Before the
                Federal Communications Commission
                      Washington, D.C. 20554

In the Matter of                )
                                )
EL PASO NATURAL GAS COMPANY     )  FCC File No. 9602723840 
                                )  
Request for Reconsideration of Secondary )   
Status and Reinstatement of Primary Status for )
Station WIA672, Buckeye, Arizona )


                     ORDER ON RECONSIDERATION


   Adopted:  October 29, 1999           Released:  October 29, 1999

By the Chief, Public Safety and Private Wireless Division, Wireless Telecommunications Bureau:


                         I.  INTRODUCTION

     1.  El Paso Natural Gas Company (El Paso) seeks reconsideration of the action of the former
Private Radio Bureau, Licensing Division, Microwave Branch according secondary status to its Station
WIA672, Buckeye, Arizona, when the station's license was re-issued after it had expired.  The station,
which operates in the fixed microwave service (FMS) in the 2 GHz band, is part of a microwave system
that parallels El Paso's high pressure natural gas pipeline.  For the reasons set forth below, we find that
El Paso's petition for reinstatement was untimely.  Accordingly, it was correctly treated as an application
for new a station and accorded secondary status.

                         II.  BACKGROUND

     2.  In 1992, the Commission reallocated portions of the 2 GHz band from FMS to emerging
technology services (ET), including the personal communications services (PCS).  In doing so, the
Commission adopted a plan intended to reaccommodate the FMS licensees in a manner that would be
most advantageous for the incumbent users, least disruptive to the public and most conducive to the
introduction of new services.  Accordingly, first, to preserve the availability of the existing vacant 2
GHz spectrum, the Commission stated that it would license all new facilities in the 2 GHz band on a
secondary basis.  Second, rather than immediately clearing the 2 GHz band of the incumbent FMS users,
the Commission permitted the incumbents to continue to occupy the band on a co-primary basis with the
ET licensees for a significant length of time, by the end of which the incumbents were to relocate to
another portion of the spectrum.  The Commission also provided that incumbent FMS licensees could
make certain modifications and retain primary status for their facilities, and could make major extensions
or expansions to their systems and be accorded primary status for the new facilities if they made a
special showing of need to justify primary status.  Third, the Commission provided the ET licensees
with the option of requiring the FMS incumbents to relocate sooner and paying the additional costs
caused by the earlier relocation.  One practical effect of the Commission's transition plan was that
incumbent FMS licensees that were authorized on a primary basis would have the costs of relocating to
other bands paid for by the new ET licensees if the ET licensees forced them to relocate.  On the other
hand, FMS licensees that were authorized on a secondary basis would be treated differently.  

     3.  On October 12, 1995, the Commission issued a Notice of Proposed Rulemaking in which it
proposed to amend the licensing rules for the 2 GHz band.  The Commission stated that while the
rulemaking proceeding was pending, it would continue to accept applications for primary status, but it
would grant only applications for certain minor modifications that would not add to the relocation cost of
PCS licensees.  Any other modifications would be permitted only on a secondary basis unless the
licensee demonstrated that it needed primary status and that the modifications would not add to the
relocation costs of PCS licensees.  

     4.  Station WIA672 was originally authorized with primary status.  Due to an administrative
oversight, El Paso failed to renew the license timely and the license automatically expired in September
1995.  Upon learning that the license had expired, El Paso immediately notified the Commission and
received Special Temporary Authority to continue to operate the station.  On February 16, 1996, El
Paso filed an application to reinstate the license for Station WIA672.  Effective April 2, 1996, El Paso
was issued a new license which contained a condition making the station's operation secondary to future
ET licensees.  On May 1, 1996, El Paso timely requested reconsideration of the action imposing the
condition and asked that the station be granted a new license with primary status.

                         III.  DISCUSSION

     5.  El Paso's license for Station WIA672 expired in September 1995.  El Paso did not file its
petition for reinstatement until February 16, 1996, approximately five months later.  We therefore
conclude that El Paso's reinstatement application was not timely and that El Paso's application should
have been treated as one for a new license.  New 2 GHz FMS facilities are authorized only on a
secondary basis to ET licensees.  We therefore conclude that a secondary status condition was properly
placed on El Paso's license.  
  
     6.  El Paso argues that 2 incumbent GHz licensees were permitted to make minor extensions to
their systems and retain primary status if the licensee justified primary status.  While this was the
Commission's policy from 1992 through October 1995, in the Cost Sharing NPRM, the Commission
stated that for applications received while that rulemaking proceeding was pending, it would grant
primary status only when the applications were for minor modifications that would not add to the
relocation costs of PCS licensees.  El Paso's application, which was filed while the Cost Sharing
rulemaking proceeding was pending, was not for a minor modification.  Rather, it was an application for
reinstatement that, because it was untimely, was properly treated as an application for a new station.  It
was therefore not eligible to be granted with primary status.  Along these lines, we do not find El Paso's
arguments regarding its need for primary status to be controlling.  Under the rules in effect, the
Commission was not according primary status to new stations, regardless of the justification provided by
the applicant.  Similarly, the Mobil case cited by El Paso is inapposite as it was decided under the rules
in effect prior to the issuance of the Cost Sharing NPRM.  

                      IV.  ORDERING CLAUSES

     7.  ACCORDINGLY, IT IS ORDERED that pursuant to Sections 4(i) and 405 of the
Communications Act of 1934, as amended, 47 U.S.C.  154(i), 405, and Sections 1.106, 1.925 and
101.69 of the Commission's Rules, 47 C.F.R.  1.106, 1.925, 101.69, the petition for reconsideration
filed by El Paso Natural Gas Company, dated May 1, 1996, IS DENIED. 

     8.  This action is taken under delegated authority pursuant to Sections 0.131 and 0.331 of the
Commission's Rules, 47 C.F.R.  0.131, 0.331.


                                FEDERAL COMMUNICATIONS COMMISSION




D'wana R. Terry
Chief, Public Safety and Private Wireless Division
Wireless Telecommunications Bureau