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If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ***************************************************************** Before the Federal Communications Commission Washington, D.C. 20554 In the Matter of ) ) Notice of Apparent Liability for Forfeiture of ) ) NEVADA WIRELESS ) File No. 920EF0018 ) Licensee of Paging and Radiotelephone, Station ) KNKI331, Carson City, Reno, Silver Springs, ) and Stateline, Nevada ) MEMORANDUM OPINION & ORDER Adopted: August 6, 1999 Released: August 10, 1999 By the Deputy Chief, Enforcement and Consumer Information Division, Wireless Telecommunications Bureau: I. Introduction 1. In this Order, we deny a request, filed on April 6, 1999, by Nevada Wireless, licensee of the above- captioned station, to reduce or rescind the $7,000 forfeiture proposed in a Notice of Apparent Liability for Forfeiture issued on March 22, 1999. We find that Nevada Wireless failed to timely notify the Commission of the commencement of service of Station KNKI331, in violation of Section 22.142(b) of the Commission's Rules. We conclude that Nevada Wireless is liable for a forfeiture in the amount of seven thousand dollars ($7,000). II. Background 2. Nevada Wireless completed construction and commenced operation of Station KNKI331 at four authorized locations on August 30, 1997. Pursuant to Section 22.142(b) of the Commission's Rules, Nevada Wireless was required to notify the Commission on FCC Forms 489 of the commencement of service of Station KNKI331 within 15 days after the station began operating. Thus, Nevada Wireless was required to file FCC Forms 489 for Station KNKI331 no later than September 14, 1997. Nevada Wireless, however, did not file FCC Forms 489 for the station at those locations until March 19, 1998, more than six months late. As a consequence, this office issued the referenced NAL against Nevada Wireless, proposing a forfeiture of $7,000 for Nevada Wireless' apparent violation of Section 22.142(b) of the Commission's Rules. III. Discussion 3. In its April 6, 1998, response to the NAL, Nevada Wireless does not deny that it filed the FCC Form 489 in an untimely manner. Rather, it argues that it was unaware that it was required to notify the Commission of modifications to an existing system that do not extend the station's existing contours. Nevada Wireless also claims that its violation did not cause harmful interference or disruption to other operators because Station KNKI331 is a rural system with no co-channel users within 125 miles. Lastly, Nevada Wireless maintains that Station KNKI331's gross monthly revenues are far below the proposed forfeiture amount. Consequently, Nevada Wireless states that if it were required to pay the full amount, it would no longer be cost-effective to run the system, and cessation of service would not serve the public interest. 4. We reject Nevada Wireless' arguments that its forfeiture should be reduced because it was unaware of its obligation to file an FCC Form 489 for its construction modification. It is the Commission's policy to "impel . . . licensees to become familiar with the terms of their licenses and the applicable rules, and to adopt procedures, including periodic review operations, which will ensure that stations will be operated in substantial compliance with their licenses and the Commission's rules." Additionally, "[I]nadvertence . . . is at best, ignorance of the law, which the Commission does not consider a mitigating circumstance." We also reject Nevada Wireless' claim that reduction or rescission of the forfeiture is warranted because the violation did not cause interference. Gravity of harm, or lack thereof, is a factor that is listed in Section 503(b)(2)(D) of the Act, which the Bureau took into consideration when it issued the NAL against Nevada Wireless. 5. Finally, Nevada Wireless has not demonstrated that $7,000 in forfeitures would threaten its ability to serve the public. Nevada Wireless does not claim that it is unable to pay the forfeiture; rather, it maintains that the proposed forfeiture amount is excessive, compared to the revenues of its rural facilities. In determining an appropriate forfeiture amount, the Commission considers a company's ability to serve the public and pay the forfeiture. In that regard, the Commission uses gross revenues as a yardstick to assess the company's financial condition. In addition, income derived from other affiliated operations, as well as the financial status of the station(s) in question, can be taken into account. Nevada Wireless was required to support its request that the forfeiture be reduced with a "detailed factual statement and such documentation and affidavits as may be pertinent." In this case, Nevada Wireless has merely provided a one-page narrative containing a brief conclusory statement; it has provided no financial information whatsoever. Without this required information, we must conclude that Nevada Wireless has failed to demonstrate how a $7,000 forfeiture would threaten its ability to serve the public, and we thereby decline to reduce or rescind the forfeiture. IV. Conclusion and Ordering Clauses 6. For the reasons stated above, we conclude that Nevada Wireless' arguments are insufficient to justify reduction or recision of the forfeiture. Consequently, we conclude that a $7,000 forfeiture is appropriate. 7. ACCORDINGLY, IT IS ORDERED, pursuant to Section 503(b) of the Communications Act of 1934, as amended, and Section 1.80 of the Commission's Rules, that Nevada Wireless SHALL FORFEIT to the United States the sum of seven thousand dollars ($7,000) for repeatedly violating Section 22.142(b) of the Commission's Rules. 8. IT IS FURTHER ORDERED that copies of this Order shall be sent, by Certified Mail/ Return Receipt Requested, to Jim Boyer, President, Nevada Wireless, 593 Overmyer Road, Sparks, Nevada 89431. FEDERAL COMMUNICATIONS COMMISSION Myron C. Peck Deputy Chief, Enforcement and Consumer Information Division Wireless Telecommunications Bureau