Report No. MM-861            MASS MEDIA ACTION            November 30, 1994


           BEATRICE CITY SCHOOL DISTRICT GRANTED CP AND LICENSE
                  FOR ITFS CHANNELS G1-G4 IN TECUMSEH, NE

     The Commission has conditionally granted the application of
Beatrice City School District 15 for a construction permit and
license in the Instructional Television Fixed Service (ITFS) on
Channels G1-G4 in Tecumseh, NE; and denied the competing
application of Rock Port R-II Schools for ITFS channels in Peru,
NE.

     In cases of mutually exclusive ITFS applications, where
applicants are competing for the same or adjacent channels in the
same geographic area, each application is reviewed pursuant to
the Commission's comparative process.  This procedure awards a
maximum of 12 merit points based on five criteria deemed to be
most relevant to predicting the applicant best qualified to
provide the service for which ITFS spectrum has been allocated.

     In this case, Rock Port was awarded four points for being
local, three points for being accredited, two points for
observing he four-channel limitation, and one point for proposing
at least 21 hours of formal educational ITFS programming per
channel per week, for a total of 10 points.  Beatrice was awarded
four points for being local, three points for being accredited,
two points for observing the four-channel limitation, and two
points for proposing at least 41 hours of formal educational ITFS
programming per channel per week, for a total of 11 points. 
Thus, the selectee is Beatrice.

     Beatrice proposed leasing excess capacity for non-ITFS use
and submitted a copy of its lease agreement with U.S.A. Wireless,
Inc.  However, the lease agreement does not conform entirely to
the Commission's requirements for such agreements.  Although the
agreement is inconsistent with the Commission's maximum term for
excess capacity leases, the Commission stated that it neither
reflects on the applicant's basic or comparative qualifications
nor precludes grant of an authorization.  Therefore, the
Commission conditioned Beatrice's authorization upon conformity
of the lease to FCC requirements.


                                  (over)



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     Action by the Commission November 28, 1994, by Memorandum
Opinion and Order (FCC 94-301).  Chairman Hundt, Commissioners
Quello, Barrett, Ness, and Chong.

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     News Media contact: Patricia A. Chew at (202) 418-0500.
     Mass Media Bureau contact: Marsha Evans at (202) 418-1610.