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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 ComTech Petition for Declaratory Ruling that Licensees of Nationwide 220 MHz Mobile Communications Systems Are Not Required to License Separately Each of the Systems' Base Stations ) ) ) ) ) ) ) File No. WTB/Pol 96-1 MEMORANDUM OPINION AND ORDER Adopted: July 29, 1999 Released: August 3, 1999 By the Commission: I.INTRODUCTION 1. In this Order, we address a Petition for Declaratory Ruling filed by ComTech, Inc. (ComTech) on October 31, 1995. ComTech requests a declaratory ruling that under current Commission rules, Phase I nationwide 220 MHz licensees do not have to obtain separate authorizations for each of their systems' base stations. In lieu of deciding ComTech's declaratory ruling request, we conclude that the relief requested by ComTech can be more readily addressed under the Commission's authority to forbear from regulation pursuant to Section 10 of the Communications Act. Therefore, for the reasons discussed below, we will forbear from requiring Phase I nationwide 220 MHz licensees to obtain separate authorizations for individual base stations in their systems, provided that these licensees maintain site data as part of their station records and they provide these data to other licensees or the Commission upon request. Our grant of forbearance, however, does not extend to those situations where individual site licensing is required for environmental, international coordination, or other similar purposes, and each Phase I nationwide licensee also remains subject to the construction and notification requirements applicable to its system under Section 90.725(d) of the Commission's rules. II.BACKGROUND 2. ComTech is one of four 220 MHz Phase I nationwide commercial system licensees (Phase I nationwide licensees) operating in the 220 MHz band. In its petition, ComTech requests a declaratory ruling that the Commission's 220 MHz rules do not require Phase I nationwide licensees to obtain separate authorizations for each of their systems' base stations. ComTech acknowledges that in the 220 MHz Report and Order, the Commission stated that Phase I nationwide licensees would have to file separate applications and obtain individual authorizations for each base station. However, ComTech contends that this statement conflicts with and is superseded by Section 90.725(d) of the Commission's rules, which requires that Phase I nationwide licensees file system progress reports after two, four, six, and ten years, demonstrating compliance with the relevant construction benchmark criteria. ComTech also argues that a site-specific licensing requirement for nationwide 220 MHz systems is unnecessary and inconsistent with the Commission's approach in licensing of other Commercial Mobile Radio Services (CMRS). 3. The Commission sought public comment on ComTech's petition on January 19, 1996. A total of six parties filed comments and reply comments, all of which were supportive of ComTech's petition. In 1997, the Commission adopted service and auction rules for Phase II 220 MHz licensing in the 220 MHz Third Report and Order, but did not address the ComTech petition. Several parties filed reconsideration petitions urging the Commission to take up the ComTech petition in the 220 MHz proceeding, but in the Memorandum Opinion and Order on Reconsideration, we deferred consideration of the issue. On December 14, 1998, ComTech requested that the Commission act on the petition, or in the alternative, that the petition be treated as a request for forbearance under Section 10 of the Communications Act. In a similar vein, Global Cellular Communications, another Phase I nationwide licensee, filed comments in WT Docket No. 98-182 urging action on ComTech's petition. III.DISCUSSION 4. We conclude that it is unnecessary to address the declaratory ruling issues raised in ComTech's petition, because the relief requested by ComTech can be granted under our authority to forbear from regulation pursuant to Section 10 of the Communications Act. Section 10 confers authority on the Commission to forbear from applying any regulation or provision of the Act to a telecommunications carrier if the Commission determines that: (1) enforcement of such regulation or provision is not necessary to ensure that the charges, practices, classifications or regulations by, for or in connection with that telecommunications carrier or telecommunications service are just and reasonable, and are not unjustly or unreasonably discriminatory; (2) enforcement of such regulation or provision is not necessary for the protection of consumers; and (3) forbearance from applying such provision or regulation is consistent with the public interest. 5. We conclude that the statutory standard is met in this instance. With respect to the first prong, individual site-based licensing of Phase I nationwide licensees is neither necessary nor relevant to ensuring that the rates and practices of these licensees are just and reasonable. Similarly, with respect to the second prong, requiring site-based licensing is not necessary to protect consumers. The Commission has already passed on the qualifications of these licensees when it granted their nationwide licenses, and their licenses are subject to rules, such as height and power limits, that govern operations at all system sites, whether or not such sites are individually licensed. In addition, as discussed below, we will retain site-based licensing procedures where prior approval, coordination, or notification of individual sites is required due to environmental considerations, international coordination requirements, or similar factors. However, where these circumstances are not present, there is no consumer protection benefit from a generalized site- based licensing requirement. 6. We also find that forbearance from site-based licensing requirements for Phase I nationwide licensees meets the "public interest" prong of Section 10. Under their nationwide authorizations, ComTech and the other three Phase I nationwide licensees must file progress reports with the Commission at the two, four, six, and ten year anniversaries of their license grants demonstrating that they have met the phased buildout requirements of Section 90.725(a) of the rules. These reports must include, inter alia, a listing of all sites at which base stations have been constructed, including the height and antenna power of each site. This reporting requirement is sufficient to meet the Commission's objective of ensuring that Phase I nationwide licensees use their spectrum efficiently, without the additional need for these licensees to obtain individual authorizations for each site. In addition, forbearance will eliminate a significant filing burden for the affected licensees and conserve the time and resources of Commission staff previously required to process such applications. 7. We find that the public interest prong of Section 10 implicates more than the efficient use of spectrum in this case. An essential condition of our decision is that other licensees have reasonable access to Phase I nationwide licensee site information if they require it. Because Phase I nationwide licensees are the only entities in the nation licensed on their respective channels, there is no risk of co-channel interference to other licensees from their operations. However, licensees on adjacent channels and sub- bands in the 220 MHz service may need access to Phase I nationwide licensee site information in order to identify possible sources of adjacent channel interference or to configure their own systems to avoid such interference. Therefore, we condition our grant of forbearance on the requirement that Phase I nationwide licensees maintain site data as part of their station records and provide these data to other licensees or the Commission upon request. The requirement to maintain and provide site data is also consistent with our treatment of Phase II 220 MHz geographic licensees, who are subject to the same requirement. 8. Our decision to forbear from site-specific application and licensing procedures for Phase I nationwide licensees does not extend to existing requirements for prior notification, coordination, or approval of individual sites that apply to all licensees, including not only site-specific licensees but also geographically licensed CMRS licensees. In particular, all geographically licensed CMRS licensees, including PCS and Phase II 220 MHz licensees, are subject to site-specific licensing requirements for sites that have an environmental impact or that require international coordination. Similarly, geographic licensees must comply with FAA notification requirements for sites that affect aviation safety and with notification procedures for sites in proximity to radio quiet zones. Notwithstanding the forbearance otherwise granted by this order, these site-based licensing and notification requirements continue to apply to all Phase I nationwide licensees. 9. In light of these facts, we conclude that it is in the public interest to forbear from requiring Phase I nationwide licensees to file for site-specific authorizations. Therefore, except as provided in paragraph 8, Phase I nationwide licensees need not file applications or obtain separate licenses for individual base stations in their systems, provided that they maintain site information in their station records and make it available upon request by other licensees or the Commission. Each Phase I nationwide licensee is still subject to the construction and notification requirements applicable to its system under Section 90.725(d) of the Commission's rules. IV.ORDERING CLAUSE 10. ACCORDINGLY, IT IS ORDERED that the Petition for Declaratory Ruling filed by ComTech, Inc. is hereby GRANTED to the extent stated herein and otherwise DENIED. FEDERAL COMMUNICATIONS COMMISSION Magalie Roman Salas Secretary