]

included the Commission's decision that it should withdraw as an
accounting authority in the maritime mobile and maritime mobile-
satellite radio services.\4\ The Commission tentatively concluded that
a three-year transition period following adoption of a Report and Order
was appropriate to permit the preparation and implementation of a plan
to ensure a smooth, non-disruptive transition to private accounting
authorities, and to develop the transition plan.\5\ Although in that
Order the Commission concluded that ``the Commission shall cease
operating as an accounting authority for settling accounts for maritime
mobile, maritime satellite, aircraft,\6\ and handled terminal radio
services,'' and that ``a transition period is necessary to allow for an
orderly transition to a full privatization of the accounts-settlement
function,'' we stopped short of proscribing a transition plan, instead
seeking further comment ``on a number of proposals regarding how best
to implement this transition.'' \7\
---------------------------------------------------------------------------

\3\ 1998 Biennial Regulatory Review--Review of Accounts
Settlement in the Maritime Mobile and Maritime Mobile-Satellite
Radio Services and Withdrawal of the Commission as an Accounting
Authority in the Maritime Mobile and the Maritime Mobile-Satellite
Radio Services, Report and Order and Further Notice of Proposed
Rulemaking, 15 FCC Rcd 20703 (1999) (1999 Accounting Authority Order
& FNPRM).
\4\ Id.
\5\ Id. at 20717.
\6\ The focus of this FNPRM is the effect on maritime
communications, as the Commission has not, for several years,
settled aeronautical accounts. It is important to note, however,
that our withdrawal as accounting authority of last resort would
include a cessation in our settling of accounts for maritime mobile,
maritime satellite, aircraft, and handled terminal radio services,
as we previously concluded.
\7\ Id.
---------------------------------------------------------------------------

7. The completion of a plan based on those comments, however, was
subsequently delayed. Thus, no definitive timeline for the transition
to implement our decision in the Order to withdraw as accounting
authority has been established.
8. We continue to believe that it is in the public interest for the
Commission to withdraw as an accounting authority. Given the passage of
time, we now, in this 2016 Accounting Authority Second FNPRM, seek
further comment on the appropriate transition plan and period to
implement our decision in the 1999 Accounting Authority Order & FNPRM
to withdraw as an accounting authority in the maritime mobile and
maritime mobile-satellite radio services.

III. Background

9. International maritime mobile communications are HF or VHF radio
communications between a ship and a coast station operated by the
telecommunications operator in the country in which the station is
located, and international maritime mobile-satellite communications
services are conducted by satellite. Payment for the services provided
by the telecommunications operators involves interaction with an entity
known as an ``accounting authority,'' which settles an account between
the telecommunications operator and the customer. In practice, the
telecommunications operator, the earth or coast station, sends its bill
either to the accounting authority that the customer has designated to
act for it or to an ``accounting authority of last resort,'' which, as
the name implies, settles accounts for customers that have not
designated a particular accounting authority. The function of the
accounting authority, also referred to as a ``clearinghouse'' or
``settlement authority,'' involves presenting the bill to the customer,
accepting payment from the customer, and remitting the collected funds
to the telecommunications operator.
10. Historically, most nations required individual ships to settle
their accounts with their telecommunications provider; however, since
1934, the Commission has acted as an accounting authority in the United
States, to settle accounts for maritime, aircraft, and hand-held
terminal radio services to both private users and other U.S. federal
government agencies. Over time, the Commission has reduced its
accounting authority or clearinghouse function related to the maritime
mobile radio services and the satellite-based services, including
aeronautical and hand-held terminals. The primary reason for this
reduction is that private accounting authorities provide similar
account settlement services for U.S. users. Certification and operation
of private accounting authorities are governed under part 3 of our
rules, which ensure that qualified applicants are authorized as
accounting authorities and that such authorities, once approved, have
adequate guidance of the standard of conduct required of them by the
Commission. We believe that this process has been working
effectively.\8\ Currently, there are twenty-two entities certified as
U.S. private accounting authorities.\9\
---------------------------------------------------------------------------

\8\ See Letter from Bruce Henoch, Inmarsat, to Accounting
Authority Certification Office, Federal Communications Commission
(dated April 20, 2015); Letter from Robert Swanson, Airbus Defense
and Space, to Marlene Dortch, Federal Communications Commission
(dated January 30, 2015); Letter from Steven Chernoff, Lukas, Nace,
Gutierrez, and Sachs, LLP, to Accounting Authority Certification
Officer, Federal Communications Commission (April 15, 2015)
(providing inventories of accounting authority settlements).
\9\ Some of these private accounting authorities may not
currently settle accounts for maritime services; however, our
certification does not limit any certified U.S. accounting authority
to the settlement of accounts for only one class of service.
---------------------------------------------------------------------------

11. When the Commission last considered this matter more than
fifteen years ago, it found no public policy reason for the
Commission's continued function as an accounting authority,\10\ and
concluded in the Report and Order section of the decision, therefore,
that the Commission should withdraw as a clearinghouse for the
settlement of accounts in the maritime mobile radio, maritime mobile-
satellite, and other satellite-based communications services.\11\ The
Commission tentatively concluded that it should not designate a new
accounting authority of last resort,\12\ and that a three year
transition plan was sufficient to ensure a smooth transition.\13\ The
Commission sought further comment on these tentative conclusions.\14\
---------------------------------------------------------------------------

\10\ 1999 Accounting Authority Order & FNPRM at 20709.
\11\ Id. at 20723.
\12\ Id. at 20715.
\13\ Id. at 20718.
\14\ Id. at 20715, 20723.
---------------------------------------------------------------------------

IV. Discussion

12. In the Order portion of the 1999 R&O and FNPRM, the Commission
announced its decision to withdraw from the accounting authority
function. Additionally, it revised section 3.10(e) to make explicit the
authorities' obligations not to discriminate,\15\ grandfathered the
accounting authority of EXXON to permit it to continue to settle
accounts only for its ships, and provided guidance to allow applicants
to amend their pending applications in light of the change to section
3.10(e). In the Second FNPRM, the Commission requested comments on two
issues. First, the Commission sought comment on whether to appoint or
allow an entity to take over the Commission's function as the
accounting authority of last resort, require customers to pre-subscribe
to an accounting authority or to designate an accounting authority on
every message, or to develop a formula to spread undesignated messages
among several private accounting authorities. Second, the Commission
tentatively concluded that the appropriate phase-out period was three
years following Federal Register publication of a final order, and
invited comment.
---------------------------------------------------------------------------

\15\ 47 CFR 3.10(e).
---------------------------------------------------------------------------

A. Withdrawal by the Commission From the Accounting Authority Function

13. In the 1999 R&O and FNPRM, the Commission decided to withdraw
from performing the functions of an accounting authority, and to leave
the settlement of accounts to the private

[[Page 4272]]

accounting authorities subject to part 3 of our rules. Although the
Commission never implemented a transition plan, many users of the
Commission's services subsequently have transitioned to one of these
accounting authorities. We continue to believe that it is in the public
interest for the Commission to withdraw as an accounting authority and
seek comment on our proposals to do so below. The function of an
accounting authority is not necessarily a governmental function, but
can be performed equally well by privately owned entities, subject to
Commission oversight under our part 3 rules.\16\ Since the Commission
last visited this issue, U.S. private accounting authorities have
continued to succeed in providing these functions.\17\ We anticipate
that our action to step away from the functions of an accounting
authority will create further competition for the settlement of
maritime and satellite accounts, and may thereby encourage the industry
to provide the public with more choices in obtaining settlement of
their accounts.
---------------------------------------------------------------------------

\16\ The FCC's withdrawal as an accounting authority will in no
way change the rules by which we certify and monitor private
entities serving as accounting authorities for maritime mobile and
maritime satellite services. See 47 CFR 3.1 et seq.
\17\ See 1999 R&O and FNPRM, 15 FCC Rcd at 20706-09, paragraphs
7-12; See Letter from Bruce Henoch, Inmarsat, to Accounting
Authority Certification Office, Federal Communications Commission
(dated April 20, 2015); Letter from Robert Swanson, Airbus Defense
and Space, to Marlene Dortch, Federal Communications Commission
(dated January 30, 2015); Letter from Steven Chernoff, Lukas, Nace,
Gutierrez, and Sachs, LLP, to Accounting Authority Certification
Officer, Federal Communications Commission (dated April 15, 2015)
(providing inventories of accounting authority settlements).
---------------------------------------------------------------------------

14. Since 1999, the number of users relying on the Commission to
provide accounting authority services has decreased,\18\ even as the
activity handled by other accounting authorities, in general, appears
to have increased in scope. We recognize that an immediate departure of
the Commission as an accounting authority will require those U.S.
international ship and satellite operators currently handled by the
Commission to select an alternative accounting authority. We also
believe, unlike in 1999 when we suggested a three-year transition
period, that maritime operators are far better prepared to adjust to
the departure of the Commission as the accounting authority. First, the
Commission possesses the ability to contact current users and thereby
their expedite transition. Second, through outreach and coordination
with the maritime industry, Commission staff have learned that many of
those entities using the Commission's accounting authority services
have anticipated the change, and they have initiated a transition
process in contracting with other accounting authorities. Consequently,
we believe that most maritime mobile satellite users will be able to
accommodate this change, and that they will act promptly to select an
alternative accounting authority. We therefore, recommend a one year
transition period and seek comment on this recommendation.
---------------------------------------------------------------------------

\18\ See supra n.5.
---------------------------------------------------------------------------

15. We continue to believe that we should not designate a new
accounting authority of last resort, but, rather, customers should
designate an accounting authority for each call or should presubscribe
for the services of an accounting authority.\19\ We seek further
comment on this tentative conclusion.
---------------------------------------------------------------------------

\19\ See id. at 20715 (tentatively concluding not to designate a
new accounting authority of last resort).
---------------------------------------------------------------------------

B. Government Agencies

16. In the 1999 R&O and FNPRM we acknowledged that the Commission
at that time acted as the accounting authority for the maritime and
satellite communications of a majority of U.S. governmental
agencies.\20\ At the time, because we anticipated that Government
agency users might have special needs that differ from other users, we
requested the agencies to address this issue in their comments.\21\
---------------------------------------------------------------------------

\20\ See 1999 R&O and FNPRM, 15 FCC Rcd at 20709, para. 13.
\21\ See 1999 R&O and FNPRM, 15 FCC Rcd at 20709, para. 13.
---------------------------------------------------------------------------

17. In their 1998 comments, the United States Coast Guard urged the
Commission to maintain a default accounting authority, provide ample
notice to affected users and small vessel organizations, provide a
smooth transition process to a new default accounting authority, and
ensure the economic impact on small entities is non-significant.\22\
The National Telecommunications and Information Administration (NTIA),
in coordination with the Interdepartment Radio Advisory Committee
(which includes the Coast Guard), expressed concern that the
Commission's withdrawal might lead to disruption or curtailment of
communication services to federal users, as well as increased cost to
the taxpayer.\23\ They requested that the FCC retain its accounting
authority, or, in the alternative, noted that most government agencies
operate on a three year budget cycle, and asked that the FCC defer
termination of its accounting authority responsibility ``until an [sic]
alternative billing and payment arrangements ensuring uninterrupted
service can be established.\24\ NTIA further urged that the FCC either
retain its accounting authority, or designate an authority of last
resort that would ``not charge more than the Commission currently
charges its accounts until users are notified and given a chance to
select their own accounting authority or accept the terms offered.''
\25\
---------------------------------------------------------------------------

\22\ Letter from J.D. Hersey, Jr., Chief, Spectrum Management
Division, to Magalie Roman Salas, FCC Secretary, August 21, 1998.
\23\ See Comments of the National Telecommunications and
Information Administration, filed August 24, 1998, at page 2.
\24\ Id.
\25\ Letter from William T. Hatch, Acting Associate
Administrator, National Telecommunications and Information
Administration, to Magalie Roman Salas, FCC Secretary, October 29,
1998.
---------------------------------------------------------------------------

18. We agree that, as part of an effective plan for the Commission
to withdraw as an accounting authority, U.S. Government agencies must
have in place alternate arrangements upon the Commission's withdrawal
to ensure that critical communications are not disrupted. In the more
than fifteen years, since our 1999 decision, Commission staff have
contacted the various government agencies informing them of the
Commission's intent to terminate its accounting authority; as a result,
many of these various agencies, have moved to alternative accounting
authorities for some or all of their services.\26\ In light of this
trend, and the more than fifteen years impacted entities have had to
transition to a new accounting authority, we seek comment on the
appropriate time period to complete the Commission's transition from
serving as accounting authority for government agencies. Movement of
government agencies anticipating our change in function suggests that a
transition period shorter than the three-year period previously
proposed is appropriate to accommodate these particular changes,
including anticipated government budget planning changes. We propose
that the transition period for government and non-government entities
be the same. We seek comment on whether one year suffices for
government agencies to transition to an alternative accounting
authority. Alternatively, we invite comment on whether this period
should be longer or shorter.
---------------------------------------------------------------------------

\26\ Commission staff have confirmed the removal of many of the
terminals once billed to these agencies from the FCC as the
accounting authority.
---------------------------------------------------------------------------

C. Accounting Authority of Last Resort

19. The Commission historically has served as the ``accounting
authority of last resort'' for the United States, which resulted in the
Commission receiving from foreign telecommunications

[[Page 4273]]

operators all accounts for which the customer did not designate a
specific accounting authority.\27\ In 1999, we tentatively concluded
that we should not designate a new accounting authority of last
resort.\28\ Instead, we found that customers should designate an
accounting authority for each call or should presubscribe for the
services of an accounting authority.\29\ We noted, however, that in
order to prevent a deleterious effect on safety communications, the
Commission must take care to ensure a seamless transition to new
accounting authorities.\30\
---------------------------------------------------------------------------

\27\ See 1999 R&O and FNPRM, 15 FCC Rcd at 20715, paragraph 25.
\28\ Id. at para. 26.
\29\ Id.
\30\ Id. at para. 27 (citing Coast Guard Comments at 1).
---------------------------------------------------------------------------

20. We continue to believe that, although the functions of an
accounting authority of last resort may still be necessary to address
infrequent situations where an authority is or cannot be designated due
to circumstances beyond the control of the user, it remains the basic
responsibility of the user, whether a private or governmental entity,
to provide for an accounting authority to handle its calls. However, as
we withdraw as an accounting authority, we tentatively conclude, based
on the commenters' urging us, in 1998, to either retain our accounting
authority or ensure an alternative is in place before withdrawing,\31\
that it will be necessary to have an alternative arrangement in place
that will eliminate the possibility of messages being sent without
having an accounting authority necessary to settle accounts. We seek
comment on possible approaches to ensure an alternative is in place:
(1) Requiring all customers to pre-subscribe to an accounting authority
or to designate an accounting authority on every message; (2)
developing a formula to spread undesignated messages among several
private accounting authorities; and/or (3) appointing through
comparative selection one of the private accounting authorities as the
new authority of last resort.
---------------------------------------------------------------------------

\31\ Letter from J.D. Hersey, Jr., Chief, Spectrum Management
Division, to Magalie Roman Salas, FCC Secretary, August 21, 1998.
See, also Comments of the National Telecommunications and
Information Administration, filed August 24, 1998, at page 2 and
Letter from William T. Hatch, Acting Associate Administrator,
National Telecommunications and Information Administration, to
Magalie Roman Salas, FCC Secretary, October 29, 1998.
---------------------------------------------------------------------------

Table 1--Government Agencies Who Use the Commission as an Accounting
Authority

Defense Information Systems Agency
Department of Agriculture
Department of Air Force
Department of the Army
Department of Commerce
Department of Defense--Office of Secretary of Defense
Department of Energy
Department of Health and Human Services
Department of Homeland Security--United States Coast Guard
Department of Justice
Department of Justice--Federal Bureau of Investigation
Department of Justice--U.S. Drug Enforcement Administration
Department of the Interior
Department of the Navy
Department of State
Department of Transportation
Department of Treasury
Department of Veteran Affairs
Federal Aviation Administration
Federal Emergency Management Agency
National Aeronautics and Space Administration
National Science Foundation
On-Site Inspection Agency
U.S. Environmental Protection Agency
U.S. General Services Administration
United States Information Agency
U.S. Postal Service

21. Given the reduction of reliance on the FCC as an accounting
authority and the resulting lower volume of customers \32\ who will be
affected when we withdraw as accounting authority (see Table 1 above),
we tentatively conclude that the best alternative is the first option
noted above, to require all customers to pre-subscribe to an accounting
authority or to designate an accounting authority on every message. We
seek comment on this tentative conclusion as well as the merits of each
of the three proposals. For example, is it technically feasible, for
U.S. maritime and satellite radio traffic for which no accounting
authority is designated and for which the customer is not able or
willing to designate an accounting authority on every message, to allow
the provider to bill for such traffic through a certified accounting
authority of its choice? Is this feasible for a ship-to-shore
radiotelephone call made through a foreign coast station? In the
alternative, is it feasible to allow public coast stations to designate
their own ``default'' accounting authority in order to send bills to
mariners who have not chosen/designated a private accounting authority?
\33\ Is there a need for the Commission to adopt additional qualifying
criteria for an existing accounting authority to serve as a designated
accounting authority of last resort? If so, what should the additional
criteria be? We also seek comment on any potential enforcement or
authority issues that may arise from each of the proposed alternatives
for providing an accounting authority of last resort. We also request
that commenting parties propose any other viable alternatives that help
ensure a smooth transition while relieving the Commission from
performing this function.
---------------------------------------------------------------------------

\32\ We note that, for 2016, traffic billed by the FCC as
accounting authority to private and/or third parties is exclusively
satellite traffic, and ask commenters to address whether that fact,
coupled with the potential to allow providers to choose a U.S.
accounting authority to bill traffic for which no accounting
authority has been designated by the customer, mitigates any
concerns regarding a potential gap in service once the FCC withdraws
as accounting authority of last resort.
\33\ There are few users of maritime public coast stations now
due to the closure worldwide of public coast stations; however,
ensuring the safety of such users is important. We, therefore, seek
comment on what different approaches may be necessary for radio
communications via a foreign public coast station versus satellite
communications via a mobile satellite communications provider.
---------------------------------------------------------------------------

22. We note that withdrawal of the Commission as an accounting
authority without an effective transition plan could leave a gap for
some U.S. maritime and satellite radio traffic for which no accounting
authority is designated. Thus, during any transition period and
subsequently, we intend to conduct outreach to make users aware of our
decision and their options for ensuring that they continue to receive
the services of an accounting authority.
23. In any event, we believe that an accounting authority, whether
selected by the ship, the provider, or a competent default accounting
authority, must be in place for distress and safety telecommunications
on board ships, particularly when a maritime mobile satellite system is
being used. We therefore seek comment on whether, if we decline to
designate an accounting authority, we should designate an accounting
authority of last resort specifically for Global Maritime Distress and
Safety System (GMDSS) mobile satellite communications.\34\ Although
maritime distress and certain safety communications are provided at no
charge, other types of safety communications do incur a charge. If
neither the designated nor a competent default accounting authority
exists, then foreign earth stations may have no way to bill the U.S.
satellite user. As a result, the user may, through no fault of its

[[Page 4274]]

own, find that its ship earth station has been barred for non-payment
of bills. We understand that, although a ship mobile device has been
``barred'' from the network provider (e.g., foreign earth station), a
ship can still initiate a ship-to-shore distress alert. In such a
situation, however, it could not communicate further with the Coast
Guard, even if those further communications are safety related. A ship
on the high seas that has been barred from such communications may be a
danger to itself and others, as well as a potential problem for the
Coast Guard. We agree with commenters that any change in accounting
authorities must ensure that critical communications are not disrupted.
First, during any transition period that we adopt, we will notify users
of GMDSS mobile satellite communications of our decision to withdraw as
an accounting authority and of their need to select a new accounting
authority. Moreover, we seek comment, not only on designation of an
accounting authority of last resort for all users, including GMDSS
mobile satellite and GMDSS maritime mobile communications, but also on
whether there are other options to ensure that the Commission's
withdrawal as accounting authority would not cause ship stations to
become barred because they were unaware that they need to choose a new
accounting authority.
---------------------------------------------------------------------------

\34\ INMARSAT continues to be the only worldwide maritime mobile
satellite system providing these safety communications. INMARSAT
will commission a new ship terminal intended to carry distress and
safety communications only if the application designates an
accounting authority.
---------------------------------------------------------------------------

24. We also invite comment whether advancements in technology and
the business community could reduce the burdens associated with our
proposal to withdraw as accounting authority of last resort.
Technological changes may mitigate concerns that stem from the fact
that the Commission's service as the accounting authority of last
resort has made it unnecessary for users to be aware that they may
select a private accounting authority. We can promptly notify users
which relied on the Commission as accounting authority of last resort
for the need to select an alternative accounting authority. In doing
so, we seek comment on notifying users from the past seven years.
Alternatively, should we make the period of users which relied on the
Commission as carrier of last resort shorter or longer? In addition,
the Commission could review on a periodic basis the plan it adopts to
ensure that the need for accounting authority services is being met,
including distress and safety communications on board ships, and
determine whether further modifications are appropriate.

Initial Regulatory Flexibility Analysis

1. As required by the Regulatory Flexibility Act (RFA),\35\ the
Commission prepared this Initial Regulatory Flexibility Analysis (IRFA)
of the possible significant economic impact on small entities by the
policies and rules proposed in this Second Further Notice of Proposed
Rulemaking (Second FNPRM). Written comments are requested on this IRFA.
Comments must be identified as responses to the IRFA and must be filed
by the deadline for comments on this Second FNPRM. The Commission will
send a copy of this Second FNPRM, including the IRFA, to the Chief
Counsel for Advocacy of the Small Business Administration (SBA).\36\ In
addition, this Second FNPRM and IRFA (or summaries thereof) will be
published in the Federal Register.\37\
---------------------------------------------------------------------------

\35\ 5 U.S.C. 603. The RFA, 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).
\36\ 5 U.S.C. 603(a).
\37\ Id.
---------------------------------------------------------------------------

A. Need for and Objectives of, the Notice

2. In this Second Further Notice of Proposed Rulemaking (Second
FNPRM), we propose to transition the functions and duties performed by
the Commission as an accounting authority to private accounting
authorities. In doing so, we seek to revisit findings in the 1999
Report and Order and Further Notice of Proposed Rulemaking (1999
Accounting Authority Order & FNPRM),\38\ which included the
Commission's decision that it should withdraw as an accounting
authority in the maritime mobile and maritime mobile-satellite radio
services. The Commission tentatively concluded that a three-year
transition period following adoption of a Report and Order was
appropriate to permit the preparation and implementation of a plan to
ensure a smooth, non-disruptive transition to private accounting
authorities, and to develop the transition plan.\39\ The completion of
the plan was subsequently delayed and until now, the proceeding has
been inactive.
---------------------------------------------------------------------------

\38\ 1998 Biennial Regulatory Review--Review of Accounts
Settlement in the Maritime Mobile and Maritime Mobile-Satellite
Radio Services and Withdrawal of the Commission as an Accounting
Authority in the Maritime Mobile and the Maritime Mobile-Satellite
Radio Services, Report and Order and Further Notice of Proposed
Rulemaking, 15 FCC Rcd 20703 (1999) (1999 R&O and FNPRM). The
Commission as part of its Further Notice of Proposed Rulemaking
sought comments to be filed by comments August 23, 1999, and replies
by September 8, 1999.
\39\ 1998 Biennial Regulatory Review--Review of Accounts
Settlement in the Maritime Mobile and Maritime Mobile-Satellite
Radio Services and Withdrawal of the Commission as an Accounting
Authority in the Maritime Mobile and the Maritime Mobile-Satellite
Radio Services, Order, 14 FCC Rcd 13504 (1999). The order extended
the deadline for filing comments to October 25, 1999 and reply
comments to November 29, 1999. The extension of time was made to
allow for a fuller record.
---------------------------------------------------------------------------

3. In this 2016 Accounting Authority Second FNPRM, we now seek
comment on whether the findings in the 1999 Accounting Authority Order
& FNPRM remain in the public interest. As such, we seek input on
whether the Commission should withdraw as an accounting authority in
the maritime mobile and maritime mobile-satellite radio services. In
doing so, we seek information on whether interested parties continue to
support the Commission's 1999 decision and if not, why that decision
should be revisited or amended.

B. Legal Basis

4. This Second Further Notice of Proposed Rulemaking is adopted
pursuant to Sections 1, 4(i), 4(j), 11, 201-205, 303(r) of the
Communications Act of 1934, as amended, 47 U.S.C. 151, 154(i), 161,
201-205, and 303(r).

C. Description and Estimate of the Number of Small Entities To Which
the Rules Will Apply

5. 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.\40\ The RFA
generally defines the term ``small entity'' as having the same meaning
as the terms ``small business,'' ``small organization,'' and ``small
governmental jurisdiction.'' \41\ In addition, the term ``small
business'' has the same meaning as the term ``small business concern''
under the Small Business Act.\42\ 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.\43\
---------------------------------------------------------------------------

\40\ 5 U.S.C. 603(b)(3).
\41\ 5 U.S.C. 601(6).
\42\ 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.''
\43\ 15 U.S.C. 632.
---------------------------------------------------------------------------

6. The rules proposed in this Second Notice of Proposed Rulemaking
apply to entities providing account-settlement services for maritime
mobile and maritime mobile-satellite radio services.

[[Page 4275]]

Small businesses may be able to become accounting clearinghouses, as
the establishment of such a function does not appear to involve high
implementation costs. The rules also apply to existing maritime mobile
and maritime satellite customers who have not presubscribed to a U.S.
accounting authority and are, therefore, billed through the FCC as the
accounting authority of last resort. An estimated thirty small entities
have been billed for traffic by the FCC as an accounting authority in
2016. The proposed action in this Second Notice of Proposed Rulemaking
does not appear to involve high implementation costs for such entities.

D. Reporting, Recordkeeping, and Other Compliance Requirements

7. The proposed action in this Second Further Notice of Proposed
Rulemaking would affect those entities already certified and those
applying for certification as a private accounting authority in the
maritime mobile, maritime mobile-satellite, aeronautical and other
satellite-based radio services. The amended rule, however, merely
clarifies an existing requirement imposed on accounting authorities.
It, therefore, does not alter the reporting, recordkeeping or other
compliance requirements of certified accounting authorities.

E. Steps Taken To Minimize Significant Economic Impact on Small
Entities and Significant Alternatives Considered

8. As stated above, we propose to transition the functions and
duties performed by the Commission as an accounting authority to
private accounting authorities. In doing so, we seek to revisit
findings in 1999 Accounting Authority Order & FNPRM),\44\ which
included the Commission's decision that it should withdraw as an
accounting authority in the maritime mobile and maritime mobile-
satellite radio services. We seek comment on the impact of our
proposals on small entities and on any possible alternatives that could
minimize the impact of our rules on small entities.
---------------------------------------------------------------------------

\44\ 1998 Biennial Regulatory Review--Review of Accounts
Settlement in the Maritime Mobile and Maritime Mobile-Satellite
Radio Services and Withdrawal of the Commission as an Accounting
Authority in the Maritime Mobile and the Maritime Mobile-Satellite
Radio Services, Report and Order and Further Notice of Proposed
Rulemaking, 15 FCC Rcd 20703 (1999) (1999 R&O and FNPRM). The
Commission as part of its Further Notice of Proposed Rulemaking
sought comments to be filed by comments August 23, 1999, and replies
by September 8, 1999.
---------------------------------------------------------------------------

F. Federal Rules That Overlap, Duplicate or Conflict With These
Proposed Requirements

9. None.

V. Ordering Clauses

10. It is ordered that pursuant to sections 4(i), 4(j), 11, 201-205
and 303(r) of the Communications Act of 1934, as amended, 47 U.S.C.
154(i), 154(j), 161, 201-205 and 303(r), this Second Further Notice of
Proposed Rulemaking is adopted.
11. It is further ordered that the Commission's Consumer and
Governmental Affairs Bureau, Reference Information Center, shall send a
copy of this Second Further Notice of Proposed Rulemaking, including
the Initial Regulatory Flexibility Analysis, to the Chief Counsel for
Advocacy of the Small Business Administration.

Federal Communications Commission.
Marlene H. Dortch,
Secretary.
[FR Doc. 2017-00597 Filed 1-12-17; 8:45 am]
BILLING CODE 6712-01-P

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.