DA 00-2259
October 5, 2000

C AND F BLOCK BROADBAND PCS SPECTRUM AUCTION 
SCHEDULED FOR DECEMBER 12, 2000

Notice and Filing Requirements for 422 Licenses in the 
C and F Block Broadband PCS Spectrum Auction 

Minimum Opening Bids, Upfront Payments and Other Procedural Issues 
For Final Auction Inventory
Report No. AUC-00-35-E (Auction No. 35)

I.	General Information	1
A.	Introduction	1
1.	Background of Proceeding	1
2.	Licenses to Be Auctioned	2
B.	Rules and Disclaimers	3
1.	Relevant Authority	3
2.	Prohibition of Collusion	4
3.	Due Diligence	5
4.	Clarification of Payment Issue Relating to Licenses Subject to Pending 
Proceedings	6
5.	Bidder Alerts	7
6.	National Environmental Policy Act ("NEPA") Requirements	8
C.	Auction Specifics	8
1.	Auction Date	8
2.	Auction Title	9
3.	Bidding Methodology	9
4.	Pre-Auction Dates and Deadlines	9
5.	Requirements For Participation	9
6.	General Contact Information	10
II.	SHORT-FORM (FCC FORM 175) APPLICATION REQUIREMENTS	11
A.	Ownership Disclosure Requirements (FCC Form 175 Exhibit A)	11
B.	Consortia And Joint Bidding Arrangements (FCC Form 175 Exhibit B)	11
C.	Eligibility	12
1.	Eligibility for Closed Bidding (FCC Form 175 Exhibit C)	12
2.	Small Business Bidding Credit Eligibility (FCC Form 175 Exhibit D)	12
3.	Tribal Land Bidding Credit	13
4.	Applicability of Part 1 Attribution Rules	13
5.	Application Showing	14
D.	Special C Block Eligibility Restriction Regarding Surrendered C Block Licenses	15
E.	Provisions Regarding Defaulters and Former Defaulters	16
F.	Transfer and Assignment Restrictions on Licenses Won in Closed Bidding	17
G.	Unjust Enrichment Payments	17
H.	Installment Payments	17
I.	Other Information (Form 175 Exhibits G and H)	17
J.	Minor Modifications to Short-Form Applications (FCC Form 175)	17
K.	Maintaining Current Information in Short-Form Applications (FCC Form 175)	18
III.	PRE-AUCTION PROCEDURES	18
A.	Auction Seminar	18
B.	Short-Form Application (FCC Form 175) - Due November 6, 2000	18
1.	Electronic Filing	18
2.	Completion of the FCC Form 175	19
3.	Electronic Review of FCC Form 175	19
C.	Application Processing and Minor Corrections	19
D.	Upfront Payments - Due November 27, 2000	19
1.	Making Auction Payments by Wire Transfer	20
2.	FCC Form 159	20
3.	Amount of Upfront Payment	21
4.	Applicant's Wire Transfer Information for Purposes of Refunds for 
Upfront Payments	22
E.	Auction Registration	23
F.	Remote Electronic Bidding Software	23
G.	Mock Auction	24
IV.	AUCTION EVENT	24
A.	Auction Structure	24
1.	Simultaneous Multiple Round Auction	24
2.	Maximum Eligibility and Activity Rules	24
3.	Activity Rule Waivers and Reducing Eligibility	25
4.	Auction Stages	26
5.	Stage Transitions	27
6.	Auction Stopping Rules	27
7.	Auction Delay, Suspension, or Cancellation	28
B.	Bidding Procedures	29
1.	Round Structure	29
2.	Reserve Price or Minimum Opening Bid	29
3.	Bid Increments and Minimum Accepted Bids	31
4.	High Bids	32
5.	Bidding	32
6.	Bid Removal and Bid Withdrawal	33
7.	Round Results	35
8.	Auction Announcements	35
9.	Maintaining the Accuracy of FCC Form 175 Information	35
V.	POST-AUCTION PROCEDURES	35
A.	Down Payments and Withdrawn Bid Payments	35
B.	Long-Form Application	36
C.	Tribal Land Bidding Credit	36
D.	Auction Discount Voucher	36
E.	Default and Disqualification	37
F.	Refund of Remaining Upfront Payment Balance	37
VI.	Attachment A	A-1
VII.	Attachment B	B-1
VIII.	Attachment C	C-1
IX.	Attachment D	D-1
X.	Attachment E	E-1
XI.	Attachment F	F-1
XII.	Attachment G	G-1
XIII.	Attachment H	H-1
XIV.	Attachment I	I-1



I. GENERAL INFORMATION
A. Introduction
By this public notice, the Wireless Telecommunications Bureau ("Bureau") announces the procedures 
and minimum opening bids for the upcoming auction of broadband Personal Communications Services 
(PCS) spectrum in the C and F blocks (Auction No. 35) scheduled for December 12, 2000.  This public 
notice also provides the final inventory of licenses to be made available for this auction; we will not add 
to this inventory for the December 12, 2000, auction.

On March 3, 2000, in accordance with the Balanced Budget Act of 1997,  the Bureau released a public 
notice seeking comment on reserve prices or minimum opening bids and the procedures to be used in 
Auction No. 35.   After the release of C/F Block Sixth Report and Order,  the Bureau released a second 
public notice on September 6, 2000, revising the list of licenses available, and again seeking comment on 
reserve prices or minimum opening bids and the procedures to be used in Auction No. 35.   The Bureau 
received seven comments and two reply comments in response to the Auction No. 35 Public Notice,  and 
three comments and two reply comments in response to the Auction No. 35 Comment Public Notice. 

1. Background of Proceeding
Auction No. 35 will be the fourth auction of C block spectrum and the third auction of F block spectrum. 
In the past, these spectrum blocks were designated by the Commission as "entrepreneurs' blocks," 
meaning that participation in auctions of C and F block licenses was limited to entities qualifying under 
the Commission's rules as entrepreneurs.  The initial C block licenses were awarded through two 
auctions, Auction No. 5, which ended on May 6, 1996, and Auction No. 10, which concluded on July 16, 
1996.  Auction No. 11, the initial F block auction, ended on January 14, 1997, and also included D and E 
block licenses.  Auction No. 22, which concluded on April 15, 1999, made available C, E and F block 
licenses that had been returned to, or reclaimed by, the Commission. 

On August 29, 2000, the Commission released the C/F Block Sixth Report and Order, revising the 
service and auction rules for auction of C and F block PCS licenses. The Commission decided to 
reconfigure each 30 MHz C block license available in Auction No. 35 and other future broadband PCS 
auctions into three 10 MHz C block licenses.   The Commission also divided Basic Trading Areas 
("BTAs") into two tiers according to the population size, with Tier 1 comprising markets with population 
at or above 2.5 million, based on 1990 census figures, and Tier 2 comprising the remaining markets.  The 
Commission decided that some licenses would be available to all bidders in "open" bidding, while other 
licenses would be available only to entrepreneurs in "closed" bidding.  The Commission established open 
bidding for all C and F block licenses available but unsold in Auction No. 22 or any subsequent auction.  
The Commission also established open bidding for the following licenses:  two of the three reconfigured 
10 MHz C block licenses in Tier 1, one of the three reconfigured 10 MHz C block licenses in Tier 2, the 
15 MHz C block licenses in Tier 1, and all F block licenses (Tier 1 and Tier 2).   The Commission 
established small and very small business bidding credits of 15 percent and 25 percent, respectively, for 
licenses won in open bidding and eliminated bidding credits for licenses won in closed bidding.  
Additionally, the Commission removed from its rules the Section 24.710 license cap, which had 
prohibited an applicant from winning more than 98 of the licenses available in the C and F blocks.  
Finally, the Commission decided that the Commercial Mobile Radio Services spectrum cap would 
continue to apply to C and F block licenses, including those won in Auction No. 35.

2. Licenses to Be Auctioned
The 422 licenses available in Auction No. 35 cover 195 various Basic Trading Areas (BTAs) and consist 
of 312 C block 10 MHz licenses, 43 C block 15 MHz licenses, and 67 F block 10 MHz licenses. As 
stated, the BTAs are divided into two tiers according to the population size, with Tier 1 comprising 
markets with population at or above 2.5 million, and Tier 2 comprising the remaining markets.  There 
will be 252 licenses open to all bidders in "open" bidding, while 170 licenses will only be available to 
entrepreneurs in "closed" bidding.

The following table contains the Block/Eligibility Status/Frequency Cross Reference List for Auction 
No. 35:


Channel
Block
Eligibility Status
Bandwidth 
(MHz)
Frequencies

Tier 1
Tier 2


C1
[Open]
Closed
15
1902.5-1910, 1982.5-1990
C2
[Open]
Closed*
15
1985-1902.5, 1975-1982.5
C3
Closed*
Closed*
10
1895-1900, 1975-1980
C4
Open
Closed*
10
1900-1905, 1980-1985
C5
Open
Open
10
1905-1910, 1985-1990
F
Open
Open
10
1890-1895, 1970-1975

Note:  Brackets indicate that no licenses of the particular tier/channel block combination will be 
available in Auction No. 35.
*  The entrepreneur eligibility restriction does not apply to licenses that were available but unsold 
in Auction No. 22.  Tier 2 C2 licenses are classified as closed, but all of the C2 licenses available 
in Auction No. 35 were available but unsold in Auction No. 22 and are therefore open to all 
bidders.  Certain C block licenses were also available but unsold in Auction No. 22 (as 30 MHz 
licenses), and the corresponding C3 and C4 licenses are therefore open to all bidders.

A complete list of licenses available for Auction No. 35 is included as Attachment A.  The attachment 
specifies the eligibility status of each license.

AT&T proposes switching the eligibility status of the C3 and C5 blocks, thereby making all of the C3 
licenses open to all bidders. AT&T argues that the C3 block should be open rather than the C5 block, 
because that would afford AT&T and other bidders the opportunity to obtain 20 MHz of contiguous 
spectrum.    We note that granting AT&T's request would be contrary to the Commission's recently 
adopted rules on the location of open and closed blocks of C block spectrum.  As the Commission 
indicated in the C/F Block Sixth Report and Order, it placed the closed band(s) next to the F block 
spectrum in order that entrepreneurs aggregating newly acquired closed 10 MHz C block licenses with F 
block licenses might enjoy reduced base station facilities costs and simplified maintenance 
requirements.   Accordingly, we will not make the change requested by AT&T.

B. Rules and Disclaimers
1. Relevant Authority
Prospective bidders must familiarize themselves thoroughly with the Commission's rules relating to 
Broadband PCS, contained in Title 47, Part 24 of the Code of Federal Regulations, and those relating to 
application and auction procedures, contained in Title 47, Part 1 of the Code of Federal Regulations.

Prospective bidders must also be thoroughly familiar with the procedures, terms and conditions 
(collectively, "Terms") contained in this public notice; the Auction No. 35 Comment Public Notice; the 
C/F Block Sixth Report and Order; the Part 1 Fifth Report and Order; the C Block Second Report and 
Order;  the C Block Reconsideration Order;  the C Block Fourth Report and Order;  Part 24, Subparts 
A, B, C, E, H, and I, of the Commission's Rules concerning broadband PCS; and Part 1, Subpart Q, of 
the Commission's Rules concerning competitive bidding proceedings. 

The terms contained in the Commission's rules, relevant orders, and public notices are not negotiable.  
The Commission may amend or supplement the information contained in our public notices at any time, 
and will issue public notices to convey any new or supplemental information to bidders.  It is the 
responsibility of all prospective bidders to remain current with all Commission rules and with all public 
notices and pronouncements, including orders on delegated authority or by the Commission relevant to 
one or more of the licenses or otherwise pertaining to this auction.  Copies of most Commission 
documents, including public notices, can be retrieved from the FCC Internet node via anonymous ftp at 
ftp://fcc.gov or the FCC Auctions World Wide Web site at http://www.fcc.gov/wtb/auctions.  
Additionally, documents may be obtained for a fee by calling the Commission's copy contractor, 
International Transcription Service, Inc. ("ITS"), at (202) 314-3070.  When ordering documents from 
ITS, please provide the appropriate FCC number (for example, FCC 00-313 for the C/F Block Sixth 
Report and Order).  See also Due Diligence section below.

2. Prohibition of Collusion
To ensure the competitiveness of the auction process, the Commission's rules prohibit applicants for the 
same geographic license area from communicating with each other during the auction about bids, bidding 
strategies, or settlements.   This prohibition begins at the short-form application filing deadline and ends 
at the down payment deadline after the auction.  Bidders competing for licenses in the same geographic 
license areas are encouraged not to use the same individual as an authorized bidder.  A violation of the 
anti-collusion rule could occur if an individual acts as the authorized bidder for two or more competing 
applicants, and conveys information concerning the substance of bids or bidding strategies between the 
bidders he or she is authorized to represent in the auction.  Also, if the authorized bidders are different 
individuals employed by the same organization (e.g., law firm or consulting firm), a violation could 
similarly occur.  In such a case, at a minimum, applicants should certify on their applications that 
precautionary steps have been taken to prevent communication between authorized bidders and that 
applicants and their bidding agents will comply with the anti-collusion rule. 

However, the Bureau cautions that merely filing a certifying statement as part of an application will not 
outweigh specific evidence that collusive behavior has occurred, nor will it preclude the initiation of an 
investigation when warranted.   In Auction No. 35, for example, the rule would apply to any applicants 
bidding for the same BTA.  Therefore, applicants that apply to bid for any license in a BTA would be 
precluded from communicating after filing the FCC Form 175 short-form application with any other 
applicant for a license in the same BTA.  However, applicants may enter into bidding agreements before 
filing their FCC Form 175, as long as they disclose the existence of the agreement(s) in their FCC Form 
175.   If parties agree in principle on all material terms prior to the short-form filing deadline, those 
parties must be identified on the short-form application under Section 1.2105(c), even if the agreement 
has not been reduced to writing.  If the parties have not agreed in principle by the filing deadline, an 
applicant would not include the names of those parties on its application, and may not continue 
negotiations with other applicants for the same geographic license areas.   By signing their FCC Form 
175 short-form applications, applicants are certifying their compliance with Section 1.2105(c).  In 
addition, Section 1.65 of the Commission's rules requires an applicant to maintain the accuracy and 
completeness of information furnished in its pending application and to notify the Commission within 30 
days of any substantial change that may be of decisional significance to that application.   Thus, Section 
1.65 requires an auction applicant to notify the Commission of any violation of the anti-collusion rules 
immediately upon learning of such violation.

A summary listing of documents from the Commission and the Bureau addressing the application of the 
anti-collusion rules may be found in Attachment I.

3. Due Diligence
Potential bidders are reminded that private and common carrier fixed microwave services ("FMS") 
operating in the 1850-1990 MHz band (and other bands) are being relocated to available frequencies in 
higher bands or to other media.  Bidders should become familiar with the status of FMS operation and 
relocation, and applicable Commission rules and orders, in order to make a reasoned, appropriate 
decision about their participation in Auction No. 35 and their bidding strategy. 

Potential bidders and interested parties should be aware that various proceedings that may relate to the 
licenses available in Auction No. 35 may be pending or subject to further administrative review before 
the Commission, including, for example, waiver requests, petitions for reconsideration, and applications 
for review. In addition, certain judicial proceedings that may relate to the licenses available in Auction 
No. 35 are pending or may be subject to further review.  Resolution of these matters could have an effect 
on the availability of spectrum included in Auction No. 35 and the auction is subject to such matters.  
Some of these matters (whether before the Commission or the courts) may not be resolved by the time of 
the auction. The Commission will continue to act on matters before it, but it makes no representations as 
to the resolution of judicial proceedings.  Potential bidders are solely responsible for identifying 
associated risks, and investigating and evaluating the degree to which such matters may affect 
their ability to bid on or otherwise acquire licenses in Auction No. 35.

Potential bidders may obtain information about licenses available in Auction No. 35 through the 
Bureau's licensing databases on the World Wide Web at http://www.fcc.gov/wtb/uls.  Potential bidders 
should direct questions regarding the search capabilities to the FCC Technical Support hotline at (202) 
414-1250 (voice) or (202) 414-1255 (TTY), or via e-mail at ulscomm@fcc.gov.  The hotline is available 
to assist with questions Monday through Friday, from 7:00 AM to 10:00 PM ET, Saturday, 8:00 AM to 
7:00 PM ET, and Sunday, 12:00 noon to 6:00 PM ET.  In order to provide better service to the public, all 
calls to the hotline are recorded.  The Commission makes no representations or guarantees regarding the 
accuracy or completeness of information in its databases or any third party databases, including, for 
example, court docketing systems.

Further, potential bidders are strongly encouraged to physically inspect any sites located in, or near, the 
geographic area for which they plan to bid.

Finally, potential bidders are strongly encouraged to make periodic, and continuing, inquiries to the 
Office of the Secretary and other available sources regarding any proceedings that are, or may be, 
pending with respect to the licenses available in Auction No. 35.

4. Clarification of Payment Issue Relating to Licenses Subject to Pending 
Proceedings
As noted above, potential bidders should be aware that certain of the licenses included in Auction No. 35 
are or may become the subject of Commission or judicial proceedings initiated by parties claiming to 
have continuing interests in the licenses, despite their failure to meet payment obligations. This public 
notice clarifies that the Commission will return the payments made by winning bidders of licenses in 
Auction No. 35 in the event that such bidders are subsequently required to surrender licenses won to 
prior applicants or license holders as a result of final determinations reached in pending proceedings.    
The Commission, however, will not pay interest on the returned payments as it lacks legal authority to do 
so.

Including contested licenses in the auction helps to fulfill the Commission's statutory mandate to hasten 
the development and deployment of new technologies and services and to promote competition for the 
benefit of the public.   Returning payments to winning bidders if licenses won are later determined to be 
unavailable due to subsequent resolution of other proceedings furthers these vital public interest goals by 
reducing uncertainty in the licensing process and encouraging auction participants to bid on licenses 
regardless of whether they are subject to pending proceedings.  Retaining payments under the 
circumstances could have a chilling effect on participation in Auction No. 35 and would therefore 
undermine our efforts to encourage more efficient use of the spectrum.  We note that winning bidders of 
licenses subject to pending proceedings are still required to meet the normal payment and construction 
schedules established by the Commission. 

5. Bidder Alerts 
All applicants must certify on their FCC Form 175 applications under penalty of perjury that they are 
legally, technically, financially and otherwise qualified to hold a license, and not in default on any 
payment for Commission licenses (including down payments) or delinquent on any non-tax debt owed to 
any Federal agency.   Prospective bidders are reminded that submission of a false certification to the 
Commission is a serious matter that may result in severe penalties, including monetary forfeitures, 
license revocations, exclusion from participation in future auctions, and/or criminal prosecution.

The FCC makes no representations or warranties about the use of this spectrum for particular 
services.  Applicants should be aware that a FCC auction represents an opportunity to become a 
FCC licensee in this service, subject to certain conditions and regulations.  A FCC auction does not 
constitute an endorsement by the FCC of any particular services, technologies or products, nor 
does an FCC license constitute a guarantee of business success.  Applicants and interested parties 
should perform their own due diligence before proceeding, as they would with any new business 
venture.

As is the case with many business investment opportunities, some unscrupulous entrepreneurs may 
attempt to use Auction No. 35 to deceive and defraud unsuspecting investors.  Common warning signals 
of fraud include the following:

? The first contact is a "cold call" from a telemarketer, or is made in response to an inquiry 
prompted by a radio or television infomercial.
? The offering materials used to invest in the venture appear to be targeted at IRA funds, for 
example, by including all documents and papers needed for the transfer of funds maintained in 
IRA accounts.
? The amount of investment is less than $25,000.
? The sales representative makes verbal representations that:  (a) the Internal Revenue Service 
("IRS"), Federal Trade Commission ("FTC"), Securities and Exchange Commission ("SEC"), 
FCC, or other government agency has approved the investment; (b) the investment is not subject 
to state or federal securities laws; or (c) the investment will yield unrealistically high short-term 
profits.  In addition, the offering materials often include copies of actual FCC releases, or quotes 
from FCC personnel, giving the appearance of FCC knowledge or approval of the solicitation.

Information about deceptive telemarketing investment schemes is available from the FTC at (202) 326-
2222 and from the SEC at (202) 942-7040.  Complaints about specific deceptive telemarketing 
investment schemes should be directed to the FTC, the SEC, or the National Fraud Information Center at 
(800) 876-7060.  Consumers who have concerns about specific proposals regarding Auction No. 35 may 
also call the FCC Consumer Center at (888) CALL-FCC ((888) 225-5322).

6. National Environmental Policy Act ("NEPA") Requirements
Licensees must comply with the Commission's rules regarding the National Environmental Policy Act 
(NEPA).   The construction of a wireless antenna facility is a federal action and the licensee must 
comply with the Commission's NEPA rules for each such facility.   The Commission's NEPA rules 
require, among other things, that the licensee consult with expert agencies having NEPA responsibilities, 
including the U.S. Fish and Wildlife Service, the State Historic Preservation Office, the Army Corp of 
Engineers and the Federal Emergency Management Agency (through the local authority with jurisdiction 
over floodplains).  The licensee must prepare environmental assessments for facilities that may have a 
significant impact in or on wilderness areas, wildlife preserves, threatened or endangered species or 
designated critical habitats, historical or archaeological sites, Indian religious sites, floodplains, and 
surface features.  The licensee must also prepare environmental assessments for facilities that include 
high intensity white lights in residential neighborhoods or excessive radio frequency emission.

C. Auction Specifics
1. Auction Date
The auction will begin on Tuesday, December 12, 2000.  The initial schedule for bidding will be 
announced by public notice at least one week before the start of the auction.  Unless otherwise 
announced, bidding on all licenses will be conducted on each business day until bidding has stopped on 
all licenses.

In response to comments received by Verizon and reply comments received by BellSouth/SBC, the 
Commission announces that bidding for Auction No. 35 will be temporarily suspended during the 
holidays.  Beginning Friday, December 22, 2000 through Wednesday, January 3, 2001, no bidding will 
be conducted.  Bidding will resume on Thursday, January 4, 2001.

2. Auction Title
Auction No. 35 - C and F Block Broadband PCS 

3. Bidding Methodology
The bidding methodology for Auction No. 35 will be simultaneous multiple round bidding.  Bidding will 
be permitted only from remote locations, either electronically (by computer) or telephonically.

4. Pre-Auction Dates and Deadlines
Auction Seminar 	October 20, 2000
Short-Form Application (FCC FORM 175) 	November 6, 2000; 6:00 p.m. ET
Upfront Payments (via wire transfer) 	November 27, 2000; 6:00 p.m. ET
Orders for Remote Bidding Software 	November 28, 2000; 6:00 p.m. ET
Mock Auction 	December 8, 2000
Auction Begins	December 12, 2000

5. Requirements For Participation
Those wishing to participate in the auction must:

? Submit a short-form application (FCC Form 175) electronically by 6:00 p.m. ET, November 6, 
2000.
? Submit a sufficient upfront payment and a FCC Remittance Advice Form (FCC Form 159) by 
6:00 p.m. ET, November 27, 2000.
? Comply with all provisions outlined in this public notice.


6. General Contact Information
GENERAL AUCTION INFORMATION
FCC Auctions Hotline 
General Auction Questions
(888) 225-5322, Press Option #2
Seminar Registration
or direct (717) 338-2888
Orders for Remote Bidding Software
Hours of service: 8 a.m. - 5:30 p.m. ET
AUCTION LEGAL INFORMATION
Auctions and Industry Analysis Division
Auction Rules, Policies, Regulations
Legal Branch (202) 418-0660

LICENSING INFORMATION
Commercial Wireless Division
Rules, Policies, Regulations 
Licensing Issues 
Due Diligence
Incumbency Issues
(202) 418-0620
TECHNICAL SUPPORT
FCC Auctions Technical Support Hotline
Electronic Filing Assistance
(202) 414-1250 (Voice), 
Software Downloading
(202) 414-1255 (TTY) 
Hours of service: Monday through Friday 7 a.m. to 
10:00 p.m. ET, Saturday, 8:00 a.m. to 7:00 p.m., 
Sunday, 12:00 noon to 6:00 p.m.

PAYMENT INFORMATION
FCC Auctions Accounting Branch
Wire Transfers
(202) 418-1995
Refunds
(202) 418-2843 (Fax)
TELEPHONIC BIDDING
Will be furnished only to qualified bidders
FCC COPY CONTRACTOR
International Transcription Services, Inc.
Additional Copies of
445 12th Street, SW Room CY-B400
Commission Documents
Washington, DC  20554 
(202) 314-3070
PRESS INFORMATION
Meribeth McCarrick (202) 418-0654

FCC FORMS
(800) 418-3676 (outside Washington, DC) 
(202) 418-3676 (in the Washington Area)
http://www.fcc.gov/formpage
FCC INTERNET SITES

http://www.fcc.gov
ftp://ftp.fcc.gov
http://www.fcc.gov/wtb/auctions



II. SHORT-FORM (FCC FORM 175) APPLICATION REQUIREMENTS
Guidelines for completion of the short-form (FCC Form 175) are set forth in Attachment D to this public 
notice.  The short-form application seeks the applicant's name and address, legal classification, status, 
small and very small business bidding credit eligibility, identification of the license(s) sought, the 
authorized bidders and contact persons.  All applicants must certify on their FCC Form 175 applications 
under penalty of perjury that they are legally, technically, financially and otherwise qualified to hold a 
license and, as discussed below in Section II.E (Provisions Regarding Defaulters and Former Defaulters), 
that they are not in default on any payment for Commission licenses (including down payments) or 
delinquent on any non-tax debt owed to any Federal agency.

A. Ownership Disclosure Requirements (FCC Form 175 Exhibit A)
All applicants must comply with the uniform Part 1 ownership disclosure standards and provide 
information required by Sections 1.2105 and 1.2112 of the Commission's rules.  Specifically, in 
completing FCC Form 175, applicants will be required to file an "Exhibit A" providing a full and 
complete statement of the ownership of the bidding entity. The ownership disclosure standards for the 
short-form are set forth in Section 1.2112 of the Commission's rules. 

B. Consortia And Joint Bidding Arrangements (FCC Form 175 Exhibit B)
Applicants will be required to identify on their short-form applications any parties with whom they have 
entered into any consortium arrangements, joint ventures, partnerships or other agreements or 
understandings which relate in any way to the licenses being auctioned, including any agreements 
relating to post-auction market structure.  See 47 C.F.R.  1.2105(a)(2)(viii) and 1.2105(c)(1).  
Applicants will also be required to certify on their short-form applications that they have not entered into 
any explicit or implicit agreements, arrangements or understandings of any kind with any parties, other 
than those identified, regarding the amount of their bids, bidding strategies, or the particular construction 
permits on which they will or will not bid.  See 47 C.F.R.  1.2105(a)(2)(ix).  As discussed above, if an 
applicant has had discussions, but has not reached a joint bidding agreement by the short-form deadline, 
it would not include the names of parties to the discussions on its applications and may not continue 
discussions with applicants for the same geographic license area(s) after the deadline.   Where 
applicants have entered into consortia or joint bidding arrangements, applicants must submit an "Exhibit 
B" to the FCC Form 175.

A party holding a non-controlling, attributable interest in one applicant will be permitted to acquire an 
ownership interest in, form a consortium with, or enter into a joint bidding arrangement with other 
applicants for licenses in the same geographic license area provided that (i) the attributable interest 
holder certifies that it has not and will not communicate with any party concerning the bids or bidding 
strategies of more than one of the applicants in which it holds an attributable interest, or with which it 
has formed a consortium or entered into a joint bidding arrangement; and (ii) the arrangements do not 
result in a change in control of any of the applicants.   While the anti-collusion rules do not prohibit 
non-auction related business negotiations among auction applicants, bidders are reminded that certain 
discussions or exchanges could touch upon impermissible subject matters because they may convey 
pricing information and bidding strategies.

C. Eligibility
1. Eligibility for Closed Bidding (FCC Form 175 Exhibit C)
General rule.  In order to be eligible to bid for one or more closed licenses, an applicant must show on 
Exhibit C that, as of the FCC Form 175 filing deadline, the applicant, its affiliates, persons or entities that 
hold interests in the applicant, and their affiliates, have combined total assets of less than $500 million 
and have had combined gross revenues of less that $125 million in each of the last two years. Applicants 
that can make this showing qualify as "entrepreneurs" for purposes of C and F block auctions. See 
Section 24.709 of the Commission's Rules. 

Grandfather exception.  Qualified applicants that were eligible for and participated in Auction No. 5 or 
10 may bid on closed C block licenses in any auction that begins on or before March 23, 2001, even if 
their total assets and gross revenues exceed the financial caps for auction participation as an 
entrepreneur.   This exception does not extend to F block licenses.

2. Small Business Bidding Credit Eligibility (FCC Form 175 Exhibit D)
Bidding credits are available to small and very small businesses, or consortia thereof, (as defined in 47 
C.F.R  24.720(b)) that win licenses in open bidding.  A bidding credit represents the amount by which a 
bidder's winning bids are discounted.   The size of the bidding credit depends on the average annual 
gross revenues for the preceding three years of the bidder, together with its affiliates and controlling 
interests of the bidder and its affiliates:

? A bidder with average annual gross revenues of not more than $40 million for the preceding three 
years ("small business") receives a 15 percent discount on its winning bids for C and F block 
licenses; 

? A bidder with average annual gross revenues of not more than $15 million for the preceding three 
years ("very small business") receives a 25 percent discount on its winning bids for C and F block 
licenses. 

Bidding credits are not cumulative; qualifying applicants receive either the 15 percent or the 25 percent 
bidding credit, but not both.  No small and very small business bidding credits are provided for licenses 
subject to closed bidding.



3. Tribal Land Bidding Credit
To encourage the growth of wireless services in federally recognized tribal lands the Commission has 
implemented a tribal land bidding credit.  See Part V.C.

4. Applicability of Part 1 Attribution Rules
Controlling interest standard.  On August 14, 2000, the Commission released the Part 1 Fifth Report 
and Order,  in which the Commission, inter alia, adopted a "controlling interest" standard for 
attributing to auction applicants the total assets and/or gross revenues of their investors and affiliates in 
determining entrepreneur and small business eligibility for future C and F block auctions.   The 
Commission observed that the rule modifications adopted in the various Part 1 orders would result in 
discrepancies and/or redundancies between certain of the new Part 1 rules and existing service-specific 
rules, and the Commission delegated to the Bureau the authority to make conforming edits to the Code of 
Federal Regulations (CFR) consistent with the rules adopted in the Part 1 proceeding.  Time may not 
permit conforming edits to the Part 24 C and F block rules to be made in advance of Auction No. 35; 
however, the Part 1 rules that superseded inconsistent service-specific rules will control in Auction No. 
35.   Accordingly, the "controlling interest" standard as set forth will be in effect for Auction No. 35, 
even if conforming edits to the CFR are not made prior to the auction.

Control.  The term "control" includes both de facto and de jure control of the applicant.  Typically, 
ownership of at least 50.1 percent of an entity's voting stock evidences de jure control.  De facto control 
is determined on a case-by-case basis.   The following are some common indicia of control:

? the entity constitutes or appoints more than 50 percent of the board of directors or management 
committee;
? the entity has authority to appoint, promote, demote, and fire senior executives that control the 
day-to-day activities of the licensee; or
? the entity plays an integral role in management decisions.
Attribution for entrepreneur eligibility.  For purposes of determining which entities qualify as 
entrepreneurs for closed bidding, the Commission will consider the total assets and gross revenues of the 
applicant, its controlling interest holders, the affiliates of the applicant, and their controlling interest 
holders.  The Commission does not impose specific equity requirements on parties with controlling 
interests.  Once principals or entities with a controlling interest are determined, only the assets and 
revenues of those principals or entities, the applicant, and their affiliates will be counted in determining 
entrepreneur eligibility.  Applicants for closed bidding in Auction No. 35 should not include existing C 
and F block licenses in their calculations of total assets; however, all other Commission licenses must be 
included in such calculations. 

Attribution for small and very small business eligibility.  Similarly, in determining which entities 
qualify as small or very small businesses, the Commission will consider the gross revenues of the 
applicant, its controlling interest holders,  the affiliates of the applicant, and their controlling interest 
holders.  As stated, the Commission does not impose specific equity requirements on controlling interest 
holders.  Once principals or entities with a controlling interest are determined, only the revenues of those 
principals or entities, the applicant and their affiliates will be counted in determining small business 
eligibility.

A consortium of small or very small businesses is a "conglomerate organization formed as a joint venture 
between or among mutually independent business firms," each of which individually must satisfy the 
definition of small or very small business in Section 24.720(b).  Thus, each consortium member must 
disclose its gross revenues along with those of its affiliates, controlling interests, and controlling 
interests' affiliates.  We note that although the gross revenues of the consortium members will not be 
aggregated for purposes of determining eligibility for small or very small business credits, this 
information must be provided to ensure that each individual consortium member qualifies for any bidding 
credit awarded to the consortium.

5. Application Showing
Applicants should note that they will be required to file supporting documentation to their FCC Form 175 
short-form applications to establish that they satisfy the eligibility requirements to qualify as 
entrepreneurs and/or small or very small businesses (or consortia of small or very small businesses) for 
this auction. 

Applicants should further note that submission of an FCC Form 175 application constitutes a 
representation by the certifying official that he or she is an authorized representative of the applicant, has 
read the form's instructions and certifications, and that the contents of the application and its attachments 
are true and correct.  Submission of a false certification to the Commission may result in penalties, 
including monetary forfeitures, license forfeitures, ineligibility to participate in future auctions, and/or 
criminal prosecution.

Entrepreneur eligibility (Exhibit C).  Entities applying to bid on closed licenses will be required to 
disclose on Exhibit C to their FCC Form 175 short-form applications, separately and in the aggregate, 
the gross revenues for the preceding two years and the total assets of each of the following: (1) the 
applicant, (2) the applicant's affiliates, (3) the applicant's controlling interest holders, and (4) the 
affiliates of the applicant's controlling interest holders.  Certification that the gross revenues for each of 
the preceding two years or the total assets do not exceed the applicable limit is not sufficient. The 
applicant must provide separately for itself, its affiliates, its controlling interest holders, and their 
affiliates a schedule of gross revenues for each of the preceding two years.  As stated, entities applying 
for closed bidding under the grandfather exception (47 C.F.R.  24.709(b)(i)) need not meet the total 
assets and gross revenues limits of Section 24.709(a) of the Commission's rules. Applicants claiming 
auction eligibility under the grandfather exception should note the Commission's clarification of this 
exception in the C/F Block Sixth Report and Order. 

Small and very small business eligibility (Exhibit D).  Entities applying to bid as small or very small 
businesses (or consortia of small or very small businesses) will be required to disclose on Exhibit D to 
their FCC Form 175 short-form applications, separately and in the aggregate, the gross revenues for the 
preceding three years of each of the following: (1) the applicant, (2) the applicant's affiliates, (3) the 
applicant's controlling interest holders, and (4) the affiliates of the applicant's controlling interest 
holders.  Certification that the average annual gross revenues for the preceding three years do not exceed 
the applicable limit is not sufficient.  A statement of the total gross revenues for the preceding three years 
is also insufficient.  The applicant must provide separately for itself, its affiliates, its controlling interest 
holders, and their affiliates a schedule of gross revenues for each of the preceding three years, as well as 
a statement of total average gross revenues for the three-year period.  If the applicant is applying as a 
consortium of very small or small businesses, this information must be provided for each consortium 
member.

D. Special C Block Eligibility Restriction Regarding Surrendered C Block Licenses
C block licensees that surrendered C block licenses pursuant to the disaggregation, prepayment, and/or 
amnesty/prepayment election options the Commission made available in the C Block Second Report and 
Order and Further Notice,  as modified by the C Block Reconsideration Order,  are ineligible to 
reacquire the spectrum represented by their surrendered licenses through auction participation, or by any 
other means, until March 23, 2001.  This prohibition extends to qualifying members of the licensee's 
control group, and their affiliates.   Licensees that surrendered licenses pursuant to the "pure amnesty" 
election option remain eligible to reacquire the spectrum represented by those surrendered licenses 
through auction participation or a secondary market transaction.   Applicants that are prohibited from 
bidding on licenses representing previously surrendered spectrum, should not select "all markets" on 
their FCC Form 175 application if any of their surrendered spectrum is available in Auction No. 35.

E. Provisions Regarding Defaulters and Former Defaulters (FCC Form 175 Exhibit E)
Each applicant must certify on its FCC Form 175 application that it is not in default on any Commission 
licenses and that it is not delinquent on any non-tax debt owed to any Federal agency.   In addition, each 
applicant must attach to its FCC Form 175 application a statement made under penalty of perjury 
indicating whether or not the applicant has ever been in default on any Commission licenses or has ever 
been delinquent on any non-tax debt owed to any federal agency.  Applicants must include this 
statement as Exhibit E of the FCC Form 175.  If any of an applicant's controlling interests holders or 
their affiliates, as defined by Section 1.2110 of the Commission's rules (as recently amended in the Part 
1 Fifth Report and Order) have ever been in default on any Commission license or have ever been 
delinquent on any non-tax debt owed to any Federal agency, the applicant must include such information 
as part of the same attached statement.  Prospective bidders are reminded that the statement must be 
made under penalty of perjury and, further, submission of a false certification to the Commission is a 
serious matter that may result in severe penalties, including monetary forfeitures, license revocations, 
exclusion from participation in future auctions, and/or criminal prosecution.

"Former defaulters" - i.e., applicants, including their attributable interest holders, that in the past have 
defaulted on any Commission licenses or been delinquent on any non-tax debt owed to any Federal 
agency, but that have since remedied all such defaults and cured all of their outstanding non-tax 
delinquencies - are eligible to bid in Auction No. 35, provided that they are otherwise qualified.  
However, as discussed infra in Section III.D.3, former defaulters are required to pay upfront payments 
that are fifty percent more than the normal upfront payment amounts. 

F. Transfer and Assignment Restrictions on Licenses Won in Closed Bidding
C or F block licenses won in closed bidding generally may be transferred or assigned only to an entity 
that meets the entrepreneur financial caps or that holds another C or F block license that it acquired while 
meeting the entrepreneur financial caps.  This restriction ends five years after the date of the initial 
license grant or upon notification by the licensee that it has satisfied its five-year construction 
requirement under 47 C.F.R.  24.203(c), whichever comes first.   Licenses won in open bidding are not 
subject to this restriction and may be transferred or assigned any time after grant to any qualified entity.

G. Unjust Enrichment Payments
C or F block licensees that use a small or very small business bidding credit, and during the first five 
years of their license term seek to assign or transfer control of a license to an entity that does not meet the 
eligibility criteria for a small or very small business bidding credit, or that is eligible for a lower bidding 
credit, will have to reimburse the U.S. Government for a percentage of the amount of the bidding credit, 
plus interest. 

In the C/F Block Sixth Report and Order, the Commission decided that licensees are not subject to 
bidding credit unjust enrichment payments for early transfer or assignment of licenses won in Auction 
No. 5 or No. 10.   At the request of Verizon and BellSouth/SBC,  we clarify that transfer or assignment 
of a license won in Auctions No. 11, 22, 35, or any other auction using a small or very small business 
bidding credit, will still be subject to any applicable bidding credit unjust enrichment payment under the 
Commission's rules. 

H. Installment Payments
Installment payment plans will not be available in Auction No. 35.

I. Other Information (FCC Form 175 Exhibits F and G)
Applicants owned by minorities or women, as defined in 47 C.F.R.  1.2110(c)(2), may attach an exhibit 
(Exhibit F) regarding this status.  This applicant status information is collected for statistical purposes 
only and assists the Commission in monitoring the participation of "designated entities" in its auctions.  
Applicants wishing to submit additional information may do so on Exhibit G (Miscellaneous 
Information) to the FCC Form 175.

J. Minor Modifications to Short-Form Applications (FCC Form 175)
After the short-form filing deadline (November 6, 2000), applicants may make only minor changes to 
their FCC Form 175 applications.  Applicants will not be permitted to make major modifications to their 
applications (e.g., change their license selections or proposed service areas, change the certifying official 
or change control of the applicant or change bidding credits).  See 47 C.F.R.  1.2105.  Permissible minor 
changes include, for example, deletion and addition of authorized bidders (to a maximum of three) and 
revision of exhibits.  Applicants should make these changes on-line, and submit a letter to Louis Sigalos, 
Deputy Chief, Auctions and Industry Analysis Division, Wireless Telecommunications Bureau, Federal 
Communications Commission, 445 12th Street, SW, Suite 4-A668 Washington, DC 20554, briefly 
summarizing the changes.  Questions about other changes should be directed to Audrey Bashkin of the 
Auctions and Industry Analysis Division at (202) 418-0660.

K. Maintaining Current Information in Short-Form Applications (FCC Form 175)
Applicants have an obligation under 47 C.F.R. 1.65, to maintain the completeness and accuracy of 
information in their short-form applications.  Amendments reporting substantial changes of possible 
decisional significance in information contained in FCC Form 175 applications, as defined by 47 C.F.R. 
 1.2105(b)(2), will not be accepted and may in some instances result in the dismissal of the FCC Form 
175 application.

III. PRE-AUCTION PROCEDURES
A. Auction Seminar
On Friday, October 20, 2000, the FCC will sponsor a free seminar for Auction No. 35 at the Federal 
Communications Commission, located at 445 12th Street, SW, Washington, DC  The seminar will provide 
attendees with information about pre-auction procedures, conduct of the auction, FCC remote bidding 
software, and the C and F block broadband PCS spectrum and auction rules.  The seminar will also 
provide an opportunity for prospective bidders to ask questions of FCC staff.

To register, complete the registration form attached hereto as Attachment B and submit it by Wednesday, 
October 18, 2000.  Registrations are accepted on a first-come, first-served basis.

B. Short-Form Application (FCC Form 175) - Due November 6, 2000
In order to be eligible to bid in this auction, applicants must first submit a FCC Form 175 application.  
This application must be submitted electronically and received at the Commission no later than 6:00 p.m. 
ET on November 6, 2000.  Late applications will not be accepted.

There is no application fee required when filing an FCC Form 175.  However, to be eligible to bid, an 
applicant must submit an upfront payment.  See Part III.D, below.

1. Electronic Filing
Applicants must file their FCC Form 175 applications electronically.   Applications may generally be 
filed at any time beginning at noon on October 20, 2000, until 6:00 p.m. ET on November 6, 2000. 
Applicants are strongly encouraged to file early and are responsible for allowing adequate time for filing 
their applications.  Applicants may update or amend their electronic applications multiple times until the 
filing deadline on November 6, 2000.

Applicants must press the  "Submit Form 175" button on the "Submit" page of the electronic form to 
successfully submit their FCC Forms 175.  Any form that is not submitted will not be reviewed by the 
FCC.  Information about accessing the FCC Form 175 is included in Attachment C.  Technical support is 
available at (202) 414-1250 (voice) or (202) 414-1255 (text telephone (TTY)); the hours of service 
Monday through Friday, from 7:00 AM to 10:00 PM ET, Saturday, 8:00 AM to 7:00 PM ET, and 
Sunday, 12:00 noon to 6:00 PM ET.  In order to provide better service to the public, all calls to the 
hotline are recorded.

2. Completion of the FCC Form 175
Applicants should carefully review 47 C.F.R.  1.2105, and must complete all items on the FCC Form 
175.  Instructions for completing the FCC Form 175 are in Attachment D of this public notice. 
Applicants are encouraged to begin preparing the required attachments for FCC Form 175 prior to 
submitting the form.  Attachments C and D to this public notice provide information on the required 
attachments and appropriate formats.

3. Electronic Review of FCC Form 175
The FCC Form 175 electronic review software may be used to review and print applicants' FCC Form 
175 information.  Applicants may also view other applicants' completed FCC Form 175s after the filing 
deadline has passed and the FCC has issued a public notice explaining the status of the applications.  For 
this reason, it is important that applicants do not include their Taxpayer Identification Numbers (TINs) 
on any exhibits to their FCC Form 175 applications.  There is no fee for accessing this system.  See 
Attachment C for details on accessing the review system.

C. Application Processing and Minor Corrections
After the deadline for filing the FCC Form 175 applications has passed, the FCC will process all timely 
submitted applications to determine which are acceptable for filing, and subsequently will issue a public 
notice identifying:  (1) those applications accepted for filing (including FCC account numbers and the 
licenses for which they applied); (2) those applications rejected; and (3) those applications which have 
minor defects that may be corrected, and the deadline for filing such corrected applications.

As described more fully in the Commission's rules, after the November 6, 2000, short-form filing 
deadline, applicants may make only minor corrections to their FCC Form 175 applications.  Applicants 
will not be permitted to make major modifications to their applications (e.g., change their license 
selections, change the certifying official, change control of the applicant, or change bidding credit 
eligibility). 

D. Upfront Payments - Due November 27, 2000
In order to be eligible to bid in the auction, applicants must submit an upfront payment accompanied by 
an FCC Remittance Advice Form (FCC Form 159).  After completing the FCC Form 175, filers will have 
access to an electronic version of the FCC Form 159 that can be printed and faxed to Mellon Bank in 
Pittsburgh, PA.  All upfront payments must be received at Mellon Bank by 6:00 p.m. ET on November 
27, 2000.

Please note that:

? All payments must be made in U.S. dollars.
? All payments must be made by wire transfer.
? Upfront payments for Auction No. 35 go to a lockbox number different from the ones used in 
previous FCC auctions, and different from the lockbox number to be used for post-auction 
payments.
? Failure to deliver the upfront payment by the November 27, 2000, deadline will result in 
dismissal of the application and disqualification from participation in the auction.

1. Making Auction Payments by Wire Transfer
Wire transfer payments must be received by 6:00 p.m. ET on November 27, 2000.  To avoid untimely 
payments, applicants should discuss arrangements (including bank closing schedules) with their banker 
several days before they plan to make the wire transfer, and allow sufficient time for the transfer to be 
initiated and completed before the deadline.  Applicants will need the following information:

ABA Routing Number:   043000261
Receiving Bank: Mellon Pittsburgh
BNF:   FCC/AC 910-0198
OBI Field:   (Skip one space between each information item)
"AUCTIONPAY"
TAXPAYER IDENTIFICATION NO.: (same as FCC Form 159, block 26)
PAYMENT TYPE CODE   (enter "A35U")
FCC CODE  1 (same as FCC Form 159, block 23A: "35")
PAYER NAME   (same as FCC Form 159, block 2)
LOCKBOX NO.   # 358410

NOTE:  The BNF and Lockbox number are specific to the upfront payments for this auction; do not use 
BNF or Lockbox numbers from previous auctions.

Applicants must fax a completed FCC Form 159 to Mellon Bank at (412) 209-6045 or (412) 236-5702 at 
least one hour before placing the order for the wire transfer (but on the same business day).  On the cover 
sheet of the fax, write "Wire Transfer - Auction Payment for Auction Event No. 35."  Bidders should 
confirm receipt of their upfront payment at Mellon Bank by contacting their sending financial 
institution.

2. FCC Form 159
A completed FCC Remittance Advice Form (FCC Form 159) must be faxed to Mellon Bank in order to 
accompany each upfront payment.  Proper completion of FCC Form 159 is critical to ensuring correct 
credit of upfront payments.  Detailed instructions for completion of FCC Form 159 are included in 
Attachment E to this public notice.  An electronic version of the FCC Form 159 is available after filing 
the FCC Form 175.  The FCC Form 159 can be completed electronically, but must be filed with Mellon 
Bank via facsimile.

3. Amount of Upfront Payment
In the Part 1 Order, Memorandum Opinion and Order, and Notice of Proposed Rule Making, the 
Commission delegated to the Bureau the authority and discretion to determine an appropriate upfront 
payment for each license being auctioned.  In addition, as required by the Part 1 Fifth Report and 
Order, the upfront payment amount for "former defaulters," i.e., applicants that have ever been in default 
on any Commission license or have ever been delinquent on any non-tax debt owed to any Federal 
agency, will be fifty percent more than the normal amount required to be paid.   In the Auction No. 35 
Comment Public Notice, the Bureau proposed upfront payments for Auction No. 35.  Specifically, the 
Bureau proposed upfront payments using the following formula: 

Tier 1

(1) 15 MHz licenses  -  2.5 % of most recent net high bid for C block licenses in same BTA

(2) 10 MHz licenses  -  1.6 % of most recent net high bid for C block licenses in same BTA

Tier 2

(1) 15 MHz licenses  -  1.25 % of most recent net high bid for C block licenses in same BTA

(2) 10 MHz licenses  -  1.0 % of most recent net high bid for C block licenses in same BTA

In its comments, BellSouth/SBC propose that the Bureau set upfront payments using a formula of 
$0.06*MHz*BTA population.   BellSouth/SBC argue that using such a formula would be consistent 
with prior C and F block auctions.  BellSouth/SBC do not, however, criticize the formula proposed by the 
Bureau as being flawed.  We received no other comments on this issue.  We are not convinced by 
BellSouth/SBC's arguments and adopt the proposed formula for upfront payments (with clarification):

Tier 1

(1) 15 MHz licenses  -  2.5 % of most recent net high bid for 30 MHz C block license in same BTA

(2) 10 MHz licenses  -  1.6 % of most recent net high bid for 30 MHz C block license in same BTA

Tier 2

(2) 15 MHz licenses  -  1.25 % of most recent net high bid for 30 MHz C block license in same BTA

(2) 10 MHz licenses  -  1.0 % of most recent net high bid for 30 MHz C block license in same BTA

Please note that upfront payments are not attributed to specific licenses, but instead will be translated to 
bidding units to define a bidder's maximum bidding eligibility.  For Auction No. 35, the amount of the 
upfront payment will be translated into bidding units on a one-to-one basis, e.g., a $25,000 upfront 
payment provides the bidder with 25,000 bidding units.  The total upfront payment defines the maximum 
amount of bidding units on which the applicant will be permitted to bid (including standing high bids) in 
any single round of bidding.  Thus, an applicant does not have to make an upfront payment to cover all 
licenses for which the applicant has selected on FCC Form 175, but rather to cover the maximum number 
of bidding units that are associated with licenses on which the bidder wishes to place bids and hold high 
bids at any given time.

In order to be able to place a bid on a license, in addition to being qualified for and having specified that 
license on the FCC Form 175, a bidder must have an eligibility level that meets or exceeds the number of 
bidding units assigned to that license. At a minimum, an applicant's total upfront payment must be 
enough to establish eligibility to bid on at least one of the licenses applied for on the FCC Form 175, or 
else the applicant will not be eligible to participate in the auction.

In calculating its upfront payment amount, an applicant should determine the maximum number of 
bidding units it may wish to bid on in any single round, and submit an upfront payment covering that 
number of bidding units.  In order to make this calculation, an applicant should add together the upfront 
payments for all licenses on which it seeks to bid in any given round.  Bidders should check their 
calculations carefully, as there is no provision for increasing a bidder's maximum eligibility after the 
upfront payment deadline.

Former defaulters should calculate their upfront payment for all licenses by multiplying the number of 
bidding units they wish to purchase by 1.5. In order to calculate the number of bidding units to assign to 
former defaulters, the Commission will divide the upfront payment received by 1.5 and round the result 
up to the nearest bidding unit.
NOTE:  An applicant may, on its FCC Form 175, apply for every applicable license 
being offered, but its actual bidding in any round will be limited by the bidding units 
reflected in its upfront payment.
4. Applicant's Wire Transfer Information for Purposes of Refunds for 
Upfront Payments
The Commission will use wire transfers for all Auction No. 35 refunds.  To ensure that refunds of 
upfront payments are processed in an expeditious manner, the Commission is requesting that all pertinent 
information as listed below be supplied to the FCC.  Applicants can provide the information 
electronically during the initial short-form filing window after the form has been submitted.   Wire 
Transfer Instructions can also be manually faxed to the FCC, Financial Operations Center, Auctions 
Accounting Group, ATTN: Tim Dates or Gail Glasser, at (202) 418-2843 by November 28, 2000.  
Should the payer fail to submit the requested information, the refund will be returned to the original 
payer.  For additional information, please call (202) 418-1995.

Name of Bank
ABA Number
Contact and Phone Number
Account Number to Credit
Name of Account Holder
Correspondent Bank (if applicable)
ABA Number
Account Number

(Applicants should also note that implementation of the Debt Collection Improvement Act of 1996 
requires the FCC to obtain a Taxpayer Identification Number (TIN) before it can disburse refunds.)  
Eligibility for refunds is discussed in Part V.F., below.

E. Auction Registration
Approximately ten days before the auction, the FCC will issue a public notice announcing all qualified 
bidders for the auction.  Qualified bidders are those applicants whose FCC Form 175 applications have 
been accepted for filing and have timely submitted upfront payments sufficient to make them eligible to 
bid on at least one of the licenses for which they applied.

All qualified bidders are automatically registered for the auction.  Registration materials will be 
distributed prior to the auction by two separate overnight mailings, each containing part of the 
confidential identification codes required to place bids.  These mailings will be sent only to the contact 
person at the contact address listed in the FCC Form 175.

Applicants that do not receive both registration mailings will not be able to submit bids.  Therefore, any 
qualified applicant that has not received both mailings by noon on Friday, December 8, 2000, should 
contact the Auctions Hotline at (717) 338-2888.  Receipt of both registration mailings is critical to 
participating in the auction and each applicant is responsible for ensuring it has received all of the 
registration material.

Qualified bidders should note that lost login codes, passwords or bidder identification numbers can be 
replaced only by appearing in person at the FCC Auction Headquarters located at 445 12th St., SW, 
Washington, DC 20554.  Only an authorized representative or certifying official, as designated on an 
applicant's FCC Form 175, may appear in person with two forms of identification (one of which must be 
a photo identification) in order to receive replacement codes.  Qualified bidders requiring replacement 
codes must call technical support prior to arriving at the FCC to arrange preparation of new codes.

F. Remote Electronic Bidding Software
Qualified bidders are allowed to bid electronically or telephonically.  If choosing to bid electronically, 
each bidder must purchase their own copy of the remote electronic bidding software.  Electronic bids will 
only be accepted from those applicants purchasing the software.  However, the software may be copied 
by the applicant for use by its authorized bidders at different locations.  The price of the FCC's remote 
bidding software is $175.00 and must be ordered by Tuesday, November 28, 2000.  For security 
purposes, the software is only mailed to the contact person at the contact address listed on the FCC Form 
175.  Please note that auction software is tailored to a specific auction, so software from prior auctions 
will not work for Auction No. 35.  If bidding telephonically, the telephonic bidding phone number will be 
supplied in the first Federal Express mailing of confidential login codes.  Qualified bidders that do not 
purchase the software may only bid telephonically.  To indicate your bidding preference, a FCC Bidding 
Preference/Remote Software Order Form can be accessed when submitting the FCC Form 175.  Bidders 
should complete this form electronically, print it out, and fax to (717) 338-2850.  A manual copy of this 
form is also included as Attachment F in this public notice.

G. Mock Auction
All qualified bidders will be eligible to participate in a mock auction on Friday, December 8, 2000.  The 
mock auction will enable applicants to become familiar with the electronic software prior to the auction. 
Free demonstration software will be available for use in the mock auction.  Participation by all bidders is 
strongly recommended.  Details will be announced by public notice.

In comments received by Verizon and reply comments received by BellSouth/SBC,  an earlier mock 
auction date was requested. Due to technical constraints, however, we cannot accommodate and therefore 
deny this request.

IV. AUCTION EVENT
The first round of bidding for Auction No. 35 will begin on Tuesday, December 12, 2000.  The initial 
bidding schedule will be announced in a public notice listing the qualified bidders, which is released 
approximately 10 days before the start of the auction.

A. Auction Structure
1. Simultaneous Multiple Round Auction
In the Auction No. 35 Comment Public Notice, we proposed to award all licenses in Auction No. 35 in a 
single, simultaneous multiple round auction.   We received no comment on this issue.  We conclude that 
it is operationally feasible and appropriate to auction the PCS licenses through a single, simultaneous 
multiple round auction. Unless otherwise announced, bids will be accepted on all licenses in each round 
of the auction.  This approach, we believe, allows bidders to take advantage of any synergies that exist 
among licenses and is most administratively efficient.

2. Maximum Eligibility and Activity Rules
In the Auction No. 35 Comment Public Notice, we proposed that the amount of the upfront payment 
submitted by a bidder would determine the initial maximum eligibility (as measured in bidding units) for 
each bidder.   We received no comments on this issue.

For Auction No. 35 we will adopt this proposal.  The amount of the upfront payment submitted by a 
bidder determines the initial maximum eligibility (in bidding units) for each bidder.  Note again that 
upfront payments are not attributed to specific licenses, but instead will be translated into bidding units 
to define a bidder's initial maximum eligibility.  The total upfront payment defines the maximum number 
of bidding units on which the applicant will be permitted to bid. As there is no provision for increasing a 
bidder's maximum eligibility during the course of an auction (as described under "Auction Stages" as set 
forth in Part IV.A.4), prospective bidders are cautioned to calculate their upfront payments carefully.  
The total upfront payment does not define the total dollars a bidder may bid on any given license.

In order to ensure that the auction closes within a reasonable period of time, an activity rule requires 
bidders to bid actively throughout the auction, rather than wait until the end before participating.  Bidders 
are required to be active on a specific percentage of their maximum eligibility during each round of the 
auction.

A bidder's activity level in a round is the sum of the bidding units associated with licenses on which the 
bidder is active.  A bidder is considered active on a license in the current round if it is either the high 
bidder at the end of the previous bidding round and does not withdraw the high bid in the current round, 
or if it submits an acceptable bid in the current round (see "Minimum Accepted Bids" in Part IV.B.(3), 
below).  The minimum required activity level is expressed as a percentage of the bidder's maximum 
bidding eligibility, and increases by stage as the auction progresses.  Because these procedures have 
proven successful in maintaining the pace of previous auctions as set forth under "Auction Stages" in 
Part IV.A.4 and "Stage Transitions" in Part IV.A.5, below, we adopt them for Auction No. 35.

3. Activity Rule Waivers and Reducing Eligibility
In the Auction No. 35 Comment Public Notice, we proposed that each bidder in the auction would be 
provided five activity rule waivers that may be used in any round during the course of the auction.   We 
received no comment on this issue.

Based upon our experience in previous auctions, we adopt our proposal that each bidder be provided five 
activity rule waivers that may be used in any round during the course of the auction.  Use of an activity 
rule waiver preserves the bidder's current bidding eligibility despite the bidder's activity in the current 
round being below the required minimum level.  An activity rule waiver applies to an entire round of 
bidding and not to a particular license. We are satisfied that our practice of providing five waivers over 
the course of the auction provides a sufficient number of waivers and maximum flexibility to the bidders, 
while safeguarding the integrity of the auction.

The FCC automated auction system assumes that bidders with insufficient activity would prefer to use an 
activity rule waiver (if available) rather than lose bidding eligibility.  Therefore, the system will 
automatically apply a waiver (known as an "automatic waiver") at the end of any round where a bidder's 
activity level is below the minimum required unless:  (1) there are no activity rule waivers available; or 
(2) the bidder overrides the automatic application of a waiver by reducing eligibility, thereby meeting the 
minimum requirements.

A bidder with insufficient activity that wants to reduce its bidding eligibility rather than use an activity 
rule waiver must affirmatively override the automatic waiver mechanism during the round by using the 
reduce eligibility function in the software.  In this case, the bidder's eligibility is permanently reduced to 
bring the bidder into compliance with the activity rules as described in "Auction Stages" (see Part IV.A.4 
discussion below).  Once eligibility has been reduced, a bidder will not be permitted to regain its lost 
bidding eligibility.

Finally, a bidder may proactively use an activity rule waiver as a means to keep the auction open without 
placing a bid.  If a bidder submits a proactive waiver (using the proactive waiver function in the bidding 
software) during a round in which no bids are submitted, the auction will remain open and the bidder's 
eligibility will be preserved.  An automatic waiver invoked in a round in which there are no new valid 
bids or withdrawals will not keep the auction open.

4. Auction Stages
In the Auction No. 35 Comment Public Notice, we proposed to conduct the auction in three stages and 
employ an activity rule.  We further proposed that, in each round of Stage One, a bidder desiring to 
maintain its current eligibility would be required to be active on licenses encompassing at least 80 
percent of its current bidding eligibility.   In each round of Stage Two, a bidder desiring to maintain its 
current eligibility would be required to be active on at least 90 percent of its current bidding eligibility.  
Finally, we proposed that a bidder in Stage Three, in order to maintain eligibility, would be required to 
be active on 98 percent of its current bidding eligibility.

Verizon argues that the proposed initial activity levels for Stages One and Two are too high.  Verizon 
points out several characteristics of Auction No. 35, including the number of licenses and size of some of 
the markets that it contends warrant lower activity requirements.  BellSouth/SBC support Verizon's 
proposal; AT&T opposes it.   We are not convinced that the characteristics indicated by Verizon 
increase the complexity of the auction in a manner that necessitates lower activity requirements.  Our 
experience using these activity rules and auction stages in numerous other auctions, including several 
with many more licenses, has shown the proposed activity levels to be an effective and appropriate means 
by which to keep the auction moving along.

We conclude that the auction will be composed of three stages, which are each defined by an increasing 
activity rule.  We will adopt our proposals for the activity rules. Below are the activity levels for each 
stage of the auction.  The FCC reserves the discretion to further alter the activity percentages before 
and/or during the auction.

Stage One:  During the first stage of the auction, a bidder desiring to maintain its current eligibility will 
be required to be active on licenses that represent at least 80 percent of its current bidding eligibility in 
each bidding round.  Failure to maintain the required activity level will result in a reduction in the 
bidder's bidding eligibility in the next round of bidding (unless an activity rule waiver is used).  During 
Stage One, reduced eligibility for the next round will be calculated by multiplying the sum of bidding 
units of the bidder's standing high bids and valid bids during the current round by five-fourths (5/4).

Stage Two:  During the second stage of the auction, a bidder desiring to maintain its current eligibility is 
required to be active on 90 percent of its current bidding eligibility. Failure to maintain the required 
activity level will result in a reduction in the bidder's bidding eligibility in the next round of bidding 
(unless an activity rule waiver is used). During Stage Two, reduced eligibility for the next round will be 
calculated by multiplying the sum of bidding units of the bidder's standing high bids and valid bids 
during the current round by ten-ninths (10/9).

Stage Three:  During the third stage of the auction, a bidder desiring to maintain its current eligibility is 
required to be active on 98 percent of its current bidding eligibility.  Failure to maintain the required 
activity level will result in a reduction in the bidder's bidding eligibility in the next round of bidding 
(unless an activity rule waiver is used).  In this stage, reduced eligibility for the next round will be 
calculated by multiplying the sum of bidding units of the bidder's standing high bids and valid bids 
during the current round by fifty-fortyninths (50/49).

CAUTION:  Since activity requirements increase in each auction stage, bidders must carefully 
check their current activity during the bidding period of the first round following a stage 
transition.  This is especially critical for bidders that have standing high bids and do not plan to 
submit new bids.  In past auctions, some bidders have inadvertently lost bidding eligibility or 
used an activity rule waiver because they did not re-verify their activity status at stage transitions.  
Bidders may check their activity against the required minimum activity level by using the bidding 
software's bidding module.

Because the foregoing procedures have proven successful in maintaining proper pace in previous 
auctions, we adopt them for Auction No. 35.

5. Stage Transitions
In the Auction No. 35 Comment Public Notice, we proposed that the auction would generally advance to 
the next stage (i.e., from Stage One to Stage Two, and from Stage Two to Stage Three) when the auction 
activity level, as measured by the percentage of bidding units receiving new high bids, is below 10 
percent for three consecutive rounds of bidding in each Stage.  However, we further proposed that the 
Bureau would retain the discretion to change stages unilaterally by announcement during the auction.  
This determination, we proposed, would be based on a variety of measures of bidder activity, including, 
but not limited to, the auction activity level, the percentages of licenses (as measured in bidding units) on 
which there are new bids, the number of new bids, and the percentage increase in revenue.  We received 
no comments on this subject.

We adopt our proposal.  Thus, the auction will start in Stage One.  Under the FCC's general guidelines, 
the auction will start in Stage One and it will advance to the next stage (i.e., from Stage One to Stage 
Two, and from Stage Two to Stage Three) when, in each of three consecutive rounds of bidding, the high 
bid has increased on 10 percent or less of the licenses being auctioned (as measured in bidding units).  
However, the Bureau will retain the discretion to regulate the pace of the auction by announcement.  This 
determination will be based on a variety of measures of bidder activity, including, but not limited to, the 
auction activity level, the percentages of licenses (as measured in bidding units) on which there are new 
bids, the number of new bids, and the percentage increase in revenue.  We believe that these stage 
transition rules, having proven successful in prior auctions, are appropriate for use in Auction No. 35.

6. Auction Stopping Rules
For Auction No. 35, the Bureau proposed to employ a simultaneous stopping rule.  Under this rule, 
bidding will remain open on all licenses until bidding stops on every license.  The auction will close for 
all licenses when one round passes during which no bidder submits a new acceptable bid on any license, 
applies a proactive waiver, or withdraws a previous high bid.  After the first such round, bidding closes 
simultaneously on all licenses.

The Bureau also proposed a modified version of the simultaneous stopping rule.  This modified version 
will close the auction for all licenses after the first round in which no bidder submits a proactive waiver, 
a withdrawal, or a new bid on any license on which it is not the standing high bidder.  Thus, absent any 
other bidding activity, a bidder placing a new bid on a license for which it is the standing high bidder will 
not keep the auction open under this modified stopping rule.

The Bureau further proposed retaining the discretion to keep an auction open even if no new acceptable 
bids or proactive waivers are submitted and no previous high bids are withdrawn in a round.  In this 
event, the effect will be the same as if a bidder had submitted a proactive waiver.  Thus, the activity rule 
will apply as usual, and a bidder with insufficient activity will either lose bidding eligibility or use an 
activity rule waiver (if it has any left).

In addition, we proposed that the Bureau reserve the right to declare that the auction will end after a 
specified number of additional rounds ("special stopping rule").  If the Bureau invokes this special 
stopping rule, it will accept bids in the final round(s) only for licenses on which the high bid increased in 
at least one of the preceding specified number of rounds.  We proposed to exercise this option only in 
circumstances such as where the auction is proceeding very slowly, where there is minimal overall 
bidding activity or where it appears likely that the auction will not close within a reasonable period of 
time.  Before exercising this option, the Bureau is likely to attempt to increase the pace of the auction 
by, for example, moving the auction into the next stage (where bidders will be required to maintain a 
higher level of bidding activity), increasing the number of bidding rounds per day, and/or adjusting the 
amount of the minimum bid increments for the licenses.

BellSouth/SBC support our proposal to implement a modified simultaneous stopping rule, stating that the 
modification precludes a bidder from prolonging an auction unnecessarily and encourages bidders to bid 
on the licenses they want and can afford. 

Thus, we adopt all of the above proposals concerning the auction stopping rules.  Auction No. 35 will 
begin under the simultaneous stopping rule, and the Bureau will retain the discretion to invoke the other 
versions of the stopping rule.  We believe that these stopping rules are most appropriate for Auction No. 
35, because our experience in prior auctions demonstrates that the auction stopping rules balance the 
interests of administrative efficiency and maximum bidder participation.  The substitutability among 
licenses in different geographic areas and the importance of preserving the ability of bidders to pursue 
backup strategies support the use of these stopping rules.

7. Auction Delay, Suspension, or Cancellation
In the Auction No. 35 Comment Public Notice, we proposed that, by public notice or by announcement 
during the auction, the Bureau may delay, suspend, or cancel the auction in the event of natural disaster, 
technical obstacle, evidence of an auction security breach, unlawful bidding activity, administrative or 
weather necessity, or for any other reason that affects the fair and competitive conduct of competitive 
bidding. 

Because this approach has proven effective in resolving exigent circumstances in previous auctions, we 
will adopt our proposed auction cancellation rules. By public notice or by announcement during the 
auction, the Bureau may delay, suspend, or cancel the auction in the event of natural disaster, technical 
obstacle, evidence of an auction security breach, unlawful bidding activity, administrative or weather 
necessity, or for any other reason that affects the fair and competitive conduct of competitive bidding.  In 
such cases, the Bureau, in its sole discretion, may elect to resume the auction starting from the beginning 
of the current round, resume the auction starting from some previous round, or cancel the auction in its 
entirety.  Network interruption may cause the Bureau to delay or suspend the auction.  We emphasize 
that exercise of this authority is solely within the discretion of the Bureau, and its use is not intended to 
be a substitute for situations in which bidders may wish to apply their activity rule waivers.

B. Bidding Procedures
1. Round Structure
The initial bidding schedule will be announced in the public notice listing the qualified bidders, which is 
released approximately 10 days before the start of the auction.  This public notice will be included in the 
registration mailings.  The round structure for each bidding round contains a single bidding round 
followed by the release of the round results.  Multiple bidding rounds may be conducted in a given day.  
Details regarding round results formats and locations will also be included in the above public notice.

The FCC has discretion to change the bidding schedule in order to foster an auction pace that reasonably 
balances speed with the bidders' need to study round results and adjust their bidding strategies.  The FCC 
may increase or decrease the amount of time for the bidding rounds and review periods, or the number of 
rounds per day, depending upon the bidding activity level and other factors.

2. Reserve Price or Minimum Opening Bid
Background.  The Balanced Budget Act calls upon the Commission to prescribe methods by which a 
reasonable reserve price will be required or a minimum opening bid established when FCC licenses are 
subject to auction (i.e., because they are mutually exclusive), unless the Commission determines that a 
reserve price or minimum opening bid is not in the public interest.  Consistent with this mandate, the 
Commission directed the Bureau to seek comment on the use of a minimum opening bid and/or reserve 
price prior to the start of each auction.   Among other factors, the Bureau must consider the amount of 
spectrum being auctioned, levels of incumbency, the availability of technology to provide service, the 
size of the geographic service areas, the extent of interference with other spectrum bands, and any other 
relevant factors that could have an impact on the spectrum being auctioned.   The Commission 
concluded that the Bureau should have the discretion to employ either or both of these mechanisms for 
future auctions. 

In the Auction No. 35 Comment Public Notice, the Bureau proposed to establish minimum opening bids 
for Auction No. 35 and to retain discretion to lower the minimum opening bids.  Specifically, for 
Auction No. 35, the Commission proposed the following formula for minimum opening bids:

Tier 1

(1) 15 MHz licenses  -  5 % of most recent net high bid for C block licenses in same BTA

(2) 10 MHz licenses  -  3.2 % of most recent net high bid for C block licenses in same BTA

Tier 2

(1) 15 MHz licenses  -  2.5 % of most recent net high bid for C block licenses in same BTA

(2) 10 MHz licenses  -  1.6 % of most recent net high bid for C block licenses in same BTA


In the alternative, the Bureau sought comment on whether, consistent with the Balanced 
Budget Act, the public interest would be served by having no minimum opening bid or reserve price. 

We will adopt minimum opening bids for Auction No. 35, which are reducible at the discretion of the 
Bureau. Congress has enacted a presumption that unless the Commission determines otherwise, minimum 
opening bids or reserve prices are in the public interest. 

BellSouth/SBC propose that the Bureau set minimum opening bids that are not proportionately different 
between Tier 1 and Tier 2, i.e., using percentages that do not vary between the two tiers.   
BellSouth/SBC seem to imply that the percentages for the Tier 1 licenses should be lowered to match 
those for Tier 2.  BellSouth/SBC do not recognize that the Bureau previously proposed percentages that 
did not vary between the two tiers, and compared with the minimum opening bids we proposed in the 
Auction No. 35 Public Notice, we have reduced by approximately one-half the proposed minimum 
opening bids for the Tier 2 licenses. 

BellSouth/SBC argue that the Bureau should base C block minimum opening bids on previous net high 
bids for 15 MHz C block licenses, where applicable, and F block minimum opening bids on previous net 
high bids for F block licenses.   Adopting BellSouth/SBC's proposal, however, would entail setting 
minimum opening bids based on previous net high bids not only from Auction No. 5 and Auction No. 10 
- which were similar, closed within months of each other, and provide a complete and consistent set of 
data - but also from Auction No. 11 and Auction No. 22, which were very different and took place later 
(nearly three years later in the case of Auction No. 22). We are not convinced by BellSouth/SBC's 
arguments and adopt the proposed formula for minimum opening bids (with clarification): 

Tier 1

(1) 15 MHz licenses  -  5 % of most recent net high bid for 30 MHz C block license in same BTA

(2) 10 MHz licenses  -  3.2 % of most recent net high bid for 30 MHz C block license in same BTA

Tier 2

(1) 15 MHz licenses  -  2.5 % of most recent net high bid for 30 MHz C block license in same BTA

(2) 10 MHz licenses  -  1.6 % of most recent net high bid for 30 MHz C block license in same BTA

We conclude that the adopted formula presented here best meets the objectives of our authority in 
establishing reasonable minimum opening bids.  We have noted in the past that the reserve price and 
minimum opening bid provision is not a requirement to maximize auction revenue but rather a protection 
against assigning licenses at unacceptably low prices, and that we must balance the revenue raising 
objective against our other public interest objectives in setting the minimum bid level.   For the sake of 
auction integrity and fairness, minimum opening bids must be set in a manner that is consistent across 
licenses. 

As a final safeguard against unduly high pricing, minimum opening bids are reducible at the discretion of 
the Bureau.  This will allow the Bureau flexibility to adjust the minimum opening bids if circumstances 
warrant.  We emphasize, however, that such discretion will be exercised, if at all, sparingly and early in 
the auction, i.e., before bidders lose all waivers and begin to lose substantial eligibility.  During the 
course of the auction, the Bureau will not entertain any bidder requests to reduce the minimum opening 
bid on specific licenses.

3. Bid Increments and Minimum Accepted Bids
In the Auction No. 35 Comment Public Notice, we proposed to use a smoothing methodology to calculate 
minimum bid increments.   We further proposed to retain the discretion to change the minimum bid 
increment if circumstances so dictate.   We received no comment on this issue.

We will adopt our proposal for a smoothing formula.  The smoothing methodology is designed to vary 
the increment for a given license between a maximum and minimum value based on the bidding activity 
on that license.  This methodology allows the increments to be tailored to the activity level of a license, 
decreasing the time it takes for active licenses to reach their final value.  The formula used to calculate 
this increment is included as Attachment G.

We adopt our proposal of initial values for the maximum of 0.2 (20 percent of the license value) and for 
the minimum of 0.1 (10 percent of the license value).  The Bureau retains the discretion to change the 
minimum bid increment if it determines that circumstance so dictate. The Bureau will do so by 
announcement in the Automated Auction System.  Under its discretion, the Bureau may also implement 
an absolute dollar floor for the bid increment to further facilitate a timely close of the auction.  The 
Bureau may also use its discretion to adjust the minimum bid increment without prior notice if 
circumstances warrant.  As an alternative approach, the Bureau may, in its discretion, adjust the 
minimum bid increment gradually over a number of rounds as opposed to single large changes in the 
minimum bid increment (e.g., by raising the increment floor by one percent every round over the course 
of ten rounds).  The Bureau also retains the discretion to use alternate methodologies, such as a flat 
percentage increment for all licenses, for Auction No. 35 if circumstances warrant.

4. High Bids
Each bid will be date- and time-stamped when it is entered into the FCC computer system.  In the event 
of tied high bids (identical gross bid amounts) for a license during a round, the earliest of the tied bids 
will be the standing high bid at the end of the round. The bidding software allows bidders to make 
multiple submissions in a round.  As each bid is individually date- and time-stamped according to when it 
was submitted, bids submitted by a bidder earlier in a round will have an earlier date and time stamp than 
bids submitted later in a round.

5. Bidding
During a bidding round, a bidder may submit bids for as many licenses as it wishes (subject to its 
eligibility), withdraw high bids from previous bidding rounds, remove bids placed in the same bidding 
round, or permanently reduce eligibility.  Bidders also have the option of making multiple submissions 
and withdrawals in each bidding round.  If a bidder submits multiple bids for a single license in the same 
round, the system takes the last bid entered as that bidder's bid for the round, and the date- and time-
stamp of that bid reflects the latest time the bid was submitted.

Please note that all bidding will take place remotely either through the automated bidding software or by 
telephonic bidding.  (Telephonic bid assistants are required to use a script when entering bids placed by 
telephone.  Telephonic bidders are therefore reminded to allow sufficient time to bid by placing their 
calls well in advance of the close of a round. Normally, four to five minutes are necessary to complete a 
bid submission.)  There will be no on-site bidding during Auction No. 35.

A bidder's ability to bid on specific licenses in the first round of the auction is determined by three 
factors:  (1) the licenses applied for on FCC Form 175, (2) eligibility restrictions on those licenses, and 
(3) the upfront payment amount deposited.  The bid submission screens will be tailored for each bidder to 
include only those licenses for which the bidder applied on its FCC Form 175.  A bidder also has the 
option to further tailor its bid submission screens to call up specified groups of licenses.

The bidding software requires each bidder to login to the FCC auction system during the bidding round 
using the FCC account number, bidder identification number, and the confidential security codes 
provided in the registration materials.  Bidders are strongly encouraged to download and print bid 
confirmations after they submit their bids.

The bid entry screen of the Automated Auction System software for Auction No. 35 allows bidders to 
place multiple increment bids.  Specifically, high bids may be increased from one to nine bid increments.  
A single bid increment is defined as the difference between the standing high bid and the minimum 
acceptable bid for a license.  The bidding software will display the bid increment for each license.

To place a bid on a license, the bidder must increase the standing high bid by one to nine times the bid 
increment.  This is done by entering a whole number between 1 and 9 in the bid increment multiplier 
(Bid Mult) field in the software.  This value will determine the amount of the bid (Amount Bid) by 
multiplying the bid increment multiplier by the bid increment and adding the result to the high bid 
amount according to the following formula:

Amount Bid  =  High Bid + (Bid Mult * Bid Increment)

Thus, bidders may place a bid that exceeds the standing high bid by between one and nine times the bid 
increment.  For example, to bid the minimum acceptable bid, which is equal to one bid increment, a 
bidder will enter "1" in the bid increment multiplier column and press submit.

For any license on which the FCC is designated as the high bidder (i.e., a license that has not yet received 
a bid in the auction or where the high bid was withdrawn and a new bid has not yet been placed), bidders 
will be limited to bidding only the minimum acceptable bid.  In both of these cases no increment exists 
for the licenses, and bidders should enter "1" in the Bid Mult field.  Note that in this case, any whole 
number between 1 and 9 entered in the multiplier column will result in a bid value at the minimum 
acceptable bid amount.  Finally, bidders are cautioned in entering numbers in the Bid Mult field because, 
as explained in the following section, a high bidder that withdraws its standing high bid from a previous 
round, even if mistakenly or erroneously made, is subject to bid withdrawal payments.

6. Bid Removal and Bid Withdrawal
In the Auction No. 35 Comment Public Notice, we proposed bid removal and bid withdrawal rules.  With 
respect to bid withdrawals, we proposed limiting each bidder to withdrawals in no more than two rounds 
during the course of the auction.  The two rounds in which withdrawals are utilized, we proposed, would 
be at the bidder's discretion.  Verizon believes the number of rounds in the auction during which a bidder 
may withdraw standing high bids should be set at four.  BellSouth/SBC support Verizon's position; 
AT&T opposes it.   We reject Verizon's request, for the reasons discussed below.

In previous auctions, we have detected bidder conduct that, arguably, may have constituted strategic 
bidding through the use of bid withdrawals.  While we continue to recognize the important role that bid 
withdrawals play in an auction, i.e., reducing risk associated with efforts to secure various geographic 
area licenses in combination, we conclude that, for Auction No. 35, adoption of a limit on their use to 
two rounds is the most appropriate outcome.  By doing so we believe we strike a reasonable compromise 
that will allow bidders to use withdrawals.  Our decision on this issue is based upon our experience in 
prior auctions, particularly the PCS D, E and F block auctions, and 800 MHz SMR auction, and is in no 
way a reflection of our view regarding the likelihood of any speculation or "gaming" in this auction.

The Bureau will therefore limit the number of rounds in which bidders may place withdrawals to two 
rounds.  These rounds will be at the bidder's discretion and there will be no limit on the number of bids 
that may be withdrawn in either of these rounds.  Withdrawals during the auction will still be subject to 
the bid withdrawal payments specified in 47 C.F.R.  1.2104(g).  Bidders should note that abuse of the 
Commission's bid withdrawal procedures could result in the denial of the ability to bid on a market.  If a 
high bid is withdrawn, the license will be offered in the next round at the second highest bid price, which 
may be less than, or equal to, in the case of tie bids, the amount of the withdrawn bid, without any bid 
increment.   The Commission will serve as a "place holder" on the license until a new acceptable bid is 
submitted on that license.

Procedures.   Before the close of a bidding round, a bidder has the option of removing any bids placed in 
that round.  By using the "remove bid" function in the software, a bidder may effectively "unsubmit" any 
bid placed within that round.  A bidder removing a bid placed in the same round is not subject to 
withdrawal payments.  Removing a bid will affect a bidder's activity for the round in which it is 
removed, i.e., a bid that is subsequently removed does not count toward the bidder's activity requirement.  
This procedure, about which we received no comments, will enhance bidder flexibility during the 
auction.  Therefore, we will adopt these procedures for Auction No. 35.

Once a round closes, a bidder may no longer remove a bid.  However, in later rounds, a bidder may 
withdraw standing high bids from previous rounds using the "withdraw bid" function (assuming that the 
bidder has not exhausted its withdrawal allowance).  A high bidder that withdraws its standing high bid 
from a previous round during the auction is subject to the bid withdrawal payments specified in 47 
C.F.R.  1.2104(g). 

Calculation.   Generally, the Commission imposes payments on bidders that withdraw high bids during 
the course of an auction.   If a bidder withdraws its bid and there is no higher bid in the same or 
subsequent auction(s), the bidder that withdrew its bid is responsible for the difference between its 
withdrawn bid and the net high bid in the same or subsequent auction(s).  In the case of multiple bid 
withdrawals on a single license, within the same or subsequent auctions(s), the payment for each bid 
withdrawal will be calculated based on the sequence of bid withdrawals and the amounts withdrawn.  No 
withdrawal payment will be assessed for a withdrawn bid if either the subsequent winning bid or any of 
the intervening subsequent withdrawn bids, in either the same or subsequent auctions(s), equals or 
exceeds that withdrawn bid.  Thus, a bidder that withdraws a bid will not be responsible for any 
withdrawal payments if there is a subsequent higher bid in the same or subsequent auction(s).  This 
policy allows bidder to most efficiently allocate their resources as well as to evaluate their bidding 
strategies and business plans during an auction while, at the same time, maintaining the integrity of the 
auction process.  The Bureau retains the discretion to scrutinize multiple bid withdrawals on a single 
license for evidence of anti-competitive strategic behavior and take appropriate action when deemed 
necessary.

In the Part 1 Fifth Report and Order, the Commission modified Section 1.2104(g)(1) of the rules 
regarding assessments of interim bid withdrawal payments.   As amended, Section 1.2104(g)(1) provides 
that in instances in which bids have been withdrawn on a license that is not won in the same auction, the 
Commission will assess an interim withdrawal payment equal to 3 percent of the amount of the bid 
withdrawals.  The 3 percent interim payment will be applied toward any final bid withdrawal payment 
that will be assessed at the close of the subsequent auction of the license.  Assessing an interim bid 
withdrawal payment ensures that the Commission receives a minimal withdrawal payment pending 
assessment of any final withdrawal payment.  The Part 1 Fifth Report and Order provides specific 
examples showing application of the bid withdrawal payment rule. 

7. Round Results
Bids placed during a round will not be published until the conclusion of that bidding period.  After a 
round closes, the Commission will compile reports of all bids placed, bids withdrawn, current high bids, 
new minimum accepted bids, and bidder eligibility status (bidding eligibility and activity rule waivers), 
and post the reports for public access. Reports reflecting bidders' identities and bidder identification 
numbers for Auction No. 35 will be available before and during the auction.  Thus, bidders will know in 
advance of this auction the identities of the bidders against which they are bidding.

8. Auction Announcements
The FCC will use auction announcements to announce items such as schedule changes and stage 
transitions.  All FCC auction announcements will be available on the FCC remote electronic bidding 
system, as well as on the Internet.

9. Maintaining the Accuracy of FCC Form 175 Information
As noted in Part II.J., after the short-form filing deadline, applicants may make only minor changes to 
their FCC Form 175 applications.  For example, permissible minor changes include deletion and addition 
of authorized bidders (to a maximum of three) and certain revision of exhibits.  Filers must make these 
changes on-line, and submit a letter summarizing the changes to:

Louis Sigalos, Deputy Chief
Auctions and Industry Analysis Division
Wireless Telecommunications Bureau
Federal Communications Commission
445 12th Street, SW, Room 4-A668
 Washington, DC 20554

A separate copy of the letter should be mailed to Audrey Bashkin, Auctions and Industry Analysis 
Division, Wireless Telecommunications Bureau, Federal Communications Commission, 445 12th Street, 
SW, Room 4-A665, Washington, DC 20554.  Questions about other changes should be directed to 
Audrey Bashkin at (202) 418-0660.

V. POST-AUCTION PROCEDURES
A. Down Payments and Withdrawn Bid Payments
After bidding has ended, the Commission will issue a public notice declaring the auction closed, 
identifying the winning bids and bidders for each license, and listing withdrawn bid payments due.

Within ten business days after release of the auction closing notice, each winning bidder must submit 
sufficient funds (in addition to its upfront payment) to bring its total amount of money on deposit with 
the Government to 20 percent of its net winning bids (actual bids less any applicable small and very 
small business bidding credits).  See 47 C.F.R.  1.2107(b).  In addition, by the same deadline all bidders 
must pay any withdrawn bid amounts due under 47 C.F.R.  1.2104(g), as discussed in "Bid Removal 
and Bid Withdrawal," Part IV.B.6.  (Upfront payments are applied first to satisfy any withdrawn bid 
liability, before being applied toward down payments.)

B. Long-Form Application
Within ten business days after release of the auction closing notice, winning bidders must electronically 
submit a properly completed long-form application and required exhibits for each license won through 
Auction No. 35.  Winning bidders that are entrepreneurs and/or small or very small businesses must 
include an exhibit demonstrating their eligibility for small and very small business bidding credits.  See 
47 C.F.R.  1.2112(b), 24.709(c)(2)(i).  Further filing instructions will be provided to auction winners at 
the close of the auction.

C. Tribal Land Bidding Credit
A winning bidder that intends to use its license(s) to deploy facilities and provide services to federally-
recognized tribal lands that are unserved by any telecommunications carrier or that have a telephone 
service penetration rate equal to or below 70 percent is eligible to receive a tribal land bidding credit as 
set forth in 47 C.F.R.  1.2107 and 1.2110(e).  A tribal land bidding credit is in addition to, and separate 
from, any other bidding credit for which a winning bidder may qualify.

Unlike other bidding credits that are requested prior to the auction, a winning bidder applies for the tribal 
land bidding credit after winning the auction when it files its long-form application (FCC Form 601).  In 
order for a winning bidder to be awarded a tribal land bidding credit, it must provide specific 
certifications regarding the servicing of tribal lands and is subject to specific performance criteria as set 
forth in 47 C F R  1.2110(e).

For additional information on the tribal land bidding credit, including how to determine the amount of 
credit available, see Public Notice DA 00-2219, released September 28, 2000, entitled Wireless 
Telecommunications Bureau Announces Availability of Bidding Credits For Providing Wireless Services 
To Qualifying Tribal Lands.

D. Auction Discount Voucher
On June 8, 2000, the Commission awarded Qualcomm, Inc. a transferable Auction Discount Voucher in 
the amount of $125,273,878.00.   This Auction Discount Voucher may be used by Qualcomm or its 
transferee, in whole or in part, to adjust a winning bid in any spectrum auction prior to June 8, 2003, 
subject to terms and conditions set forth in the Commission's Order.

E. Default and Disqualification
Any high bidder that defaults or is disqualified after the close of the auction (i.e., fails to remit the 
required down payment within the prescribed period of time, fails to submit a timely long-form 
application, fails to make full payment, or is otherwise disqualified) will be subject to the payments 
described in 47 C.F.R.  1.2104(g)(2).  In such event the Commission may re-auction the license or offer 
it to the next highest bidder (in descending order) at their final bid.  See 47 C.F.R.  1.2109(b) and (c).  In 
addition, if a default or disqualification involves gross misconduct, misrepresentation, or bad faith by an 
applicant, the Commission may declare the applicant and its principals ineligible to bid in future 
auctions, and may take any other action that it deems necessary, including institution of proceedings to 
revoke any existing licenses held by the applicant.  See 47 C.F.R.  1.2109(d).

F. Refund of Remaining Upfront Payment Balance
All applicants that submitted upfront payments but were not winning bidders for a license in Auction No. 
35 may be entitled to a refund of their remaining upfront payment balance after the conclusion of the 
auction.  No refund will be made unless there are excess funds on deposit from that applicant after any 
applicable bid withdrawal payments have been paid.

Qualified bidders that have exhausted all of their activity rule waivers, have no remaining bidding 
eligibility, and have not withdrawn a high bid during the auction must submit a written refund request.  If 
you have completed the refund instructions electronically, then only a written request for the refund is 
necessary.  If not, the request must also include wire transfer instructions and a Taxpayer Identification 
Number (TIN).  Send refund request to:

Federal Communications Commission
Financial Operations Center
Auctions Accounting Group
Shirley Hanberry
445 12th Street, SW, Room 1-A824
Washington, DC  20554

Bidders are encouraged to file their refund information electronically using the refund information 
portion of the FCC Form 175, but bidders can also fax their information to the Auctions Accounting 
Group at (202) 418-2843.  Once the information has been approved, a refund will be sent to the party 
identified in the refund information.

NOTE:  Refund processing generally takes up to two weeks to complete.  Bidders 
with questions about refunds should contact Tim Dates or Gail Glasser at  (202) 418-
1995.

Media Contact: Meribeth McCarrick at (202) 418-0654

Auctions and Industry Analysis Division: Audrey Bashkin, Legal Branch or Craig Bomberger, 
Auctions Operations Branch, at (202) 418-0660; Lisa Stover, Auctions Operations Branch, at (717) 338-
2888

Commercial Wireless Division: Gary Oshinsky, Policy and Rules Branch at (202) 418-7167 or JoAnn 
Epps, Licensing and Technical Analysis Branch at (202) 418-0620
- FCC -

VI. ATTACHMENT A
(Place Holder)

VII. ATTACHMENT B

FCC AUCTION SEMINAR REGISTRATION FORM

Auction No. 35

The FCC will sponsor a one-day seminar for Auction No. 35 applicants.  The seminar is free of charge 
and will provide information about pre-auction procedures, service and auction rules, conduct of the 
auction, and the FCC remote bidding software.

A maximum of two representatives from each company may attend on a reservation basis, first-come 
first-served until room capacity is filled.  Additional seating may be available on a stand-by basis the day 
of the seminar.  The seminar will be held:

Friday, October 20, 2000
Federal Communications Commission
445 12th Street SW
Washington, DC  20554
Registration 8:30 a.m. - 9:30 a.m.
Seminar 9:30 a.m. - 4 p.m.
If hotel accommodations are needed
Please contact 1-888-225-5322 (option #2) for a list of hotels in the area
**********************************
To register, complete the form below and
return no later than
Wednesday, October 18, 2000, by mail or fax to:

FCC Auction 35
Auctions Operations Branch
1270 Fairfield Road
Gettysburg, PA  17325-7245

FAX:  717-338-2850
Phone:  717-338-2888
_______________________________________________________
I/We will attend the Auction No. 35 Seminar, scheduled for Friday, October 20, 2000.


Name of attendee: _____________________________________________________
Name of attendee: _____________________________________________________
Company name:  ______________________________________________________
Phone: __________________________   Fax: ______________________________

VIII. ATTACHMENT C
ELECTRONIC FILING AND REVIEW
OF THE FCC FORM 175

Applicants must submit their FCC Form 175 applications electronically, using either the FCC 
Auctions System page on the Internet or the Commission's remote access system.  The remote 
access system will generally be available 24 hours per day.  FCC Form 175 applications must be 
submitted and confirmed by 6:00 p.m. ET on Monday, November 6, 2000.  Late applications or 
unconfirmed submissions of electronic data will not be accepted.

Applicants must press the Submit Form 175 button on the Submit page to successfully submit 
their FCC Form 175.  The electronic filing process consists of an initial filing period and a 
resubmission period to make minor corrections.  During each filing period, submitted 
applications may be updated and amended multiple times until the filing deadline.


A. Minimum Hardware and Software Requirements
Applicants will need to meet the following minimum hardware and software requirements:


1. Minimum Hardware Requirements
? CPU:  Intel Pentium
RAM: 16 MB (more recommended if you have multiple applications open)
Modem:  28.8 Kbps Hayes compatible modem or faster (recommend 56.6 Kbps)
Monitor:  VGA or above
Mouse or other pointing device


2. Minimum Software Requirements
? Operating System: Microsoft Windows 95 or 98

? Web Browser:  Netscape Communicator 4.73 is recommended.  However, you can also use 
Netscape Communicator 4.5, 4.51, 4.61, 4.7, or 4.72 (Internet web browser software).

Note:  To download Netscape Communicator 4.73 free of charge, access the Netscape 
download site at http://home.netscape.com/download/

? PDF Viewer:  Adobe Acrobat Reader 3.0 or higher (available at http://www.adobe.com)

If you wish to use the download feature in the Form 175 Review, you will need a .tar file 
extraction utility, e.g., Winzip (available at http://www.winzip.com) or Pkzip for Windows 
(available at http://www.pkware.com/download.html). 
B. Submitting FCC Form 175 Applications
You can submit FCC Form 175 applications electronically via the Internet.  Start your Netscape 
Web browser.  In your browser's Location field, enter http://wtbwww15.fcc.gov and then click 
175 Submit.

Note:  If you have problems with the Internet, you may submit FCC Form 175 
applications via the FCC Wide-Area Network, using Dial-Up Networking.  For details, 
refer to the Accessing the FCC Network to File FCC Form 175 attachment.

When uploading attachments in FCC Form 175 Submission, applicants may use a variety of file 
formats -- including Word 97 or earlier, WordPerfect 6.x or earlier, Adobe PDF, and ASCII text -
- and should verify that the files contain all exhibit information.  Graphics file uploads (e.g., 
.bmp, .tiff, .jpg) and spreadsheets (e.g., Excel, Lotus) are not supported, and graphics images 
should not be imported into any word processing files that are uploaded.  Do not upload a 
password-protected file.  The FCC system will not be able to open it or convert it.

After you upload an attachment and it has been converted, check to see if it converted properly by 
selecting the PDF filename in the rightmost column. The conversion process generally completes 
within thirty minutes.  If you are unable to read this file after it has been converted, please do the 
following:

1.	Re-upload the attachment.

2.	If the file still has not converted properly, then simplify the formatting of the file.  

	For example, if you are using a Table structure in a WordPerfect document, remove the Table 
structure and leave the contents of the table, then re-upload the attachment.

After you have successfully re-uploaded an attachment, please delete the old, unreadable 
attachment files.

Applicants must press the Submit Form 175 button on the Submit page to successfully submit 
their FCC Form 175.  Pressing Submit Form 175 produces a confirmation message showing the 
assigned FCC Account Number.  During each filing period, submitted applications may be 
updated and amended multiple times until the filing deadline.


C. Reviewing FCC Form 175 Applications
Once the FCC has completed the 175 Review process, you can review FCC Form 175 
applications electronically via the Internet.  Start your Netscape Web browser.  In your browser's 
Location field, enter http://wtbwww15.fcc.gov and then click 175 Review.


D. Help
For technical assistance with installing or using FCC software, contact the FCC Technical 
Support Hotline at (202) 414-1250 (V) or (202) 414-1255 (TTY).  The FCC Technical Support 
Hotline is generally available Monday through Friday from 7 a.m. to 10 p.m. ET, Saturday from 
8 a.m. to 7 p.m. ET, and Sunday from 12 p.m. to 6 p.m. ET.  All calls to the FCC Technical 
Support Hotline are recorded.


IX. ATTACHMENT D
GUIDELINES FOR COMPLETION OF FCC FORM 175 AND EXHIBITS

A. FCC Form 175
Because of the significance of the FCC Form 175 application to the auction, bidders should especially 
note the following: 

Applicant Name: Name given is used as your bidder name in the auction.

Address:  Give a street address (not a Post Office box number) for the applicant, suitable for mail or 
private parcel delivery. 

Applicant Classification: Applicants must indicate their legal classification.  The FCC Form 175 
requires the applicant to classify itself as an individual, joint venture, partnership, trust, corporation, 
consortium, association, limited liability company (LLC) or government entity.  

Applicant Status: Applicants are also requested to indicate their status as a rural telephone company, 
minority-owned business and/or women-owned business, so that the FCC can monitor its performance in 
promoting economic opportunities for these designated entities.

Bidding Credit Eligibility: Be advised that this is the sole opportunity applicants have to elect small 
business or very small business status and bidding credit level (if applicable), and there is no opportunity 
to change the election once the short-form filing deadline passes. 

? Small business or very small business applicants should enter the applicable bidding credit from the 
drop down menu.  Applicants should be aware that this is the sole opportunity that they will have to 
elect the appropriate bidding credit.

License Selection: Applicants should identify all licenses on which they want to be eligible to bid in the 
auction.  Be advised that there is no opportunity to change this list once the short-form filing deadline 
passes.  It is critically important that you confirm the licenses that you have selected because the FCC 
auction system will not accept bids on licenses for which an applicant has not applied on its FCC Form 
175.  Note that there are multiple channel blocks offered in some geographic areas ("Markets") 
and each of these licenses must be selected individually (i.e., selecting channel block C3 in market 
BTA004 does not make you eligible to bid on channel block C4 in market BTA004).  Each row in 
this license list represents a single license, shown as one market and channel block.  Please confirm your 
license selection, by clicking on the "Confirm" button.

Authorized Bidders:  Applicants must list the name(s) of the person(s) (no more than three) authorized 
to represent them at the auction.  Only those individuals listed on the FCC Form 175 will be authorized 
to place or withdraw bids for the applicant during the auction.  Note: Applicants may only share a 
common authorized bidder(s) if each applicant has selected separate markets.  See 47 CFR  
1.2105(c).

Certifications:  Applicants should carefully read the list of certifications on the FCC Form 175.  These 
certifications help to ensure a fair and competitive auction and require, among other things, disclosure to 
the Commission of certain information on applicant ownership and agreements or arrangements 
concerning the auction.  Submission of an FCC Form 175 application constitutes a representation by the 
certifying official that he or she is an authorized representative of the applicant, has read the form's 
instructions and certifications, and that the contents of the application and its attachments are true and 
correct.  Submission of a false certification to the Commission may result in penalties, including 
monetary forfeitures, license forfeitures, ineligibility to participate in future auctions, and/or criminal 
prosecution.

Contact person/address: If the Commission wishes to communicate with the applicant by telephone or 
fax, those communications will be directed to the contact person identified on the FCC Form 175.  Space 
is provided for an address, telephone number, fax number, and e-mail address.  All written 
communication and registration information will be directed to the applicant's contact person at the 
address specified on the FCC Form 175.  Applicants must provide a street address; no P.O. Box 
addresses may be used.

Completeness:  Applicants must submit all information required by the FCC Form 175 and by applicable 
rules.  Failure to submit required information by the resubmission date will result in dismissal of the 
application and inability to participate in the auction.  See 47 C.F.R.  1.2105(b).

NOTE:	Applicants must press the "Submit Form 175" button on the "Submit" page to 
successfully submit their FCC Form 175.

Continuing Accuracy: Each applicant is responsible for the continuing accuracy and completeness of 
information furnished in the FCC Form 175 and its exhibits.  See 47 C.F.R.  1.65.  It is the FCC's 
position that during the conduct of an auction, thirty business days from a reportable change is a 
reasonable period of time.  Applicants are reminded that they consent to be audited in the certification 
section of the FCC Form 175 (see certification item number 6).

B. Exhibits and Attachments
In addition to the FCC Form 175 itself, applicants must submit additional information required by the 
FCC's rules.  Although the FCC does not require a particular format for this information, it has developed 
the following guidelines that will facilitate the processing of short-form applications.  The FCC 
encourages applicants to submit this information using the following format.

If you find that an attachment has not converted properly to Adobe PDF format, take the 
following steps:

1)  Simplify the formatting of the file.  For example, if using a Table structure in a WordPerfect document, 
remove the Table structure leaving the contents of the table, re-save the document.
2)  Re-upload the attachment.
3)  When the re-uploaded attachment has successfully converted, delete the failed attachment.

NOTE:	Applicants should not list their TIN numbers on any exhibits to their FCC Form 175s.

Exhibit A -- Applicant Identity and Ownership Information:  47 C.F.R.  1.2105(a)(2)(ii)  requires each 
applicant to fully disclose the real party or parties-in-interest in an exhibit to its FCC Form 175 application. 
Each member of an applicant applying to bid as a small or very small business consortium must provide this 
information.  The following information is required:

1. General Information
Applicant Status
Required Information
General Partnership
Name, citizenship, and address of all partners, and the share or interest 
participation of each partner
Limited Partnership
Name, citizenship, and address of each limited partner whose interest in 
the applicant is equal to or greater than 10 percent  (as calculated 
according to the percentage of equity paid in and the percentage of 
distribution of profits and losses) 
Corporation
Corporate name and address; and name, title, and citizenship of a 
responsible officer or director
Limited Liability Corporation
Corporate name and address; and name, address, and citizenship of all 
members
Trust
Name, citizenship, and address of trustee
None of the above
Name, citizenship, title or other relation to the applicant, and address of 
a principal or other responsible person

2. Ownership Information
Applicant Status
Required Information
All applicants 
Name, citizenship, and address of all controlling interests of the 
applicant as defined in Part II.C.4 of this public notice.
All applicants 
Name, citizenship, and address of all parties holding 10 percent or more 
of each class of stock, warrants, options or debt securities and the 
amount and percentage held.
All applicants
Name of all parties holding a 10 percent or greater interest in the 
applicant and the specific amount held.
All applicants
List of all parties holding indirect ownership interests in the applicant as 
determined by successive multiplication of the ownership percentages in 
each link of the vertical ownership chain, that equals 10 percent or more 
of the applicant, except that if the ownership percentage for any link in 
the chain exceeds 50 percent or represents actual control, it shall be 
reported as if it were a 100 percent interest.

Example.  Company A owns 10% of Company B, which owns 60% of 
Company C, which owns 25% of the applicant.  Company B's interest in 
the applicant would be 25% (the same as Company C's interest since 
Company B's interest in Company C exceeds 50%), and Company A's 
interest in the applicant would be 2.5% (0.1 * 0.25).  Under the 10% 
attribution benchmark, Company B's interest in the applicant must be 
reported on the applicant's FCC Form 175 Exhibit A, while Company 
A's interest in the applicant need not be reported.  However, if Company 
A owned 40% of Company B in the above example, then Company A's 
interest in the applicant would be 10% (0.4 * 0.25), and the applicant 
would need to report it on the applicant's FCC Form 175 Exhibit A
All applicants
List of any FCC-licensed entity or applicant for an FCC license, in 
which

a. the applicant; 

b. any party with a 10 percent or greater interest in the applicant; or 

c. a controlling interest (as discussed in Part II.C.4 of this public 
notice) that owns a 10 percent or greater interest of the applicant 
or 10 percent or more of any class of stock, warrants, options or 
debt securities of the applicant. (See also 47 C.F.R.  1.2110)  
This list must include a description of each such entities' principal 
business and a description of each such entities' relationship to the 
applicant. 

Example of a.  The applicant owns 10 percent of Company A (an FCC 
licensed entity or an applicant for an FCC license).  The applicant must 
list Company A on its FCC Form 175 Exhibit A and provide the 
required information.

Example of b.  Company A owns 10 percent of the applicant and 10 
percent of Company B (an FCC licensed entity or an applicant for an 
FCC license).  The applicant must list both Company A and Company B 
on its FCC Form 175 Exhibit A and provide the required information.

Example of c.  Company A owns 55% of the applicant and owns 10 
percent of Company B (an FCC licensed entity or an Applicant for an 
FCC license).  The applicant must list both Company A and Company B 
on its FCC Form 175 Exhibit A and provide the required information.
.

Exhibit B - Agreements with Other Parties/Joint Bidding Arrangements:  Applicants must attach an 
exhibit identifying all parties with which they have entered into any agreements, arrangements or 
understandings which relate in any way to the licenses being auctioned, including any relating to the post-
auction market structure.  See 47 C.F.R. 1.2105(a)(2)(viii).

Be aware that pursuant to Certification (4) on the FCC Form 175, the applicant certifies that it will not enter 
into any explicit or implicit agreements or understandings of any kind with parties not identified in the 
application regarding bid amounts, bidding strategies, or the particular licenses the applicant will or will not 
bid.  See 47 C.F.R.  1.2105(a)(2)(ix).  To prevent collusion, the Commission's Rules generally prohibit 
communication among applicants for the same license areas between the initial short-form applications 
filing deadline and the down payment on licenses won, when such communications concern bids, bidding 
strategies, or settlements.  47 C.F.R.  1.2105(c).

Exhibit C - Entrepreneur Eligibility: Applicants applying to bid on closed licenses must attach an 
Exhibit C showing separately and in the aggregate, the gross revenues for each of the preceding two 
years and the total assets of each of the following: (1) the applicant; (2) the applicant's affiliates; (3) the 
applicant's controlling interests; and (4) the affiliates of the applicant's controlling interests.  
Certification that, as of the FCC Form 175 filing deadline, the applicant, together with its affiliates and 
persons or entities that hold interests in the applicant and their affiliates, has total assets of less than $500 
million and has had gross revenues of less that $125 million in each of the last two years is not sufficient. 
The applicant must provide separately for itself, its affiliates, its controlling interests, and their affiliates 
a schedule of gross revenues for each of the preceding two years.  As stated, entities applying for closed 
bidding under the grandfather exception (47 C.F.R.  24.709(b)(i)) need not meet the total assets and 
gross revenues limits of Section 24.709(a) of the Commission's rules.  By submitting the FCC Form 175, 
applicants certify that they are eligible to participate in Auction No. 35 under all of the Commission's 
rules.  Applicants claiming auction eligibility under the grandfather exception should note the 
Commission's clarification of this exception in the C/F Block Sixth Report and Order. 

Exhibit D -Status as a Small Business or Very Small Business:  Applicants claiming status as a very 
small business or small business must attach an exhibit providing the following information regarding this 
status.

Entity
Required Information
Applicant
Average annual gross revenues for the preceding three years set forth 
both separately (e.g., for each of the three preceding three years 
individually) and in the aggregate (for all of the preceding three years 
combined).  Certification that the average annual gross revenues for the 
preceding three years do not exceed the required limit, or providing 
average gross revenues for the 3-year period without providing the 
gross revenues for each of the preceding three years, is insufficient. 
Applicant's Affiliates
See 47 CFR  1.2110
Same information required as discussed above
Applicant's Controlling Interests 
See Part II.C.4, supra.
Same information required as discussed above

Example.  The applicant had gross revenues of $500,000 in 1997, 
$1,000,000 in 1998, and $3,000,000 in 1999, with average gross 
revenues for that time period of $1,500,000.  The applicant owns 60% 
of Company A, making Company A an affiliate of the applicant under 
Section 1.2110(c)(4)(i)(B), and Company B owns 52% of the applicant 
(making Company B a controlling interest of the applicant, as defined 
in Part II.C.4 of this public notice.  The applicant's Exhibit C would 
look like this:

Applicant Name

1997 gross revenues
$ 500,000

1998 gross revenues
$ 1,000,000

1999 gross revenues
$ 3,000,000

Average gross revenues


for the preceding 3 years
$ 1,500,000

Company A (an affiliate of the applicant)

1997 gross revenues
$    enter amount

1998 gross revenues
$    enter amount

1999 gross revenues
$    enter amount

Average gross revenues for 
the preceding 3 years

$    enter amount

Company B (a controlling interest in the applicant)

1997 gross revenues
$    enter amount

1998 gross revenues
$    enter amount 

1999 gross revenues
$    enter amount  

Average gross revenues for 
the preceding 3 years
$    enter amount

TOTAL:
combined average gross revenues for the preceding 
three years of the applicant, the applicant's affiliates 
and their controlling interests

NOTE: Each member of an applicant that is applying to bid as a consortium of small or very small
businesses must provide this information and qualify for the claimed status.

Exhibit E - Information Required of All Applicants Regarding Prior Defaults and Prior 
Delinquencies: Each applicant must include at Exhibit E a statement made under penalty of perjury 
indicating whether or not the applicant has ever been in default on any Commission licenses or has ever 
been delinquent on any non-tax debt owed to any Federal agency. If any of an applicant's controlling 
interests holders or their affiliates, as defined by Section 1.2110 of the Commission's rules (as recently 
amended in the Part 1 Fifth Report and Order) has ever been in default on any Commission license or 
has ever been delinquent on any non-tax debt owed to any Federal agency, the applicant must include 
such information as part of the same attached statement.  An applicant for closed C block licenses that 
claims Auction No. 35 entrepreneur eligibility under the grandfather exception, 47 C.F.R.  24.709(b)(i), 
must state under penalty of perjury in Exhibit E whether or not any entity whose gross revenues and total 
assets are required to be attributed to the applicant under 47 C.F.R.  24.709 has ever been in default on 
any Commission licenses or has ever been delinquent on any non-tax debt owed to any Federal agency.  
See 47 C.F.R.  1.2105(a)(2)(xi).

Exhibit F -- Information Requested of Designated Entities: Applicants owned by minorities or women, 
as defined in 47 C.F.R.  1.2110(c), or that are rural telephone companies, may attach an exhibit regarding 
this status.  This information, in conjunction with the information requested in Block 10 of the FCC Form 
175, will assist the Commission in monitoring the participation of these "designated entities" in its auctions.

Exhibit G -- Miscellaneous Information: Applicants wishing to submit additional information should 
include it in Exhibit G.

Applicants are reminded that all information required in connection with applications to participate in 
spectrum auctions is necessary to determine the applicants' qualifications, and as such will be available for 
public inspection.  Required proprietary information may be redacted, or confidentiality may be requested, 
following the procedures set forth in 47 C.F.R.  0.459.  Such requests must be submitted in writing to 
Louis Sigalos, Deputy Chief, Auctions and Industry Analysis Division, Wireless Telecommunications 
Bureau, Federal Communications Commission, 445 12th Street, SW, Room 4-A668, Washington, DC  
20554 (with a separate copy mailed to Audrey Bashkin, Legal Branch, Auctions and Industry Analysis 
Division, Room 4-A665), in which case the applicant must indicate in Exhibit G that it has filed a 
confidentiality request.  Because the required information bears on applicants' qualifications, the FCC 
envisions that confidentiality requests will not be routinely granted.

Waivers:  Applicants requesting waiver of any rules must submit a statement of reasons sufficient to justify 
the waiver sought.  See 47 C.F.R.  1.3, 1.925.


X. ATTACHMENT E
AUCTION-SPECIFIC INSTRUCTIONS FOR
FCC REMITTANCE ADVICE (FCC FORM 159-July 1997 edition)

A. Upfront Payments
The following information supplements the standard instructions for FCC Form 159, and is provided to 
help ensure correct completion of FCC Form 159 for upfront payments for Auction No. 35.  Applicants 
need to complete FCC Form 159 carefully, since:

? Mistakes may affect their bidding eligibility; and

? Lack of consistency between information set forth in FCC Form 159, FCC Form 175, long-
form application, and correspondence about an application may cause processing delays.

Therefore appropriate cross-references between the FCC Form 159 Remittance Advice and the FCC 
Form 175 Short Form Application are described below:

	Block 
	 Number 	Required Information                                 
1	LOCKBOX # - Enter "358410"      

2	Payer Name - Enter the name of the person or company making the payment.
	If the applicant itself is the payer, this entry would be the same as FCC Form 175.

3	Total Amount Paid -  Enter the amount of the upfront payment associated with the FCC 
Form 159.

4-8	Street Address, City, State, ZIP Code -  Enter the street mailing address (not Post Office 
box number) where mail should be sent to the payer.  If the applicant is the payer, these 
entries would be the same as FCC Form 175, blocks 2 through 5.

9	Daytime Telephone Number - Enter the telephone number of a person knowledgeable 
about this upfront payment.

10	Country Code  -   For addresses outside the United States, enter the appropriate postal 
country code (available from the Mailing Requirements Department of the U.S. Postal 
Service).
	
20A	Payment Type Code - Enter "A35U"

21A	Quantity -  Enter the number "1"

22A	Amount Due -  Enter the total upfront payment due.

23A	FCC Code 1 - Enter the number "35" (indicating Auction No. 35).

26	Applicant TIN - Same as FCC Form 175, block 7.

NOTES:

? Do not use Remittance Advice (Continuation Sheet), FCC Form 159-C, for upfront payments.

? If applicant is different from the payer, complete blocks 11 through 18 for the applicant, using the 
same information shown on FCC Form 175. Otherwise leave them blank.

? Since credit card payments will not be accepted for this auction, leave this area blank.


B. Winning Bidder Requirements, Down Payments and Final Payments
Specific information regarding down payments and final payments will be included in a post-auction 
public notice announcing the winning bidders.


XI. ATTACHMENT F
FCC BIDDING PREFERENCE/
REMOTE SOFTWARE ORDER FORM
Auction No. 35

All qualified applicants who plan to participate in this auction must complete the form below.  

Each qualified applicant choosing to bid electronically must purchase their own copy of FCC 
Remote Bidding Software.  Electronic bids will only be accepted from those applicants 
purchasing the software, however, the software may be copied by the applicant for use by its 
authorized bidders at different locations. 

The price of the FCC Remote Bidding Software is $175.00, which includes a user manual and 
shipping costs. (Since bidding software is tailored to a specific auction, previous versions will 
not work for Auction #35.)  For security purposes, the software is only mailed to the contact 
person at the contact address listed on the FCC Form 175.  

Completed forms should be printed and either faxed or mailed to the address below, ensuring 
receipt by no later than 6:00 p.m. ET on Tuesday, November 28, 2000.

FCC BIDDING PREFERENCE (Auction No. 35)
Auction Operations Branch
1270 Fairfield Rd.
Gettysburg, PA 17325-7245
FAX: 717-338-2850

Auction Applicant: _______________________________________________________
FCC Assigned Account No. ______________________ Contact Phone: _____________
Contact Name: ___________________________________________________________
Contact Address:  _________________________________________________________
Contact City:  ___________________________ Contact State:  ____________________
Contact Zip:  ____________________________ Contact Fax:  ____________________

Bidding Preference:    ____Electronic       ____Telephonic

If planning to bid electronically, please complete the following:
Type:   ____3.5 Diskette        ____ CD-Rom

Payment of $175.00 US by: ____ Check  (payable to FCC) ____ Mastercard  ____ Visa

Credit card number ______________________________ Expiration date ____________
Name on card ____________________________________________________________
Authorized signature ______________________________________ Date ___________


XII. ATTACHMENT G
A. Bid Increments and Exponential Smoothing
Background.  The Auctions Automation System ("AAS") calculates the minimum bid increment for each 
license with a standing high bid in each round of the auction based on all bidding activity for the license. 
For this auction, the Commission will use a standard exponential smoothing methodology to calculate 
minimum bid increments. 

The AAS' exponential smoothing formula calculates the bid increment based on a weighted average of 
activity received for each license in all previous rounds.  This methodology allows the Commission to tailor 
each license's bid increment based on its specific level of activity throughout the auction and provides a 
fairer means to determine license value.

Calculation.  The calculation of the percentage bid increment increase for each license for the current round 
is made at the end of the previous round. The computation is based on an activity index, which is calculated 
as the weighted average of the activity in that round and the activity index from the prior round.  The 
activity index at the start of the auction (round 0) will be set at 0.  The current activity index is equal to a 
weighting factor times the number of new bids received on the license in the most recent bidding round plus 
one minus the weighting factor times the activity index from the prior round.  The activity index is then used 
to calculate a percentage increment by multiplying a minimum percentage increment by one plus the activity 
index with that result being subject to a maximum percentage increment.  The Commission will initially set 
the weighting factor at 0.5, the minimum percentage increment at 0.1, and the maximum percentage 
increment at 0.2.   (See example below.)

   Equations

Ai = (C * Bi) + ( (1-C) * Ai-1)
Ii+1 = smaller of ( (1 + Ai) * N) and M

where,
Ai  = activity index for the current round (round i)
C = activity weight factor
Bi = number of bids in the current round (round i)
Ai-1 = activity index from previous round (round i-1), A0 is 0
Ii+1 = percentage bid increment for the next round (round i+1)
N = minimum percentage increment or bid increment floor
M = maximum percentage increment or bid increment ceiling

Under the exponential smoothing methodology, once a bid has been received on a license, the minimum 
acceptable bid for that license in the following round will be the new high bid plus the dollar amount 
associated with the percentage increment (variable Ii+1 from above times the high bid).  This result will be 
rounded to the nearest thousand if the minimum acceptable bid is over ten thousand dollars or to the nearest 
hundred if it is under ten thousand dollars.    

Examples

License 1
C=0.5, N = 0.1, M = 0.2

Round 1 (2 new bids, high bid = $1,000,000)

1. Calculation of percentage increment for round 2 using exponential smoothing:
	A1 = (0.5 * 2) + (0.5 * 0) = 1
	The smaller of I2 = (1 + 1) * 0.1 = 0.2 or 0.2 (the maximum percentage increment)

2. Minimum bid increment for round 2 using the percentage increment (I2 from above) 
	0.2 * $1,000,000 =  $200,000

3. Minimum acceptable bid for round 2 = $1,200,000

Round 2 (3 new bids, high bid = $2,000,000)

1. Calculation of percentage increment for round 3 using exponential smoothing:
	A2 = (0.5 * 3) + (0.5 * 1) = 2
	The smaller of I3 = (1 + 2) * 0.1 = 0.3 or 0.2 (the maximum percentage increment)

2. Minimum bid increment for round 3 using the percentage increment (I3 from above) 
	0.2 * $2,000,000 =  $400,000

3. Minimum acceptable bid for round 3 = $2,400,000

Round 3 (1 new bid, high bid = $2,400,000)

1. Calculation of percentage increment for round 4 using exponential smoothing:
	A3 = (0.5 * 1) + (0.5 * 2) = 1.5
	The smaller of I4 = (1 + 1.5) * 0.1 = 0.25 or 0.2 (the maximum percentage increment)
 
2. Minimum bid increment for round 4 using the percentage increment (I4 from above) 
	0.2 * $2,400,000 =  $480,000

3. Minimum acceptable bid for round 4 = $2,880,000

For questions concerning bid increments, contact Craig Bomberger, Analyst, Auctions Operations Branch at 
(202) 418-0660.


XIII. ATTACHMENT H

ACCESSING THE FCC NETWORK
TO FILE FCC FORM 175

This attachment describes how to access the FCC Network from a system that is running the 
Microsoft Windows 95 or Microsoft Windows 98 operating system.  This involves configuring 
dial-up network access and then performing the dial-up procedure.  

Note:  Dial-up access to the FCC Network is not required to submit or review FCC Form 
175 applications.  You can perform those functions from the Internet, by entering location 
http://wtbwww15.fcc.gov/ on your Netscape Web browser and clicking the 175 Submit 
or 175 Review button, respectively.  For more details, refer to the Electronic Filing and 
Review of the FCC Form 175 attachment.


A. Conventions
The instructions in this section use the following typographical conventions:

bold
Represents objects on the screen that you click with the mouse pointer, including 
buttons, Internet links, icons, tabs, menu items (e.g., Cancel button, Auctions 
link, Save option in the File menu).

italic
Represents field names or areas of a screen (e.g., Applicant field, Selected 
Licenses area of a screen).

bold italic
Represents characters that you must type exactly as they appear in the 
instructions.  For example, if you are instructed to type http://wtbwww15.fcc.gov, 
you should type all of the characters shown in bold italic exactly as they are 
printed.

SMALL CAPS
Represents keys on the keyboard (e.g., ENTER, CTRL, ESC).

Note:  Throughout these instructions, "enter" means to type the appropriate information and then 
press the ENTER key.


B. Accessing the FCC Network to Submit FCC Form 175 Applications
The following section provides the instructions for configuring the dial-up network access in 
preparation for submitting FCC Form 175 applications.  The subsequent section gives the dial-up 
procedure.


1. Configuring Dial-Up Networking
1.	To start dial-up networking:

a.	Click the Windows 95/98 Start button.  
b.	Click the Programs option to display the Programs menu.
c.	Click the Accessories option to display the Accessories menu.
d.	In Windows 95, click Dial-Up Networking.
In Windows 98, click Communications, then Dial-Up Networking.

If Dial-Up Networking is not an option on your Accessories menu, you should install it 
from your Windows 95/98 CD or diskettes.

2.	When the Dial-Up Networking window appears, double-click the Make New 
Connection icon.  

The Make New Connection window appears. 

3.	Type FCC Auctions 800# in the field titled Type a name for the computer you are 
dialing.  

4.	In Windows 95, click the down arrow at the right of the Select a modem field and select 
your modem from the menu of available modems.  

In Windows 98, click the down arrow at the right of the Select a device field and select 
your modem from the menu of available devices.

If your modem does not appear on this list, you must install your modem driver according 
to the modem manufacturer installation procedures, which are usually described in your 
modem's user manual.

5.	Click the Next button.  

6. Type 800 and 378-7435 in the Area Code and Telephone Number fields, respectively. 

If you need to dial 9 or some other digit to get an outside line, include that digit in the 
Area Code field.  For example, you might type 9, 1 800 in this field.

7.	Verify that the correct country is selected in the Country code field.  

If necessary, click the down arrow at the right of the Country code field and select the 
appropriate country from the menu of available countries.

8.	Click the Next button.

9.	Click the Finish button.  

An icon labeled FCC Auctions 800# appears in the Dial-Up Networking window.

10.	Verify that properties are configured correctly before attempting a dial-up session.  Put 
the mouse pointer on the icon and click the right mouse button to display a menu.  Click 
Properties from the menu.

11.	Click the Configure button.  Click the Options tab at the top of the Properties window.

12.	In the Connection control area of the Options tab, verify that neither option is selected. If 
either option is selected, click the check box at the left of the option to deselect it.  Then 
click OK.

13.	In Windows 95, click the Server Type... button. 
 
In Windows 98, click the Server Types tab at the top of the Properties window.

14.	In the Advanced Options area, verify that only Enable software compression is selected. 
If it is not selected, click the check box at the left of the option to select it.  If either of the 
other options is selected, click the check box to deselect it.

15.	In the Allowed Network Protocols area, verify that only TCP/IP is selected.  

If it is not selected, click the check box at the left of the option to select it.  If either of the 
other options is selected, click the check box to deselect it.

16.	Click the TCP/IP Settings button.  On the TCP/IP Settings window, select Server 
assigned IP addresses at the top and select Specify name server addresses midway down 
the window.

17. Type 165.135.241.149 as the Primary DNS and 165.135.79.95 as the Secondary DNS.

Ensure that these two options are checked:

? Use IP header compression
? Use default gateway or remote network

18. Click OK on the TCP/IP Settings window and the Server Type window.

19. Close the Dial-Up Networking window.

20.	a.	Click the Windows 95/98 Start button, then click the Settings option to display the 
Settings menu. 

b.	Click Control Panel and then double-click the Network icon. 

c.	Highlight the TCP/IP Protocol and click Properties.  If there are multiple TCP/IP 
protocols, highlight TCP/IP --> Dial-Up Adapter and click Properties. 

In a Windows 98 environment, a confirmation dialog appears.  Read the information 
on the dialog, then click the OK button.

d.	Click the DNS Configuration tab and then click the Enable DNS radio button at the 
top. 

e. Type bidder in the Host box and type fcc.gov in the Domain box. 

Note:  You are limited to three DNS entries. If you already have three DNS entries, 
you must delete two of them before performing the next two steps.  To do this, click 
the first entry you want to delete and click the Remove button.  Then click the second 
entry you want to delete and click the Remove button again.

f. Type 165.135.241.149 in the DNS Server Search Order box and click the Add button. 

g. Type 165.135.79.95 in the DNS Server Search Order box and click Add again. 

h. Click OK on the TCP/IP Properties window, then click OK on the Network window. 

 	If you are prompted to restart your computer, click Yes to restart, then begin
the Dial-Up Procedure.


2. Dial-Up Procedure
1. If the Dial-Up Networking window is not currently open, do the following:

a.		Click the Windows 95/98 Start button.  
b.		Click the Programs option to display the Programs menu.
c.		Click the Accessories option to display the Accessories menu.
d.		In Windows 95, click Dial-Up Networking
	In Windows 98, click Communications, then Dial-Up Networking.  

The Dial-Up Networking window appears.  

2.	In the Dial-Up Networking window, double-click the FCC Auctions 800# icon.

3.	Click the Connect button on the window.  Do not enter User name or Password.

The Connection window appears, indicating the status of your connection as your modem 
dials into the system.  This window must remain running during your dial-up session.  You 
may minimize the window, if you wish.

If your modem fails to establish a connection, please see the Troubleshooting section.


C. Submitting FCC Form 175 Applications
After you have connected to the FCC Network, start your Netscape Web browser.  In your 
browser's Location field, enter http://wtbwww15.fcc.gov (primary location) or 
http://wtbwww04.fcc.gov (secondary location) and then click 175 Submit.

Note:  The wtbwww04 location can only be accessed through dial-up networking; it 
cannot be accessed through the Internet.

When uploading attachments in FCC Form 175 Submission, applicants may use a variety of file 
formats -- including Word 97 or earlier, WordPerfect 6.x or earlier, Adobe PDF, and ASCII text -
- and should verify that the files contain all exhibit information.  Graphics file uploads (e.g., 
.bmp, .tiff, .jpg) and spreadsheets (e.g., Excel, Lotus) are not supported, and graphics images 
should not be imported into any word processing files that are uploaded.  Do not upload a 
password-protected file.  The FCC system will not be able to open it or convert it.

After you upload an attachment and it has been converted, check to see if it converted properly 
by selecting the PDF filename in the rightmost column. The conversion process generally 
completes within thirty minutes.  If you are unable to read this file after it has been converted, 
please do the following:

1. Re-upload the attachment.

2. If the file still has not converted properly, then simplify the formatting of the file.  

For example, if you are using a Table structure in a WordPerfect document, remove the Table 
structure and leave the contents of the table, then re-upload the attachment.

After you have successfully re-uploaded an attachment, please delete the old, unreadable 
attachment files.

Applicants must press the Submit Form 175 button on the Submit page to successfully submit 
their FCC Form 175.  Pressing Submit Form 175 produces a confirmation message showing the 
assigned FCC Account Number.  During each filing period, submitted applications may be 
updated and amended multiple times until the filing deadline.

When you have finished, exit your Web browser; then click the Disconnect button on the 
Connection window to end your dial-up session.


D. Removing the Dial-Up Networking Service
Once you have finished using the dial-up networking service, you can remove it from your 
computer, as follows:

1. Click the Windows 95/98 Start button, then click the Settings option to display the Settings 
menu.

2. Click Control Panel and then double-click the Network icon.

3. Highlight the TCP/IP Protocol and click Properties.  If there are multiple TCP/IP protocols, 
highlight TCP/IP --> Dial-Up Adapter and click Properties.

In a Windows 98 environment, a confirmation dialog appears.  Read the information on the 
dialog, then click the OK button.

4. Click the DNS Configuration tab.

5. Click the DNS Server Search Order box containing 165.135.241.149 to select it, then click 
the Remove button.

6. Similarly, click the DNS Server Search Order box containing 165.135.79.95 to select it, then 
click the Remove button.

7. Click OK on the TCP/IP Properties windows, then click OK on the Network windows.

8. If you are prompted to restart your computer, click Yes to restart.

9. Remove the FCC Auctions 800# icon from your desktop.  That is, click the icon with your 
right mouse button and then click the Delete option in the pull-down menu.


E. Troubleshooting
Following are problems you may encounter and possible solutions for resolving or isolating 
them.


1. Modem does not respond
1. Confirm that all physical connections for the modem are present.

2. Confirm that the phone line is active by connecting it to a telephone and checking for a dial-
tone.

3. Confirm that the correct modem driver is installed for your modem. 


2. Modem dials but does not connect
1. Confirm that the number the modem is dialing is correct.

2. Confirm that the modem prefix, if any, is correct.

Using a Backup Dial-In Number.  If the number and prefix are correct, the 800 number being 
dialed may be experiencing problems.  In this case, you can reconfigure the dial-up software 
using an alternate dial-in number, which is also toll-free.  To use the backup number, perform the 
Configuring Dial-Up Networking procedure again, but this time make the following changes:

? In Step 3, type FCC Auctions 877# in the field titled Type a name for the computer you are 
dialing.

? In Step 6, type 877 and 844-2788 in the Area Code and Telephone Number fields, 
respectively.

? In Step 17, type 165.135.79.95 as the Primary DNS.

? In Step 20f, type 165.135.79.95 in the DNS Server Search Order box.


3. Modem dials and connects, but nothing appears when you enter the 
Location in the Web browser  
1. Verify the Dial-Up Networking settings specified in the Configuring Dial-Up Networking 
section. 

2. Confirm that your Web browser is not using proxies:

a) On your browser, click the Preferences option in the Edit menu.
b) In the Category area at the left, double-click Advanced.
c) Click the Advanced structure's Proxies option.
d) Click the radio button labeled Direct connection to the Internet.
e) Click the OK button at the bottom of the window.


4. Receive an Internal Server error in the Web browser 
1. Confirm that the Location is set to http://wtbwww15.fcc.gov or http://wtbwww04.fcc.gov

2. On your browser, click the Preferences option in the Edit menu.  In the Category area at the 
left, double-click Advanced.  In the area at the top, confirm that Enable Java and Enable 
JavaScript are selected.  In the Cookies area, confirm that Accept all cookies is selected.


F. Help
For technical assistance with installing or using FCC software, contact the FCC Technical 
Support Hotline at (202) 414-1250 (V) or (202) 414-1255 (TTY).  The FCC Technical Support 
Hotline is generally available Monday through Friday from 7 a.m. to 10 p.m. ET, Saturday from 
8 a.m. to 7 p.m. ET, and Sunday from 12 p.m. to 6 p.m. ET.  All calls to the FCC Technical 
Support Hotline are recorded.


XIV. ATTACHMENT I

SUMMARY LISTING OF DOCUMENTS FROM THE COMMISSION
AND THE WIRELESS TELECOMMUNICATIONS BUREAU
ADDRESSING APPLICATION OF THE ANTI-COLLUSION RULES


All of the following documents can be found at FCC web site: 
http://www.fcc.gov/wtb/auctions/collusio/collusio.html

A. Commission Decisions:
Second Report and Order in PP Docket No. 93-253, FCC 94-61, 9 FCC Rcd. 2348, 2386-2388 (1994), 
paragraphs 221-226.

Fifth Report and Order in PP Docket No. 93-253, FCC 94-178, 9 FCC Rcd. 5532, 5570-5571 (1994), 
paragraphs 91-92.

Fourth Memorandum Opinion and Order in PP Docket No. 93-253, FCC 94-264, 9 FCC Rcd. 6858, 
6866-6869 (1994), paragraphs 47-60.

Second Memorandum Opinion and Order in PP Docket No. 93-253, FCC 94-215, 9 FCC Rcd. 7245, 
7253-7255 (1994), paragraphs 48-55.

Memorandum Opinion and Order in PP Docket No. 93-253, FCC 94-295, 9 FCC Rcd. 7684, 7687-7689 
(1994), paragraphs 8-12.

In re Commercial Realty St. Pete, Notice of Apparent Liability for Forfeiture, 10 FCC Rcd. 4277 (1995), 
In re Commercial Realty St. Pete, Memorandum Opinion and Order, 11 FCC Rcd. 15,374 (1996).

In re Applications of Mercury PCS II, LLC, Notice of Apparent Liability for Forfeiture, 12 FCC Rcd. 
17,970 (1997) (petition for partial reconsideration pending).

Amendment of Part 1of the Commission's rules -- Competitive Bidding Procedures, Allocation of 
Spectrum Below 5 GHz Transferred from Federal Government Use, 4660-4685 MHz, WT Docket No. 
97-82, ET Docket No. 94-32, FCC 97-413, Third Report and Order and Second Further Notice of 
Proposed Rule Making, 13 FCC Rcd. 374, 463-469 (1997), paragraphs 155-166.

In re Application of US West Communications, Inc., Notice of Apparent Liability for Forfeiture,  13 FCC 
Rcd 8286 (1998); In the Matter of Notice of Apparent Liability for Forfeiture of US West 
Communications, Inc., Order, FCC 99-90 (May 7, 1999).

In re Application of Western PCS BTA I Corporation, Notice of Apparent Liability for Forfeiture, FCC 
98-42 (March 16, 1998); In the Matter of Notice of Apparent Liability for Forfeiture of Western PCS 
BTA 1 Corporation, Memorandum Opinion and Order, 14 FCC Rcd 21571, 21577-78,  20 (rel. Dec. 13, 
1999).



B. Wireless Telecommunications Bureau Decisions:

Amendment of Parts 21 and 74 of the Commission's rules with Regard to Filing Procedures in the 
Multipoint Distribution Service and in the Instructional Television Fixed Service, Order, 11 FCC Rcd. 
9655 (Wireless Tel. Bur. 1995).

In re Applications of GWI PCS, Inc. For Authority to Construct and Operate Broadband PCS Systems 
Operating on Frequency Block C, Memorandum Opinion and Order, 12 FCC Rcd. 6441 (Wireless Tel. 
Bur. 1997).

In re Applications of Mercury PCS II, LLC, For Facilities in the Broadband Personal Communications 
Services in the D, E, and F Blocks, Memorandum Opinion and Order on Reconsideration, 12 FCC Rcd. 
18,093 (Wireless Tel. Bur. 1997).

In the Matter of Applications of High Plains Wireless, L.P., For Authority to Construct and Operate 
Broadband PCS Systems on Frequency Blocks D, E, and F, Memorandum Opinion and Order, 12 FCC 
Rcd. 19,627 (Wireless Tel. Bur. 1997).

In the Matter of Applications of Mercury PCS II, LLC, For Authority to Construct and Operate 
Broadband PCS Systems on Frequency Blocks D, E, and F, Memorandum Opinion and Order, 13 FCC 
Rcd. 5756 (Wireless Tel. Bur. 1997).

1. Public Notices:
"Wireless Telecommunications Bureau Clarifies Spectrum Auction Anti-Collusion Rules," Public 
Notice, 11 FCC Rcd. 9645 (1995).

"FCC Staff Clarifies Application of Anti-Collusion Rule to Broadband PCS 'C' Block Reauction," Public 
Notice, 11 FCC Rcd. 7031 (1996).

"Wireless Telecommunications Bureau Provides Guidance on the Anti-Collusion Rule for D, E and F 
Block Bidders," Public Notice, 11 FCC Rcd. 10,134 (1996).

"Wireless Telecommunications Bureau Responds to Questions About the Local Multipoint Distribution 
Service Auction," Public Notice, DA 98-37 (rel. January 9, 1998).

2. Letters from the Office of General Counsel and the Wireless 
Telecommunications Bureau:
Letter to Gary M. Epstein and James H. Barker from William E. Kennard, General Counsel, Federal 
Communications Commission (released October 25, 1994).

Letter to Alan F. Ciamporcero from William E Kennard, General Counsel, Federal Communications 
Commission (released October 25, 1996).

Letter to R. Michael Senkowski from Rosalind K. Allen, Acting Chief, Commercial Radio Division, 
Wireless Telecommunications Bureau (released December 1, 1994).

Letter to Leonard J. Kennedy from Rosalind K. Allen, Acting Chief, Commercial Radio Division, 
Wireless Telecommunications Bureau (released December 14, 1994).

Letter to Jonathan D. Blake and Robert J. Rini from Kathleen O'Brien Ham, Chief, Auctions Division, 
Wireless Telecommunications Bureau, DA 95-2404 (released November 28, 1995).

Letter to Mark Grady from Kathleen O'Brien Ham, Chief, Auctions Division, Wireless 
Telecommunications Bureau, 11 FCC Rcd. 10,895 (1996).

Letter to David L. Nace from Kathleen O'Brien Ham, Chief, Auctions Division, Wireless 
Telecommunications Bureau, 11 FCC Rcd. 11,363 (1996).

Letter to Elliott J. Greenwald from Christopher J. Wright, General Counsel, Federal Communications 
Commission (released April 6, 1998).

3. Civil Actions Initiated by U.S. Department of Justice:
U.S. v. Omnipoint Corp., Proposed Final Judgements and Competitive Impact Statements, Department of 
Justice, 63 FR 65,228 (November 25, 1998).

"Justice Department Sues Three Firms Over FCC Auction Practices," Press Release, U.S. Department of 
Justice (November 10, 1998).

Complaint, U.S. v. Omnipoint Corp., No. 1:98CV02750 (D.D.C. November 10, 1998).

Complaint, U.S. v. Mercury PCS II, L.L C., No. 1:98CV02751 (D.D.C. November 10, 1998).

Complaint, U.S. v. 21st Century Bidding Corp., No. 1:98CV02752 (D.D.C. November 10, 1998).

4. Miscellaneous:
Many of these documents can be retrieved from the following Commission web site:

http://www.fcc.gov/wtb/auctions/collusio/collusio.html  

These documents may be located by using our search engine (select the link "search"). All of these 
documents can be ordered in hard copy for a fee from the Commission's contractor, International 
Transcription Service, Inc. at (202) 314-3070.

Documents retrieved from the FCC web site are available in various formats.  In order to review a 
document in its entirety, including footnotes, it is necessary to access the document in WordPerfect, MS 
Word, or Acrobat Reader.

  	Balanced Budget Act of 1997, Pub. L. No. 105-33, 111 Stat. 251,  3002(a) (codified at  47 U.S.C.  
 309(j)(4)(F) (1997)) ("Balanced Budget Act").  The Commission's authority to establish a reserve price or 
minimum opening bid is set forth in 47 C.F.R.  1.2104(c) and (d).
  	See "C and F Block Broadband PCS Spectrum Auction Scheduled for July 26, 2000; Comment Sought on 
Reserve Prices or Minimum Opening Bids and Other Auction Procedural Issues," Public Notice, DA 00-504 (rel. 
March 3, 2000) ("Auction No. 35 Public Notice").
  	See Amendment of the Commission's Rules Regarding Installment Payment Financing for Personal 
Communications Services (PCS) Licensees, WT Docket No, 97-82, Sixth Report and Order and Order on 
Reconsideration, FCC 00-313 (rel. August 29, 2000) ("C/F Block Sixth Report and Order").
  	See "C and F Block Broadband PCS Spectrum Auction Scheduled for November 29, 2000, Rescheduled 
for December 12, 2000; Revised List of Available Licenses; Comment Sought on Reserve Prices or Minimum 
Opening Bids and Other Auction Procedures," Public Notice, DA 00-2038 (rel. September 6, 2000), 65 Fed. Reg. 
55,243 (September 13, 2000),  corrected "Correction to Attachment A" (rel. September 12, 2000) (collectively 
referred to as "Auction No. 35 Comment Public Notice").
  	Comments were filed by Carolina PCS I Limited Partnership ("Carolina"); Clear Talk; Conestoga 
Wireless Company ("Conestoga"); GTE Service Corporation ("GTE"); Nextel Communications, Inc. ("Nextel"); 
SBC Communications Inc. ("SBC"); and UTStarcom.  Reply comments were filed by 3-G Network Holdings and 
OPM Auction Co. ("OPM"). Ex parte comments were filed by 3-G Network Holdings.
  	Comments were filed by AT&T Wireless Services, Inc. ("AT&T"); BellSouth Corporation and SBC 
Communications, Inc. jointly ("BellSouth/SBC"); and Verizon Wireless ("Verizon").  Reply comments were filed 
by BellSouth/SBC and AT&T.
  	The Commission required that in order to qualify as an "entrepreneur," an applicant, including attributable 
investors and affiliates, must have had gross revenues of less than $125 million in each of the last two years and 
must have less than $500 million in total assets.  See 47 C.F.R.  24.709; Implementation of Section 309(J) of the 
Communications Act-Competitive Bidding, PP Docket 93-253, Fifth Report and Order, 9 FCC Rcd 5532, 5581-
82,  115 (1994) ("Competitive Bidding Fifth Report and Order").  Originally, there was a personal net worth test, 
but this test was eliminated.  See Implementation of Section 309(j) of the Communications Act-Competitive 
Bidding, PP Docket 93-253, Fifth Memorandum Opinion and Order, 10 FCC Rcd 403, 420-21,  28-30 (1994) 
("Competitive Bidding Fifth Memorandum Opinion and Order")
  	Auction No. 22 was originally announced as an auction of licenses for C, D, E, and F block spectrum; 
however, no D block spectrum remained in the license inventory by the start of the auction.
  	See Amendment of the Commission's Rules Regarding Installment Payment Financing for Personal 
Communications Services (PCS) Licensees, WT Docket No, 97-82, Sixth Report and Order and Order on 
Reconsideration, FCC Rcd 00-313 (rel. August 29, 2000) ("C/F Block Sixth Report and Order").
  	AT&T Comments at 1-5.
  	See C/F Block Sixth Report and Order, n.58.
  	Amendment of the Commission's Rules Regarding Installment Payment Financing for Personal 
Communications Services (PCS) Licenses, WT Docket No. 97-82, Second Report and Order and Further Notice 
of Proposed Rule Making, 12 FCC Rcd 16,436 (1997) ("C Block Second Report and Order"). 
  	Amendment of the Commission's Rules Regarding Installment Payment Financing for Personal 
Communications Services (PCS) Licenses, WT Docket No. 97-82, Order on Reconsideration of the Second Report 
and Order, 13 FCC Rcd 8345 (1998) ("C Block Reconsideration Order").
  	Amendment of the Commission's Rules Regarding Installment Payment Financing for Personal 
Communications Services (PCS) Licenses, WT Docket No. 97-82, Fourth Report and Order, 13 FCC Rcd 15,743, 
15,749, 10, 15,751,  13, 15,752,  15 (1998) ("C Block Fourth Report and Order"); see also Amendment of the 
Commission's Rules Regarding Installment Payment Financing for Personal Communications Services (PCS) 
Licenses, WT Docket No. 97-82, Order on Reconsideration of the Fourth Report and Order, 15 FCC Rcd 4740, 
4742-43,  6-8 (2000) ("C Block Fourth Report and Order Reconsideration").
  	See Amendment of Part 1 of the Commission's Rules - Competitive Bidding Procedures, WT Docket 
No. 97-82, Order on Reconsideration of the Third Report and Order, Fifth Report and Order, and Fourth Further 
Notice of Proposed Rule Making, FCC 00-274 (rel. August 14, 2000) ("Part 1 Fifth Report and Order").
  	See In re Application of Nevada Wireless for a License to Provide 800 MHz Specialized Mobile Radio 
Service in the Farmington, NM-CO Economic Area (EA-155) Frequency Band A, Memorandum Opinion and 
Order, 13 FCC Rcd. 11,973, 11,977  11 (1998) ("Nevada Wireless").
  	See id., at 11,978.
  	See 47 C.F.R.  1.2105(c).  Note that, unless otherwise indicated, all references herein to Commission's 
rules are to the amended rules that will be effected as of the start date of Auction No. 35.
  	See "Wireless Telecommunications Bureau Clarifies Spectrum Auction Anti-Collusion Rules," Public 
Notice, DA 95-2244, 11 FCC Rcd. 9645 (1995) (rel. October 26, 1995).
  	See 47 C.F.R.  1.65.
  	See, e.g., 47 C.F.R.  15.307, 24.5, 24.237-24.253, 101.3, 101.69-101.81, 101.147; Amendment to the 
Commission's Rules Regarding a Plan for Sharing the Costs of Microwave Relocation, WT Docket No. 95-157, 
Memorandum Opinion and Order on Reconsideration, FCC 00-123 (rel. July 19, 2000); Amendment to the 
Commission's Rules Regarding a Plan for Sharing the Costs of Microwave Relocation, Second Report and Order, 
12 FCC Rcd 2705 (1997); Amendment to the Commission's Rules Regarding a Plan for Sharing the Costs of 
Microwave Relocation, First Report and Order and Further Notice of Proposed Rule Making, 11 FCC Rcd 8825 
(1996).
  	See Implementation of Section 309(j) of the Communications Act - Competitive Bidding for 
Commercial Broadcast and Instructional Television Fixed Service Licenses, MM Docket No. 97-234, 
Reexamination of the Policy Statement on Comparative Broadcast Hearings, GC Docket No. 92-52, Proposals to 
Reform Comparative Hearing Process to Expedite the Resolution of Cases, GEN Docket No. 90-264, Order, FCC 
99-157, n.15 (rel. July 2, 1999) (Commission order denying petitions for stay of Auction No. 25 pending judicial 
review and noting that the Commission will return payments made by winning bidders if licenses bid for are later 
determined to be unavailable due to a subsequent court action).  See also  "Auction of C, D, E, and F Block 
Broadband PCS Licenses; Status of Applications to Participate in the Auction; Clarification of Payment Issue 
Relating to Licenses Subject to Pending Proceedings," Public Notice, 14 FCC Rcd 5467, 5470-71 (1999).
    	47 U.S.C.  309(j)(3).
    	See "Auction of C, D, E, and F Block Broadband PCS Licenses; Notice and Filing Requirements for 
Auction of C, D, E, and F Block Broadband Personal Communications Services Licenses Scheduled for March 23, 
1999; Minimum Opening Bids and Other Procedural Issues," Public Notice, 13 FCC Rcd 24,540, 24,545 (1998).  
  	See 47 C.F.R.  1.2105.
  	See 47 C.F.R. Ch. 1, Subpart I.
  	See 47 C.F.R.  1.1305-1.1319.
  	Section 1.2105 requires the disclosure on the short-form of applicant ownership information as set forth in 
Section 1.2112.  Note that both of these sections were revised in the Part 1 Fifth Report and Order.
  	See Section 1.B.2, above.
  	See 47 C.F.R.  1.2105(c)(4)(i), (ii).
  	47 C.F.R.  24.709(a).
  	See 47 C.F.R.  24.709(b)(9)(i); see also C/F Block Sixth Report and Order at  35-42 and App. D.
  	See 47 C.F.R.  24.712, 24.717.
  	See 47 C.F.R.  24.712(a), 24.717(a), 24.720(b).
  	See 47 C.F.R.  24.712(b), 24.717(b), 24.720(b).
  	Amendment of Part 1 of the Commission's Rules - Competitive Bidding Procedures, WT Docket No. 
97-82, Order on Reconsideration of the Third Report and Order, Fifth Report and Order, and Fourth Further 
Notice of Proposed Rule Making, FCC 00-274 (rel. August 14, 2000) ("Part 1 Fifth Report and Order").
  	The eligibility as an entrepreneur of all applicants for future C and F block auctions - except for those 
applicants that are "grandfathered" under Section 24.709(b)(9)(i) of the Commission rules - as well as the 
eligibility for small business preferences, will be determined based on the attribution rules in effect at the short-
form application deadline.  Id. at  67.  See Part 1 Fifth Report and Order, 65 Fed. Reg. 52,323 (August 29, 2000) 
(summary).
  	Part 1 Fifth Report and Order,  78. In addition to the attribution rule change, compare, e.g., 47 C.F.R. 
 24.720(e) (definition of "Rural Telephone Company" in the broadband PCS rules) with 47 C.F.R.  1.2110(b)(3) 
(definition of "Rural Telephone Company" in the Part 1 rules).
  	See Part 1 Third Report and Order at 382,  5; Part 1 Fifth Report and Order,  67.
  	For further guidance on the issue of de facto control, see the Commission's affiliation rule at 47 C.F.R.  
1.2110(b)(4); see also Ellis Thompson Corp., 10 FCC Rcd. 12,554, 12,555-56 (1994), in which the Commission 
identified the following factors used to determine control of a business: (1) use of facilities and equipment; (2) 
control of day-to-day operations; (3) control of policy decisions; (4) personnel responsibilities; (5) control of 
financial obligations; and (6) receipt of monies and profits; Intermountain Microwave, 12 FCC 2d. 559 (1963), and 
Application of Baker Creek Communications, LP, For Authority to Construct and Operate Local Multipoint 
Distribution Services in Multiple Basic Trading Areas, Memorandum Opinion and Order, 13 FCC Rcd. 18,709 
(rel. September 23, 1998).
  	See Implementation of Section 309(j) of the Communications Act - Competitive Bidding, PP Docket 
No. 93-253, Amendment of Parts 20 and 24 of the Commission's Rules - Broadband PCS Competitive Bidding 
and the Commercial Mobile Radio Service Spectrum Cap, WT Docket No. 96-59, Amendment of the 
Commission's Cellular/PCS Cross-Ownership Rule, GN Docket No. 90-314, Order on Reconsideration, FCC 00-
299, at  20 (rel. September 14, 2000).
  	See 47 C.F.R.  24.709, 24.720, 1.2105.
  	C/F Block Sixth Report and Order,  38-42.
  	C Block Second Report and Order and Further Notice, 12 FCC Rcd 16,436.
  	C Block Reconsideration Order, 13 FCC Rcd 8345.
  	C Block Fourth Report and Order at  12-13; C Block Reconsideration Order, 13 FCC Rcd at 8360-61 
 37, 28, and 41 and 8367  50; see 47 C.F.R.  24.709(b)(9)(ii).
  	C Block Fourth Report and Order at note 48; C Block Reconsideration Order, 13 FCC Rcd at 8360-61     
 37.
  	47 C.F.R.  1.2105(a)(2)(x).
  	47 C.F.R.  1.2105(a)(2)(xi).
  	See Part 1 Fifth Report and Order,  42.  An applicant for closed C block licenses that claims Auction 
No. 35 entrepreneur eligibility under the grandfather exception, 47 C.F.R.  24.709(b)(i), must state under penalty 
of perjury in Exhibit E whether or not any entity whose gross revenues and total assets are required to be attributed 
to the applicant under 47 C.F.R.  24.709 has ever been in default on any Commission licenses or has ever been 
delinquent on any non-tax debt owed to any Federal agency.  See "Auction of C, D, E, and F Block Broadband 
PCS Licenses; Notice and Filing Requirements for Auction of C, D, E, and F Block Broadband Personal 
Communications Services Licenses Scheduled for March 23, 1999; Minimum Opening Bids and Other Procedural 
Issues," Public Notice, 13 FCC Rcd 24,540, 24,552 (1998).  We note that if any entity whose gross revenues and 
total assets are required to be attributed to the applicant under 47 C.F.R.  24.709 is in default on any Commission 
licenses or is delinquent on any non-tax debt owed to any Federal agency at the deadline for filing FCC Form 175 
application for Auction No. 35, the applicant will not be able to make the certification required by 47 C.F.R.  
1.2105(a)(2)(x) and will not be eligible to participate in the auction.
  	47 C.F.R.  1.2106(a).
  	See 47 C.F.R.  24.839.
  	47 C.F.R.  1.2111(d), (e)(2)-(3).  Licensees are not subject to unjust enrichment payments for transfer or 
assignment of licenses won in Auction No. 5 and No. 10.  See C/F Block Sixth Report and Order,  51.
  	C/F Block Sixth Report and Order,  51; 47 C.F.R.  24.712(c).
  	See Verizon Comments at 4-5; BellSouth/SBC Reply at 5.
  	See 47 C.F.R.  1.2111.
  	See 47 C.F.R.  1.2105(a).
  	See 47 C.F.R.  1.2105.  See also Two Way Radio of Carolina, Inc., Memorandum, Opinion and Order, 
FCC 99-189, 14 FCC Rcd. 12,035 (rel. July 22, 1999).
  	Amendment of Part 1 of the Commission's rules - Competitive Bidding Proceeding, WT Docket No. 97-
82, Order, Memorandum Opinion and Order and Notice of Proposed Rule Making, 12 FCC Rcd. 5686, 5697-
5698,  16 (1997).
  	Part 1 Fifth Report and Order,  40-42; 47 C.F.R.  1.2106(a); see also C Block Fourth Report and 
Order at 15,761-62,  34; see 47 C.F.R. 1.2105(a)(2)(xi) and 24.709(a)(5).
  	See Auction No. 35 Comment Public Notice at 7.
  	BellSouth/SBC Comments at 3.
  	Verizon Comments at 2; BellSouth/SBC Reply at 1-3.
  	Auction No. 35 Comment Public Notice at 7.
  	Id. at 8.
  	Id. at 9.
  	Id. at 8.
  	Verizon Comments at 2-3.
  	BellSouth/SBC Reply at 4; AT&T Reply at 2.
  	Id. at 8.
  	Id. at 14.
  	Id. 
  	BellSouth/SBC Comments at 6-7.
  	Id.
  	See  Balanced Budget Act, section 3002(a), 47 U.S.C.  309(j)(4)(F).
  	See Amendment of Part 1 of the Commission's Rules - Competitive Bidding Procedures, WT Docket 
No. 97-82, Third Report and Order and Second Further Notice of Proposed Rule Making, 13 FCC Rcd. 375, 455-
456  141 (1997)("Part 1 Third Report and Order").
  	Id.
  	Id.
  	Auction No. 35 Comment Public Notice at 10.
  	Id. at 11.
  	Section 309(j)(4)(F) of the Communications Act directs the Commission to "prescribe methods by which 
a reasonable reserve price will be required, or a minimum bid established, to obtain any license or permit being 
assigned pursuant to the competitive bidding, unless the Commission determines that such a reserve price or 
minimum bid is not in the public interest."
  	BellSouth/SBC Comments at 4-5.
  	See Auction No. 35 Public Notice at 5-7.
  	BellSouth/SBC Comments at 5-6.
  	See Auction of 800 MHz SMR Upper 10 MHz Band, Minimum Opening Bids or Reserve Prices, DA 
97-2147, Order, 12 FCC Rcd. 16,354, 16,358 (1997).
  	Auction No. 35 Comment Public Notice at 11.
  	Id.
  	Auction No. 35 Comment Public Notice at 13.
  	Verizon Comments at 4.
  	BellSouth/SBC Reply at 3; AT&T Reply at 1-2.
  	The Bureau retains the discretion to lower the minimum acceptable bid on such licenses in the next round 
or in later rounds.
  	See 47 C.F.R.  1.2104(g), 1.2109.
  	See Part 1 Fifth Report and Order,  15; 47 C.F.R.  1.2104(g)(1).
  	See Part 1 Fifth Report and Order,  15.
  	See Qualcomm Incorporated Petition for Declaratory Ruling Giving Effect to the Mandate of the District 
of Columbia Circuit Court of Appeals, Order, FCC 00-189 (rel. June 8, 2000).
  	C/F Block Sixth Report and Order,  38-42.
  	Multiple increment bids are not rounded according to the previously stated rounding rule; they are 
received, displayed, and stored by the Automated Auction System as non-rounded dollar amounts resulting from 
the following formula: Amount Bid = High Bid + (Bid Multiplier * Bid Increment).
 

 
 


 

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