Auction of FM Translator Construction Permits Scheduled for June 21, 2018; Notification of Filing Requirements, Minimum Opening Bids, Upfront Payments, and Other Procedures for Auction 83, 18441-18454 [2018-08635]

Download as PDF Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations that Statement dated August 18, 1988, July 26, 1989, August 15, 1991, October 11, 1991, July 28, 1994, May 30, 1997, February 5, 2001, April 2, 2004, June 13, 2008 (including three certifications), August 17, 2009, and May 22, 2012, although not incorporated by reference, are referenced as part of the authorized hazardous waste management program under subtitle C of RCRA, 42 U.S.C. 6921 et seq. (7) Program Description. The Program Description and any other materials submitted as supplements thereto, although not incorporated by reference, are referenced as part of the authorized hazardous waste management program under subtitle C of RCRA, 42 U.S.C. 6921 et seq. ■ 3. Appendix A to part 272 is amended by revising the listing for ‘‘New York’’ to read as follows: Appendix A to Part 272—State Requirements jstallworth on DSKBBY8HB2PROD with RULES * * * * * New York The regulatory provisions include: Title 6, New York Codes, Rules and Regulations (6 NYCRR), Chapter IV, Quality Services, Subchapter B, Solid Wastes (Volumes A–2 and A–2A), as amended effective through September 5, 2006. Please note: For a few regulations, the authorized regulation is an earlier version of the New York State regulation. For these regulations, EPA authorized the version of the regulations that appear in the Official Compilation of Codes, Rules and Regulations dated January 31, 1992. New York State made later changes to these regulations but these changes have not been authorized by EPA. The regulations where the authorized regulation is an earlier version of the regulation are noted below by inclusion in parentheses of January 31, 1992 after the regulatory citations. Part 360, Subpart 360–14—Used Oil: Sections 360–14.1(b)(7) and 360–14.1(b)(8). Part 370—Hazardous Waste Management System—General: Sections 370.1(a) (except (a)(3)); 370.1(b) through (d); 370.1(e) (except (e)(9)); 370.1(f); 370.2(a); 370.2(b)(1) through (b)(15) ‘‘battery’’; 370.2(b)(15) ‘‘bedrock’’, (January 31, 1992); 370.2(b)(17) through (b)(91); 370.2(b)(94) through (b)(125); 370.2(b)(127) through (b)(137); 370.2(b)(139) through (b)(221); 370.3 (except 370.3(c)); 370.4; 370.5 (except (b)). Part 371—Identification and Listing of Hazardous Waste: Sections 371.1(a) through (c); 371.1(d) (except (d)(1)(ii)(c)); 371.1(e) (except 371.1(e)(1)(xvi) and (e)(2)(vi)(b)(21)); 371.1(f)(1) through (7); 371.1(f)(8) (except the phrase ‘‘or such mixing occurs at a facility regulated under Subpart 373–4 or permitted under Part 373 of this Title’’); 371.1(f)(9) and (f)(10); 371.1(g)(1) (except (g)(1)(ii)(c) and (g)(1)(v)); 371.1(g)(2) through (4); 371.1(h) through (j); 371.2; 371.3; 371.4(a) and (b); 371.4(c) (except K064, K065, K066, K090 and K091 entries); 371.4(d) and (f). VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 Part 372—Hazardous Waste Manifest System and Related Standards for Generators, Transporters and Facilities: Sections 372.1(a) through (d); 372.1(e)(2)(ii)(c) (January 31, 1992); 372.1(e)(2)(iii)(c) (January 31, 1992); 372.1(e)(3) through (e)(8); 372.1(g) and (h); 372.2 (except (b)(5)(ii) and (b)(9)); 372.3 (except (a)(1), (a)(4), (a)(7)(i), (a)(8), (b)(3), (b)(5)(ii), (b)(6)(iv), (b)(7)(i)(d), (c)(4) and (d)(3)); 372.5 (except (h) and (i); 372.6; 372.7(a) and (b); 372.7(c) (except (c)(1)(ii)); and 372.7(d). Part 373, Subpart 373–1—Hazardous Waste Treatment, Storage and Disposal Facility Permitting Requirements: Sections 373–1.1(a) through (c), 373–1.1(d) (except (d)(1)(iii)(b), (d)(1)(iii)(c)(6), (d)(1)(iii)(d), (d)(1)(iv)(a) and (b), (d)(1)(x), (d)(1)(xvi), and (d)(1)(xviii)); 373–1.1(e); 373–1.1(h) and (i); 373–1.2; 373– 1.3; 373–1.4(a); 373–1.4(g) and (h); 373–1.5(a) (except (a)(2)(xviii)); 373–1.5(b) and (c); 373– 1.5(d) through (p) (except reserved paragraphs); 373–1.6 (except (c)); 373–1.7 through 373–1.11. Part 373, Subpart 373–2—Final Status Standards for Owners and Operators of Hazardous Waste Treatment, Storage and Disposal Facilities: Sections 373–2.1 through 373–2.4; 373–2.5(a); 373–2.5(b) (except (b)(1)(i)(c), (b)(3)(ii)(d) and (b)(3)(ii)(e)); 373– 2.5(c) through (g); 373–2.6 through 373–2.11; 373–2.12 (except 373–2.12(a)(1) and (d)); 373–2.12(a)(1) (January 31, 1992); 373–2.13; 373–2.14; 373–2.15 (except (a)(2)); 373–2.19 (except (e)(1)(ii)); 373–2.23; 373–2.24; and 373–2.27 through 373–2.31. Part 373, Subpart 373–3—Interim Status Standards Regulations for Owners and Operators of Hazardous Waste Facilities: Sections 373–3.1 (except 373–3.1(a)(4)); 373– 3.2 through 373–3.4; 373–3.5 (except 373– 3.5(b)(1)(i)(c), (b)(3)(ii)(d) and (b)(3)(ii)(e)); 373–3.6 through 373–3.18; 373–3.23; and 373–3.27 through 373–3.31. Part 374, Subpart 374–1—Standards for the Management of Specific Hazardous Wastes and Specific Types of Hazardous Waste Management Facilities: Sections 374–1.1; 374–1.3; 374–1.6 (except (a)(2)(iii)); 374–1.7; 374–1.8 (except reserved sections); 374–1.9; and 374–1.13. Part 374, Subpart 374–2—Standards for the Management of Used Oil: Sections 374–2.1 (except (a)(2) ‘‘Adjacent towns or cities’’, (a)(4) ‘‘Contract’’, (a)(10) ‘‘On-premises oil changing operation’’, (a)(14) ‘‘Retail’’, (a)(15) ‘‘Retail establishment’’, (a)(16) ‘‘Service establishment’’, (a)(18) ‘‘Total halogens’’, (a)(19) ‘‘Underground used oil tank’’, and (a)(27) ‘‘Used oil tank system’’); 374–2.2; 374–2.3 (except (c)(3) through (c)(6), and (f)); 374–2.4; 374–2.5 (except (a)(2) and (e)(4)); 374–2.6 (except (a)(2) and (d)(4)); 374–2.7 (except (d)(4), (e)(5) and (e)(6)); 374–2.8; and 374–2.9. Part 374, Subpart 374–3—Standards for Universal Waste: Sections 374–3.1 (except (f) and (g)); 374–3.2; 374–3.3; 374–3.4 (except (a)(2)); and 374–3.5 through 374–3.7. Part 376—Land Disposal Restrictions: Sections 376.1 (except (a)(5), (a)(9), (e), (f), and (g)(1)(ii)(b)); 376.2; 376.3 (except (b)(4) and (d)(2)); 376.4 (except (c)(2), (e)(1)–(7), and (f)); and 376.5. Appendices: Appendices 19 through 25; Appendices 27 through 30; Appendix 33; PO 00000 Frm 00043 Fmt 4700 Sfmt 4700 18441 Appendix 37; Appendix 38; Appendices 40 through 49; and Appendices 51 through 55. Copies of the New York regulations that are incorporated by reference are available from West Publishing Company, 610 Opperman Drive, P.O. Box 64526, Eagan, MN 55134– 0526; Phone: 1–800–328–4880; website: https://west.thomson.com. * * * * * [FR Doc. 2018–08431 Filed 4–26–18; 8:45 am] BILLING CODE 6560–50–P DEPARTMENT OF HEALTH AND HUMAN SERVICES Centers for Medicare & Medicaid Services 42 CFR Part 438 Managed Care CFR Correction In Title 42 of the Code of Federal Regulations, Parts 430 to 481, revised as of October 1, 2017, on page 295, in § 438.214, paragraph (c) [Reserved] is removed and ‘‘(2) [Reserved]’’ is added in its place. ■ [FR Doc. 2018–09060 Filed 4–26–18; 8:45 am] BILLING CODE 1301–00–D FEDERAL COMMUNICATIONS COMMISSION 47 CFR Parts 1, 73 and 74 [AU Docket No. 17–351; DA 18–257] Auction of FM Translator Construction Permits Scheduled for June 21, 2018; Notification of Filing Requirements, Minimum Opening Bids, Upfront Payments, and Other Procedures for Auction 83 Federal Communications Commission. ACTION: Final action; requirements and procedures. AGENCY: In this document, the Commission summarizes the procedures and announces upfront payments amounts and minimum opening bids for the auction of FM translator construction permits (Auction 83). The document summarized here is intended to familiarize applicants with the procedures and other requirements for participation in the auction. DATES: April 16, 2018, and until 6:00 p.m. Eastern Time (ET) on April 26, 2018, each Auction 83 applicant must review, verify or update its previouslyfiled short-form applications (FCC Forms 175) electronically. Bidding in SUMMARY: E:\FR\FM\27APR1.SGM 27APR1 18442 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations Auction 83 is scheduled to start on June 21, 2018. FOR FURTHER INFORMATION CONTACT: For auction legal questions, Lynne Milne in the Wireless Telecommunications Bureau’s Auctions and Spectrum Access Division at (202) 418–0660. For auction process and procedures, the FCC Auction Hotline at (717) 338–2868. For FM translator service questions, James Bradshaw, Lisa Scanlan or Tom Nessinger in the Media Bureau’s Audio Division at (202) 418–2700. To request materials in accessible formats (Braille, large print, electronic files, or audio format) for people with disabilities, send an email to fcc504@fcc.gov or call the Consumer and Governmental Affairs Bureau at (202) 418–0530 or (202) 418– 0432 (TTY). SUPPLEMENTARY INFORMATION: This is a summary of Commission’s document (Auction 83 Procedures Public Notice), AU Docket No. 17–351; DA 18–257, released on March 16, 2018. The complete text of this document is available for public inspection and copying from 8:00 a.m. to 4:30 p.m. ET Monday through Thursday or from 8:00 a.m. to 11:30 a.m. ET on Fridays in the FCC Reference Information Center, 445 12th Street SW, Room CY–A257, Washington, DC 20554. The complete text of this document and related documents also are available on the internet at the Commission’s website: https://wireless.fcc.gov/auctions/83, or by using the search function for AU Docket No. 17–351 on the Commission’s Electronic Comment Filing System (ECFS) web page at https://www.fcc.gov/ cgb/ecfs. jstallworth on DSKBBY8HB2PROD with RULES I. General Information A. Background 1. On February 6, 2003, the Media and Wireless Telecommunications Bureaus announced an auction filing window for applications for new FM translator stations and major modifications to authorized FM translator facilities in the non-reserved band (Channels 221 to 300). By Public Notices released May 21, 2013 and April 30, 2014, the Bureaus provided a list of all applications received during the filing window with engineering proposals that were mutually exclusive (MX) with engineering proposals in other applications submitted in the filing window. Applicants were previously given the opportunity to eliminate their mutual exclusivity with other applicants’ engineering proposals by settlement or technical modification to their proposals. The Bureaus will now proceed to auction with the 43 MX groups identified in Attachment A of VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 the Auction 83 Procedures Public Notice. B. Construction Permits and Entities Eligible To Participate in Auction 83 2. Auction 83 will resolve mutually exclusive applications for up to 43 new FM translator construction permits. A list of the locations and channels of these proposed stations is included as Attachment A to the Auction 83 Procedures Public Notice. Attachment A also sets forth the names of applicants in each MX group along with a minimum opening bid and an upfront payment amount for each construction permit in Auction 83. 3. An applicant listed in Attachment A may become qualified to bid only if it meets the additional filing, qualification and payment requirements and otherwise complies with applicable requirements described in the Auction 83 Procedures Public Notice. Each applicant may become a qualified bidder only for those construction permits specified for that applicant in Attachment A to the Auction 83 Procedures Public Notice. Each of the engineering proposals within each MX group are directly mutually exclusive with one another; therefore, no more than one construction permit will be awarded for each MX group identified in Attachment A. Once mutually exclusive applications are accepted, because mutual exclusivity exists for auction purposes, an applicant for a particular construction permit cannot obtain it without placing a bid, even if no other applicant for that construction permit becomes qualified to bid or in fact places a bid. While the Auction 83 Comment Public Notice had sought comment on whether certain changes made since 2003 to 47 CFR 1.2105 warranted any different approach in this context, no commenter directly addressed this issue. The Bureaus do not see any reason to depart from established precedent for Auction 83. 4. Section 1.2105(b)(2) provides that an auction applicant that undertakes a major change, including a change of ownership that would constitute an assignment or transfer of control, after the short-form application filing deadline will be disqualified from participating in bidding. In the Auction 83 Comment Public Notice (see 83 FR 4455, Jan. 31, 2018), the Bureaus sought comment on whether to waive 47 CFR 1.2105(b)’s prohibition on major changes with respect to transfers of control or assignments that had occurred prior to release of the Auction 83 Comment Public Notice and/or that have been subject to Commission review and approval by a particular date. In PO 00000 Frm 00044 Fmt 4700 Sfmt 4700 response to the Auction 83 Comment Public Notice, iHeart, the parent company of three Auction 83 applicants, filed comments supporting grant of waivers of 47 CFR 1.2105(b)(2)’s bar on major modifications to allow iHeart applicants to participate in Auction 83, and one applicant filed an opposition seeking denial of the requested relief. 5. The Bureaus decided that under the unique factual circumstances, application of the rule would be unduly burdensome to Auction 83 applicants that have completed a transfer of control or assignment that was authorized by the Commission during a period of approximately 15 years. In accordance with 47 CFR 1.3, the Bureaus waive 47 CFR 1.2105(b)(2)’s bar on major modifications for any Auction 83 applicant, such as iHeart or any other similarly-situated party, that has completed a transfer of control or assignment pursuant to a transaction that has been reviewed and approved by the Commission prior to the close of the remedial filing window on April 26, 2018. An applicant seeking to participate in Auction 83 pursuant to this relief should include with its updated Form 175 during the upcoming remedial filing window a brief explanation of any changes it has undertaken during the pendency of its Form 175, including relevant details such as citations to or file numbers of Commission authorizations for such changes. 6. In light of the amendments to the Commission’s competitive bidding rules in 2015, the Bureaus also sought comment in the Auction 83 Comment Public Notice on how to apply 47 CFR 1.2105’s provisions that prohibit the filing of multiple auction applications by applicants subject to common control. The amended rules require entities with any overlapping controlling interest to participate in an auction through just a single auction application. The only party to address this issue, iHeart, supports the Bureaus proposal to require applicants subject to common control to participate through a single bidding entity in a single application covering all of the MX engineering proposals applied for previously by the separate commonly controlled applicants. The Bureaus waived the current rule’s application to the originally filed Forms 175, which pre-dated the current rule by more than a decade, and to permit applicants to come into compliance with the current rule by modifying the relevant auction applications as necessary to come into compliance. Accordingly, any Auction 83 applicants with overlapping E:\FR\FM\27APR1.SGM 27APR1 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations controlling interests will be permitted to amend their Forms 175 to participate as a single bidding entity. Specifically, on or before March 30, 2018, applicants that have a controlling interest in more than one Form 175 listed in Attachment A to the Auction 83 Procedures Public Notice were required to bring those commonly controlled applications into compliance with the restrictions of 47 CFR 1.2105(a)(3) by filing a written request as an attachment to an email sent to auction83@fcc.gov. This written request was required to identify by applicant name and applicant FCC registration number (FRN) each of that applicant’s 2003 Forms 175 listed in Attachment A in which there is common control, as well as identification of the individual or entity with such common control. This email was required to request consolidation of the previously filed Forms 175 in Attachment A with common control. The request had to be signed by a person who is an authorized representative of the applicant with authority to bind that applicant. After consolidation, the remaining single applicant was required to update, certify and submit its FCC Form 175 during the remedial filing window. jstallworth on DSKBBY8HB2PROD with RULES C. Rules and Disclaimers 1. Relevant Authority 7. Applicants must familiarize themselves thoroughly with the Commission’s general competitive bidding rules, including Commission decisions in proceedings regarding competitive bidding procedures, application requirements, and obligations of Commission licensees. Broadcasters should also familiarize themselves with the Commission’s commercial FM translator broadcast service and competitive bidding requirements contained in 47 CFR parts 73 and 74, as well as Commission orders concerning competitive bidding. Applicants must also be thoroughly familiar with the procedures, terms and conditions contained in the Auction 83 Procedures Public Notice and any future public notices that may be released in this proceeding. 8. The terms contained in the Commission’s rules, relevant orders, and public notices are not negotiable. The Commission may amend or supplement the information contained in their public notices at any time, and will issue public notices to convey any new or supplemental information to applicants. It is the responsibility of each applicant to remain current with all Commission rules and with all public notices pertaining to Auction 83. VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 2. Prohibited Communications and Compliance With Antitrust Laws 9. Starting with the initial application filing deadline on March 17, 2003, the rules prohibiting certain communications set forth in 47 CFR 1.2105(c) and 73.5002(d) and (e) apply to each applicant that filed a FCC Form 175 in Auction 83. Subject to specified exceptions, 47 CFR 1.2105(c)(1) provides that, after the deadline for filing a short-form application, all applicants are prohibited from cooperating or collaborating with respect to, communicating with or disclosing, to each other in any manner the substance of their own, or each other’s, or any other applicants’ bids or bidding strategies (including postauction market structure), or discussing or negotiating settlement agreements, until after the down payment deadline. Applicants are hereby placed on notice that public disclosure of information relating to bids, bidding strategies, or to post-auction market structures may violate 47 CFR 1.2105(c). a. Entities Subject to Section 1.2105 10. An applicant for purposes of this rule includes the officers and directors of the applicant, all controlling interests in the entity submitting the FCC Form 175, as well as all holders of interests amounting to 10 percent or more of the entity, and all officers and directors of that entity. A party that submits an application becomes an applicant under the rule at the application deadline and that status does not change based on subsequent developments. Thus, an auction applicant that does not make and submit update to its Form 175 during the upcoming remedial filing window, correct deficiencies in its application, fails to submit a timely and sufficient upfront payment or does not otherwise become qualified, remains an applicant for purposes of 47 CFR 1.2105(c) and remains subject to the prohibition on certain communications until the applicable down payment deadline. b. Scope of Prohibition on Communications; Prohibition on Joint Bidding Agreements 11. The Commission in 2015 amended 47 CFR 1.2105(c) to extend its prohibition on communications to cover all applicants for an auction regardless of whether the applicants seek permits in the same geographic area or market. Accordingly, the Commission now prohibits joint bidding arrangements, including arrangements relating to the licenses being auctioned that address or communicate, directly or indirectly, PO 00000 Frm 00045 Fmt 4700 Sfmt 4700 18443 bids, bidding at the auction, bidding strategies, including arrangements regarding price or the specific construction permits or licenses on which to bid, and any such arrangements relating to the postauction market structure. The revised rule provides limited exceptions for communications within the scope of any arrangement consistent with the exclusions from the Commissions rule prohibiting joint bidding, provided such arrangement is disclosed on the applicant’s auction application. An applicant may continue to communicate pursuant to any pre-existing agreement, arrangement, or understanding that is solely operational or that provide for a transfer or assignment of licenses, provided that such agreement, arrangement or understanding does not involve the communication or coordination of bids (including amounts), bidding strategies, or the particular licenses on which to bid and provided that such agreement, arrangement or understanding is disclosed on its application. 12. In the Auction 83 Comment Public Notice, the Bureaus sought comment on whether waiver of certain provisions of 47 CFR 1.2105 might be appropriate or necessary in light of the passage of time since the 2003 filing of the original Auction 83 Forms 175, the rule revisions in 2015, and the business changes that applicants may have undergone. The Bureaus noted that some Auction 83 applicants and their pending applications might not be in compliance with the current 47 CFR 1.2105 provisions regarding joint bidding agreements and auction-related communications. No comment was filed on this issue in response to the Auction 83 Comment Public Notice. No party has filed notice of any potential violation of the provisions of 47 CFR 1.2105(c) with respect to prohibited bidding agreements or communications. Consequently, the Bureaus find no cause to waive the relevant rules. c. Section 1.2105(c) Certification 13. By electronically submitting its Form 175, each applicant in Auction 83 certified its compliance with 47 CFR 1.2105(c) and 73.5002(d). However, the mere filing of a certifying statement as part of an application will not outweigh specific evidence that a prohibited communication has occurred, nor will it preclude the initiation of an investigation when warranted. Any applicant found to have violated these communication prohibitions may be subject to sanctions. E:\FR\FM\27APR1.SGM 27APR1 18444 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations d. Reporting Requirements 14. Section 1.2105(c)(4) requires that any applicant that makes or receives a communication that appears to violate 47 CFR 1.2105(c) must report such communication in writing to the Commission immediately, and in no case later than five business days after the communication occurs. Each applicant’s obligation to report any such communication continues beyond the five-day period after the communication is made, even if the report is not made within the five-day period. jstallworth on DSKBBY8HB2PROD with RULES e. Procedures for Reporting Prohibited Communications 15. Section 1.2105(c) requires parties to file only a single report concerning a prohibited communication and to file that report with Commission personnel expressly charged with administering the Commission’s auctions. Any reports required by 47 CFR 1.2105(c) must be filed consistent with the instructions set forth in the Auction 83 Procedures Public Notice. For Auction 83, such reports must be filed with the Chief of the Auctions and Spectrum Access Division, Wireless Telecommunications Bureau, by the most expeditious means available. Any such report should be submitted by email to Margaret W. Wiener at the following email address: auction83@fcc.gov. If you choose instead to submit a report in hard copy, any such report must be delivered only to: Margaret W. Wiener, Chief, Auctions and Spectrum Access Division, Wireless Telecommunications Bureau, Federal Communications Commission, 445 12th Street SW, Room 6C217, Washington, DC 20554. 16. Section 1.2105(c) is designed to minimize the risk of inadvertent dissemination of information in such reports. A party reporting any communication pursuant to 47 CFR 1.65, 1.2105(a)(2), or 1.2105(c)(4) must take care to ensure that any report of a prohibited communication does not itself give rise to a violation of 47 CFR 1.2105(c). For example, a party’s report of a prohibited communication could violate the rule by communicating prohibited information to other applicants through the use of Commission filing procedures that would allow such materials to be made available for public inspection, such as, a submission to the Commission’s Office of the Secretary or to the Commission’s Electronic Comment Filing System. A party seeking to report such a prohibited communication should consider submitting its report with a request that the report or portions of the submission be withheld from public inspection by VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 following the procedures specified in 47 CFR 0.459. Such parties also are encouraged to coordinate with the Auctions and Spectrum Access Division staff about the procedures for submitting such reports. f. Winning Bidders Must Disclose Terms of Agreements 17. Each applicant that is a winning bidder will be required to disclose in its long-form application the specific terms, conditions, and parties involved in any agreement it has entered into. This applies to any bidding consortia, joint venture, partnership, or agreement, understanding, or other arrangement entered into relating to the competitive bidding process, including any agreement relating to the post-auction market structure. Failure to comply with the Commission’s rules can result in enforcement action. g. Antitrust Laws 18. Regardless of compliance with the Commission’s rules, applicants remain subject to the antitrust laws, which are designed to prevent anticompetitive behavior in the marketplace. Compliance with the disclosure requirements of 47 CFR 1.2105(c) will not insulate a party from enforcement of the antitrust laws. 19. To the extent the Commission becomes aware of specific allegations that suggest that violations of the federal antitrust laws may have occurred, the Commission may refer such allegations to the U.S. Department of Justice for investigation. If an applicant is found to have violated the antitrust laws or the Commission’s rules in connection with its participation in the competitive bidding process, the applicant may be subject to forfeiture of its upfront payment, down payment, or full bid amount and may be prohibited from participating in future auctions, among other sanctions. 3. Due Diligence 20. The Bureaus remind each potential bidder that it is solely responsible for investigating and evaluating all technical and marketplace factors that may have a bearing on the value of the construction permits for commercial FM translators that it is seeking in this auction. The FCC makes no representations or warranties about the use of this spectrum or these construction permits for particular services. Applicants should be aware that an FCC auction represents an opportunity to become an FCC permittee in a broadcast service, subject to certain conditions and regulations. An FCC auction does not constitute an PO 00000 Frm 00046 Fmt 4700 Sfmt 4700 endorsement by the FCC of any particular service, technology, or product, nor does an FCC construction permit or license constitute a guarantee of business success. 21. An applicant should perform its due diligence research and analysis before proceeding, as it would with any new business venture. In particular, the Bureaus strongly encourage each potential bidder to perform technical analyses and/or refresh its previous analyses to assure itself that, should it become a winning bidder for any Auction 83 construction permit, it will be able to build and operate facilities that will fully comply with all applicable technical and legal requirements. The Bureaus strongly encourage each applicant to inspect any prospective transmitter sites located in, or near, the service area for which it plans to bid, confirm the availability of such sites, and to familiarize itself with the Commission’s rules regarding the National Environmental Policy Act. 22. The Bureaus strongly encourage each applicant to continue to conduct its own research throughout Auction 83 in order to determine the existence of pending or future administrative or judicial proceedings—including applications, applications for modification, rulemaking proceedings, requests for special temporary authority, waiver requests, petitions to deny, petitions for reconsideration, informal objections, and applications for review—may relate to particular applicants or the licenses available in Auction 83 (or the terms and conditions thereof, including all applicable Commission rules and regulations) and might affect an applicant’s decision on continued participation in the auction. Each applicant is responsible for assessing the likelihood of the various possible outcomes and for considering the potential impact on construction permits available in this auction. The due diligence considerations mentioned in the Auction 83 Procedures Public Notice do not comprise an exhaustive list of steps that should be undertaken prior to participating in this auction. As always, the burden is on the potential bidder to determine how much research to undertake, depending upon specific facts and circumstances related to its interests. 23. Applicants are solely responsible for identifying associated risks and for investigating and evaluating the degree to which such matters may affect their ability to bid on, otherwise acquire, or make use of the construction permits available in Auction 83. Each potential bidder is responsible for undertaking research to ensure that any permits won E:\FR\FM\27APR1.SGM 27APR1 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations in Auction 83 will be suitable for its business plans and needs. Each potential bidder must undertake its own assessment of the relevance and importance of information gathered as part of its due diligence efforts. 24. The Commission makes no representations or guarantees regarding the accuracy or completeness of information in its databases or any third party databases, including, for example, court docketing systems. To the extent the Commission’s databases may not include all information deemed necessary or desirable by an applicant, it must obtain or verify such information from independent sources or assume the risk of any incompleteness or inaccuracy in said databases. Furthermore, the Commission makes no representations or guarantees regarding the accuracy or completeness of information that has been provided by incumbent licensees and incorporated into its databases. 4. Use of Auction Systems 25. The Commission makes no warranty whatsoever with respect to the FCC auction systems. In no event shall the Commission, or any of its officers, employees, or agents, be liable for any damages whatsoever (including, but not limited to, loss of business profits, business interruption, loss of business information, or any other loss) arising out of or relating to the existence, furnishing, functioning, or use of the FCC auction systems that are accessible to qualified bidders in connection with this auction. Moreover, no obligation or liability will arise out of the Commission’s technical, programming, or other advice or service provided in connection with the FCC auction systems. D. Auction Specifics jstallworth on DSKBBY8HB2PROD with RULES 1. Bidding Methodology and Options 26. The Commission will conduct this auction over the internet using the FCC auction bidding system. Qualified bidders are permitted to bid electronically via the internet or by telephone using the telephonic bidding option. All telephone calls are recorded. 27. The initial schedule for bidding rounds will be announced by public notice at least one week before bidding in the auction starts. Moreover, unless otherwise announced, bidding on all construction permits will be conducted on each business day until bidding has stopped on all construction permits. 2. Pre-Auction Dates and Deadlines 28. The following dates and deadlines apply: VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 Auction Tutorial Available (via internet)—April 12, 2018 Short-Form Application (FCC Form 175) Remedial Filing Window Opened— April 16, 2018; 12:00 noon ET Short-Form Application (FCC Form 175) Remedial Filing Window Deadline— April 26, 2018; prior to 6:00 p.m. ET Upfront Payments (via wire transfer)— May 31, 2018; 6:00 p.m. ET Mock Auction—June 15, 2018 Auction Begins—June 21, 2018 3. Requirements for Participation 29. A party whose application is listed on Attachment A of the Auction 83 Procedures Public Notice may participate in the bidding in Auction 83 only if the applicant: • During the remedial filing window, provides sufficient information in the data fields of its electronic FCC Form 175 that it is able to certify and submit its auction application. Instructions for submitting an updated application are provided in the Auction 83 Procedures Public Notice. Æ In the event that the application is found to be incomplete after Commission staff review, an applicant will have a limited opportunity to address deficiencies in its application during a resubmission window, the dates for which will be announced in a future public notice. Æ If an applicant fails to provide sufficient information in the data fields of its electronic Form 175 the applicant therefore will not able to certify and submit its Form 175. If an Auction 83 applicant fails to certify and submit its Form 175 during the remedial window, that auction application will be designated as Incomplete-Disqualified. If an application is designated as Incomplete-Disqualified, that applicant will have no further opportunity to update its application, and the applicant will be disqualified from further participation in Auction 83. • Submits a sufficient upfront payment and an FCC Remittance Advice Form (FCC Form 159) by 6:00 p.m. ET on May 31, 2018, following the procedures and instructions set forth in Attachment C to the Auction 83 Procedures Public Notice; and • Complies with all provisions outlined in the Auction 83 Procedures Public Notice and applicable Commission rules. PO 00000 Frm 00047 Fmt 4700 Sfmt 4700 18445 II. Short-Form Application (FCC Form 175) Requirements A. Updating Applicant’s FCC Form 175 in Auction Application System— Remedial Filing Window Closes April 26, 2018 30. To qualify to participate in bidding, each Auction 83 applicant must provide sufficient information in the data fields of its electronic FCC Form 175 that it is able to certify and submit its auction application, in compliance with the Commission’s competitive bidding rules and the procedures and deadlines set forth in the Auction 83 Procedures Public Notice. Attachment B of the Auction 83 Procedures Public Notice contains detailed instructions for updating and verifying short-form applications. 31. Applicants must make necessary updates and certifications, and must verify short-form application information during a remedial filing window. The window opened at noon ET on April 16, 2018, and will close at 6:00 p.m. ET on April 26, 2018. 32. Each Auction 83 applicant is required to review its FCC Form 175 in the auction application system to insure that all relevant information is provided and that the information contained in the application is accurate and complete at this time. Each applicant must provide updates or revisions of previously submitted information, consistent with the requirements of 47 CFR 1.65. The auction application system will permit an applicant to navigate to the certify and submit screen in its Form 175 only after providing required disclosures of information in specified data entry fields. An applicant may also be required to upload an attachment to its Form 175 application in some circumstances. Each applicant is advised to begin its application updating process early during the remedial filing window so that it can certify and submit its FCC Form 175 prior to the close of the remedial filing window. Each Auction 83 applicant must certify and submit any updates prior to 6:00 p.m. ET on April 26, 2018. B. Minor Modifications to Short-Form Applications 33. Notwithstanding the relief from 47 CFR 1.2105(b)’s major change restriction for past transactions as discussed in the Auction 83 Procedures Public Notice, at this stage in the application process, an Auction 83 applicant is permitted to make only minor changes to its application. Permissible minor changes include, among other things, deletion and addition of authorized bidders (to a maximum of three) and revision of E:\FR\FM\27APR1.SGM 27APR1 18446 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations addresses and telephone numbers of the applicants and their contact persons. If revised or updated information constitutes a ‘‘major amendment,’’ as defined by 47 CFR 1.2105, such changes may result in the dismissal of the application. In this context, major amendments include a change of technical proposals, change control of the applicant, claim eligibility for a higher percentage of bidding credit, or change the identification of the application’s proposed facilities as noncommercial educational after the initial application filing deadline. jstallworth on DSKBBY8HB2PROD with RULES C. Maintaining Current Information in Short-Form Applications 34. As required by 47 CFR 1.65 and 1.2105(b), an applicant must maintain the accuracy and completeness of all information furnished in its pending application and in competitive bidding proceedings to furnish additional or corrected information to the Commission within five days of a significant occurrence, or to amend a short form application no more than five days after the applicant becomes aware of the need for the amendment. Changes that cause a loss of or reduction in the percentage of bidding credit specified in the application must be reported immediately, and no later than five business days after the change occurs. D. Submission of Updates to Short-Form Applications 35. Updates to short-form applications should be made electronically using the FCC auction application system whenever possible. For the change to be submitted and considered by the Commission, be sure to click on the SUBMIT button. 36. An applicant can use the auction application system outside of the remedial and resubmission filing windows to make administrative and certain other changes to its short-form application. After the resubmission filing window has closed, the system will permit applicants to modify information in most of the application’s data fields. 37. If changes need to be made outside of these windows, the applicant must submit a letter briefly summarizing the changes and subsequently update its short-form application in the auction application system. Any letter describing changes to an applicant’s short-form application must be addressed to Margaret W. Wiener, Chief, Auctions and Spectrum Access Division, Wireless Telecommunications Bureau, and submitted by email to auction83@ fcc.gov. The email summarizing the VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 changes must include a subject or caption referring to Auction 83 and the name of the applicant, for example, ‘‘Re: Changes to Auction 83 Short-Form Application of ABC Corp.’’ The Bureaus request that parties format any attachments to email as Adobe® Acrobat® (pdf) or Microsoft® Word documents. Questions about short-form application amendments should be directed to the Auctions and Spectrum Access Division at (202) 418–0660. 38. Applicants must not submit application-specific material through the Commission’s Electronic Comment Filing System, which was used for submitting comments regarding procedures for conducting Auction 83. 39. Applicants should note that submission of a short-form application (and any amendments thereto) constitutes a representation by the person certifying the application that he or she is an authorized representative of the applicant with authority to bind the applicant, that he or she has read the form’s instructions and certifications, and that the contents of the application, its certifications, and any attachments are true and correct. Applicants are reminded that submission of a false certification to the Commission is a serious matter that may result in severe penalties, including monetary forfeitures, license revocations, exclusion from participation in future auctions, and/or criminal prosecution. E. Electronic Review of Short-Form Applications 40. During the remedial filing window, an applicant listed in Attachment A of the Auction 83 Procedures Public Notice must review and update its electronic FCC Form 175 in the auction application system. There is no fee to access this system. See Attachment B of the Auction 83 Procedures Public Notice for details on accessing the auction application system. During the remedial filing window, each Auction 83 applicant listed in Attachment A must, at a minimum, certify and submit its Form 175. F. Provisions Regarding Former and Current Defaulters 41. Pursuant to the rules governing competitive bidding, each applicant must make certifications regarding whether it is a current or former defaulter or delinquent. A current defaulter or delinquent is not eligible to participate in Auction 83. An applicant is considered a current defaulter or a current delinquent when it, any of its affiliates (as defined by 47 CFR 1.2110), any of its controlling interests, or any of PO 00000 Frm 00048 Fmt 4700 Sfmt 4700 the affiliates of its controlling interests, is in default on any payment for any Commission construction permit or license (including a down payment) or is delinquent on any non-tax debt owed to any Federal agency as of the filing deadline for FCC Forms 175 in that auction. Accordingly, each applicant must certify under penalty of perjury on its Form 175 that the applicant, any of its affiliates, any of its controlling interests, and any of the affiliates of its controlling interests are not in default on any payment for a Commission construction permit or license (including a down payment) and are not delinquent on any non-tax debt owed to any Federal agency. For purposes of making this certification, the term controlling interest is defined in 47 CFR 1.2105(a)(4)(i). If an Auction 83 applicant has an outstanding non-tax debt to the Commission or any other federal agency, including any debts that results in a listing of the applicant on the Commission’s Red Light Display System, as of the closing deadline of the remedial filing window, the applicant will be unable to make the required certification that it is not currently in default; if so, such applicant will be not eligible to participate in Auction 83 bidding. 42. An Auction 83 applicant is considered a former defaulter or a former delinquent when the applicant or any of its controlling interests (as defined by 47 CFR 1.2105(a)(4)(i)) has defaulted on any Commission construction permit or license (including a down payment) or has been delinquent on any non-tax debt owed to any Federal agency, but has since remedied all such defaults and cured all of the outstanding non-tax delinquencies prior to the remedial filing deadline in this auction. A former defaulter or a former delinquent may participate further in Auction 83 so long as it is otherwise qualified, and that applicant makes an upfront payment that is 50 percent more than would otherwise be required. An applicant must certify under penalty of perjury whether it, along with any of its controlling interests, has ever been in default on any payment for a Commission construction permit or license (including a down payment) or has ever been delinquent on any non-tax debt owed to any Federal agency, subject to the exclusions described in the Auction 83 Procedures Public Notice. 43. In 2015, the Commission narrowed the scope of the individuals and entities to be considered a former defaulter or a former delinquent. For purposes of the certification under 47 E:\FR\FM\27APR1.SGM 27APR1 jstallworth on DSKBBY8HB2PROD with RULES Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations CFR 1.2105(a)(2)(xii), the applicant may exclude from consideration any cured default on a Commission construction permit or license or delinquency on a non-tax debt owed to a Federal agency for which any of the following criteria are met: (1) The notice of the final payment deadline or delinquency was received more than seven years before the FCC Form 175 filing deadline; (2) the default or delinquency amounted to less than $100,000; (3) the default or delinquency was paid within six months after receiving the notice of the final payment deadline or delinquency; or (4) the default or delinquency was the subject of a legal or arbitration proceeding and was cured upon resolution of the proceeding. 44. Applicants are encouraged to review previous guidance provided by the Wireless Telecommunications Bureau on default and delinquency disclosure requirements in the context of the auction short-form application process. For example, it has been determined that, to the extent that Commission rules permit late payment of regulatory or application fees accompanied by late fees, such debts will become delinquent for purposes of 47 CFR 1.2105(a) and 1.2106(a) only after the expiration of a final payment deadline. Therefore, with respect to regulatory or application fees, the provisions of 47 CFR 1.2105(a) and 1.2106(a) regarding default and delinquency in connection with competitive bidding are limited to circumstances in which the relevant party has not complied with a final Commission payment deadline. Parties are also encouraged to consult with the Wireless Telecommunications Bureau’s Auctions and Spectrum Access Division staff if they have any questions about default and delinquency disclosure requirements. 45. The Commission considers outstanding debts owed to the United States Government, in any amount, to be a serious matter. The Commission adopted rules, including a provision referred to as the red light rule, that implement its obligations under the Debt Collection Improvement Act of 1996, but the Commission’s adoption of the red light rule does not alter the applicability of any of its competitive bidding rules, including the provisions and certifications of 47 CFR 1.2105 and 1.2106, with regard to current and former defaults or delinquencies. 46. The Bureaus remind each applicant, however, that the Commission’s Red Light Display System, which provides information regarding debts currently owed to the Commission, may not be determinative VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 of an auction applicant’s ability to comply with the default and delinquency disclosure requirements of 47 CFR 1.2105. Thus, while the red light rule ultimately may prevent the processing of long-form applications by auction winners, an auction applicant’s lack of current red light status is not necessarily determinative of its eligibility to participate in an auction or of its upfront payment obligation. 47. Moreover, applicants in Auction 83 should note that any long-form applications filed after the close of bidding will be reviewed for compliance with the Commission’s red light rule, and such review may result in the dismissal of a winning bidder’s longform application. The Bureaus strongly encourage each applicant to carefully review all records and other available federal agency databases and information sources to determine whether the applicant, or any of its affiliates (as defined in 47 CFR 1.2110), or any of its controlling interests, or any of the affiliates of its controlling interests, owes or was ever delinquent in the payment of non-tax debt owed to any federal agency. III. Pre-Auction Procedures A. Online Tutorial on Bidding Process— Available April 12, 2018 48. An educational auction tutorial became available on the Auction 83 web page on Thursday, April 12, 2018. The tutorial will remain available and accessible anytime for reference in connection with the procedures outlined in the Auction 83 Procedures Public Notice. B. Revised Short-Form Applications— Due Prior to 6:00 p.m. ET on April 26, 2018 49. During the remedial filing window, each Auction 83 applicant listed in Attachment A must, at a minimum, provide sufficient information in the data fields of the form such that it is able to certify and submit its Form 175 via the FCC’s auction application system. If any information in its Form 175 or its attachments is inaccurate or otherwise needs to be updated, any such changes must be reported in its Form 175 during the upcoming remedial filing window. Attachment B of the Auction 83 Procedures Public Notice contains instructions for updating short-form applications in the remedial window. Updates to the short-form application must be submitted prior to 6:00 p.m. ET on April 26, 2018. No application fee is required. PO 00000 Frm 00049 Fmt 4700 Sfmt 4700 18447 50. Previously submitted short-form applications may be viewed and updated at any time from noon ET on April 16, 2018, until the filing window closes at 6:00 p.m. ET on April 26, 2018. Applicants are strongly encouraged to file early and are responsible for allowing adequate time for filing their applications. Applications can be updated or amended multiple times until the remedial filing deadline at 6:00 p.m. ET on April 26, 2018. 51. An applicant must click on the SUBMIT button on the ‘‘Certify & Submit’’ screen to successfully submit its FCC Form 175 and any modifications; otherwise the application or changes to the application will not be received or reviewed by Commission staff. C. Application Processing and Corrections of Deficiencies 52. The Commission will process all applications for permits listed in Attachment A of the Auction 83 Procedures Public Notice that are certified and submitted during the remedial filing window to determine which are complete, incomplete, or incomplete-disqualified. Subsequent to the remedial filing window the Bureaus will issue a public notice identifying the status of each application. An applicant whose application is incomplete will have a limited opportunity to address deficiencies during a resubmission window, the dates for which will be announced in a future public notice. If a listed Auction 83 applicant does not certify and submit its Form 175 auction application during the remedial filing window, its application will be designated as incomplete-disqualified, and the applicant will be disqualified from further participation in Auction 83. 53. Commission staff will communicate only with an applicant’s contact person or certifying official, as designated on the short-form application, unless the applicant’s certifying official or contact person notifies the Commission in writing that applicant’s counsel or other representative is authorized to speak on its behalf. Authorizations may be sent by email to auction83@fcc.gov. D. Upfront Payments—Due May 31, 2018 54. In order to be eligible to bid in this auction, a sufficient upfront payment and a complete and accurate FCC Remittance Advice Form (FCC Form 159) must be submitted prior to 6:00 p.m. ET on May 31, 2018, following the procedures outlined below and the instructions in Attachment C to the E:\FR\FM\27APR1.SGM 27APR1 18448 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations Auction 83 Procedures Public Notice. After completing its short-form application, an applicant will have access to an electronic version of the FCC Form 159. This Form 159 can be printed and the completed form must be sent by fax to the FCC at (202) 418– 2843. jstallworth on DSKBBY8HB2PROD with RULES 1. Making Upfront Payments by Wire Transfer 55. Wire transfer payments must be received before 6:00 p.m. ET on May 31, 2018. No other payment method is acceptable. Specifically, the Commission will not accept checks, credit cards or automated clearing house payments. To avoid untimely payments, applicants should discuss arrangements (including bank closing schedules) with their bankers several days before they plan to make the wire transfer, and allow sufficient time for the transfer to be initiated and completed before the deadline. The BNF Account Number is specific to the upfront payments for this auction. Do not use BNF Account Number from previous auctions. The following information will be needed: ABA Routing Number: 021000021 Receiving Bank: JP Morgan Chase Beneficiary: FCC/Account #267516869 Originating Bank Information (OBI Field): (Skip one space between each information item) ‘‘AUCTIONPAY’’ Applicant FCC Registration Number (FRN): (same as FCC Form 159, block 21) Payment Type Code: (same as FCC Form 159, block 24A: ‘‘U083’’) FCC Code 1: (same as FCC Form 159, block 28A: ‘‘83’’) Payer Name: (same as FCC Form 159, block 2) Payer FCC Registration Number (FRN): (If different from applicant FRN): # 56. At least one hour before placing the order for the wire transfer (but on the same business day), applicants must fax a completed FCC Form 159 (Revised 2/03) to the FCC at (202) 418–2843. On the fax cover sheet, write ‘‘Wire Transfer—Auction Payment for Auction 83.’’ In order to meet the upfront payment deadline, an applicant’s payment must be credited to the Commission’s account for Auction 83 before the deadline. 57. Each applicant is responsible for ensuring timely submission of its upfront payment and for timely filing of an accurate and complete FCC Remittance Advice Form (FCC Form 159). An applicant should coordinate with its financial institution well ahead of the due date regarding its wire transfer. The Commission repeatedly has cautioned auction participants VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 about the importance of planning ahead to prepare for unforeseen last-minute difficulties in making payments by wire transfer. Each applicant also is responsible for obtaining confirmation from its financial institution that its wire transfer to JP Morgan Chase was successful and from Commission staff that its upfront payment was timely received and that it was deposited into the proper account. To receive confirmation from Commission staff, contact Gail Glasser of the Office of Managing Director’s Revenue & Receivables Operations Group/Auctions at (202) 418–0578, or alternatively, Theresa Meeks at (202) 418–2945. 58. All upfront payments must be made in U.S. dollars. All upfront payments must be made by wire transfer. Upfront payments for Auction 83 go to an account number different from the accounts used in previous FCC auctions. Failure to deliver a sufficient upfront payment as instructed in the Auction 83 Procedures Public Notice by the deadline on May 31, 2018 will result in dismissal of the short-form application and disqualification from further participation in the auction. 2. FCC Form 159 59. An accurate and complete FCC Remittance Advice Form (FCC Form 159, Revised 2/03) must be faxed to the FCC at (202) 418–2843 to accompany each upfront payment. Proper completion of this form is critical to ensuring correct crediting of upfront payments. Detailed instructions for completion of FCC Form 159 are included in Attachment C. An electronic pre-filled version of the FCC Form 159 is available after submitting the FCC Form 175. Payers using the prefilled FCC Form 159 are responsible for ensuring that all of the information on the form, including payment amounts, is accurate. 3. Upfront Payments and Bidding Eligibility 60. Applicants must make upfront payments sufficient to obtain bidding eligibility on the construction permits on which they will bid. The Bureaus proposed in the Auction 83 Comment Public Notice that the amount of the upfront payment would determine a bidder’s initial bidding eligibility, the maximum number of bidding units on which a bidder may place bids in any single round. The Bureaus received no comment on the proposal that the upfront payment amount would determine a bidder’s initial bidding eligibility, and this proposal is adopted. 61. Under the Bureaus’ proposal, in order to bid on a particular construction PO 00000 Frm 00050 Fmt 4700 Sfmt 4700 permit, otherwise qualified bidders that are designated in Attachment A of the Auction 83 Procedures Public Notice for that construction permit must have a current eligibility level that meets or exceeds the number of bidding units assigned to that construction permit. At a minimum, therefore, an applicant’s total upfront payment must be enough to establish eligibility to bid on at least one of the construction permits designated for that applicant in Attachment A of the Auction 83 Procedures Public Notice, or else the applicant will not be eligible to participate in the auction. An applicant does not have to make an upfront payment to cover all construction permits designated for that applicant in Attachment A of the Auction 83 Procedures Public Notice, but only enough to cover the maximum number of bidding units that are associated with construction permits on which they wish to place bids and hold provisionally winning bids in any given round. (A provisionally winning bid is a bid that would become a final winning bid if the auction were to close after the given round.) The total upfront payment does not affect the total dollar amount the bidder may bid on any given construction permit. 62. In the Auction 83 Comment Public Notice, the Bureaus proposed an upfront payment for each construction permit, taking into account various factors related to the efficiency of the auction process and the potential value of similar spectrum, and sought comment on this proposal. The Bureaus received no comment on the specified upfront payment amounts for each construction permit in Auction 83, and the proposed upfront payment amounts are adopted. The specific upfront payment amounts and bidding units for each construction permit are set forth in Attachment A of the Auction 83 Procedures Public Notice. 63. In calculating its upfront payment amount, an applicant should determine the maximum number of bidding units on which it may wish to be active (bid on or hold provisionally winning bids on) in any single round, and submit an upfront payment amount covering that number of bidding units. In order to make this calculation, an applicant should add together the bidding units for all construction permits on which it seeks to be active in any given round. Applicants should check their calculations carefully, as there is no provision for increasing a bidder’s eligibility after the upfront payment deadline. A qualified bidder’s maximum eligibility will not exceed the sum of the bidding units associated with the total E:\FR\FM\27APR1.SGM 27APR1 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations jstallworth on DSKBBY8HB2PROD with RULES number of construction permits identified for that applicant in Attachment A of the Auction 83 Procedures Public Notice. 64. Applicants that are former defaulters, as described in the Auction 83 Procedures Public Notice, must pay upfront payments 50 percent greater than non-former defaulters. For this classification as a former defaulter or a former delinquent, defaults and delinquencies of the applicant itself and its controlling interests are included. For this purpose, the term controlling interest is defined in 47 CFR 1.2105(a)(4)(i). If a former defaulter fails to submit a sufficient upfront payment to establish eligibility to bid on at least one of the construction permits designated for that applicant in Attachment A of the Auction 83 Procedures Public Notice, that applicant will not be eligible to participate further in Auction 83. This applicant will retain its status as an applicant in Auction 83, and will remain subject to 47 CFR 1.2105(c) and 73.5002(d). 65. If an applicant is a former defaulter, it must calculate its upfront payment for all of its identified construction permits by multiplying the number of bidding units on which it wishes to be active by 1.5. In order to calculate the number of bidding units to assign to former defaulters, the Commission will divide the upfront payment received by 1.5 and round the result up to the nearest bidding unit. E. Auction Registration 66. At least one week before the beginning of bidding in the auction, the Bureaus will issue a public notice announcing all qualified bidders for the auction. Qualified bidders are those applicants with submitted FCC Form 175 applications that are deemed timely filed, accurate, and substantially complete, provided that such applicants have timely submitted an upfront payment that is sufficient to qualify them to bid. 67. All qualified bidders are automatically registered for the auction. Registration materials will be distributed prior to the auction by overnight mail. The mailing will be sent only to the contact person at the contact address listed in the FCC Form 175 and will include the SecurID® tokens that will be required to place bids, the web address and instructions for accessing and logging in to the auction bidding system, an FCC assigned username (User ID) for each authorized bidder, and the Auction Bidder Line phone number. 68. Qualified bidders that do not receive this registration mailing will not VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 be able to submit bids. Therefore, if this mailing is not received by noon on Thursday, June 14, 2018, the contact, certifier or authorized bidder listed on that applicant’s Form 175 needs to call the Auctions Hotline at (717) 338–2868. Receipt of this registration mailing is critical to participating in the auction, and each applicant is responsible for ensuring it has received all of the registration material. 69. In the event that SecurID® tokens are lost or damaged, only a person who has been designated as an authorized bidder, the contact person, or the certifying official on the applicant’s short-form application may request replacements. To request replacement of these items, call Technical Support at (877) 480–3201, option nine; (202) 414– 1250; or (202) 414–1255 (TTY). F. Remote Electronic Bidding 70. The Commission will conduct this auction over the internet, and telephonic bidding will be available as well. Only qualified bidders are permitted to bid. Each applicant should indicate its bidding preference, electronic or telephonic, on its FCC Form 175. In either case, each authorized bidder must have its own SecurID® token, which the Commission will provide at no charge. Each applicant with one authorized bidder will be issued two SecurID® tokens, while applicants with two or three authorized bidders will be issued three tokens. For security purposes, the SecurID® tokens, bidding system web address, FCC assigned username, and the telephonic bidding telephone number are only mailed to the contact person at the contact address listed on the FCC Form 175. Each SecurID® token is tailored to a specific auction. SecurID® tokens issued for other auctions or obtained from a source other than the FCC will not work for Auction 83. G. Mock Auction—June 19, 2018 71. All qualified bidders will be eligible to participate in a mock auction on Tuesday, June 19, 2018. The mock auction will enable bidders to become familiar with the FCC auction bidding system prior to the auction. The Bureaus strongly recommend that all bidders participate in the mock auction. Details will be announced by public notice. IV. Auction 72. The first round of bidding for Auction 83 will begin on Thursday, June 21, 2018. The initial bidding schedule will be announced in a public notice listing the qualified bidders, PO 00000 Frm 00051 Fmt 4700 Sfmt 4700 18449 which is released at least one week before the start of the auction. A. Auction Structure 1. Simultaneous Multiple Round Auction 73. In the Auction 83 Comment Public Notice, the Bureaus proposed to auction all construction permits listed in Attachment A of the Auction 83 Procedures Public Notice in a single auction using the Commission’s standard simultaneous multiple-round auction format. This type of auction offers every construction permit for bid at the same time and consists of successive bidding rounds in which qualified bidders may place bids on individual construction permits. The Bureaus received no comment on this proposal, and this proposal is adopted. Unless otherwise announced, bids will be accepted on all construction permits in each round of the auction until bidding stops on every construction permit. 2. Eligibility and Activity Rules 74. As discussed in the Auction 83 Procedures Public Notice, the Bureaus will use upfront payments to determine initial (maximum) bidding eligibility (as measured in bidding units) for Auction 83. The amount of the upfront payment submitted by a bidder determines initial bidding eligibility, the maximum number of bidding units on which a bidder may be active. As noted earlier, each construction permit is assigned a specific number of bidding units as listed in Attachment A of the Auction 83 Procedures Public Notice. Bidding units assigned to each construction permit do not change as prices rise during the auction. Upfront payments are not attributed to specific construction permits. Rather, a bidder may place bids on any of the construction permits for which it is designated an applicant in Attachment A of the Auction 83 Procedures Public Notice as long as the total number of bidding units associated with those construction permits does not exceed its current eligibility. Eligibility cannot be increased during the auction; it can only remain the same or decrease. Thus, in calculating its upfront payment amount and therefore its initial bidding eligibility, an applicant must determine the maximum number of bidding units on which it may wish to bid or hold provisionally winning bids in any single round, and submit an upfront payment amount covering that total number of bidding units. At a minimum, an applicant’s upfront payment must cover the bidding units for at least one of the E:\FR\FM\27APR1.SGM 27APR1 18450 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations jstallworth on DSKBBY8HB2PROD with RULES construction permits for which it is designated an applicant in Attachment A of the Auction 83 Procedures Public Notice. The total upfront payment does not affect the total dollar amount a bidder may bid on any given construction permit. The Bureaus received no comments on the bidding eligibility proposals, and these proposals are adopted. 75. In order to ensure that an auction closes within a reasonable period of time, an activity rule requires bidders to bid actively throughout the auction, rather than wait until late in the auction before participating. Bidders are required to be active on a specific percentage of their current bidding eligibility during each round of the auction. 76. A bidder’s activity level in a round is the sum of the bidding units associated with construction permits covered by the bidder’s new bids in the current round and provisionally winning bids from the previous round. A provisionally winning bid is a bid that would become a final winning bid if the auction were to close after the given round. 77. The Bureaus received no comment on the activity rule proposal. Therefore, the Bureaus adopt the following activity requirement: A bidder is required to be active on 100 percent of its current eligibility during each round of the auction. That is, a bidder must either place a bid or be a provisionally winning bidder during each round of the auction. Failure to maintain the requisite activity level will result in the use of an activity rule waiver, if any remain, or a reduction in the bidder’s eligibility, possibly curtailing or eliminating the bidder’s ability to place additional bids in the auction. 3. Activity Rule Waivers 78. In the Auction 83 Comment Public Notice, the Bureaus proposed that each bidder in the auction be provided with three activity rule waivers. The Bureaus received no comment on this issue. 79. Therefore, the Bureaus adopt this proposal to provide bidders with three activity rule waivers. Bidders may use an activity rule waiver in any round during the course of the auction. Use of an activity rule waiver preserves the bidder’s eligibility despite its activity in the current round being below the required minimum activity level. An activity rule waiver applies to an entire round of bidding, not to a particular construction permit. Activity rule waivers can be either proactive or automatic. Activity rule waivers are principally a mechanism for a bidder to avoid the loss of bidding eligibility in VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 the event that exigent circumstances prevent it from bidding in a particular round. 80. The FCC auction bidding system will assume that a bidder that does not meet the activity requirement would prefer to use an activity rule waiver (if available) rather than lose bidding eligibility. Therefore, the system will automatically apply a waiver at the end of any bidding round in which a bidder’s activity level is below the minimum required unless (1) the bidder has no activity rule waivers remaining or (2) the bidder overrides the automatic application of a waiver by reducing eligibility, thereby meeting the activity requirement. If a bidder has no waivers remaining and does not satisfy the required activity level, the bidder’s current eligibility will be permanently reduced, possibly curtailing or eliminating the ability to place additional bids in the auction. 81. A bidder with insufficient activity may wish to reduce its bidding eligibility rather than use an activity rule waiver. If so, the bidder must affirmatively override the automatic waiver mechanism during the bidding round by using the reduce eligibility function in the FCC auction bidding system. In this case, the bidder’s eligibility would be permanently reduced to bring it into compliance with the activity rule described in the Auction 83 Procedures Public Notice. Reducing eligibility is an irreversible action; once eligibility has been reduced, a bidder cannot regain its lost bidding eligibility. 82. Also, a bidder may apply an activity rule waiver proactively as a means to keep the auction open without placing a bid. If a bidder proactively were to apply an activity rule waiver (using the proactive waiver function in the FCC auction bidding system) during a bidding round in which no bid is placed, the auction will remain open and the bidder’s eligibility will be preserved. An automatic waiver applied by the FCC auction bidding system in a round in which there is no new bid or no proactive waiver will not keep the auction open. 4. Auction Stopping Rule 83. For Auction 83, the Bureaus proposed to employ a simultaneous stopping rule approach, which means all construction permits remain available for bidding until bidding stops on every construction permit. Specifically, bidding will close on all construction permits after the first round in which no bidder submits any new bid or applies a proactive waiver. PO 00000 Frm 00052 Fmt 4700 Sfmt 4700 84. The Bureaus also sought comment on alternative versions of the simultaneous stopping rule for Auction 83. (1) The auction would close for all construction permits after the first round in which no bidder applies a waiver or places any new bid on a construction permit for which it is not the provisionally winning bidder. Thus, absent any other bidding activity, a bidder placing a new bid on a construction permit for which it is the provisionally winning bidder would not keep the auction open under this modified stopping procedure. (2) The auction would close for all construction permits after the first round in which no bidder applies a proactive waiver or places any new bid on a construction permit that already has a provisionally winning bid. Thus, absent any other bidding activity, a bidder placing a new bid on an FCC-held construction permit (a construction permit that does not have a provisionally winning bid) would not keep the auction open under this modified stopping procedure. (3) The auction would close using a modified version of the simultaneous stopping procedure that combines options (1) and (2). (4) The auction would close after a specified number of additional rounds (special stopping procedure) to be announced by the Bureaus. If the Bureaus invoke this special stopping procedure, they will accept bids in the specified final round(s), after which the auction will close. (5) The auction would remain open even if no bidder places any new bids or applies a waiver. In this event, the effect will be the same as if a bidder had applied a waiver. The activity rule will apply as usual, and a bidder with insufficient activity will either lose bidding eligibility or use a waiver. 85. The Bureaus proposed to exercise these options only in certain circumstances, for example, where the auction is proceeding unusually slowly or quickly, there is minimal overall bidding activity, or it appears likely that the auction will not close within a reasonable period of time or will close prematurely. Before exercising these options, the Bureaus are likely to attempt to change the pace of the auction. For example, the Bureaus may adjust the pace of bidding by changing the number of bidding rounds per day and/or the minimum acceptable bids. The Bureaus proposed to retain the discretion to exercise any of these options with or without prior announcement during the auction. The Bureaus received no comment on these proposals and adopt them for Auction 83. E:\FR\FM\27APR1.SGM 27APR1 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations 5. Auction Delay, Suspension, or Cancellation 86. The Bureaus received no comment on their proposals in the Auction 83 Comment Public Notice regarding auction delay, suspension, or cancellation, and adopt them. By public notice and/or by announcement through the FCC auction bidding system, the Bureaus may delay, suspend, or cancel bidding in the auction in the event of natural disaster, technical obstacle, administrative or weather necessity, evidence of an auction security breach or unlawful bidding activity, or for any other reason that affects the fair and efficient conduct of competitive bidding. In such cases, the Bureaus, in their sole discretion, may elect to resume the auction starting from the beginning of the current round or from some previous round, or cancel the auction in its entirety. Network interruption may cause the Bureaus to delay or suspend the auction. The Bureaus emphasize that they will exercise this authority solely at their discretion, and not as a substitute for situations in which bidders may wish to apply their activity rule waivers. B. Bidding Procedures jstallworth on DSKBBY8HB2PROD with RULES 1. Round Structure 87. The initial schedule of bidding rounds will be announced in the public notice listing the qualified bidders, which is released at least one week before the start of bidding in the auction. Each bidding round is followed by the release of round results. Multiple bidding rounds may be conducted each day. 88. In the Auction 83 Comment Public Notice, the Bureaus proposed to retain the discretion to change the bidding schedule in order to foster an auction pace that reasonably balances speed with the bidders’ need to study round results and adjust their bidding strategies. The Bureaus received no comment on these proposals, and adopt them for Auction 83. The Bureaus may change the amount of time for the bidding rounds, the amount of time between rounds, or the number of rounds per day, depending upon bidding activity and other factors. 2. Reserve Price and Minimum Opening Bids 89. A reserve price is an absolute minimum price below which a construction permit or license will not be sold in a specific auction. In the Auction 83 Comment Public Notice, the Bureaus did not propose to establish reserve prices for the construction permits listed in Attachment A. The VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 Bureaus did not receive comment on this proposal, and adopt it. 90. A minimum opening bid is the minimum bid price set at the beginning of the auction below which no bids are accepted. The Bureaus in the Auction 83 Comment Public Notice sought comment on specifically proposed minimum opening bid amounts for each construction permit listed in Attachment A to the Auction 83 Procedures Public Notice. Specifically, a minimum opening bid was proposed for each construction permit by taking into account various factors relating to the efficiency of the auction and the potential value of the spectrum, including the type of service and class of facility offered, market size, population covered by the proposed broadcast facility, industry cash flow data, and recent broadcast transactions. 91. The Bureaus received no comment on the proposed minimum opening bid amounts, and therefore the Bureaus adopt the minimum opening bid amounts proposed in the Auction 83 Comment Public Notice. The specific minimum opening bid amounts for each of the construction permits are again specified in Attachment A to the Auction 83 Procedures Public Notice. 3. Bid Amounts 92. In the Auction 83 Comment Public Notice, the Bureaus proposed that in each round, if the bidder has sufficient eligibility to place a bid on the particular construction permit, an eligible bidder will be able to place a bid on a given construction permit in any of up to nine different amounts. Under the proposal, the FCC auction bidding system interface will list the nine acceptable bid amounts for each construction permit. The Bureaus received no comment on this proposal; therefore, it is adopted. 93. For calculation of the nine acceptable bid amounts for each construction permit, the Bureaus did not receive any comment on a proposal to use 10 percent for a minimum acceptable bid increment percentage and to use 5 percent for an additional bid increment percentage. Therefore, the Bureaus will begin the auction with a minimum acceptable bid increment percentage of 10 percent and an additional bid increment percentage of 5 percent. 94. In Auction 83, the minimum acceptable bid amount for a construction permit will be equal to its minimum opening bid amount until there is a provisionally winning bid for the construction permit. After there is a provisionally winning bid for a construction permit, the minimum PO 00000 Frm 00053 Fmt 4700 Sfmt 4700 18451 acceptable bid amount will be calculated by multiplying the provisionally winning bid amount by one plus the minimum acceptable bid percentage, i.e., provisionally winning bid amount * 1.10, rounded under the Commission’s standard rounding procedures for auctions as described in the Auction 83 Procedures Public Notice. 95. In Auction 83, the FCC auction bidding system will calculate the eight additional bid amounts by multiplying the minimum acceptable bid amount by the additional bid increment percentage of 5 percent, and that result (rounded) is the additional increment amount. The first additional acceptable bid amount equals the minimum acceptable bid amount plus the additional increment amount. The second additional acceptable bid amount equals the minimum acceptable bid amount plus two times the additional increment amount; the third additional acceptable bid amount is the minimum acceptable bid amount plus three times the additional increment amount, etc. Because the additional bid increment percentage is 5 percent, the calculation of the additional increment amount is (minimum acceptable bid amount) * (0.05), rounded. The first additional acceptable bid amount equals (minimum acceptable bid amount) + (additional increment amount); the second additional acceptable bid amount equals (minimum acceptable bid amount) + (2 * (additional increment amount)); the third additional acceptable bid amount equals (minimum acceptable bid amount) + (3 * (additional increment amount)); etc. 96. The Bureaus proposed to retain the discretion to change the minimum acceptable bid amounts, the minimum acceptable bid percentage, the additional bid increment percentage, and the number of acceptable bid amounts if the Bureaus determine that circumstances so dictate. Further, the Bureaus proposed to retain the discretion to do so on a construction permit-by-construction permit basis. The Bureaus also proposed to retain the discretion to limit (a) the amount by which a minimum acceptable bid for a construction permit may increase compared with the corresponding provisionally winning bid, and (b) the amount by which an additional bid amount may increase compared with the immediately preceding acceptable bid amount. For example, the Bureaus could set a $1,000 limit on increases in minimum acceptable bid amounts over provisionally winning bids. Thus, if calculating a minimum acceptable bid using the minimum acceptable bid E:\FR\FM\27APR1.SGM 27APR1 18452 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations percentage results in a minimum acceptable bid amount that is $1,200 higher than the provisionally winning bid on a construction permit, the minimum acceptable bid amount would instead be capped at $1,000 above the provisionally winning bid. 97. The Bureaus did not receive any comment on their proposals to retain the discretion to change bid amounts as described in the Auction 83 Procedures Public Notice, if they determine that circumstances so dictate. The Bureaus adopt these proposals. If the Bureaus exercise this discretion, they will alert bidders by announcement in the FCC auction bidding system during the auction. jstallworth on DSKBBY8HB2PROD with RULES 4. Provisionally Winning Bids 98. The FCC auction bidding system at the end of each bidding round will determine a provisionally winning bid for each construction permit based on the highest bid amount received for that permit. A provisionally winning bid will remain the provisionally winning bid until there is a higher bid on the same construction permit at the close of a subsequent round. Provisionally winning bids at the end of the auction become the winning bids. 99. In the Auction 83 Comment Public Notice, the Bureaus proposed to use a pseudo-random number generator to select a single provisionally winning bid in the event of identical high bid amounts being submitted on a construction permit in a given round (i.e., tied bids). No comments were received on this proposal. Hence, the Bureaus adopt this tied bids proposal. 100. Accordingly, the FCC auction bidding system will assign a pseudorandom number to each bid upon submission. The tied bid with the highest pseudo-random number wins the tiebreaker, and becomes the provisionally winning bid. The remaining bidders, as well as the provisionally winning bidder, can submit higher bids in subsequent rounds. However, if the auction were to close with no other bids being placed, the winning bidder would be the one that placed the provisionally winning bid. If the construction permit receives any bids in a subsequent round, the provisionally winning bid again will be determined by the highest bid amount received for the construction permit. 101. A provisionally winning bid will be retained until there is a higher bid on the construction permit at the close of a subsequent round. As a reminder, provisionally winning bids count toward activity for purposes of the activity rule. VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 5. Bidding 102. All bidding will take place remotely either through the FCC auction bidding system or by telephonic bidding. There will be no on-site bidding during Auction 83. Please note that telephonic bid assistants are required to use a script when entering bids placed by telephone. Telephonic bidders are therefore reminded to allow sufficient time to bid by placing their calls well in advance of the close of a round. The length of a call to place a telephonic bid may vary; please allow a minimum of ten minutes. 103. An Auction 83 bidder’s ability to bid on specific construction permits is determined by two factors: (1) The construction permits designated for that applicant in Attachment A of the Auction 83 Procedures Public Notice and (2) the bidder’s eligibility. The bid submission screens will allow bidders to submit bids on only those construction permits designated for that applicant in Attachment A of the Auction 83 Procedures Public Notice. 104. In order to access the bidding function of the FCC auction bidding system, bidders must be logged in during the bidding round using the passcode generated by the SecurID® token and a personal identification number (PIN) created by the bidder. Bidders are strongly encouraged to print a round summary for each round after they have completed all of their activity for that round. 105. If a bidder has sufficient eligibility to place a bid on the particular construction permit, eligible bidders will be able to place bids on a given construction permit in any of up to nine pre-defined bid amounts in each round. For each construction permit, the FCC auction bidding system will list the acceptable bid amounts in a drop-down box. Bidders use the drop-down box to select from among the acceptable bid amounts. The FCC auction bidding system also includes an upload function that allows text files containing bid information to be uploaded. 106. Until a bid has been placed on a construction permit, the minimum acceptable bid amount for that permit will be equal to its minimum opening bid amount. Once there are bids on a permit, minimum acceptable bids for the following round will be determined as described in the Auction 83 Procedures Public Notice. 107. During a round, an eligible bidder may submit bids for as many construction permits as it wishes (providing that it is eligible to bid on the specific permits), remove bids placed in the current bidding round, or PO 00000 Frm 00054 Fmt 4700 Sfmt 4700 permanently reduce eligibility. If multiple bids are submitted for the same construction permit in the same round, the system takes the last bid entered as that bidder’s bid for the round. Bidding units associated with construction permits for which the bidder has removed bids do not count towards current activity. 6. Bid Removal and Bid Withdrawal 108. In the Auction 83 Comment Public Notice, the Bureaus explained bid removal procedures in the FCC auction bidding system. Each qualified bidder has the option of removing any bids placed in a round provided that such bids are removed before the close of that bidding round. By removing a bid within a round, a bidder effectively unsubmits the bid. A bidder removing a bid placed in the same round is not subject to withdrawal payments. Removing a bid will affect a bidder’s activity because a removed bid no longer counts toward bidding activity for the round. Once a round closes, a bidder may no longer remove a bid. 109. In the Auction 83 Comment Public Notice, the Bureaus proposed to prohibit bidders from withdrawing any bid after close of the round in which that bid was placed. The Bureaus received no comment on this issue of bid withdrawal. Accordingly, the Bureaus will prohibit bid withdrawals in Auction 83. Bidders are cautioned to select bid amounts carefully because no bid withdrawals will be allowed, even if a bid was mistakenly or erroneously made. 7. Round Results 110. Reports reflecting bidders’ identities for Auction 83 will be available before and during the auction. Thus, bidders will know in advance of this auction the identities of the bidders against which they are bidding. 111. Bids placed during a round will not be made public until the conclusion of that round. After a round closes, the Bureaus will compile reports of all bids placed, current provisionally winning bids, new minimum acceptable bid amounts for the following round, whether the construction permit is FCCheld, and bidder eligibility status (bidding eligibility and activity rule waivers), and post the reports for public access. 8. Auction Announcements 112. The Commission will use auction announcements to report necessary information such as schedule changes. All auction announcements will be available by clicking a link in the FCC auction bidding system. E:\FR\FM\27APR1.SGM 27APR1 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations V. Post-Auction Procedures 113. Shortly after bidding has ended, the Commission will issue a public notice declaring the auction closed, identifying the winning bidders, and establishing deadlines for submitting down payments, final payments, and long-form applications (FCC Forms 349). A. Down Payments 114. Within ten business days after release of the auction closing public notice, each winning bidder must submit sufficient funds (in addition to its upfront payment) to bring its total amount of money on deposit with the Commission for Auction 83 to twenty percent of the net amount of its winning bids (gross bids less any applicable new entrant bidding credits). jstallworth on DSKBBY8HB2PROD with RULES B. Final Payments 115. Each winning bidder will be required to submit the balance of the net amount for each of its winning bids within ten business days after the applicable deadline for submitting down payments. C. Long-Form Applications (FCC Form 349) 116. The Commission’s rules currently provide that within thirty days following the close of bidding and notification to the winning bidders, unless a longer period is specified by public notice, winning bidders must electronically submit a properly completed long-form application (FCC Form 349, Application for Authority to Construct or Make Changes in an FM Translator or FM Booster Station) and required exhibits for each construction permit won through Auction 83. Winning bidders claiming new entrant status must include an exhibit demonstrating their eligibility for the bidding credit. The Commission’s rules also provide that a winning bidder in a commercial broadcast spectrum auction is required to submit an application filing fee with its post-auction long-form application. Further instructions on these and other filing requirements will be provided to winning bidders in the auction closing public notice. An Auction 83 applicant that has its longform application dismissed will be deemed to have defaulted and will be subject to default payments under 47 CFR 1.2104(g) and 1.2109(c). D. Default and Disqualification 117. Any winning bidder that defaults or is disqualified after the close of the auction (i.e., fails to remit the required down payment by the specified deadline, fails to submit a timely long- VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 form application, fails to make a full and timely final payment, or is otherwise disqualified) is liable for default payments as described in 47 CFR 1.2104(g)(2). This payment consists of a deficiency payment, equal to the difference between the amount of the Auction 83 bidder’s winning bid and the amount of the winning bid the next time a construction permit covering the same spectrum is won in an auction, plus an additional payment equal to a percentage of the defaulter’s bid or of the subsequent winning bid, whichever is less. 118. In the Auction 83 Comment Public Notice, the Bureaus proposed to set the percentage of the applicable bid to be assessed as an additional payment for any Auction 83 default at 20 percent of the applicable bid. The Bureaus received no comment on this proposal, and it is therefore adopted. 119. Finally, in the event of a default, the Commission has the discretion to reauction the construction permit or offer it to the next highest bidder (in descending order) at its final bid amount. In addition, if a default or disqualification involves gross misconduct, misrepresentation, or bad faith by an applicant, the Commission may declare the applicant and its principals ineligible to bid in future auctions, and may take any other action that it deems necessary, including institution of proceedings to revoke any existing authorizations held by the applicant. E. Refund of Remaining Upfront Payment Balance 120. All refunds of upfront payment balances will be returned to the payer of record as identified on the FCC Form 159 unless the payer submits written authorization instructing otherwise. To access the refund form, bidders are encouraged to use the Refund Information icon found on the Auction Application Manager page or through the Refund Form link available on the Auction Application Submit Confirmation page in the FCC auction application system. After the required information is completed on the blank form, the form should be printed, signed, and submitted to the Commission by mail or fax as instructed below. 121. If a bidder has elected not to complete the Refund Form through the Auction Application Manager page, the Commission is requesting that all information listed below be supplied in writing. Name, address, contact and phone number of Bank ABA Number PO 00000 Frm 00055 Fmt 4700 Sfmt 4700 18453 Account Number to Credit Name of Account Holder FCC Registration Number (FRN) The refund request must be submitted by fax to the Revenue & Receivables Operations Group/Auctions at (202) 418–2843 or by mail to: Federal Communications Commission, Financial Operations, Revenue & Receivables Operations Group/Auctions, Gail Glasser, 445 12th Street SW, Room 1–C864, Washington, DC 20554. Note: Refund processing generally takes up to two weeks to complete. Bidders with questions about refunds should contact Gail Glasser at (202) 418–0578 or Theresa Meeks at (202) 418–2945. VI. Final Regulatory Flexibility Certification 122. The Regulatory Flexibility Act of 1980, as amended (RFA), 5 U.S.C. 603, requires that a regulatory flexibility analysis be prepared for a notice-andcomment rulemaking proceeding, unless the agency certifies that the rule will not, if promulgated, have a significant economic impact on a substantial number of small entities. The RFA generally defines the term small entity as having the same meaning as the terms small business, small organization, and small governmental jurisdiction. In addition, the term small business has the same meaning as the term small business concern under the Small Business Act, 5 U.S.C. 601(3). 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 Small Business Administration (SBA). 15 U.S.C 632. 123. As required by the RFA, an Initial Regulatory Flexibility Certification (IRFC) was incorporated in the January 16, 2018, public notice seeking comment on competitive bidding procedures to be used in Auction 83. A summary of this public notice was published at 83 FR 4455, Jan. 31, 2018. The Auction 83 Procedures Public Notice implements competitive bidding rules adopted by the Commission in multiple notice-andcomment rulemaking proceedings, as well as establishes by the Bureaus, on delegated authority, additional procedures for competitive bidding in Auction 83 for certain FM translator construction permits. More specifically, the Public Notice provides an overview of the procedures, terms and conditions governing Auction 83 and the postauction application and payment processes. The Public Notice also E:\FR\FM\27APR1.SGM 27APR1 jstallworth on DSKBBY8HB2PROD with RULES 18454 Federal Register / Vol. 83, No. 82 / Friday, April 27, 2018 / Rules and Regulations provides instructions for Auction 83 applicants to review, verify and update their previously filed short-form applications during the upcoming Remedial Window, as required. In addition, the Public Notice addresses three filings submitted by parties in response to the Auction 83 Comment Public Notice. 124. Auction 83 is a closed auction, therefore the specific competitive bidding procedures and minimum opening bid amounts described in the Auction 83 Comment Public Notice will affect only the 57 individuals or entities listed in Attachment A to the Auction 83 Procedures Public Notice who are eligible to complete the remaining steps to become qualified to bid in this auction. The latest available U.S. Census Bureau data show that there were 2,849 radio station firms that operated in 2012. Of that number 2,806 firms operated with annual receipts below the SBA’s small business size standard of firms having $38.5 million or less in annual receipts. The 57 eligible individuals or entities for Auction 83 include firms of all sizes and constitute approximately two percent of all firms that operated and of firms meeting the SBA small business size standard. Consequently, because the proposed procedures and minimum opening bid amounts would affect a maximum of 57 radio station firms, or approximately two percent of the total, and not all 57 are small entities, the Bureaus find that a substantial number of small entities would not be affected by these competitive bidding procedures or minimum opening bid amounts contained in the Auction 83 Procedures Public Notice. Therefore, the Bureaus certify that these competitive bidding procedures and minimum opening bid amounts announced in the Auction 83 Procedures Public Notice will not have a significant economic impact on a substantial number of small entities. 125. The Bureaus will send a copy of the Auctions 83 Procedures Public Notice, including this Final Regulatory Flexibility Certification, in a Report to Congress pursuant to the Congressional Review Act, 5 U.S.C. 801(a)(1)(A). In addition, the Auctions 83 Procedures Public Notice and this Final Regulatory Flexibility Certification will be sent to the Chief Counsel for Advocacy of the SBA pursuant to 5 U.S.C. 605(b). FEDERAL COMMUNICATIONS COMMISSION Federal Communications Commission. Gary Michaels, Deputy Chief, Auctions and Spectrum Access Division, WTB. ■ 47 CFR Part 54 [WC Docket Nos. 10–90, 14–58, 14–259; FCC 16–64] Connect America Fund, ETC Annual Reports and Certifications, Rural Broadband Experiments Federal Communications Commission. ACTION: Technical amendments. AGENCY: This document corrects errors in the final rules portion of a Federal Register document that adopted rules to implement a competitive bidding process for Phase II of the Connect America Fund that will harness market forces to expand broadband in targeted rural areas. The document was published in the Federal Register on July 7, 2016. DATES: Effective April 27, 2018. FOR FURTHER INFORMATION CONTACT: Alexander Minard, Wireline Competition Bureau, (202) 418–7400. SUPPLEMENTARY INFORMATION: This is a summary of the FCC’s Erratum, FCC 18– 297, released on March 26, 2018. This summary contains technical amendments to a Federal Register summary, 81 FR 44414 (July 7, 2016). The full text of the Commission’s Report and Order, WC Docket Nos. 10–90, 14– 58; 14–259; FCC 16–64, released on March 26, 2016 is available for public inspection during regular business hours in the FCC Reference Center, Room CY–A257, 445 12th Street SW, Washington, DC 20554. SUMMARY: Technical Amendments List of Subjects in 47 CFR Part 54 Communications common carriers, Health facilities, Infants and children, internet, Libraries, Reporting and recordkeeping requirements, Schools, Telecommunications, Telephone. Accordingly, 47 CFR part 54 is corrected by making the following correcting amendments: PART 54—UNIVERSAL SERVICE 1. The authority citation for part 54 continues to read as follows: ■ Authority: 47 U.S.C. 151, 154(i), 155, 201, 205, 214, 219, 220, 254, 303(r), 403, and 1302 unless otherwise noted. 2. In § 54.315, revise paragraph (c)(2)(iv)(A) to read as follows: [FR Doc. 2018–08635 Filed 4–26–18; 8:45 am] * 3. In § 54.804, revise paragraph (d)(2)(iv)(A) to read as follows: ■ § 54.804 Application process. * * * * * (d) * * * (2) * * * (iv) * * * (A) That is among the 100 largest nonU.S. banks in the world, determined on the basis of total assets as of the end of the calendar year immediately preceding the issuance of the letter of credit (determined on a U.S. dollar equivalent basis as of such date); * * * * * Federal Communications Commission. Katura Jackson, Federal Register Liaison Officer, Office of the Secretary. [FR Doc. 2018–08887 Filed 4–26–18; 8:45 am] BILLING CODE 6712–01–P DEPARTMENT OF DEFENSE Defense Acquisition Regulations System 48 CFR Parts 225 and 252 Foreign Acquisition; Solicitation Provisions and Contract Clauses CFR Correction In Title 48 of the Code of Federal Regulations, Chapter 2 (Parts 201 to 299), revised as of October 1, 2017, on page 179, in 225.872–1, in paragraph (a), and on page 465, in 252.225–7021, under TRADE AGREEMENTS–BASIC (DEC 2016), under Qualifying country, ‘‘Czech Republic’’ is added in alphabetical order. ■ [FR Doc. 2018–09059 Filed 4–26–18; 8:45 am] BILLING CODE 1301–00–D § 54.315 Application process for phase II support distributed through competitive bidding. BILLING CODE 6712–01–P (c) * * * (2) * * * (iv) * * * (A) That is among the 100 largest nonU.S. banks in the world, determined on the basis of total assets as of the end of the calendar year immediately preceding the issuance of the letter of credit (determined on a U.S. dollar equivalent basis as of such date); * * * * * VerDate Sep<11>2014 13:07 Apr 26, 2018 Jkt 244001 PO 00000 * * Frm 00056 * Fmt 4700 * Sfmt 9990 E:\FR\FM\27APR1.SGM 27APR1

Agencies

[Federal Register Volume 83, Number 82 (Friday, April 27, 2018)]
[Rules and Regulations]
[Pages 18441-18454]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-08635]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Parts 1, 73 and 74

[AU Docket No. 17-351; DA 18-257]


Auction of FM Translator Construction Permits Scheduled for June 
21, 2018; Notification of Filing Requirements, Minimum Opening Bids, 
Upfront Payments, and Other Procedures for Auction 83

AGENCY: Federal Communications Commission.

ACTION: Final action; requirements and procedures.

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SUMMARY: In this document, the Commission summarizes the procedures and 
announces upfront payments amounts and minimum opening bids for the 
auction of FM translator construction permits (Auction 83). The 
document summarized here is intended to familiarize applicants with the 
procedures and other requirements for participation in the auction.

DATES: April 16, 2018, and until 6:00 p.m. Eastern Time (ET) on April 
26, 2018, each Auction 83 applicant must review, verify or update its 
previously-filed short-form applications (FCC Forms 175) 
electronically. Bidding in

[[Page 18442]]

Auction 83 is scheduled to start on June 21, 2018.

FOR FURTHER INFORMATION CONTACT: For auction legal questions, Lynne 
Milne in the Wireless Telecommunications Bureau's Auctions and Spectrum 
Access Division at (202) 418-0660. For auction process and procedures, 
the FCC Auction Hotline at (717) 338-2868. For FM translator service 
questions, James Bradshaw, Lisa Scanlan or Tom Nessinger in the Media 
Bureau's Audio Division at (202) 418-2700. To request materials in 
accessible formats (Braille, large print, electronic files, or audio 
format) for people with disabilities, send an email to [email protected] 
or call the Consumer and Governmental Affairs Bureau at (202) 418-0530 
or (202) 418-0432 (TTY).

SUPPLEMENTARY INFORMATION: This is a summary of Commission's document 
(Auction 83 Procedures Public Notice), AU Docket No. 17-351; DA 18-257, 
released on March 16, 2018. The complete text of this document is 
available for public inspection and copying from 8:00 a.m. to 4:30 p.m. 
ET Monday through Thursday or from 8:00 a.m. to 11:30 a.m. ET on 
Fridays in the FCC Reference Information Center, 445 12th Street SW, 
Room CY-A257, Washington, DC 20554. The complete text of this document 
and related documents also are available on the internet at the 
Commission's website: https://wireless.fcc.gov/auctions/83, or by using 
the search function for AU Docket No. 17-351 on the Commission's 
Electronic Comment Filing System (ECFS) web page at https://www.fcc.gov/cgb/ecfs.

I. General Information

A. Background

    1. On February 6, 2003, the Media and Wireless Telecommunications 
Bureaus announced an auction filing window for applications for new FM 
translator stations and major modifications to authorized FM translator 
facilities in the non-reserved band (Channels 221 to 300). By Public 
Notices released May 21, 2013 and April 30, 2014, the Bureaus provided 
a list of all applications received during the filing window with 
engineering proposals that were mutually exclusive (MX) with 
engineering proposals in other applications submitted in the filing 
window. Applicants were previously given the opportunity to eliminate 
their mutual exclusivity with other applicants' engineering proposals 
by settlement or technical modification to their proposals. The Bureaus 
will now proceed to auction with the 43 MX groups identified in 
Attachment A of the Auction 83 Procedures Public Notice.

B. Construction Permits and Entities Eligible To Participate in Auction 
83

    2. Auction 83 will resolve mutually exclusive applications for up 
to 43 new FM translator construction permits. A list of the locations 
and channels of these proposed stations is included as Attachment A to 
the Auction 83 Procedures Public Notice. Attachment A also sets forth 
the names of applicants in each MX group along with a minimum opening 
bid and an upfront payment amount for each construction permit in 
Auction 83.
    3. An applicant listed in Attachment A may become qualified to bid 
only if it meets the additional filing, qualification and payment 
requirements and otherwise complies with applicable requirements 
described in the Auction 83 Procedures Public Notice. Each applicant 
may become a qualified bidder only for those construction permits 
specified for that applicant in Attachment A to the Auction 83 
Procedures Public Notice. Each of the engineering proposals within each 
MX group are directly mutually exclusive with one another; therefore, 
no more than one construction permit will be awarded for each MX group 
identified in Attachment A. Once mutually exclusive applications are 
accepted, because mutual exclusivity exists for auction purposes, an 
applicant for a particular construction permit cannot obtain it without 
placing a bid, even if no other applicant for that construction permit 
becomes qualified to bid or in fact places a bid. While the Auction 83 
Comment Public Notice had sought comment on whether certain changes 
made since 2003 to 47 CFR 1.2105 warranted any different approach in 
this context, no commenter directly addressed this issue. The Bureaus 
do not see any reason to depart from established precedent for Auction 
83.
    4. Section 1.2105(b)(2) provides that an auction applicant that 
undertakes a major change, including a change of ownership that would 
constitute an assignment or transfer of control, after the short-form 
application filing deadline will be disqualified from participating in 
bidding. In the Auction 83 Comment Public Notice (see 83 FR 4455, Jan. 
31, 2018), the Bureaus sought comment on whether to waive 47 CFR 
1.2105(b)'s prohibition on major changes with respect to transfers of 
control or assignments that had occurred prior to release of the 
Auction 83 Comment Public Notice and/or that have been subject to 
Commission review and approval by a particular date. In response to the 
Auction 83 Comment Public Notice, iHeart, the parent company of three 
Auction 83 applicants, filed comments supporting grant of waivers of 47 
CFR 1.2105(b)(2)'s bar on major modifications to allow iHeart 
applicants to participate in Auction 83, and one applicant filed an 
opposition seeking denial of the requested relief.
    5. The Bureaus decided that under the unique factual circumstances, 
application of the rule would be unduly burdensome to Auction 83 
applicants that have completed a transfer of control or assignment that 
was authorized by the Commission during a period of approximately 15 
years. In accordance with 47 CFR 1.3, the Bureaus waive 47 CFR 
1.2105(b)(2)'s bar on major modifications for any Auction 83 applicant, 
such as iHeart or any other similarly-situated party, that has 
completed a transfer of control or assignment pursuant to a transaction 
that has been reviewed and approved by the Commission prior to the 
close of the remedial filing window on April 26, 2018. An applicant 
seeking to participate in Auction 83 pursuant to this relief should 
include with its updated Form 175 during the upcoming remedial filing 
window a brief explanation of any changes it has undertaken during the 
pendency of its Form 175, including relevant details such as citations 
to or file numbers of Commission authorizations for such changes.
    6. In light of the amendments to the Commission's competitive 
bidding rules in 2015, the Bureaus also sought comment in the Auction 
83 Comment Public Notice on how to apply 47 CFR 1.2105's provisions 
that prohibit the filing of multiple auction applications by applicants 
subject to common control. The amended rules require entities with any 
overlapping controlling interest to participate in an auction through 
just a single auction application. The only party to address this 
issue, iHeart, supports the Bureaus proposal to require applicants 
subject to common control to participate through a single bidding 
entity in a single application covering all of the MX engineering 
proposals applied for previously by the separate commonly controlled 
applicants. The Bureaus waived the current rule's application to the 
originally filed Forms 175, which pre-dated the current rule by more 
than a decade, and to permit applicants to come into compliance with 
the current rule by modifying the relevant auction applications as 
necessary to come into compliance. Accordingly, any Auction 83 
applicants with overlapping

[[Page 18443]]

controlling interests will be permitted to amend their Forms 175 to 
participate as a single bidding entity. Specifically, on or before 
March 30, 2018, applicants that have a controlling interest in more 
than one Form 175 listed in Attachment A to the Auction 83 Procedures 
Public Notice were required to bring those commonly controlled 
applications into compliance with the restrictions of 47 CFR 
1.2105(a)(3) by filing a written request as an attachment to an email 
sent to [email protected]. This written request was required to 
identify by applicant name and applicant FCC registration number (FRN) 
each of that applicant's 2003 Forms 175 listed in Attachment A in which 
there is common control, as well as identification of the individual or 
entity with such common control. This email was required to request 
consolidation of the previously filed Forms 175 in Attachment A with 
common control. The request had to be signed by a person who is an 
authorized representative of the applicant with authority to bind that 
applicant. After consolidation, the remaining single applicant was 
required to update, certify and submit its FCC Form 175 during the 
remedial filing window.

C. Rules and Disclaimers

1. Relevant Authority
    7. Applicants must familiarize themselves thoroughly with the 
Commission's general competitive bidding rules, including Commission 
decisions in proceedings regarding competitive bidding procedures, 
application requirements, and obligations of Commission licensees. 
Broadcasters should also familiarize themselves with the Commission's 
commercial FM translator broadcast service and competitive bidding 
requirements contained in 47 CFR parts 73 and 74, as well as Commission 
orders concerning competitive bidding. Applicants must also be 
thoroughly familiar with the procedures, terms and conditions contained 
in the Auction 83 Procedures Public Notice and any future public 
notices that may be released in this proceeding.
    8. The terms contained in the Commission's rules, relevant orders, 
and public notices are not negotiable. The Commission may amend or 
supplement the information contained in their public notices at any 
time, and will issue public notices to convey any new or supplemental 
information to applicants. It is the responsibility of each applicant 
to remain current with all Commission rules and with all public notices 
pertaining to Auction 83.
2. Prohibited Communications and Compliance With Antitrust Laws
    9. Starting with the initial application filing deadline on March 
17, 2003, the rules prohibiting certain communications set forth in 47 
CFR 1.2105(c) and 73.5002(d) and (e) apply to each applicant that filed 
a FCC Form 175 in Auction 83. Subject to specified exceptions, 47 CFR 
1.2105(c)(1) provides that, after the deadline for filing a short-form 
application, all applicants are prohibited from cooperating or 
collaborating with respect to, communicating with or disclosing, to 
each other in any manner the substance of their own, or each other's, 
or any other applicants' bids or bidding strategies (including post-
auction market structure), or discussing or negotiating settlement 
agreements, until after the down payment deadline. Applicants are 
hereby placed on notice that public disclosure of information relating 
to bids, bidding strategies, or to post-auction market structures may 
violate 47 CFR 1.2105(c).
a. Entities Subject to Section 1.2105
    10. An applicant for purposes of this rule includes the officers 
and directors of the applicant, all controlling interests in the entity 
submitting the FCC Form 175, as well as all holders of interests 
amounting to 10 percent or more of the entity, and all officers and 
directors of that entity. A party that submits an application becomes 
an applicant under the rule at the application deadline and that status 
does not change based on subsequent developments. Thus, an auction 
applicant that does not make and submit update to its Form 175 during 
the upcoming remedial filing window, correct deficiencies in its 
application, fails to submit a timely and sufficient upfront payment or 
does not otherwise become qualified, remains an applicant for purposes 
of 47 CFR 1.2105(c) and remains subject to the prohibition on certain 
communications until the applicable down payment deadline.
b. Scope of Prohibition on Communications; Prohibition on Joint Bidding 
Agreements
    11. The Commission in 2015 amended 47 CFR 1.2105(c) to extend its 
prohibition on communications to cover all applicants for an auction 
regardless of whether the applicants seek permits in the same 
geographic area or market. Accordingly, the Commission now prohibits 
joint bidding arrangements, including arrangements relating to the 
licenses being auctioned that address or communicate, directly or 
indirectly, bids, bidding at the auction, bidding strategies, including 
arrangements regarding price or the specific construction permits or 
licenses on which to bid, and any such arrangements relating to the 
post-auction market structure. The revised rule provides limited 
exceptions for communications within the scope of any arrangement 
consistent with the exclusions from the Commissions rule prohibiting 
joint bidding, provided such arrangement is disclosed on the 
applicant's auction application. An applicant may continue to 
communicate pursuant to any pre-existing agreement, arrangement, or 
understanding that is solely operational or that provide for a transfer 
or assignment of licenses, provided that such agreement, arrangement or 
understanding does not involve the communication or coordination of 
bids (including amounts), bidding strategies, or the particular 
licenses on which to bid and provided that such agreement, arrangement 
or understanding is disclosed on its application.
    12. In the Auction 83 Comment Public Notice, the Bureaus sought 
comment on whether waiver of certain provisions of 47 CFR 1.2105 might 
be appropriate or necessary in light of the passage of time since the 
2003 filing of the original Auction 83 Forms 175, the rule revisions in 
2015, and the business changes that applicants may have undergone. The 
Bureaus noted that some Auction 83 applicants and their pending 
applications might not be in compliance with the current 47 CFR 1.2105 
provisions regarding joint bidding agreements and auction-related 
communications. No comment was filed on this issue in response to the 
Auction 83 Comment Public Notice. No party has filed notice of any 
potential violation of the provisions of 47 CFR 1.2105(c) with respect 
to prohibited bidding agreements or communications. Consequently, the 
Bureaus find no cause to waive the relevant rules.
c. Section 1.2105(c) Certification
    13. By electronically submitting its Form 175, each applicant in 
Auction 83 certified its compliance with 47 CFR 1.2105(c) and 
73.5002(d). However, the mere filing of a certifying statement as part 
of an application will not outweigh specific evidence that a prohibited 
communication has occurred, nor will it preclude the initiation of an 
investigation when warranted. Any applicant found to have violated 
these communication prohibitions may be subject to sanctions.

[[Page 18444]]

d. Reporting Requirements
    14. Section 1.2105(c)(4) requires that any applicant that makes or 
receives a communication that appears to violate 47 CFR 1.2105(c) must 
report such communication in writing to the Commission immediately, and 
in no case later than five business days after the communication 
occurs. Each applicant's obligation to report any such communication 
continues beyond the five-day period after the communication is made, 
even if the report is not made within the five-day period.
e. Procedures for Reporting Prohibited Communications
    15. Section 1.2105(c) requires parties to file only a single report 
concerning a prohibited communication and to file that report with 
Commission personnel expressly charged with administering the 
Commission's auctions. Any reports required by 47 CFR 1.2105(c) must be 
filed consistent with the instructions set forth in the Auction 83 
Procedures Public Notice. For Auction 83, such reports must be filed 
with the Chief of the Auctions and Spectrum Access Division, Wireless 
Telecommunications Bureau, by the most expeditious means available. Any 
such report should be submitted by email to Margaret W. Wiener at the 
following email address: [email protected]. If you choose instead to 
submit a report in hard copy, any such report must be delivered only 
to: Margaret W. Wiener, Chief, Auctions and Spectrum Access Division, 
Wireless Telecommunications Bureau, Federal Communications Commission, 
445 12th Street SW, Room 6C217, Washington, DC 20554.
    16. Section 1.2105(c) is designed to minimize the risk of 
inadvertent dissemination of information in such reports. A party 
reporting any communication pursuant to 47 CFR 1.65, 1.2105(a)(2), or 
1.2105(c)(4) must take care to ensure that any report of a prohibited 
communication does not itself give rise to a violation of 47 CFR 
1.2105(c). For example, a party's report of a prohibited communication 
could violate the rule by communicating prohibited information to other 
applicants through the use of Commission filing procedures that would 
allow such materials to be made available for public inspection, such 
as, a submission to the Commission's Office of the Secretary or to the 
Commission's Electronic Comment Filing System. A party seeking to 
report such a prohibited communication should consider submitting its 
report with a request that the report or portions of the submission be 
withheld from public inspection by following the procedures specified 
in 47 CFR 0.459. Such parties also are encouraged to coordinate with 
the Auctions and Spectrum Access Division staff about the procedures 
for submitting such reports.
f. Winning Bidders Must Disclose Terms of Agreements
    17. Each applicant that is a winning bidder will be required to 
disclose in its long-form application the specific terms, conditions, 
and parties involved in any agreement it has entered into. This applies 
to any bidding consortia, joint venture, partnership, or agreement, 
understanding, or other arrangement entered into relating to the 
competitive bidding process, including any agreement relating to the 
post-auction market structure. Failure to comply with the Commission's 
rules can result in enforcement action.
g. Antitrust Laws
    18. Regardless of compliance with the Commission's rules, 
applicants remain subject to the antitrust laws, which are designed to 
prevent anticompetitive behavior in the marketplace. Compliance with 
the disclosure requirements of 47 CFR 1.2105(c) will not insulate a 
party from enforcement of the antitrust laws.
    19. To the extent the Commission becomes aware of specific 
allegations that suggest that violations of the federal antitrust laws 
may have occurred, the Commission may refer such allegations to the 
U.S. Department of Justice for investigation. If an applicant is found 
to have violated the antitrust laws or the Commission's rules in 
connection with its participation in the competitive bidding process, 
the applicant may be subject to forfeiture of its upfront payment, down 
payment, or full bid amount and may be prohibited from participating in 
future auctions, among other sanctions.
3. Due Diligence
    20. The Bureaus remind each potential bidder that it is solely 
responsible for investigating and evaluating all technical and 
marketplace factors that may have a bearing on the value of the 
construction permits for commercial FM translators that it is seeking 
in this auction. The FCC makes no representations or warranties about 
the use of this spectrum or these construction permits for particular 
services. Applicants should be aware that an FCC auction represents an 
opportunity to become an FCC permittee in a broadcast service, subject 
to certain conditions and regulations. An FCC auction does not 
constitute an endorsement by the FCC of any particular service, 
technology, or product, nor does an FCC construction permit or license 
constitute a guarantee of business success.
    21. An applicant should perform its due diligence research and 
analysis before proceeding, as it would with any new business venture. 
In particular, the Bureaus strongly encourage each potential bidder to 
perform technical analyses and/or refresh its previous analyses to 
assure itself that, should it become a winning bidder for any Auction 
83 construction permit, it will be able to build and operate facilities 
that will fully comply with all applicable technical and legal 
requirements. The Bureaus strongly encourage each applicant to inspect 
any prospective transmitter sites located in, or near, the service area 
for which it plans to bid, confirm the availability of such sites, and 
to familiarize itself with the Commission's rules regarding the 
National Environmental Policy Act.
    22. The Bureaus strongly encourage each applicant to continue to 
conduct its own research throughout Auction 83 in order to determine 
the existence of pending or future administrative or judicial 
proceedings--including applications, applications for modification, 
rulemaking proceedings, requests for special temporary authority, 
waiver requests, petitions to deny, petitions for reconsideration, 
informal objections, and applications for review--may relate to 
particular applicants or the licenses available in Auction 83 (or the 
terms and conditions thereof, including all applicable Commission rules 
and regulations) and might affect an applicant's decision on continued 
participation in the auction. Each applicant is responsible for 
assessing the likelihood of the various possible outcomes and for 
considering the potential impact on construction permits available in 
this auction. The due diligence considerations mentioned in the Auction 
83 Procedures Public Notice do not comprise an exhaustive list of steps 
that should be undertaken prior to participating in this auction. As 
always, the burden is on the potential bidder to determine how much 
research to undertake, depending upon specific facts and circumstances 
related to its interests.
    23. Applicants are solely responsible for identifying associated 
risks and for investigating and evaluating the degree to which such 
matters may affect their ability to bid on, otherwise acquire, or make 
use of the construction permits available in Auction 83. Each potential 
bidder is responsible for undertaking research to ensure that any 
permits won

[[Page 18445]]

in Auction 83 will be suitable for its business plans and needs. Each 
potential bidder must undertake its own assessment of the relevance and 
importance of information gathered as part of its due diligence 
efforts.
    24. The Commission makes no representations or guarantees regarding 
the accuracy or completeness of information in its databases or any 
third party databases, including, for example, court docketing systems. 
To the extent the Commission's databases may not include all 
information deemed necessary or desirable by an applicant, it must 
obtain or verify such information from independent sources or assume 
the risk of any incompleteness or inaccuracy in said databases. 
Furthermore, the Commission makes no representations or guarantees 
regarding the accuracy or completeness of information that has been 
provided by incumbent licensees and incorporated into its databases.
4. Use of Auction Systems
    25. The Commission makes no warranty whatsoever with respect to the 
FCC auction systems. In no event shall the Commission, or any of its 
officers, employees, or agents, be liable for any damages whatsoever 
(including, but not limited to, loss of business profits, business 
interruption, loss of business information, or any other loss) arising 
out of or relating to the existence, furnishing, functioning, or use of 
the FCC auction systems that are accessible to qualified bidders in 
connection with this auction. Moreover, no obligation or liability will 
arise out of the Commission's technical, programming, or other advice 
or service provided in connection with the FCC auction systems.

D. Auction Specifics

1. Bidding Methodology and Options
    26. The Commission will conduct this auction over the internet 
using the FCC auction bidding system. Qualified bidders are permitted 
to bid electronically via the internet or by telephone using the 
telephonic bidding option. All telephone calls are recorded.
    27. The initial schedule for bidding rounds will be announced by 
public notice at least one week before bidding in the auction starts. 
Moreover, unless otherwise announced, bidding on all construction 
permits will be conducted on each business day until bidding has 
stopped on all construction permits.
2. Pre-Auction Dates and Deadlines
    28. The following dates and deadlines apply:

Auction Tutorial Available (via internet)--April 12, 2018
Short-Form Application (FCC Form 175)
Remedial Filing Window Opened--April 16, 2018; 12:00 noon ET
Short-Form Application (FCC Form 175)
Remedial Filing Window Deadline--April 26, 2018; prior to 6:00 p.m. ET
Upfront Payments (via wire transfer)--May 31, 2018; 6:00 p.m. ET
Mock Auction--June 15, 2018
Auction Begins--June 21, 2018
3. Requirements for Participation
    29. A party whose application is listed on Attachment A of the 
Auction 83 Procedures Public Notice may participate in the bidding in 
Auction 83 only if the applicant:
     During the remedial filing window, provides sufficient 
information in the data fields of its electronic FCC Form 175 that it 
is able to certify and submit its auction application. Instructions for 
submitting an updated application are provided in the Auction 83 
Procedures Public Notice.
    [cir] In the event that the application is found to be incomplete 
after Commission staff review, an applicant will have a limited 
opportunity to address deficiencies in its application during a 
resubmission window, the dates for which will be announced in a future 
public notice.
    [cir] If an applicant fails to provide sufficient information in 
the data fields of its electronic Form 175 the applicant therefore will 
not able to certify and submit its Form 175. If an Auction 83 applicant 
fails to certify and submit its Form 175 during the remedial window, 
that auction application will be designated as Incomplete-Disqualified. 
If an application is designated as Incomplete-Disqualified, that 
applicant will have no further opportunity to update its application, 
and the applicant will be disqualified from further participation in 
Auction 83.
     Submits a sufficient upfront payment and an FCC Remittance 
Advice Form (FCC Form 159) by 6:00 p.m. ET on May 31, 2018, following 
the procedures and instructions set forth in Attachment C to the 
Auction 83 Procedures Public Notice; and
     Complies with all provisions outlined in the Auction 83 
Procedures Public Notice and applicable Commission rules.

II. Short-Form Application (FCC Form 175) Requirements

A. Updating Applicant's FCC Form 175 in Auction Application System--
Remedial Filing Window Closes April 26, 2018

    30. To qualify to participate in bidding, each Auction 83 applicant 
must provide sufficient information in the data fields of its 
electronic FCC Form 175 that it is able to certify and submit its 
auction application, in compliance with the Commission's competitive 
bidding rules and the procedures and deadlines set forth in the Auction 
83 Procedures Public Notice. Attachment B of the Auction 83 Procedures 
Public Notice contains detailed instructions for updating and verifying 
short-form applications.
    31. Applicants must make necessary updates and certifications, and 
must verify short-form application information during a remedial filing 
window. The window opened at noon ET on April 16, 2018, and will close 
at 6:00 p.m. ET on April 26, 2018.
    32. Each Auction 83 applicant is required to review its FCC Form 
175 in the auction application system to insure that all relevant 
information is provided and that the information contained in the 
application is accurate and complete at this time. Each applicant must 
provide updates or revisions of previously submitted information, 
consistent with the requirements of 47 CFR 1.65. The auction 
application system will permit an applicant to navigate to the certify 
and submit screen in its Form 175 only after providing required 
disclosures of information in specified data entry fields. An applicant 
may also be required to upload an attachment to its Form 175 
application in some circumstances. Each applicant is advised to begin 
its application updating process early during the remedial filing 
window so that it can certify and submit its FCC Form 175 prior to the 
close of the remedial filing window. Each Auction 83 applicant must 
certify and submit any updates prior to 6:00 p.m. ET on April 26, 2018.

B. Minor Modifications to Short-Form Applications

    33. Notwithstanding the relief from 47 CFR 1.2105(b)'s major change 
restriction for past transactions as discussed in the Auction 83 
Procedures Public Notice, at this stage in the application process, an 
Auction 83 applicant is permitted to make only minor changes to its 
application. Permissible minor changes include, among other things, 
deletion and addition of authorized bidders (to a maximum of three) and 
revision of

[[Page 18446]]

addresses and telephone numbers of the applicants and their contact 
persons. If revised or updated information constitutes a ``major 
amendment,'' as defined by 47 CFR 1.2105, such changes may result in 
the dismissal of the application. In this context, major amendments 
include a change of technical proposals, change control of the 
applicant, claim eligibility for a higher percentage of bidding credit, 
or change the identification of the application's proposed facilities 
as noncommercial educational after the initial application filing 
deadline.

C. Maintaining Current Information in Short-Form Applications

    34. As required by 47 CFR 1.65 and 1.2105(b), an applicant must 
maintain the accuracy and completeness of all information furnished in 
its pending application and in competitive bidding proceedings to 
furnish additional or corrected information to the Commission within 
five days of a significant occurrence, or to amend a short form 
application no more than five days after the applicant becomes aware of 
the need for the amendment. Changes that cause a loss of or reduction 
in the percentage of bidding credit specified in the application must 
be reported immediately, and no later than five business days after the 
change occurs.

D. Submission of Updates to Short-Form Applications

    35. Updates to short-form applications should be made 
electronically using the FCC auction application system whenever 
possible. For the change to be submitted and considered by the 
Commission, be sure to click on the SUBMIT button.
    36. An applicant can use the auction application system outside of 
the remedial and resubmission filing windows to make administrative and 
certain other changes to its short-form application. After the 
resubmission filing window has closed, the system will permit 
applicants to modify information in most of the application's data 
fields.
    37. If changes need to be made outside of these windows, the 
applicant must submit a letter briefly summarizing the changes and 
subsequently update its short-form application in the auction 
application system. Any letter describing changes to an applicant's 
short-form application must be addressed to Margaret W. Wiener, Chief, 
Auctions and Spectrum Access Division, Wireless Telecommunications 
Bureau, and submitted by email to [email protected]. The email 
summarizing the changes must include a subject or caption referring to 
Auction 83 and the name of the applicant, for example, ``Re: Changes to 
Auction 83 Short-Form Application of ABC Corp.'' The Bureaus request 
that parties format any attachments to email as Adobe[supreg] 
Acrobat[supreg] (pdf) or Microsoft[supreg] Word documents. Questions 
about short-form application amendments should be directed to the 
Auctions and Spectrum Access Division at (202) 418-0660.
    38. Applicants must not submit application-specific material 
through the Commission's Electronic Comment Filing System, which was 
used for submitting comments regarding procedures for conducting 
Auction 83.
    39. Applicants should note that submission of a short-form 
application (and any amendments thereto) constitutes a representation 
by the person certifying the application that he or she is an 
authorized representative of the applicant with authority to bind the 
applicant, that he or she has read the form's instructions and 
certifications, and that the contents of the application, its 
certifications, and any attachments are true and correct. Applicants 
are reminded that submission of a false certification to the Commission 
is a serious matter that may result in severe penalties, including 
monetary forfeitures, license revocations, exclusion from participation 
in future auctions, and/or criminal prosecution.

E. Electronic Review of Short-Form Applications

    40. During the remedial filing window, an applicant listed in 
Attachment A of the Auction 83 Procedures Public Notice must review and 
update its electronic FCC Form 175 in the auction application system. 
There is no fee to access this system. See Attachment B of the Auction 
83 Procedures Public Notice for details on accessing the auction 
application system. During the remedial filing window, each Auction 83 
applicant listed in Attachment A must, at a minimum, certify and submit 
its Form 175.

F. Provisions Regarding Former and Current Defaulters

    41. Pursuant to the rules governing competitive bidding, each 
applicant must make certifications regarding whether it is a current or 
former defaulter or delinquent. A current defaulter or delinquent is 
not eligible to participate in Auction 83. An applicant is considered a 
current defaulter or a current delinquent when it, any of its 
affiliates (as defined by 47 CFR 1.2110), any of its controlling 
interests, or any of the affiliates of its controlling interests, is in 
default on any payment for any Commission construction permit or 
license (including a down payment) or is delinquent on any non-tax debt 
owed to any Federal agency as of the filing deadline for FCC Forms 175 
in that auction. Accordingly, each applicant must certify under penalty 
of perjury on its Form 175 that the applicant, any of its affiliates, 
any of its controlling interests, and any of the affiliates of its 
controlling interests are not in default on any payment for a 
Commission construction permit or license (including a down payment) 
and are not delinquent on any non-tax debt owed to any Federal agency. 
For purposes of making this certification, the term controlling 
interest is defined in 47 CFR 1.2105(a)(4)(i). If an Auction 83 
applicant has an outstanding non-tax debt to the Commission or any 
other federal agency, including any debts that results in a listing of 
the applicant on the Commission's Red Light Display System, as of the 
closing deadline of the remedial filing window, the applicant will be 
unable to make the required certification that it is not currently in 
default; if so, such applicant will be not eligible to participate in 
Auction 83 bidding.
    42. An Auction 83 applicant is considered a former defaulter or a 
former delinquent when the applicant or any of its controlling 
interests (as defined by 47 CFR 1.2105(a)(4)(i)) has defaulted on any 
Commission construction permit or license (including a down payment) or 
has been delinquent on any non-tax debt owed to any Federal agency, but 
has since remedied all such defaults and cured all of the outstanding 
non-tax delinquencies prior to the remedial filing deadline in this 
auction. A former defaulter or a former delinquent may participate 
further in Auction 83 so long as it is otherwise qualified, and that 
applicant makes an upfront payment that is 50 percent more than would 
otherwise be required. An applicant must certify under penalty of 
perjury whether it, along with any of its controlling interests, has 
ever been in default on any payment for a Commission construction 
permit or license (including a down payment) or has ever been 
delinquent on any non-tax debt owed to any Federal agency, subject to 
the exclusions described in the Auction 83 Procedures Public Notice.
    43. In 2015, the Commission narrowed the scope of the individuals 
and entities to be considered a former defaulter or a former 
delinquent. For purposes of the certification under 47

[[Page 18447]]

CFR 1.2105(a)(2)(xii), the applicant may exclude from consideration any 
cured default on a Commission construction permit or license or 
delinquency on a non-tax debt owed to a Federal agency for which any of 
the following criteria are met: (1) The notice of the final payment 
deadline or delinquency was received more than seven years before the 
FCC Form 175 filing deadline; (2) the default or delinquency amounted 
to less than $100,000; (3) the default or delinquency was paid within 
six months after receiving the notice of the final payment deadline or 
delinquency; or (4) the default or delinquency was the subject of a 
legal or arbitration proceeding and was cured upon resolution of the 
proceeding.
    44. Applicants are encouraged to review previous guidance provided 
by the Wireless Telecommunications Bureau on default and delinquency 
disclosure requirements in the context of the auction short-form 
application process. For example, it has been determined that, to the 
extent that Commission rules permit late payment of regulatory or 
application fees accompanied by late fees, such debts will become 
delinquent for purposes of 47 CFR 1.2105(a) and 1.2106(a) only after 
the expiration of a final payment deadline. Therefore, with respect to 
regulatory or application fees, the provisions of 47 CFR 1.2105(a) and 
1.2106(a) regarding default and delinquency in connection with 
competitive bidding are limited to circumstances in which the relevant 
party has not complied with a final Commission payment deadline. 
Parties are also encouraged to consult with the Wireless 
Telecommunications Bureau's Auctions and Spectrum Access Division staff 
if they have any questions about default and delinquency disclosure 
requirements.
    45. The Commission considers outstanding debts owed to the United 
States Government, in any amount, to be a serious matter. The 
Commission adopted rules, including a provision referred to as the red 
light rule, that implement its obligations under the Debt Collection 
Improvement Act of 1996, but the Commission's adoption of the red light 
rule does not alter the applicability of any of its competitive bidding 
rules, including the provisions and certifications of 47 CFR 1.2105 and 
1.2106, with regard to current and former defaults or delinquencies.
    46. The Bureaus remind each applicant, however, that the 
Commission's Red Light Display System, which provides information 
regarding debts currently owed to the Commission, may not be 
determinative of an auction applicant's ability to comply with the 
default and delinquency disclosure requirements of 47 CFR 1.2105. Thus, 
while the red light rule ultimately may prevent the processing of long-
form applications by auction winners, an auction applicant's lack of 
current red light status is not necessarily determinative of its 
eligibility to participate in an auction or of its upfront payment 
obligation.
    47. Moreover, applicants in Auction 83 should note that any long-
form applications filed after the close of bidding will be reviewed for 
compliance with the Commission's red light rule, and such review may 
result in the dismissal of a winning bidder's long-form application. 
The Bureaus strongly encourage each applicant to carefully review all 
records and other available federal agency databases and information 
sources to determine whether the applicant, or any of its affiliates 
(as defined in 47 CFR 1.2110), or any of its controlling interests, or 
any of the affiliates of its controlling interests, owes or was ever 
delinquent in the payment of non-tax debt owed to any federal agency.

III. Pre-Auction Procedures

A. Online Tutorial on Bidding Process--Available April 12, 2018

    48. An educational auction tutorial became available on the Auction 
83 web page on Thursday, April 12, 2018. The tutorial will remain 
available and accessible anytime for reference in connection with the 
procedures outlined in the Auction 83 Procedures Public Notice.

B. Revised Short-Form Applications--Due Prior to 6:00 p.m. ET on April 
26, 2018

    49. During the remedial filing window, each Auction 83 applicant 
listed in Attachment A must, at a minimum, provide sufficient 
information in the data fields of the form such that it is able to 
certify and submit its Form 175 via the FCC's auction application 
system. If any information in its Form 175 or its attachments is 
inaccurate or otherwise needs to be updated, any such changes must be 
reported in its Form 175 during the upcoming remedial filing window. 
Attachment B of the Auction 83 Procedures Public Notice contains 
instructions for updating short-form applications in the remedial 
window. Updates to the short-form application must be submitted prior 
to 6:00 p.m. ET on April 26, 2018. No application fee is required.
    50. Previously submitted short-form applications may be viewed and 
updated at any time from noon ET on April 16, 2018, until the filing 
window closes at 6:00 p.m. ET on April 26, 2018. Applicants are 
strongly encouraged to file early and are responsible for allowing 
adequate time for filing their applications. Applications can be 
updated or amended multiple times until the remedial filing deadline at 
6:00 p.m. ET on April 26, 2018.
    51. An applicant must click on the SUBMIT button on the ``Certify & 
Submit'' screen to successfully submit its FCC Form 175 and any 
modifications; otherwise the application or changes to the application 
will not be received or reviewed by Commission staff.

C. Application Processing and Corrections of Deficiencies

    52. The Commission will process all applications for permits listed 
in Attachment A of the Auction 83 Procedures Public Notice that are 
certified and submitted during the remedial filing window to determine 
which are complete, incomplete, or incomplete-disqualified. Subsequent 
to the remedial filing window the Bureaus will issue a public notice 
identifying the status of each application. An applicant whose 
application is incomplete will have a limited opportunity to address 
deficiencies during a resubmission window, the dates for which will be 
announced in a future public notice. If a listed Auction 83 applicant 
does not certify and submit its Form 175 auction application during the 
remedial filing window, its application will be designated as 
incomplete-disqualified, and the applicant will be disqualified from 
further participation in Auction 83.
    53. Commission staff will communicate only with an applicant's 
contact person or certifying official, as designated on the short-form 
application, unless the applicant's certifying official or contact 
person notifies the Commission in writing that applicant's counsel or 
other representative is authorized to speak on its behalf. 
Authorizations may be sent by email to [email protected].

D. Upfront Payments--Due May 31, 2018

    54. In order to be eligible to bid in this auction, a sufficient 
upfront payment and a complete and accurate FCC Remittance Advice Form 
(FCC Form 159) must be submitted prior to 6:00 p.m. ET on May 31, 2018, 
following the procedures outlined below and the instructions in 
Attachment C to the

[[Page 18448]]

Auction 83 Procedures Public Notice. After completing its short-form 
application, an applicant will have access to an electronic version of 
the FCC Form 159. This Form 159 can be printed and the completed form 
must be sent by fax to the FCC at (202) 418-2843.
1. Making Upfront Payments by Wire Transfer
    55. Wire transfer payments must be received before 6:00 p.m. ET on 
May 31, 2018. No other payment method is acceptable. Specifically, the 
Commission will not accept checks, credit cards or automated clearing 
house payments. To avoid untimely payments, applicants should discuss 
arrangements (including bank closing schedules) with their bankers 
several days before they plan to make the wire transfer, and allow 
sufficient time for the transfer to be initiated and completed before 
the deadline. The BNF Account Number is specific to the upfront 
payments for this auction. Do not use BNF Account Number from previous 
auctions. The following information will be needed:

ABA Routing Number: 021000021
Receiving Bank: JP Morgan Chase
Beneficiary: FCC/Account #267516869
Originating Bank Information (OBI Field): (Skip one space between each 
information item) ``AUCTIONPAY''
Applicant FCC Registration Number (FRN): (same as FCC Form 159, block 
21)
Payment Type Code: (same as FCC Form 159, block 24A: ``U083'')
FCC Code 1: (same as FCC Form 159, block 28A: ``83'')
Payer Name: (same as FCC Form 159, block 2)
Payer FCC Registration Number (FRN): (If different from applicant FRN): 
#

    56. At least one hour before placing the order for the wire 
transfer (but on the same business day), applicants must fax a 
completed FCC Form 159 (Revised 2/03) to the FCC at (202) 418-2843. On 
the fax cover sheet, write ``Wire Transfer--Auction Payment for Auction 
83.'' In order to meet the upfront payment deadline, an applicant's 
payment must be credited to the Commission's account for Auction 83 
before the deadline.
    57. Each applicant is responsible for ensuring timely submission of 
its upfront payment and for timely filing of an accurate and complete 
FCC Remittance Advice Form (FCC Form 159). An applicant should 
coordinate with its financial institution well ahead of the due date 
regarding its wire transfer. The Commission repeatedly has cautioned 
auction participants about the importance of planning ahead to prepare 
for unforeseen last-minute difficulties in making payments by wire 
transfer. Each applicant also is responsible for obtaining confirmation 
from its financial institution that its wire transfer to JP Morgan 
Chase was successful and from Commission staff that its upfront payment 
was timely received and that it was deposited into the proper account. 
To receive confirmation from Commission staff, contact Gail Glasser of 
the Office of Managing Director's Revenue & Receivables Operations 
Group/Auctions at (202) 418-0578, or alternatively, Theresa Meeks at 
(202) 418-2945.
    58. All upfront payments must be made in U.S. dollars. All upfront 
payments must be made by wire transfer. Upfront payments for Auction 83 
go to an account number different from the accounts used in previous 
FCC auctions. Failure to deliver a sufficient upfront payment as 
instructed in the Auction 83 Procedures Public Notice by the deadline 
on May 31, 2018 will result in dismissal of the short-form application 
and disqualification from further participation in the auction.
2. FCC Form 159
    59. An accurate and complete FCC Remittance Advice Form (FCC Form 
159, Revised 2/03) must be faxed to the FCC at (202) 418-2843 to 
accompany each upfront payment. Proper completion of this form is 
critical to ensuring correct crediting of upfront payments. Detailed 
instructions for completion of FCC Form 159 are included in Attachment 
C. An electronic pre-filled version of the FCC Form 159 is available 
after submitting the FCC Form 175. Payers using the pre-filled FCC Form 
159 are responsible for ensuring that all of the information on the 
form, including payment amounts, is accurate.
3. Upfront Payments and Bidding Eligibility
    60. Applicants must make upfront payments sufficient to obtain 
bidding eligibility on the construction permits on which they will bid. 
The Bureaus proposed in the Auction 83 Comment Public Notice that the 
amount of the upfront payment would determine a bidder's initial 
bidding eligibility, the maximum number of bidding units on which a 
bidder may place bids in any single round. The Bureaus received no 
comment on the proposal that the upfront payment amount would determine 
a bidder's initial bidding eligibility, and this proposal is adopted.
    61. Under the Bureaus' proposal, in order to bid on a particular 
construction permit, otherwise qualified bidders that are designated in 
Attachment A of the Auction 83 Procedures Public Notice for that 
construction permit must have a current eligibility level that meets or 
exceeds the number of bidding units assigned to that construction 
permit. At a minimum, therefore, an applicant's total upfront payment 
must be enough to establish eligibility to bid on at least one of the 
construction permits designated for that applicant in Attachment A of 
the Auction 83 Procedures Public Notice, or else the applicant will not 
be eligible to participate in the auction. An applicant does not have 
to make an upfront payment to cover all construction permits designated 
for that applicant in Attachment A of the Auction 83 Procedures Public 
Notice, but only enough to cover the maximum number of bidding units 
that are associated with construction permits on which they wish to 
place bids and hold provisionally winning bids in any given round. (A 
provisionally winning bid is a bid that would become a final winning 
bid if the auction were to close after the given round.) The total 
upfront payment does not affect the total dollar amount the bidder may 
bid on any given construction permit.
    62. In the Auction 83 Comment Public Notice, the Bureaus proposed 
an upfront payment for each construction permit, taking into account 
various factors related to the efficiency of the auction process and 
the potential value of similar spectrum, and sought comment on this 
proposal. The Bureaus received no comment on the specified upfront 
payment amounts for each construction permit in Auction 83, and the 
proposed upfront payment amounts are adopted. The specific upfront 
payment amounts and bidding units for each construction permit are set 
forth in Attachment A of the Auction 83 Procedures Public Notice.
    63. In calculating its upfront payment amount, an applicant should 
determine the maximum number of bidding units on which it may wish to 
be active (bid on or hold provisionally winning bids on) in any single 
round, and submit an upfront payment amount covering that number of 
bidding units. In order to make this calculation, an applicant should 
add together the bidding units for all construction permits on which it 
seeks to be active in any given round. Applicants should check their 
calculations carefully, as there is no provision for increasing a 
bidder's eligibility after the upfront payment deadline. A qualified 
bidder's maximum eligibility will not exceed the sum of the bidding 
units associated with the total

[[Page 18449]]

number of construction permits identified for that applicant in 
Attachment A of the Auction 83 Procedures Public Notice.
    64. Applicants that are former defaulters, as described in the 
Auction 83 Procedures Public Notice, must pay upfront payments 50 
percent greater than non-former defaulters. For this classification as 
a former defaulter or a former delinquent, defaults and delinquencies 
of the applicant itself and its controlling interests are included. For 
this purpose, the term controlling interest is defined in 47 CFR 
1.2105(a)(4)(i). If a former defaulter fails to submit a sufficient 
upfront payment to establish eligibility to bid on at least one of the 
construction permits designated for that applicant in Attachment A of 
the Auction 83 Procedures Public Notice, that applicant will not be 
eligible to participate further in Auction 83. This applicant will 
retain its status as an applicant in Auction 83, and will remain 
subject to 47 CFR 1.2105(c) and 73.5002(d).
    65. If an applicant is a former defaulter, it must calculate its 
upfront payment for all of its identified construction permits by 
multiplying the number of bidding units on which it wishes to be active 
by 1.5. In order to calculate the number of bidding units to assign to 
former defaulters, the Commission will divide the upfront payment 
received by 1.5 and round the result up to the nearest bidding unit.

E. Auction Registration

    66. At least one week before the beginning of bidding in the 
auction, the Bureaus will issue a public notice announcing all 
qualified bidders for the auction. Qualified bidders are those 
applicants with submitted FCC Form 175 applications that are deemed 
timely filed, accurate, and substantially complete, provided that such 
applicants have timely submitted an upfront payment that is sufficient 
to qualify them to bid.
    67. All qualified bidders are automatically registered for the 
auction. Registration materials will be distributed prior to the 
auction by overnight mail. The mailing will be sent only to the contact 
person at the contact address listed in the FCC Form 175 and will 
include the SecurID[supreg] tokens that will be required to place bids, 
the web address and instructions for accessing and logging in to the 
auction bidding system, an FCC assigned username (User ID) for each 
authorized bidder, and the Auction Bidder Line phone number.
    68. Qualified bidders that do not receive this registration mailing 
will not be able to submit bids. Therefore, if this mailing is not 
received by noon on Thursday, June 14, 2018, the contact, certifier or 
authorized bidder listed on that applicant's Form 175 needs to call the 
Auctions Hotline at (717) 338-2868. Receipt of this registration 
mailing is critical to participating in the auction, and each applicant 
is responsible for ensuring it has received all of the registration 
material.
    69. In the event that SecurID[supreg] tokens are lost or damaged, 
only a person who has been designated as an authorized bidder, the 
contact person, or the certifying official on the applicant's short-
form application may request replacements. To request replacement of 
these items, call Technical Support at (877) 480-3201, option nine; 
(202) 414-1250; or (202) 414-1255 (TTY).

F. Remote Electronic Bidding

    70. The Commission will conduct this auction over the internet, and 
telephonic bidding will be available as well. Only qualified bidders 
are permitted to bid. Each applicant should indicate its bidding 
preference, electronic or telephonic, on its FCC Form 175. In either 
case, each authorized bidder must have its own SecurID[supreg] token, 
which the Commission will provide at no charge. Each applicant with one 
authorized bidder will be issued two SecurID[supreg] tokens, while 
applicants with two or three authorized bidders will be issued three 
tokens. For security purposes, the SecurID[supreg] tokens, bidding 
system web address, FCC assigned username, and the telephonic bidding 
telephone number are only mailed to the contact person at the contact 
address listed on the FCC Form 175. Each SecurID[supreg] token is 
tailored to a specific auction. SecurID[supreg] tokens issued for other 
auctions or obtained from a source other than the FCC will not work for 
Auction 83.

G. Mock Auction--June 19, 2018

    71. All qualified bidders will be eligible to participate in a mock 
auction on Tuesday, June 19, 2018. The mock auction will enable bidders 
to become familiar with the FCC auction bidding system prior to the 
auction. The Bureaus strongly recommend that all bidders participate in 
the mock auction. Details will be announced by public notice.

IV. Auction

    72. The first round of bidding for Auction 83 will begin on 
Thursday, June 21, 2018. The initial bidding schedule will be announced 
in a public notice listing the qualified bidders, which is released at 
least one week before the start of the auction.

A. Auction Structure

1. Simultaneous Multiple Round Auction
    73. In the Auction 83 Comment Public Notice, the Bureaus proposed 
to auction all construction permits listed in Attachment A of the 
Auction 83 Procedures Public Notice in a single auction using the 
Commission's standard simultaneous multiple-round auction format. This 
type of auction offers every construction permit for bid at the same 
time and consists of successive bidding rounds in which qualified 
bidders may place bids on individual construction permits. The Bureaus 
received no comment on this proposal, and this proposal is adopted. 
Unless otherwise announced, bids will be accepted on all construction 
permits in each round of the auction until bidding stops on every 
construction permit.
2. Eligibility and Activity Rules
    74. As discussed in the Auction 83 Procedures Public Notice, the 
Bureaus will use upfront payments to determine initial (maximum) 
bidding eligibility (as measured in bidding units) for Auction 83. The 
amount of the upfront payment submitted by a bidder determines initial 
bidding eligibility, the maximum number of bidding units on which a 
bidder may be active. As noted earlier, each construction permit is 
assigned a specific number of bidding units as listed in Attachment A 
of the Auction 83 Procedures Public Notice. Bidding units assigned to 
each construction permit do not change as prices rise during the 
auction. Upfront payments are not attributed to specific construction 
permits. Rather, a bidder may place bids on any of the construction 
permits for which it is designated an applicant in Attachment A of the 
Auction 83 Procedures Public Notice as long as the total number of 
bidding units associated with those construction permits does not 
exceed its current eligibility. Eligibility cannot be increased during 
the auction; it can only remain the same or decrease. Thus, in 
calculating its upfront payment amount and therefore its initial 
bidding eligibility, an applicant must determine the maximum number of 
bidding units on which it may wish to bid or hold provisionally winning 
bids in any single round, and submit an upfront payment amount covering 
that total number of bidding units. At a minimum, an applicant's 
upfront payment must cover the bidding units for at least one of the

[[Page 18450]]

construction permits for which it is designated an applicant in 
Attachment A of the Auction 83 Procedures Public Notice. The total 
upfront payment does not affect the total dollar amount a bidder may 
bid on any given construction permit. The Bureaus received no comments 
on the bidding eligibility proposals, and these proposals are adopted.
    75. In order to ensure that an auction closes within a reasonable 
period of time, an activity rule requires bidders to bid actively 
throughout the auction, rather than wait until late in the auction 
before participating. Bidders are required to be active on a specific 
percentage of their current bidding eligibility during each round of 
the auction.
    76. A bidder's activity level in a round is the sum of the bidding 
units associated with construction permits covered by the bidder's new 
bids in the current round and provisionally winning bids from the 
previous round. A provisionally winning bid is a bid that would become 
a final winning bid if the auction were to close after the given round.
    77. The Bureaus received no comment on the activity rule proposal. 
Therefore, the Bureaus adopt the following activity requirement: A 
bidder is required to be active on 100 percent of its current 
eligibility during each round of the auction. That is, a bidder must 
either place a bid or be a provisionally winning bidder during each 
round of the auction. Failure to maintain the requisite activity level 
will result in the use of an activity rule waiver, if any remain, or a 
reduction in the bidder's eligibility, possibly curtailing or 
eliminating the bidder's ability to place additional bids in the 
auction.
3. Activity Rule Waivers
    78. In the Auction 83 Comment Public Notice, the Bureaus proposed 
that each bidder in the auction be provided with three activity rule 
waivers. The Bureaus received no comment on this issue.
    79. Therefore, the Bureaus adopt this proposal to provide bidders 
with three activity rule waivers. Bidders may use an activity rule 
waiver in any round during the course of the auction. Use of an 
activity rule waiver preserves the bidder's eligibility despite its 
activity in the current round being below the required minimum activity 
level. An activity rule waiver applies to an entire round of bidding, 
not to a particular construction permit. Activity rule waivers can be 
either proactive or automatic. Activity rule waivers are principally a 
mechanism for a bidder to avoid the loss of bidding eligibility in the 
event that exigent circumstances prevent it from bidding in a 
particular round.
    80. The FCC auction bidding system will assume that a bidder that 
does not meet the activity requirement would prefer to use an activity 
rule waiver (if available) rather than lose bidding eligibility. 
Therefore, the system will automatically apply a waiver at the end of 
any bidding round in which a bidder's activity level is below the 
minimum required unless (1) the bidder has no activity rule waivers 
remaining or (2) the bidder overrides the automatic application of a 
waiver by reducing eligibility, thereby meeting the activity 
requirement. If a bidder has no waivers remaining and does not satisfy 
the required activity level, the bidder's current eligibility will be 
permanently reduced, possibly curtailing or eliminating the ability to 
place additional bids in the auction.
    81. A bidder with insufficient activity may wish to reduce its 
bidding eligibility rather than use an activity rule waiver. If so, the 
bidder must affirmatively override the automatic waiver mechanism 
during the bidding round by using the reduce eligibility function in 
the FCC auction bidding system. In this case, the bidder's eligibility 
would be permanently reduced to bring it into compliance with the 
activity rule described in the Auction 83 Procedures Public Notice. 
Reducing eligibility is an irreversible action; once eligibility has 
been reduced, a bidder cannot regain its lost bidding eligibility.
    82. Also, a bidder may apply an activity rule waiver proactively as 
a means to keep the auction open without placing a bid. If a bidder 
proactively were to apply an activity rule waiver (using the proactive 
waiver function in the FCC auction bidding system) during a bidding 
round in which no bid is placed, the auction will remain open and the 
bidder's eligibility will be preserved. An automatic waiver applied by 
the FCC auction bidding system in a round in which there is no new bid 
or no proactive waiver will not keep the auction open.
4. Auction Stopping Rule
    83. For Auction 83, the Bureaus proposed to employ a simultaneous 
stopping rule approach, which means all construction permits remain 
available for bidding until bidding stops on every construction permit. 
Specifically, bidding will close on all construction permits after the 
first round in which no bidder submits any new bid or applies a 
proactive waiver.
    84. The Bureaus also sought comment on alternative versions of the 
simultaneous stopping rule for Auction 83. (1) The auction would close 
for all construction permits after the first round in which no bidder 
applies a waiver or places any new bid on a construction permit for 
which it is not the provisionally winning bidder. Thus, absent any 
other bidding activity, a bidder placing a new bid on a construction 
permit for which it is the provisionally winning bidder would not keep 
the auction open under this modified stopping procedure. (2) The 
auction would close for all construction permits after the first round 
in which no bidder applies a proactive waiver or places any new bid on 
a construction permit that already has a provisionally winning bid. 
Thus, absent any other bidding activity, a bidder placing a new bid on 
an FCC-held construction permit (a construction permit that does not 
have a provisionally winning bid) would not keep the auction open under 
this modified stopping procedure. (3) The auction would close using a 
modified version of the simultaneous stopping procedure that combines 
options (1) and (2). (4) The auction would close after a specified 
number of additional rounds (special stopping procedure) to be 
announced by the Bureaus. If the Bureaus invoke this special stopping 
procedure, they will accept bids in the specified final round(s), after 
which the auction will close. (5) The auction would remain open even if 
no bidder places any new bids or applies a waiver. In this event, the 
effect will be the same as if a bidder had applied a waiver. The 
activity rule will apply as usual, and a bidder with insufficient 
activity will either lose bidding eligibility or use a waiver.
    85. The Bureaus proposed to exercise these options only in certain 
circumstances, for example, where the auction is proceeding unusually 
slowly or quickly, there is minimal overall bidding activity, or it 
appears likely that the auction will not close within a reasonable 
period of time or will close prematurely. Before exercising these 
options, the Bureaus are likely to attempt to change the pace of the 
auction. For example, the Bureaus may adjust the pace of bidding by 
changing the number of bidding rounds per day and/or the minimum 
acceptable bids. The Bureaus proposed to retain the discretion to 
exercise any of these options with or without prior announcement during 
the auction. The Bureaus received no comment on these proposals and 
adopt them for Auction 83.

[[Page 18451]]

5. Auction Delay, Suspension, or Cancellation
    86. The Bureaus received no comment on their proposals in the 
Auction 83 Comment Public Notice regarding auction delay, suspension, 
or cancellation, and adopt them. By public notice and/or by 
announcement through the FCC auction bidding system, the Bureaus may 
delay, suspend, or cancel bidding in the auction in the event of 
natural disaster, technical obstacle, administrative or weather 
necessity, evidence of an auction security breach or unlawful bidding 
activity, or for any other reason that affects the fair and efficient 
conduct of competitive bidding. In such cases, the Bureaus, in their 
sole discretion, may elect to resume the auction starting from the 
beginning of the current round or from some previous round, or cancel 
the auction in its entirety. Network interruption may cause the Bureaus 
to delay or suspend the auction. The Bureaus emphasize that they will 
exercise this authority solely at their discretion, and not as a 
substitute for situations in which bidders may wish to apply their 
activity rule waivers.

B. Bidding Procedures

1. Round Structure
    87. The initial schedule of bidding rounds will be announced in the 
public notice listing the qualified bidders, which is released at least 
one week before the start of bidding in the auction. Each bidding round 
is followed by the release of round results. Multiple bidding rounds 
may be conducted each day.
    88. In the Auction 83 Comment Public Notice, the Bureaus proposed 
to retain the discretion to change the bidding schedule in order to 
foster an auction pace that reasonably balances speed with the bidders' 
need to study round results and adjust their bidding strategies. The 
Bureaus received no comment on these proposals, and adopt them for 
Auction 83. The Bureaus may change the amount of time for the bidding 
rounds, the amount of time between rounds, or the number of rounds per 
day, depending upon bidding activity and other factors.
2. Reserve Price and Minimum Opening Bids
    89. A reserve price is an absolute minimum price below which a 
construction permit or license will not be sold in a specific auction. 
In the Auction 83 Comment Public Notice, the Bureaus did not propose to 
establish reserve prices for the construction permits listed in 
Attachment A. The Bureaus did not receive comment on this proposal, and 
adopt it.
    90. A minimum opening bid is the minimum bid price set at the 
beginning of the auction below which no bids are accepted. The Bureaus 
in the Auction 83 Comment Public Notice sought comment on specifically 
proposed minimum opening bid amounts for each construction permit 
listed in Attachment A to the Auction 83 Procedures Public Notice. 
Specifically, a minimum opening bid was proposed for each construction 
permit by taking into account various factors relating to the 
efficiency of the auction and the potential value of the spectrum, 
including the type of service and class of facility offered, market 
size, population covered by the proposed broadcast facility, industry 
cash flow data, and recent broadcast transactions.
    91. The Bureaus received no comment on the proposed minimum opening 
bid amounts, and therefore the Bureaus adopt the minimum opening bid 
amounts proposed in the Auction 83 Comment Public Notice. The specific 
minimum opening bid amounts for each of the construction permits are 
again specified in Attachment A to the Auction 83 Procedures Public 
Notice.
3. Bid Amounts
    92. In the Auction 83 Comment Public Notice, the Bureaus proposed 
that in each round, if the bidder has sufficient eligibility to place a 
bid on the particular construction permit, an eligible bidder will be 
able to place a bid on a given construction permit in any of up to nine 
different amounts. Under the proposal, the FCC auction bidding system 
interface will list the nine acceptable bid amounts for each 
construction permit. The Bureaus received no comment on this proposal; 
therefore, it is adopted.
    93. For calculation of the nine acceptable bid amounts for each 
construction permit, the Bureaus did not receive any comment on a 
proposal to use 10 percent for a minimum acceptable bid increment 
percentage and to use 5 percent for an additional bid increment 
percentage. Therefore, the Bureaus will begin the auction with a 
minimum acceptable bid increment percentage of 10 percent and an 
additional bid increment percentage of 5 percent.
    94. In Auction 83, the minimum acceptable bid amount for a 
construction permit will be equal to its minimum opening bid amount 
until there is a provisionally winning bid for the construction permit. 
After there is a provisionally winning bid for a construction permit, 
the minimum acceptable bid amount will be calculated by multiplying the 
provisionally winning bid amount by one plus the minimum acceptable bid 
percentage, i.e., provisionally winning bid amount * 1.10, rounded 
under the Commission's standard rounding procedures for auctions as 
described in the Auction 83 Procedures Public Notice.
    95. In Auction 83, the FCC auction bidding system will calculate 
the eight additional bid amounts by multiplying the minimum acceptable 
bid amount by the additional bid increment percentage of 5 percent, and 
that result (rounded) is the additional increment amount. The first 
additional acceptable bid amount equals the minimum acceptable bid 
amount plus the additional increment amount. The second additional 
acceptable bid amount equals the minimum acceptable bid amount plus two 
times the additional increment amount; the third additional acceptable 
bid amount is the minimum acceptable bid amount plus three times the 
additional increment amount, etc. Because the additional bid increment 
percentage is 5 percent, the calculation of the additional increment 
amount is (minimum acceptable bid amount) * (0.05), rounded. The first 
additional acceptable bid amount equals (minimum acceptable bid amount) 
+ (additional increment amount); the second additional acceptable bid 
amount equals (minimum acceptable bid amount) + (2 * (additional 
increment amount)); the third additional acceptable bid amount equals 
(minimum acceptable bid amount) + (3 * (additional increment amount)); 
etc.
    96. The Bureaus proposed to retain the discretion to change the 
minimum acceptable bid amounts, the minimum acceptable bid percentage, 
the additional bid increment percentage, and the number of acceptable 
bid amounts if the Bureaus determine that circumstances so dictate. 
Further, the Bureaus proposed to retain the discretion to do so on a 
construction permit-by-construction permit basis. The Bureaus also 
proposed to retain the discretion to limit (a) the amount by which a 
minimum acceptable bid for a construction permit may increase compared 
with the corresponding provisionally winning bid, and (b) the amount by 
which an additional bid amount may increase compared with the 
immediately preceding acceptable bid amount. For example, the Bureaus 
could set a $1,000 limit on increases in minimum acceptable bid amounts 
over provisionally winning bids. Thus, if calculating a minimum 
acceptable bid using the minimum acceptable bid

[[Page 18452]]

percentage results in a minimum acceptable bid amount that is $1,200 
higher than the provisionally winning bid on a construction permit, the 
minimum acceptable bid amount would instead be capped at $1,000 above 
the provisionally winning bid.
    97. The Bureaus did not receive any comment on their proposals to 
retain the discretion to change bid amounts as described in the Auction 
83 Procedures Public Notice, if they determine that circumstances so 
dictate. The Bureaus adopt these proposals. If the Bureaus exercise 
this discretion, they will alert bidders by announcement in the FCC 
auction bidding system during the auction.
4. Provisionally Winning Bids
    98. The FCC auction bidding system at the end of each bidding round 
will determine a provisionally winning bid for each construction permit 
based on the highest bid amount received for that permit. A 
provisionally winning bid will remain the provisionally winning bid 
until there is a higher bid on the same construction permit at the 
close of a subsequent round. Provisionally winning bids at the end of 
the auction become the winning bids.
    99. In the Auction 83 Comment Public Notice, the Bureaus proposed 
to use a pseudo-random number generator to select a single 
provisionally winning bid in the event of identical high bid amounts 
being submitted on a construction permit in a given round (i.e., tied 
bids). No comments were received on this proposal. Hence, the Bureaus 
adopt this tied bids proposal.
    100. Accordingly, the FCC auction bidding system will assign a 
pseudo-random number to each bid upon submission. The tied bid with the 
highest pseudo-random number wins the tiebreaker, and becomes the 
provisionally winning bid. The remaining bidders, as well as the 
provisionally winning bidder, can submit higher bids in subsequent 
rounds. However, if the auction were to close with no other bids being 
placed, the winning bidder would be the one that placed the 
provisionally winning bid. If the construction permit receives any bids 
in a subsequent round, the provisionally winning bid again will be 
determined by the highest bid amount received for the construction 
permit.
    101. A provisionally winning bid will be retained until there is a 
higher bid on the construction permit at the close of a subsequent 
round. As a reminder, provisionally winning bids count toward activity 
for purposes of the activity rule.
5. Bidding
    102. All bidding will take place remotely either through the FCC 
auction bidding system or by telephonic bidding. There will be no on-
site bidding during Auction 83. Please note that telephonic bid 
assistants are required to use a script when entering bids placed by 
telephone. Telephonic bidders are therefore reminded to allow 
sufficient time to bid by placing their calls well in advance of the 
close of a round. The length of a call to place a telephonic bid may 
vary; please allow a minimum of ten minutes.
    103. An Auction 83 bidder's ability to bid on specific construction 
permits is determined by two factors: (1) The construction permits 
designated for that applicant in Attachment A of the Auction 83 
Procedures Public Notice and (2) the bidder's eligibility. The bid 
submission screens will allow bidders to submit bids on only those 
construction permits designated for that applicant in Attachment A of 
the Auction 83 Procedures Public Notice.
    104. In order to access the bidding function of the FCC auction 
bidding system, bidders must be logged in during the bidding round 
using the passcode generated by the SecurID[supreg] token and a 
personal identification number (PIN) created by the bidder. Bidders are 
strongly encouraged to print a round summary for each round after they 
have completed all of their activity for that round.
    105. If a bidder has sufficient eligibility to place a bid on the 
particular construction permit, eligible bidders will be able to place 
bids on a given construction permit in any of up to nine pre-defined 
bid amounts in each round. For each construction permit, the FCC 
auction bidding system will list the acceptable bid amounts in a drop-
down box. Bidders use the drop-down box to select from among the 
acceptable bid amounts. The FCC auction bidding system also includes an 
upload function that allows text files containing bid information to be 
uploaded.
    106. Until a bid has been placed on a construction permit, the 
minimum acceptable bid amount for that permit will be equal to its 
minimum opening bid amount. Once there are bids on a permit, minimum 
acceptable bids for the following round will be determined as described 
in the Auction 83 Procedures Public Notice.
    107. During a round, an eligible bidder may submit bids for as many 
construction permits as it wishes (providing that it is eligible to bid 
on the specific permits), remove bids placed in the current bidding 
round, or permanently reduce eligibility. If multiple bids are 
submitted for the same construction permit in the same round, the 
system takes the last bid entered as that bidder's bid for the round. 
Bidding units associated with construction permits for which the bidder 
has removed bids do not count towards current activity.
6. Bid Removal and Bid Withdrawal
    108. In the Auction 83 Comment Public Notice, the Bureaus explained 
bid removal procedures in the FCC auction bidding system. Each 
qualified bidder has the option of removing any bids placed in a round 
provided that such bids are removed before the close of that bidding 
round. By removing a bid within a round, a bidder effectively unsubmits 
the bid. A bidder removing a bid placed in the same round is not 
subject to withdrawal payments. Removing a bid will affect a bidder's 
activity because a removed bid no longer counts toward bidding activity 
for the round. Once a round closes, a bidder may no longer remove a 
bid.
    109. In the Auction 83 Comment Public Notice, the Bureaus proposed 
to prohibit bidders from withdrawing any bid after close of the round 
in which that bid was placed. The Bureaus received no comment on this 
issue of bid withdrawal. Accordingly, the Bureaus will prohibit bid 
withdrawals in Auction 83. Bidders are cautioned to select bid amounts 
carefully because no bid withdrawals will be allowed, even if a bid was 
mistakenly or erroneously made.
7. Round Results
    110. Reports reflecting bidders' identities for Auction 83 will be 
available before and during the auction. Thus, bidders will know in 
advance of this auction the identities of the bidders against which 
they are bidding.
    111. Bids placed during a round will not be made public until the 
conclusion of that round. After a round closes, the Bureaus will 
compile reports of all bids placed, current provisionally winning bids, 
new minimum acceptable bid amounts for the following round, whether the 
construction permit is FCC-held, and bidder eligibility status (bidding 
eligibility and activity rule waivers), and post the reports for public 
access.
8. Auction Announcements
    112. The Commission will use auction announcements to report 
necessary information such as schedule changes. All auction 
announcements will be available by clicking a link in the FCC auction 
bidding system.

[[Page 18453]]

V. Post-Auction Procedures

    113. Shortly after bidding has ended, the Commission will issue a 
public notice declaring the auction closed, identifying the winning 
bidders, and establishing deadlines for submitting down payments, final 
payments, and long-form applications (FCC Forms 349).

A. Down Payments

    114. Within ten business days after release of the auction closing 
public notice, each winning bidder must submit sufficient funds (in 
addition to its upfront payment) to bring its total amount of money on 
deposit with the Commission for Auction 83 to twenty percent of the net 
amount of its winning bids (gross bids less any applicable new entrant 
bidding credits).

B. Final Payments

    115. Each winning bidder will be required to submit the balance of 
the net amount for each of its winning bids within ten business days 
after the applicable deadline for submitting down payments.

C. Long-Form Applications (FCC Form 349)

    116. The Commission's rules currently provide that within thirty 
days following the close of bidding and notification to the winning 
bidders, unless a longer period is specified by public notice, winning 
bidders must electronically submit a properly completed long-form 
application (FCC Form 349, Application for Authority to Construct or 
Make Changes in an FM Translator or FM Booster Station) and required 
exhibits for each construction permit won through Auction 83. Winning 
bidders claiming new entrant status must include an exhibit 
demonstrating their eligibility for the bidding credit. The 
Commission's rules also provide that a winning bidder in a commercial 
broadcast spectrum auction is required to submit an application filing 
fee with its post-auction long-form application. Further instructions 
on these and other filing requirements will be provided to winning 
bidders in the auction closing public notice. An Auction 83 applicant 
that has its long-form application dismissed will be deemed to have 
defaulted and will be subject to default payments under 47 CFR 
1.2104(g) and 1.2109(c).

D. Default and Disqualification

    117. Any winning bidder that defaults or is disqualified after the 
close of the auction (i.e., fails to remit the required down payment by 
the specified deadline, fails to submit a timely long-form application, 
fails to make a full and timely final payment, or is otherwise 
disqualified) is liable for default payments as described in 47 CFR 
1.2104(g)(2). This payment consists of a deficiency payment, equal to 
the difference between the amount of the Auction 83 bidder's winning 
bid and the amount of the winning bid the next time a construction 
permit covering the same spectrum is won in an auction, plus an 
additional payment equal to a percentage of the defaulter's bid or of 
the subsequent winning bid, whichever is less.
    118. In the Auction 83 Comment Public Notice, the Bureaus proposed 
to set the percentage of the applicable bid to be assessed as an 
additional payment for any Auction 83 default at 20 percent of the 
applicable bid. The Bureaus received no comment on this proposal, and 
it is therefore adopted.
    119. Finally, in the event of a default, the Commission has the 
discretion to re-auction the construction permit or offer it to the 
next highest bidder (in descending order) at its final bid amount. In 
addition, if a default or disqualification involves gross misconduct, 
misrepresentation, or bad faith by an applicant, the Commission may 
declare the applicant and its principals ineligible to bid in future 
auctions, and may take any other action that it deems necessary, 
including institution of proceedings to revoke any existing 
authorizations held by the applicant.

E. Refund of Remaining Upfront Payment Balance

    120. All refunds of upfront payment balances will be returned to 
the payer of record as identified on the FCC Form 159 unless the payer 
submits written authorization instructing otherwise. To access the 
refund form, bidders are encouraged to use the Refund Information icon 
found on the Auction Application Manager page or through the Refund 
Form link available on the Auction Application Submit Confirmation page 
in the FCC auction application system. After the required information 
is completed on the blank form, the form should be printed, signed, and 
submitted to the Commission by mail or fax as instructed below.
    121. If a bidder has elected not to complete the Refund Form 
through the Auction Application Manager page, the Commission is 
requesting that all information listed below be supplied in writing.

Name, address, contact and phone number of Bank
ABA Number
Account Number to Credit
Name of Account Holder
FCC Registration Number (FRN)

    The refund request must be submitted by fax to the Revenue & 
Receivables Operations Group/Auctions at (202) 418-2843 or by mail to:

    Federal Communications Commission, Financial Operations, Revenue & 
Receivables Operations Group/Auctions, Gail Glasser, 445 12th Street 
SW, Room 1-C864, Washington, DC 20554.

    Note: Refund processing generally takes up to two weeks to 
complete. Bidders with questions about refunds should contact Gail 
Glasser at (202) 418-0578 or Theresa Meeks at (202) 418-2945.

VI. Final Regulatory Flexibility Certification

    122. The Regulatory Flexibility Act of 1980, as amended (RFA), 5 
U.S.C. 603, requires that a regulatory flexibility analysis be prepared 
for a notice-and-comment rulemaking proceeding, unless the agency 
certifies that the rule will not, if promulgated, have a significant 
economic impact on a substantial number of small entities. The RFA 
generally defines the term small entity as having the same meaning as 
the terms small business, small organization, and small governmental 
jurisdiction. In addition, the term small business has the same meaning 
as the term small business concern under the Small Business Act, 5 
U.S.C. 601(3). 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 
Small Business Administration (SBA). 15 U.S.C 632.
    123. As required by the RFA, an Initial Regulatory Flexibility 
Certification (IRFC) was incorporated in the January 16, 2018, public 
notice seeking comment on competitive bidding procedures to be used in 
Auction 83. A summary of this public notice was published at 83 FR 
4455, Jan. 31, 2018. The Auction 83 Procedures Public Notice implements 
competitive bidding rules adopted by the Commission in multiple notice-
and-comment rulemaking proceedings, as well as establishes by the 
Bureaus, on delegated authority, additional procedures for competitive 
bidding in Auction 83 for certain FM translator construction permits. 
More specifically, the Public Notice provides an overview of the 
procedures, terms and conditions governing Auction 83 and the post-
auction application and payment processes. The Public Notice also

[[Page 18454]]

provides instructions for Auction 83 applicants to review, verify and 
update their previously filed short-form applications during the 
upcoming Remedial Window, as required. In addition, the Public Notice 
addresses three filings submitted by parties in response to the Auction 
83 Comment Public Notice.
    124. Auction 83 is a closed auction, therefore the specific 
competitive bidding procedures and minimum opening bid amounts 
described in the Auction 83 Comment Public Notice will affect only the 
57 individuals or entities listed in Attachment A to the Auction 83 
Procedures Public Notice who are eligible to complete the remaining 
steps to become qualified to bid in this auction. The latest available 
U.S. Census Bureau data show that there were 2,849 radio station firms 
that operated in 2012. Of that number 2,806 firms operated with annual 
receipts below the SBA's small business size standard of firms having 
$38.5 million or less in annual receipts. The 57 eligible individuals 
or entities for Auction 83 include firms of all sizes and constitute 
approximately two percent of all firms that operated and of firms 
meeting the SBA small business size standard. Consequently, because the 
proposed procedures and minimum opening bid amounts would affect a 
maximum of 57 radio station firms, or approximately two percent of the 
total, and not all 57 are small entities, the Bureaus find that a 
substantial number of small entities would not be affected by these 
competitive bidding procedures or minimum opening bid amounts contained 
in the Auction 83 Procedures Public Notice. Therefore, the Bureaus 
certify that these competitive bidding procedures and minimum opening 
bid amounts announced in the Auction 83 Procedures Public Notice will 
not have a significant economic impact on a substantial number of small 
entities.
    125. The Bureaus will send a copy of the Auctions 83 Procedures 
Public Notice, including this Final Regulatory Flexibility 
Certification, in a Report to Congress pursuant to the Congressional 
Review Act, 5 U.S.C. 801(a)(1)(A). In addition, the Auctions 83 
Procedures Public Notice and this Final Regulatory Flexibility 
Certification will be sent to the Chief Counsel for Advocacy of the SBA 
pursuant to 5 U.S.C. 605(b).

Federal Communications Commission.
Gary Michaels,
Deputy Chief, Auctions and Spectrum Access Division, WTB.
[FR Doc. 2018-08635 Filed 4-26-18; 8:45 am]
 BILLING CODE 6712-01-P


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