Before the

**Federal Communications Commission**

**Washington, D.C. 20554**

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| In the Matter of                 | *  | WT Docket No. 96-18          |
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| Revision of Part 22 and Part 90  | ** | PR Docket No. 93-253         |
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| Of the Commission's Rules to     | *  |                              |
| Facilitate                       | *) |                              |
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| Future Development of Paging     |    |                              |
| Systems                          | *  |                              |
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| Implementation of Section 309(j) | ** |                              |
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| Of the Communications Act --     | *  |                              |
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| Competitive Bidding              | ** |                              |
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**ORDER**

**Adopted: November 13, 2001 Released: November 14, 2001**

By the Deputy Chief, Commercial Wireless Division, Wireless
Telecommunications Bureau:

# introduction

1.  Under the Commission's current interim licensing rules for lower
    band shared paging channels and the five 929 MHz shared paging
    channels (Shared Paging Channels), incumbent licensees may file
    applications for new sites at any location. Non-incumbent entities
    may file applications on these Shared Paging Channels, but only for
    private, internal-use systems. In its *Third Report and Order* in
    this proceeding, the Commission directed the Wireless
    Telecommunications Bureau (Bureau) to remove these interim licensing
    rules as applied to Shared Paging Channels once warning language
    about the consequences of failing to meet construction requirements
    had been added to FCC Form 601, the Application for Wireless
    Telecommunications Bureau Radio Service Authorization.[^1] Having
    added the language to FCC Form 601, by this Order, we remove the
    Commission's interim licensing rules with respect to filing
    applications for licenses at new sites on the Shared Paging
    Channels. Any qualified entity may submit applications for licenses
    on these channels at any location, effective upon publication of
    this Order in the Federal Register.

# interim licensing RULES and fcc form 601 fraud-warning language

2.  In early 1996, the Commission suspended acceptance of new
    applications for paging channels during the pendency of its
    rulemaking proceeding to establish geographic area licensing and
    competitive bidding rules for paging services.[^2] Mindful, however,
    that an across-the-board freeze on applications might impair the
    ability of licensees to maintain adequate services for their
    customers, the Commission established interim licensing rules
    initially permitting non-nationwide incumbent licensees to add sites
    to existing systems or modify existing sites, provided the additions
    or modifications did not expand the composite interference contour
    of the licensee's existing system.[^3]

3.  Later that same year, in its *First Report and Order*, the
    Commission affirmed its decision to maintain the freeze on paging
    applications and to retain the interim licensing rules.[^4] The
    Commission, in large part, based its decision to maintain the freeze
    and, specifically, the limitation on incumbent applications under
    the interim licensing rules on its concern that lifting the freeze
    or allowing non-incumbents to file applications on either exclusive
    frequencies or the Shared Paging Channels would lead to a flood of
    speculative applications and increase opportunities for application
    mills to promote fraudulent investment schemes.[^5] The Commission,
    however, did relax the interim licensing rules to allow
    non-nationwide incumbent licensees on exclusive frequencies or the
    Shared Paging Channels to file applications for new sites outside
    the licensee's composite interference contour. Proposed sites that
    would expand a service area contour had to be located within
    forty (40) miles of a site for which the licensee had filed an
    application.[^6] The Commission further exempted Special Emergency
    Radio Service providers from the paging freeze, allowing those
    providers to file applications on the Shared Paging Channels.[^7]

4.  In 1997, in the *Second Report and Order and Further Notice of
    Proposed Rulemaking*, the Commission concluded that the Shared
    Paging Channels should not be subject to geographic area licensing
    or competitive bidding procedures.[^8] Still concerned about
    consumer fraud and license application speculation on those
    channels,[^9] however, the Commission sought comment on how to
    change licensing and frequency coordination procedures to resolve
    the problems of consumer fraud and speculative applications.[^10]
    Pending resolution of these issues, and out of caution, the
    Commission required new applications filed for the Shared Paging
    Channels to continue to be processed under the interim licensing
    rules.[^11] The Commission, however, again relaxed the interim
    licensing rules by eliminating the 40-mile requirement and allowing
    incumbents to file for new sites on the Shared Paging Channels at
    any location.[^12] The Commission also affirmed its decision to
    allow new applicants to file applications for private, internal-use
    systems.[^13] While the interim licensing rules as developed in
    Commission decisions apply to all of the Shared Paging Channels, the
    *Second Report and Order* specifically revised Section 90.494(g) of
    the Commission's rules to reflect the interim licensing rules for
    purposes of the five 929 MHz shared paging channels.[^14]

5.  In the *Third Report and Order*, the Commission considered the many
    comments filed on the issue of application fraud. In response, it
    determined that adding language to FCC Form 601 warning applicants
    that failure of a licensee to meet construction or coverage
    requirements would result in termination of the license would be
    generally helpful to applicants in all services and might also help
    deter fraud.[^15] The Commission directed the Bureau to remove the
    interim licensing rules for the Shared Paging Channels, including
    Section 90.494(g) of its rules, once the warning language was added
    to FCC Form 601.[^16]

# lifting the freeze on applications for licenses on the shared paging channels

6.  As of November 9, 2001, the following warning language has been
    added near the signature block on the FCC Form 601 application in
    Universal Licensing System (ULS), as well as the FCC Form 601
    available through Fax-on-Demand and the Bureau's website:

> Upon grant of this license application, the licensee may be subject to
> certain construction or coverage requirements. Failure to meet the
> construction or coverage requirements will result in termination of
> the license. Consult appropriate FCC regulations to determine the
> construction or coverage requirements that apply to the type of
> license requested in this application.

7.  We have initiated the process for printing new paper copies of FCC
    Form 601 that contain the warning language, but those copies will
    not be available to the public for several weeks. As already noted,
    where paper copies of FCC Form 601 may be used or are needed,
    updated applications containing the warning language can be obtained
    from Fax-on-Demand (202-418-2830) or are currently available for
    downloading from <http://www.fcc.gov/wtb/csinfo/orderfrm.html>.[^17]
    We also note that applications for new licenses on Shared Paging
    Channels must be filed through certified land mobile frequency
    coordinators. We have provided the updated version of FCC Form 601
    to each coordinator and have encouraged them to point out the new
    warning language to applicants for the Shared Paging Channels.

8.  Having added the warning language to FCC Form 601, we eliminate the
    interim licensing rules that have applied to lower band shared
    paging channels and the five 929 MHz shared paging channels.
    Accordingly, pursuant to the *Third Report and Order*, we remove the
    interim licensing rules developed through Commission decisions as
    well as Section 90.494(g) of the Commission's rules as applied to
    the Shared Paging Channels.[^18] Any qualified entity may file an
    application for a license on the Shared Paging Channels for new
    sites at any location, effective upon publication of this Order in
    the Federal Register. Applications for new sites filed on these
    Shared Paging Channels continue to require frequency coordination
    prior to filing the applications with the Commission.

# procedural matters and ordering clauses

9.  Accordingly, IT IS ORDERED pursuant to Sections 4(i), 303(r), and
    332 of the Communications Act of 1934, as amended, 47 U.S.C. §§
    154(i), 303(r), 332, and the *Third Report and Order*, that the
    Commission's interim licensing rules as applied to the Shared Paging
    Channels ARE ELIMINATED and Section 90.494(g) of the Commission's
    rules, 47 C.F.R. § 90.494(g), IS REMOVED as set forth in Appendix A.

10. IT IS FURTHER ORDERED that this action is taken pursuant to the
    *Third Report and Order* and the authority delegated in Section
    0.331 of the Commission's rules, 47 C.F.R. § 0.331.

11. IT IS FURTHER ORDERED that the provisions of this *Order* and the
    Commission's rules, as amended in Appendix A, SHALL BECOME EFFECTIVE
    upon publication of this *Order* in the Federal Register in
    accordance with Section 1.103 of the Commission's rules, 47 C.F.R. §
    1.103.

    FEDERAL COMMUNICATIONS COMMISSION

    Katherine M. Harris

    Deputy Chief, Commercial Wireless Division

    Wireless Telecommunications Bureau

    **APPENDIX A**

    Part 90 of Chapter 1 of Title 47 of the Code of Federal Regulations
    is amended as follows:

    1\. The authority citation for Part 90 continues to read as follows:

    AUTHORITY: Section 4(i), 11, 303(g), 303(r), and 332(c)(7) of the
    Communications Act of 1934, as amended, 47 U.S.C. 154(i), 161,
    303(g), 303(r), 332(c)(7).

    § 90.494 \[Amended\]

    2\. Paragraph (g) of Section 90.494 is removed.

[^1]: *In re* Revision of Part 22 and Part 90 of the Commission's Rules
    to Facilitate Future Development of Paging Systems, WT Docket No.
    96-18, *Memorandum Opinion and Order on Reconsideration and Third
    Report and Order*, 14 FCC Rcd 10030, 10113, ¶ 164, 10115, ¶ 167
    (1999) (*Third Report and Order*).

[^2]: *In re* Revision of Part 22 and Part 90 of the Commission's Rules
    to Facilitate Future Development of Paging Systems, WT Docket No.
    96-18, *Notice of Proposed Rulemaking*, 11 FCC Rcd 3108, 3136, ¶ 139
    (1996) (*Notice*). Channels allocated on a nationwide exclusive
    basis were exempt from this restriction. *Id*. at 3137, ¶ 142.

[^3]: *Notice*, 11 FCC Rcd at 3136, ¶ 140.

[^4]: *In re* Revision of Part 22 and Part 90 of the Commission's Rules
    to Facilitate Future Development of Paging Systems, WT Docket No.
    96-18, *First Report and Order*, 11 FCC Rcd 16570, 16581, ¶ 19
    (1996) (*First Report and Order*).

[^5]: *First Report and Order*, 11 FCC Rcd at 16581, ¶ 19, 16584, ¶ 27,
    16585-86, ¶¶ 30-32.

[^6]: *First Report and Order*, 11 FCC Rcd at 16583, ¶ 26, *modified*
    *on reconsideration*, 11 FCC Rcd 7409, 7411, ¶ 4 (1996). Under this
    40-mile requirement, the application for the original site must have
    been filed as of September 30, 1995. *Order on Reconsideration of
    the First Report and Order*, 11 FCC Rcd at 7411, ¶ 4.

[^7]: *First Report and Order*, 11 FCC Rcd at 16588, ¶ 38.

[^8]: *In re* Revision of Part 22 and Part 90 of the Commission's Rules
    to Facilitate Future Development of Paging Systems, WT Docket No.
    96-18, *Second Report and Order and Further Notice of Proposed
    Rulemaking*, 12 FCC Rcd 2732, 2756-57, ¶¶ 40-42 (1997) (*Second
    Report and Order and Further Notice of Proposed Rulemaking*).

[^9]: *Second Report and Order and Further Notice of Proposed
    Rulemaking*, 12 FCC Rcd at 2756-57, ¶¶ 40-42.

[^10]: *Second Report and Order and Further Notice of Proposed
    Rulemaking*, 12 FCC Rcd at 2757, ¶ 43, 2826, ¶¶ 219-220.

[^11]: *Second Report and Order and Further Notice of Proposed
    Rulemaking*, 12 FCC Rcd at 2737, ¶ 2, 2757, ¶ 43. More specifically,
    the Commission determined that all pending mutually exclusive
    applications would be dismissed; all non-mutually exclusive
    applications filed on or before July 31, 1996, would be processed;
    and all applications, other than applications on nationwide
    frequencies and the Shared Paging Channels, filed after July 31,
    1996, would be dismissed. *Id*. at 2737, ¶ 2. *See also* FCC
    Clarifies Processing of License Applications Under Interim Licensing
    Paging Rules, *Public Notice*, 11 FCC Rcd 7032 (1996) (stating that
    the Bureau would process all applications filed through July 31,
    1996, under the interim licensing rules and determine how
    applications filed after that date would be processed based on the
    timing of the final order in this proceeding).

[^12]: *Second Report and Order and Further Notice of Proposed
    Rulemaking*, 12 FCC Rcd at 2757, ¶ 43.

[^13]: *Second Report and Order and Further Notice of Proposed
    Rulemaking*, 12 FCC Rcd at 2757, ¶ 43.

[^14]: *Second Report and Order and Further Notice of Proposed
    Rulemaking*, 12 FCC Rcd at 2856. Section 90.494(g) states that
    "\[l\]icenses may be granted on these shared paging channels
    \[929.0375, 929.0625, 929.0875, 929.1625, 929.2625\] only for
    expansion (addition of new sites or relocation of existing sites) or
    other modification, assignment or transfer of control of existing,
    licensed private (including Special Emergency Radio Service) or
    commercial paging systems, and for new private (including Special
    Emergency Radio Service), internal-use paging systems. Any
    application for authority to operate a new commercial paging system
    on any of these shared channels is unacceptable for filing." 47
    C.F.R. § 90.494(g).

[^15]: *Third Report and Order*, 14 FCC Rcd at 10113, ¶ 164.

[^16]: *Third Report and Order*, 14 FCC Rcd at 10115, ¶ 167.

[^17]: The FCC Form 601 is also available from
    <http://www.fcc.gov/wtb/formpage.html>.

[^18]: *Third Report and Order*, 14 FCC Rcd at 10117, ¶ 178.