Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 47079 

1See 5 U.S.C. 603. The RFA, see 5 U.S.C. 601– 

612, has been amended by the Small Business 

Regulatory Enforcement Fairness Act of 1996 

(SBREFA), Public Law 104–121, Title II, 110 Stat. 

847 (1996). The SBREFA was enacted as Title II of 

the Contract with America Advancement Act of 

1996 (CWAAA). 

2 47 U.S.C. 159. Although the Repack Airwaves 

Yielding Better Access for Users of Modern Services 

Act of 2018, or the RAY BAUM’S Act of 2018, 

amended sections 8 and 9 and added section 9A to 

the Communications Act, those provisions do not 

become effective until October 1, 2018. 

Consolidated Appropriations Act, 2018, Public Law 

Number 115–141, 132 Stat. 1084, Division P—RAY 

BAUM’s Act of 2018, Title I, 103 (2018). 

3Consolidated Appropriations Act, 2018, 

Division E—Financial Services and General 

Government Appropriations Act, 2018, Title V— 

Independent Agencies, Public Law 115–141 (March 

23, 2018) (FCC FY 2018 Appropriation). 

4See supra note 1. 

5 47 U.S.C. 159(b)(1)(B). 

6 47 U.S.C. 159(a). 

7 47 U.S.C. 159(b)(1)(A). 

8Assessment and Collection of Regulatory Fees 

for Fiscal Year 2004, Report and Order, 19 FCC Rcd 

11662, 11666, paragraph 11 (2004) (FY 2004 Report 

and Order), 69 FR 41028 (July 7, 2004). 

9For example, governmental and nonprofit 

entities are exempt from regulatory fees under 

section 9(h). 47 U.S.C. 159(h); 47 CFR 1.1162. 

10 47 CFR 1.1166. 

11 47 U.S.C. 159(a)(2). 

12One FTE is a unit of measure equal to the work 

performed annually by a full-time person (working 

a 40 hour workweek for a full year) assigned to the 

particular job, and subject to agency personnel 

staffing limitations established by the U.S. Office of 

Management and Budget. 

13The core bureaus, which have the direct FTEs, 

are the Wireline Competition Bureau (124), 

Wireless Telecommunications Bureau (101), Media 

Bureau (135), and part of the International Bureau 

(24). The indirect FTEs are the employees from the 

following bureaus and offices: Enforcement Bureau 

(203), Consumer & Governmental Affairs Bureau 

(136), Public Safety and Homeland Security Bureau 

(104), part of the International Bureau (72), part of 

the Wireline Competition Bureau (38), Chairman 

and Commissioners’ offices (15), Office of the 

Continued 

Dated: September 6, 2018. 

Katherine B. Fox, 

Assistant Administrator for Mitigation, 

Federal Insurance and Mitigation 

Administration—FEMA Resilience, 

Department of Homeland Security, Federal 

Emergency Management Agency. 

[FR Doc. 2018–20257 Filed 9–17–18; 8:45 am] 

BILLING CODE 9110–12–P 

FEDERAL COMMUNICATIONS 

COMMISSION 

47 CFR Part 1 

[MD Docket No. 18–175; FCC 18–126] 

Assessment and Collection of 

Regulatory Fees for Fiscal Year 2018 

AGENCY: Federal Communications 

Commission. 

ACTION: Final rule. 

SUMMARY: In this document, the 

Commission revises its Schedule of 

Regulatory Fees to recover an amount of 

$322,035,000 that Congress has required 

the Commission to collect for fiscal year 

2018. Section 9 of the Communications 

Act of 1934, as amended, provides for 

the annual assessment and collection of 

regulatory fees under sections 9(b)(2) 

and 9(b)(3), respectively, for annual 

‘‘Mandatory Adjustments’’ and 

‘‘Permitted Amendments’’ to the 

Schedule of Regulatory Fees. 

DATES: Effective September 18, 2018, 

except for the amendment to § 1.1940, 

which is effective October 1, 2018. To 

avoid penalties and interest, regulatory 

fees should be paid by the due date of 

September 25, 2018. 

FOR FURTHER INFORMATION CONTACT: 

Roland Helvajian, Office of Managing 

Director at (202) 418–0444. 

SUPPLEMENTARY INFORMATION: This is a 

summary of the Commission’s Report 

and Order, FCC 18–126, MD Docket No. 

18–175, adopted on August 28, 2018 

and released on August 29, 2018. The 

full text of this document is available for 

public inspection and copying during 

normal business hours in the FCC 

Reference Center (Room CY–A257), 445 

12th Street SW, Washington, DC 20554, 

or by downloading the text from the 

Commission’s website at http://

transition.fcc.gov/Daily_Releases/Daily_

Business/2017/db0906/FCC-17- 

111A1.pdf. 

I. Administrative Matters 

A. Final Regulatory Flexibility Analysis 

1. As required by the Regulatory 

Flexibility Act of 1980 (RFA),1 the 

Commission has prepared a Final 

Regulatory Flexibility Analysis (FRFA) 

relating to this Report and Order. The 

FRFA is located towards the end of this 

document. 

B. Final Paperwork Reduction Act of 

1995 Analysis 

2. This document does not contain 

new or modified information collection 

requirements subject to the Paperwork 

Reduction Act of 1995 (PRA), Public 

Law 104–13. In addition, therefore, it 

does not contain any new or modified 

information collection burden for small 

business concerns with fewer than 25 

employees, pursuant to the Small 

Business Paperwork Relief Act of 2002, 

Public Law 107–198, see 44 U.S.C. 

3506(c)(4). 

C. Congressional Review Act 

3. The Commission will send a copy 

of the Report and Order to Congress and 

the Government Accountability Office 

pursuant to the Congressional Review 

Act, 5 U.S.C. 801(a)(1)(A). 

II. Introduction 

1. This Report and Order adopts a 

schedule of regulatory fees to assess and 

collect $322,035,000 in regulatory fees 

for fiscal year (FY) 2018, pursuant to 

section 9 2 of the Communications Act 

of 1934, as amended, and the 

Commission’s FY 2018 Appropriation.3

The schedule of regulatory fees for FY 

2018 adopted herein is attached in 

Table 4. The regulatory fees for all 

payors are due in September 2018. 

2. Additionally, we amend our rules 

in accordance with the directives of the 

RAY BAUM’S Act regarding the 

collection of delinquent debts.4 This 

rule change will become effective on 

October 1, 2018. 

III. Background 

3. The Commission is required by 

Congress to assess regulatory fees each 

year in an amount that can reasonably 

be expected to equal the amount of its 

appropriation.5 Regulatory fees, 

mandated by Congress, are collected ‘‘to 

recover the costs of . . . enforcement 

activities, policy and rulemaking 

activities, user information services, and 

international activities.’’ 6 Regulatory 

fees are to ‘‘be derived by determining 

the full-time equivalent number of 

employees performing’’ these activities, 

‘‘adjusted to take into account factors 

that are reasonably related to the 

benefits provided to the payer of the fee 

by the Commission’s activities. . . . .’’ 7

Regulatory fees recover direct costs, 

such as salary and expenses; indirect 

costs, such as overhead functions; and 

support costs, such as rent, utilities, and 

equipment.8 Regulatory fees also cover 

the costs incurred in regulating entities 

that are statutorily exempt from paying 

regulatory fees,9 entities whose 

regulatory fees are waived,10 and 

entities providing services for which we 

do not assess regulatory fees. 

4. Congress sets the amount of 

regulatory fees the Commission must 

collect each year in the Commission’s 

fiscal year appropriations. Section 

9(a)(2) of the Communications Act 

requires the Commission to collect fees 

sufficient to offset the amount 

appropriated.11 To calculate regulatory 

fees, the Commission allocates the total 

collection target across all regulatory fee 

categories. The allocation of fees to fee 

categories is based on the Commission’s 

calculation of Full Time Employees 

(FTEs) in each regulatory fee category.12

FTEs are classified as ‘‘direct’’ if the 

employee is in one of the four ‘‘core’’ 

bureaus; otherwise, that employee is 

considered an ‘‘indirect’’ FTE.13 The 


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47080 Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 

Managing Director (149), Office of General Counsel 

(74), Office of the Inspector General (46), Office of 

Communications Business Opportunities (8), Office 

of Engineering and Technology (73), Office of 

Legislative Affairs (9), Office of Strategic Planning 

and Policy Analysis (15), Office of Workplace 

Diversity (5), Office of Media Relations (14), and 

Office of Administrative Law Judges (4). 

14The Commission observed in the FY 2013 

Report and Order that ‘‘the high percentage of the 

indirect FTEs is indicative of the fact that many 

Commission activities and costs are not limited to 

a particular fee category and instead benefit the 

Commission as a whole.’’ See Assessment and 

Collection of Regulatory Fees for Fiscal Year 2013, 

Report and Order, 28 FCC Rcd 12351, 12357, 

paragraph 17 (2013) (FY 2013 Report and Order), 

78 FR 52433 (Aug. 23, 2013). 

15See Procedures for Assessment and Collection 

of Regulatory Fees, Notice of Proposed Rulemaking, 

27 FCC Rcd 8458, 8461–62, paragraphs 8–11 (2012) 

(FY 2012 NPRM), 77 FR 29275 (May 17, 2012). 

16 47 U.S.C. 159(b)(1)(B). 

17 In the FY 2013 Report and Order, the 

Commission adopted updated FTE allocations to 

more accurately reflect the number of FTEs working 

on regulation and oversight of regulatees in the fee 

categories. FY 2013 Report and Order, 28 FCC Rcd 

at 12354–58, paragraphs 10–20. This was 

recommended in a report issued by the Government 

Accountability Office (GAO) in 2012. See GAO 

‘‘Federal Communications Commission Regulatory 

Fee Process Needs to be Updated,’’ GAO–12–686 

(August 2012) (GAO Report) at 36, http://

www.gao.gov/products/GAO-12-686. The 

Commission has since updated the FTE allocations 

annually. In addition, the Commission reallocated 

some FTEs from the International Bureau as 

indirect; combined the UHF and VHF television 

stations into one regulatory fee category; and added 

internet Protocol Television (IPTV) to the cable 

television regulatory fee category. FY 2013 Report 

and Order, 28 FCC Rcd at 12355–63, paragraphs 

13–33. 

18Assessment and Collection of Regulatory Fees 

for Fiscal Year 2018, Report and Order and Notice 

of Proposed Rulemaking, FCC 18–65 (2018) (FY 

2018 NPRM), 83 FR 27846 (June 14, 2018). 

19 Id. paragraphs 17–20. 

20 Id. paragraphs 22–26. 

21 Id. paragraphs 27–31. 

22 Id. paragraphs 32–33. We defer consideration of 

a new regulatory fee category, and the appropriate 

regulatory fee, for small satellites until we adopt a 

definition of ‘‘small satellites’’ in the pending Small 

Satellite NPRM proceeding. See Streamlining 

Licensing Procedures for Small Satellites, IB Docket 

No. 18–86, Notice of Proposed Rulemaking, FCC 

18–44 (2018) (Small Satellite NPRM), 83 FR 24064 

(May 24, 2018). 

23Commenters to the FY 2018 NPRM are listed 

in Appendix A. 

24See NCTA Comments at 6–7; ACA Comments 

at 4 & n.13. 25Assessment and Collection of Regulatory Fees 

for Fiscal Year 2015, Report and Order, 30 FCC Rcd 

10268, 10277, paragraph 20 (2015) (FY 2015 Report 

and Order), 80 FR 55775 (Sept. 17, 2015). 26 FY 2015 Report and Order, 30 FCC Rcd at 

10277, paragraph 20. 27Assessment and Collection of Regulatory Fees 

for Fiscal Year 2017, Report and Order, 32 FCC Rcd 

7057, 7067, paragraph 20 (2017) (FY 2017 Report 

and Order), 82 FR 44322 (Sept. 22, 2017); 

Assessment and Collection of Regulatory Fees for 

Fiscal Year 2016, Report and Order, 31 FCC Rcd 

10339, 10350, paragraph 30 (2016) (FY 2016 Report 

and Order), 81 FR 65926 (Sept. 26, 2016). 

28 FY 2018 NPRM at paragraph 19. 

total FTEs for each fee category includes 

the direct FTEs associated with that 

category, plus a proportional allocation 

of indirect FTEs.14 The Commission 

then allocates the total amount to be 

collected among the various regulatory 

fee categories within each of the core 

bureaus. Each regulatee within a fee 

category pays its proportionate share 

based on an objective measure (e.g., 

revenues or number of subscribers).15

These calculations are illustrated in 

Table 3. The sources for the unit 

estimates that are used in these 

calculations are listed in Table 5. 

5. The Commission annually reviews 

the regulatory fee schedule, proposes 

changes to the schedule to reflect 

changes in the amount of its 

appropriation, and proposes increases 

or decreases to the schedule of 

regulatory fees.16 As part of its annual 

review, the Commission also regularly 

seeks to improve the regulatory fee 

process.17

6. In the FY 2018 Notice of Proposed 

Rulemaking, the Commission proposed 

to collect $322,035,000 in regulatory 

fees for FY 2018 and sought comment 

on a detailed proposed fee schedule.18

The Commission sought comment 

specifically on an incremental increase 

in the DBS regulatory fee 19 and on 

proposed regulatory fees for terrestrial 

and satellite international bearer circuits 

for FY 2018.20 Additionally, the 

Commission sought comment on the 

methodology for calculating broadcast 

television station regulatory fees for FY 

2019 21 and whether to adopt a new 

regulatory fee category for small 

satellites for FY 2019, and if so, what 

the appropriate regulatory fee for small 

satellites should be.22 We received 9 

comments and four reply comments on 

the FY 2018 NPRM.23

IV. Report and Order 

7. In this FY 2018 Report and Order, 

we adopt the regulatory fee schedule 

proposed in the FY 2018 NPRM for FY 

2018, pursuant to section 9 of the 

Communications Act, to collect 

$322,035,000 in regulatory fees. Of this 

amount, we project approximately $20.3 

million (6.25 percent of the total FTE 

allocation) in fees from the International 

Bureau regulatees; $84.7 million (26.3 

percent of the total FTE allocation) in 

fees from the Wireless 

Telecommunications Bureau regulatees; 

$103.99 million (32.29 percent of the 

total FTE allocation) in fees from the 

Wireline Competition Bureau 

regulatees; and $113.22 million (35.16 

percent of the total FTE allocation) in 

fees from the Media Bureau regulatees. 

These regulatory fees are due in 

September 2018. The schedule of 

regulatory fees for FY 2018 adopted 

herein is attached as Table 4. 

FY 2018 Adjustment: Video Distribution 

Provider Regulatory Fees 

8. Among other activities, the Media 

Bureau oversees the regulation of video 

distribution providers like multichannel 

video programming distributors 

(MVPDs), i.e., regulated companies that 

make available for purchase, by 

subscribers or customers, multiple 

channels of video programming. The 

Media Bureau relies on a common pool 

of FTEs to carry out its oversight of 

MVPDs and other video distribution 

providers. These responsibilities 

include market modifications, localinto-local, must-carry and 

retransmission consent disputes, 

program carriage and program access 

complaints, over-the-air reception 

device declaratory rulings and waivers, 

media rule modernization, media 

ownership, and proposed 

transactions.24

9. For these activities in FY 2018, the 

Commission must collect $62,330,000 in 

regulatory fees from three categories of 

providers: Cable TV systems, IPTV 

providers, and direct broadcast satellite 

(DBS) operators. Although the 

Commission decided to assess cable TV 

systems and IPTV providers the same 

for regulatory fee purposes—assessing 

each provider based on its 

subscribership—the Commission took a 

different approach when it began to 

assess Media Bureau-based regulatory 

fees on DBS operators. Specifically, the 

Commission decided to phase in the 

new Media Bureau-based regulatory fee 

for DBS, starting at 12 cents per 

subscriber per year.25 At the same time, 

the Commission committed to updating 

the regulatory fee rate in future years 

‘‘as necessary for ensuring an 

appropriate level of regulatory parity 

and considering the resources dedicated 

to this new regulatory fee 

subcategory.’’ 26 Accordingly, the 

Commission increased the regulatory fee 

for DBS operators to 27 cents (including 

a three cent moving fee) and then 38 

cents (including a two cent moving fee) 

per subscriber per year, with the 

regulatory fees paid by DBS operators 

reducing those paid by other MVPDs.27

10. For FY 2018, the Commission 

proposed to continue the transition by 

increasing the DBS regulatory fee rate to 

48 cents per subscriber per year, thereby 

leaving other MVPDs with a regulatory 

fee of 77 cents per subscriber per year.28

Although a common pool of FTEs work 

on MVPD and related issues for DBS 

operators, IPTV providers, and cable TV 

systems, which some commenters argue 

justifies immediate parity in regulatory 


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Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 47081 

29ACA Comments at 1–3; NCTA Comments at 4. 

30 47 U.S.C. 159(b)(1)(A). 

31For similar reasons, we reject NCTA’s request 

to increase the DBS regulatory fee to at least 60 

cents per subscriber per year (and reduce the 

proposed cable television/IPTV regulatory fee to 72 

cents per subscriber per year) in order to 

accommodate cable television providers’ chosen 

billing systems. See NCTA Comments at 8 & n.23. 

32 DISH and AT&T Comments at 9. 

33See also FY 2017 Report and Order, 32 FCC 

Rcd at 7067, paragraph 21 (rejecting the claim that 

a regulatory fee increase of several cents per 

subscriber, per month would harm customers given 

that ‘‘such an increase is a negligible faction of a 

monthly bill’’). 

34AT&T and DISH Comments at 3. 

35 FY 2017 Report and Order, 32 FCC Rcd at 

7067–68, paragraphs 22–23; see also FY 2015 NPRM 

and Report and Order, 30 FCC Rcd 5354, 5369, 

paragraph 33 (2015) (FY 2015 NPRM and Report 

and Order), 80 FR 37206 (June 30, 2015) (‘‘We also 

reject the argument raised by DIRECTV and DISH 

that section 9 of the Act requires us to ‘show that 

DBS and cable occupy a comparable number of 

FTEs.’ ’’). 

36See FY 2018 NPRM, paragraphs 22–26. SIA 

raises a number of arguments in opposition to a 

tiered methodology for assessing terrestrial and 

satellite IBC regulatory fees. See SIA Comments at 

1–2 (‘‘SIA continues to oppose use of a tier-based 

system to calculate fees . . . . Instead, the 

Commission should reconsider exempting satellite 

IBCs from IBC [regulatory] fees or retain the current 

assessment method.); id. at 2–5. Because we do not 

adopt a tiered methodology at this time, we do not 

address SIA’s arguments here. 

37 FY 2018 NPRM. paragraph 26. 

38CenturyLink Comments at 1–2. 

39 47 U.S.C. 159(g). 

40Assessment and Collection of Regulatory Fees 

for Fiscal Year 1995, Report and Order, 10 FCC Rcd 

13512, 13534, paragraph 60 (1995), 60 FR 34004 

(June 29, 1995). 

41 FY 2018 NPRM at paragraph 28. 

42 FY 2018 NPRM at paragraph 28. 

43 FY 2018 NPRM at paragraph 28. 

44See, e.g., FY 2017 NPRM, 32 FCC Rcd at 4534– 

36, paragraphs 20–22, 82 FR 26019 (June 6, 2017) 

(discussing concerns about the regulatory fees 

assessed on broadcast satellite television stations 

serving small markets at the fringe of larger DMAs). 

45 47 CFR 73.622(e). 

fees across these providers,29 we believe 

it prudent to adopt our proposal to 

increase such rates by less than one cent 

per subscriber per month, or 10 cents 

per subscriber per year. Doing so reflects 

the statutory imperative to take into 

account the FTEs devoted to oversight 

of this common category of regulatees, 

‘‘adjusted to take into account factors 

that are reasonably related to the 

benefits provided to the payor of the fee 

by the Commission’s activities, 

including . . . factors that the 

Commission determines are necessary 

in the public interest,’’ 30 such as our 

concern to mitigate the impact of 

increases on MVPDs should we move to 

immediate parity (which a regulatory 

fee of 67 cents per subscriber per year 

would achieve).31

11. AT&T and DISH—the two DBS 

operators—reiterate several arguments 

against any increase in DBS regulatory 

fees that they have raised, and the 

Commission has rejected, in previous 

years. For example, AT&T and DISH 

claim that the proposed fee increase will 

result in ‘‘rate shock,’’ 32 even though 

last year the Commission held an 

increase of about one penny per 

subscriber per month would not cause 

such shock.33 AT&T and DISH also 

claim the Commission cannot increase 

DBS regulatory fees without an 

allocation of ‘‘additional FTEs to handle 

DBS matters,’’ 34 even though last year 

the Commission held that the DBS 

regulatory fee is based on the significant 

number of Media Bureau FTEs that 

work on MVPD issues that include DBS, 

‘‘not a particular number of FTEs 

focused solely on DBS’’ or ‘‘specific 

recent proceedings.’’ 35 For these 

reasons, we reject these arguments and 

agree with commenters that the 

continued participation of DBS 

operators in Commission proceedings, 

along with the use of a common pool of 

FTEs to oversee MVPD matters 

(including matters related to DBS 

operators in particular), justifies an 

increase in the DBS regulatory fee rate. 

FY 2018 Adjustment: Terrestrial and 

Satellite International Bearer Circuits 

12. As discussed in the FY 2018 

NPRM, the Commission has previously 

sought comment on adopting a tiered 

methodology for assessing terrestrial 

and satellite international bearer circuit 

regulatory fees, and we should have 

sufficient information from payors in 

September 2018 to be able to consider 

a tiered rate structure for FY 2019.36 In 

the meantime, the Commission 

proposed to continue assessing 

terrestrial and satellite IBC regulatory 

fees on a per-circuit basis for FY 2018, 

using Gbps as the measurement rather 

than 64 kbps.37 CenturyLink observes 

that the proposed rate of $0.02 per 

circuit in Appendix B to the FY 2018 

NPRM used 64 kbps instead of Gbps.38

We agree with CenturyLink that the 

measurement listed in the FY 2018 

NPRM should have been Gbps instead of 

64 kbps, and we are therefore adopting 

the proposed per-circuit fee of $176, 

using Gbps, in lieu of 64 kbps. No 

commenter opposed this proposal. 

FY 2019 Amendment: Broadcast 

Television Stations 

13. Full service television station 

licensees are subject to regulatory fee 

payments based on the market served. 

Historically, broadcast full service 

television stations pay regulatory fees 

based on the schedule of regulatory fees 

established in section 9(g) of the 

Communications Act, which 

consolidated stations into market 

groupings 1–10, 11–25, 26–50, 51–100, 

and remaining markets.39 The 

Commission subsequently established a 

separate fee category for broadcast 

television satellite stations.40 The 

Commission uses Nielsen Designated 

Market Areas (DMAs) to define the 

market a station serves. For FY 2017, the 

regulatory fees for full service stations 

ranged from $1,725 for satellite stations 

to $59,750 for stations in markets 1–10. 

14. In the FY 2018 NPRM, we sought 

comment on whether we could more 

accurately ascertain the actual market 

served by a station for purposes of 

assessing regulatory fees by examining 

the actual population covered by the 

station’s contours rather than using 

DMAs.41 Specifically we sought 

comment on whether, for FY 2019 and 

going forward, regulatory fees should be 

assessed for full-power broadcast 

television stations based on the 

population covered by the station’s 

contour, instead of DMAs.42 No 

commenter opposed this proposal. In 

the FY 2018 NPRM, we also sought 

comment on whether to phase in the 

implementation of this methodology 

over a two-year, or longer, period of 

time.43 In order to facilitate the 

transition to this new fee structure, for 

FY 2019, we plan to adopt a fee based 

on an average of the current DMA 

methodology and the population 

covered by a full-power broadcast 

station’s contour. Thereafter, in 2020, 

we plan to assess regulatory fees for fullpower broadcast stations based on the 

population covered by the station’s 

contour. Such an approach is consistent 

with the methodology used for AM and 

FM broadcasters, in which fees are 

based on population served and the 

class of service based on the signal 

contours. In addition, this approach 

addresses concerns about the 

assessment of regulatory fees on 

broadcast television satellite stations 

serving small markets at the fringe of 

larger DMAs.44 The population data for 

broadcasters’ service areas will be 

extracted annually from the TVStudy 

database, based on a station’s projected 

noise-limited service contour, consistent 

with our rules,45 and we will enable 

broadcasters to review population data 

for their service area in our annual 

regulatory fee NPRM. We will multiply 

the population by a factor for which we 

will seek comment in the annual 

regulatory fee NPRM, e.g., 0.63 cents 

($.0063). 

15. The adoption of these 

methodologies for assessing regulatory 

fees for broadcast television stations is 

a permitted amendment as defined in 


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46 47 U.S.C. 159(b)(3). 

47 47 U.S.C. 159(b)(4)(B). 

48See e.g., FY 2018 NPRM at Appendix H. 

49 47 CFR 1.1940(c). This provision implements 

31 U.S.C. 3717(e), part of the Debt Collection 

Improvement Act. 

50New section 9A(c)(2) requires the Commission 

to charge interest at the rate set forth in 31 U.S.C. 

3717 on delinquent regulatory and application fee 

debt as well as the 25 percent penalty prescribed 

in new section 9A(c)(1). However, new section 

9A(c)(2) provides that section 3717 shall not 

otherwise apply to such a fee or penalty. Thus, 

while new section 9A(c)(2) of the Communications 

Act leaves intact those parts of § 1.1940 of the 

Commission’s rules pertaining to interest charges, 

the Commission is no longer authorized to assess 

its administrative costs on these delinquent debts. 

51See ‘‘Final Rules’’ section at the end of this 

document (amending § 1.1940(c) of the 

Commission’s rules). 

52 5 U.S.C. 553(b)(B). 

53The Commission previously has applied the 

unnecessary prong to encompass rule amendments 

that involve little or no exercise of agency 

discretion. See, e.g., Amendment of Parts 0, 1, 73, 

and 74 of the Commission’s Rules, Order, 26 FCC 

Rcd 13538, 13544, 13539–41, 13543, 13545, 

paragraphs 4–5, 10, 15 (OMD 2011), 76 FR 70904 

(Nov. 16, 2011) (deleting or amending obsolete rule 

provisions, including those superseded by an Act 

of Congress). 

54 Incentive Auction Closing and Channel 

Reassignment Public Notice, Public Notice, 32 FCC 

Rcd 2786 (MB, WTB 2017). 

55See ‘‘Standard Fee Calculation and Payment 

Dates,’’ paragraph 20, infra. 

56Cancelled licenses from May 31, 2017 through 

September 30, 2017 are, according to the 

Commission’s records, the following call signs: 

KSPR, WIFR, WAGT, WDLP–CD, WEMM–CD, 

KMMA–CD, WAZF–CD, WLPH–CD, WQVC–CD, 

WQCH–CD, WBOA–CD, WMUN–CD, WTSD–CD, 

WATA–CD, WHTV, WMEI, WWIS–CD. 

57Customers who owe an amount on a bill, debt, 

or other obligation due to the federal government 

are prohibited from splitting the total amount due 

into multiple payments. Splitting an amount owed 

into several payment transactions violates the credit 

card network and Fiscal Service rules. An amount 

owed that exceeds the Fiscal Service maximum 

dollar amount, $24,999.99, may not be split into 

two or more payment transactions in the same day 

by using one or multiple cards. Also, an amount 

owed that exceeds the Fiscal Service maximum 

dollar amount may not be split into two or more 

transactions over multiple days by using one or 

more cards. 

58 In accordance with U.S. Treasury Financial 

Manual Announcement No. A–2014–04 (July 2014), 

the amount that may be charged on a credit card 

for transactions with federal agencies has been 

reduced to $24,999.99. 

59 In accordance with U.S. Treasury Financial 

Manual Announcement No. A–2012–02, the 

maximum dollar-value limit for debit card 

transactions is eliminated. Only Visa and 

MasterCard branded debit cards are accepted by 

Pay.gov. 

section 9(b)(3) of the Act,46 and 

pursuant to section 9(b)(4)(B), it must be 

submitted to Congress at least 90 days 

before it would become effective.47

Therefore, for FY 2018, we will assess 

regulatory fees for all broadcast 

television stations using the same 

methodology as we did for FY 2017.48

The regulatory fees for broadcast 

television stations for FY 2018 are in 

Table 4. 

V. Order—Collection Costs for 

Regulatory and Application Fees 

16. The Commission’s rules requires 

the assessment of administrative costs 

incurred for processing and handling 

delinquent debts.49 However, the RAY 

BAUM’S Act amended the 

Communications Act, in relevant part, 

prohibiting the Commission from 

assessing its administrative costs of 

collecting delinquent regulatory and 

application fee debt (or related 

penalties), effective October 1, 2018.50

Therefore, we amend our rules to reflect 

these statutory changes.51 This rule 

change will become effective on October 

1, 2018. 

17. We find good cause under section 

553(b)(B) of the Administrative 

Procedure Act 52 to adopt this change 

without prior notice and comment. 

Section 553(b)(B) provides that notice 

and public comment procedures do not 

apply when ‘‘impracticable, 

unnecessary, or contrary to the public 

interest.’’ New section 9A of the 

Communications Act is clear in its 

directive that the Commission must 

cease applying to regulatory and 

application fees or penalties the 

provisions of section 3717 of Title 31, 

United States Code, that do not involve 

interest rates. The Commission is thus 

afforded no discretion to apply such 

provisions of section 3717 to such fees 

or penalties because its prior authority 

has been eliminated by statute. As a 

result, prior notice or comment is 

unnecessary.53

VI. Procedural Matters 

Broadcast Television Licenses, PostIncentive Auction 

18. On March 29, 2016, the 

Commission commenced the incentive 

auction to allow broadcast television 

stations to make their spectrum 

available for wireless broadband 

licensees. On April 13, 2017, the 

Commission released a Public Notice 

formally closing the auction 54 and 

beginning the 39-month post-auction 

transition period during which some 

broadcast television stations will 

transition to new channel assignments 

and other stations will go off the air. We 

remind licensees that those who held a 

broadcast television station license on 

October 1, 2017 are responsible for FY 

2018 regulatory fees for that license.55

Licensees who have relinquished their 

licenses by September 30, 2017 are not 

responsible for FY 2018 regulatory fees 

for the cancelled license.56

Payment of Regulatory Fees 

1. Checks Are Not Accepted for 

Payment of Annual Regulatory Fees 

19. All regulatory fee payments must 

be made by online Automated Clearing 

House (ACH) payment, online credit 

card, or wire transfer. Any other form of 

payment (e.g., checks, cashier’s checks, 

or money orders) will be rejected. For 

payments by wire, a Form 159–E should 

still be transmitted via fax so that the 

Commission can associate the wire 

payment with the correct regulatory fee 

information. 

2. Credit Card Transaction Levels 

20. Since June 1, 2015, in accordance 

with U.S. Treasury Announcement No. 

A–2014–04 (July 2014), the amount that 

can be charged on a credit card for 

transactions with federal agencies has is 

$24,999.99.57 Transactions greater than 

$24,999.99 will be rejected. This limit 

applies to single payments or bundled 

payments of more than one bill. 

Multiple transactions to a single agency 

in one day may be aggregated and 

treated as a single transaction subject to 

the $24,999.99 limit. Customers who 

wish to pay an amount greater than 

$24,999.99 should consider available 

electronic alternatives such as Visa or 

MasterCard debit cards, ACH debits 

from a bank account, and wire transfers. 

Each of these payment options is 

available after filing regulatory fee 

information in Fee Filer. Further details 

will be provided regarding payment 

methods and procedures at the time of 

FY 2018 regulatory fee collection in Fact 

Sheets, available at https://www.fcc.gov/ 

regfees. 

3. Payment Methods 

21. During the fee season for 

collecting FY 2018 regulatory fees, 

regulatees can pay their fees by credit 

card through Pay.gov,58 ACH, debit 

card,59 or by wire transfer. Additional 

filing and payment instructions are 

posted on the Commission’s website at 

https://www.fcc.gov/licensingdatabases/fees/regulatory-fees. The 

receiving bank for all wire payments is 

the U.S. Treasury, New York, New York. 

When making a wire transfer, regulatees 

must fax a copy of their Fee Filer 

generated Form 159–E to the Federal 

Communications Commission at (202) 

418–2843 at least one hour before 

initiating the wire transfer (but on the 

same business day) so as not to delay 

crediting their account. Regulatees 

should discuss arrangements (including 

bank closing schedules) with their 

bankers several days before they plan to 

make the wire transfer to allow 

sufficient time for the transfer to be 


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Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 47083 

60Audio bridging services are toll 

teleconferencing services. 

61 47 CFR 52.103. 

62Cable television system operators should 

compute their number of basic subscribers as 

follows: Number of single family dwellings + 

number of individual households in multiple 

dwelling unit (apartments, condominiums, mobile 

home parks, etc.) paying at the basic subscriber rate 

+ bulk rate customers + courtesy and free service. 

Note: Bulk-Rate Customers = Total annual bulkrate charge divided by basic annual subscription 

rate for individual households. Operators may base 

their count on ‘‘a typical day in the last full week’’ 

of December 2017, rather than on a count as of 

December 31, 2017. 

63We encourage terrestrial and satellite service 

providers to seek guidance from the International 

Bureau’s Telecommunications and Analysis 

Division to verify their particular IBC reporting 

processes to ensure that their calculation methods 

comply with our rules. 

initiated and completed before the 

deadline. Complete instructions for 

making wire payments are posted at 

https://www.fcc.gov/licensingdatabases/fees/wire-transfer. 

4. De Minimis Regulatory Fees 

22. Under the Commission’s de 

minimis rule for regulatory fee 

payments, a regulatee is exempt from 

paying regulatory fees if the sum total of 

all of its annual regulatory fee liabilities 

is $1,000 or less for the fiscal year. The 

de minimis threshold applies only to 

filers of annual regulatory fees, not 

regulatory fees paid through multi-year 

filings, and it is not a permanent 

exemption. Each regulatee will need to 

reevaluate the total annual fee liability 

each fiscal year to determine whether 

they meet the de minimis exemption. 

5. Standard Fee Calculations and 

Payment Dates 

23. The Commission will accept fee 

payments made in advance of the 

window for the payment of regulatory 

fees. The responsibility for payment of 

fees by service category is as follows: 

• Media Services: Regulatory fees 

must be paid for initial construction 

permits that were granted on or before 

October 1, 2017 for AM/FM radio 

stations, VHF/UHF full service 

television stations, and satellite 

television stations. Regulatory fees must 

be paid for all broadcast facility licenses 

granted on or before October 1, 2017. In 

instances where a permit or license is 

transferred or assigned after October 1, 

2017, responsibility for payment rests 

with the holder of the permit or license 

as of the fee due date. 

• Wireline (Common Carrier) 

Services: Regulatory fees must be paid 

for authorizations that were granted on 

or before October 1, 2017. In instances 

where a permit or license is transferred 

or assigned after October 1, 2017, 

responsibility for payment rests with the 

holder of the permit or license as of the 

fee due date. Audio bridging service 

providers are included in this 

category.60 For Responsible 

Organizations (RespOrgs) that manage 

Toll Free Numbers (TFN), regulatory 

fees should be paid on all working, 

assigned, and reserved toll free numbers 

as well as toll free numbers in any other 

status as defined in § 52.103 of the 

Commission’s rules.61 The unit count 

should be based on toll free numbers 

managed by RespOrgs on or about 

December 31, 2017. 

• Wireless Services: CMRS cellular, 

mobile, and messaging services (fees 

based on number of subscribers or 

telephone number count): Regulatory 

fees must be paid for authorizations that 

were granted on or before October 1, 

2017. The number of subscribers, units, 

or telephone numbers on December 31, 

2017 will be used as the basis from 

which to calculate the fee payment. In 

instances where a permit or license is 

transferred or assigned after October 1, 

2017, responsibility for payment rests 

with the holder of the permit or license 

as of the fee due date. 

• Wireless Services, Multi-year fees: 

The first eight regulatory fee categories 

in our Schedule of Regulatory Fees pay 

‘‘small multi-year wireless regulatory 

fees.’’ Entities pay these regulatory fees 

in advance for the entire amount period 

covered by the five-year or ten-year 

terms of their initial licenses, and pay 

regulatory fees again only when the 

license is renewed or a new license is 

obtained. We include these fee 

categories in our rulemaking to 

publicize our estimates of the number of 

‘‘small multi-year wireless’’ licenses 

that will be renewed or newly obtained 

in FY 2018. 

• Multichannel Video Programming 

Distributor Services (cable television 

operators, CARS licensees, DBS, and 

IPTV): Regulatory fees must be paid for 

the number of basic cable television 

subscribers as of December 31, 2017.62

Regulatory fees also must be paid for 

CARS licenses that were granted on or 

before October 1, 2017. In instances 

where a permit or license is transferred 

or assigned after October 1, 2017, 

responsibility for payment rests with the 

holder of the permit or license as of the 

fee due date. For providers of Direct 

Broadcast Satellite (DBS) service and 

IPTV-based MVPDs, regulatory fees 

should be paid based on a subscriber 

count on or about December 31, 2017. 

In instances where a permit or license 

is transferred or assigned after October 

1, 2017, responsibility for payment rests 

with the holder of the permit or license 

as of the fee due date. 

• International Services: Regulatory 

fees must be paid for (1) earth stations 

and (2) geostationary orbit space 

stations and non-geostationary orbit 

satellite systems that were licensed and 

operational on or before October 1, 

2017. In instances where a permit or 

license is transferred or assigned after 

October 1, 2017, responsibility for 

payment rests with the holder of the 

permit or license as of the fee due date. 

• International Services (Submarine 

Cable Systems): Regulatory fees for 

submarine cable systems are to be paid 

on a per cable landing license basis for 

all systems that are licensed and 

operational as of October 1, 2017. The 

fee is based on circuit capacity as of 

December 31, 2017. In instances where 

a license is transferred or assigned after 

October 1, 2017, responsibility for 

payment rests with the holder of the 

license as of the fee due date. For 

regulatory fee purposes, the allocation 

in FY 2018 will remain at 87.6 percent 

for submarine cable and 12.4 percent for 

satellite/terrestrial facilities. 

• International Services (Terrestrial 

and Satellite Services): Regulatory fees 

for Terrestrial and Satellite IBCs are to 

be paid based on active (used or leased) 

international bearer circuits as of 

December 31, 2017 in any terrestrial or 

satellite transmission facility for the 

provision of service to an end user or 

resale carrier. When calculating the 

number of such active circuits, entities 

must include circuits used by 

themselves or their affiliates. For these 

purposes, ‘‘active circuits’’ include 

backup and redundant circuits as of 

December 31, 2017 and include both 

common carrier and non-common 

carrier circuits for both terrestrial and 

satellite services. Whether circuits are 

used specifically for voice or data is not 

relevant for purposes of determining 

that they are active circuits.63 In 

instances where a permit or license is 

transferred or assigned after October 1, 

2017, responsibility for payment rests 

with the holder of the permit or license 

as of the fee due date based on circuit 

counts as of December 31, 2017. For 

regulatory fee purposes, the allocation 

in FY 2018 will remain at 87.6 percent 

for submarine cable and 12.4 percent for 

satellite/terrestrial facilities. 

Commercial Mobile Radio Service 

(CMRS) and Mobile Services 

Assessments 

24. The Commission will compile 

data from the Numbering Resource 

Utilization Forecast (NRUF) report that 

is based on ‘‘assigned’’ telephone 


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47084 Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 

64See Assessment and Collection of Regulatory 

Fees for Fiscal Year 2005, Report and Order and 

Order on Reconsideration, 20 FCC Rcd 12259, 

12264, paragraphs 38–44 (2005). 

65 In the supporting documentation, the provider 

will need to state a reason for the change, such as 

a purchase or sale of a subsidiary, the date of the 

transaction, and any other pertinent information 

that will help to justify a reason for the change. 

66 47 U.S.C. 159(c). 

67See 47 CFR 1.1910. 

68 Delinquent debt owed to the Commission 

triggers the ‘‘red light rule,’’ which places a hold on 

the processing of pending applications, fee offsets, 

and pending disbursement payments. 47 CFR 

1.1910, 1.1911, 1.1912. In 2004, the Commission 

adopted rules implementing the requirements of the 

DCIA. See Amendment of Parts 0 and 1 of the 

Commission’s Rules, MD Docket No. 02–339, Report 

and Order, 19 FCC Rcd 6540 (2004), 69 FR 27843 

(May 17, 2004); 47 CFR part 1, subpart O, Collection 

of Claims Owed the United States. 

69 47 CFR 1.1940(c). As discussed in Part IV 

above, the amendment to § 1.1940(c) of the 

Commission’s rules that we adopt to reflect 

amendments to the Communications Act by the 

RAY BAUM’S Act does not take effect until October 

1, 2018. Therefore, the Commission will assess 

administrative processing charges for failure to 

timely pay FY 2019 regulatory fees, which are due 

in September 2018. 

70 47 U.S.C. 159(c)(3). 

71 47 CFR 1.1164(f). 

72 47 CFR 1.1164(a). 

73See, e.g., Cortaro Broadcasting Corp., Order to 

Pay or Show Cause, 32 FCC Rcd 9336 (MB 2017). 

74See 47 CFR 1.1161(c), 1.1164(f)(5), and 1.1910. 

75 47 U.S.C. 159. 

number (subscriber) counts that have 

been adjusted for porting to net Type 0 

ports (‘‘in’’ and ‘‘out’’).64 This 

information of telephone numbers 

(subscriber count) will be posted on the 

Commission’s electronic filing and 

payment system (Fee Filer) along with 

the carrier’s Operating Company 

Numbers (OCNs). 

25. A carrier wishing to revise its 

telephone number (subscriber) count 

can do so by accessing Fee Filer and 

follow the prompts to revise their 

telephone number counts. Any revisions 

to the telephone number counts should 

be accompanied by an explanation or 

supporting documentation.65 The 

Commission will then review the 

revised count and supporting 

documentation and either approve or 

disapprove the submission in Fee Filer. 

If the submission is disapproved, the 

Commission will contact the provider to 

afford the provider an opportunity to 

discuss its revised subscriber count and/ 

or provide additional supporting 

documentation. If we receive no 

response from the provider, or we do 

not reverse our initial disapproval of the 

provider’s revised count submission, the 

fee payment must be based on the 

number of subscribers listed initially in 

Fee Filer. Once the timeframe for 

revision has passed, the telephone 

number counts are final and are the 

basis upon which CMRS regulatory fees 

are to be paid. Providers can view their 

final telephone counts online in Fee 

Filer. A final CMRS assessment letter 

will not be mailed out. 

26. Because some carriers do not file 

the NRUF report, they may not see their 

telephone number counts in Fee Filer. 

In these instances, the carriers should 

compute their fee payment using the 

standard methodology that is currently 

in place for CMRS Wireless services 

(i.e., compute their telephone number 

counts as of December 31, 2017), and 

submit their fee payment accordingly. 

Whether a carrier reviews its telephone 

number counts in Fee Filer or not, the 

Commission reserves the right to audit 

the number of telephone numbers for 

which regulatory fees are paid. In the 

event that the Commission determines 

that the number of telephone numbers 

that are paid is inaccurate, the 

Commission will bill the carrier for the 

difference between what was paid and 

what should have been paid. 

Enforcement 

27. To be considered timely, 

regulatory fee payments must be made 

electronically by the payment due date 

for regulatory fees. Section 9(c) of the 

Act requires us to impose a late 

payment penalty of 25 percent of the 

unpaid amount to be assessed on the 

first day following the deadline for 

filing these fees.66 Failure to pay 

regulatory fees and/or any late penalty 

will subject regulatees to sanctions, 

including those set forth in § 1.1910 of 

the Commission’s rules,67 which 

generally requires the Commission to 

withhold action on ‘‘applications, 

including on a petition for 

reconsideration or any application for 

review of a fee determination, or 

requests for authorization by any entity 

found to be delinquent in its debt to the 

Commission’’ and in the DCIA.68 We 

also assess administrative processing 

charges on delinquent debts to recover 

additional costs incurred in processing 

and handling the debt pursuant to the 

DCIA and § 1.1940(c) of the 

Commission’s rules.69 These 

administrative processing charges will 

be assessed on any delinquent FY 2018 

regulatory fee, in addition to the 25 

percent late charge penalty. In the case 

of partial payments (underpayments) of 

regulatory fees, the payor will be given 

credit for the amount paid, but if it is 

later determined that the fee paid is 

incorrect or not timely paid, then the 25 

percent late charge penalty (and other 

charges and/or sanctions, as 

appropriate) will be assessed on the 

portion that is not paid in a timely 

manner. 

28. In addition to financial penalties, 

section 9(c)(3) of the Act,70 and 

§ 1.1164(f) of the Commission’s rules 71

grant the FCC the authority to revoke 

authorizations for failure to pay 

regulatory fees in a timely fashion. 

Should a fee delinquency not be 

rectified in a timely manner the 

Commission may require the licensee to 

file with documented evidence within 

sixty (60) calendar days that full 

payment of all outstanding regulatory 

fees has been made, plus any associated 

penalties as calculated by the Secretary 

of Treasury in accordance with 

§ 1.1164(a) of the Commission’s rules,72

or show cause why the payment is 

inapplicable or should be waived or 

deferred. Failure to provide such 

evidence of payment or to show cause 

within the time specified may result in 

revocation of the station license.73

29. Pursuant to the ‘‘red light rule,’’ 

we will withhold action on any 

applications or other requests for 

benefits filed by anyone who is 

delinquent in any non-tax debts owed to 

the Commission (including regulatory 

fees) and will ultimately dismiss those 

applications or other requests if 

payment of the delinquent debt or other 

satisfactory arrangement for payment is 

not made.74 Failure to pay regulatory 

fees can also result in the initiation of 

a proceeding to revoke any and all 

authorizations held by the entity 

responsible for paying the delinquent 

fee(s).75

Effective Date 

6. Report and Order—FY 2018 

Regulatory Fees 

30. Providing a 30-day period after 

Federal Register publication before this 

Report and Order becomes effective as 

required by 5 U.S.C. 553(d) will not 

allow sufficient time to collect the FY 

2018 fees before FY 2018 ends on 

September 30, 2018. For this reason, 

pursuant to 5 U.S.C. 553(d)(3), we find 

there is good cause to waive the 

requirements of section 553(d), and this 

Report and Order will become effective 

upon publication in the Federal 

Register. Because payments of the 

regulatory fees will not actually be due 

until late September, persons affected 

by this Report and Order will still have 

a reasonable period in which to make 

their payments and thereby comply 

with the rules established herein. 

7. Order—Collection Costs for 

Regulatory and Application Fees 

31. In our Order above, we amend 

§ 1.1940 of our rules and find that there 


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76See supra Section V. 

is good cause under 5 U.S.C. 553(b)(B) 

to adopt the clarification without 

following the notice and comment 

procedures of the Administrative 

Procedure Act.76 Similarly, under these 

circumstances, we find that these 

actions fall under the good cause 

exemption to the 5 U.S.C. 553(d) 

effective date requirements and the 

clarification of § 1.1940 of our rules will 

become effective on October 1, 2018. 

VII. Additional Tables 

TABLE 1—LIST OF COMMENTERS

Commenter Abbreviated name 

American Cable Assocation ..................................................................................................................... ACA. 

Astro Digital, US, Inc., Planet, Inc., and Spire Global, Inc ...................................................................... Astro Digital, Planet, and Spire. 

CenturyLink, Inc ....................................................................................................................................... CenturyLink. 

DISH Network L.L.C. and AT&T Services, Inc ........................................................................................ DISH and AT&T. 

Richard A. Golden .................................................................................................................................... Golden. 

NCTA—The Internet and Television Association .................................................................................... NCTA. 

Satellite Industry Association ................................................................................................................... SIA. 

Somos, Inc ............................................................................................................................................... Somos. 

University Small-Satellite Researchers .................................................................................................... Small-Satellite Researchers. 

TABLE 2—LIST OF REPLY COMMENTERS

AT&T Services, Inc ...................................................................................................................................................................... AT&T. 

CenturyLink, Inc ........................................................................................................................................................................... CenturyLink. 

EchoStar Satellite Operating Corporation and Hughes Network Systems, LLC ......................................................................... EchoStar. 

NCTA—The Internet & Television Assocation and the American Cable Association ................................................................. NCTA and ACA. 

Regulatory fees for the categories 

shaded in gray are collected by the 

Commission in advance to cover the 

term of the license and are submitted at 

the time the application is filed. 

TABLE 3—CALCULATION OF FY 2018 REVENUE REQUIREMENTS AND PRO-RATA FEES

Fee category 

FY 2018 

payment 

units 

Years 

FY 2017 

revenue 

estimate 

Pro-rated 

FY 2018 

revenue 

requirement 

Computed 

FY 2018 

regulatory 

fee 

Rounded 

FY 2018 

regulatory 

fee 

Expected 

FY 2018 

revenue 

PLMRS (Exclusive Use) ........................................ 340 10 325,000 85,000 25 25 85,000 

PLMRS (Shared use) ............................................ 12,500 10 1,600,000 1,250,000 10 10 1,250,000 

Microwave ............................................................. 7,750 10 2,950,000 1,937,500 25 25 1,937,500 

Marine (Ship) ......................................................... 7,150 10 1,215,000 1,072,500 15 15 1,072,500 

Aviation (Aircraft) ................................................... 4,000 10 420,000 400,000 10 10 400,000 

Marine (Coast) ...................................................... 75 10 60,000 30,000 40 40 30,000 

Aviation (Ground) .................................................. 1,000 10 220,000 200,000 20 20 200,000 

AM Class A1 ......................................................... 63 1 305,500 266,175 4,214 4,225 266,175 

AM Class B1 ......................................................... 1,523 1 3,807,500 3,274,450 2,162 2,150 3,274,450 

AM Class C 1 ......................................................... 872 1 1,348,500 1,177,200 1,352 1,350 1,177,200 

AM Class D 1 ......................................................... 1,503 1 4,476,000 3,907,800 2,592 2,600 3,907,800 

FM Classes A, B1 & C3 1 ..................................... 3,166 1 9,371,250 8,152,450 2,582 2,575 8,152,450 

FM Classes B, C, C0, C1 & C2 1 .......................... 3,128 1 11,521,800 10,009,600 3,203 3,200 10,009,600 

AM Construction Permits 2 .................................... 9 1 5,550 4,950 550 550 4,950 

FM Construction Permits 2 .................................... 109 1 110,740 105,185 965 965 105,185 

Satellite TV ............................................................ 126 1 217,350 189,000 1,497 1,500 189,000 

Digital TV Mkt 1–10 .............................................. 144 1 8,305,250 7,164,000 49,739 49,750 7,164,000 

Digital TV Mkt 11–25 ............................................ 140 1 5,898,275 5,243,000 37,455 37,450 5,243,000 

Digital TV Mkt 26–50 ............................................ 189 1 5,439,050 4,729,725 25,013 25,025 4,729,725 

Digital TV Mkt 51–100 .......................................... 290 1 4,267,875 3,617,750 12,470 12,475 3,617,750 

Digital TV Remaining Markets .............................. 389 1 1,807,475 1,594,900 4,099 4,100 1,594,900 

Digital TV Construction Permits 2 .......................... 3 1 14,775 12,300 4,100 4,100 12,300 

LPTV/Translators/Boosters/Class A TV ................ 3,989 1 1,741,930 1,515,820 378 380 1,515,820 

CARS Stations ...................................................... 175 1 215,050 188,125 1,068 1,075 188,125 

Cable TV Systems, including IPTV ....................... 61,000,000 1 58,900,000 46,970,000 .7658 .77 46,970,000 

Direct Broadcast Satellite (DBS) ........................... 32,000,000 1 12,350,000 15,360,000 .480 .48 15,360,000 

Interstate Telecommunication Service Providers $34,600,000,000 1 111,740,000 100,686,000 0.002906 0.00291 100,686,000 

Toll Free Numbers ................................................ 33,200,000 1 3,924,000 3,320,000 0.10405 0.10 3,320,000 

CMRS Mobile Services (Cellular/Public Mobile) ... 404,000,000 1 82,530,000 80,800,000 0.195 0.20 80,800,000 

CMRS Messag. Services ...................................... 1,000,000 1 168,000 80,000 0.0800 0.080 80,000 

BRS/ 3 .................................................................... 1,175 1 696,000 567,050 600 600 705,000 

LMDS .................................................................... 400 1 316,000 378,250 600 600 240,000 

Per Gbps circuit Int’l Bearer Circuits Terrestrial 

(Common and Non-Common) & Satellite 

(Common & Non-Common) ............................... 2,831 1 901,680 685,102 176 176 685,102 

Submarine Cable Providers (see chart in Table 

4) 4 ..................................................................... 41.19 1 5,660,261 4,959,228 120,405 120,400 4,959,035 

Earth Stations ........................................................ 3,400 1 1,224,000 1,105,000 326 325 1,105,000 


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TABLE 3—CALCULATION OF FY 2018 REVENUE REQUIREMENTS AND PRO-RATA FEES—Continued 

Fee category 

FY 2018 

payment 

units 

Years 

FY 2017 

revenue 

estimate 

Pro-rated 

FY 2018 

revenue 

requirement 

Computed 

FY 2018 

regulatory 

fee 

Rounded 

FY 2018 

regulatory 

fee 

Expected 

FY 2018 

revenue 

Space Stations (Geostationary) ............................ 97 1 13,669,725 12,401,450 127,839 127,850 12,401,450 

Space Stations (Non-Geostationary) .................... 7 1 947,450 859,425 122,776 122,775 859,425 

****** Total Estimated Revenue to be Collected .......................................................... ............................ ............ 358,670,986 324,323,753 ........................ ........................ 324,365,671 

****** Total Revenue Requirement .......... ............................ ............ 356,710,992 322,035,000 ........................ ........................ 322,035,000 

Difference ........................................ ............................ ............ 1,959,994 2,288,753 ........................ ........................ 2,330,671 

Notes on Table 3: 

1 The fee amounts listed in the column entitled ‘‘Rounded New FY 2018 Regulatory Fee’’ constitute a weighted average broadcast regulatory fee by class of service. The actual FY 2018 regulatory fees for AM/FM radio station are listed on a grid located at the end of Table 4. 2 The AM and FM Construction Permit revenues and the Digital (VHF/UHF) Construction Permit revenues were adjusted, respectively, to set the regulatory fee to 

an amount no higher than the lowest licensed fee for that class of service. Reductions in the Digital (VHF/UHF) Construction Permit revenues, and in the AM and FM 

Construction Permit revenues, were offset by increases in the revenue totals for Digital television stations by market size, and in the AM and FM radio stations by 

class size and population served, respectively. 3 MDS/MMDS category was renamed Broadband Radio Service (BRS). See Amendment of Parts 1, 21, 73, 74 and 101 of the Commission’s Rules to Facilitate the 

Provision of Fixed and Mobile Broadband Access, Educational and Other Advanced Services in the 2150–2162 and 2500–2690 MHz Bands, Report & Order and Further Notice of Proposed Rulemaking, 19 FCC Rcd 14165, 14169, paragraph 6 (2004), 69 FR 72048 (Dec. 10, 2004). 4 The chart at the end of Table 4 lists the submarine cable bearer circuit regulatory fees (common and non-common carrier basis) that resulted from the adoption of 

the Assessment and Collection of Regulatory Fees for Fiscal Year 2008, Report and Order and Further Notice of Proposed Rulemaking, 24 FCC Rcd 6388 (2008), 73 

FR 5028 (Aug. 26, 2008) and Assessment and Collection of Regulatory Fees for Fiscal Year 2008, Second Report and Order, 24 FCC Rcd 4208 (2009), 74 FR 

22104 (May 12, 2009). 

Regulatory fees for the categories 

shaded in gray are collected by the 

Commission in advance to cover the 

term of the license and are submitted at 

the time the application is filed. 

TABLE 4—FY 2018 REGULATORY FEES

Fee category 

Annual 

regulatory fee 

(U.S. $’s) 

PLMRS (per license) (Exclusive Use) (47 CFR part 90) ................................................................................................................ 25 

Microwave (per license) (47 CFR part 101) .................................................................................................................................... 25 

Marine (Ship) (per station) (47 CFR part 80) .................................................................................................................................. 15 

Marine (Coast) (per license) (47 CFR part 80) ............................................................................................................................... 40 

Rural Radio (47 CFR part 22) (previously listed under the Land Mobile category) ....................................................................... 10 

PLMRS (Shared Use) (per license) (47 CFR part 90) .................................................................................................................... 10 

Aviation (Aircraft) (per station) (47 CFR part 87) ............................................................................................................................ 10 

Aviation (Ground) (per license) (47 CFR part 87) ........................................................................................................................... 20 

CMRS Mobile/Cellular Services (per unit) (47 CFR parts 20, 22, 24, 27, 80 and 90) ................................................................... .20 

CMRS Messaging Services (per unit) (47 CFR parts 20, 22, 24 and 90) ...................................................................................... .08 

Broadband Radio Service (formerly MMDS/MDS) (per license) (47 CFR part 27) ........................................................................ 600 

Local Multipoint Distribution Service (per call sign) (47 CFR part 101) ......................................................................................... 600 

AM Radio Construction Permits ...................................................................................................................................................... 550 

FM Radio Construction Permits ...................................................................................................................................................... 965 

Digital TV (47 CFR part 73) VHF and UHF Commercial: 

Markets 1–10 ............................................................................................................................................................................ 49,750 

Markets 11–25 .......................................................................................................................................................................... 37,450 

Markets 26–50 .......................................................................................................................................................................... 25,025 

Markets 51–100 ........................................................................................................................................................................ 12,475 

Remaining Markets ................................................................................................................................................................... 4,100 

Construction Permits ................................................................................................................................................................ 4,100 

Satellite Television Stations (All Markets) ....................................................................................................................................... 1,500 

Low Power TV, Class A TV, TV/FM Translators & Boosters (47 CFR part 74) ............................................................................. 380 

CARS (47 CFR part 78) .................................................................................................................................................................. 1,075 

Cable Television Systems (per subscriber) (47 CFR part 76), Including IPTV .............................................................................. .77 

Direct Broadcast Service (DBS) (per subscriber) (as defined by section 602(13) of the Act) ....................................................... .48 

Interstate Telecommunication Service Providers (per revenue dollar) ........................................................................................... .00291 

Toll Free (per toll free subscriber) (47 CFR 52.101(f) of the rules) ................................................................................................ .10 

Earth Stations (47 CFR part 25) ..................................................................................................................................................... 325 

Space Stations (per operational station in geostationary orbit) (47 CFR part 25) also includes DBS Service (per operational 

station) (47 CFR part 100) ........................................................................................................................................................... 127,850 

Space Stations (per operational system in non-geostationary orbit) (47 CFR part 25) ................................................................. 122,775 

International Bearer Circuits—Terrestrial/Satellites (per Gbps circuit) ........................................................................................... 176 

Submarine Cable Landing Licenses Fee (per cable system) ......................................................................................................... See Table Below 


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Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 47087 

FY 2018 RADIO STATION REGULATORY FEES

Population served AM Class A AM Class B AM Class C AM Class D FM Classes 

A, B1 & C3 

FM Classes 

B, C, C0, 

C1 & C2 

<=25,000 .................................................. $880 $635 $550 $605 $965 $1,100 

25,001–75,000 ......................................... $1,325 $950 $825 $910 $1,450 $1,650 

75,001–150,000 ....................................... $1,975 $1,425 $1,250 $1,350 $2,175 $2,475 

150,001–500,000 ..................................... $2,975 $2,150 $1,850 $2,050 $3,250 $3,725 

500,001–1,200,000 .................................. $4,450 $3,225 $2,775 $3,050 $4,875 $5,575 

1,200,001–3,000,00 ................................. $6,700 $4,825 $4,175 $4,600 $7,325 $8,350 

3,000,001–6,000,00 ................................. $10,025 $7,225 $6,275 $6,900 $11,000 $12,525 

>6,000,000 ............................................... $15,050 $10,850 $9,400 $10,325 $16,500 $18,800 

FY 2018 INTERNATIONAL BEARER CIRCUITS—SUBMARINE CABLE SYSTEMS

Submarine cable systems 

(capacity as of December 31, 2017) 

Fee amount 

for FY 2018 

Less than 50 Gbps .............................................................................................................................................................................. $9,850 

50 Gbps or greater, but less than 250 Gbps ...................................................................................................................................... 19,725 

250 Gbps or greater, but less than 1,000 Gbps ................................................................................................................................. 39,425 

1,000 Gbps or greater, but less than 4,000 Gbps .............................................................................................................................. 78,875 

4,000 Gbps or greater ......................................................................................................................................................................... 157,750 

Table 5—Sources of Payment Unit 

Estimates for FY 2018 

In order to calculate individual 

service fees for FY 2018, we adjusted FY 

2017 payment units for each service to 

more accurately reflect expected FY 

2018 payment liabilities. We obtained 

our updated estimates through a variety 

of means. For example, we used 

Commission licensee data bases, actual 

prior year payment records and industry 

and trade association projections when 

available. The databases we consulted 

include our Universal Licensing System 

(ULS), International Bureau Filing 

System (IBFS), Consolidated Database 

System (CDBS) and Cable Operations 

and Licensing System (COALS), as well 

as reports generated within the 

Commission such as the Wireless 

Telecommunications Bureau’s 

Numbering Resource Utilization 

Forecast. 

We sought verification for these 

estimates from multiple sources and, in 

all cases, we compared FY 2018 

estimates with actual FY 2017 payment 

units to ensure that our revised 

estimates were reasonable. Where 

appropriate, we adjusted and/or 

rounded our final estimates to take into 

consideration the fact that certain 

variables that impact on the number of 

payment units cannot yet be estimated 

with sufficient accuracy. These include 

an unknown number of waivers and/or 

exemptions that may occur in FY 2018 

and the fact that, in many services, the 

number of actual licensees or station 

operators fluctuates from time to time 

due to economic, technical, or other 

reasons. When we note, for example, 

that our estimated FY 2018 payment 

units are based on FY 2017 actual 

payment units, it does not necessarily 

mean that our FY 2018 projection is 

exactly the same number as in FY 2017. 

We have either rounded the FY 2018 

number or adjusted it slightly to account 

for these variables. 

Fee category Sources of payment unit estimates 

Land Mobile (All), Microwave, Marine (Ship & Coast), Aviation (Aircraft & Ground), Domestic Public 

Fixed.

Based on Wireless Telecommunications Bureau (WTB) projections of new applications and renewals taking into consideration existing Commission licensee data bases. Aviation (Aircraft) and Marine (Ship) estimates have been adjusted to take into consideration the licensing of portions of these services on a 

voluntary basis. 

CMRS Cellular/Mobile Services ...... Based on WTB projection reports, and FY 17 payment data. 

CMRS Messaging Services ............ Based on WTB reports, and FY 17 payment data. 

AM/FM Radio Stations .................... Based on CDBS data, adjusted for exemptions, and actual FY 2017 payment units. 

Digital TV Stations ..........................

(Combined VHF/UHF units) ............

Based on CDBS data, adjusted for exemptions, and actual FY 2017 payment units. 

AM/FM/TV Construction Permits .... Based on CDBS data, adjusted for exemptions, and actual FY 2017 payment units. 

LPTV, Translators and Boosters, 

Class A Television.

Based on CDBS data, adjusted for exemptions, and actual FY 2017 payment units. 

BRS (formerly MDS/MMDS) ...........

LMDS ..............................................

Based on WTB reports and actual FY 2017 payment units. 

Based on WTB reports and actual FY 2017 payment units. 

Cable Television Relay Service 

(CARS) Stations.

Based on data from Media Bureau’s COALS database and actual FY 2017 payment units. 

Cable Television System Subscribers, Including IPTV Subscribers.Based on publicly available data sources for estimated subscriber counts and actual FY 2017 payment 

units. 

Interstate Telecommunication Service Providers.Based on FCC Form 499–Q data for the four quarters of calendar year 2017, the Wireline Competition Bureau projected the amount of calendar year 2017 revenue that will be reported on 2018 FCC Form 499– 

A worksheets due in April, 2018. 

Earth Stations ................................. Based on International Bureau (‘‘IB’’) licensing data and actual FY 2017 payment units. 

Space Stations (GSOs & NGSOs) Based on IB data reports and actual FY 2017 payment units. 

International Bearer Circuits ........... Based on IB reports and submissions by licensees, adjusted as necessary. 


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47088 Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 

Fee category Sources of payment unit estimates 

Submarine Cable Licenses ............. Based on IB license information. 

TABLE 6—FACTORS, MEASUREMENTS, AND CALCULATIONS THAT DETERMINE STATION SIGNAL CONTOURS AND

ASSOCIATED POPULATION COVERAGES

AM Stations: 

For stations with nondirectional daytime antennas, the theoretical radiation was used at all azimuths. For stations with directional daytime antennas, specific information on each day tower, including field ratio, phase, spacing, and orientation was retrieved, as well as 

the theoretical pattern root-mean-square of the radiation in all directions in the horizontal plane (RMS) figure (milliVolt per meter (mV/ 

m) @1 km) for the antenna system. The standard, or augmented standard if pertinent, horizontal plane radiation pattern was calculated using techniques and methods specified in §§ 73.150 and 73.152 of the Commission’s rules. Radiation values were calculated for each of 360 radials around the transmitter site. Next, estimated soil conductivity data was retrieved from a database representing the information in FCC Figure R3. Using the calculated horizontal radiation values, and the retrieved soil conductivity data, 

the distance to the principal community (5 mV/m) contour was predicted for each of the 360 radials. The resulting distance to principal community contours were used to form a geographical polygon. Population counting was accomplished by determining which 

2010 block centroids were contained in the polygon. (A block centroid is the center point of a small area containing population as 

computed by the U.S. Census Bureau.) The sum of the population figures for all enclosed blocks represents the total population for 

the predicted principal community coverage area. 

FM Stations: 

The greater of the horizontal or vertical effective radiated power (ERP) (kW) and respective height above average terrain (HAAT) (m) 

combination was used. Where the antenna height above mean sea level (HAMSL) was available, it was used in lieu of the average 

HAAT figure to calculate specific HAAT figures for each of 360 radials under study. Any available directional pattern information was 

applied as well, to produce a radial-specific ERP figure. The HAAT and ERP figures were used in conjunction with the Field Strength 

(50–50) propagation curves specified in 47 CFR 73.313 of the Commission’s rules to predict the distance to the principal community 

(70 dBu (decibel above 1 microVolt per meter) or 3.17 mV/m) contour for each of the 360 radials. The resulting distance to principal 

community contours were used to form a geographical polygon. Population counting was accomplished by determining which 2010 

block centroids were contained in the polygon. The sum of the population figures for all enclosed blocks represents the total population for the predicted principal community coverage area. 

Table 7—FY 2017 Schedule of 

Regulatory Fees 

Regulatory fees for the categories 

shaded in gray are collected by the 

Commission in advance to cover the 

term of the license and are submitted at 

the time the application is filed. 

Fee category 

Annual 

regulatory fee 

(U.S. $s) 

PLMRS (per license) (Exclusive Use) (47 CFR part 90) ................................................................................................................ 25 

Microwave (per license) (47 CFR part 101) .................................................................................................................................... 25 

Marine (Ship) (per station) (47 CFR part 80) .................................................................................................................................. 15 

Marine (Coast) (per license) (47 CFR part 80) ............................................................................................................................... 40 

Rural Radio (47 CFR part 22) (previously listed under the Land Mobile category) ....................................................................... 10 

PLMRS (Shared Use) (per license) (47 CFR part 90) .................................................................................................................... 10 

Aviation (Aircraft) (per station) (47 CFR part 87) ............................................................................................................................ 10 

Aviation (Ground) (per license) (47 CFR part 87) ........................................................................................................................... 20 

CMRS Mobile/Cellular Services (per unit) (47 CFR parts 20, 22, 24, 27, 80 and 90) ................................................................... .21 

CMRS Messaging Services (per unit) (47 CFR parts 20, 22, 24 and 90) ...................................................................................... .08 

Broadband Radio Service (formerly MMDS/MDS) (per license) (47 CFR part 27) ........................................................................ 800 

Local Multipoint Distribution Service (per call sign) (47 CFR part 101) .........................................................................................

800.

AM Radio Construction Permits ...................................................................................................................................................... 555 

FM Radio Construction Permits ...................................................................................................................................................... 980 

Digital TV (47 CFR part 73) VHF and UHF Commercial: 

Markets 1–10 ............................................................................................................................................................................ 59,750 

Markets 11–25 .......................................................................................................................................................................... 45,025 

Markets 26–50 .......................................................................................................................................................................... 30,050 

Markets 51–100 ........................................................................................................................................................................ 14,975 

Remaining Markets ................................................................................................................................................................... 4,925 

Construction Permits ................................................................................................................................................................ 4,925 

Satellite Television Stations (All Markets) ....................................................................................................................................... 1,725 

Low Power TV, Class A TV, TV/FM Trans. & Boosters (47 CFR part 74) .................................................................................... 430 

CARS (47 CFR part 78) .................................................................................................................................................................. 935 

Cable Television Systems (per subscriber) (47 CFR part 76), including IPTV .............................................................................. .95 

Direct Broadcast Service (DBS) (per subscriber) (as defined by section 602(13) of the Act) ....................................................... .38 

Interstate Telecommunication Service Providers (per revenue dollar) ........................................................................................... .00302 

Toll Free (per toll free subscriber) (47 CFR 52.101(f) of the rules) ................................................................................................ .12 

Earth Stations (47 CFR part 25) ..................................................................................................................................................... 360 

Space Stations (per operational station in geostationary orbit) (47 CFR part 25) also includes DBS Service (per operational 

station) (47 CFR part 100) ........................................................................................................................................................... 140,925 


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Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 47089 

77 5 U.S.C. 603. The RFA, 5 U.S.C. 601–612 has 

been amended by the Small Business Regulatory 

Enforcement Fairness Act of 1996 (SBREFA), Public 

Law Number 104–121, Title II, 110 Stat. 847 (1996). 

78Assessment and Collection of Regulatory Fees 

for Fiscal Year 2017, Report and Order and Further 

Notice of Proposed Rulemaking, 32 FCC Rcd 7057 

(2017), 82 FR 50598 (Nov. 1, 2017). 

79 5 U.S.C. 604. 

80 47 U.S.C. 159. 

81 47 U.S.C. 159(a). 82 5 U.S.C. 603(b)(3). 83 5 U.S.C. 601(6). 

84 5 U.S.C. 601(3) (incorporating by reference the 

definition of ‘‘small-business concern’’ in the Small 

Business Act, 15 U.S.C. 632). Pursuant to 5 U.S.C. 

601(3), the statutory definition of a small business 

applies ‘‘unless an agency, after consultation with 

the Office of Advocacy of the Small Business 

Administration and after opportunity for public 

comment, establishes one or more definitions of 

such term which are appropriate to the activities of 

the agency and publishes such definition(s) in the 

Federal Register.’’ 

85 15 U.S.C. 632. 

86See SBA, Office of Advocacy, ‘‘Frequently 

Asked Questions,’’ https://www.sba.gov/sites/ 

default/files/advocacy/SB-FAQ-2016_WEB.pdf. 

Fee category 

Annual 

regulatory fee 

(U.S. $s) 

Space Stations (per operational system in non-geostationary orbit) (47 CFR part 25) ................................................................. 135,350 

International Bearer Circuits—Terrestrial/Satellites (per 64KB circuit) ........................................................................................... .03 

Submarine Cable Landing Licenses Fee (per cable system) ......................................................................................................... See Table Below 

FY 2017 RADIO STATION REGULATORY FEES

Population served AM Class 

A 

AM Class 

B 

AM Class 

C 

AM Class 

D 

FM Classes 

A, B1 & 

C3 

FM Classes 

B, C, C0, 

C1 & C2 

<=25,000 ...................................................................................... $895 $640 $555 $610 $980 $1,100 

25,001–75,000 ............................................................................. 1,350 955 830 915 1,475 1,650 

75,001–150,000 ........................................................................... 2,375 1,700 1,475 1,600 2,600 2,925 

150,001–500,000 ......................................................................... 3,550 2,525 2,200 2,425 3,875 4,400 

500,001–1,200,000 ...................................................................... 5,325 3,800 3,300 3,625 5,825 6,575 

1,200,001–3,000,00 ..................................................................... 7,975 5,700 4,950 5,425 8,750 9,875 

3,000,001–6,000,00 ..................................................................... 11,950 8,550 7,400 8,150 13,100 14,800 

>6,000,000 ................................................................................... 17,950 12,825 11,100 12,225 19,650 22,225 

FY 2017 REGULATORY FEES INTERNATIONAL BEARER CIRCUITS—SUBMARINE CABLE

Submarine cable systems 

(capacity as of December 31, 2016) Fee amount 

<2.5 Gbps ........................................................................................................................................................................................ $8,600 

2.5 Gbps or greater, but less than 5 Gbps ..................................................................................................................................... 17,175 

5 Gbps or greater, but less than 10 Gbps ...................................................................................................................................... 34,350 

10 Gbps or greater, but less than 20 Gbps .................................................................................................................................... 68,725 

20 Gbps or greater .......................................................................................................................................................................... 137,425 

VIII. Final Regulatory Flexibility 

Analysis 

32. As required by the Regulatory 

Flexibility Act of 1980, as amended 

(RFA),77 an Initial Regulatory Flexibility 

Analysis (IRFA) was included in the 

Notice of Proposed Rulemaking 

(NPRM).78 The Commission sought 

written public comment on these 

proposals including comment on the 

IRFA. This Final Regulatory Flexibility 

Analysis (FRFA) conforms to the 

IRFA.79

A. Need for, and Objectives of, the 

Report and Order 

33. In this Report and Order we adopt 

our proposal in the Notice of Proposed 

Rulemaking on collecting $322,035,000 

in regulatory fees for FY 2018, pursuant 

to section 9 of the Communications Act 

of 1934, as amended (Communications 

Act or Act).80 These regulatory fees will 

be due in September 2018. Under 

section 9 of the Communications Act, 

regulatory fees are mandated by 

Congress and collected to recover the 

regulatory costs associated with the 

Commission’s enforcement, policy and 

rulemaking, user information, and 

international activities in an amount 

that can be reasonably expected to equal 

the amount of the Commission’s annual 

appropriation.81 This Report and Order 

adopts the regulatory fees proposed in 

the Notice of Proposed Rulemaking. 

B. Summary of the Significant Issues 

Raised by the Public Comments in 

Response to the IRFA 

34. None. 

C. Description and Estimate of the 

Number of Small Entities to Which the 

Rules Will Apply 

35. The RFA directs agencies to 

provide a description of, and where 

feasible, an estimate of the number of 

small entities that may be affected by 

the proposed rules and policies, if 

adopted.82 The RFA generally defines 

the term ‘‘small entity’’ as having the 

same meaning as the terms ‘‘small 

business,’’ ‘‘small organization,’’ and 

‘‘small governmental jurisdiction.’’ 83 In 

addition, the term ‘‘small business’’ has 

the same meaning as the term ‘‘small 

business concern’’ under the Small 

Business Act.84 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 SBA.85 Nationwide, 

there are a total of approximately 27.9 

million small businesses, according to 

the SBA.86

36. Wired Telecommunications 

Carriers. The U.S. Census Bureau 

defines this industry as ‘‘establishments 

primarily engaged in operating and/or 

providing access to transmission 

facilities and infrastructure that they 

own and/or lease for the transmission of 

voice, data, text, sound, and video using 

wired communications networks. 


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47090 Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 

87http://www.census.gov/cgi-bin/sssd/naics/ 

naicsrch. 

88See 13 CFR 120.201, NAICS code 517110. 

89http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

90 13 CFR 121.201, NAICS code 517110. 

91http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

92 13 CFR 121.201, NAICS code 517110. 

93http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

94See Trends in Telephone Service, Federal 

Communications Commission, Wireline 

Competition Bureau, Industry Analysis and 

Technology Division at Table 5.3 (September 2010) 

(Trends in Telephone Service). 

95 Id. 

96 13 CFR 121.201, NAICS code 517110. 

97http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

98See Trends in Telephone Service, at Table 5.3. 

99 Id. 

100 Id. 

101 Id. 

102 Id. 

103 13 CFR 121.201, NAICS code 517110. 

104http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

105See Trends in Telephone Service, at Table 5.3. 

106 Id. 

107http://www.census.gov/cgi-bin/ssd/naics/ 

naicsrch. 

108 13 CFR 121.201, NAICS code 517911. 

Transmission facilities may be based on 

a single technology or a combination of 

technologies. Establishments in this 

industry use the wired 

telecommunications network facilities 

that they operate to provide a variety of 

services, such as wired telephony 

services, including VoIP services, wired 

(cable) audio and video programming 

distribution, and wired broadband 

internet services. By exception, 

establishments providing satellite 

television distribution services using 

facilities and infrastructure that they 

operate are included in this 

industry.’’ 87 The SBA has developed a 

small business size standard for Wired 

Telecommunications Carriers, which 

consists of all such companies having 

1,500 or fewer employees.88 Census data 

for 2012 shows that there were 3,117 

firms that operated that year. Of this 

total, 3,083 operated with fewer than 

1,000 employees.89 Thus, under this 

size standard, most firms in this 

industry can be considered small. 

37. Local Exchange Carriers (LECs). 

Neither the Commission nor the SBA 

has developed a size standard for small 

businesses specifically applicable to 

local exchange services. The closest 

applicable NAICS code category is 

Wired Telecommunications Carriers as 

defined in paragraph 6 of this FRFA. 

Under the applicable SBA size standard, 

such a business is small if it has 1,500 

or fewer employees.90 According to 

Commission data, census data for 2012 

shows that there were 3,117 firms that 

operated that year. Of this total, 3,083 

operated with fewer than 1,000 

employees.91 The Commission therefore 

estimates that most providers of local 

exchange carrier service are small 

entities that may be affected by the rules 

adopted. 

38. Incumbent LECs. Neither the 

Commission nor the SBA has developed 

a small business size standard 

specifically for incumbent local 

exchange services. The closest 

applicable NAICS code category is 

Wired Telecommunications Carriers as 

defined in paragraph 6 of this FRFA. 

Under that size standard, such a 

business is small if it has 1,500 or fewer 

employees.92 According to Commission 

data, 3,117 firms operated in that year. 

Of this total, 3,083 operated with fewer 

than 1,000 employees.93 Consequently, 

the Commission estimates that most 

providers of incumbent local exchange 

service are small businesses that may be 

affected by the rules and policies 

adopted. Three hundred and seven (307) 

Incumbent Local Exchange Carriers 

reported that they were incumbent local 

exchange service providers.94 Of this 

total, an estimated 1,006 have 1,500 or 

fewer employees.95

39. Competitive Local Exchange 

Carriers (Competitive LECs), 

Competitive Access Providers (CAPs), 

Shared-Tenant Service Providers, and 

Other Local Service Providers. Neither 

the Commission nor the SBA has 

developed a small business size 

standard specifically for these service 

providers. The appropriate NAICS code 

category is Wired Telecommunications 

Carriers, as defined in paragraph 6 of 

this FRFA. Under that size standard, 

such a business is small if it has 1,500 

or fewer employees.96 U.S. Census data 

for 2012 indicate that 3,117 firms 

operated during that year. Of that 

number, 3,083 operated with fewer than 

1,000 employees.97 Based on this data, 

the Commission concludes that most 

Competitive LECS, CAPs, SharedTenant Service Providers, and Other 

Local Service Providers, are small 

entities. According to Commission data, 

1,442 carriers reported that they were 

engaged in the provision of either 

competitive local exchange services or 

competitive access provider services.98

Of these 1,442 carriers, an estimated 

1,256 have 1,500 or fewer employees.99

In addition, 17 carriers have reported 

that they are Shared-Tenant Service 

Providers, and all 17 are estimated to 

have 1,500 or fewer employees.100 Also, 

72 carriers have reported that they are 

Other Local Service Providers.101 Of this 

total, 70 have 1,500 or fewer 

employees.102 Consequently, based on 

internally researched FCC data, the 

Commission estimates that most 

providers of competitive local exchange 

service, competitive access providers, 

Shared-Tenant Service Providers, and 

Other Local Service Providers are small 

entities. 

40. Interexchange Carriers (IXCs). 

Neither the Commission nor the SBA 

has developed a definition for 

Interexchange Carriers. The closest 

NAICS code category is Wired 

Telecommunications Carriers as defined 

in paragraph 6 of this FRFA. The 

applicable size standard under SBA 

rules is that such a business is small if 

it has 1,500 or fewer employees.103 U.S. 

Census data for 2012 indicates that 

3,117 firms operated during that year. 

Of that number, 3,083 operated with 

fewer than 1,000 employees.104

According to internally developed 

Commission data, 359 companies 

reported that their primary 

telecommunications service activity was 

the provision of interexchange 

services.105 Of this total, an estimated 

317 have 1,500 or fewer employees.106

Consequently, the Commission 

estimates that most interexchange 

service providers are small entities that 

may be affected by the rules adopted. 

41. Prepaid Calling Card Providers. 

Neither the Commission nor the SBA 

has developed a small business 

definition specifically for prepaid 

calling card providers. The most 

appropriate NAICS code-based category 

for defining prepaid calling card 

providers is Telecommunications 

Resellers. This industry comprises 

establishments engaged in purchasing 

access and network capacity from 

owners and operators of 

telecommunications networks and 

reselling wired and wireless 

telecommunications services (except 

satellite) to businesses and households. 

Establishments in this industry resell 

telecommunications; they do not 

operate transmission facilities and 

infrastructure. Mobile virtual networks 

operators (MVNOs) are included in this 

industry.107 Under the applicable SBA 

size standard, such a business is small 

if it has 1,500 or fewer employees.108

U.S. Census data for 2012 show that 

1,341 firms provided resale services 

during that year. Of that number, 1,341 

operated with fewer than 1,000 


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109http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

110See Trends in Telephone Service, at Table 5.3. 

111 Id. 

112 13 CFR 121.201, NAICS code 517911. 

113http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

114See Trends in Telephone Service, at Table 5.3. 

115 Id. 

116 13 CFR 121.201, NAICS code 517911. 

117http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

118 Id. 

119Trends in Telephone Service at Table 5.3. 

120 Id. 

121 13 CFR 121.201, NAICS code 517110. 

122http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

123Trends in Telephone Service at Table 5.3. 

124 Id. 

125NAICS code 517210. See http://

www.census.gov/cgi-bin/ssd/naics/naiscsrch. 

126Trends in Telephone Service at Table 5.3. 

127 Id. 

128U.S. Census Bureau, 2012 NAICS code 

Economic Census Definitions, http://

www.census.gov.cgi-bin/sssd/naics/naicsrch. 

129 13 CFR 121.201, NAICS code 515120. 

130See FCC News Release, ‘‘Broadcast Station 

Totals as of March 31, 2017,’’ April 11, 2017; 

https://apps.fcc.gov/edocs_public/attachmatch/ 

DOC-344256A1.pdf. 

131We recognize that BIA’s estimate differs 

slightly from the FCC total. 

employees.109 Thus, under this category 

and the associated small business size 

standard, the majority of these prepaid 

calling card providers can be considered 

small entities. According to Commission 

data, 193 carriers have reported that 

they are engaged in the provision of 

prepaid calling cards.110 All 193 carriers 

have 1,500 or fewer employees.111

Consequently, the Commission 

estimates that the majority of prepaid 

calling card providers are small entities 

that may be affected by the rules 

adopted. 

42. Local Resellers. Neither the 

Commission nor the SBA has developed 

a small business size standard 

specifically for Local Resellers. The SBA 

has developed a small business size 

standard for the category of 

Telecommunications Resellers. Under 

that size standard, such a business is 

small if it has 1,500 or fewer 

employees.112 Census data for 2012 

show that 1,341 firms provided resale 

services during that year. Of that 

number, 1,341 operated with fewer than 

1,000 employees.113 Under this category 

and the associated small business size 

standard, the majority of these local 

resellers can be considered small 

entities. According to Commission data, 

213 carriers have reported that they are 

engaged in the provision of local resale 

services.114 Of this total, an estimated 

211 have 1,500 or fewer employees.115

Consequently, the Commission 

estimates that the majority of local 

resellers are small entities that may be 

affected by the rules adopted. 

43. Toll Resellers. The Commission 

has not developed a definition for Toll 

Resellers. The closest NAICS code 

Category is Telecommunications 

Resellers, and the SBA has developed a 

small business size standard for the 

category of Telecommunications 

Resellers.116 Under that size standard, 

such a business is small if it has 1,500 

or fewer employees.117 Census data for 

2012 show that 1,341 firms provided 

resale services during that year. Of that 

number, 1,341 operated with fewer than 

1,000 employees.118 Thus, under this 

category and the associated small 

business size standard, the majority of 

these resellers can be considered small 

entities. According to Commission data, 

881 carriers have reported that they are 

engaged in the provision of toll resale 

services.119 Of this total, an estimated 

857 have 1,500 or fewer employees.120

Consequently, the Commission 

estimates that the majority of toll 

resellers are small entities. 

44. Other Toll Carriers. Neither the 

Commission nor the SBA has developed 

a definition for small businesses 

specifically applicable to Other Toll 

Carriers. This category includes toll 

carriers that do not fall within the 

categories of interexchange carriers, 

operator service providers, prepaid 

calling card providers, satellite service 

carriers, or toll resellers. The closest 

applicable NAICS code category is for 

Wired Telecommunications Carriers as 

defined in paragraph 6 of this FRFA. 

Under the applicable SBA size standard, 

such a business is small if it has 1,500 

or fewer employees.121 Census data for 

2012 shows that there were 3,117 firms 

that operated that year. Of this total, 

3,083 operated with fewer than 1,000 

employees.122 Thus, under this category 

and the associated small business size 

standard, most Other Toll Carriers can 

be considered small. According to 

internally developed Commission data, 

284 companies reported that their 

primary telecommunications service 

activity was the provision of other toll 

carriage.123 Of these, an estimated 279 

have 1,500 or fewer employees.124

Consequently, the Commission 

estimates that most Other Toll Carriers 

are small entities. 

45. Wireless Telecommunications 

Carriers (except Satellite). This industry 

comprises establishments engaged in 

operating and maintaining switching 

and transmission facilities to provide 

communications via the airwaves. 

Establishments in this industry have 

spectrum licenses and provide services 

using that spectrum, such as cellular 

services, paging services, wireless 

internet access, and wireless video 

services.125 The appropriate size 

standard under SBA rules is that such 

a business is small if it has 1,500 or 

fewer employees. For this industry, 

Census data for 2012 show that there 

were 967 firms that operated for the 

entire year. Of this total, 955 firms had 

fewer than 1,000 employees. Thus, 

under this category and the associated 

size standard, the Commission estimates 

that the majority of wireless 

telecommunications carriers (except 

satellite) are small entities. Similarly, 

according to internally developed 

Commission data, 413 carriers reported 

that they were engaged in the provision 

of wireless telephony, including cellular 

service, Personal Communications 

Service (PCS), and Specialized Mobile 

Radio (SMR) services.126 Of this total, 

an estimated 261 have 1,500 or fewer 

employees.127 Thus, using available 

data, we estimate that the majority of 

wireless firms can be considered small. 

46. Television Broadcasting. This 

Economic Census category ‘‘comprises 

establishments primarily engaged in 

broadcasting images together with 

sound. These establishments operate 

television broadcasting studios and 

facilities for the programming and 

transmission of programs to the 

public.’’ 128 These establishments also 

produce or transmit visual programming 

to affiliated broadcast television 

stations, which in turn broadcast the 

programs to the public on a 

predetermined schedule. Programming 

may originate in their own studio, from 

an affiliated network, or from external 

sources. The SBA has created the 

following small business size standard 

for Television Broadcasting firms: those 

having $38.5 million or less in annual 

receipts.129 The 2012 Economic Census 

reports that 751 television broadcasting 

firms operated during that year. Of that 

number, 656 had annual receipts of less 

than $25 million per year. Based on that 

Census data we conclude that most 

firms that operate television stations are 

small. The Commission has estimated 

the number of licensed commercial 

television stations to be 1,383.130 In 

addition, according to Commission staff 

review of the BIA Advisory Services, 

LLC’s Media Access Pro Television 

Database, on March 28, 2012, about 950 

of an estimated 1,300 commercial 

television stations (or approximately 73 

percent) had revenues of $14 million or 

less.131 We therefore estimate that the 


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47092 Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 

132 ‘‘[Business concerns] are affiliates of each 

other when one concern controls or has the power 

to control the other or a third party or parties 

controls or has to power to control both.’’ 13 CFR 

21.103(a)(1). 

133See FCC News Release, ‘‘Broadcast Station 

Totals as of March 31, 2017,’’ April 11, 2017; 

https://apps.fcc.gov/edocs_public/attachmatch/ 

DOC-344256A1.pdf. 

134See generally 5 U.S.C. 601(4), (6). 

135See FCC News Release, ‘‘Broadcast Station 

Totals as of March 31, 2017,’’ April 11, 2017; 

https://apps.fcc.gov/edocs_public/attachmatch/ 

DOC-344256A1.pdf. 

136https://www.census.gov.cgi-bin/sssd/naics/ 

naicsrch. 

137 13 CFR 121.201, NAICS code 515112. 

138http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ5&prodType=table. 

139 ‘‘Concerns and entities are affiliates of each 

other when one controls or has the power to control 

the other, or a third party or parties controls or has 

the power to control both. It does not matter 

whether control is exercised, so long as the power 

to control exists.’’ 13 CFR 121.103(a)(1) (an SBA 

regulation). 

140 13 CFR 121.102(b) (an SBA regulation). 

141https://www.census.gov.cgi-bin/sssd/naics/ 

naicsrch. 

142http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US-51SSSZ5&prodType=Table. 

143 47 CFR 76.901(e). 

144As of July 5, 2018, there were 4,160 active 

cable systems in the Commission’s Cable 

Operations and Licensing Systems (COALS) 

database. 

145See https://www.snl.com/web/client?auth=

inherit#industry/topCableMSOs (last visited July 

18, 2017). 

146 47 CFR 76.901(c) 

147See footnote 2, supra. 

148 47 CFR 76.901(f) and notes ff. 1, 2, and 3. 

149See NCTA Industry Data, Cable’s Customer 

Base, available at https://www.ncta.com/industrydata (last visited July 6, 2017). 

150 47 CFR 76.901(f) and notes ff. 1, 2, and 3. 

151See https://www.snl.com/web/client?auth=

inherit#industry/topCableMSOs (last visited July 

18, 2018). 

152The Commission does receive such 

information on a case-by-case basis if a cable 

operator appeals a local franchise authority’s 

finding that the operator does not qualify as a small 

cable operator pursuant to § 76.901(f) of the 

Commission’s rules. See 47 CFR 76.901(f). 

majority of commercial television 

broadcasters are small entities. 

47. In assessing whether a business 

concern qualifies as small under the 

above definition, business (control) 

affiliations 132 must be included. Our 

estimate, therefore, likely overstates the 

number of small entities that might be 

affected by our action, because the 

revenue figure on which it is based does 

not include or aggregate revenues from 

affiliated companies. In addition, an 

element of the definition of ‘‘small 

business’’ is that the entity not be 

dominant in its field of operation. We 

are unable at this time to define or 

quantify the criteria that would 

establish whether a specific television 

station is dominant in its field of 

operation. Accordingly, the estimate of 

small businesses to which rules may 

apply does not exclude any television 

station from the definition of a small 

business on this basis and is therefore 

possibly over-inclusive to that extent. 

48. In addition, the Commission has 

estimated the number of licensed 

noncommercial educational television 

stations to be 394.133 These stations are 

non-profit, and therefore considered to 

be small entities.134 There are also 2,382 

low power television stations, including 

Class A stations.135 Given the nature of 

these services, we will presume that all 

LPTV licensees qualify as small entities 

under the above SBA small business 

size standard. 

49. Radio Broadcasting. This 

Economic Census category ‘‘comprises 

establishments primarily engaged in 

broadcasting aural programs by radio to 

the public. Programming may originate 

in their own studio, from an affiliated 

network, or from external sources.’’ 136

The SBA has established a small 

business size standard for this category, 

which is: such firms having $38.5 

million or less in annual receipts.137

Census data for 2012 show that 2,849 

radio station firms operated during that 

year. Of that number, 2,806 operated 

with annual receipts of less than $25 

million per year.138 According to 

Commission staff review of BIA 

Advisory Services, LLC’s Media Access 

Pro Radio Database, on March 28, 2012, 

about 10,759 (97 percent) of 11,102 

commercial radio stations had revenues 

of $38.5 million or less. Therefore, most 

such entities are small entities. 

50. In assessing whether a business 

concern qualifies as small under the 

above size standard, business 

affiliations must be included.139 In 

addition, to be determined to be a 

‘‘small business,’’ the entity may not be 

dominant in its field of operation.140 We 

note that it is difficult at times to assess 

these criteria in the context of media 

entities, and our estimate of small 

businesses may therefore be overinclusive. 

51. Cable Television and Other 

Subscription Programming. This 

industry comprises establishments 

primarily engaged in operating studios 

and facilities for the broadcasting of 

programs on a subscription or fee basis. 

The broadcast programming is typically 

narrowcast in nature (e.g., limited 

format, such as news, sports, education, 

or youth-oriented). These 

establishments produce programming in 

their own facilities or acquire 

programming from external sources. The 

programming material is usually 

delivered to a third party, such as cable 

systems or direct-to-home satellite 

systems, for transmission to viewers.141

The SBA has established a size standard 

for this industry of $38.5 million or less. 

Census data for 2012 shows that there 

were 367 firms that operated that year. 

Of this total, 319 operated with annual 

receipts of less than $25 million.142

Thus under this size standard, most 

firms offering cable and other program 

distribution services can be considered 

small and may be affected by rules 

adopted. 

52. Cable Companies and Systems. 

The Commission has developed its own 

small business size standards for the 

purpose of cable rate regulation. Under 

the Commission’s rules, a ‘‘small cable 

company’’ is one serving 400,000 or 

fewer subscribers nationwide.143 The 

Commission’s industry data indicate 

that there are currently 4,160 active 

cable systems in the United States.144 Of 

this total, all but ten cable operators 

nationwide are small under the 400,000- 

subscriber size standard.145 In addition, 

under the Commission’s rate regulation 

rules, a ‘‘small system’’ is a cable system 

serving 15,000 or fewer subscribers.146

Current Commission records show 4,160 

cable systems nationwide.147 Thus, 

under this standard as well, we estimate 

that most cable systems are small 

entities. 

53. Cable System Operators (Telecom 

Act Standard). The Communications 

Act also contains a size standard for 

small cable system operators, which is 

‘‘a cable operator that, directly or 

through an affiliate, serves in the 

aggregate fewer than 1 percent of all 

subscribers in the United States and is 

not affiliated with any entity or entities 

whose gross annual revenues in the 

aggregate exceed $250,000,000.’’ 148

There are approximately 53 million 

cable video subscribers in the United 

States today.149 Accordingly, an 

operator serving fewer than 524,037 

subscribers shall be deemed a small 

operator if its annual revenues, when 

combined with the total annual 

revenues of all its affiliates, do not 

exceed $250 million in the aggregate.150

Based on available data, we find that all 

but nine incumbent cable operators are 

small entities under this size 

standard.151 We note that the 

Commission neither requests nor 

collects information on whether cable 

system operators are affiliated with 

entities whose gross annual revenues 

exceed $250 million.152 Although it 

seems certain that some of these cable 

system operators are affiliated with 

entities whose gross annual revenues 


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Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 47093 

153http://www.census.gov/cgi-bin/sssd/naics/ 

naicsrch. 154NAICS code 517110; 13 CFR 121.201. 155https://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=PEP_2017_PEPANNRES&src=pt. 

156http://www.census.gov/cgi-bin/ssssd/naics/ 

naicsrch. 

157 13 CFR 121.201; NAICS code 517919. 

158http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ4&prodType=table. 

159See 47 CFR 52.101(b) 

160 13 CFR 121.201, NAICS code 517110 

161 13 CFR 121.201, NAICS code 517210. 

162http://www.census,gov/cgi-bin/sssd/ 

naics.naicsrch. 

163 13 CFR 120,201, NAICS code 517110. 

164http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ4&prodType=table. 

165http://www.census,gov/cgi-bin/sssd/ 

naics.naicsrch. 

166 13 CFR 120.201, NAICS code 517120. 

167http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ4&prodType=table. 

168 13 CFR 120.201, NAICS code 541890. 

169 13 CFR 120.201, NAICS code 541618. 

exceed $250 million, we are unable at 

this time to estimate with greater 

precision the number of cable system 

operators that would qualify as small 

cable operators under the definition in 

the Communications Act. 

54. Direct Broadcast Satellite (DBS) 

Service. DBS Service is a nationally 

distributed subscription service that 

delivers video and audio programming 

via satellite to a small parabolic dish 

antenna at the subscriber’s location. 

DBS is now included in SBA’s 

economic census category ‘‘Wired 

Telecommunications Carriers.’’ The 

Wired Telecommunications Carriers 

industry comprises establishments 

primarily engaged in operating and/or 

providing access to transmission 

facilities and infrastructure that they 

own and/or lease for the transmission of 

voice, data, text, sound, and video using 

wired telecommunications networks. 

Transmission facilities may be based on 

a single technology or combination of 

technologies. Establishments in this 

industry use the wired 

telecommunications network facilities 

that they operate to provide a variety of 

services, such as wired telephony 

services, including VoIP services, wired 

(cable) audio and video programming 

distribution; and wired broadband 

internet services. By exception, 

establishments providing satellite 

television distribution services using 

facilities and infrastructure that they 

operate are included in this industry.153

The SBA determines that a wireline 

business is small if it has fewer than 

1500 employees.154 Census data for 

2012 indicate that 3,117 wireline 

companies were operational during that 

year. Of that number, 3,083 operated 

with fewer than 1,000 employees.155

Based on that data, we conclude that 

most wireline firms are small under the 

applicable standard. However, currently 

only two entities provide DBS service, 

AT&T and DISH Network. AT&T and 

DISH Network each report annual 

revenues that are in excess of the 

threshold for a small business. 

Accordingly, we conclude that DBS 

service is provided only by large firms. 

55. All Other Telecommunications. 

‘‘All Other Telecommunications’’ is 

defined as follows: This U.S. industry is 

comprised of establishments that are 

primarily engaged in providing 

specialized telecommunications 

services, such as satellite tracking, 

communications telemetry, and radar 

station operation. This industry also 

includes establishments primarily 

engaged in providing satellite terminal 

stations and associated facilities 

connected with one or more terrestrial 

systems and capable of transmitting 

telecommunications to, and receiving 

telecommunications from, satellite 

systems. Establishments providing 

internet services or voice over internet 

protocol (VoIP) services via clientsupplied telecommunications 

connections are also included in this 

industry.156 The SBA has developed a 

small business size standard for ‘‘All 

Other Telecommunications,’’ which 

consists of all such firms with gross 

annual receipts of $32.5 million or 

less.157 For this category, census data for 

2012 show that there were 1,442 firms 

that operated for the entire year. Of 

these firms, a total of 1,400 had gross 

annual receipts of less than $25 

million.158 Thus, most ‘‘All Other 

Telecommunications’’ firms potentially 

affected by the rules adopted can be 

considered small. 

56. RespOrgs. RespOrgs, i.e., 

Responsible Organizations, are entities 

chosen by toll-free subscribers to 

manage and administer the appropriate 

records in the toll-free Service 

Management System for the toll-free 

subscriber.159 Although RespOrgs are 

often wireline carriers, they can also 

include non-carrier entities. Therefore, 

in the definition herein of RespOrgs, 

two categories are presented, i.e., Carrier 

RespOrgs and Non-Carrier RespOrgs. 

57. Carrier RespOrgs. Neither the 

Commission, the U.S. Census, nor the 

SBA have developed a definition for 

Carrier RespOrgs. Accordingly, the 

Commission believes that the closest 

NAICS code-based definitional 

categories for Carrier RespOrgs are 

Wired Telecommunications Carriers 160

and Wireless Telecommunications 

Carriers (except satellite).161

58. The U.S. Census Bureau defines 

Wired Telecommunications Carriers as 

establishments primarily engaged in 

operating and/or providing access to 

transmission facilities and infrastructure 

that they own and/or lease for the 

transmission of voice, data, text, sound, 

and video using wired communications 

networks. Transmission facilities may 

be based on a single technology or a 

combination of technologies. 

Establishments in this industry use the 

wired telecommunications network 

facilities that they operate to provide a 

variety of services, such as wired 

telephony services, including VoIP 

services, wired (cable) audio and video 

programming distribution, and wired 

broadband internet services. By 

exception, establishments providing 

satellite television distribution services 

using facilities and infrastructure that 

they operate are included in this 

industry.162 The SBA has developed a 

small business size standard for Wired 

Telecommunications Carriers, which 

consists of all such companies having 

1,500 or fewer employees.163 Census 

data for 2012 show that there were 3,117 

Wired Telecommunications Carrier 

firms that operated for that entire year. 

Of that number, 3,083 operated with 

less than 1,000 employees.164 Based on 

that data, we conclude that most Carrier 

RespOrgs that operated with wirelinebased technology are small. 

59. The U.S. Census Bureau defines 

Wireless Telecommunications Carriers 

(except satellite) as establishments 

engaged in operating and maintaining 

switching and transmission facilities to 

provide communications via the 

airwaves, such as cellular services, 

paging services, wireless internet access, 

and wireless video services.165 The 

appropriate size standard under SBA 

rules is that such a business is small if 

it has 1,500 or fewer employees.166

Census data for 2012 show that 967 

Wireless Telecommunications Carriers 

operated in that year. Of that number, 

955 operated with less than 1,000 

employees.167 Based on that data, we 

conclude that most Carrier RespOrgs 

that operated with wireless-based 

technology are small. 

60. Non-Carrier RespOrgs. Neither the 

Commission, the Census, nor the SBA 

have developed a definition of NonCarrier RespOrgs. Accordingly, the 

Commission believes that the closest 

NAICS code-based definitional 

categories for Non-Carrier RespOrgs are 

‘‘Other Services Related To 

Advertising’’ 168 and ‘‘Other 

Management Consulting Services.’’ 169


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47094 Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 

170http://www.census,gov/cgi-bin/sssd/ 

naics.naicsrch. 

171 13 CFR 120.201, NAICS code 541890. 

172http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ4&prodType=table. 

173http://www.census.gov/cgi-bin/sssd/ 

naics.naicsrch. 

174 13 CFR 120.201, NAICS code 514618. 

175http://factfinder.census.gov/faces/ 

tableservices/jsf/pages/productview.xhtml?

pid=ECN_2012_US_51SSSZ4&prodType=table. 

176The four NAICS code-based categories 

selected above to provide definitions for Carrier and 

Non-Carrier RespOrgs were selected because as a 

group they refer generically and comprehensively to 

all RespOrgs. Therefore, all RespOrgs, including 

those not identified specifically or individually, 

must comply with the rules adopted in the 

Regulatory Fees Report and Order associated with 

this Final Regulatory Flexibility Analysis. 

177Email from Jennifer Blanchard, Somos, July 1, 

2016. 

178 5 U.S.C. 603(c)(1)–(c)(4). 

61. The U.S. Census defines Other 

Services Related to Advertising as 

comprising establishments primarily 

engaged in providing advertising 

services (except advertising agency 

services, public relations agency 

services, media buying agency services, 

media representative services, display 

advertising services, direct mail 

advertising services, advertising 

material distribution services, and 

marketing consulting services.170 The 

SBA has established a size standard for 

this industry as annual receipts of $15 

million dollars or less.171 Census data 

for 2012 show that 5,804 firms operated 

in this industry for the entire year. Of 

that number, 5,249 operated with 

annual receipts of less than $10 

million.172 Based on that data we 

conclude that most Non-Carrier 

RespOrgs who provide TFN-related 

advertising services are small. 

62. The U.S. Census defines Other 

Management Consulting Services as 

establishments primarily engaged in 

providing management consulting 

services (except administrative and 

general management consulting; human 

resources consulting; marketing 

consulting; or process, physical 

distribution, and logistics consulting). 

Establishments providing 

telecommunications or utilities 

management consulting services are 

included in this industry.173 The SBA 

has established a size standard for this 

industry of $15 million dollars or 

less.174 Census data for 2012 show that 

3,683 firms operated in this industry for 

that entire year. Of that number, 3,632 

operated with less than $10 million in 

annual receipts.175 Based on this data, 

we conclude that most non-carrier 

RespOrgs who provide TFN-related 

management consulting services are 

small.176

63. In addition to the data contained 

in the four (see above) U.S. Census 

NAICS code categories that provide 

definitions of what services and 

functions the Carrier and Non-Carrier 

RespOrgs provide, Somos, the trade 

association that monitors RespOrg 

activities, compiled data showing that 

as of July 1, 2016, there were 23 

RespOrgs operational in Canada and 436 

RespOrgs operational in the United 

States, for a total of 459 RespOrgs 

currently registered with Somos.177

D. Description of Projected Reporting, 

Recordkeeping and Other Compliance 

Requirements 

64. This Report and Order does not 

adopt any new reporting, recordkeeping, 

or other compliance requirements. 

E. Steps Taken To Minimize Significant 

Economic Impact on Small Entities and 

Significant Alternatives Considered 

65. The RFA requires an agency to 

describe any significant alternatives that 

it has considered in reaching its 

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.178

66. This Report and Order adopts the 

proposals in the Notice of Proposed 

Rulemaking to collect $322,035,000 in 

regulatory fees for FY 2018, as detailed 

in the fee schedules in Table 4, 

including an increase in the DBS fee 

rate to 48 cents per subscriber so that 

the DBS fee would approach the cable 

television/IPTV fee, based on the Media 

Bureau FTEs devoted to issues that 

include DBS. The two DBS providers 

are not small entities. The regulatory 

fees adopted do not include any new fee 

categories, except for the addition of 

non-common carrier terrestrial 

international bearer circuits to the 

regulatory fee category of international 

bearer circuits, that previously did not 

pay regulatory fees. To the extent such 

providers are small entities, the rates for 

smaller numbers of circuits would be 

lower than the rates for larger quantity 

of circuits and, in addition, the de 

minimis of $1,000 would likely exempt 

the smaller entities from paying annual 

regulatory fees. 

67. In keeping with the requirements 

of the Regulatory Flexibility Act, we 

have considered certain alternative 

means of mitigating the effects of fee 

increases to a particular industry 

segment. For example, the Commission 

has increased the de minimis threshold 

to $1,000, which will impact many 

small entities that pay regulatory fees. 

This increase in the de minimis 

threshold to $1,000 will relieve 

regulatees both financially and 

administratively. Regulatees may also 

seek waivers or other relief on the basis 

of financial hardship. See 47 CFR 

1.1166. 

F. Federal Rules That May Duplicate, 

Overlap, or Conflict 

68. None. 

IX. Ordering Clauses 

69. Accordingly, it is ordered that, 

pursuant to Section 9 (a), (b), (e), (f), and 

(g) of the Communications Act of 1934, 

as amended, 47 U.S.C. 159(a), (b), (e), 

(f), and (g), this Report and Order is 

hereby adopted. 

70. It is further ordered that, pursuant 

to Division P—RAY BAUM’s Act of 

2018, Title I, 101–103, Consolidated 

Appropriations Act, 2018, Public Law 

Number 115–141, 132 Stat. 1084, (2018), 

the Order in Section V is hereby 

adopted. 

71. It is further ordered that the 

Report and Order in Section IV shall be 

effective upon publication in the 

Federal Register. 

72. It is further ordered that the Order 

in Section V shall be effective on 

October 1, 2018. 

73. It is further ordered that the 

Commission’s Consumer & 

Governmental Affairs Bureau, Reference 

Information Center, shall send a copy of 

this Report and Order, including the 

Final Regulatory Flexibility Analysis in 

this Report and Order, to the Chief 

Counsel for Advocacy of the U.S. Small 

Business Administration. 

List of Subjects in 47 CFR Part 1 

Administrative practice and 

procedure. 

Federal Communications Commission. 

Marlene Dortch, 

Secretary. 

Final Rules 

For the reasons discussed in the 

preamble, the Federal Communications 

Commission amends 47 CFR part 1 as 

follows: 


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Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 47095 

PART 1—PRACTICE AND 

PROCEDURE 

■ 1. The authority citation for part 1 is 

revised to read as follows: 

Authority: 47 U.S.C. 151, 154(i), 155, 157, 

160, 201, 225, 227, 303, 309, 332, 1403, 1404, 

1451, 1452, and 1455; Sec. 102(c), Div. P, 

Public Law 115–141, 132 Stat. 1084, unless 

otherwise noted. 

■ 2. Section 1.1152 is revised to read as 

follows: 

§ 1.1152 Schedule of annual regulatory 

fees for wireless radio services. 

Exclusive use services (per license) Fee amount 1

1. Land Mobile (Above 470 MHz and 220 MHz Local, Base Station & SMRS) (47 CFR part 90): 

(a) New, Renew/Mod (FCC 601 & 159) ................................................................................................................................... $25.00 

(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ..................................................................................................... 25.00 

(c) Renewal Only (FCC 601 & 159) ......................................................................................................................................... 25.00 

(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ........................................................................................................... 25.00 

220 MHz Nationwide: 

(a) New, Renew/Mod (FCC 601 & 159) ................................................................................................................................... 25.00 

(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ..................................................................................................... 25.00 

(c) Renewal Only (FCC 601 & 159) ......................................................................................................................................... 25.00 

(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ........................................................................................................... 25.00 

2. Microwave (47 CFR Pt. 101) (Private): 

(a) New, Renew/Mod (FCC 601 & 159) ................................................................................................................................... 25.00 

(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ..................................................................................................... 25.00 

(c) Renewal Only (FCC 601 & 159) ......................................................................................................................................... 25.00 

(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ........................................................................................................... 25.00 

3. Shared Use Services Land Mobile (Frequencies Below 470 MHz—except 220 MHz): 

(a) New, Renew/Mod (FCC 601 & 159) ................................................................................................................................... 10.00 

(b) New, Renew/Mod (Electronic Filing) (FCC 601 & 159) ..................................................................................................... 10.00 

(c) Renewal Only (FCC 601 & 159) ......................................................................................................................................... 10.00 

(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ........................................................................................................... 10.00 

Rural Radio (Part 22): 

(a) New, Additional Facility, Major Renew/Mod (Electronic Filing) (FCC 601 & 159) ............................................................. 10.00 

(b) Renewal, Minor Renew/Mod (Electronic Filing) (FCC 601 & 159) Marine Coast .............................................................. 10.00 

Marine Coast (per license) (47 CFR part 80): 

(a) New Renewal/Mod (FCC 601 & 159) ................................................................................................................................. 40.00 

(b) New, Renewal/Mod (Electronic Filing) (FCC 601 & 159) ................................................................................................... 40.00 

(c) Renewal Only (FCC 601 & 159) ......................................................................................................................................... 40.00 

(d) Renewal Only (Electronic Filing) (FCC 601 & 159) ........................................................................................................... 40.00 

Aviation Ground: 

(a) New, Renewal/Mod (FCC 601 & 159) ................................................................................................................................ 20.00 

(b) New, Renewal/Mod (Electronic Filing) (FCC 601 & 159) ................................................................................................... 20.00 

(c) Renewal Only (FCC 601 & 159) ......................................................................................................................................... 20.00 

(d) Renewal Only (Electronic Only) (FCC 601 & 159) ............................................................................................................. 20.00 

Marine Ship: 

(a) New, Renewal/Mod (FCC 605 & 159) ................................................................................................................................ 15.00 

(b) New, Renewal/Mod (Electronic Filing) (FCC 605 & 159) ................................................................................................... 15.00 

(c) Renewal Only (FCC 605 & 159) ......................................................................................................................................... 15.00 

(d) Renewal Only (Electronic Filing) (FCC 605 & 159) ........................................................................................................... 15.00 

Aviation Aircraft: 

(a) New, Renew/Mod (FCC 605 & 159) ................................................................................................................................... 10.00 

(b) New, Renew/Mod (Electronic Filing) (FCC 605 & 159) ..................................................................................................... 10.00 

(c) Renewal Only (FCC 605 & 159) ......................................................................................................................................... 10.00 

(d) Renewal Only (Electronic Filing) (FCC 605 & 159) ........................................................................................................... 10.00 

4. CMRS Cellular/Mobile Services (per unit) (FCC 159) ................................................................................................................ 2 .20 

5. CMRS Messaging Services (per unit) (FCC 159) ....................................................................................................................... 3.08 

6. Broadband Radio Service (formerly MMDS and MDS) .............................................................................................................. 600 

7. Local Multipoint Distribution Service ........................................................................................................................................... 600 

1 Note that ‘‘small fees’’ are collected in advance for the entire license term. Therefore, the annual fee amount shown in this table that is a 

small fee (categories 1 through 5) must be multiplied by the 10-year license term to arrive at the total amount of regulatory fees owed. Also, application fees may apply as detailed in § 1.1102. 2These are standard fees that are to be paid in accordance with § 1.1157(b). 

3These are standard fees that are to be paid in accordance with § 1.1157(b). 

■ 3. Section 1.1153 is revised to read as 

follows: 

§ 1.1153 Schedule of annual regulatory 

fees and filing locations for mass media 

services. 

Fee amount 

Radio [AM and FM] (47 CFR part 73) 

1. AM Class A: 

<=25,000 population ................................................................................................................................................................. $880 

25,001–75,000 population ........................................................................................................................................................ 1,325 

75,001–150,000 population ...................................................................................................................................................... 1,975 

150,001–500,000 population .................................................................................................................................................... 2,975 


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47096 Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 

Fee amount 

500,001–1,200,000 population ................................................................................................................................................. 4,450 

1,200,001–3,000,000 population .............................................................................................................................................. 6,700 

3,000,001–6,000,000 population .............................................................................................................................................. 10,025 

>6,000,000 population .............................................................................................................................................................. 15,050 

2. AM Class B: 

<=25,000 population ................................................................................................................................................................. 635 

25,001–75,000 population ........................................................................................................................................................ 950 

75,001–150,000 population ...................................................................................................................................................... 1,425 

150,001–500,000 population .................................................................................................................................................... 2,150 

500,001–1,200,000 population ................................................................................................................................................. 3,225 

1,200,001–3,000,000 population .............................................................................................................................................. 4,825 

3,000,001–6,000,000 population .............................................................................................................................................. 7,225 

>6,000,000 population .............................................................................................................................................................. 10,850 

3. AM Class C: 

<=25,000 population ................................................................................................................................................................. 550 

25,001–75,000 population ........................................................................................................................................................ 825 

75,001–150,000 population ...................................................................................................................................................... 1,250 

150,001–500,000 population .................................................................................................................................................... 1,850 

500,001–1,200,000 population ................................................................................................................................................. 2,775 

1,200,001–3,000,000 population .............................................................................................................................................. 4,175 

3,000,001–6,000,000 population .............................................................................................................................................. 6,275 

>6,000,000 population .............................................................................................................................................................. 9,400 

4. AM Class D: 

<=25,000 population ................................................................................................................................................................. 605 

25,001–75,000 population ........................................................................................................................................................ 910 

75,001–150,000 population ...................................................................................................................................................... 1,350 

150,001–500,000 population .................................................................................................................................................... 2,050 

500,001–1,200,000 population ................................................................................................................................................. 3,050 

1,200,001–3,000,000 population .............................................................................................................................................. 4,600 

3,000,001–6,000,000 population .............................................................................................................................................. 6,900 

>6,000,000 population .............................................................................................................................................................. 10,325 

5. AM Construction Permit .............................................................................................................................................................. 550 

6. FM Classes A, B1 and C3: 

<=25,000 population ................................................................................................................................................................. 965 

25,001–75,000 population ........................................................................................................................................................ 1,450 

75,001–150,000 population ...................................................................................................................................................... 2,175 

150,001–500,000 population .................................................................................................................................................... 3,250 

500,001–1,200,000 population ................................................................................................................................................. 4,875 

1,200,001–3,000,000 population .............................................................................................................................................. 7,325 

3,000,001–6,000,000 population .............................................................................................................................................. 11,000 

>6,000,000 population .............................................................................................................................................................. 16,500 

7. FM Classes B, C, C0, C1 and C2: 

<=25,000 population ................................................................................................................................................................. 1,100 

25,001–75,000 population ........................................................................................................................................................ 1,650 

75,001–150,000 population ...................................................................................................................................................... 2,475 

150,001–500,000 population .................................................................................................................................................... 3,725 

500,001–1,200,000 population ................................................................................................................................................. 5,575 

1,200,001–3,000,000 population .............................................................................................................................................. 8,350 

3,000,001–6,000,000 population .............................................................................................................................................. 12,525 

>6,000,000 population .............................................................................................................................................................. 18,800 

8. FM Construction Permits ............................................................................................................................................................. 965 

TV (47 CFR part 73) 

Digital TV (UHF and VHF Commercial Stations): 

1. Markets 1 thru 10 ................................................................................................................................................................. 49,750 

2. Markets 11 thru 25 ............................................................................................................................................................... 37,450 

3. Markets 26 thru 50 ............................................................................................................................................................... 25,025 

4. Markets 51 thru 100 ............................................................................................................................................................. 12,475 

5. Remaining Markets .............................................................................................................................................................. 4,100 

6. Construction Permits ............................................................................................................................................................ 4,100 

Satellite UHF/VHF Commercial: 

1. All Markets ............................................................................................................................................................................ 1,500 

Low Power TV, Class A TV, TV/FMTranslator, & TV/FM Booster (47 CFR part 74) ............................................................. 380 

■ 4. Section 1.1154 is revised to read as 

follows: 

§ 1.1154 Schedule of annual regulatory 

charges for common carrier services. 

Radio facilities Fee amount 

1. Microwave (Domestic Public Fixed) (Electronic Filing) (FCC Form 601 & 159) ....................................................... $25.00. 


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Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations 47097 

Radio facilities Fee amount 

Carriers: 

1. Interstate Telephone Service Providers (per interstate and international end-user revenues (see FCC Form 

499–A).

$.00291. 

2. Toll Free Number Fee ......................................................................................................................................... $.10 per Toll Free Number. 

■ 5. Section 1.1155 is revised to read as 

follows: 

§ 1.1155 Schedule of regulatory fees for 

cable television services. 

1. Cable Television Relay Service ................................................................................................................................. $1,075. 

2. Cable TV System, Including IPTV (per subscriber) ................................................................................................... $.77. 

3. Direct Broadcast Satellite (DBS) ................................................................................................................................ $.48 per subscriber. 

■ 6. Section 1.1156 is revised to read as 

follows: 

§ 1.1156 Schedule of regulatory fees for 

international services. 

(a) Geostationary Orbit (GSO) and 

Non-Geostationary Orbit (NGSO) Space 

Stations. The following schedule 

applies for the listed services: 

Fee category Fee amount 

Space Stations (Geostationary Orbit) .............................................................................................................................................. $127,850 

Space Stations (Non-Geostationary Orbit) ...................................................................................................................................... 122,775 

Earth Stations: Transmit/Receive & Transmit only (per authorization or registration) ................................................................... 325 

(b) International Terrestrial and 

Satellite. (1) Regulatory fees for 

International Bearer Circuits are to be 

paid by facilities-based common carriers 

and non-common carrier basis that have 

active (used or leased) international 

bearer circuits as of December 31 of the 

prior year in any terrestrial or satellite 

transmission facility for the provision of 

service to an end user or resale carrier, 

which includes active circuits to 

themselves or to their affiliates. ‘‘Active 

circuits’’ for these purposes include 

backup and redundant circuits. In 

addition, whether circuits are used 

specifically for voice or data is not 

relevant in determining that they are 

active circuits. 

(2) The fee amount on a per active 

Gbps basis will be determined for each 

fiscal year. 

International terrestrial and satellite (capacity as of December 31, 2017) Fee amount 

Terrestrial Common Carrier ............................................................................................................................................ $176 per Gbps Circuit. 

Terrestrial Non-Common Carrier. 

Satellite Common Carrier. 

Satellite Non-Common Carrier. 

(c) Submarine cable. Regulatory fees 

for submarine cable systems will be 

paid annually, per cable landing license, 

for all submarine cable systems 

operating as of December 31 of the prior 

year. The fee amount will be determined 

by the Commission for each fiscal year. 

Submarine cable systems (capacity as of Dec. 31, 2017) Fee amount 

<50 Gbps ......................................................................................................................................................................................... $9,850 

50 Gbps or greater, but less than 250 Gbps .................................................................................................................................. 19,725 

250 Gbps or greater, but less than 1,000 Gbps ............................................................................................................................. 39,425 

1,0000 Gbps or greater, but less than 4,000 Gbps ........................................................................................................................ 78,875 

4,000 Gbps or greater ..................................................................................................................................................................... 157,750 

■ 7. Section 1.1940(c) is revised to read 

as follows: 

§ 1.1940 Assessment. 

* * * * * 

(c) The Commission shall assess 

administrative costs incurred for 

processing and handling delinquent 

debts, unless otherwise prohibited by 

statute. The calculation of 

administrative costs may be based on 

actual costs incurred or upon estimated 

costs as determined by the Commission. 

Commission administrative costs 

include the personnel and service costs 

(e.g., telephone, copier, and overhead) 

to notify and collect the debt, without 

regard to the success of such efforts by 

the Commission. 

* * * * * 

[FR Doc. 2018–19548 Filed 9–17–18; 8:45 am] 

BILLING CODE 6712–01–P 

DEPARTMENT OF VETERANS 

AFFAIRS 

48 CFR Parts 844 and 845 

RIN 2900–AQ05 

VA Acquisition Regulation: 

Subcontracting Policies and 

Procedures; Government Property 

AGENCY: Department of Veterans Affairs. 

ACTION: Final rule. 


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