[Federal Register Volume 64, Number 95 (Tuesday, May 18, 1999)]
[Rules and Regulations]
[Pages 26885-26887]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-12411]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Parts 20 and 80

[PR Docket No. 92-257; FCC 99-83]


Maritime Communications

AGENCY: Federal Communications Commission.

ACTION: Final rule; petition for reconsideration.

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SUMMARY: The Commission has denied reconsideration of and corrected 
portions of the final rules adopted in the Third Report and Order and 
Memorandum Opinion and Order (Third Report and Order) in this 
proceeding. It clarifies the respective regulatory statuses of services 
that were and were not addressed in the Third Report and Order, deletes 
a cross-reference to a rule that was removed in the Third Report and 
Order, and clarifies the co-channel interference protection standards 
for VHF public coast geographic licensees established in the Third 
Report and Order. 

DATES: Effective June 17, 1999.

FOR FURTHER INFORMATION CONTACT: Scot Stone of the Wireless 
Telecommunications Bureau, Public Safety and Private Wireless Division, 
at (202) 418-0680 or via E-mail to ``[email protected]''. TTY: (202) 418-
7233.

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's 
Memorandum Opinion and Order, PR Docket No. 92-257, FCC 99-83, adopted 
April 26, 1999, and released May 3, 1999. The complete text may be 
purchased from the Commission's copy contractor, International 
Transcription Services, 1231 20th Street, N.W., Washington, D.C. 20036, 
telephone (202) 857-3800, facsimile (202) 857-3805. Alternative formats 
(computer diskette, large print, audio cassette, and Braille) are 
available to persons with disabilities by contacting Martha Contee at 
(202) 418-0260, TTY (202) 418-2555, or at [email protected]. The full 
text of the Memorandum Opinion and Order can also be downloaded at: 
http://www.fcc.gov/Bureaus/Wireless/Orders/1999/fcc9983.txt or http://
www.fcc.gov/Bureaus/Wireless/Orders/1999/fcc9983.wp

Summary of the Memorandum Opinion and Order

    1. The Commission initiated the instant proceeding to update the 
Maritime Service rules to promote the use of new, spectrally efficient 
radio communications techniques. In the Third Report and Order (63 FR 
40059, July 27, 1998), the Commission adopted rules to simplify the 
license process for VHF public coast stations. Fred Daniel d/b/a Orion 
Telecom petitioned for reconsideration of those rules, contending that 
the 12 dB co-channel interference protection standard was insufficient 
to protect automated coastal stations, the development of which will be 
facilitated by the rule changes adopted in the Third Report and Order. 
The Commission finds, however, that the standard is sufficient, and 
that there is no reason to adopt different standards for automated and 
manually-operated stations.
    2. In addition, on its own motion, the Commission amends the rules 
to conform the final rules adopted in the Third Report and Order to the 
text of the Third Report and Order, and corrects the Final Regulatory 
Flexibility Analysis.

Revised Final Regulatory Flexibility Analysis

    3. As required by the Regulatory Flexibility Act (RFA), an Initial 
Regulatory Flexibility Analysis (IRFA) was incorporated into the Second 
Further Notice of Proposed Rule Making (62 FR 37533, July 14, 1997) in 
this proceeding (Second Further Notice). The Commission sought written 
public comment on the proposals in the Second Further Notice, including 
comment on the IRFA. This present Final Regulatory Flexibility Analysis 
(FRFA) conforms to the RFA.
    4. Need for, and Objectives of, the Third Report and Order. Our 
objective is to simplify our licensing process for VHF public coast 
stations. Specifically, this action will: (1) convert licensing of VHF 
public coast station spectrum from site-by-site licensing to geographic 
area licensing, (2) simplify and streamline the VHF public coast 
spectrum licensing procedures and rules, (3) increase licensee 
flexibility to provide communication services that are responsive to 
dynamic market demands, and (4) introduce market-based forces into the 
Maritime Services by using competitive bidding procedures (auctions) to 
resolve mutually exclusive applications for public coast spectrum. We 
find that these actions will increase the number and types of 
communications services available to the maritime community and improve 
the safety of life and property at sea, and that the potential benefits 
to the maritime community exceed any negative effects that may result 
from the promulgation of rules for this purpose. Thus, we conclude that 
the public interest is served by amending our rules as described above.

[[Page 26886]]

    5. Summary of Significant Issues Raised by Public Comments in 
Response to the IRFA. No comments were submitted in response to the 
IRFA. In general comments on the Second Further Notice, however, some 
small business commenters raised issues that might affect small 
business entities. In particular, some small business commenters argued 
that geographic licensing should be used only in certain areas; or that 
incumbent licensees be permitted to expand their systems before any 
auctions are held; or that license areas should be small enough to 
permit smaller licensees to participate in auctions, so that small 
business do not have to bid for territory far exceeding their operating 
needs. The Commission carefully considered each of these comments in 
reaching the decision set forth herein.
    6. Description and Estimate of the Number of Small Entities to 
Which Rules Will Apply. The rules adopted herein will apply to 
licensees using public coast spectrum. The Commission has not developed 
a definition of the term ``small entity'' specifically applicable to 
public coast station licensees. Therefore, the applicable definition of 
small entity is the definition under the Small Business Administration 
rules applicable to radiotelephone service providers. This definition 
provides that a small entity is any entity employing less than 1,500 
persons. See 13 CFR 121.201, Standard Industrial Classification (SIC) 
Code 4812. Since the size data provided by the Small Business 
Administration does not enable us to make a meaningful estimate of the 
number of current or prospective public coast station licensees which 
are small businesses, and no commenters responded to our request for 
information regarding the number of small entities that use or are 
likely to use public coast spectrum, we used the 1992 Census of 
Transportation, Communications, and Utilities, conducted by the Bureau 
of Census, which is the most recent information available. This 
document shows that only 12 radiotelephone firms out of a total of 
1,178 such firms which operated during 1992 had 1,000 or more 
employees. There are over 100 public coast station licensees. Based on 
the proposals contained herein, it is unlikely that more than 50 
licensees will be authorized in the future. Therefore, for purposes of 
our evaluations and conclusions in this FRFA, we estimate that there 
are approximately 150 public coast station licensees which are small 
businesses, as that term is defined by the Small Business 
Administration.
    7. Description of Projected Reporting, Recordkeeping, and Other 
Compliance Requirements. All small businesses that choose to 
participate in the competitive bidding for these services will be 
required to demonstrate that they meet the criteria set forth to 
qualify as small businesses, as required under 47 CFR Part 1, Subpart 
Q. Any small business applicant wishing to avail itself of small 
business provisions will need to make the general financial disclosures 
necessary to establish that the business is in fact small. Prior to 
auction each small business applicant will be required to submit an FCC 
Form 175, OMB Clearance Number 3060-0600. The estimated time for 
filling out an FCC Form 175 is 45 minutes. In addition to filing an FCC 
Form 175, each applicant will have to submit information regarding the 
ownership of the applicant, any joint venture arrangements or bidding 
consortia that the applicant has entered into, and financial 
information demonstrating that a business wishing to qualify for 
bidding credits is a small business. Applicants that do not have 
audited financial statements available will be permitted to certify to 
the validity of their financial showings. While many small businesses 
have chosen to employ attorneys prior to filing an application to 
participate in an auction, the rules are intended to enable a small 
business working with the information in a bidder information package 
to file an application on its own. When an applicant wins a license, it 
will be required to submit an FCC Form 601, which will require 
technical information regarding the applicant's proposals for providing 
service. This application will require information provided by an 
engineer who will have knowledge of the system's design.
    8. Steps Taken to Minimize Significant Economic Impact on Small 
Entities, and Significant Alternatives Considered. The Commission in 
this proceeding has considered comments on ways to implement broad 
changes to the Maritime Services rules. In doing so, the Commission has 
adopted alternatives which minimize burdens placed on small entities. 
First, it has decided to establish a presumption that regional 
licensees are telecommunications carriers, avoiding the need for small 
telecommunications to provide detailed information about their 
operations. Also, it has exempted by rule from the Channel 16 safety 
watch requirement public coast stations whose areas are served by 
government stations, replacing the prior requirement that such coast 
stations individually request an exemption. In addition, the Commission 
has eased the construction requirements for VHF public coast stations.
    9. The Commission considered and rejected several significant 
alternatives. It rejected the alternative of licensing all VHF public 
coast spectrum by Coast Guard District. Instead, it will license such 
spectrum in areas removed from major waterways by inland VHF Public 
Coast Station Area (VPCs), identical to Economic Areas (EAs), allowing 
small entities there to participate in the auction without bidding for 
territory far exceeding their operating needs. The Commission rejected 
the alternative of delaying the auctions for the inland VPCs by holding 
frequencies open for public safety applications. Instead, the 
Commission designated public safety channels in advance. The Commission 
rejected the alternative of requiring each geographic area licensee to 
provide detailed information about the services it will offer, so the 
Commission could determine whether the licensee is a telecommunications 
carrier. Instead, the Commission established a rebuttable presumption 
that geographic area licensees are telecommunications carriers, so only 
those seeking to avoid that classification need submit such 
information.
    10. The Commission will send a copy of the Third Report and Order 
and Memorandum Opinion and Order (63 FR 40059, July 27, 1998), 
including this FRFA, in a report to be sent to Congress pursuant to the 
Small Business Regulatory Enforcement Fairness Act of 1996, see 5 
U.S.C. 801(a)(1)(A). In addition, the Commission will send a copy of 
the Third Report and Order and Memorandum Opinion and Order to the 
Chief Counsel for Advocacy of the Small Business. A copy of the Third 
Report and Order and Memorandum Opinion and Order and FRFA (or 
summaries thereof) will be published in the Federal Register. See 5 
U.S.C. 604(b).

List of Subjects

47 CFR Part 20

    Communications common carriers, Radio, Reporting and recordkeeping 
requirements.

47 CFR Part 80

    Communications equipment, Radio, Vessels.


[[Page 26887]]


Federal Communications Commission.
Magalie Roman Salas,
Secretary.

Rule Changes

    For the reasons discussed in the preamble, the Federal 
Communications Commission amends 47 CFR parts 20 and 80 as follows:

PART 20--COMMERCIAL MOBILE RADIO SERVICES

    1. The authority citation for part 20 continues to read as follows:

    Authority: 47 U.S.C. 154, 160, 251-254, 303, and 332 unless 
otherwise noted.

    2. Sec. 20.9 is amended by revising paragraph (b) introductory text 
and (b)(1) to read as follows:


Sec. 20.9  Commercial mobile radio service.

* * * * *
    (b) Licensees of a Personal Communications Service or applicants 
for a Personal Communications Service license, and VHF Public Coast 
Station geographic area licensees or applicants, proposing to use any 
Personal Communications Service or VHF Public Coast Station spectrum to 
offer service on a private mobile radio service basis must overcome the 
presumption that Personal Communications Service and VHF Public Coast 
Stations are commercial mobile radio services.
    (1) The applicant or licensee (who must file an application to 
modify its authorization) seeking authority to dedicate a portion of 
the spectrum for private mobile radio service, must include a 
certification that it will offer Personal Communications Service or VHF 
Public Coast Station service on a private mobile radio service basis. 
The certification must include a description of the proposed service 
sufficient to demonstrate that it is not within the definition of 
commercial mobile radio service in Sec. 20.3. Any application 
requesting to use any Personal Communications Service or VHF Public 
Coast Station spectrum to offer service on a private mobile radio 
service basis will be placed on public notice by the Commission.
* * * * *

PART 80--STATIONS IN THE MARITIME SERVICES

    3. The authority citation for part 80 continues to read as follows:

    Authority: Secs. 4, 303, 307(e), 309, and 332, 48 Stat. 1066, 
1082, as amended; 47 U.S.C. 154, 303, 307(e), 309, and 332, unless 
otherwise noted. Interpret or apply 48 Stat. 1064-1068, 1081-1105, 
as amended; 47 U.S.C. 151-155, 301-609; 3 UST 3450, 3 UST 4726, 12 
UST 2377.

    4. Sec. 80.371 is amended by revising the table in paragraph 
(c)(1)(i) to read as follows:


Sec. 80.371  Public correspondence frequencies.

* * * * *
    (c) * * *
    (1)(i) * * *

       Working Carrier Frequency Pairs in the 156-162 MHz Band \1\
------------------------------------------------------------------------
                                                      Carrier frequency
                                                            (MHz)
                Channel designator                 ---------------------
                                                       Ship      Coast
                                                     transmit   transmit
------------------------------------------------------------------------
24................................................    157.200    161.800
84................................................    157.225    161.825
25................................................    157.250    161.850
85 \2\............................................    157.275    161.875
26................................................    157.300    161.900
86................................................    157.325    161.925
27................................................    157.350    161.950
87................................................    157.375    161.975
28................................................    157.400    162.000
88 \3\............................................    157.425   162.025
------------------------------------------------------------------------
\1\ For special assignment of frequencies in this band in certain areas
  of Washington State, the Great Lakes and the east coast of the United
  States pursuant to arrangements between the United States and Canada,
  see subpart B of this part.
\2\ The frequency pair 157.275/161.875 MHz is available on a primary
  basis to ship and public coast stations. In Alaska it is also
  available on a secondary basis to private mobile repeater stations.
\3\ Within 120 km (75 miles) of the United States/Canada border, in the
  area of the Puget Sound and the Strait of Juan de Fuca and its
  approaches, the frequency 157.425 MHz is available for use by ship
  stations for public correspondence communications only. One hundred
  twenty kilometers (75 miles) from the United States/Canada border
  157.425 MHz is available for intership and commercial communications.
  Outside the Puget Sound area and its approaches and the Great Lakes,
  157.425 MHz is available for communications between commercial fishing
  vessels and associated aircraft while engaged in commercial fishing
  activities.

* * * * *
    5. Revise Sec. 80.751 to read as follows:


Sec. 80.751  Scope.

    This subpart specifies receiver antenna terminal requirements in 
terms of power, and relates the power available at the receiver antenna 
terminals to transmitter power and antenna height and gain. It also 
sets forth the co-channel interference protection that VHF public coast 
station geographic area licensees must provide to incumbents and to 
other VHF public coast station geographic area licensees.
    6. Add new paragraph (c) to Sec. 80.773 to read as follows:


Sec. 80.773  Co-channel interference protection.

* * * * *
    (c) VHF public coast station geographic area licensees are 
prohibited from exceeding a field strength of +5 dBu (decibels 
referenced to 1 microvolt per meter) at their service area boundaries, 
unless all the affected VHF public coast station geographic area 
licensees agree to the higher field strength.

[FR Doc. 99-12411 Filed 5-17-99; 8:45 am]
BILLING CODE 6712-01-U