[Federal Register Volume 65, Number 147 (Monday, July 31, 2000)]
[Rules and Regulations]
[Pages 46612-46625]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-19034]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Parts 21 and 74

[MM Docket 97-217; FCC 00-244]


MDS and ITFS Two-Way Transmissions

AGENCY: Federal Communications Commission.

ACTION: Final rule; further reconsideration.

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SUMMARY: Previously, the Commission adopted a series of legal and 
technical rule changes to enhance the ability of Multipoint 
Distribution Service (``MDS'') and Instructional Television Fixed 
Service (``ITFS'') licensees to provide non-video services, including 
transmission of high speed computer data applications such as Internet 
access. We later expanded the streamlined application processing system 
to cover all major modifications of ITFS facilities, modified certain 
rules related to interference issues, modified certain other rules 
related to the obligations of ITFS licensees and clarified certain 
other rules. The FCC is taking two actions. The first action, a rule, 
which is described in detail below, modifies rules related to ITFS 
leases, modifies some technical rules and clarifies other rules. The 
modifications and clarifications are designed to increase the 
flexibility of the service, lessen the burdens on the parties and 
preserve the services' interference protections. The second action is 
the proposed rulemaking, which is published elsewhere in this issue of 
the Federal Register.

DATES: Effective September 29, 2000, except for Secs. 21.902(m), 
21.913(b) introductory text, 21.913(b)(8), 21.913(e)(4)(ix), 
74.931(d)(1), 74.985(b)(8), and 74.985(e)(4)(ix), which contain 
information collection requirements that have not been approved by OMB. 
The Commission will publish a document in the Federal Register 
announcing the effective date of these sections.

FOR FURTHER INFORMATION CONTACT: Dave Roberts (202) 418-1600, Video 
Services Division, Mass Media Bureau.

SUPPLEMENTARY INFORMATION: This is a synopsis of the Commission's 
Report and Order on Further Reconsideration and Further Notice of 
Proposed Rulemaking (``Further Reconsideration Order''), MM Docket, 97-
217, FCC 00-244, adopted July 7, 2000 and released July 20, 2000. The 
full text of this Further Reconsideration Order is available for 
inspection and copying during normal business hours in the FCC 
Reference Room, Room CY-A257, Portals II, 445 12th Street, SW., 
Washington, DC, and also may be purchased from the Commission's copy 
contractor, International Transcription Services, Inc. (``ITS''), 
Portals II, 445 12th Street, S.W. Room CY-B402, Washington, D.C. 20554.

Synopsis of Report and Order on Further Reconsideration and Further 
Notice of Propose Rulemaking

I. Introduction

    1. This Further Reconsideration Order is adopted by the Commission 
after receiving petitions for further reconsideration of its 
Reconsideration Order, 64 FR 63727 (November 22, 1999), in this docket. 
Previously, the Two-Way Order, 63 FR 65087 (November 25, 1998), was 
issued

[[Page 46613]]

following a notice of proposed rulemaking, which arose from a petition 
for rulemaking filed by a group of 111 educators and participants in 
the wireless cable industry (collectively, ``Petitioners''), comprised 
of MDS and ITFS licensees, wireless cable operators, equipment 
manufacturers, and industry consultants and associations. In the Two-
Way Order, the Commission amended parts 21 and 74 of our rules to 
provide MDS and ITFS licensees with substantially increased operational 
and technical flexibility. Traditionally, the MDS service traditionally 
functioned as a one-way point-to-multipoint video transmission service 
that is often referred to as ``wireless cable,'' whereas ITFS licensees 
ordinarily used their frequencies for one-way transmission of 
educational and instructional material to students.
    2. The Two-Way Order (1) Permitted both MDS and ITFS licensees to 
provide two-way services on a regular basis; (2) permitted increased 
flexibility on permissible modulation types; (3) permitted increased 
flexibility in spectrum use and channelization, including combining 
multiple channels to accommodate wider bandwidths, dividing 6 MHz 
channels into smaller bandwidths, and channel swapping; (4) adopted a 
number of technical parameters to mitigate the potential for 
interference among service providers and to ensure interference 
protection to existing MDS and ITFS services; (5) simplified and 
streamlined the licensing process for stations used in cellularized 
systems; and (6) modified the ITFS programming requirements in a 
digital environment. Following the release of the Two-Way Order, we 
received petitions for reconsideration which focused primarily on 
requests that we expand our new streamlined processing system to cover 
all ITFS modifications; formalize an interference complaint process; 
modify some rules regarding ITFS leased capacity and make certain 
technical clarifications to our rules. In the Reconsideration Order, we 
expanded on some of our MDS/ITFS rules and clarified others. In 
response to that decision, we received further petitions for 
reconsideration, asking that we: (1) Permit certain lease provisions; 
(2) review the treatment of boosters stations and receive sites; and 
(3) further refine our technical rules. In this document, we make 
additional modifications and clarifications to our MDS/ITFS rules in 
order to facilitate further the provision of these services to the 
public. The Further Notice of Proposed Rulemaking section of this 
document is published elsewhere in this issue of the Federal Register.

II. Changes to the Rules

A. Lease Assignments

    3. In both the Two-Way Order and the Reconsideration Order, we 
determined to leave in place the existing ban on excess-capacity lease 
terms that would require assumption of the lease obligations by any 
assignee or transferee. BellSouth asked us to reconsider this position. 
We do not believe that there is any contradiction between an ITFS 
licensee performing its educational mission and that same licensee 
securing financial returns from the lease of its excess capacity. In 
fact, those financial returns can and do provide substantial resources 
to the ITFS licensee in the performance of its educational mission. We 
believe that the probable loss to ITFS licensees unable to freely 
negotiate an existing lease outweighs the potential effect on some 
hypothetical future transfer. Therefore, we will permit ITFS licensees 
to agree to clauses in excess capacity leases that would require that 
the lease be assigned if the underlying license is assigned. We do 
emphasize that no ITFS licensee is required to accept an assignment 
clause and any licensee is free to reject such a clause in its lease.

B. Lease Renewals

    4. We have been asked to reconsider our decision not to grandfather 
ITFS leases entered into prior to March 31, 1997 that contain automatic 
renewal provisions effective after March 31, 1997. In the 
Reconsideration Order, we did not grant this relief because we were 
concerned that this could permit leases that would avoid compliance 
with the new rules into perpetuity. Petitioners argue that the class of 
leases for which they were seeking grandfathering could only have a 
total term of ten years. Because these leases cannot be continued 
without end, we will grant the requested relief. Therefore, ITFS excess 
capacity leases entered into prior to March 31, 1997 which contain a 
provision for automatic renewal which would be effective after March 
31, 1997 are grandfathered provided that the total term for such a 
lease does not exceed fifteen years. Although the Petitioners only 
referred to leases with a total term of ten years in the petition for 
reconsideration, we will also grandfather any leases entered into 
during the relevant time that contained both an automatic renewal 
provision and the automatic five-year extension period we previously 
grandfathered.

C. Booster Station Licenses

    5. In the Reconsideration Order, we authorized ITFS excess capacity 
lessees to hold booster station licenses on their leased frequencies 
subject to written approval by the ITFS licensee. We also required that 
the relevant lease contain a provision that the lessee must offer to 
assign the license to the ITFS licensee for purely nominal 
consideration at the end of the lease term. ITFS licensees argue that 
this amounts to reallocation of the spectrum and urge us to reconsider 
this point. BellSouth asks us to clarify that a party leasing capacity 
from an MDS licensee also is permitted to hold a booster station 
license on those frequencies subject to the same terms.
    6. We modify our rules to state that lessees of ITFS excess 
capacity, who hold booster station licenses on that leased capacity, 
must either assign the booster station license to the underlying ITFS 
licensee or, if the ITFS licensee does not want the booster station 
license, turn the license into the Commission at the end of the lease 
term. Furthermore, the lessee must meet the educational set aside 
requirement that would be required if the ITFS licensee held the 
booster license in its own name. In addition, we will permit lessees of 
MDS capacity to hold booster station licenses on their leased channels. 
We will still require the lessee to either assign the booster license 
to the underlying MDS licensee or turn it into the Commission if the 
MDS licensee does not wish to receive the license at the end of the 
lease term.
    7. Petitioners have requested that we exempt ITFS booster stations 
operating within their protected service area (``PSA''), but in areas 
where the licensee has no educational mission, from the minimum 
programming rules, but not from the reservation and recapture rules. 
Otherwise, the Petitioners argue that the affected spectrum would lie 
fallow because a party would be precluded from using it unless and 
until the ITFS licensee determined that it had an educational mission 
in that area. We agree with the Petitioners. We will permit a lessee of 
an ITFS channel to construct and operate a station on the leased 
frequency, even if the ITFS licensee has no need to utilize a station 
in that part of its PSA at the time of construction. However, the 
lessee must at all times set aside capacity on the channel in accord 
with the reservation and recapture rules. In no event, will we waive 
the reservation and recapture rules.
    8. The Petitioners have also made an unopposed request that we 
defer booster

[[Page 46614]]

service area protection for low powered boosters until after the 
initial filing window established in the Two-Way Order. Because low-
powered boosters are often cross-polarized relative to their main 
transmitter in order to minimize intra-system co-channel interference, 
and main antennas of neighboring systems are cross-polarized relative 
to each other in order to minimize inter-system interference, the 
result is that a low-power booster is often co-polarized to a 
neighboring system. This makes interference protection and system 
design particularly difficult and provides an unwarranted preference to 
these low-powered boosters. Therefore, we will grant the Petitioners 
request. We note that these boosters will not be left completely 
unprotected because they will benefit from the protection accorded 
their PSA or Basic Trading Area.

D. Treatment of Receive Sites

    9. In the Two-Way Order, we granted a PSA to every ITFS licensee 
and granted individual protection to all receive sites registered 
through the date of adoption of the Two-Way Order. In the 
Reconsideration Order, we stated that the ITFS licensee's PSA is a 35 
mile circle centered either on the fixed reference point of the 
associated wireless cable system, or on the authorized ITFS main 
station transmitter site, as elected by the ITFS licensee.
    10. BellSouth asks that we exclude limited, point-to-point ITFS 
stations from the category of stations granted a 35-mile PSA and to 
clarify that licensees of ``secondary'' ITFS facilities are not 
entitled to an automatic 35-mile PSA. Notably, stations operating on a 
primary basis are not required to give protection to those stations 
operating on a secondary basis. We agree with BellSouth that point-to-
point ITFS stations authorized on a secondary basis should not receive 
PSA protection. These stations, which operate mostly as studio to 
transmitter links have traditionally been subordinate to primary 
stations and we see no reason to change that arrangement. We do not 
agree with BellSouth, however, that all point-to-point stations should 
lose PSA protection. Licensees of primary ITFS point-to-point stations 
are making use of their allotted spectrum. Although their educational 
needs at this time only necessitate the use of point-to-point 
transmissions, those needs could easily change as the licensees exploit 
the benefits of two-way systems.
    11. The Catholic Television Network (``CTN'') asks that we 
``clarify'' our rules and state that ITFS receive sites outside the 35-
mile PSA can request a waiver and be treated as registered as of 
September 17, 1998. We decline to adopt this clarification. As we made 
clear in the Reconsideration Order, providing this kind of protection 
outside of the 35-mile radius is ``inconsistent with the plain meaning 
of the rule. Limiting protection to a 35 mile radius provides certainty 
to co-channel and adjacent channel entities, especially now that 
booster stations can originate signals.'' ITFS licensees operating 
outside of their PSA are like any other qualified applicant and will 
have their sites protected only against subsequently filed 
applications.
    12. CTN also asks that we clarify that an ITFS receive site that is 
registered does not lose that status even if it engages in substantial 
technical modifications, such as channel swapping. We agree with CTN's 
requested clarification. We also affirm that licensees may participate 
in channel shifting and channel swapping whether their operations are 
digital or analog. There is no reason to limit the flexibility provided 
by channel shifting and swapping to digital systems. Furthermore, some 
systems may be partially analog and partially digital and permitting 
channel shifting and swapping will help parties in those systems to 
make the most efficient use of their licensed spectrum.
    13. Petitioners ask that we permit channel shifting and channel 
swapping without regard to whether the affected licensees are part of 
``the same system.'' We agree with the Petitioners that these 
activities should not be limited to licensees in the same system and 
should be allowed in any situation where they will facilitate the most 
efficient use of the spectrum.

E. Interference Resolution

    14. CTN asks us to clarify that all ITFS and MDS licensees are 
obligated to help identify sources of harmful interference in 
connection with resolving complaints of interference. We emphasize that 
cooperation is essential to identify the source of interference and to 
attempt to resolve any interference issues once the source has been 
located.

F. Technical Issues

    15. IPWireless requests that we conform the out-of-band emission 
limitations for MDS and ITFS low power response stations (i.e., 
response stations with an EIRP not exceeding -6 dBW) employing digital 
modulation to those adopted for certain fixed and mobile wireless 
stations in other frequency bands. Specifically, IPWireless requests 
the following requirements be applied to such stations: (a) At the edge 
of a 6 MHz channel, out-of-band power shall be attenuated by 25 dB 
relative to the power (P) within the 6 MHz channel; (b) Attenuated 
along a linear slope to at least 40 dB or 33+10log(P) dB, whichever is 
the lesser attenuation, at 250 kHz beyond the nearest channel edge; 
and, (c) Attenuated along a linear slope from that level to at least 60 
dB or 43+10log(P) dB, whichever is the lesser attenuation, at all other 
frequencies removed from the channel. We agree with IPWireless that it 
would be unreasonable to require low power response stations to comply 
with emission limitations crafted for much higher power levels. 
Therefore, we amend our rules as requested by IPWireless.
    16. Also, with respect to low power MDS and ITFS response stations, 
IPWireless requests that the Commission amend its rules to incorporate 
into them certain provisions which were included in the Reconsideration 
Order in the form of a waiver of the rules. Specifically, referring to 
the blanket waiver in the Reconsideration Order of the requirement that 
low power response stations must use directional antennas, IPWireless 
states that ``* * * the Commission must assure fixed wireless 
subscribers that they have a clear and unequivocal legal right under 
the Commission's Rules to use an omnidirectional antenna in connection 
with any MDS/ITFS Response Station equipment they purchase at retail.''
    17. The issue of the waiver was first raised by Qualcomm, which 
presented a type of low power response station which was small enough 
to easily be placed on a desktop or shelf and could be used as part of 
a very localized system of many such units, all communicating with a 
nearby hub station. The antenna for this unit is a very short `whip' 
type metal rod, which is omnidirectional, i.e., radiates and receives 
signals equally on all azimuthal headings. Qualcomm contended, and we 
agreed, that the use of such antennas at low power stations posed very 
little risk of interference to neighboring systems and should therefore 
be permitted. With respect to the impact of omnidirectional antennas on 
interference from neighboring systems, we conditioned our waiver of the 
rules by requiring that all interference calculations involving 
protection of low power/omnidirectional response stations be conducted 
as if those station were using a directional antenna for reception. 
This proviso was included so

[[Page 46615]]

that the use of omnidirectional antennas for reception would not result 
in such stations receiving greater interference protection than that 
provided to non-omnidirectional stations. Although we believe that our 
blanket waiver of the pertinent rules was sufficient to provide the 
relief sought by Qualcomm, we believe that IPWireless has presented 
sufficient justification for amending our rules in order to codify our 
position on this matter. We therefore amend our rules as requested by 
IPWireless.
    18. We also amend our rules to clarify the relationship between the 
provisions that permit subdivision of 6 MHz channels and the provisions 
that limit the number of response stations that may be operated. It was 
not our intent to impose a ceiling on the maximum number of permissible 
response stations within a 6 MHz channel that would limit the 
flexibility of licensees to create subchannels. In footnote 44 of the 
Two-Way Order, we explained how the power for a 6 MHz channel was to be 
subdivided when the channel was subdivided, and in Secs. 21.902 and 
74.903 governing interference protection standards for two-way systems, 
we required that, for channels other than 6 MHz in width, a power 
spectral density adjustment be applied to the interference criteria in 
order to account for the actual bandwidth in use. Nevertheless, in 
light of the concern for clarity expressed by the Wireless 
Communications Association (``WCA''), we amend our rules to clearly 
state that the numerical limitations imposed on the response stations 
in a 6 MHz channel are subject to adjustment, without Commission 
approval, when the 6 MHz channel is subdivided, so long as the 
appropriate power flux density requirements are observed. With respect 
to the CTN's position that such flexibility should be permissible only 
if the Commission also amends its rules to require that all subchannels 
be within the original 6 MHz response service area (``RSA''), we agree 
with WCA that such a requirement already exists and can be found in 
Secs. 21.909(g)(1) and 74.939(g)(1). The creation of an RSA without an 
application for, and approval of, a separate hub station license is not 
permitted by our rules.
    19. We recently released a revised version of the Appendix D of the 
Two-Way Order, the Methodology for Predicting Interference from 
Response Station Transmitters and to Response Station Hubs and for 
Supplying Data on Response Station Systems (``Methodology''), which 
addresses all of the issues raised by these parties and we have also 
incorporated a number of clarifying amendments on our own motion. The 
full text of the revised Methodology can be found at http://www.fcc.gov/mmb/vsd/files/methodology.doc.

G. Other Matters

    20. We have made some minor changes to our application filing and 
service rules. The data files required pursuant to the Methodology and 
the demonstrations and certifications required by our rules are to be 
filed with the Commission's Reference Room, rather than with the 
Commission's copy contractor. We will require that the Appendix D data 
files be in ASCII format on either CD-ROM or 3.5 inch diskette media. 
No hard copy version of these data files will be required. 
Demonstrations and certifications may be in either hard copy or ASCII 
or PDF format on CD-ROM or 3.5 inch diskette media. (If CD-ROM or 3.5 
inch diskette media are used, no hard copy version is required.) 
Applicants serving the data files, demonstrations and certifications on 
other applicants and/or licensees will be required to do so using the 
same format(s) and media as used in their submissions to the 
Commission's Reference Room.
    21. The Further Notice of Proposed Rulemaking section of this 
Further Reconsideration Order is published elsewhere in this issue of 
the Federal Register. The Further Notice of Proposed Rulemaking section 
addresses the issue of possible Gaussian noise interference that can 
occur in certain limited circumstances.

III. Second Supplemental Final Regulatory Analysis

    22. As required by the Regulatory Flexibility Act (RFA), 5 U.S.C. 
603, a Final Regulatory Flexibility Analysis (FRFA) was incorporated in 
Appendix B of the Two-Way Order and a Supplement was incorporated in 
Appendix B of the Reconsideration Order in this proceeding. The 
Commission's Second Supplemental Final Regulatory Flexibility Analysis 
(Second Supplemental FRFA) in the Further Reconsideration Order 
reflects revised or additional information to that contained in the 
FRFA and Supplement. This Second Supplemental FRFA is thus limited to 
matters raised in response to the Two-Way Order and the Reconsideration 
Order and that are granted on reconsideration in the Further 
Reconsideration Order. The Second Supplemental FRFA conforms to the 
RFA, as amended by the Contract With America Advancement Act of 1996, 
Public Law 104-121, 110 Stat. 847 (1996) (CWAAA); see generally 5 
U.S.C. 601 et seq. Title II of the CWAAA is the Small Business 
Regulatory Enforcement Fairness Act of 1996 (SBREFA).

A. Need For and Objectives of Action

    23. In the Two-Way Order, we amended parts 21 and 74 of our rules 
to enhance the ability of MDS and ITFS licensees to provide two-way 
communication services. The actions taken in the Further 
Reconsideration Order are in response to petitions for reconsideration, 
clarification or expansion of the rules and policies adopted in the 
Two-Way Order and the Reconsideration Order. The petitions have been 
granted in part and denied in part. The Further Reconsideration Order 
grants the petitions that sought to allow excess capacity leases 
between ITFS licensees and MDS operators to contain a provision that 
would require that the lease be assigned if the underlying license is 
assigned. We also grant those petitions that request we grandfather 
ITFS leases entered into prior to March 31, 1997 that contain automatic 
renewal provisions effective after March 31, 1997. We further grant 
those petitions for reconsideration that sought a modification of our 
rules to allow ITFS/MDS excess capacity to hold booster station 
licenses provided that at the end of the lease time such lessees either 
assign the booster station license to the underlying licensee or, if 
the ITFS licensee does not want the booster station license, turn the 
license into the Commission. We also grant those petitions that request 
that we permit lessees of ITFS capacity to request waivers of the ITFS 
programming requirements in areas within its Protected Service Area 
where the ITFS licensee does not yet provide educational service. 
Moreover, we grant those petitions seeking that we clarify our rules 
that an ITFS receive site does not lose its register status even if it 
engages in substantial technical modifications such as channel 
swapping. Finally, we grant those petitions seeking that we defer 
booster service area protection for low powered boosters until after 
the initial filing window. We believe these final rule amendments will 
facilitate further two-way transmission and other improvements to the 
MDS and ITFS services.

B. Significant Issues Raised by the Public in Response to the Initial 
Analysis

    24. No comments were received specifically in response to the FRFA 
contained in the Two-Way Order or the Supplement in the Reconsideration 
Order.

[[Page 46616]]

C. Description and Number of Small Entities Involved

    25. The RFA generally defines ``small entity'' as having the same 
meaning as the terms ``small business,'' ``small organization,'' and 
``small business concern.'' 5 U.S.C. 601(6). In addition, the term 
``small business'' has the same meaning as the term ``small business 
concern'' under the Small Business Act (``SBA''). A small business 
concern is one which: (1) Is independently owned and operated; (2) is 
not dominant in its field of operation; and (3) satisfies any 
additional criteria established by the SBA. Small Business Act, 15 
U.S.C. 632.
    26. The Commission has defined ``small entity'' for the auction of 
MDS as an entity that, together with its affiliates, has average gross 
annual revenues that are not more than $40 million for the preceding 
three calendar years. 47 CFR 21.961(b)(1). This definition of a small 
entity in the context of MDS auctions has been approved by the SBA. The 
Commission completed its MDS auction in March 1996 for authorizations 
in 493 basic trading areas. Of 67 winning bidders, 61 qualified as 
small entities. One of these small entities, O'ahu Wireless Cable, 
Inc., was subsequently acquired by GTE Media Ventures, Inc., which did 
not qualify as a small entity for purposes of the MDS auction.
    27. MDS is also heavily encumbered with licensees of stations 
authorized prior to the auction. The SBA has developed a definition of 
small entities for pay television services, which includes all such 
companies generating $11 million or less in annual receipts. 13 CFR 
121.201. This definition includes multipoint distribution systems, and 
thus applies to MDS licensees and wireless cable operators which did 
not participate in the MDS auction. Information available to us 
indicates that there are 832 of these licensees and operators that do 
not generate revenue in excess of $11 million annually. Therefore, for 
purposes of this FRFA, we find there are approximately 892 small MDS 
providers as defined by the SBA and the Commission's auction rules, and 
some of these providers may take advantage of our amended rules to 
provide two-way MDS.
    28. There are presently 2032 ITFS licensees. All but 100 of these 
licenses are held by educational institutions (these 100 fall in the 
MDS category, above). Educational institutions may be included in the 
definition of a small entity. See 5 U.S.C. 601(3)-(5). ITFS is a non-
pay, non-commercial broadcast service that, depending on SBA 
categorization, has, as small entities, entities generating either 
$10.5 million or less, or $11.0 million or less, in annual receipts. 
See 13 CFR 121.210 (SIC 4833, 4841, and 4899). However, we do not 
collect, nor are we aware of other collections of, annual revenue data 
for ITFS licensees. Thus, we find that up to 1932 of these educational 
institutions are small entities that may take advantage of our amended 
rules to provide two-way ITFS.

D. Summary of Projected Reporting, Recordkeeping and Other Compliance 
Requirements

    29. The Further Reconsideration Order adopts the following 
proposals that include reporting, recordkeeping, and compliance 
requirements: We refined our rules to require that lessees of ITFS 
excess capacity, who hold booster station licenses on that leased 
capacity, must either assign the booster station license to the 
underlying ITFS licensee, or if the ITFS licensee does not want the 
booster station license, turn it into the Commission at the end of the 
lease term. We allowed lessees of ITFS capacity to request waivers of 
the ITFS programming requirements in areas within the ITFS licensee's 
Protected Service Area where that ITFS licensee does not yet provide 
educational service. As stated above, we extended our filing 
requirements to allow filings to the Commission to be submitted 
electronically and via CD-ROM. These provisions are intended to give an 
added measure of flexibility to applicants and at the same time provide 
for administrative convenience.

E. Steps Taken To Minimize Significant Economic Impact on Small 
Entities, and Significant Alternatives Considered

    30. The following step was taken in the Further Reconsideration 
Order to minimize the significant economic impact on small entities: We 
extended our filing requirements to allow filings to the Commission to 
be submitted electronically and via CD-ROM. This provision is intended 
to give an added measure of flexibility to applicants and at the same 
time provide for administrative convenience.

F. Report to Congress

    31. The Commission will send a copy of the Further Reconsideration 
Order, including this Second Supplemental 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 Further Reconsideration Order, 
including the Second Supplemental FRFA, to the Chief Counsel for 
Advocacy of the Small Business Administration. A copy of the Further 
Reconsideration Order and Second Supplemental FRFA (or summaries 
thereof) will also be published in the Federal Register. See 5 U.S.C. 
604(b).

IV. Procedural Matters

A. Ordering Clauses

    32. Accordingly, the above-referenced petitions for further 
reconsideration and/or clarification of the Order Are Granted in Part 
and Denied in Part, as described.
    33. It is Further Ordered that, pursuant to the authority contained 
in Sections 4(i) and (j), 301, 303(f), 303(g), 303(h), 303(r), 308(b), 
403, and 405 of the Communications Act of 1934, as amended, 47 U.S.C. 
154(i), 154(j), 301, 303(f), 303(g), 303(h), 303(j), 308(b), 403, and 
405, this Report and Order on Further Reconsideration is Adopted, the 
Order Is Modified and Clarified to the extent specified, and parts 21 
and 74 of the Commission's Rules, 47 CFR 21 and 74, Are Amended.
    34. The Notice is Hereby Given and Comment is Sought on the 
proposed clarification described in the Further Notice of Proposed 
Rulemaking.
    35. The rule amendments set forth not pertaining to new or modified 
reporting or recordkeeping requirements will become effective September 
29, 2000, except for Secs. 21.902(m), 21.913(b) introductory text, 
21.913(b)(8), 21.913(e)(4)(ix), 74.931(d)(1), 74.985(b)(8), and 
74.985(e)(4)(ix), which contain information collection requirements 
that have not been approved by OMB. The Commission will publish a 
document in the Federal Register announcing the effective date of these 
sections.
    36. The Commission's Office of Public Affairs, Reference Operations 
Division, Shall Send a copy of this Report and Order on Further 
Consideration and Further Notice of Proposed Rulemaking including the 
Supplemental Final and Initial Regulatory Flexibility Analyses, to the 
Chief Counsel for Advocacy of the Small Business Administration.

List of Subjects

47 CFR Part 21

    Communications common carriers, Communications equipment, Reporting 
and recordkeeping requirements, Television.

47 CFR Part 74

    Communications equipment, Education, Reporting and Recordkeeping 
requirements, Television.


[[Page 46617]]


Federal Communications Commission.
Magalie Roman Salas,
Secretary.

Rule Changes

    For the reasons discussed in the preamble, the Federal 
Communications Commission amends 47 CFR parts 21 and 74 as follows:

PART 21--DOMESTIC PUBLIC FIXED RADIO SERVICES

    1. The authority citation for part 21 continues to read as follows:

    Authority: Secs. 1, 2, 4, 201-205, 208, 215, 218, 303, 307, 313, 
403, 404, 410, 602, 48 Stat. as amended, 1064, 1066, 1070-1073, 
1076, 1077, 1080, 1082, 1083, 1087, 1094, 1098, 1102; 47 U.S.C. 151, 
154, 201-205, 208, 215, 218, 303, 307, 313, 314, 403, 404, 602; 47 
U.S.C. 552, 554.


    2. In Sec. 21.23, paragraph (c)(2) is revised to read as follows:


Sec. 21.23  Amendment of applications.

* * * * *
    (c) * * *
    (2) Except during the sixty (60) day amendment period provided for 
in Sec. 21.27(d), any amendment to an application for a new or modified 
response station hub, booster station or point-to-multipoint I 
channel(s) station or to an application for a modified main station 
that reflects any change in the technical specifications of the 
proposed facility, includes any new or modified analysis of potential 
interference to another facility or submits any interference consent 
from a neighboring licensee, shall result in the application being 
assigned a new file number and being treated as newly filed.
* * * * *

    3. In Sec. 21.31, paragraph (a) is revised to read as follows:


Sec. 21.31  Mutually exclusive applications.

    (a) Except with respect to applications for new or modified 
response stations hubs, booster stations, and point-to-multipoint I 
channel stations, and to applications for modified main stations, filed 
on the same day or during the same window, the Commission will consider 
applications to be mutually exclusive if their conflicts are such that 
grant of one application would effectively preclude by reason of 
harmful electrical interference, or other practical reason, the grant 
of one or more of the other applications.
* * * * *

    4. In Sec. 21.42, paragraph (c)(8) is revised to read as follows:


Sec. 21.42  Certain modifications not requiring prior authorizations.

* * * * *
    (c) * * *
    (8) A change to a sectorized antenna system comprising an array of 
directional antennas, provided that such system does not change 
polarization or result in an increase in radiated power by more than 
one dB in any horizontal or vertical direction; provided, however, that 
notice of such change is provided to the Commission on FCC Form 331 
within ten (10) days of installation.
* * * * *

    5. In Sec. 21.106, paragraph (a)(2) is revised to read as follows:


Sec. 21.106  Emission limitations.

    (a) * * *
    (2) When using transmissions employing digital modulation 
techniques (see Sec. 21.122(b)) in situations other than those covered 
by subpart K of this part:
* * * * *

    6. In Sec. 21.902, paragraphs (c) introductory text and (i)(1) are 
revised, and paragraph (m) is added to read as follows:


Sec. 21.902  Interference.

* * * * *
    (c) The following interference studies must be prepared:
* * * * *
    (i) * * *
    (1) For each application for a new station, or amendment thereto, 
proposing MDS facilities, filed on October 1, 1995, or thereafter, on 
or before the day the application or amendment is filed, the applicant 
must prepare an analysis demonstrating that operation of the MDS 
applicant's transmitter will not cause harmful electrical interference 
to each receive site registered as of September 17, 1998, nor within a 
protected service area as defined in paragraph (d)(1) of this section, 
of any cochannel or adjacent channel ITFS station licensed, with a 
conditional license, or proposed in a pending application on the day 
such MDS application is filed, with an ITFS transmitter site within 50 
miles of the coordinates of the MDS station's proposed transmitter 
site.
* * * * *
    (m) The following information formats and storage media are to be 
used in connection with applications for new and modified MDS and ITFS 
stations:
    (1) The data file prepared for submission to the Commission's 
Reference Room pursuant to the requirements set out at paragraph 74 of 
Appendix D to the Report and Order in MM Docket 97-217, FCC 98-231, 
must be in ASCII format on either CD-ROMs or 3.5" diskettes. Any 
supplementary information submitted in connection with Appendix D may 
be in either ASCII or PDF format (graphics must be in PDF format) on 
either CD-ROMs or 3.5" diskettes. Applicants serving such data/
information on other applicants and/or licensees should do so using the 
same format(s) and media as used in their submission to the 
Commission's Reference Room.
    (2) Demonstrations and certifications prepared for submission to 
the Commission's Reference Room may be in either hard copy or in ASCII 
or PDF format on CD-ROM's or 3.5" diskettes. (Graphics must be either 
hard copy or PDF format) Applicants serving such demonstrations and 
certifications on other applicants and/or licensees should do so using 
the same format(s) and media as used in their submission to the 
Commission's Reference Room.

    7. In Sec. 21.906, paragraph (d) is revised to read as follows:


Sec. 21.906  Antennas.

* * * * *
    (d) Directive receiving antennas shall be used at all points other 
than response station hubs and response stations operating with an EIRP 
no greater than -6 dBW per 6 MHz channel and shall be elevated no 
higher than necessary to assure adequate service. Receiving antenna 
height shall not exceed the height criteria of Part 17 of this chapter, 
unless authorization for use of a specific maximum height (above ground 
and mean sea level) for each location has been obtained from the 
Commission prior to the erection of the antenna. (See part 17 of this 
chapter concerning construction, marking and lighting of antenna 
structures.) A response station operating with an EIRP no greater than 
-6 dBW per 6 MHz channel may use an omnidirectional receiving antenna. 
However, for the purpose of interference protection, such response 
stations will be treated as if utilizing a receive antenna meeting the 
requirements of the reference receiving antenna of Figure 1 of 
Sec. 21.902(f)(3).

    8. In Sec. 21.908, paragraph (d) is revised to read as follows:


Sec. 21.908  Transmitting equipment.

* * * * *
    (d) The maximum out-of-band power of an MDS response station using 
all or part of a 6 MHz channel, employing digital modulation and 
transmitting with an EIRP greater than -6 dBW per 6 MHz channel shall 
be attenuated (as measured in accordance with paragraph (e) of this 
section) at the 6 MHz channel

[[Page 46618]]

edges at least 25 dB relative to the average 6 MHz channel power level, 
then attenuated along a linear slope to at least 40 dB at 250 kHz 
beyond the nearest channel edge, then attenuated along a linear slope 
from that level to at least 60 dB at 3 MHz above the upper and below 
the lower licensed channel edges, and attenuated at least 60 dB at all 
other frequencies. The maximum out-of-band power of an MDS response 
station using all or part of a 6 MHz channel, employing digital 
modulation and transmitting with an EIRP no greater than -6 dBW per 6 
MHz channel shall be attenuated (as measured in accordance with 
paragraph (e) of this section) at the channel edges at least 25 dB 
relative to the average 6 MHz channel transmitter output power level 
(P), then attenuated along a linear slope to at least 40 dB or 
33+10log(P) dB, whichever is the lesser attenuation, at 250 kHz beyond 
the nearest channel edge, then attenuated along a linear slope from 
that level to at least 60 dB or 43+10log(P) dB, whichever is the lesser 
attenuation, at 3 MHz above the upper and below the lower licensed 
channel edges, and attenuated at least 60 dB or 43+10log(P) dB, 
whichever is the lesser attenuation, at all other frequencies. Where 
MDS response stations with digital modulation utilize all or part of 
more than one contiguous 6 MHz channel to form a larger channel (e.g., 
a channel of width 12 MHz), the above-specified attenuations shall be 
applied only at the upper and lower edges of the overall combined 
channel. Notwithstanding these provisions, should harmful interference 
occur as a result of emissions outside the assigned channel(s), 
additional attenuation may be required by the Commission.
* * * * *

    9. In Sec. 21.909, paragraphs (c)(1), (c)(2), (d), (d)(1), (g)(3), 
(g)(4), (g)(6), (g)(6)(i), (g)(6)(ii), (g)(6)(iii), (h) and (o) are 
revised to read as set forth below and paragraphs (c)(3) and (g)(6)(iv) 
are removed.


Sec. 21.909  MDS response stations.

* * * * *
    (c) * * *
    (1) File FCC Form 331 with Mellon Bank, and certify on that form 
that it has complied with the requirements of paragraphs (c)(2) and (d) 
of this section and that the interference data submitted under 
paragraph (d) of this section is complete and accurate. Failure to 
certify compliance and to comply completely with the requirements of 
paragraphs (c)(2) and (d) of this section shall result in dismissal of 
the application or revocation of the response station hub license, and 
may result in imposition of a monetary forfeiture; and
    (2) Submit the following (see Sec. 21.902(m) for permissible 
formats and media) to the Commission's Reference Room:
    (i) The data files required by Appendix D to the Report and Order 
in MM Docket 97-217, FCC 98-231, ``Methods For Predicting Interference 
From Response Station Transmitters And To Response Station Hubs And For 
Supplying Data on Response Station Systems''; and
    (ii) The demonstrations and certifications required by paragraph 
(d) of this section.
    (d) An applicant for a response station hub license shall prepare 
the following:
    (1) A demonstration describing the system channel plan, to the 
extent that such information is not contained in the data file required 
in (c)(2)(i) of this section; and
* * * * *
    (g) * * *
    (3) No response station shall operate with an EIRP in excess of 
that specified in the application for the response station hub for the 
particular regional class of characteristics with which the response 
station is associated, and such response station shall not operate with 
an EIRP in excess of 33 dBW + 10log(X/6) dBW, where X is the channel 
width in MHz, and
    (4) Each response station shall employ a transmission antenna 
oriented towards the response station hub with which the response 
station communicates and such antenna shall be no less directive than 
the worst-case outer envelope pattern specified in the application for 
the response station hub for the regional class of characteristics with 
which the response station is associated; and
* * * * *
    (6) The response stations transmitting simultaneously at any given 
time within any given region of the response service area utilized for 
purposes of analyzing the potential for interference by response 
stations shall conform to the numerical limits for each class of 
response station proposed in the application for the response station 
hub license. Notwithstanding the foregoing, where a response station 
hub licensee subchannelizes pursuant to Sec. 21.909(a) and limits the 
maximum EIRP emitted by any individual response station proportionately 
to the fraction of the channel that the response station occupies, the 
licensee may operate simultaneously on each subchannel the number of 
response stations specified in the license. Moreover, the licensee of a 
response station hub may alter the number of response stations of any 
class operated simultaneously in a given region, without prior 
Commission authorization, provided that the licensee:
    (i) Files with the Commission (see Sec. 21.902(m) for permissible 
format(s) and media) a demonstration indicating the number of response 
stations of such class(es) to be operated simultaneously in such region 
and a certification that it has complied with the requirements of 
paragraphs (g)(6)(ii) and (iii) of this section and that the 
interference data submitted pursuant to paragraph (g)(6)(ii) is 
complete and accurate; and
    (ii) Provides the Commission's Reference Room (see Sec. 21.902(m) 
for permissible formats and media) with an update of the previously-
filed response station data and with a demonstration that such 
alteration will not result in any increase in interference to the 
protected service area or protected receive sites of any existing or 
previously-proposed, cochannel or adjacent channel MDS or ITFS station 
or booster station, to the protected service area of any MDS Basic 
Trading Area or Partitioned Service Area licensee entitled to 
protection pursuant to paragraph (d)(3) of this section, or to any 
existing or previously-proposed, cochannel or adjacent channel response 
station hub, or response station under Sec. 21.949 or Sec. 74.949 of 
this chapter; or that the applicant for or licensee of such facility 
has consented to such interference; and
    (iii) Serves a copy of such demonstration and certification upon 
each party entitled to be served pursuant to paragraph (d)(3) of this 
section; and
* * * * *
    (h) Applicants must comply with Part 17 of this chapter concerning 
notification to the Federal Aviation Administration of proposed antenna 
construction or alteration for all hub stations and associated response 
stations.
* * * * *
    (o) Interference calculations shall be performed in accordance with 
Appendix D (as amended) to the Report and Order in MM Docket 97-217, 
FCC 98-231, ``Methods For Predicting Interference From Response Station 
Transmitters and To Response Station Hubs and For Supplying Data on 
Response Station Systems.'' (Note: This document is subject to change 
and will be updated/amended as needed without prior notification. 
Applicants should always utilize the most current version of the 
document, as found at the Commission's internet web site, http://

[[Page 46619]]

www.fcc.gov/mmb/vsd/files/methodology.doc). Compliance with out-of-band 
emission limitations shall be established in accordance with 
Sec. 21.908(e).

    10. In Sec. 21.913, paragraphs (a), (b) introductory text, (b)(2), 
(e) introductory text, (e)(4)(vi), (e)(4)(viii) are revised, and 
paragraphs (b)(8) and (e)(4)(ix) are added to read as follows:


Sec. 21.913  Signal booster stations.

    (a) An MDS booster station may reuse channels to repeat the signals 
of MDS stations or to originate signals on MDS channels. The aggregate 
power flux density generated by an MDS station and all associated 
signal booster stations and all simultaneously operating cochannel 
response stations may not exceed -73 dBW/m2 (or the 
appropriately adjusted value based on the actual bandwidth used if 
other than 6 MHz, see Sec. 21.902(b)(7)(i)) at or beyond the boundary 
of the protected service area, as defined in Secs. 21.902(d) and 
21.933, of the main MDS station whose channels are being reused, as 
measured at locations for which there is an unobstructed signal path, 
unless the consent of the affected cochannel licensee is obtained.
    (b) A licensee or conditional licensee of an MDS station, or the 
capacity lessee of such MDS station upon the written consent of the 
licensee or conditional licensee, may secure a license for a high power 
signal booster station that has a maximum EIRP in excess of -9 dBW + 10 
log(X/6) dBW where X is the channel width in MHz, if it complies with 
the out-of-band emission requirements of Sec. 21.908. Any licensee of a 
high-power booster station that is a capacity lessee shall, upon 
termination or expiration of the capacity lease, automatically assign 
the booster station license to the licensee or conditional licensee of 
the MDS station by and upon written notice to the Commission signed by 
the lessee and such licensee or conditional licensee. If upon 
termination or expiration of the capacity lease the licensee or 
conditional licensee no longer desires or needs the high-power booster 
station license, such a license must be returned to the Commission. The 
applicant for a high-power station, or for modification thereto, where 
not subject to Sec. 21.41 or Sec. 21.42, shall file FCC Form 331 with 
Mellon Bank, and certify on that form that the applicant has complied 
with the additional requirements of this paragraph (b), and that the 
interference data submitted under this paragraph is complete and 
accurate. Failure to certify compliance and to comply completely with 
the following requirements of this paragraph (b) shall result in 
dismissal of the application or revocation of the high-power MDS signal 
booster station license, and may result in imposition of a monetary 
forfeiture. The applicant is additionally required to submit (see 
Sec. 21.902(m) for permissible format(s) and media) to the Commission's 
Reference Room the following information:
* * * * *
    (2) A study which demonstrates that the aggregate power flux 
density of the MDS station and all associated booster stations and 
simultaneously operating cochannel response stations licensed to or 
applied for by the applicant, measured at or beyond the boundary of the 
protected service area of the MDS station whose channels are to be 
reused, does not exceed -73 dBW/m2 (or the appropriately 
adjusted value based on the actual bandwidth used if other than 6 MHz, 
see Sec. 21.902(b)(7)(i)) at locations for which there is an 
unobstructed signal path, unless the consent of the affected licensees 
has been obtained; and
* * * * *
    (8) If the applicant is a capacity lessee, a certification that:
    (i) The licensee or conditional licensee has provided its written 
consent to permit the capacity lessee to apply for the booster station 
license; and
    (ii) The applicant and the licensee or conditional licensee have 
entered into a lease that is in effect at the time of such filing.
* * * * *
    (e) A licensee or conditional licensee of an MDS station, or the 
capacity licensee of such MDS station upon the written consent of the 
licensee or conditional licensee, shall be eligible to install and 
operate a low power signal booster station that has a maximum EIRP of 
-9 dBW + log10(X/6) dBW, where X is the channel width in MHz. A low-
power MDS signal booster station may operate only on one or more MDS 
channels that are licensed to the licensee of the MDS booster station, 
but may be operated by a third party with a fully-executed lease or 
consent agreement with the MDS conditional licensee or licensee. Any 
licensee of a low-power booster station that is a capacity lessee 
shall, upon termination or expiration of the capacity lease, 
automatically assign the booster station license to the licensee or 
conditional licensee of the MDS station by and upon written notice to 
the Commission signed by the lessee and such licensee or conditional 
licensee. If upon termination or expiration of the capacity lease the 
licensee or conditional licensee no longer desires or needs the low-
power booster station license, such a license must be returned to the 
Commission. An MDS licensee, conditional licensee, or capacity lessee 
thereof, may install and commence operation of a low-power MDS signal 
booster station for the purpose of retransmitting the signals of the 
MDS station or for originating signals. Such installation and operation 
shall be subject to the condition that for sixty (60) days after 
installation and commencement of operation, no objection or petition to 
deny is filed by the licensee of a, or applicant for a previously-
proposed, cochannel or adjacent channel ITFS or MDS station with a 
transmitter within 8.0 kilometers (5 miles) of the coordinates of the 
low-power MDS signal booster station. An MDS licensee, conditional 
licensee, or capacity lessee thereof seeking to install a low-power MDS 
signal booster station under this rule must submit a FCC Form 331 to 
the Commission within 48 hours after installation. In addition, the MDS 
licensee, conditional licensee, or capacity lessee must submit the 
following information (see Sec. 21.902(m) for permissible format(s) and 
media) to the Commission's Reference Room:
* * * * *
    (4) * * *
    (vi) The aggregate power flux density of the MDS station and all 
associated booster stations and simultaneously operating cochannel 
response stations licensed to or applied for by the applicant, measured 
at or beyond the boundary of the protected service areas of the MDS 
stations whose channels are to be reused, does not exceed -73 dBW/
m2 (or the appropriately adjusted value based on the actual 
bandwidth used if other than 6 MHz, see Sec. 21.902(b)(7)(i)) at 
locations for which there is an unobstructed signal path, unless the 
consent of the affected licensees has been obtained; and
* * * * *
    (viii) The applicant understands and agrees that, in the event 
harmful interference is claimed by the filing of an objection or 
petition to deny, it must terminate operation within two (2) hours of 
notification by the Commission, and must not recommence operation until 
receipt of written authorization to do so by the Commission; and
    (ix) If the applicant is a capacity lessee, a certification that:
    (A) The licensee or conditional licensee has provided its written 
consent to permit the capacity lessee to apply for the booster station 
license; and

[[Page 46620]]

    (B) The applicant and the licensee or conditional licensee have 
entered into a lease that is in effect at the time of such filing.
* * * * *

PART 74--EXPERIMENTAL RADIO, AUXILLIARY, SPECIAL BROADCAST AND 
OTHER PROGRAM DISTRIBUTIONAL SERVICES

    11. The authority for part 74 continues to read as follows:

    Authority: 47 U.S.C. 154, 303, 307, 336(f), and 554.

    12. In Sec. 74.902, paragraphs (f) and (i) are revised to read as 
follows:


Sec. 74.902  Frequency assignments.

* * * * *
    (f) An ITFS licensee may apply to exchange evenly one or more of 
its assigned channels with another ITFS licensee, or with an MDS 
licensee or conditional licensee, except that an ITFS licensee may not 
exchange one of its assigned channels for MDS channel 2A. The licensees 
seeking to exchange channels shall file in tandem with the Commission 
separate pro forma assignment of license applications, each attaching 
an exhibit which clearly specifies that the application is filed 
pursuant to a channel exchange agreement. The exchanged channel(s) 
shall be regulated according to the requirements applicable to the 
assignee; provided, however, that an ITFS licensee which receives one 
or more E or F Group channels through a channel exchange with an MDS 
licensee or conditional licensee shall not be subject to the 
restrictions on ITFS licensees who were authorized to operate on the E 
or F Group channels prior to May 26, 1983.
* * * * *
    (i) On the E and F-channel frequencies, a point-to-point ITFS 
station may be involuntarily displaced by an MDS applicant or licensee, 
provided that suitable alternative spectrum is available and that the 
MDS entity bears the expenses of the migration. Suitability of spectrum 
will be determined on a case-by-base basis; at a minimum, the 
alternative spectrum must be licensable by ITFS operators on a primary 
basis (although it need not be specifically allocated to the ITFS 
service), and must provide a signal that is equivalent to the prior 
signal in picture quality and reliability, unless the ITFS licensee 
will accept an inferior signal. Potential expansion of the ITFS 
licensee may be considered in determining whether alternative available 
spectrum is suitable.
* * * * *

    13. In Sec. 74.903, paragraphs (b)(4), (c) and (d) are revised to 
read as follows:


Sec. 74.903  Interference.

* * * * *
    (b) * * *
    (4) In lieu of the interference analyses required by paragraphs 
(b)(1) and (2) of this section, an applicant may submit (a) 
statement(s) from the affected cochannel or adjacent channel 
licensee(s) that any resulting interference is acceptable.
* * * * *
    (c) Existing licensees and prospective applicants, including those 
who lease or propose to lease excess capacity pursuant to 
Sec. 74.931(c) or (d), are expected to cooperate fully and in good 
faith in attempting to resolve problems of potential interference 
before bringing the matter to the attention of the Commission.
    (d) Each authorized or previously-proposed applicant, or licensee 
must be protected from harmful electrical interference at each of its 
receive sites registered previously as of September 17, 1998, and 
within a protected service area as defined at Sec. 21.902(d) of this 
chapter and in accordance with the reference receive antenna 
characteristics specified at Sec. 21.902(f) of this chapter. An ITFS 
entity which did not receive protected service area protection prior to 
September 17, 1998 shall be accorded such protection by a cochannel or 
adjacent channel applicant for a new station or station modification, 
including a booster station, response station or response station hub, 
where the applicant is required to prepare an analysis, study or 
demonstration of the potential for harmful interference. An ITFS entity 
receiving interference protection provided by this section will 
continue to receive such protection if it elects to swap channels with 
another ITFS or MDS station as specified in Sec. 74.902(f).

    14. In Sec. 74.911, paragraphs (b), (d), and (e) are revised to 
read as follows:


Sec. 74.911  Processing of ITFS station applications.

* * * * *
    (b) A new file number will be assigned to an application for a new 
station or for major changes in the facilities of an authorized 
station, when it is amended so as to effect a major change, as defined 
in paragraph (a)(2) of this section, or results in a situation where 
the original party or parties to the application do not retain control 
of the applicant as originally filed. An application for change in the 
facilities of any existing station will continue to carry the same file 
number even though (pursuant to Commission approval) an assignment of 
license or transfer of control of such licensee has taken place if, 
upon consummation, the application is amended to reflect the new 
ownership.
* * * * *
    (d) Notwithstanding any other provisions of this part, effective as 
of September 17, 1998, there shall be a one-week window, at such time 
as the Commission shall announce by public notice, for the filing of 
applications for all major changes, high-power signal booster station, 
response station hub, and I channels point-to-multipoint transmissions 
licenses, during which all applications shall be deemed to have been 
filed as of the same day for purposes of 74.939 and 74.985. Following 
the publication of a public notice announcing the tendering for filing 
of applications submitted during that window, applicants shall have a 
period of sixty (60) days to amend their applications, provided such 
amendments do not result in any increase in interference to any 
previously-proposed or authorized station, or to facilities proposed 
during the window, absent consent of the applicant for or licensee of 
the station that would receive such additional interference. At the 
conclusion of that sixty (60) day period, the Commission shall publish 
a public notice announcing the acceptance for filing of all 
applications submitted during the initial window, as amended during the 
sixty (60) day period. All petitions to deny such applications must be 
filed within sixty (60) days of such second public notice. On the 
sixty-first (61st) day after the publication of such second public 
notice, applications for major changes, new or modified response 
station hub, high powered signal booster and booster station licenses 
may be filed and will be processed in accordance with the provisions of 
74.939 and 74.985. Each application submitted during the initial window 
shall be granted on the sixty-first (61st) day after the Commission 
shall have given such public notice of its acceptance for filing, 
unless prior to such date either a party in interest timely files a 
formal petition to deny or for other relief pursuant to Sec. 74.912, or 
the Commission notifies the applicant that its application will not be 
granted. Where an application is granted pursuant to the provisions of 
this paragraph, licensee shall maintain a copy of the application at 
the transmitter site or response station hub

[[Page 46621]]

until such time as the Commission issues a license.
    (e) Except as provided in paragraph (d) of this section, major 
change applications may be filed at any time. Except during the sixty 
(60) day amendment period provided for in paragraph (d) of this 
section, any amendment to a major change application that reflects any 
change in the technical specifications of the proposed facility, 
includes any new or modified analysis of potential interference to 
another facility, or submits any interference consent from a 
neighboring licensee, shall cause the application to be considered 
newly-filed. Notwithstanding any other provision of part 74, major 
change applications meeting the requirements of part 74 shall cut-off 
applications that are filed on a subsequent day for facilities that 
would cause harmful electromagnetic interference to the facilities 
proposed in the major change application. A facility proposed in a 
major change application shall not be entitled to protection from 
interference caused by any facilities proposed on or prior to the day 
the major change application is filed. A facility proposed in a major 
change application shall not be required to protect from interference 
facilities proposed on or after the day the major change application is 
filed. Except as provided by paragraph (d) of this section, any 
petition to deny a major change application shall be filed no later 
than the sixtieth (60th) day after the date of public notice announcing 
the filing of such application. Except as provided in paragraph (d) of 
this section a major change application that meets the requirements of 
part 74 shall be granted on the sixty-first (61st) day after the 
Commission shall have given public notice of the acceptance for filing 
of it, unless prior to such date either a party in interest files a 
timely petition to deny or files for other relief pursuant to 
Sec. 74.912, or the Commission notifies the applicant that its 
application will not be granted at such time. Where an application is 
granted pursuant to the provisions of this paragraph, the licensee 
shall maintain a copy of the application at the facility until such 
time as the Commission issues a license for that facility's operations.

    15. In Sec. 74.931, paragraphs (c) and (d) are revised, paragraphs 
(e), (f), (g), (h), (i) and (j) are redesignated as paragraphs (f), 
(g), (h), (i), (j) and (k), and a new paragraph (e) is added to read as 
follows:


Sec. 74.931  Purpose and permissible service.

* * * * *
    (c) A licensee solely utilizing analog transmissions may use excess 
capacity on each channel to transmit material other than the ITFS 
subject matter specified in paragraphs (a) and (b) of this section, 
subject to the following conditions:
    (1) Before leasing excess capacity on any one channel, the licensee 
must provide at least 20 hours per week of ITFS educational usage on 
that channel, except as provided in paragraph (c)(2) and (c)(3) of this 
section. An additional 20 hours per week per channel must be strictly 
reserved for ITFS use and not used for non-ITFS purposes, or reserved 
for recapture by the ITFS licensee for its ITFS educational usage, 
subject to one year's advance, written notification by the ITFS 
licensee to its lessee and accounting for all recapture already 
exercised, with no economic or operational detriment to the licensee. 
These hours of recapture are not restricted as to time of day or day of 
the week, but may be established by negotiations between the ITFS 
licensee and the lessee. This 20 hours per channel per week ITFS 
educational usage requirement and this recapture and/or reservation 
requirement of an additional 20 hours per channel per week shall apply 
spectrally over the licensee's whole actual service area.
    (2) For the first two years of operation, an ITFS entity may lease 
excess capacity if it provides ITFS educational usage for at least 12 
hours per channel per week, provided that the entity does not employ 
channel loading technology.
    (3) The licensee may shift its requisite ITFS educational usage 
onto fewer than its authorized number of channels, via channel mapping 
or channel loading technology, so that it can lease full-time channel 
capacity on its ITFS station and/or associated ITFS booster stations, 
subject to the condition that it provide a total average of at least 20 
hours per channel per week of ITFS educational usage on its authorized 
channels. The use of channel mapping or channel loading consistent with 
the Rules shall not be considered adversely to the ITFS licensee in 
seeking a license renewal. The licensee also retains the unabridgeable 
right to recapture, subject to six months' advance written notification 
by the ITFS licensee to its lessee, an average of an additional 20 
hours per channel per week, accounting for all recapture already 
exercised. Regardless of whether the licensee has educational receive 
sites within its psa, the licensee may lease booster stations in the 
entire psa, provided that the licensee maintains the unabridgeable 
right to ready recapture at least 40 hours per channel per week for 
ITFS educational usage. The licensee may agree to the transmission of 
this recapture time on channels not authorized to it, but which are 
included in the wireless system of which it is a part. A licensee under 
this paragraph which leases excess capacity on any one of its channels 
to an operator may ``channel shift'' pursuant to and under the 
conditions of paragraph (d)(2) of this section.
    (4) An ITFS applicant or licensee may specify an omnidirectional 
antenna for point-to multipoint transmissions to facilitate the leasing 
of excess capacity.
    (5) Leasing activity may not cause unacceptable interference to 
cochannel or adjacent channel operations.
    (6) When an ITFS licensee makes capacity available on a common 
carrier basis, it will be subject to common carrier regulation.
    (i) A licensee operating as a common carrier is required to comply 
with all policies and rules applicable to that service. Responsibility 
for making the initial determination of whether a particular activity 
is common carriage rests with the ITFS licensee. Initial determinations 
by the licensees are subject to Commission examination and may be 
reviewed at the Commission's discretion.
    (ii) An ITFS licensee also may alternate, without further 
authorization required, between rendering service on a common carrier 
and non-common carrier basis, provided that the licensee notifies the 
Commission of any service status changes at least 30 days in advance of 
such changes. The notification shall state whether there is any 
affiliation or relationship to any intended or likely subscriber or 
program originator.
    (iii) Licensees under paragraph (c)(6) of this section additionally 
shall comply with the provisions of Secs. 21.304, 21.900(b), 
21.903(b)(1) and (2) and (c), and 21.910 of this chapter.
    (d) A licensee utilizing digital transmissions on any of its 
licensed channels may use excess capacity on each channel to transmit 
material other than the ITFS subject matter specified in paragraphs (a) 
and (b) of this section, subject to the following conditions:
    (1) The licensee must reserve a minimum of 5% of the capacity of 
its channels for instructional purposes only, and may not lease this 
reserved capacity. In addition, before leasing excess capacity, the 
licensee must provide at least 20 hours per licensed channel per week 
of ITFS educational usage. This 5% reservation and this 20 hours per 
licensed channel per week ITFS educational usage requirement shall 
apply spectrally over the licensee's

[[Page 46622]]

whole actual service area. However, regardless of whether the licensee 
has an educational receive sites within its psa served by a booster, 
the licensee may lease excess capacity without making at least 20 hours 
per licensed channel per week of ITFS educational usage, provided that 
the licensee maintains the unabridgeable right to recapture on one 
months' advance notice such capacity as it requires over and above the 
5% reservation to make at least 20 hours per channel per week of ITFS 
educational usage.
    (2) The licensee may shift its requisite ITFS educational usage 
onto fewer than its authorized number of channels, via channel mapping 
or channel loading technology, and may shift its requisite ITFS 
educational usage onto channels not authorized to it, but which are 
included in the wireless system of which it is a part (``channel 
shifting''), so that it can lease full-time channel capacity on its 
ITFS station, associated ITFS booster stations, and/or ITFS response 
stations and associated response station hubs, subject to the condition 
that it provide a total average of at least 20 hours per licensed 
channel per week of ITFS educational usage. The use of channel mapping, 
channel loading, and/or channel shifting consistent with the Rules 
shall not be considered adversely to the ITFS licensee in seeking a 
license renewal. In addition, an ITFS entity receiving interference 
protection provided by Sec. 74.903, will continue to receive such 
protection if it elects to swap channels with another ITFS or MDS 
station as specified in Sec. 74.902(f).
    (3) An ITFS applicant or licensee may specify an omnidirectional 
antenna for point-to-multipoint transmissions to facilitate the leasing 
of excess capacity.
    (4) Leasing activity may not cause unacceptable interference to 
cochannel or adjacent channel operations.
    (5) A licensee leasing any of its licensed channels to be used as 
response channels shall be required to maintain at least 25% of the 
capacity of its channels for point-to-multipoint transmissions during 
the term of the lease and following termination of the leasing 
arrangement. This 25% preservation may be over the licensee's own 
authorized channels or over channels not authorized to it, but which 
are included in the wireless system of which it is a part.
    (6) When an ITFS licensee makes capacity available on a common 
carrier basis, it will be subject to common carrier regulation.
    (i) A licensee operating as a common carrier is required to comply 
with all policies and rules applicable to that service. Responsibility 
for making the initial determination of whether a particular activity 
is common carriage rests with the ITFS licensee. Initial determinations 
by the licensees are subject to Commission examination and may be 
reviewed at the Commission's discretion.
    (ii) An ITFS licensee also may alternate, without further 
authorization required, between rendering service on a common carrier 
and non-common carrier basis, provided that the licensee notifies the 
Commission of any service status changes at least 30 days in advance of 
such changes. The notification shall state whether there is any 
affiliation or relationship to any intended or likely subscriber or 
program originator.
    (iii) Licensees under paragraph (d)(6) of this section additionally 
shall comply with the provisions of Secs. 21.304, 21.900(b), 
21.903(b)(1) and (2) and (c), and 21.910 of this chapter.
    (e) ITFS excess capacity leases entered into prior to March 31, 
1997, which contain a provision for automatic renewal which would be 
effective after March 31, 1997, are exempt for the duration of said 
lease from compliance with subsequently adopted Commission rules. 
However, the total term of such applicable lease may not exceed fifteen 
years.
* * * * *

    16. Sec. 74.936(f) is revised to read as follows:


Sec. 74.936  Emissions and bandwidth.

* * * * *
    (f) The maximum out-of-band power of an ITFS response station using 
all or part of a 6 MHz channel, employing digital modulation and 
transmitting with an EIRP greater than -6 dBW per 6 MHz channel shall 
be attenuated (as measured in accordance with Sec. 21.908(e)) at the 6 
MHz channel edges at least 25 dB relative to the average 6 MHz channel 
power level, then attenuated along a linear slope to at least 40 dB at 
250 kHz beyond the nearest channel edge, then attenuated along a linear 
slope from that level to at least 60 dB at 3 MHz above the upper and 
below the lower licensed channel edges, and attenuated at least 60 dB 
at all other frequencies. The maximum out-of-band power of an ITFS 
response station using all or part of a 6 MHz channel, employing 
digital modulation and transmitting with an EIRP no greater than -6 dBW 
per 6 MHz channel shall be attenuated (as measured in accordance with 
Sec. 21.908(e)) at the channel edges at least 25 dB relative to the 
average 6 MHz channel transmitter output power level (P), then 
attenuated along a linear slope to at least 40 dB or 33+10log(P) dB, 
whichever is the lesser attenuation, at 250 kHz beyond the nearest 
channel edge, then attenuated along a linear slope from that level to 
at least 60 dB or 43+10log(P) dB, whichever is the lesser attenuation, 
at 3 MHz above the upper and below the lower licensed channel edges, 
and attenuated at least 60 dB or 43+10log(P) dB, whichever is the 
lesser attenuation, at all other frequencies. Where ITFS response 
stations with digital modulation utilize all or part of more than one 
contiguous 6 MHz channel to form a larger channel (e.g., a channel of 
width 12 MHz), the above-specified attenuations shall be applied only 
at the upper and lower edges of the overall combined channel. 
Notwithstanding these provisions, should harmful interference occur as 
a result of emissions outside the assigned channel(s), additional 
attenuation may be required by the Commission.
* * * * *

    17. In Sec. 74.937, the text of paragraph (a) preceding Figure 1 
and paragraph (b) are revised to read as follows:


Sec. 74.937  Antennas.

    (a) In order to minimize the hazard of harmful cochannel and 
adjacent channel interference from other stations, directive receiving 
antennas should be used at all receiving locations other than response 
station hubs and response stations operating with an EIRP no greater 
than -6 dBW per 6 MHz channel. The choice of receiving antennas is left 
to the discretion of the licensee. However, for the purpose of 
interference calculations, except as set forth in Sec. 74.939, the 
general characteristics of the reference receiving antenna shown in 
Figure 1 of this section (i.e., a 0.6 meter (2 foot) parabolic 
reflector antenna, are assumed to be used in accordance with the 
provisions of Sec. 74.903(a)(3) unless pertinent data is submitted of 
the actual antenna in use for reception. Licensees may install 
receiving antennas with general characteristics superior to those of 
the reference antenna. Should interference occur and it can be 
demonstrated that the existing receiving antenna is inadequate, a more 
suitable antenna should be installed. In such cases, installation of 
the new receiving antenna will be the responsibility of the system 
operator serving the receive site. A response station operating with an 
EIRP no greater than -6 dBW per 6 MHz channel may use an 
omnidirectional receiving antenna. However, for the purpose of 
interference

[[Page 46623]]

protection, such response stations will be treated as if utilizing a 
receive antenna meeting the requirements of the reference receiving 
antenna shown in Figure 1 of this section.
* * * * *
    (b) Except as set forth in Sec. 74.931(c)(4) and (d)(3), directive 
transmitting antennas shall be used whenever feasible so as to minimize 
interference to other licensees. The radiation pattern shall be 
designed to minimize radiation in directions where no reception is 
intended. When an ITFS station is used for point-to-point service, an 
appropriate directional antenna must be used. Notwithstanding these 
provisions, response stations operating with an EIRP no greater than -6 
dBW per 6 MHz channel may utilize omnidirectional transmitting 
antennas.
* * * * *

    18. In Sec. 74.939, paragraphs (c)(2), (d) introductory text, 
(d)(1), (g)(3), (g)(4), (g)(6), (h), (l)(2), and (q) are revised as set 
forth below and paragraph (c)(3) is removed:


Sec. 74.939  ITFS response stations.

* * * * *
    (c) * * *
    (2) Submit the following (see Sec. 21.902(m) for permissible 
formats and media) to the Commission's Reference Room:
    (i) The data files required by Appendix D (as amended) to the 
Report and Order in MM Docket 97-217, FCC 98-231, ``Methods For 
Predicting Interference From Response Station Transmitters And To 
Response Station Hubs And For Supplying Data on Response Station 
Systems''; and
    (ii) The demonstrations and certifications required by paragraph 
(d) of this section.
    (d) An applicant for a response station hub license shall prepare 
the following:
    (1) A demonstration describing the system channel plan, to the 
extent that such information is not contained in the data file required 
in (c)(2)(i) of this section; and
* * * * *
    (g) * * *
    (3) No response station shall operate with an EIRP in excess of 
that specified in the application for the response station hub for the 
particular regional class of characteristics with which the response 
station is associated, and such response station shall not operate with 
an EIRP in excess of 33 dBW + 10log(X/6) dBW, where X is the channel 
width in MHz, and
    (4) Each response station shall employ a transmission antenna 
oriented towards the response station hub with which the response 
station communicates and such antenna shall be no less directive than 
the worst-case outer envelope pattern specified in the application for 
the response station hub for the regional class of characteristics with 
which the response station is associated; and
* * * * *
    (6) The response stations transmitting simultaneously at any given 
time within any given region of the response service area utilized for 
purposes of analyzing the potential for interference by response 
stations shall conform to the numerical limits for each class of 
response station proposed in the application for the response station 
hub license. Notwithstanding the foregoing, where a response station 
hub licensee subchannelizes pursuant to Sec. 74.939(a) and limits the 
maximum EIRP emitted by any individual response station proportionately 
to the fraction of the channel that the response station occupies, the 
licensee may operate simultaneously on each subchannel the number of 
response stations specified in the license. Moreover, the licensee of a 
response station hub may alter the number of response stations of any 
class operated simultaneously in a given region, without prior 
Commission authorization, provided that the licensee:
    (i) Files with the Commission (see Sec. 21.902(m) for permissible 
format(s) and media) a demonstration indicating the number of response 
stations of such class(es) to be operated simultaneously in such region 
and a certification that it has complied with the requirements of 
paragraphs (g)(6)(ii) and (iii) of this section and that the 
interference data submitted pursuant to paragraph (g)(6)(ii) is 
complete and accurate; and
    (ii) Provides the Commission's Reference Room (see Sec. 21.902(m) 
for permissible formats and media) with an update of the previously-
filed response station data and with a demonstration that such 
alteration will not result in any increase in interference to the 
protected service area or protected receive sites of any existing or 
previously-proposed, cochannel or adjacent channel MDS or ITFS station 
or booster station, to the protected service area of any MDS Basic 
Trading Area or Partitioned Service Area licensee entitled to 
protection pursuant to paragraph (d)(3) of this section, or to any 
existing or previously-proposed, cochannel or adjacent channel response 
station hub, or response station under Sec. 21.949 or Sec. 74.949 of 
this chapter; or that the applicant for or licensee of such facility 
has consented to such interference; and
    (iii) Serves a copy of such demonstration and certification upon 
each party entitled to be served pursuant to paragraph (d)(3) of this 
section; and
* * * * *
    (h) Applicants must comply with part 17 of this chapter concerning 
notification to the Federal Aviation Administration of proposed antenna 
construction or alteration for all hub stations and associated response 
stations.
* * * * *
    (l) * * *
    (2) Submit to the Commission's Reference Room (see Sec. 21.902(m) 
for permissible format(s) and media) the following:
* * * * *
    (q) Interference calculations shall be performed in accordance with 
Appendix D (as amended) to the Report and Order in MM Docket 97-217, 
FCC 98-231, ``Methods For Predicting Interference From Response Station 
Transmitters and To Response Station Hubs and For Supplying Data on 
Response Station Systems.'' (Note: This document is subject to change 
and will be updated/amended as needed without prior notification. 
Applicants should always utilize the most current version of the 
document, as found at the Commission's internet web site, http://www.fcc.gov/mmb/vsd/files/methodology.doc). Compliance with out-of-band 
emission limitations shall be established in accordance with 
Sec. 21.908(e) of this chapter.
* * * * *

    19. In Sec. 74.951, paragraph (b) is revised to read as follows:


Sec. 74.951  Modification of transmission systems.

* * * * *
    (b) Any change in the antenna system affecting the direction of 
radiation, directive radiation pattern, antenna gain, or radiated 
power; provided, however, that a licensee may install a sectorized 
antenna system without prior consent if such system does not change 
polarization or result in an increase in radiated power by more than 
one dB in any direction, and notice of such installation is provided to 
the Commission on FCC Form 331 within ten (10) days of installation. 
When an applicant proposes to employ a directional antenna, or a 
licensee notifies the Commission pursuant to this paragraph of the 
installation of a sectorized antenna system, the applicant shall 
provide the Commission with information regarding the orientation of 
the directional antenna(s), expressed in

[[Page 46624]]

degree of azimuth, with respect to true north, and the make and model 
of such antenna(s).
* * * * *

    20. In Sec. 74.985, paragraphs (b) introductory text, (b)(5), 
(b)(7), (d), (e) introductory text, (e)(4)(viii) are revised, and 
paragraphs (b)(8), (e)(4)(ix) are added, to read as follows:


Sec. 74.985  Signal booster stations.

* * * * *
    (b) A licensee or the capacity lessee of such ITFS station upon the 
written consent of the licensee, may secure a license for a high power 
signal booster station that has a maximum EIRP in excess of -9 dBW + 10 
log(X/6) dBW where X is the channel width in MHz, if it complies with 
the out-of-band emission requirements of Sec. 21.908. Any licensee of a 
high-power booster station that is a capacity lessee shall, upon 
termination or expiration of the capacity lease, automatically assign 
the booster station license to the licensee of the ITFS station by and 
upon written notice to the Commission signed by the lessee and such. If 
upon termination or expiration of the capacity lease the licensee no 
longer desires or needs the high-power booster station license, such a 
license must be returned to the Commission. Furthermore, such capacity 
lessee must reserve 20 hours per week per channel for ITFS use, or 
reserve for recapture by the ITFS licensee for its ITFS educational 
usage, subject to one year's advance, written notification by the ITFS 
licensee to its lessee and accounting for all recapture already 
exercised, with no economic or operational detriment to the licensee, 
for a lessor using analog transmissions. Alternatively, the capacity 
lessee must reserve a minimum of 5% of the capacity of its channels for 
instructional purposes only and provide at least 20 hours per licensed 
channel per week of ITFS educational usage for the lessor using digital 
transmissions. The applicant for a high-power station, or for 
modification thereto, shall file FCC Form 331 with the Commission 
Reference Room in Washington, DC, and certify on that form that the 
applicant has complied with the additional requirements of this 
paragraph (b), and that the interference data submitted under this 
paragraph is complete and accurate. Failure to certify compliance and 
to comply completely with the following requirements of this paragraph 
(b) shall result in dismissal of the application or revocation of the 
high-power ITFS signal booster station license, and may result in 
imposition of a monetary forfeiture. The applicant is additionally 
required to submit (see Sec. 21.902(m) for permissible format(s) and 
media) to the Commission's Reference Room the following information:
* * * * *
    (5) In lieu of the requirements of Sec. 74.903, a study which 
demonstrates that the proposed signal booster station will cause no 
harmful interference (as defined in Sec. 74.903(a)(1) and (2)) to 
cochannel and adjacent channel, authorized or previously-proposed ITFS 
and MDS stations with protected service area center coordinates as 
specified in Sec. 21.902(d) of this chapter, to any authorized or 
previously-proposed response station hubs, booster service areas, or I 
channel stations associated with such ITFS and MDS stations, or to any 
ITFS receive sites registered as of September 17, 1998, within 160.94 
kilometers (100 miles) of the proposed booster station's transmitter 
site. Such study shall consider the undesired signal levels generated 
by the proposed signal booster station, the main station, all other 
licensed or previously-proposed associated booster stations, and all 
simultaneously operating cochannel response stations licensed to or 
applied for by the applicant. In the alternative, a statement from the 
affected MDS or ITFS licensee stating that it does not object to 
operation of the high-power ITFS signal booster station may be 
submitted; and
* * * * *
    (7) A certification that copies of the materials set forth in 
paragraph (b) of this section have been served upon the licensee of 
each station (including each response station hub and booster station) 
required to be studied pursuant to paragraph (b)(5) of this section, 
and upon any affected holder of a BTA or PSA authorization pursuant to 
paragraph (b)(4) of this section.
    (8) If the applicant is a capacity lessee, a certification that:
    (i) The licensee has provided its written consent to permit the 
capacity lessee to apply for the booster station license; and
    (ii) The applicant and the licensee have entered into a lease that 
is in effect at the time of such filing.
* * * * *
    (d) Notwithstanding the provisions of Sec. 74.912 and except as 
provided in Sec. 74.911(e), any petition to deny an application for a 
high-power ITFS signal booster station license shall be filed no later 
than the sixtieth (60th) day after the date of public notice announcing 
the filing of such application or major amendment thereto. Except as 
provided in Sec. 74.911(e), an application for a high-power ITFS signal 
booster station license that meets the requirements of paragraph (b) of 
this section shall be granted on the sixty-first (61st) day after the 
Commission shall have given public notice of the acceptance for filing 
of it, or of a major amendment to it if such major amendment has been 
filed, unless prior to such date either a party in interest timely 
files a formal petition to deny or for other relief pursuant to 
Sec. 74.912, or the Commission notifies the applicant that its 
application will not be granted. Where an application is granted 
pursuant to the provisions of this paragraph, the licensee shall 
maintain a copy of the application at the ITFS booster station until 
such time as the Commission issues a high-power ITFS signal booster 
station license.
    (e) A licensee or the capacity lessee of such ITFS station upon the 
written consent of the licensee, shall be eligible to install and 
operate a low power signal booster station that has a maximum EIRP of 
-9 dBW +log10(X/6) dBW, where X is the channel width in MHz. A low-
power ITFS signal booster station may operate only on one or more ITFS 
channels that are licensed to the licensee of the ITFS booster station, 
but may be operated by a third party with a fully-executed lease or 
consent agreement with the ITFS licensee. Any licensee of a low-power 
booster station that is a capacity lessee shall, upon termination or 
expiration of the capacity lease, automatically assign the booster 
station license to the licensee of the ITFS station by and upon written 
notice to the Commission signed by the lessee and such licensee. If 
upon termination or expiration of the capacity lease the licensee no 
longer desires or needs the low-power booster station license, such a 
license must be returned to the Commission. An ITFS licensee or 
capacity lessee thereof may install and commence operation of a low-
power ITFS signal booster station for the purpose of retransmitting the 
signals of the ITFS station or for originating signals. Such 
installation and operation shall be subject to the condition that for 
sixty (60) days after installation and commencement of operation, no 
objection or petition to deny is filed by the licensee of a, or 
applicant for a previously-proposed, cochannel or adjacent channel ITFS 
or MDS station with a transmitter within 8.0 kilometers (5 miles) of 
the coordinates of the low-power ITFS signal booster station. An ITFS 
licensee or capacity lessee thereof seeking to install a low-power ITFS 
signal booster station under this rule must submit a FCC Form 331 to 
the Commission within 48 hours after

[[Page 46625]]

installation. In addition, the ITFS licensee, or capacity lessee must 
submit the following information (see Sec. 21.902(m) for permissible 
format(s) and media) to the Commission's Reference Room:
    (4) * * *
    (viii) The applicant understands and agrees that in the event 
harmful interference is claimed by the filing of an objection or 
petition to deny, it must terminate operation within two (2) hours of 
notification by the Commission, and must not recommence operation until 
receipt of written authorization to do so by the Commission; and
    (ix) If the applicant is a capacity lessee, a certification that:
    (A) The licensee has provided its written consent to permit the 
capacity lessee to apply for the booster station license; and
    (B) The applicant and the licensee have entered into a lease that 
is in effect at the time of such filing.
* * * * *
[FR Doc. 00-19034 Filed 7-28-00; 8:45 am]
BILLING CODE 6712-01-U