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Telecom Alert:3.45 GHz Band Coordination Procedures; 911 Vertical Location Information; $28K Penalty for Unauthorized Sale of Licenses; Budget Restrictions Waived for Rural Rate-of-Return Carriers [Vol. XVIII, Issue 23]

3.45 GHz Band Coordination Procedures

Last week, the FCC issued a Public Notice providing information and guidance on the coordination process for Auction 110 (Vol. XVIII, Issue 12), which will make 100 megahertz of spectrum in the 3.45-3.55 GHz band available for flexible use wireless services.  Before a 3.45 GHz licensee commences operations in the band, it must first successfully coordinate with the federal incumbents.  Unless a licensee and incumbent otherwise agree, no formal coordination requests may be submitted until nine months after the date of the auction closing Public Notice.  The incumbent must notify the licensee within ten calendar days after the request submission date that the request is complete or incomplete.  If the request is complete, the incumbent must provide a response to the request within sixty calendar days.  For more information, please contact Greg Kunkle (kunkle@khlaw.com; 202.434.4178).  

Wireless Carriers Commit to Deliver 911 Vertical Location Information

The FCC entered into Consent Decrees with AT&T, T-Mobile, and Verizon on June 3 that require carriers to start provide available z-axis location information on a nationwide basis within seven day.  In April, the FCC announced it had commenced an inquiry into these providers’ compliance with the FCC’s deadlines as well as the current capabilities of z-axis solutions (Vol. XVIII, Issue 14).  In addition to providing wireless 911 callers’ z-axis location information to 911 call centers, the Consent Decrees require these carriers to implement a Compliance Plan and pay a $100,000 settlement.  For more information, please contact Wes Wright (wright@khlaw.com; 202.434.4239). 

$28,000 Penalty for Unauthorized Sale of Wireless Licenses

The Enforcement Bureau entered into a Consent Decree with Broadband VI, LLC (“Broadband VI”) to resolve its review into whether Broadband VI violated the FCC’s rules pertaining to unauthorized transfers of control and assignments of licenses.  Broadband VI acquired Surge Communications, LLC (“Surge”) in February 2019.  The acquisition included interests in seven wireless radio licenses, and the parties did not obtain the required FCC approval before acquiring these wireless licenses.  In February 2020, the parties sought Commission consent to assign these licenses.  To resolve the FCC’s inquiry, Broadband VI agreed to implement a Compliance Plan and pay a $28,000 civil penalty.  For more information, please contact Greg Kunkle (kunkle@khlaw.com; 202.434.4178).

FCC Eases Budget Restrictions for Rural Rate-of-Return Carriers

The FCC issued an Order last week waiving, on its own motion, the application of the budget control mechanism for rate-of-return carriers that receive high-cost universal support from legacy mechanisms.  The Commission adopted an overall budget for High Cost Loop Support (“HCLS”) and Connect America Fund Broadband Loop Support (“CAF BLS”) in 2011, including a $2 billion annual budget for rate-of-return carriers.  The Commission subsequently adopted a budget control mechanism to enforce the rate-of-return budget by reducing HCLS and CAF BLS claims as necessary to meet the budget constraint.  The budget control adjustment factor for July 2021 to June 2022 was set at 8.58146%.  For more information, please contact Doug Jarrett (jarrett@khlaw.com; 202.434.4180).