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Federal Communications Commission DA 16-381
Before the
Federal Communications Commission
Washington, DC 20554
In the Matter of
Alascom, Inc.
)
)
)
)
)
)
File No.: EB-SED-16-00020553
1
Acct. No.: 201632100005
FRN: 0001572676
ORDER
Adopted: April 21, 2016 Released: April 21, 2016
By the Chief, Enforcement Bureau:
1. The Enforcement Bureau (Bureau) of the Federal Communications Commission
(Commission) has entered into a Consent Decree to resolve its investigation into whether Alascom, Inc.
(Alascom) operated common carrier point-to-point microwave stations WGF63, WHA411, and WOE33
on unauthorized frequencies. The regulations involved ensure that devices that emit radio frequency
radiation comply with the Commission’s technical requirements and do not interfere with authorized
communications. To settle this matter, Alascom admits that it operated stations WGF63, WHA411, and
WOE33 on unauthorized frequencies from April 3, 2014 until approximately April 26, 2015 and that it
implemented major modifications to the stations without prior Commission approval. Alascom agrees
that it will implement a compliance plan to ensure there is no reoccurrence of these violations and will
pay a $36,000 civil penalty.
2. After reviewing the terms of the Consent Decree and evaluating the facts before us, we
find that the public interest would be served by adopting the Consent Decree and terminating the
referenced investigation into Alascom’s compliance with Section 301 of the Communications Act, as
amended (Act),
2
and Sections 1.903(a) and 1.947(a) of the Commission’s rules.
3
3. In the absence of material new evidence relating to this matter, we do not set for hearing
the question of Alascom’s basic qualifications to hold or obtain any Commission license or authorization.
4
4. Accordingly, IT IS ORDERED that, pursuant to Section 4(i) of the Act,
5
and the
authority delegated by Sections 0.111 and 0.311 of the Commission’s rules,
6
the Consent Decree attached
to this Order IS ADOPTED and its terms incorporated by reference.
1
The investigation began under File No. EB-SED-15-00019170 and was subsequently assigned File No. EB-SED-16-
00020553. Any future correspondence with the Commission concerning this matter should reflect the new case
number.
2
47 U.S.C. § 301.
3
47 C.F.R. §§ 1.903(a), 1.947(a).
4
See 47 C.F.R. § 1.93(b).
5
47 U.S.C. § 154(i).
6
47 C.F.R. §§ 0.111, 0.311.
Federal Communications Commission DA 16-381
2
5. IT IS FURTHER ORDERED that the above-captioned matter IS TERMINATED.
6. IT IS FURTHER ORDERED that a copy of this Order and Consent Decree shall be
sent by first class mail and certified mail, return receipt requested, to Robert Vitanza, General Attorney,
AT&T Services, Inc., 208 S. Akard Street, Rm. 2914, Dallas, Texas 75202.
FEDERAL COMMUNICATIONS COMMISSION
Travis LeBlanc
Chief
Enforcement Bureau
Federal Communications Commission DA 16-381
Before the
Federal Communications Commission
Washington, DC 20554
In the Matter of
Alascom, Inc.
)
)
)
)
)
)
File No.: EB-SED-16-00020553
Acct. No.: 201632100005
FRN: 0001572676
CONSENT DECREE
1. The Enforcement Bureau of the Federal Communications Commission and Alascom, Inc.
(Alascom), by their authorized representatives, hereby enter into this Consent Decree for the purpose of
terminating the Enforcement Bureau’s investigation into whether Alascom violated Section 301 of the
Communications Act of 1934, as amended,
1
and Sections 1.903(a) and 1.947(a) of the Commission’s
rules
2
in connection with its operation of three fixed microwave stations on unauthorized frequencies.
I. DEFINITIONS
2. For the purposes of this Consent Decree, the following definitions shall apply:
(a) “Act” means the Communications Act of 1934, as amended.
3
(b) “Adopting Order” means an order of the Bureau adopting the terms of this Consent
Decree without change, addition, deletion, or modification.
(c) “Alascom” means Alascom, Inc. and its subsidiaries, predecessors-in-interest, and
successors-in-interest.
(d) “Bureau” means the Enforcement Bureau of the Federal Communications
Commission.
(e) “Commission” and “FCC” mean the Federal Communications Commission and all
of its bureaus and offices.
(f) “Communications Laws” means collectively, the Act, the Rules, and the published
and promulgated orders and decisions of the Commission to which Alascom is
subject by virtue of its business activities, including but not limited to the Licensing
Rules.
(g) “Compliance Plan” means the compliance obligations, program, and procedures
described in this Consent Decree at paragraph 11.
(h) “Covered Employees” means all employees and agents of Alascom and its affiliates
who perform, or supervise, oversee, or manage the performance of, duties that relate
1
47 U.S.C. § 301.
2
47 C.F.R. §§ 1.903(a), 1.947(a).
3
47 U.S.C. § 151 et seq.
Federal Communications Commission DA 16-381
2
to Alascom’s responsibilities under the Communications Laws, including the
Licensing Rules.
(i) “Effective Date” means the date by which both the Bureau and Alascom have signed
the Consent Decree.
(j) “Investigation” means the investigation commenced by the Bureau in FILE No. EB-
SED-16-00020553
4
regarding whether Alascom violated the Licensing Rules.
(k) “Licensing Rules” means Section 301 of the Communications Act of 1934, as
amended, and Sections 1.903(a) and 1.947(a) of the Commission’s rules and other
provisions of the Act, the Rules, and Commission orders that prohibit the use or
operation of a wireless radio station in a manner inconsistent with its licensed
parameters.
(l) “Operating Procedures” means the standard internal operating procedures and
compliance policies established by Alascom or its parent company to implement the
Compliance Plan.
(m) “Parties” means Alascom and the Bureau, each of which is a “Party.”
(n) “Rules” means the Commission’s regulations found in Title 47 of the Code of
Federal Regulations.
II. BACKGROUND
3. Section 301 of the Act and Section 1.903(a) of the Commission’s rules prohibit the use or
operation of any apparatus for the transmission of energy or communications or signals by radio except
under, and in accordance with, a Commission-granted authorization.
5
Section 1.947(a) of the
Commission’s rules states that all “major modifications” to wireless radio service stations require prior
Commission approval.
6
Section 1.929(d) of the Commission’s rules sets forth the types of modifications
that are considered major, such as any substantial change in ownership or control, changes that require
frequency coordination, and the addition of a frequency for which a licensee is not currently authorized.
7
Failure to receive prior Commission approval for major modifications to station operations constitutes
unauthorized operations under the Act and the Commission’s rules.
8
4. In May 2015, the Wireless Telecommunications Bureau referred to the Enforcement
Bureau for investigation and possible enforcement action whether Alascom was operating common
carrier fixed point-to-point microwave stations WGF63, WHA411, and WOE44 on unauthorized
frequencies. The Enforcement Bureau sent a Letter of Inquiry (LOI) to Alascom on September 2, 2015,
regarding possible violations associated with Alascom’s operation of stations WGF63, WHA411, and
WOE33.
9
Alascom responded on October 2, 2015.
10
In its LOI Response, Alascom states that it operated
4
The investigation began under File No. EB-SED-15-00019170 and was subsequently assigned File No. EB-SED-16-
00020553.
5
47 U.S.C. § 301; 47 C.F.R. § 1.903(a).
6
47 C.F.R. § 1.947(a).
7
47 C.F.R. § 1.929(d).
8
47 U.S.C. § 301; 47 C.F.R. § 1.903(a).
9
See Letter from Bruce D. Jacobs, Chief, Spectrum Enforcement Division, FCC Enforcement Bureau, to Michael T.
Felix, President and CEO, Alascom, Inc. (Sept. 2, 2015) (on file in EB-SED-16-00020553).
Federal Communications Commission DA 16-381
3
stations WGF63, WHA411, and WOE33 on frequencies other than those authorized.
11
Specifically,
Alascom explains that it “replaced the microwave system” at each station on April 3, 2014, and
completed frequency coordination, but did not file the necessary modification applications seeking
authority to operate on the new frequencies.
12
5. Beginning January 2015, Alascom implemented a formal license review process that had
been developed by AT&T Corp.’s Regulatory Compliance Team.
13
During this review process, Alascom
discovered that it was operating stations WGF63, WHA411, and WOE33 on unauthorized frequencies.
Alascom subsequently filed three applications for special temporary authority (STA) with the Wireless
Telecommunications Bureau,
14
which was the first step needed to begin bringing the stations into
compliance. The Wireless Telecommunications Bureau granted the STA applications
15
and Alascom then
filed applications for permanent authority to operate on the relevant frequencies.
16
Subsequently,
Alascom and the Bureau engaged in settlement negotiations. The Bureau and Alascom agree to the
following terms and conditions of settlement and hereby enter into this Consent Decree as provided
herein.
III. TERMS OF AGREEMENT
6. Adopting Order. The provisions of this Consent Decree shall be incorporated by the
Bureau in an Adopting Order.
7. Jurisdiction. Alascom agrees that the Bureau has jurisdiction over it and the matters
contained in this Consent Decree and has the authority to enter into and adopt this Consent Decree.
8. Effective Date; Violations. The Parties agree that this Consent Decree shall become
effective on the Effective Date as defined herein. As of the Effective Date, the Parties agree that this
Consent Decree shall have the same force and effect as any other order of the Commission.
9. Termination of Investigation. In express reliance on the covenants and representations
in this Consent Decree and to avoid further expenditure of public resources, the Bureau agrees to
terminate the Investigation. In consideration for the termination of the Investigation, Alascom agrees to
the terms, conditions, and procedures contained herein. The Bureau further agrees that, in the absence of
new material evidence, it will not use the facts developed in the Investigation through the Effective Date,
or the existence of this Consent Decree, to institute, on its own motion, any new proceeding, formal or
informal, or take any action on its own motion against Alascom concerning the matters that were the
subject of the Investigation. The Bureau also agrees that, in the absence of new material evidence, it will
not use the facts developed in the Investigation through the Effective Date, or the existence of this
Consent Decree, to institute on its own motion any proceeding, formal or informal, or to set for hearing
(Continued from previous page)
10
See Letter from Robert Vitanza, General Attorney, AT&T Services, Inc., to Paul Noone, Attorney Advisor,
Spectrum Enforcement Division, FCC Enforcement Bureau (Oct. 2, 2015) (on file in EB-SED-16-00020553).
11
LOI Response at 1-2.
12
Id.
13
LOI Response at 4.
14
See Universal Licensing System (ULS) File Nos. 0006777536 (WGF63), 0006777555 (WHA411), and
0006777597 (WOE33). All of the applications were filed on April 27, 2015.
15
The applications were granted on April 30, 2015, under call signs WQVS697 (for WGF63), WQVS699 (for
WHA411), and WQVS700 (for WOE33), until May 30, 2015.
16
On May 21, 2015, Alascom filed applications for stations WGF63, WHA411, and WOE33 seeking permanent
authority to operate on the relevant frequencies. See ULS File Nos. 0006810706, 0006810728, and 0006790353,
respectively. The applications remain pending.
Federal Communications Commission DA 16-381
4
the question of Alascom’s basic qualifications to be a Commission licensee or hold Commission licenses
or authorizations.
17
10. Admission of Liability. Alascom admits for the purpose of this Consent Decree and for
Commission civil enforcement purposes, and in express reliance on the provisions of paragraph 8 herein,
that its actions that were the subject of the Investigation violated the Licensing Rules.
11. Compliance Officer. Within thirty (30) calendar days after the Effective Date, Alascom
shall designate a senior corporate manager with the requisite corporate and organizational authority to
serve as a Compliance Officer and to discharge the duties set forth below. The person designated as the
Compliance Officer shall be responsible for developing, implementing, and administering the Compliance
Plan and ensuring that Alascom complies with the terms and conditions of the Compliance Plan and this
Consent Decree. In addition to the general knowledge of the Communications Laws necessary to
discharge his or her duties under this Consent Decree, the Compliance Officer shall have specific
knowledge of the Licensing Rules prior to assuming his/her duties. The Compliance Officer may use the
resources of legal counsel, and/or of managers reporting to Compliance Office of its parent company to
aid the Compliance Officer in the discharge of his/her duties under this Consent Decree.
12. Compliance Plan. For purposes of settling the matters set forth herein, Alascom agrees
that it shall, within sixty (60) calendar days after the Effective Date, develop and implement a
Compliance Plan designed to ensure future compliance with the Communications Laws and with the
terms and conditions of this Consent Decree.
18
With respect to the Licensing Rules, Alascom will
implement, at a minimum, the following procedures:
(a) Operating Procedures. Within sixty (60) calendar days after the Effective Date,
Alascom shall establish Operating Procedures that all Covered Employees must
follow to help ensure Alascom’s compliance with the Licensing Rules. Alascom’s
Operating Procedures shall include internal procedures and policies specifically
designed to ensure that it operates its radio stations in accordance with their
authorized parameters.
(b) Compliance Manual.
19
Within sixty (60) calendar days after the Effective Date,
the Compliance Officer shall develop and distribute a Compliance Manual to all
Covered Employees. The Compliance Manual shall explain the Licensing Rules
and set forth the Operating Procedures that Covered Employees shall follow to help
ensure Alascom’s compliance with the Licensing Rules. Alascom shall periodically
review and revise the Compliance Manual as necessary to ensure that the
information set forth therein remains current and accurate. Alascom shall distribute
any revisions to the Compliance Manual promptly to all Covered Employees.
(c) Compliance Training Program. Alascom shall establish and implement a
Compliance Training Program on compliance with the Licensing Rules and the
Operating Procedures. As part of the Compliance Training Program, Covered
Employees shall be advised of Alascom’s obligation to report any noncompliance
with the Licensing Rules under paragraph 12 of this Consent Decree and shall be
17
See 47 C.F.R. § 1.93(b).
18
Alascom represents that it has comprehensive organizational structures, plans, and procedures in place that are
intended to ensure compliance with the Communications Laws. This Consent Decree does not require new
organizational structures, plans, or procedures except as necessary to implement paragraphs 11-14 of this Consent
Decree, nor does it require application of the Compliance Plan to Covered Employees with no responsibilities for
compliance with the Licensing Rules.
19
Alascom is not restricted from combining its Operating Procedures and Compliance Manual into a single,
comprehensive document.
Federal Communications Commission DA 16-381
5
instructed on how to disclose noncompliance to the Compliance Officer. All
Covered Employees shall be trained pursuant to the Compliance Training Program
within ninety (90) calendar days after the Effective Date, except that any person
who becomes a Covered Employee at any time after the initial Compliance Training
Program shall be trained within thirty (30) calendar days after the date such person
becomes a Covered Employee. Alascom shall repeat compliance training on an
annual basis, and shall periodically review and revise the Compliance Training
Program as necessary to ensure that it remains current and complete and to enhance
its effectiveness.
13. Reporting Noncompliance. Alascom shall report any noncompliance with the
Licensing Rules and with the terms and conditions of this Consent Decree within fifteen (15) calendar
days after discovery of such noncompliance. Such reports shall include a detailed explanation of: (i)
each instance of noncompliance; (ii) the steps that Alascom has taken or will take to remedy such
noncompliance; (iii) the schedule on which such remedial actions will be taken; and (iv) the steps that
Alascom has taken or will take to prevent the recurrence of any such noncompliance. All reports of
noncompliance shall be submitted to the Chief, Spectrum Enforcement Division, Enforcement Bureau,
Federal Communications Commission, 445 12
th
Street, SW, Rm. 4C-224, Washington, DC 20554, with
copies submitted electronically to Paul Noone at Paul.Noone@fcc.gov and Ricardo Durham at
Ricardo.Durham@fcc.gov.
14. Compliance Reports. Alascom shall file compliance reports with the Commission
ninety (90) calendar days after the Effective Date, twelve (12) months after the Effective Date, twenty-
four (24) months after the Effective Date, and thirty-six (36) months after the Effective Date.
(a) Each Compliance Report shall include a detailed description of Alascom’s efforts
during the relevant period to comply with the terms and conditions of this Consent
Decree and the Licensing Rules. In addition, each Compliance Report shall include
a certification by the Compliance Officer, as an agent of and on behalf of Alascom,
stating that the Compliance Officer has personal knowledge that Alascom: (i) has
established and implemented the Compliance Plan; (ii) has utilized the Operating
Procedures since the implementation of the Compliance Plan; and (iii) is not aware
of any instances of noncompliance with the terms and conditions of this Consent
Decree, including the reporting obligations set forth in paragraph 12 of this Consent
Decree.
(b) The Compliance Officer’s certification shall be accompanied by a statement
explaining the basis for such certification and shall comply with Section 1.16 of the
Rules and be subscribed to as true under penalty of perjury in substantially the form
set forth therein.
20
(c) If the Compliance Officer cannot provide the requisite certification, the Compliance
Officer, as an agent of and on behalf of Alascom, shall provide the Commission
with a detailed explanation of the reason(s) why and describe fully: (i) each
instance of noncompliance; (ii) the steps that Alascom has taken or will take to
remedy such noncompliance, including the schedule on which proposed remedial
actions will be taken; and (iii) the steps that Alascom has taken or will take to
prevent the recurrence of any such noncompliance, including the schedule on which
such preventive action will be taken.
(d) All Compliance Reports shall be submitted to the Chief, Spectrum Enforcement
Division, Enforcement Bureau, Federal Communications Commission, 445 12
th
20
47 C.F.R. § 1.16.
Federal Communications Commission DA 16-381
6
Street, SW, Rm. 4C-224, Washington, DC 20554, with copies submitted
electronically to Paul Noone at Paul.Noone@fcc.gov and Ricardo Durham at
Ricardo.Durham@fcc.gov.
15. Termination Date. Unless stated otherwise, the requirements set forth in paragraphs 10
through 13 of this Consent Decree shall expire thirty-six (36) months after the Effective Date.
16. Section 208 Complaints; Subsequent Investigations. Nothing in this Consent Decree
shall prevent the Commission or its delegated authority from adjudicating complaints filed pursuant to
Section 208 of the Act
21
against Alascom or its affiliates for alleged violations of the Act, or for any other
type of alleged misconduct, regardless of when such misconduct took place. The Commission’s
adjudication of any such complaint will be based solely on the record developed in that proceeding.
Except as expressly provided in this Consent Decree, this Consent Decree shall not prevent the
Commission from investigating new evidence of noncompliance by Alascom with the Communications
Laws.
17. Civil Penalty. Alascom will pay a civil penalty to the United States Treasury in the
amount of thirty-six thousand dollars ($36,000) within thirty (30) calendar days of the Effective Date.
Alascom shall send electronic notification of payment to Paul Noone at Paul.Noone@fcc.gov, Ricardo
Durham at Ricardo.Durham@fcc.gov, and Samantha Peoples at Sam.Peoples@fcc.gov on the date said
payment is made. The payment must be made by check or similar instrument, wire transfer, or credit
card, and must include the Account Number and FRN referenced in the caption of the Adopting Order.
Regardless of the form of payment, a completed FCC Form 159 (Remittance Advice) must be
submitted.
22
When completing the FCC Form 159, enter the Account Number in block number 23A (call
sign/other ID) and enter the letters “FORF” in block number 24A (payment type code). Below are
additional instructions that should be followed based on the form of payment selected:
? Payment by check or money order must be made payable to the order of the Federal
Communications Commission. Such payments (along with the completed Form 159) must be
mailed to Federal Communications Commission, P.O. Box 979088, St. Louis, MO 63197-
9000, or sent via overnight mail to U.S. Bank – Government Lockbox #979088,
SL-MO-C2-GL, 1005 Convention Plaza, St. Louis, MO 63101.
? Payment by wire transfer must be made to ABA Number 021030004, receiving bank
TREAS/NYC, and Account Number 27000001. To complete the wire transfer and ensure
appropriate crediting of the wired funds, a completed Form 159 must be faxed to U.S. Bank
at (314) 418-4232 on the same business day the wire transfer is initiated.
? Payment by credit card must be made by providing the required credit card information on
FCC Form 159 and signing and dating the Form 159 to authorize the credit card payment.
The completed Form 159 must then be mailed to Federal Communications Commission, P.O.
Box 979088, St. Louis, MO 63197-9000, or sent via overnight mail to U.S. Bank –
Government Lockbox #979088, SL-MO-C2-GL, 1005 Convention Plaza, St. Louis, MO
63101.
Questions regarding payment procedures should be addressed to the Financial Operations Group Help
Desk by phone, 1-877-480-3201, or by e-mail, ARINQUIRIES@fcc.gov.
18. Waivers. As of the Effective Date, Alascom waives any and all rights it may have to
seek administrative or judicial reconsideration, review, appeal or stay, or to otherwise challenge or contest
the validity of this Consent Decree and the Adopting Order. Alascom shall retain the right to challenge
21
47 U.S.C. § 208.
22
An FCC Form 159 and detailed instructions for completing the form may be obtained at
http://www.fcc.gov/Forms/Form159/159.pdf.
Federal Communications Commission DA 16-381
7
Commission interpretation of the Consent Decree or any terms contained herein. If either Party (or the
United States on behalf of the Commission) brings a judicial action to enforce the terms of the Consent
Decree or the Adopting Order, neither Alascom nor the Commission shall contest the validity of the
Consent Decree or the Adopting Order, and Alascom shall waive any statutory right to a trial de novo.
Alascom hereby agrees to waive any claims it may otherwise have under the Equal Access to Justice
Act
23
relating to the matters addressed in this Consent Decree.
19. Severability. The Parties agree that if any of the provisions of the Consent Decree shall
be held unenforceable by any court of competent jurisdiction, such unenforceability shall not render
unenforceable the entire Consent Decree, but rather the entire Consent Decree shall be construed as if not
containing the particular unenforceable provision or provisions, and the rights and obligations of the
Parties shall be construed and enforced accordingly.
20. Invalidity. In the event that this Consent Decree in its entirety is rendered invalid by any
court of competent jurisdiction, it shall become null and void and may not be used in any manner in any
legal proceeding.
21. Subsequent Rule or Order. The Parties agree that if any provision of the Consent
Decree conflicts with any subsequent Rule or Order adopted by the Commission (except an Order
specifically intended to revise the terms of this Consent Decree to which Alascom does not expressly
consent) that provision will be superseded by such Rule or Order.
22. Successors and Assigns. Alascom agrees that the provisions of this Consent Decree
shall be binding on its successors, assigns, and transferees.
23. Final Settlement. The Parties agree and acknowledge that this Consent Decree shall
constitute a final settlement between the Parties with respect to the Investigation.
24. Modifications. This Consent Decree cannot be modified without the advance written
consent of both Parties.
25. Paragraph Headings. The headings of the paragraphs in this Consent Decree are
inserted for convenience only and are not intended to affect the meaning or interpretation of this Consent
Decree.
26. Authorized Representative. Each Party represents and warrants to the other that it has
full power and authority to enter into this Consent Decree. Each person signing this Consent Decree on
behalf of a Party hereby represents that he or she is fully authorized by the Party to execute this Consent
Decree and to bind the Party to its terms and conditions.
23
See 5 U.S.C. § 504; 47 C.F.R. §§ 1.1501–1.1530.
Federal Communications Commission DA 16-381
8
27. Counterparts. This Consent Decree may be signed in counterpart (including
electronically or by facsimile). Each counterpart, when executed and delivered, shall be an original, and
all of the counterparts together shall constitute one and the same fully executed instrument.
________________________________
Travis LeBlanc
Chief
Enforcement Bureau
________________________________
Date
________________________________
John Monday
Vice President
Alascom, Inc.
________________________________
Date