[Federal Register Volume 65, Number 237 (Friday, December 8, 2000)]
[Proposed Rules]
[Pages 76966-76968]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-31309]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 80

[PR Docket No. 92-257; RM-9664; FCC 00-370]


Maritime Communications

AGENCY: Federal Communications Commission.

ACTION: Proposed rules.

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SUMMARY: In this document, the Commission proposes to amend the rules 
governing Automated Maritime Telecommunications Systems (AMTS) and high 
seas public coast stations. The Commission proposes, among other 
things, to designate licensing regions and authorize one licensee for 
each currently unassigned AMTS frequency block on a geographic basis; 
to allow partitioning and disaggregation for AMTS geographic licensees, 
disaggregation for site-based AMTS licensees, and partitioning for most 
high seas public coast station licensees; and to establish competitive 
bidding procedures to resolve mutually exclusive applications for AMTS 
and high seas public coast spectrum. These proposed rules should 
increase the number and types of communications services available to 
the maritime community.

DATES: Comments are due February 6, 2001, Reply Comments are due March 
8, 2001.

ADDRESSES: Parties who choose to file comments by paper must file an 
original and four copies to the Commission's Secretary, Magalie Roman 
Salas, Office of the Secretary, Federal Communications Commission, 445 
12th St., SW., Room TW-A325, Washington, DC 20554. Comments may also be 
filed using the Commission's Electronic Filing System, which can be 
accessed via the Internet at www.fcc.gov/e-file/ecfs.html.

FOR FURTHER INFORMATION CONTACT: Keith Fickner, Policy and Rules 
Branch, Public Safety and Private Wireless Division, Wireless 
Telecommunications Bureau at (202) 418-0680.

SUPPLEMENTARY INFORMATION:
    1. The Commission's Third Notice of Proposed Rule Making (3rd 
NPRM), PR Docket No. 92-257, FCC 00-370, adopted October 13, 2000, and 
released on November 16, 2000. The full text of this 3rd NPRM is 
available for inspection and copying during normal business hours in 
the FCC Reference Center, Room CY-A257, 445 12th Street, SW., 
Washington, DC. The complete text may be purchased from the 
Commission's copy contractor, International Transcription Service, 
Inc., 1231 20th Street, NW., Washington, DC 20037. The full text may 
also be downloaded at: http://www.fcc.gov/Wireless/Orders/2000/fcc00370.txt. Alternative formats are available to persons with 
disabilities by contacting Martha Contee at (202) 418-0260 or TTY (202) 
418-2555.

Summary of the 3rd NPRM

    2. The Commission proposes a transition from the site-based 
licensing approach to geographic area licensing because such an 
approach would speed assignment of subsequent AMTS licenses, reduce 
processing burdens on the Commission, facilitate the expansion of 
existing AMTS systems and the development of new AMTS systems, 
eliminate inefficiencies arising from the intricate web of 
relationships created by site-specific authorization, and enhance 
regulatory symmetry.
    3. The Commission seeks comment on whether the use of band manager 
licensing may be an appropriate alternative method of accomplishing the 
objectives that it strives to achieve through its partitioning and 
disaggregation rules. Band managers would be a class of Commission 
licensee that would engage in the business of making spectrum available 
for use by others through private, written contracts.
    4. The Commission seeks comment, in light of its continuing 
commitment to take measures to ensure that the current and future 
communications needs of the public safety community are addressed, on 
whether it should take any steps to facilitate use of AMTS spectrum by 
public safety entities, including setting aside some channels for 
public safety use.
    5. The Commission proposes to modify the requirement that AMTS 
stations must serve a waterway because it is inconsistent with 
geographic licensing and could prevent service from being offered in 
some licensing areas. Therefore, the Commission seeks comment on its 
proposal that stations may be placed anywhere within a licensee's 
service area so long as marine-originating traffic is given priority 
and incumbent operations are protected. It also seeks comment on its

[[Page 76967]]

proposal that licensees whose service areas encompass certain major 
waterways be required to provide coverage to those waterways, as is 
required of VHF public coast geographic licensees.
    6. The Commission proposes to authorize two geographic area 
licensees in each licensing area, with each licensee authorized to use 
one of the two AMTS frequency blocks because it concludes that this 
will promote competition in the maritime CMRS marketplace. Under this 
proposal, incumbent AMTS licensees would be permitted to operate their 
systems indefinitely, and incumbents and geographic licensees would 
have to afford each other interference protection.
    7. The Commission proposes to license HF public coast station 
radiotelephone frequency pairs individually, rather than in blocks, due 
to this frequency's propagation characteristics and insufficient 
demand.
    8. The Commission also proposes to redistribute radiotelephone 
frequency pairs by permitting MF private coast stations to use 
unassigned public coast station radiotelephone frequency pairs in the 2 
MHz band for non-CMRS services because it will promote the more 
efficient use of maritime spectrum and reduce congestion for MF private 
coast licensees.
    9. Finally, the Commission concludes that the engineering study 
requirement for new AMTS stations that are not fill-in stations should 
not be eliminated because it continues to be a critical mechanism for 
protecting television reception.

Regulatory Flexibility Analysis

    10. As required by the RFA, the Commission has prepared this 
present IRFA of the possible significant economic impact on small 
entities of the policies and rules proposed in the Third Further Notice 
of Proposed Rule Making (3rd FNPRM). Written public comments are 
requested on this IRFA. Comments must be identified as responses to the 
IRFA and must be filed by the deadlines for comments on the 3rd FNPRM 
provided in the item. The Commission will send a copy of the 3rd FNPRM, 
including this IRFA, to the Chief Counsel for Advocacy of the Small 
Business Administration. See 5 U.S.C. 603(a). In addition, the 3rd 
FNPRM and IRFA (or summaries thereof) will be published in the Federal 
Register. See id.

A. Need for, and Objectives of, the Proposed Rules

    11. Our objective is to determine whether it is in the public 
interest, convenience, and necessity to simplify our licensing process 
for AMTS and high seas public coast stations. These proposals include 
(1) converting licensing of AMTS coast station spectrum from site-based 
to geographic area licensing, (2) simplifying the AMTS licensing 
procedures and rules, (3) increasing AMTS and high seas public coast 
station licensee flexibility to provide service over a wide area, and 
(4) employing the Commission's Part 1 standardized competitive bidding 
procedures to resolve mutually exclusive applications. In addition, we 
temporarily suspend the acceptance and processing of certain AMTS and 
high seas public coast station applications because we believe that 
after the public has been placed on notice of our proposed rule 
changes, continuing to accept new applications under the current rules 
would impair the objectives of this proceeding. These proposed rules 
and actions should increase the number and types of communications 
services available to the maritime community.

B. Legal Basis:

    1. Authority for issuance of this item is contained in sections 
4(i), 4(j), 7(a), 302, 303(b), 303(f), 303(g), 303(r), 307(e), 332(a), 
and 332(c) of the Communications Act of 1934, as amended, 47 U.S.C. 
154(i), 154(j), 157(a), 302, 303(b), 303(f), 303(g), 303(r), 307(e), 
332(a), and 332(c).

C. Description and Estimate of the Number of Small Entities to Which 
the Proposed Rules Will Apply

    13. The RFA directs agencies to provide a description of and, where 
feasible, an estimate of the number of small entities that may be 
affected by the proposed rules, if adopted. The RFA generally defines 
the term ``small entity'' as having the same meaning as the terms 
``small business,'' ``small organization,'' and ``small governmental 
jurisdiction.'' In addition, the term ``small business'' has the same 
meaning as the term ``small business concern'' under the Small Business 
Act. 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 Small Business 
Administration (SBA). A small organization is generally ``any not-for-
profit enterprise which is independently owned and operated and is not 
dominant in its field.''
    14. The proposed rules would affect licensees using AMTS and high 
seas public coast spectrum. In the Third Report and Order in this 
proceeding, the Commission defined the term ``small entity'' 
specifically applicable to public coast station licensees as any entity 
employing less than 1,500 persons, based on the definition under the 
Small Business Administration rules applicable to radiotelephone 
service providers. See, Amendment of the Commission's Rules Concerning 
Maritime Communications, Third Report and Order and Memorandum Opinion 
and Order, 13 FCC Rcd 19853, 19893 (1998) (citing 13 CFR 121.201, 
Standard Industrial Classification (SIC) Code 4812). Since the size 
data provided by the Small Business Administration does not enable us 
to make a meaningful estimate of the number of AMTS and high seas 
public coast station licensees that are small businesses, we have used 
the 1992 Census of Transportation, Communications, and Utilities, 
conducted by the Bureau of the Census, which is the most recent 
information available. This document shows that only 12 radiotelephone 
firms out of a total of 1,178 such firms which operated in 1992 had 
1,000 or more employees. Thus, we estimate that no fewer than 1,166 
small entities will be affected. Any entity that is capable of 
providing radiotelephone service is eligible to hold a public coast 
license. Therefore, we seek comment on the number of small entities 
that use AMTS and high seas public coast spectrum and the number of 
small entities that are likely to apply for licenses under the various 
proposals described herein.

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

    15. We will award licenses by competitive bidding where mutually 
exclusive applications are filed. Prior to auction, all applicants, 
including small businesses, will be required to submit an FCC Form 175, 
OMB Clearance Number 3060-0600. If we use small business definitions 
for the purpose of providing bidding credits to auction participants, 
then all small businesses that choose to participate in these services 
will be required to demonstrate that they meet the criteria set forth 
to qualify as small businesses, as required under part 1, Subpart Q of 
the Commission's Rules. See 47 CFR part 1, Subpart Q. Any small 
business applicant wishing to avail itself of small business provisions 
will need to make

[[Page 76968]]

the general financial disclosures necessary to establish that the small 
business is in fact small. The estimated time for filling out an FCC 
Form 175 is 45 minutes. Each applicant will have to submit information 
regarding the ownership of the applicant, any joint venture 
arrangements or bidding consortia that the applicant has entered into, 
and, if claiming eligibility for bidding credits, financial information 
demonstrating that the applicant qualifies as a small business. 
Applicants that do not have audited financial statements available will 
be permitted to certify the validity of their financial showings. While 
many small businesses have chosen to employ attorneys prior to filing 
an application to participate in an auction, the rules are intended to 
enable a small business to file an application on its own using the 
short form application preparation guidelines that are made available 
by the Commission before any auction. When an applicant wins a license, 
it will be required to submit an FCC Form 601 license application, 
which will require technical information regarding the applicant's 
proposals for providing service and other information. This application 
will require information provided by an engineer who will have 
knowledge of the system's design. The estimated time for completing an 
FCC Form 601 is one hour and fifteen minutes.

E. Significant Alternatives Minimizing the Economic Impact on Small 
Entities

    16. The RFA requires an agency to describe any significant 
alternatives that it has considered in reaching its proposed approach, 
which may include the following four alternatives: (1) The 
establishment of differing compliance or reporting requirements or 
timetables that take into account the resources available to small 
entities; (2) the clarification, consolidation, or simplification of 
compliance or reporting requirements under the rule for small entities; 
(3) the use of performance, rather than design, standards; and (4) an 
exemption from coverage of the rule, or any part thereof, for small 
entities.
    17. In the 3rd FNPRM, the Commission proposes that the part 1 
unjust enrichment provisions will govern partitioning and 
disaggregation arrangements involving AMTS licenses owned by small 
businesses that were afforded a bidding credit and later elect to 
partition or disaggregate their licenses to an entity that does not 
qualify as a small business. The alternative to applying the unjust 
enrichment provisions would be to allow an entity who had benefited 
from the special bidding provisions for small businesses to become 
unjustly enriched by partitioning or disaggregating its licenses to 
parties that do not qualify for such benefits.
    18. The 3rd FNPRM solicits comment on a variety of alternatives set 
forth herein. Any significant alternative presented in the comments 
will be considered.

F. Federal Rules that May Duplicate, Overlap, or Conflict With the 
Proposed Rules

    None.

List of Subjects 47 CFR Parts 13 and 80

    Communications equipment, Radio.

    Federal Communications Commission.
Magalie Roman Salas,
Secretary.
[FR Doc. 00-31309 Filed 12-7-00; 8:45 am]
BILLING CODE 6712-01-U