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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 ) ) EXPRESS MESSAGE CORPORATION ) File Nos. 29057-CD-P/ML-96 ) 28999-CD-P/ML-96 For Authorization to Construct and Operate) 32340-CD-P/ML-96 New Paging and Radiotelephone Service Facilities) 29000-CD-P/ML-96 on 931.3125 MHz at Various locations) 29058-CD-P/ML-96 within Texas ) 32988-CD-P/ML-96 ) 27328-CD-P/ML-96 ) 27314-CD-P/ML-96 ) 33034-CD-P/ML-96 ORDER Adopted: September 2, 1999 Released: September 2, 1999 By the Deputy Chief, Commercial Wireless Division, Wireless Telecommunications Bureau: I. INTRODUCTION 1. This Order denies a petition for reconsideration (Petition) filed by Express Message Corporation (Express Message) on January 13, 1999. Express Message seeks reconsideration of the dismissal of the above-captioned applications for authorization of paging facilities on the 931.3125 MHz frequency in various locations in Texas. For the reasons set forth below, we deny Express Message's Petition. II. BACKGROUND 2. In its Paging Notice of Proposed Rulemaking, the Commission suspended the acceptance of all new applications for paging channels that were not received by February 8, 1996 (Paging Application Freeze). On April 23, 1996, the Commission modified this decision by establishing interim licensing rules, which permitted incumbent licensees to file initial applications to add new sites to their systems. Each new site must have been located within 65 kilometers (40 miles) of an authorized site for which an application had been filed as of September 30, 1995. In addition, the authorized site must have been operational as of the date the application for the additional site was filed (40-mile applications). The Commission further explained that applications that met this requirement would be placed on public notice and subject to competing applications within the applicable filing window. Following the adoption of the interim licensing rules, Express Message, an incumbent licensee on the 931.3125 MHz frequency, filed the above-captioned applications. Each application sought authorization for a site within 40 miles of an existing site operated by Express Message. The applications were placed on public notice as accepted for filing, but were not granted because the applications were mutually exclusive with other pending applications. As a result, the applications were held in abeyance to be resolved in a manner consistent with the Commission's new geographic area licensing rules adopted at the conclusion of the rulemaking proceeding. 3. On February 24, 1997, the Commission released its Paging Second Report and Order, which adopted rules governing geographic area licensing of Common Carrier Paging and 929 MHz paging applications, and competitive bidding procedures for processing mutually exclusive applications for these licenses. The Commission stated that, in light of its decision to adopt geographic area licensing, it would dismiss all pending mutually exclusive paging applications, including those filed under the interim rules adopted in the Paging First Report and Order. On December 14, 1998, pursuant to the Paging Second Report and Order, the Commercial Wireless Division (Division) dismissed all pending mutually exclusive paging applications (Division Order), including Express Message's above-captioned pending mutually exclusive applications. In response, Express Message filed the instant Petition. III. DISCUSSION 4. Express Message primarily contends that its applications were not mutually exclusive as defined in the Paging First Report and Order. To support its contention, Express Message cites the Commission's statements in the Paging First Report and Order that, in establishing the interim licensing rules for the paging service, "[i]f no competing application is filed, the incumbent's initial application can be processed because it is unlikely that the spectrum at issue has significant value to any other applicant. If a competing application is accepted for filing, we will treat both applications as mutually exclusive." Based on this language, Express Message argues that 40-mile applications filed pursuant to the interim rules can be deemed mutually exclusive only if a co-channel application was filed within 60 days after the public notice accepting the 40-mile application for filing. 5. We disagree. Two or more pending applications are mutually exclusive if the grant of one application would effectively preclude the grant of one or more of the others applications. In processing 931 MHz applications, the 60-day public notice period allows parties to file competing applications, but there is no requirement that an application be filed during the 60-day period to render the applications mutually exclusive. The Paging First Report and Order does not state that 40-mile applications would automatically be granted if no competing applications were filed during the 60-day public notice period. The Paging First Report and Order simply states that 40-mile applications would be "processed." Moreover, the language does not infer that pending applications filed prior to the Paging Application Freeze would not be considered when making a determination of whether a 40-mile application was mutually exclusive. In addition to allowing incumbents to file 40-mile applications after February 8, 1996, the date of the freeze, the Paging First Report and Order established procedures for processing 931 MHz applications that had been filed on or before February 8, 1996, but for which the 60-day public notice period had not expired as of the date of the freeze. Specifically, the Commission released a Public Notice on May 10, 1996, attaching copies of prior public notices identifying pending 931 MHz paging applications that were filed on or before February 8, 1996, but that had not been on public notice for the required 60 days as of February 8, 1996. The Commission deemed all applications "to be restored to Public Notice for the remaining amount of time until the required . . . 60 day period for filing competing applications expires." 6. Contrary to Express Message's assertion, the processing of 40-mile applications took into consideration any pending applications in the proposed area of the 40-mile applications, including those filed under restored public notice periods. Thus, pending applications filed prior to the Paging Application Freeze could preclude the grant of 40-mile applications, even if no competing applications were filed during the 60-day public notice period for the 40-mile application. If there were more pending applications than available frequencies, the 40-mile application was deemed mutually exclusive and was held in abeyance until the release of the Division Order. In this instance, Express Message's above-captioned applications were not granted because the applications were found to be mutually exclusive with other pending applications in the proposed areas. We therefore affirm the dismissal of Express Message's above-captioned applications and deny the Petition. 6. Accordingly, IT IS ORDERED, that, pursuant to Sections 4(i) and 405 of the Communications Act, as amended, 47 U.S.C.  154(i), 405, and Sections 0.331 and 1.106 of the Commission's rules, 47 C.F.R.  0.331, 1.106, the petition for reconsideration filed by Express Message Corporation on January 13, 1999, IS DENIED. FEDERAL COMMUNICATIONS COMMISSION William W. Kunze Deputy Chief, Commercial Wireless Division Wireless Telecommunications Bureau