77560 Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 

FEDERAL COMMUNICATIONS 

COMMISSION 

47 CFR Parts 1, 2, 20, 21, 22, 24, 25, 

27, 74, 78, 80, 87, 90, 95, 97, and 101 

[WT Docket No. 00–230; FCC 04–167] 

Promoting Efficient Use of Spectrum 

Through Elimination of Barriers to the 

Development of Secondary Markets

AGENCY: Federal Communications 

Commission.

ACTION: Proposed rule.

SUMMARY: In this document, the 

Commission seeks comment on 

additional policies that could facilitate 

the development of advanced 

technologies, such as cognitive radio 

and ‘‘opportunistic use’’ devices. In 

particular, we request comment on 

whether additional revisions should be 

made to the spectrum leasing and 

private commons regulatory models, or 

whether other types of arrangements can 

better enable more users to gain 

spectrum access.

DATES: Comments by the public on the 

proposals set forth in the Second 

Further Notice of Proposed Rulemaking 

(Second Further Notice) are due January 

18, 2005. Reply comments are due 

February 17, 2005.

FOR FURTHER INFORMATION CONTACT: Paul 

Murray, Wireless Telecommunications 

Bureau, at (202) 418–7240, or via the 

Internet at Paul.Murray@fcc.gov; for 

additional information concerning the 

information collections contained in 

this document, contact Judith-B. 

Herman at (202) 418–0214, or via the 

Internet at Judith.B-Herman@fcc.gov.

SUPPLEMENTARY INFORMATION: This is a 

summary of the Commission’s Second 

Further Notice portion of the 

Commission’s Second Report and 

Order, Order on Reconsideration, and 

Second Further Notice of Proposed 

Rulemaking, FCC 04–167, in WT Docket 

No. 00–230, adopted on July 8, 2004, 

and released on September 2, 2004. 

Contemporaneous with this document, 

the Commission issues a Second Report 

and Order and Order on 

Reconsideration (published elsewhere 

in this publication). The full text of this 

document is available for inspection 

and copying during normal business 

hours in the FCC Reference Information 

Center, 445 12th Street, SW., 

Washington, DC 20554. The complete 

text may be purchased from the FCC’s 

copy contractor, Qualex International, 

445 12th Street, SW., Room CY–B402, 

Washington, DC 20554. The full text 

may also be downloaded at: http://

www.fcc.gov. Alternative formats are 

available to persons with disabilities by 

contacting Brian Millin at (202) 418–

7426 or TTY (202) 418–7365 or at 

Brian.Millin@fcc.gov.

Synopsis of the Second Further Notice 

I. Introduction and Background 

1. In the Second Report and Order,

which is set forth elsewhere in this 

publication, we provide examples of the 

ways in which advanced technologies, 

such as opportunistic devices, may be 

utilized within the context of current 

spectrum leasing policies. We observe 

that these do not comprise an 

exhaustive list of all permissible ways 

in which these advanced technologies 

may be utilized, but instead help 

illustrate the relevant regulatory issues 

before the Commission. We recognize 

that, due to the transaction costs 

associated with leasing or other market 

factors, licensees and other parties may 

wish to utilize other types of 

arrangements involving opportunistic 

use of licensed spectrum. To that end, 

we adopt a ‘‘private commons’’ option 

distinct from either spectrum leases or 

other existing arrangements. 

II. Second Further Notice of Proposed 

Rulemaking 

2. Because there may be many 

arrangements that would involve 

opportunistic use of spectrum and that 

would be consistent with Commission 

rules, we seek comment on additional 

ways in which licensees and spectrum 

lessees may enter into arrangements in 

which other users may employ 

advanced technologies to 

opportunistically use licensed 

spectrum. We wish to build on the 

examples listed in the Second Report 

and Order to provide licensees, 

spectrum lessees, and other parties with 

greater certainty as to the types of 

opportunistic use arrangements that 

would be permitted. To that end, we 

encourage commenters to describe 

additional means to increase spectrum 

access, how they might fit within the 

framework of the Commission’s rules, or 

the extent to which we should consider 

revising our rules so as to accommodate 

these uses.

3. With regard to spectrum access 

through spectrum leasing arrangements, 

we seek comment on additional ways in 

which licensees and spectrum lessees 

may utilize advanced technologies, such 

as opportunistic devices, within the 

context of the Commission’s spectrum 

leasing policies and rules. What types of 

uses have not been addressed by the 

Commission but nonetheless merit 

consideration due, for example, to an 

ability to enhance access? We encourage 

commenters to be specific as to the 

nature of the relationship between the 

licensees and spectrum lessee(s) in such 

arrangements, especially with regard to 

their responsibility for compliance with 

Commission rules. 

4. With regard to spectrum access 

through private commons, we seek 

comment on the potential for this 

approach to improve access as well as 

the regulatory distinctions that are 

necessary to make this an effective 

regulatory model. Does the private 

commons established in the Second 

Report and Order sufficiently 

accommodate the wide variety of ways 

in which licensees (and spectrum 

lessees) and other users may wish to 

enter cooperative arrangements that 

employ ‘‘smart’’ or ‘‘opportunistic’’ 

devices? Should the private commons 

be modified or expanded so as to better 

accommodate the variety of 

arrangements that may be desired by the 

market? For example, should we adopt 

an approach to private commons that 

would allow intermediaries to facilitate 

transactions with users, design and set 

up communications networks for users 

or provide value-added services or 

applications? Are there alternative 

regulatory constructs that might help 

promote such arrangements? If so, how 

should these arrangements be 

structured, both in terms of licensees’ 

reporting requirements before the 

Commission and the nature of the 

licensee’s relationship with 

opportunistic users? 

5. In addition, we seek comment on 

the technical parameters necessary to 

distinguish private commons from 

spectrum leasing arrangements or other 

arrangements. For example, at what 

point is a licensee with no physical 

infrastructure to use the spectrum 

engaged in providing a private 

commons to users, as opposed to a 

spectrum leasing arrangement with 

spectrum lessees? To what extent 

should a licensee (or spectrum lessee) 

with a private commons be permitted to 

grant access to another spectrum 

licensee (or spectrum lessee)? Should a 

licensee with an existing physical 

network and subscribers (e.g., a CMRS 

provider) be permitted to be a subscriber 

in another licensee’s private commons? 

If so, what would distinguish such use 

from a spectrum leasing arrangement? 

6. We seek comment on the examples 

of private commons set forth in the 

Second Report and Order as well as 

other types of private commons 

arrangements. We also stated in the 

Second Report and Order that the 

licensee or spectrum lessee establishing 

and managing a private commons must 

retain both de facto control of the use 

Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 77561

of the spectrum within the private 

commons and direct responsibility for 

the users’ compliance with the 

Commission’s rules. Are there any 

additional policies or requirements that 

are necessary to clarify the nature of this 

control or that could help ensure 

compliance? What is an efficient way to 

enforce users’ compliance with the 

rules? For instance, would it be 

appropriate to require users to employ 

smart devices that include certain 

technologies (e.g., a microchip set) that 

would enable private commons 

managers to shut down any devices 

found to be causing harmful 

interference? 

7. Finally, we seek comment on the 

appropriate notification process for 

licensees or de facto transfer lessees that 

choose to offer a private commons. In 

the Second Report and Order above, we 

stated that a licensee or spectrum lessee 

managing the private commons must 

notify the Commission prior to 

permitting users to begin operating 

within the private commons. We 

propose here to give the licensee or 

spectrum lessee the option of notifying 

the Commission directly or, in the 

alternative, providing a URL that posts 

the terms and conditions. In the event 

these terms and conditions change, the 

licensee would have to make this 

information available on its website or, 

if this is not possible, by providing this 

information directly to the Commission. 

Is this an efficient notification 

procedure, and are there alternative 

means by which the Commission could 

collect this information in a less 

burdensome manner? 

III. Procedural Matters 

A. Initial Regulatory Flexibility Analysis 

Regarding the Second Further Notice 

8. As required by the Regulatory 

Flexibility Act of 1980, as amended 

(RFA), see 5 U.S.C. 603, the Commission 

has prepared this present Initial 

Regulatory Flexibility Analysis (IRFA) 

of the possible significant economic 

impact on a substantial number of small 

entities by the policies and rules 

proposed in this Second Further Notice 

of Proposed Rulemaking (Second 

Further Notice). Written public 

comments are requested on this IRFA. 

Comments must be identified as 

responses to the IRFA and must be filed 

by the deadlines for comments on the 

Second Further Notice. The Commission 

will send a copy of the Second Further 

Notice, including this IRFA, to the Chief 

Counsel for Advocacy of the Small 

Business Administration (SBA). In 

addition, the Second Further Notice and 

IRFA (or summaries thereof) will be 

published in the Federal Register. 

1. Need for, and Objectives of, the 

Proposed Rules 

9. In the Second Report and Order, we 

adopt changes that further facilitate the 

leasing of spectrum usage rights and 

enhancing the functioning of the 

secondary spectrum marketplace 

generally. However, we believe that 

there may be additional measures that 

we might take to improve efficiency and 

promote access to a secondary spectrum 

market in order to ensure the greatest 

benefit to spectrum users and 

consumers. Thus, in the Second Further 

Notice, we seek comment on evaluating 

additional policies that could facilitate 

the development of advanced 

technologies through secondary market 

arrangements, such as spectrum leasing 

and private commons, and obtaining 

further clarification regarding the 

private commons options. We discuss 

the potential impact of these on small 

entities in the paragraphs that follow. 

2. Legal Basis 

10. The potential actions on which 

comment is sought in this Second 

Further Notice would be authorized 

under sections 1, 4(i), and 303(r) of the 

Communications Act of 1934, as 

amended, 47 U.S.C. 151, 154(i), and 

303(r). 

3. Description and Estimate of the 

Number of Small Entities to Which the 

Rules Will Apply 

11. The RFA directs agencies to 

provide a description of, and, where 

feasible, an estimate of, the number of 

small entities that may be affected by 

the rules adopted herein. The RFA 

generally defines the term ‘‘small 

entity’’ as having the same meaning as 

the terms ‘‘small business,’’ ‘‘small 

organization,’’ and ‘‘small governmental 

jurisdiction.’’ In addition, the term 

‘‘small business’’ has the same meaning 

as the term ‘‘small business concern’’

under the Small Business Act. A ‘‘small 

business concern’’ is one which: (1) is 

independently owned and operated; (2) 

is not dominant in its field of operation; 

and (3) satisfies any additional criteria 

established by the Small Business 

Administration (SBA).

12. In the following paragraphs, we 

further describe and estimate the 

number of small entity licensees that 

may be affected by the rules we adopt 

in the Second Further Notice. Since this 

rulemaking proceeding applies to 

multiple services, we will analyze the 

number of small entities affected on a 

service-by-service basis. 

13. As adopted, the Second Report 

and Order will create new opportunities 

and obligations for Wireless Radio 

Service’s licensees and other entities 

that may lease spectrum usage rights 

from these licensees. When identifying 

small entities that could be affected by 

our new rules, we provide information 

describing auctions results, including 

the number of small entities that were 

winning bidders. We note, however, 

that the number of winning bidders that 

qualify as small businesses at the close 

of an auction does not necessarily 

reflect the total number of small entities 

currently in a particular service. The 

Commission does not generally require 

that applicants provide business size 

information, except in the context of an 

assignment or transfer of control 

application where unjust enrichment 

issues are implicated. Consequently, to 

assist the Commission in analyzing the 

total number of potentially affected 

small entities, we requested commenters 

to estimate the number of small entities 

that may be affected by any rule changes 

resulting from this Second Further 

Notice.

14. In the Second Further Notice, we 

seek comment on possible further 

refinements to our existing policies and 

rules for spectrum leasing arrangements 

and for private commons arrangements. 

If any revisions were adopted, such 

revisions potentially could affect small 

entity licensees holding licenses in the 

Wireless Radio Services identified 

below. 

15. Cellular Licensees. The SBA has 

developed a small business size 

standard for small businesses in the 

category ‘‘Cellular and Other Wireless 

Telecommunications.’’ Under that SBA 

category, a business is small if it has 

1,500 or fewer employees. According to 

the Bureau of the Census, only twelve 

firms out of a total of 977 cellular and 

other wireless telecommunications 

firms that operated for the entire year in 

1997 had 1,000 or more employees. 

Therefore, even if all twelve of these 

firms were cellular telephone 

companies, nearly all cellular carriers 

are small businesses under the SBA’s 

definition. 

16. 220 MHz Radio Service—Phase I 

Licensees. The 220 MHz service has 

both Phase I and Phase II licenses. Phase 

I licensing was conducted by lotteries in 

1992 and 1993. There are approximately 

1,515 such non-nationwide licensees 

and four nationwide licensees currently 

authorized to operate in the 220 MHz 

band. The Commission has not 

developed a definition of small entities 

specifically applicable to such 

incumbent 220 MHz Phase I licensees. 

To estimate the number of such 

77562 Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 

licensees that are small businesses, we 

apply the small business size standard 

under the SBA rules applicable to 

‘‘Cellular and Other Wireless 

Telecommunications’’ companies. This 

category provides that a small business 

is a wireless company employing no 

more than 1,500 persons. According to 

the Census Bureau data for 1997, only 

twelve firms out of a total of 977 such 

firms that operated for the entire year in 

1997, had 1,000 or more employees. If 

this general ratio continues in the 

context of Phase I 220 MHz licensees, 

the Commission estimates that nearly all 

such licensees are small businesses 

under the SBA’s small business 

standard. 

17. 220 MHz Radio Service—Phase II 

Licensees. The 220 MHz service has 

both Phase I and Phase II licenses. The 

Phase II 220 MHz service is subject to 

spectrum auctions. We adopted a small 

business size standard for defining 

‘‘small’’ and ‘‘very small’’ businesses for 

purposes of determining their eligibility 

for special provisions such as bidding 

credits and installment payments. This 

small business standard indicates that a 

‘‘small business’’ is an entity that, 

together with its affiliates and 

controlling principals, has average gross 

revenues not exceeding $15 million for 

the preceding three years. A ‘‘very small 

business’’ is defined as an entity that, 

together with its affiliates and 

controlling principals, has average gross 

revenues that do not exceed $3 million 

for the preceding three years. The SBA 

has approved these small size standards. 

Auctions of Phase II licenses 

commenced on September 15, 1998, and 

closed on October 22, 1998. In the first 

auction, 908 licenses were auctioned in 

three different-sized geographic areas: 

Three nationwide licenses, 30 Regional 

Economic Area Group (EAG) Licenses, 

and 875 Economic Area (EA) Licenses. 

Of the 908 licenses auctioned, 693 were 

sold. Thirty-nine small businesses won 

373 licenses in the first 220 MHz 

auction. A second auction included 225 

licenses: 216 EA licenses and 9 EAG 

licenses. Fourteen companies claiming 

small business status won 158 licenses. 

A third auction included four licenses: 

2 BEA licenses and 2 EAG licenses in 

the 220 MHz Service. No small or very 

small business won any of these 

licenses. 

18. Lower 700 MHz Band Licenses.

We adopted criteria for defining three 

groups of small businesses for purposes 

of determining their eligibility for 

special provisions such as bidding 

credits. We have defined a small 

business as an entity that, together with 

its affiliates and controlling principals, 

has average gross revenues not 

exceeding $40 million for the preceding 

three years. A very small business is 

defined as an entity that, together with 

its affiliates and controlling principals, 

has average gross revenues that are not 

more than $15 million for the preceding 

three years. Additionally, the lower 700 

MHz Service has a third category of 

small business status that may be 

claimed for Metropolitan/Rural Service 

Area (MSA/RSA) licenses. The third 

category is entrepreneur, which is 

defined as an entity that, together with 

its affiliates and controlling principals, 

has average gross revenues that are not 

more than $3 million for the preceding 

three years. The SBA has approved 

these small size standards. An auction 

of 740 licenses (one license in each of 

the 734 MSAs/RSAs and one license in 

each of the six Economic Area 

Groupings (EAGs)) commenced on 

August 27, 2002, and closed on 

September 18, 2002. Of the 740 licenses 

available for auction, 484 licenses were 

sold to 102 winning bidders. Seventytwo of the winning bidders claimed 

small business, very small business or 

entrepreneur status and won a total of 

329 licenses. A second auction 

commenced on May 28, 2003, and 

closed on June 13, 2003, and included 

256 licenses: 5 EAG licenses and 476 

CMA licenses. Seventeen winning 

bidders claimed small or very small 

business status and won sixty licenses, 

and nine winning bidders claimed 

entrepreneur status and won 154 

licenses.

19. Upper 700 MHz Band Licenses.

The Commission released a Report and 

Order, authorizing service in the upper 

700 MHz band. This auction, previously 

scheduled for January 13, 2003, has 

been postponed. 

20. Paging. We adopted a size 

standard for ‘‘small businesses’’ for 

purposes of determining their eligibility 

for special provisions such as bidding 

credits and installment payments. A 

small business is an entity that, together 

with its affiliates and controlling 

principals, has average gross revenues 

not exceeding $15 million for the 

preceding three years. The SBA has 

approved this definition. An auction of 

Metropolitan Economic Area (MEA) 

licenses commenced on February 24, 

2000, and closed on March 2, 2000. Of 

the 2,499 licenses auctioned, 985 were 

sold. Fifty-seven companies claiming 

small business status won 440 licenses. 

An auction of Metropolitan Economic 

Area (MEA) and Economic Area (EA) 

licenses commenced on October 30, 

2001, and closed on December 5, 2001. 

Of the 15,514 licenses auctioned, 5,323 

were sold. 132 companies claiming 

small business status purchased 3,724 

licenses. A third auction, consisting of 

8,874 licenses in each of 175 EAs and 

1,328 licenses in all but three of the 51 

MEAs commenced on May 13, 2003, 

and closed on May 28, 2003. Seventyseven bidders claiming small or very 

small business status won 2,093 

licenses. Currently, there are 

approximately 24,000 Private Paging 

site-specific licenses and 74,000 

Common Carrier Paging licenses. 

According to one 2002 study, 608 

private and common carriers reported 

that they were engaged in the provision 

of either paging or ‘‘other mobile’’

services. Of these, we estimate that 589 

are small, under the SBA-approved 

small business size standard. We 

estimate that the majority of private and 

common carrier paging providers would 

qualify as small entities under the SBA 

definition. 

21. Broadband Personal 

Communications Service (PCS). The 

broadband PCS spectrum is divided into 

six frequency blocks designated A 

through F, and the Commission has held 

auctions for each block. The 

Commission has created a small 

business size standard for Blocks C and 

F as an entity that has average gross 

revenues of less than $40 million in the 

three previous calendar years. For Block 

F, an additional small business size 

standard for ‘‘very small business’’ was 

added and is defined as an entity that, 

together with its affiliates, has average 

gross revenues of not more than $15 

million for the preceding three calendar 

years. These small business size 

standards, in the context of broadband 

PCS auctions, have been approved by 

the SBA. No small businesses within the 

SBA-approved small business size 

standards bid successfully for licenses 

in Blocks A and B. There were 90 

winning bidders that qualified as small 

entities in the Block C auctions. A total 

of 93 ‘‘small’’ and ‘‘very small’’ business 

bidders won approximately 40 percent 

of the 1,479 licenses for Blocks D, E, and 

F. On March 23, 1999, the Commission 

reauctioned 155 C, D, E, and F Block 

licenses; there were 113 small business 

winning bidders. 

22. Narrowband PCS. The 

Commission held an auction for 

Narrowband PCS licenses that 

commenced on July 25, 1994, and 

closed on July 29, 1994. A second 

commenced on October 26, 1994 and 

closed on November 8, 1994. For 

purposes of the first two Narrowband 

PCS auctions, ‘‘small businesses’’ were 

entities with average gross revenues for 

the prior three calendar years of $40 

million or less. Through these auctions, 

the Commission awarded a total of 

forty-one licenses, 11 of which were 

Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 77563

obtained by four small businesses. To 

ensure meaningful participation by 

small business entities in future 

auctions, the Commission adopted a 

two-tiered small business size standard. 

A ‘‘small business’’ is an entity that, 

together with affiliates and controlling 

interests, has average gross revenues for 

the three preceding years of not more 

than $40 million. A ‘‘very small 

business’’ is an entity that, together with 

affiliates and controlling interests, has 

average gross revenues for the three 

preceding years of not more than $15 

million. The SBA has approved these 

small business size standards. A third 

auction commenced on October 3, 2001 

and closed on October 16, 2001. Here, 

five bidders won 317 (MTA and 

nationwide) licenses. Three of these 

claimed status as a small or very small 

entity and won 311 licenses. 

23. Specialized Mobile Radio (SMR).

The Commission awards ‘‘small entity’’

bidding credits in auctions for 

Specialized Mobile Radio (SMR) 

geographic area licenses in the 800 MHz 

and 900 MHz bands to firms that had 

revenues of no more than $15 million in 

each of the three previous calendar 

years. The Commission awards ‘‘very 

small entity’’ bidding credits to firms 

that had revenues of no more than $3 

million in each of the three previous 

calendar years. The SBA has approved 

these small business size standards for 

the 900 MHz Service. The Commission 

has held auctions for geographic area 

licenses in the 800 MHz and 900 MHz 

bands. The 900 MHz SMR auction began 

on December 5, 1995, and closed on 

April 15, 1996. Sixty bidders claiming 

that they qualified as small businesses 

under the $15 million size standard won 

263 geographic area licenses in the 900 

MHz SMR band. The 800 MHz SMR 

auction for the upper 200 channels 

began on October 28, 1997, and was 

completed on December 8, 1997. Ten 

bidders claiming that they qualified as 

small businesses under the $15 million 

size standard won 38 geographic area 

licenses for the upper 200 channels in 

the 800 MHz SMR band. A second 

auction for the 800 MHz band was held 

on January 10, 2002 and closed on 

January 17, 2002 and included 23 BEA 

licenses. One bidder claiming small 

business status won five licenses. 

24. The auction of the 1,050 800 MHz 

SMR geographic area licenses for the 

General Category channels began on 

August 16, 2000, and was completed on 

September 1, 2000. Eleven bidders won 

108 geographic area licenses for the 

General Category channels in the 800 

MHz SMR band qualified as small 

businesses under the $15 million size 

standard. In an auction completed on 

December 5, 2000, a total of 2,800 

Economic Area licenses in the lower 80 

channels of the 800 MHz SMR service 

were sold. Of the 22 winning bidders, 

19 claimed ‘‘small business’’ status and 

won 129 licenses. Thus, combining all 

three auctions, 40 winning bidders for 

geographic licenses in the 800 MHz 

SMR band claimed status as small 

business. In addition, there are 

numerous incumbent site-by-site SMR 

licensees and licensees with extended 

implementation authorizations in the 

800 and 900 MHz bands. We do not 

know how many firms provide 800 MHz 

or 900 MHz geographic area SMR 

pursuant to extended implementation 

authorizations, nor how many of these 

providers have annual revenues of no 

more than $15 million. One firm has 

over $15 million in revenues. We 

assume, for purposes of this analysis, 

that all of the remaining existing 

extended implementation 

authorizations are held by small 

entities, as that small business size 

standard is established by the SBA.

25. Private Land Mobile Radio 

(PLMR). PLMR systems serve an 

essential role in a range of industrial, 

business, land transportation, and 

public safety activities. These radios are 

used by companies of all sizes operating 

in all U.S. business categories, and are 

often used in support of the licensee’s 

primary (non-telecommunications) 

business operations. For the purpose of 

determining whether a licensee of a 

PLMR system is a small business as 

defined by the SBA, we could use the 

definition for ‘‘Cellular and Other 

Wireless Telecommunications.’’ This 

definition provides that a small entity is 

any such entity employing no more than 

1,500 persons. The commission does not 

require PLMR licensees to disclose 

information about number of 

employees, so the Commission does not 

have information that could be used to 

determine how many PLMR licensees 

constitute small entities under this 

definition. Moreover, because PMLR 

licensees generally are not in the 

business of providing cellular or other 

wireless telecommunications services 

but instead use the licensed facilities in 

support of other business activities, we 

are not certain that the Cellular and 

Other Wireless Telecommunications 

category is appropriate for determining 

how many PLMR licensees are small 

entities for this analysis. Rather, it may 

be more appropriate to assess PLMR 

licensees under the standards applied to 

the particular industry subsector to 

which the licensee belongs. 

26. Fixed Microwave Services. Fixed 

microwave services include common 

carrier, private-operational fixed, and 

broadcast auxiliary radio services. 

Currently, there are approximately 

22,015 common carrier fixed licensees 

and 61,670 private operational-fixed 

licensees and broadcast auxiliary radio 

licensees in the microwave services. 

The Commission has not yet defined a 

small business with respect to 

microwave services. For purposes of 

this FRFA, we will use the SBA’s 

definition applicable to ‘‘Cellular and 

Other Wireless Telecommunications’’

companies—that is, an entity with no 

more than 1,500 persons. The 

Commission does not have data 

specifying the number of these licensees 

that have more than 1,500 employees, 

and thus is unable at this time to 

estimate with greater precision the 

number of fixed microwave service 

licensees that would qualify as small 

business concerns under the SBA’s 

small business size standard. 

Consequently, the Commission 

estimates that there are 22,015 or fewer 

small common carrier fixed licensees 

and 61,670 or fewer small private 

operational-fixed licensees and small 

broadcast auxiliary radio licensees in 

the microwave services that may be 

affected by the rules and policies 

adopted herein. The Commission notes, 

however, that the common carrier 

microwave fixed licensee category 

includes some large entities. 

27. Wireless Communications 

Services. This service can be used for 

fixed, mobile, radiolocation, and digital 

audio broadcasting satellite uses. The 

Commission defined ‘‘small business’’

for the wireless communications 

services (WCS) auction as an entity with 

average gross revenues of $40 million 

for each of the three preceding years, 

and a ‘‘very small business’’ as an entity 

with average gross revenues of $15 

million for each of the three preceding 

years. The SBA has approved these 

definitions. The FCC auctioned 

geographic area licenses in the WCS 

service. In the auction, which 

commenced on April 15, 1997 and 

closed on April 25, 1997, there were 

seven bidders that won 31 licenses that 

qualified as very small business entities, 

and one bidder that won one license 

that qualified as a small business entity. 

An auction for one license in the 1670–

1674 MHz band commenced on April 

30, 2003 and closed the same day. One 

license was awarded. The winning 

bidder was not a small entity. 

28. 39 GHz Service. The Commission 

defines ‘‘small entity’’ for 39 GHz 

licenses as an entity that has average 

gross revenues of less than $40 million 

in the three previous calendar years. 

‘‘Very small business’’ is defined as an 

entity that, together with its affiliates, 

77564 Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 

has average gross revenues of not more 

than $15 million for the preceding three 

calendar years. The SBA has approved 

these definitions. The auction of the 

2,173 39 GHz licenses began on April 

12, 2000, and closed on May 8, 2000. 

The 18 bidders who claimed small 

business status won 849 licenses. 

29. Local Multipoint Distribution 

Service. An auction of the 986 Local 

Multipoint Distribution Service (LMDS) 

licenses began on February 18, 1998, 

and closed on March 25, 1998. The 

Commission defined ‘‘small entity’’ for 

LMDS licenses as an entity that has 

average gross revenues of less than $40 

million in the three previous calendar 

years. An additional classification for 

‘‘very small business’’ was added and is 

defined as an entity that, together with 

its affiliates, has average gross revenues 

of not more than $15 million for the 

preceding three calendar years. These 

regulations defining ‘‘small entity’’ in 

the context of LMDS auctions have been 

approved by the SBA. There were 93 

winning bidders that qualified as small 

entities in the LMDS auctions. A total of 

93 small and very small business 

bidders won approximately 277 A Block 

licenses and 387 B Block licenses. On 

March 27, 1999, the Commission reauctioned 161 licenses; there were 32 

small and very small business winning 

bidders that won 119 licenses. 

30. 218–219 MHz Service. The first 

auction of 218–219 MHz (previously 

referred to as the Interactive and Video 

Data Service or IVDS) spectrum resulted 

in 178 entities winning licenses for 594 

Metropolitan Statistical Areas (MSAs). 

Of the 594 licenses, 567 were won by 

167 entities qualifying as a small 

business. For that auction, we defined a 

small business as an entity that, together 

with its affiliates, has no more than a $6 

million net worth and, after federal 

income taxes (excluding any carry over 

losses), has no more than $2 million in 

annual profits each year for the previous 

two years. We defined a small business 

as an entity that, together with its 

affiliates and persons or entities that 

hold interests in such an entity and 

their affiliates, has average annual gross 

revenues not exceeding $15 million for 

the preceding three years. A very small 

business is defined as an entity that, 

together with its affiliates and persons 

or entities that hold interests in such an 

entity and its affiliates, has average 

annual gross revenues not exceeding $3 

million for the preceding three years. 

The SBA has approved of these 

definitions. At this time, we cannot 

estimate the number of licenses that will 

be won by entities qualifying as small or 

very small businesses under our rules in 

future auctions of 218–219 MHz 

spectrum. Given the success of small 

businesses in the previous auction, and 

the prevalence of small businesses in 

the subscription television services and 

message communications industries, we 

assume for purposes of this FRFA that 

in future auctions, many, and perhaps 

all, of the licenses may be awarded to 

small businesses. 

31. Location and Monitoring Service 

(LMS). Multilateration LMS systems use 

non-voice radio techniques to determine 

the location and status of mobile radio 

units. For purposes of auctioning LMS 

licenses, the Commission has defined 

‘‘small business’’ as an entity that, 

together with controlling interests and 

affiliates, has average annual gross 

revenues for the preceding three years 

not exceeding $15 million. A ‘‘very 

small business’’ is defined as an entity 

that, together with controlling interests 

and affiliates, has average annual gross 

revenues for the preceding three years 

not exceeding $3 million. These 

definitions have been approved by the 

SBA. An auction for LMS licenses 

commenced on February 23, 1999, and 

closed on March 5, 1999. Of the 528 

licenses auctioned, 289 licenses were 

sold to four small businesses. We cannot 

accurately predict the number of 

remaining licenses that could be 

awarded to small entities in future LMS 

auctions.

32. Rural Radiotelephone Service. We 

use the SBA definition applicable to 

cellular and other wireless 

telecommunication companies, i.e., an 

entity employing no more than 1,500 

persons. There are approximately 1,000 

licensees in the Rural Radiotelephone 

Service, and the Commission estimates 

that there are 1,000 or fewer small entity 

licensees in the Rural Radiotelephone 

Service that may be affected by the rules 

and policies adopted herein. 

33. Air-Ground Radiotelephone 

Service. We use the SBA definition 

applicable to cellular and other wireless 

telecommunication companies, i.e., an 

entity employing no more than 1,500 

persons. There are approximately 100 

licensees in the Air-Ground 

Radiotelephone Service, and the 

Commission estimates that almost all of 

them qualify as small entities under the 

SBA definition. 

34. Offshore Radiotelephone Service.

This service operates on several ultra 

high frequency (UHF) TV broadcast 

channels that are not used for TV 

broadcasting in the coastal area of the 

states bordering the Gulf of Mexico. At 

present, there are approximately 55 

licensees in this service. We use the 

SBA definition applicable to cellular 

and other wireless telecommunication 

companies, i.e., an entity employing no 

more than 1,500 persons. The 

Commission is unable at this time to 

estimate the number of licensees that 

would qualify as small entities under 

the SBA definition. The Commission 

assumes, for purposes of this FRFA, that 

all of the 55 licensees are small entities, 

as that term is defined by the SBA. 

35. Multiple Address Systems (MAS).

Entities using MAS spectrum, in 

general, fall into two categories: (1) 

those using the spectrum for profitbased uses, and (2) those using the 

spectrum for private internal uses. With 

respect to the first category, the 

Commission defines ‘‘small entity’’ for 

MAS licenses as an entity that has 

average gross revenues of less than $15 

million in the three previous calendar 

years. ‘‘Very small business’’ is defined 

as an entity that, together with its 

affiliates, has average gross revenues of 

not more than $3 million for the 

preceding three calendar years. The 

SBA has approved of these definitions. 

The majority of these entities will most 

likely be licensed in bands where the 

Commission has implemented a 

geographic area licensing approach that 

would require the use of competitive 

bidding procedures to resolve mutually 

exclusive applications. The 

Commission’s licensing database 

indicates that, as of January 20, 1999, 

there were a total of 8,670 MAS station 

authorizations. Of these, 260 

authorizations were associated with 

common carrier service. In addition, an 

auction for 5,104 MAS licenses in 176 

EAs began November 14, 2001, and 

closed on November 27, 2001. Seven 

winning bidders claimed status as small 

or very small businesses and won 611 

licenses. 

36. With respect to the second 

category, which consists of entities that 

use, or seek to use, MAS spectrum to 

accommodate their own internal 

communications needs, we note that 

MAS serves an essential role in a range 

of industrial, safety, business, and land 

transportation activities. MAS radios are 

used by companies of all sizes, 

operating in virtually all U.S. business 

categories, and by all types of public 

safety entities. For the majority of 

private internal users, the definitions 

developed by the SBA would be more 

appropriate. The applicable definition 

of small entity in this instance appears 

to be the ‘‘Cellular and Other Wireless 

Telecommunications’’ definition under 

the SBA rules. This definition provides 

that a small entity is any entity 

employing no more than 1,500 persons. 

The Commission’s licensing database 

indicates that, as of January 20, 1999, of 

the 8,670 total MAS station 

authorizations, 8,410 authorizations 

Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 77565

were for private radio service, and of 

these, 1,433 were for private land 

mobile radio service. 

37. Incumbent 24 GHz Licensees. The 

rules that we adopt could affect 

incumbent licensees who were relocated 

to the 24 GHz band from the 18 GHz 

band, and applicants who wish to 

provide services in the 24 GHz band. 

The Commission did not develop a 

definition of small entities applicable to 

existing licensees in the 24 GHz band. 

Therefore, the applicable definition of 

small entity is the definition under the 

SBA rules for ‘‘Cellular and Other 

Wireless Telecommunications.’’ This 

definition provides that a small entity is 

any entity employing no more than 

1,500 persons. We believe that there are 

only two licensees in the 24 GHz band 

that were relocated from the 18 GHz 

band, Teligent and TRW, Inc. It is our 

understanding that Teligent and its 

related companies have less than 1,500 

employees, though this may change in 

the future. TRW is not a small entity. 

Thus, only one incumbent licensee in 

the 24 GHz band is a small business 

entity. 

38. Future 24 GHz Licensees. With 

respect to new applicants in the 24 GHz 

band, we have defined ‘‘small business’’

as an entity that, together with 

controlling interests and affiliates, has 

average annual gross revenues for the 

three preceding years not exceeding $15 

million. ‘‘Very small business’’ in the 24 

GHz band is defined as an entity that, 

together with controlling interests and 

affiliates, has average gross revenues not 

exceeding $3 million for the preceding 

three years. The SBA has approved 

these definitions. The Commission will 

not know how many licensees will be 

small or very small businesses until the 

auction, if required, is held. 

39. 700 MHz Guard Band Licenses.

We adopted size standards for ‘‘small 

businesses’’ and ‘‘very small 

businesses’’ for purposes of determining 

their eligibility for special provisions 

such as bidding credits and installment 

payments. A small business in this 

service is an entity that, together with 

its affiliates and controlling principals, 

has average gross revenues not 

exceeding $40 million for the preceding 

three years. Additionally, a ‘‘very small 

business’’ is an entity that, together with 

its affiliates and controlling principals, 

has average gross revenues that are not 

more than $15 million for the preceding 

three years. SBA approval of these 

definitions is not required. An auction 

of 52 Major Economic Area (MEA) 

licenses commenced on September 6, 

2000, can closed on September 21, 2000. 

Of the 104 licenses auctioned, 96 

licenses were sold to nine bidders. Five 

of these bidders were small businesses 

that won a total of 26 licenses. A second 

auction of 700 MHz Guard Band 

licenses commenced on February 13, 

2001, and closed on February 21, 2001. 

All eight of the licenses auctioned were 

sold to three bidders. One of these 

bidders was a small business that won 

a total of two licenses.

40. Broadband Radio Service 

(formerly Multipoint Distribution 

Service) and Educational Broadband 

Service (formerly Instructional 

Television Fixed Service). Multichannel 

Multipoint Distribution Service (MMDS) 

systems, often referred to as ‘‘wireless 

cable,’’ transmit video programming to 

subscribers using the microwave 

frequencies of the Multipoint 

Distribution Service (MDS) and 

Instructional Television Fixed Service 

(ITFS). In an order issued in July 2004 

in WT Docket No. 03–66, the 

Commission comprehensively reviewed 

our policies and rules relating to the 

ITFS and MDS services, and replacing 

the Multipoint Distribution Service 

(MDS) with the Broadband Radio 

Service and Instructional Television 

Fixed Service (ITFS) with the 

Educational Broadband Service. In 

connection with the 1996 MDS auction, 

the Commission defined ‘‘small 

business’’ as an entity that, together 

with its affiliates, has average gross 

annual revenues that are not more than 

$40 million for the preceding three 

calendar years. The SBA has approved 

of this standard. The MDS auction 

resulted in 67 successful bidders 

obtaining licensing opportunities for 

493 Basic Trading Areas (BTAs). Of the 

67 auction winners, 61 claimed status as 

a small business. At this time, we 

estimate that of the 61 small business 

MDS auction winners, 48 remain small 

business licensees. In addition to the 48 

small businesses that hold BTA 

authorizations, there are approximately 

392 incumbent MDS licensees that have 

gross revenues that are not more than 

$40 million and are thus considered 

small entities. 

41. In addition, the SBA has 

developed a small business size 

standard for Cable and Other Program 

Distribution, which includes all such 

companies generating $12.5 million or 

less in annual receipts. According to 

Census Bureau data for 1997, there were 

a total of 1,311 firms in this category, 

total, that had operated for the entire 

year. Of this total, 1,180 firms had 

annual receipts of under $10 million, 

and an additional 52 firms had receipts 

of $10 million or more but less than $25 

million. Consequently, we estimate that 

the majority of providers in this service 

category are small businesses that may 

be affected by the rules and policies in 

the Second Report and Order. 

42. Finally, while SBA approval for a 

Commission-defined small business size 

standard applicable to ITFS is pending, 

educational institutions are included in 

this analysis as small entities. There are 

currently 2,032 ITFS licensees, and all 

but 100 of these licenses are held by 

educational institutions. Thus, we 

tentatively conclude that at least 1,932 

ITFS licensees are small businesses. 

43. Multichannel Video Distribution 

and Data Service. MVDDS is a terrestrial 

fixed microwave service operating in 

the 12.2–12.7 GHz band. Licenses in 

this service were auctioned in January 

2004, with 10 winning bidders for 192 

licenses. Eight of these 10 winning 

bidders claimed small businesses status 

for 144 of these licenses. 

44. Aviation and Marine Services.

Small businesses in the aviation and 

marine radio services use a very high 

frequency (VHF) marine or aircraft radio 

and, as appropriate, an emergency 

position-indicating radio beacon (and/or 

radar) or an emergency locator 

transmitter. The Commission has not 

developed a small business size 

standard specifically applicable to these 

small businesses. For purposes of this 

analysis, the Commission uses the SBA 

small business size standard for the 

category ‘‘Cellular and Other 

Telecommunications,’’ which is 1,500 

or fewer employees. Most applicants for 

recreational licenses are individuals. 

Approximately 581,000 ship station 

licensees and 131,000 aircraft station 

licensees operate domestically and are 

not subject to the radio carriage 

requirements of any statute or treaty. 

For purposes of our evaluations in this 

analysis, we estimate that there are up 

to approximately 712,000 licensees that 

are small businesses (or individuals) 

under the SBA standard. In addition, 

between December 3, 1998 and 

December 14, 1998, the Commission 

held an auction of 42 VHF Public Coast 

licenses in the 157.1875–157.4500 MHz 

(ship transmit) and 161.775–162.0125 

MHz (coast transmit) bands. For 

purposes of the auction, the 

Commission defined a ‘‘small’’ business 

as an entity that, together with 

controlling interests and affiliates, has 

average gross revenues for the preceding 

three years not to exceed $15 million 

dollars. In addition, a ‘‘very small’’

business is one that, together with 

controlling interests and affiliates, has 

average gross revenues for the preceding 

three years not to exceed $3 million 

dollars. There are approximately 10,672 

licensees in the Marine Coast Service, 

and the Commission estimates that 

almost all of them qualify as ‘‘small’’

77566 Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 

businesses under the above special 

small business size standards. 

45. Public Safety Radio Services.

Public Safety radio services include 

police, fire, local government, forestry 

conservation, highway maintenance, 

and emergency medical services. There 

are a total of approximately 127,540 

licensees in these services. 

Governmental entities as well as private 

businesses comprise the licensees for 

these services. All governmental entities 

with populations of less than 50,000 fall 

within the definition of a small entity. 

4. Description of Projected Reporting, 

Recordkeeping, and Other Compliance 

Requirements for Small Entities 

46. The policies and proposals set 

forth in the Second Report and Order

impact a number of Commission 

licensees and spectrum lessees in 

various wireless services. The Second 

Further Notice explores ways in which 

licensees and spectrum lessees may 

enter into arrangements in which 

advanced technologies are 

opportunistically employed. The 

Second Further Notice and seeks to 

provide parties with greater certainty as 

to the types of opportunistic use 

arrangements that would be permitted 

while fitting into the framework of the 

Commission’s current rules. 

47. Our proposals in the Second 

Report and Order to implement certain 

advanced technologies necessarily 

implicates potential reporting, 

recordkeeping and compliance 

requirements for licensees and spectrum 

lessees, including: (1) Retention of lease 

agreements; (2) reporting of spectrum 

leasing terms to the Commission; (3) 

licensee and lessee compliance with the 

Commission’s technical and service 

rules; (4) licensee filings with the 

Commission on behalf of the lessee; (5) 

licensee verification of lessee 

compliance with Commission rules; (6) 

license supervision of a lessee’s 

adherence to the Commission’s rules 

and policies; and (7) the leasing of 

spectrum by entities designated as 

‘‘small business’’ or ‘‘very small 

business’’ under the Commission’s 

rules. Licensees and spectrum lessees 

may retain or hire outside professionals 

(e.g., legal and engineering staff) to draft 

lease arrangements, provide consulting 

services, maintain records and comply 

with applicable Commission rules. They 

also may employ existing or new 

employees to be responsible for 

reporting, recordkeeping, and other 

compliance requirements.

48. The Second Further Notice also 

explores what steps the Commission 

should take to further enhance 

secondary markets and increase the 

efficient use of spectrum and the 

availability to the public of innovative 

wireless services. The Second Further 

Notice does not propose any specific 

reporting, recordkeeping or compliance 

requirements in these matters. We are 

open to comment on what, if any, 

requirements we should impose if we 

adopt these proposals. 

5. Steps Taken To Minimize Significant 

Economic Impact on Small Entities, and 

Significant Alternatives Considered 

49. The RFA requires an agency to 

describe any significant, specifically 

small business alternatives that it has 

considered in reaching its proposed 

approach, which may include the 

following four alternatives (among 

others): ‘‘(1) the establishment of 

differing compliance or reporting 

requirements or timetables that take into 

account the resources available to small 

entities; (2) the clarification, 

consolidation, or simplification of 

compliance or reporting requirements 

under the rule for small entities; (3) the 

use of performance, rather than design, 

standards; and (4) an exemption from 

coverage of the rule, or any part thereof, 

for small entities.’’ See 5 U.S.C. 

603(c)(1)–(c)(4). 

50. Regarding our inquiry on ways to 

facilitate further development of 

advanced technologies, we do not 

anticipate any adverse impact on small 

entities. In fact, small (and large) 

entities should benefit from the 

reduction in transaction costs associated 

with leasing and the availability of other 

types of arrangements involving 

opportunistic use of licensed spectrum. 

We encourage comments on ways in 

which others may employ advanced 

technologies to opportunistically use 

licensed spectrum. Specifically, 

commenters should propose additional 

means to increase spectrum access and 

how that would fit into the rules and 

policies already established by the 

Commission. We do not believe that a 

revision of our rules would adversely 

impact small entities. 

51. With regard to spectrum access 

through spectrum leasing arrangements, 

we seek comment on additional ways in 

which licensees and spectrum lessees 

may utilize advanced technologies, such 

as opportunistic devices, within the 

context of the Commission’s spectrum 

leasing policies and rules. We do not 

anticipate that any rules we adopt in 

this area would adversely impact small 

entities. We believe that small and large 

entities will benefit from increased 

access to spectrum and the utilization of 

advanced technologies. 

52. With regard to spectrum access 

through private commons, we seek 

comment on the potential for this 

approach to improve access as well as 

the regulatory distinctions that are 

necessary to make this an effective 

regulatory model. We do not anticipate 

any adverse impact on small entities. 

We believe that both small and large 

entities that make use of ‘‘smart’’ or 

‘‘opportunistic’’ technologies within 

their bands will benefit from the private 

commons option because this approach 

is designed to minimize some of the 

transaction costs associated with leasing 

or other market factors. 

53. In addition, we seek comment on 

the technical parameters necessary to 

distinguish private commons from 

spectrum leasing arrangements or other 

arrangements. We do not anticipate any 

adverse impact on small entities as a 

result of setting these parameters. We 

believe that setting these parameters 

will benefit both small and large entities 

by reducing regulatory uncertainty and 

encouraging spectrum use. 

54. We also seek comment on the 

examples of private commons set forth 

in the Second Report and Order, as well 

as other types of private commons 

arrangements. As stated in the Second 

Report and Order, licensee or spectrum 

lessees establishing a private commons 

retains direct responsibility for 

compliance with the Commission’s 

rules. We encourage comment on 

whether there are any additional 

policies or requirements that could help 

ensure compliance. We do not 

anticipate any adverse impact on small 

entities as a result of establishing further 

compliance guidelines. We believe that 

establishing further compliance 

guidelines all entities, including small 

entities, will benefit from the additional 

control over their spectrum. 

55. Finally, we seek comment on the 

appropriate notification process for 

licensees or spectrum lessees that 

choose to offer a private commons. In 

the Second Report and Order, we stated 

that a licensee or spectrum lessee 

managing the private commons must 

notify the Commission prior to 

permitting users to begin operating 

within the private commons. In the 

Second Further Notice, we propose to 

give the licensee or spectrum lessee the 

option of notifying the Commission 

directly or, in the alternative, providing 

a URL that posts the terms and 

conditions. We believe that this 

procedure will benefit all entities, 

including small entities, by taking an 

additional step toward increasing the 

efficient use of spectrum. 

Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 77567

6. Federal Rules That May Duplicate, 

Overlap, or Conflict With the Proposed 

Rules 

56. None. 

57. The Commission’s Consumer and 

Governmental Affairs Bureau, Reference 

Information Center, will send a copy of 

this Second Further Notice, including 

the IRFA, to the Chief Counsel for 

Advocacy of the Small Business 

Administration. 

B. Initial Paperwork Reduction Act of 

1995 Analysis Regarding the Second 

Further Notice 

58. In the Second Further Notice, this 

document seeks comment on a proposed 

information collection. As part of the 

Commission’s continuing effort to 

reduce paperwork burdens, we invite 

the general public and the Office of 

Management and Budget (OMB) to take 

this opportunity to comment on the 

information collections contained in 

this document, as required by the 

Paperwork Reduction Act of 1995, 

Public Law 104–13. Public and agency 

comments are due at the same time as 

other comments on this document and 

must have a separate heading 

designating them as responses to the 

Initial Paperwork Reduction Analysis 

(IPRA). OMB comments are due 

February 25, 2005. Comments should 

address: (a) Whether the proposed 

collection of information is necessary 

for the proper performance of the 

functions of the Commission, including 

whether the information shall have 

practical utility; (b) the accuracy of the 

Commission’s burden estimates; (c) 

ways to enhance the quality, utility, and 

clarity of the information collected; and 

(d) ways to minimize the burden of the 

collection of information on the 

respondents, including the use of 

automated collection techniques or 

other forms of information technology.

C. Comment Dates Regarding the 

Second Further Notice 

59. Pursuant to applicable procedures 

set forth in §§ 1.415 and 1.419 of the 

Commission’s rules, 47 CFR 1.415 and 

1.419, interested parties may file 

comments on the Second Further Notice

on or before January 18, 2005, and reply 

comments on or before February 17, 

2005. Comments and reply comments 

should be filed in WT Docket No. 00–

230. All relevant and timely comments 

will be considered by the Commission 

before final action is taken in this 

proceeding. 

60. Comments may be filed either by 

filing electronically, such as by using 

the Commission’s Electronic Comment 

Filing System (ECFS), or by filing paper 

copies. Parties are strongly urged to file 

their comments using ECFS (given 

recent changes in the Commission’s 

mail delivery system). Comments filed 

through the ECFS can be sent as an 

electronic file via the Internet to

http://www.fcc.gov/e-file/ecfs.html.

Only one copy of an electronic 

submission must be filed. In completing 

the transmittal screen, the electronic 

filer should include its full name, Postal 

Service mailing address, and the 

applicable docket or rulemaking 

number, WT Docket No. 00–230. Parties 

also may submit comments 

electronically by Internet e-mail. To 

receive filing instructions for e-mail 

comments, commenters should send an 

e-mail to ecfs@fcc.gov, and should 

include the following words in the body 

of the message, ‘‘get form <your e-mail 

address>.’’ A sample form and 

directions will be sent in reply. 

61. Parties who choose to file by 

paper may submit such filings by hand 

or messenger delivery, by U.S. Postal 

Service mail (First Class, Priority, or 

Express Mail), or by commercial 

overnight courier. Parties must file an 

original and four copies of each filing in 

WT Docket No. 00–230. Parties that 

want each Commissioner to receive a 

personal copy of their comments must 

file an original plus nine copies. If paper 

filings are hand-delivered or messengerdelivered for the Commission’s 

Secretary, they must be delivered to the 

Commission’s contractor at 236 

Massachusetts Avenue, NE., Suite 110, 

Washington, DC 20002–4913. To receive 

an official ‘‘Office of the Secretary’’ date 

stamp, documents must be addressed to 

Marlene H. Dortch, Secretary, Federal 

Communications Commission. (The 

filing hours at this facility are 8 a.m. to 

7 p.m.) If paper filings are submitted by 

mail though the U.S. Postal Service 

(First Class mail, Priority Mail, and 

Express Mail), they must be sent to the 

Commission’s Secretary, Marlene H. 

Dortch, Federal Communications 

Commission, Office of the Secretary, 

445 12th Street, SW., Washington, DC 

20554. If paper filings are submitted by 

commercial overnight courier (i.e., by 

overnight delivery other than through 

the U.S. Postal Service), such as by 

Federal Express or United Parcel 

Service, they must be sent to the 

Commission’s Secretary, Marlene H. 

Dortch, Federal Communications 

Commission, Office of the Secretary, 

9300 East Hampton Drive, Capitol 

Heights, MD 20743. (The filing hours at 

this facility are 8 a.m. to 5:30 p.m.) 

62. Parties may also file with the 

Commission some form of electronic 

media submission (e.g., diskettes, CDs, 

tapes, etc.) as part of their filings. In 

order to avoid possible adverse affects 

on such media submissions (potentially 

caused by irradiation techniques used to 

ensure that mail is not contaminated), 

the Commission advises that they 

should not be sent through the U.S. 

Postal Service. Hand-delivered or 

messenger-delivered electronic media 

submissions should be delivered to the 

Commission’s contractor, Natek, Inc., at 

236 Massachusetts Avenue, NE., Suite 

110, Washington, DC 20002–4913. 

Electronic media sent by commercial 

overnight courier should be sent to the 

Commission’s Secretary, Marlene H. 

Dortch, Federal Communications 

Commission, Office of the Secretary, 

9300 East Hampton Drive, Capitol 

Heights, MD 20743. 

63. Regardless of whether parties 

choose to file electronically or by paper, 

they should also send one copy of any 

documents filed, either by paper or by 

e-mail, to each of the following: (1) Best 

Copy & Printing, Inc., Portals II, 445 

12th Street, SW., Room CY–B402, 

Washington, DC 20554, facsimile (202) 

488–5563, or e-mail at 

fcc@bcpiweb.com; and (2) Paul Murray, 

Commercial Wireless Division, Wireless 

Telecommunications Bureau, 445 12th 

Street, SW., Washington, DC 20554, or 

e-mail at Paul.Murray@fcc.gov.

64. Comments, reply comments, and 

ex parte submissions will be available 

for public inspection during regular 

business hours in the FCC Reference 

Information Center, Federal 

Communications Commission, 445 12th 

Street, SW., Room CY–A257, 

Washington, D.C. 20554. These 

documents also will be available 

electronically at the Commission’s 

Disabilities Issues Task Force Web site, 

http://www.fcc.gov/dtf, and from the 

Commission’s Electronic Comment 

Filing System. Documents are available 

electronically in ASCII text, Word 97, 

and Adobe Acrobat. Copies of filings in 

this proceeding may be obtained from 

Best Copy & Printing, Inc., Portals II, 

445 12th Street, SW., Room CY–B402, 

Washington, DC 20554, telephone (800) 

378–3160, facsimile (202) 488–5563, or 

via e-mail at fcc@bcpiweb.com. This 

document is also available in alternative 

formats (computer diskette, large print, 

audio cassette, and Braille). Persons 

who need documents in such formats 

may contact Brian Millin at (202) 418–

7426, TTY (202) 418–7365, 

Brian.Millin@fcc.gov, or send an e-mail 

to access@fcc.gov.

D. Ex Parte Rules Regarding the Second 

Further Notice—Permit-But-Disclose 

Proceeding 

65. With regard to the Second Further 

Notice, this is a permit-but-disclose 

77568 Federal Register / Vol. 69, No. 247 / Monday, December 27, 2004 / Proposed Rules 

notice and comment rule making 

proceeding. Ex parte presentations are 

permitted, except during the Sunshine 

Agenda period, provided they are 

disclosed as provided in Commission 

rules. See generally 47 CFR 1.1202, 

1.1203, and 1.1206. 

IV. Ordering Clauses 

66. Pursuant to the authority 

contained in sections 1, 4(i), and 303(r) 

of the Communications Act of 1934, as 

amended, 47 U.S.C. 151, 154(i), and 

303(r), the Second Further Notice is 

adopted. 

67. The Commission’s Consumer 

Information Bureau, Reference 

Information Center, shall send a copy of 

the Second Report and Order, Order on 

Reconsideration, and Second Further 

NPRM of Proposed Rulemaking, 

including the Initial Regulatory 

Flexibility Analysis, to the Chief 

Counsel for Advocacy of the Small 

Business Administration.

Federal Communications Commission. 

Marlene H. Dortch, 

Secretary.

[FR Doc. 04–27790 Filed 12–23–04; 8:45 am] 

BILLING CODE 6712–01–P