[Federal Register: September 28, 2009 (Volume 74, Number 186)]
[Rules and Regulations]
[Page 49335-49338]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr28se09-13]
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FEDERAL COMMUNICATIONS COMMISSION
47 CFR Part 27
[WT Docket No. 03-66; FCC 09-70]
Facilitating the Provision of Fixed and Mobile Broadband Access,
Educational and Other Advanced Services in the 2150-2162 and 2500-2690
MHz Bands
AGENCY: Federal Communications Commission.
ACTION: Final rule.
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SUMMARY: In this document, the Commission addresses two issues with
respect to two petitions for reconsideration filed in response to the
Fourth Memorandum Opinion and Order. First, the Commission changes its
policy regarding the ``start date'' of Educational Broadband Service
(EBS) excess capacity lease agreements. Second, the Commission amends
its rules to permit BRS 1 and 2/2A licensees to simultaneously operate,
post-transition, in the 2.1 GHz band and in the 2.5 GHz band. The
Commission makes these changes to facilitate the provision of the
broadband and other new and innovative wireless services in the 2.5 GHz
band, to ensure that the spectrum is put in use, and to promote rapid
service to the public.
DATES: Effective October 28, 2009.
ADDRESSES: Federal Communications Commission, 445 12th Street, SW.,
Washington, DC 20554.
FOR FURTHER INFORMATION CONTACT: Nancy M. Zaczek, Wireless
Telecommunications Bureau, Broadband Division, Federal Communications
Commission, 445 12th Street, SW., Washington, DC 20554, at (202) 418-
0274 or via the Internet to Nancy.Zaczek@fcc.gov.
SUPPLEMENTARY INFORMATION: This is a summary of the Commission's Fifth
Memorandum Opinion and Order, FCC 09-70, adopted on September 8, 2009
and released on September 11, 2009. The full text of this document,
including attachments and related documents is available for public
inspection and copying during normal business hours in the FCC
Reference Information Center, Room CY-A257, 445 12th Street, SW.,
Washington, DC 20554. The complete text of these documents and related
Commission documents may be purchased from the Commission's duplicating
contractor, Best Copy and Printing, Inc. (BCPI), Portals II, 445 12th
Street, SW., Room CY-B402, Washington, DC 20554, (202) 488-5300 or
(800) 378-3160, contact BCPI at its Web site: http://www.bcpiweb.com.
When ordering documents from BCPI, please provide the appropriate FCC
document number, for example, FCC 09-70. The complete text of these
documents is also available on the Commission's Web site at http://
wireless.fcc.gov/edocs_public/attachment/FCC-09-70A1doc. This full
text may also be downloaded at: http://wireless.fcc.gov/releases.html.
Alternative formats (computer diskette, large print, audio cassette,
and Braille) are available by contacting Brian Millin at (202) 418-
7426, TTY (202) 418-7365, or via e-mail to bmillin@fcc.gov.
Summary
I. Introduction
1. In this Fifth Memorandum Opinion and Order, the Commission
grants, in part, two petitions for reconsideration of the Broadband
Radio Service (BRS)/Educational Broadband Service (EBS) Fourth
Memorandum Opinion and Order adopted on March 18, 2008 and released on
March 20, 2008, 73 FR 26032 (May 8, 2008).
2. The first issue we address on reconsideration concerns how the
Commission should implement the 15-year term limit for grandfathered
EBS leases (i.e. leases entered into before January 10, 2005) that it
established in the BRS/EBS Fourth MO&O. The item adopts an unopposed
compromise proposal negotiated between the National EBS Association
(NEBSA)--which represents educational interests that hold EBS
licenses--and the Wireless Communications Association International,
Inc. (WCA)--which represents commercial operators that lease spectrum
from EBS licensees. Our adoption of the NEBSA/WCA Proposal balances the
concerns of both educators and commercial lessees.
3. The second issue we address on reconsideration concerns whether
the Commission should permit BRS 1 and 2/2A licensees to simultaneously
operate, post-transition, in the 2.1 GHz band and in the 2.5 GHz band
until all of their customers have migrated to the 2.5 GHz band. This
determination is consistent with the Commission's decision in the BRS/
EBS Fourth Memorandum Opinion and Order to permit such simultaneous
operation pre-transition in order to avoid requiring BRS operators to
flash cut subscribers to the new band plan.
II. Issues on Reconsideration
A. Grandfathered EBS Leases
4. Background. The Commission established the Instructional
Television Fixed Service (ITFS) in the 2500-2690 MHz band in 1963 and
later adopted rules for the Multipoint Distribution Service (MDS). ITFS
was generally used for one-way video service for students. MDS was
generally used to provide wireless cable service to subscribers. In
1983, noting that the ITFS was being underutilized, the Commission
permitted ITFS licensees to lease excess channel capacity to commercial
MDS operators. In 2004, the Commission renamed ITFS as the Educational
Broadband Service (EBS) and MDS as the Broadband Radio Service (BRS).
5. The Commission's policy regarding the length of EBS leases has
evolved
[[Page 49336]]
since it first permitted ITFS (now EBS) licensees to lease excess
capacity in 1983. Originally, the Commission's policy prohibited an
ITFS licensee from executing a lease agreement with commercial
operators that extended beyond the 10-year ITFS license term because
such provisions were viewed as inconsistent with the terms of the
license. In 1995, however, the Commission changed its policy to permit
an ITFS licensee to enter into a 10-year lease agreement without regard
to the duration of the licensee's license term, but required the lease
to note that such an extension was contingent on the renewal of the
license. In 1998, in the Two-Way Order, the Commission again changed
its policy and permitted an ITFS licensee, as of the effective date of
that order, which was January 25, 1999, to enter into a 15-year lease
agreement, but continued to require that, to the extent the lease
extended beyond the current license term, the lease specify that such
an extension be subject to the renewal of the underlying license. The
Commission also grandfathered existing ITFS excess capacity leases
entered into before March 31, 1997. In 2000, in the Two-Way Order on
Further Reconsideration, the Commission further grandfathered ITFS
excess capacity leases entered into before March 31, 1997 that
contained an automatic renewal clause that would be effective after
March 31, 1997, provided that the total term of the lease did not
exceed 15 years.
6. In 2004, in the BRS/EBS R&O, the Commission adopted a number of
revisions to ITFS and MDS, and renamed ITFS as the Educational
Broadband Service (EBS) and MDS as the Broadband Radio Service (BRS).
Of particular relevance here, the Commission applied the spectrum
leasing rules established in the Secondary Markets proceeding to EBS
(formerly ITFS) excess capacity leases for new leases entered into
after the effective date of that order (which was January 10, 2005),
while grandfathering existing leases under the previous ITFS rules,
which limited such leases to a term of no more than fifteen years. In
2006, in the BRS/EBS Third MO&O, the Commission modified the
application of the spectrum leasing rules and policies of the Secondary
Markets proceeding to EBS leases, while reaffirming that excess
capacity leases entered into before January 10, 2005 were grandfathered
under the previous ITFS leasing framework.
7. In the BRS/EBS Fourth MO&O adopted in March 2008, the Commission
provided additional clarification regarding grandfathered leases,
holding that they ``are grandfathered after January 10, 2005 if they
have an automatic renewal clause effective after January 10, 2005, only
to the extent that such leases do not exceed 15 years in total length
(including the automatic renewal period(s)).'' The Commission stated
that leases executed before January 10, 2005 are limited to a term of
15 years ``from the date of execution.''
8. On June 9, 2008, WCA and Gateway Access Solutions, Inc. asked
the Commission to reconsider its decision in the BRS/EBS Fourth MO&O
that limited grandfathered excess capacity leases entered into before
January 10, 2005 to a term of 15 years, starting from the date of
execution. C&W Enterprises, Clarendon Foundation, and a Commercial
Coalition comprised of Sprint Nextel Corp., Clearwire Corp., Xanadoo,
Inc., NextWave, and WCA support WCA's petition. NEBSA, the ITFS/2.5 GHz
Mobile Wireless Engineering & Development Alliance, the Hispanic
Information and Telecommunications Network, Inc., and Texas State
Technical College--Sweetwater opposed the petitions for
reconsideration. Notwithstanding the disagreements between educational
licensees and commercial lessees on this issue, both sides expressed a
willingness to work out a compromise on this issue. On October 16,
2008, NEBSA and WCA submitted a joint proposal that reflects a
compromise agreement between them regarding the maximum permissible
lease term for grandfathered leases, which they assert is ``fair and
reasonable'' in addressing their different concerns.
9. We conclude that the public interest would best be served by
adopting the NEBSA/WCA Proposal. The NEBSA/WCA Proposal ensures the
stability of existing viable relationships between educators and
commercial lessees. We therefore adopt the compromise proposal as
follows. Every grandfathered lease entered into before January 10,
2005, is limited to a term of 15 years commencing from its start date,
which remains the date of execution except under certain circumstances.
For earlier leases, i.e., grandfathered excess capacity leases executed
before January 25, 1999, the start date is the date on which it was
executed unless the existing lease provided for a later start date,
and: (1) the lease actually started before March 20, 2008--as
demonstrated by documentary evidence (including that the EBS licensee/
lessor has been paid on or after the commencement of the lease)--in
which case the lease will be deemed to have started on the start date
contained in the lease; or (2) the lease did not start before March 20,
2008, but the parties have agreed in writing to continue with the
existing lease, in which case the start date is deemed to be March 20,
2008. For later leases, i.e., grandfathered leases executed on or after
January 25, 1999, but before January 10, 2005, the start date is the
date on which the lease was executed unless the existing lease provided
for a later start date.
10. We find that the NEBSA/WCA Proposal addresses the concerns of
the other parties that have taken positions on the term of
grandfathered leases. We find that the NEBSA/WCA Proposal appropriately
balances the needs of the commercial lessee--to have a significant
length of time in which to build out its service--with the needs of the
educational licensee/lessor not to be tied indefinitely to lease
agreements that have not provided it with educational services or lease
revenues. We have granted relief with respect to one-way analog video
leases entered into prior to the Two-Way Order. Further, with respect
to leases involving broadband services, the rule changes we have made
in this proceeding have been designed to facilitate the provision of
broadband services. We decline to adopt the alternative proposals
offered by the parties to this proceeding.
B. Simultaneous Operation on Old and New BRS Channels 1 and 2/2A
11. Background. In the BRS/EBS R&O, the Commission not only
restructured the 2500-2690 MHz band, but also designated the 2495-2500
MHz band for use in connection with the 2500-2690 MHz band. In the BRS/
EBS R&O, the Commission proceeded to relocate BRS Channels 1 and 2/2A
to new channel locations in the 2495-2690 MHz band. Specifically, BRS
Channel 1 would be relocated from 2150-2156 MHz (which was redesignated
for Advanced Wireless Service (AWS)) to 2496-2502 MHz and Channel 2/2A
would be relocated from 2156-2160/62 MHz (also redesignated for AWS) to
2618-2624 MHz. In the BRS/EBS Third MO&O, the Commission discussed the
relationship between the transition within the 2.5 GHz band and the
relocation of the BRS Channels No. 1 and No. 2/2A incumbents currently
operating at 2150-2156 MHz and 2156-2160/62 MHz. In that regard, the
Commission held that licensees on these channels may operate in either
2150-2156 or 2496-2500 MHz (for BRS Channel 1) or 2156-2160/62 or 2686-
2690 MHz band (for BRS Channel 2/2A) pre-transition, but not in both
bands. In the BRS/EBS Fourth MO&O, the Commission, in response to a
petition for reconsideration filed by WCA, found
[[Page 49337]]
that BRS Channels 1 and 2/2A licensees may operate simultaneously in
their old locations at 2150-2156 MHz and 2156-2160/62 MHz and their
temporary, pre-transition locations at 2496-2500 MHz (BRS Channel 1)
and 2686-2690 MHz (BRS Channel 2) until every subscriber is relocated
to the 2.5 GHz band, at which point the licensees must cease all
operations in the 2150-2160/62 MHz band.
12. In the WCA Petition, WCA asks the Commission to confirm that
even after a Basic Trading Area has been transitioned, BRS Channels 1
and 2/2A licensees may simultaneously operate in both the 2.1 GHz band
and the 2.5 GHz band until all of their subscribers have been
successfully migrated to the 2.5 GHz band.
13. We agree with WCA that it is not in the public interest to
permit simultaneous operations, pre-transition, but prohibit them post-
transition prior to the migration of subscribers. Thus, we conclude
that BRS Channels 1 and 2/2A operators may simultaneously operate,
post-transition, in their old channel locations at 2150-2156 MHz and
2156-2160/62 MHz and their new channel locations at 2496-2502 MHz or
2618-2624 MHz until such time as all of their subscribers have been
migrated to the 2.5 GHz band. Advanced Wireless Service (AWS) licensees
must relocate existing BRS operations at 2150-2156 MHz and 2156-2160/62
MHz if necessary in order to commence AWS operations in the band under
circumstances specified in the Commission's rules. Since the BRS rules
do not explicitly allow simultaneous operation, post-transition, on
both the old and new channel locations, we amend Sec. Sec.
27.5(i)(2)(i) and (iii) of the Commission's rules to add such
authorization.
III. Procedural Matters
14. Paperwork Reduction Analysis. This document does not contain
proposed information collection requirements subject to the Paperwork
Reduction Act of 1995, Public Law 104-13. In addition, therefore, it
does not contain any proposed information collection burden ``for small
business concerns with fewer than 25 employees,'' pursuant to the Small
Business Paperwork Relief Act of 2002, Public Law 107-198, see 44
U.S.C. 3506(c)(4).
IV. Final Regulatory Flexibility Act Certification of BRS/EBS Fifth
MO&O
15. For the reasons described below, we now certify that the
policies and rules adopted in the BRS/EBS Fifth MO&O will not 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. 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 U.S. Small Business Administration (SBA).
16. In this BRS/EBS Fifth MO&O, the Commission permits BRS Channels
1 and 2/2A licensees to simultaneously operate in their old channel
locations at 2150-2160/62 MHz and their new channel locations at 2496-
2502 MHz or 2618-2624 MHz, post-transition, until all of their
subscribers have been migrated to the 2.5 GHz band. In the BRS/EBS
Fourth MO&O, the Commission permitted BRS Channels 1 and 2/2A operators
to simultaneously operate in their old channel locations and their
temporary channel locations at 2496-2500 MHz or 2686-2690 MHz, pre-
transition.
17. We find that our actions will not affect a substantial number
of small entities because it affects only BRS Channels 1 and 2/2A
operators that are actually operating and that will migrate subscribers
post-transition to the 2.5 GHz band. Furthermore, our actions provide
such entities with additional flexibility to operate simultaneously in
their old and new channel positions while transitioning their systems
to the new band plan. Therefore, we certify that the requirements of
the BRS/EBS Fifth MO&O will not have a significant economic impact on a
substantial number of small entities.
V. Report to Congress
18. The Commission will send a copy of this Fifth Memorandum
Opinion and Order, including a copy of this Final Regulatory
Flexibility Certification, in a report to be sent to Congress and the
Government Accountability Office pursuant to the Small Business
Regulatory Enforcement Fairness Act of 1996, see 5 U.S.C. 801(a)(1)(A).
VI. Ordering Clauses
19. Accordingly, it is ordered, that pursuant to section 4(i) and
405 of the Communications Act of 1934, 47 U.S.C. 154(i), 405, and Sec.
1.429 of the Commission's rules, 47 CFR 1.429, the Petitions for
Reconsideration filed by the Wireless Communications Association
International, Inc. and Gateway Access Solutions, Inc. on June 9, 2008,
are granted in part and are otherwise denied.
20. It is further ordered, pursuant to section 4(i) of the
Communications Act of 1934, 47 U.S.C. 154(i), and Sec. 1.44(e) of the
Commission's rules, 47 CFR 1.44(e), that the Petition for Stay of
Wireless Communications Association International, Inc. filed on June
9, 2008, is dismissed as moot.
21. It is further ordered, pursuant to section 4(i) of the
Communications Act of 1934, 47 U.S.C. 154(i), that the Commission's
Consumer and Governmental Affairs Bureau, Reference Information Center,
shall send a copy of this Fifth Memorandum Opinion and Order, including
the Final Regulatory Certification, to the Chief Counsel for Advocacy
of the Small Business Administration.
List of Subjects in 47 CFR Part 27
Communications common carriers, Communications equipment, Equal
employment opportunity, Radio, Reporting and recordkeeping
requirements, Satellites, Securities, Telecommunications.
Federal Communications Commission.
Marlene H. Dortch,
Secretary.
Final Rules
0
For the reasons discussed in the preamble, the Federal Communications
Commission amends 47 CFR part 27 as follows:
PART 27--MISCELLANEOUS WIRELESS COMMUNICATIONS SERVICES
0
1. The authority citation for part 27 continues to read as follows:
Authority: 47 U.S.C. 154, 301, 302, 303, 307, 309, 332, 336,
and 337 unless otherwise noted.
0
2. Amend Sec. 27.5 by revising paragraphs (i)(2)(i) and (i)(2)(iii) to
read as follows:
Sec. 27.5 Frequencies.
* * * * *
(i) * * *
(2) * * *
(i) Lower Band Segment (LBS): The following channels shall
constitute the Lower Band Segment:
BRS Channel 1: 2496-2502 MHz or 2150-2156 MHz
EBS Channel A1: 2502-2507.5 MHz
EBS Channel A2: 2507.5-2513 MHz
EBS Channel A3: 2513-2518.5 MHz
EBS Channel B1: 2518.5-2524 MHz
EBS Channel B2: 2524-2529.5 MHz
EBS Channel B3: 2529.5-2535 MHz
[[Page 49338]]
EBS Channel C1: 2535-2540.5 MHz
EBS Channel C2: 2540.5-2546 MHz
EBS Channel C3: 2546-2551.5 MHz
EBS Channel D1: 2551.5-2557 MHz
EBS Channel D2: 2557-2562.5 MHz
EBS Channel D3: 2562.5-2568 MHz
EBS Channel JA1: 2568.00000-2568.33333 MHz
EBS Channel JA2: 2568.33333-2568.66666 MHz
EBS Channel JA3: 2568.66666-2569.00000 MHz
EBS Channel JB1: 2569.00000-2569.33333 MHz
EBS Channel JB2: 2569.33333-2569.66666 MHz
EBS Channel JB3: 2569.66666-2570.00000 MHz
EBS Channel JC1: 2570.00000-2570.33333 MHz
EBS Channel JC2: 2570.33333-2570.66666 MHz
EBS Channel JC3: 2570.66666-2571.00000 MHz
EBS Channel JD1: 2571.00000-2571.33333 MHz
EBS Channel JD2: 2571.33333-2571.66666 MHz
EBS Channel JD3: 2571.66666-2572.00000 MHz
* * * * *
(iii) Upper Band Segment (UBS): The following channels shall
constitute the Upper Band Segment:
BRS Channel KH1: 2614.00000-2614.33333 MHz.
BRS Channel KH2: 2614.33333-2614.66666 MHz.
BRS Channel KH3: 2614.66666-2615.00000 MHz.
EBS Channel KG1: 2615.00000-2615.33333 MHz.
EBS Channel KG2: 2615.33333-2615.66666 MHz.
EBS Channel KG3: 2615.66666-2616.00000 MHz.
BRS Channel KF1: 2616.00000-2616.33333 MHz.
BRS Channel KF2: 2616.33333-2616.66666 MHz.
BRS Channel KF3: 2616.66666-2617.00000 MHz.
BRS Channel KE1: 2617.00000-2617.33333 MHz.
BRS Channel KE2: 2617.33333-2617.66666 MHz.
BRS Channel KE3: 2617.66666-2618.00000 MHz.
BRS Channel 2: 2618-2624 MHz or 2156-2162 MHz.
BRS Channel 2A: 2618-2624 MHz or 2156-2160 MHz.
BRS/EBS Channel E1: 2624-2629.5 MHz.
BRS/EBS Channel E2: 2629.5-2635 MHz.
BRS/EBS Channel E3: 2635-2640.5 MHz.
BRS/EBS Channel F1: 2640.5-2646 MHz.
BRS/EBS Channel F2: 2646-2651.5 MHz.
BRS/EBS Channel F3: 2651.5-2657 MHz.
BRS Channel H1: 2657-2662.5 MHz.
BRS Channel H2: 2662.5-2668 MHz.
BRS Channel H3: 2668-2673.5 MHz.
EBS Channel G1: 2673.5-2679 MHz.
EBS Channel G2: 2679-2684.5 MHz.
EBS Channel G3: 2684.5-2690 MHz.
* * * * *
[FR Doc. E9-23330 Filed 9-25-09; 8:45 am]
BILLING CODE 6712-01-P