[Federal Register Volume 85, Number 150 (Tuesday, August 4, 2020)]
[Notices]
[Pages 47209-47211]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-17058]
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FEDERAL COMMUNICATIONS COMMISSION
[GN Docket No. 18-122, IB Docket No. 20-205; DA 20-802; FRS 16974]
Wireless Telecommunications Bureau Releases Final Cost Category
Schedule for 3.7-4.2 GHz Band Relocation Expenses and Announces Process
and Deadline for Lump Sum Elections
AGENCY: Federal Communications Commission.
ACTION: Notice.
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SUMMARY: In this document, the Wireless Telecommunications Bureau
(Bureau) releases the 3.7 GHz Transition Final Cost Category Schedule
of Potential Expenses and Estimated Costs, announces the optional lump
sum payment amounts for which incumbent Fixed Satellite Service earth
station operators are eligible, and details the process and deadline
for electing to receive lump sum payments.
DATES: Optional Lump Sum Elections are due August 31, 2020.
ADDRESSES: You may submit elections, identified by IB Docket No. 20-
205, by any of the following methods:
Electronic Filers: Elections may be filed electronically
using the internet by accessing the ECFS: http://apps.fcc.gov/ecfs/ in
docket number IB 20-205.
Paper Filers: Parties who choose to file by paper must
file an original and one copy of each filing.
Filings can be sent by commercial overnight courier, or by first-
class or overnight U.S. Postal Service mail. All filings must be
addressed to the Commission's Secretary, Office of the Secretary,
Federal Communications Commission.
Commercial overnight mail (other than U.S. Postal Service
Express Mail and Priority Mail) must be sent to 9050 Junction Drive,
Annapolis Junction, MD 20701.U.S.
Postal Service first-class, Express, and Priority mail
must be addressed to 445 12th Street SW, Washington, DC 20554.
Effective March 19, 2020, and until further notice, the
Commission no longer accepts any hand or messenger delivered filings.
This is a temporary measure taken to help protect the health and safety
of individuals, and to mitigate the transmission of COVID-19. See FCC
Announces Closure of FCC Headquarters Open Window and Change in Hand-
Delivery Policy, Public Notice, DA 20-304 (March 19, 2020). https://www.fcc.gov/document/fcc-closes-headquarters-open-window-and-changes-hand-delivery-policy.
During the time the Commission's building is closed to the
general public and until further notice, if more than one docket or
rulemaking number appears in the caption of a proceeding, paper filers
need not submit two additional copies for each additional docket or
rulemaking number; an original and one copy are sufficient.
FOR FURTHER INFORMATION CONTACT: Susan Mort, Wireless
Telecommunications Bureau, at [email protected] or 202-418-2429.
SUPPLEMENTARY INFORMATION: This is a summary of the Commission's
document (Public Notice), GN Docket No. 18-122, IB Docket No. 20-205;
DA 20-802, released on July 30, 2020. The complete text of this
document and the attached Cost Catalog is available on the Commission's
website at https://www.fcc.gov/document/wtb-releases-final-c-band-cost-category-and-lump-sum-public-notice or by using the search function for
GN Docket No. 18-122 or IB Docket No. 20-205 on the Commission's ECFS
web page at www.fcc.gov/ecfs.
Pursuant to Sec. Sec. 1.415 and 1.419 of the Commission's rules,
47 CFR 1.415, 1.419, interested parties may file elections on or before
the date indicated on the first page of this document.
People with Disabilities: To request materials in accessible
formats for people with disabilities (braille, large print, electronic
files, audio format), send an email to [email protected] or call the
Consumer & Governmental Affairs Bureau at 202-418-0530 (voice), 202-
418-0432 (tty).
Synopsis
With the Public Notice, the Wireless Telecommunications Bureau (the
Bureau) releases the 3.7 GHz Transition Final Cost Category Schedule of
Potential Expenses and Estimated Costs (Cost Catalog), announces the
optional lump sum payment amounts for which incumbent Fixed Satellite
Service (FSS) earth station operators are eligible, and provides the
process and deadline for electing to receive lump sum payments.
In the 3.7 GHz Band Report and Order, the Commission adopted rules
to make 280 megahertz of mid-band spectrum available for flexible use,
plus a 20 megahertz guard band, throughout the contiguous United States
by transitioning existing services out of the lower portion and into
the upper 200 megahertz of the C-band. The 3.7 GHz Report and Order
established that new 3.7 GHz Service licensees will reimburse the
reasonable relocation costs of eligible incumbents, including incumbent
FSS earth station operators, to transition to the upper 200 megahertz
of the band. The 3.7 GHz Report and Order established that incumbent
FSS earth station operators may either accept: (1) Reimbursement for
their actual reasonable relocation costs by maintaining satellite
reception; or (2) a lump sum reimbursement ``based on the average,
estimated costs of relocating all of their incumbent earth stations''
to the upper 200 megahertz of the C-band. The 3.7 GHz Report and Order
directed the Bureau to establish a cost category schedule of the types
of expenses that incumbents may incur.
The Commission engaged a third-party contractor, RKF Engineering
Solutions, LLC (RKF), to assist in identifying costs that incumbents
might incur and to assist with the development of a cost category
schedule. With assistance from RKF, the Bureau developed the 3.7 GHz
Transition Preliminary Cost Category Schedule of Potential Expenses and
Estimated Costs (Preliminary Cost Catalog), which proposed classes of
earth stations eligible for lump sum payments but did not specify the
amounts. The Bureau sought comment on the earth station classes and
specific costs and prices that should ultimately be included in the
lump sums in the Cost Catalog Public Notice. In response, commenters
proposed additional classes of earth stations, including a separate
category for multichannel video programming distributor (MVPD) earth
stations. Some commenters offered methodologies for calculating the
lump sum amounts and proposed lump sum amounts. Commenters also
identified additional transition costs to be included in the
calculation, such as modulation and encoding technology.
After considering the comments received in response to the Cost
Catalog Public Notice, the Bureau, with assistance from RKF, has
updated the classes of earth stations and developed proposed lump sum
amounts for each class of earth station. After review of the record,
the Bureau issued the Lump Sum Comment Public Notice seeking further
comment on a revised list of earth station classes, preliminary lump
sum payment amounts, and the
[[Page 47210]]
methodology for calculating those amounts. After considering the
comments in response to the Cost Catalog Comment Public Notice and the
Lump Sum Comment Public Notice, the Bureau now releases the final Cost
Catalog and lump sum payment amounts.
Final Cost Catalog. The Public Notice provides clarification and
additional information on how reimbursement payments and lump sum
amounts should be counted and on how to use the Cost Catalog. The
Public Notice also describes several updates to the cost items and
tables contained in the Cost Catalog that the Bureau, with assistance
from RKF, determines to be expenses that incumbents are likely to incur
in a typical transition. For example, in response to information from
commenters, the Bureau clarifies or adds daily or monthly rental
expenses for various items that we expect would be incurred in a
typical transition. The final Cost Catalog also includes additional
technical equipment components that were not originally included in the
tables, but that parties persuasively argue are likely to be necessary
to complete the transition. The final Cost Catalog also updates the
cost estimates previously included in the preliminary cost catalog to
account for reasonable changes proposed by commenters.
Lump Sum Payments. The Cost Catalog sets forth the amounts that
will be available to incumbent earth station operators electing to
receive a lump sum payment in place of their actual reasonable
relocation costs. Consistent with the 3.7 GHz Report and Order, the
lump sum payment amounts are based on the average, estimated costs of
transitioning incumbent earth stations to the upper 200 megahertz of
the C-band. Consistent with the Bureau's proposed approach in the Lump
Sum Comment Public Notice, the Public Notice and final Cost Catalog
continue to use a variation of an expected value approach to calculate
both the base lump sum payments as well as the technology upgrade
installation costs for MVPD incumbent earth stations. Specifically, for
both the base lump sum payments (for all antenna types) and for the
per-site MVPD technology upgrade installation payment, where we
determine that a cost would be part of a typical transition for a
particular antenna type or class of earth station and not an outlier
(in other words, where it meets a minimum threshold of likelihood that
it would be incurred in a typical transition), we multiply the average
estimated cost (calculated as the average of the range of costs
included in the Cost Catalog) for that particular cost item by the
probability that the particular antenna type or class of earth station
is likely to incur it. While the methodology for calculating lump sums
generally remains the same as described in the Lump Sum Comment Public
Notice, such methodology accounts for the updates to the lump sum
categories and amounts made in response to comments on the Lump Sum
Comment Public Notice.
The lump sum amounts for all MVPD incumbent earth stations include
the average, estimated costs associated with installing any necessary
compression-related technology upgrades at an MVPD earth station site,
but they do not include the cost to purchase the integrated receivers/
decoders or transcoders for those technology upgrades. After review of
the record, the Bureau finds that the selection and purchase of
compression equipment for these technology upgrades--such as integrated
receivers/decoders and transcoders--are an integral part of the
satellite operators' nationwide transition process and, as such, they
should be considered as part of the cost associated with the transition
of satellite transponders. Thus, satellite operators, in cooperation
with programmers, will be responsible for selecting, purchasing, and
delivering the necessary compression equipment to respective earth
stations. In contrast, the costs associated with physically installing
the compression equipment at the earth station site are more
appropriately assigned to the earth station operator (and are thus
included in the MVPD lump sum amount), given that a satellite operator
will not usually have direct access to an earth station site, and the
earth station owner will be the one exercising direct control over that
process. Accordingly, all MVPD earth station operators that elect the
lump sum will receive the relevant lump sum base amounts, including the
estimated costs to install integrated receivers/decoders and
transcoders (including labor, cabling, and any necessary equipment for
such installation, as described in more detail below). The installation
costs for technology upgrades will be available to all MVPD earth
station operators that elect the lump sum.
The Public Notice makes further updates to the lump sum categories,
which are included in the Lump Sum Table of the Cost Catalog, to
address additional information and arguments that commenters raise
regarding the expected transition process. The Bureau clarifies that
the lump sum base payments in the Lump Sum Table refer to each
operational and registered antenna or dish at an incumbent earth
station site (i.e., each operational and registered antenna or dish
included in an earth station IBFS registration, consistent with the
requirements in the 3.7 GHz Report and Order), with the above-described
exception for MVPD technology upgrade installation lump sum claims
(which are available on a per-site basis). Accordingly, an incumbent
earth station operator's lump sum payments for each incumbent earth
station site will be calculated by the amount listed in the Lump Sum
Table for the relevant antenna multiplied by the number and type of
antennas or dishes properly included in that incumbent earth station
site's registration (and for MVPDs, will include the per-site
technology upgrade installation amount). For example, if an incumbent
earth station registration has two registered antennas that are
``receive only ES single-feed,'' an incumbent earth station operator
would be eligible to receive the lump sum listed in the Lump Sum Table
for both registered antennas associated with that particular earth
station site (or registration), although only one technology upgrade
installation payment (if the earth station operator is an MVPD).
The final Cost Catalog includes additional cost items in the lump
sum amounts where the Bureau determined that those cost items are part
of a typical transition for the relevant earth station class. For
example, in response to information from commenters, the Bureau updates
the lump sum base amounts to include application modification fees, the
cost to purchase and install new feed horns on some dishes, as well as
costs associated with system integration of modified earth stations.
The Bureau also updates the base lump sum amounts for single-feed,
multi-feed, and multi-beam antennas based on additional information in
the record that demonstrates the likelihood that those antennas may
require repointing to a different satellite and dual illumination
during the transition. First, the Bureau increases the base lump amount
for single-feed antennas to account for the costs of repointing to a
different satellite (including dual illumination costs), which were not
previously included in the proposed lump sum amount for that class of
antennas. Second, based on information in the record, he Bureau adjusts
the lump sum amounts for multi-feed and multi-beam antennas to account
for a lower percentage of those antennas
[[Page 47211]]
needing dual illumination than previously estimated.
Finally, the Public Notice establishes the process for electing
lump sum payments. Consistent with the 3.7 GHz Report and Order,
incumbent earth station owners must make their lump sum payment
election no later than August 31, 2020. Because IBFS registrations do
not contain sufficient information to determine the classes of earth
stations/antennas that are registered at each earth station site or to
determine whether an earth station site is an MVPD earth station, the
Bureau requires earth station owners to certify that the information
they provide in their lump sum election--including the antenna type and
class of earth station--is accurate to the best of their knowledge.
Incumbent earth station owners choosing the lump sum election must
file in IB Docket No. 20-205, with the following information for each
of that operator's incumbent earth station sites:
1. Licensee/Registrant/Applicant Name,
2. Earth Station Callsign,
3. Site ID,
4. Antenna ID,
5. Number of antennas associated with that Antenna ID,
6. Site address,
7. GPS coordinates of the earth station,
8. File Number(s) of current authorization and/or pending
application,
9. Confirmation that the earth station meets the definition of
incumbent earth station under 47 CFR 27.1411(b)(3) and 25.138(c),
including indication of whether earth station appears on the
International Bureau's final list of eligible earth stations,\1\
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\1\ See International Bureau Releases Preliminary List of
Incumbent Earth Stations in the 3.7-4.2 GHz Band in the Contiguous
United States, Public Notice, DA 20-703, at 1-2 (IB July 6, 2020).
We note that the International Bureau will have released the final
list of incumbent earth stations prior to the election deadline.
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10. Category of lump sum election for each registered antenna at
that registered earth station site (e.g. Receive Only ES Single-feed;
Receive Only ES Multi-feed; Small Multi-beam (2-4 beams) ES, etc.),
11. Whether earth station site is an MVPD earth station site (to
claim the per-site technology upgrade installation amount),
12. Total lump sum amount claimed for that earth station
(calculated by the number of registered antennas at that incumbent
earth station multiplied by the relevant lump sum base amount, plus
technology upgrade installation amount if MVPD), and
13. Whether the incumbent earth station will be transitioned to the
upper 200 megahertz in order to maintain C-band services or will
discontinue C-band services.
The lump sum election must include a certification from the
incumbent earth station owner (if an individual) or a duly authorized
representative with authority to bind the station, which certifies to
the following:
1. That the information contained in the lump sum election is true
and accurate to the best of the incumbent earth station owner (if an
individual) or duly authorized representative knowledge;
2. That all earth stations for which the lump sum is being elected
will not have ceased operation more than 90 days before the deadline
for the lump sum election;
3. That, if the incumbent earth station owner intends to continue
to receive content from a satellite operator after the transition at
any of its earth station antennas, it accepts responsibility for
undertaking the necessary transition actions in accordance with the
timelines set forth in the satellite operators' Transition Plans;
4. That the incumbent earth station owner agrees to coordinate with
the relevant space station operator as necessary to complete the
transition;
5. An irrevocable release of claims for reimbursement for actual
reasonable relocation costs from the Relocation Payment Clearinghouse,
eligible satellite operators, or video programmers; and
6. An irrevocable release of claims against the payor and/or
Commission with respect to any dispute about the amount received.
Federal Communications Commission.
Amy Brett,
Chief of Staff, Competition and Infrastructure Policy Division,
Wireless Telecommunications Bureau.
[FR Doc. 2020-17058 Filed 8-3-20; 8:45 am]
BILLING CODE 6712-01-P