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                                   Before the

                       Federal Communications Commission

                             Washington, D.C. 20554


                           )                               
                                                           
                           )                               
                                                           
     In the Matter of      )    File Number: EB-06-ST-027  
                                                           
     William W. Scrugham   )   NAL/Acct. No. 200632980003  
                                                           
     Kamiah, ID            )               FRN 0005547815  
                                                           
                           )                               
                                                           
                           )                               



                  NOTICE OF APPARENT LIABILITY FOR FORFEITURE

   Released: March  27, 2006

   By the District Director, Seattle District Office, Western Region,
   Enforcement Bureau:

   I. INTRODUCTION

    1. In this Notice of Apparent Liability for Forfeiture ("NAL"), we find
       that William W. Scrugham ("Scrugham"), apparently willfully and
       repeatedly violated Section 301 of the Communications Act of 1934, as
       amended ("Act"), by operating an unlicensed radio transmitter on 100.3
       MHz in Kamiah, Idaho. We conclude, pursuant to Section 503(b) of the
       Communications Act of 1934, as amended ("Act"), that Scrugham is
       apparently liable for forfeiture in the amount of ten thousand dollars
       ($10,000).

   II. BACKGROUND

    2. On January 20, 2006, the Enforcement Bureau's Seattle Office received
       information concerning an unauthorized broadcast station operating on
       100.3 MHz in Kamiah, Idaho. A search of the Commission's databases
       revealed no authorization for a broadcast station to operate on 100.3
       MHz in Kamiah, Idaho.

    3. On January 31, 2006, Seattle agents monitored broadcast transmissions
       on 100.3 MHz in Kamiah, Idaho. The agents, using direction finding
       techniques, located the transmissions on 100.3 MHz to the south end of
       Kamiah.

    4. On February 1, 2006, Seattle agents again monitored broadcast
       transmissions on 100.3 MHz in Kamiah, Idaho, and, using direction
       finding techniques, located the source of the transmissions to the
       residence at RR 1, Box 476, Kamiah, Idaho. The agents took field
       strength measurements and determined that the signals being broadcast
       exceeded the limits for operation under Part 15 of the Commission's
       Rules ("Rules") and therefore required a license. The Seattle Office
       issued a Notice of Unlicensed Operation ("Notice") by Certified Mail
       to Carol Kurtz ("Kurtz"), the owner of the property, according to
       public records.

    5. On February 3, 2006, agents from the Commission's Seattle Office again
       monitored broadcast transmissions on 100.3 MHz in Kamiah, Idaho, and,
       using direction finding techniques, located broadcast transmissions on
       100.3 MHz to the private residence at RR 1, Box 476, Kamiah, Idaho.
       The agents made field strength measurements and determined that the
       signals being broadcast were slightly higher from their previous
       measurements. The measurements indicated that the station still
       exceeded the limits for operation under Part 15 of the Rules and,
       therefore, still required a license.

    6. On February 13, 2006, the Seattle office received a response
       ("Response") to the Notice issued to Kurtz. The Response was from
       William Scrugham, stating that he, and not Kurtz, was the operator of
       the transmitting equipment at the site in question. In his Response,
       Scrugham argued that the Commission, as a federal agency, lacks
       authority "to control intrastate radio communication . . . ." Scrugham
       also indicated that he intended to continue to operate the station and
       that the station did not require a license.

    7. On March 1, 2006, the Seattle Office requested that the Idaho County
       Sheriff verify that the station was still broadcasting on 100.3 MHz in
       Kamiah. At approximately 9:45 a.m., the Idaho County Sheriff's office
       recorded approximately 1.5 minutes of broadcast radio transmissions on
       100.3 MHz, approximately seven miles from RR 1, Box 476, Kamiah,
       Idaho, the site of Scrugham's transmitter. At approximately 5:31 p.m.,
       the Sheriff's Office again recorded, for approximately one minute,
       broadcast radio transmissions on 100.3 MHz, approximately four miles
       from the unlicensed transmitter.

   III. DISCUSSION

    8. Section 503(b) of the Act provides that any person who willfully or
       repeatedly fails to comply substantially with the terms and conditions
       of any license, or willfully or repeatedly fails to comply with any of
       the provisions of the Act or of any rule, regulation or order issued
       by the Commission thereunder, shall be liable for a forfeiture
       penalty. The term "willful" as used in Section 503(b) has been
       interpreted to mean simply that the acts or omissions are committed
       knowingly. The term "repeated" means the commission or omission of
       such act more than once or for more than one day.

    9. Section 301 of the Act requires that no person shall use or operate
       any apparatus for the transmission of energy or communications or
       signals by radio within the United States except under and in
       accordance with the Act and with a license. In particular, Section 301
       states that "[n]o person shall use or operate any apparatus for the
       transmission of energy or communications or signals by radio (a) from
       one place in any State, Territory, or possession of the United States
       or in the District of Columbia to another place in the same State,
       Territory, possession, or District;  . . . except under and in
       accordance with this chapter and with a license in that behalf granted
       under the provisions of this chapter."  On January 31, 2006, February
       1, 2006, February 3, 2006, and March 1, 2006, Scrugham operated radio
       transmitting equipment at Rural Route 1, Box 476, Kamiah, Idaho, on
       100.3 MHz without the required Commission authorization. Despite
       Scrugham's allegations to the contrary, Congress, in Section 301,
       clearly vested the Commission with authority to regulate intrastate
       radio transmissions, as detailed above.

   10. Scrugham received notice that his operation of the broadcast station
       on 100.3 MHz in Kamiah, Idaho, was unauthorized, along with a complete
       copy of Section 301. He acknowledged operation of the station in his
       Response to the Seattle Office's Notice and indicated that he intended
       to continue the operation of the station. Therefore, Scrugham's
       violation is willful. The violation occurred on more than one day,
       therefore, it is repeated. Based on the evidence before us, we find
       Scrugham apparently willfully and repeatedly violated Section 301 of
       the Act by operating a radio transmission apparatus without a license
       on 100.3 MHz in Kamiah, Idaho.

   11. Pursuant to The Commission's Forfeiture Policy Statement and Amendment
       of Section 1.80 of the Rules to Incorporate the Forfeiture Guidelines,
       ("Forfeiture Policy Statement"), and Section 1.80 of the Rules, the
       base forfeiture amount for operating without an instrument of
       authorization is $10,000. In assessing the monetary forfeiture amount,
       we must also take into account the statutory factors set forth in
       Section 503(b)(2)(D) of the Act, which include the nature,
       circumstances, extent, and gravity of the violations, and with respect
       to the violator, the degree of culpability, and history of prior
       offenses, ability to pay, and other such matters as justice may
       require. Applying the Forfeiture Policy Statement, Section 1.80, and
       the statutory factors, we find that Scrugham is apparently liable for
       a forfeiture of $10,000.

   IV. ORDERING CLAUSES

   12. Accordingly, IT IS ORDERED that, pursuant to Section 503(b) of the
       Communications Act of 1934, as amended, and Sections 0.111, 0.311 and
       1.80 of the Commission's Rules, William W. Scrugham is hereby NOTIFIED
       of this APPARENT LIABILITY FOR A FORFEITURE in the amount of ten
       thousand dollars ($10,000) for violations of Section 301 of the Act.

   13. IT IS FURTHER ORDERED that, pursuant to Section 1.80 of the
       Commission's Rules within thirty days of the release date of this
       Notice of Apparent Liability for Forfeiture, William W. Scrugham SHALL
       PAY the full amount of the proposed forfeiture or SHALL FILE a written
       statement seeking reduction or cancellation of the proposed
       forfeiture.

   14. Payment of the forfeiture must be made by check or similar instrument,
       payable to the order of the Federal Communications Commission.\001 The
       payment must include the NAL/Acct. No. and FRN No. referenced
       above.\001 Payment by\001check or money order may be mailed to Federal
       Communications Commission, P.O. Box\001358340,\001Pittsburgh, PA
       15251-8340.\001 Payment by overnight mail may be sent to\001Mellon
       Bank\001/LB\001358340,\001500 Ross Street, Room 1540670, Pittsburgh,
       PA 15251.\001\001 Payment by wire transfer may be made to ABA
       Number\001043000261, receiving bank\001Mellon Bank, and account
       number\001911-6106.

   15. The response, if any, must be mailed to Federal Communications
       Commission, Enforcement Bureau, Western Region, Seattle District
       Office, 11410 NE 122^nd Way, Suite 312, Kirkland, WA 98034-6927, and
       must include the NAL/Acct. No. referenced in the caption.

   16. The Commission will not consider reducing or canceling a forfeiture in
       response to a claim of inability to pay unless the petitioner submits:
       (1) federal tax returns for the most recent three-year period; (2)
       financial statements prepared according to generally accepted
       accounting practices ("GAAP"); or (3) some other reliable and
       objective documentation that accurately reflects the petitioner's
       current financial status. Any claim of inability to pay must
       specifically identify the basis for the claim by reference to the
       financial documentation submitted.

   17. Requests for payment of the full amount of this Notice of Apparent
       Liability for Forfeiture under an installment plan should be sent to:
       Associate Managing Director - Financial Operations, Room 1A625, 445
       12th Street, S.W., Washington, D.C. 20554.

   18. IT IS FURTHER ORDERED that a copy of this Notice of Apparent Liability
       for Forfeiture shall be sent by Certified Mail, Return Receipt
       Requested, and regular mail, to William W. Scrugham.

   FEDERAL COMMUNICATIONS COMMISSION

   Steven Houser

   Acting District Director

   Seattle District Office

   Western Region

   Enforcement Bureau

   47 U.S.C. S 301.

   47 U.S.C. S 503(b).

   Section 15.239 of the Rules provides that non-licensed broadcasting in the
   88-108 MHz band is permitted only if the field strength of the
   transmission does not exceed 250 mV/m at three meters. 47 C.F.R. S 15.239.
   On February 1, 2006, the measurements indicated that the signal was 6683
   times greater than the maximum permissible level for a non-licensed Part
   15 transmitter. Devices compliant with Part 15 typically have a range of
   less than one mile.

   The measurements made on February 3, 2006, indicated that the signal was
   6993 times greater than the maximum permissible level for a non-licensed
   Part 15 transmitter.

   As a basis for this claim, Scrugham attached to his Response a 1997
   Commission form letter sent in response to an inquiry from an individual,
   not a party to this action, that purports to disavow federal jurisdiction
   over all intrastate radio transmissions. The Commission has since
   corrected the inaccuracies of form letters of this type by releasing
   follow-up letters, and has reiterated that "Section 301 explicitly sets
   forth the Commission's jurisdiction over all radio transmissions, both
   interstate and intrastate." Joseph Frank Ptak, 14 FCC Rcd 9317, 9320
   (1999).

   Section 312(f)(1) of the Act, 47 U.S.C. S 312(f)(1), which applies to
   violations for which forfeitures are assessed under Section 503(b) of the
   Act, provides that "[t]he term 'willful', when used with reference to the
   commission or omission of any act, means the conscious and deliberate
   commission or omission of such act, irrespective of any intent to violate
   any provision of this Act or any rule or regulation of the Commission
   authorized by this Act...." See Southern California Broadcasting Co., 6
   FCC Rcd 4387 (1991).

   Section 312(f)(2) of the Act, 47 U.S.C. S 312(f)(2), which also applies to
   violations for which forfeitures are assessed under Section 503(b) of the
   Act, provides that "[t]he term 'repeated', when used with reference to the
   commission or omission of any act, means the commission or omission of
   such act more than once or, if such commission or omission is continuous,
   for more than one day."

   47 U.S.C. S 301.

   12 FCC Rcd 17087 (1997), recon. denied, 15 FCC Rcd 303 (1999); 47 C.F.R.
   S1.80.

   47 U.S.C. S 503(b)(2)(D).

   47 U.S.C. S 301, 47 C.F.R. SS 0.111, 0.311, 1.80.

   See 47 C.F.R. S 1.1914.

   (...continued from previous page)

                                                              (continued....)

   Federal Communications Commission

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   Federal Communications Commission