80_FR_61020 80 FR 60825 - Assessment and Collection of Regulatory Fees for Fiscal Year 2015

80 FR 60825 - Assessment and Collection of Regulatory Fees for Fiscal Year 2015

FEDERAL COMMUNICATIONS COMMISSION

Federal Register Volume 80, Issue 195 (October 8, 2015)

Page Range60825-60831
FR Document2015-25578

In this document the Commission revises its Schedule of Regulatory Fees to recover an amount of $339,844,000 that Congress has required the Commission to collect for fiscal year 2015. 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.

Federal Register, Volume 80 Issue 195 (Thursday, October 8, 2015)
[Federal Register Volume 80, Number 195 (Thursday, October 8, 2015)]
[Proposed Rules]
[Pages 60825-60831]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-25578]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 1

[MD Docket No. 15-121; FCC 15-108]


Assessment and Collection of Regulatory Fees for Fiscal Year 2015

AGENCY: Federal Communications Commission.

ACTION: Proposed rule.

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SUMMARY: In this document the Commission revises its Schedule of 
Regulatory Fees to recover an amount of $339,844,000 that Congress has 
required the Commission to collect for fiscal year 2015. 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: Comments are due November 9, 2015 and Reply Comments are due 
December 7, 2015.

FOR FURTHER INFORMATION CONTACT: Roland Helvajian, Office of Managing 
Director at (202) 418-0444.

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's 
Further Notice of Proposed Rulemaking (FNPRM), FCC 15-108, MD Docket 
No. 15-121, adopted on September 1, 2015 and released on September 2, 
2015.

I. Administrative Matters

A. Initial Regulatory Flexibility Analysis

    1. As required by the Regulatory Flexibility Act of 1980 (RFA),\1\ 
the Commission has prepared an Initial Regulatory Flexibility Analysis 
(FRFA) relating to this Further Notice of Proposed Rulemaking.
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    \1\ See 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).
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B. Initial 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. Filing Instructions

    3. Pursuant to sections 1.415 and 1.419 of the Commission's rules, 
47 CFR 1.415, 1.419, interested parties may file comments and reply 
comments on or before the dates indicated on the first page of this 
document. Comments may be filed using the Commission's Electronic 
Comment Filing System (ECFS). See Electronic Filing of Documents in 
Rulemaking Proceedings, 63 FR 24121 (1998).
     Electronic Filers: Comments may be filed electronically 
using the Internet by accessing the ECFS.
     Paper Filers: Parties who choose to file by paper must 
file an original and one copy of each filing. If more than one docket 
or rulemaking number appears in the caption of this proceeding, filers 
must submit two additional copies for each additional docket or 
rulemaking number.
    [cir] Filings can be sent by hand or messenger delivery, by 
commercial overnight courier, or by first-class or overnight U.S. 
Postal Service mail. All filings must be addressed to the Commission's 
Secretary, Office of the Secretary, Federal Communications Commission.
    [cir] All hand-delivered or messenger-delivered paper filings for 
the Commission's Secretary must be delivered to FCC Headquarters at 445 
12th St. SW., Room TW-A325, Washington, DC 20554. The filing hours are 
8:00 a.m. to 7:00 p.m. All hand deliveries must be held together with 
rubber bands or fasteners. Any envelopes and boxes must be disposed of 
before entering the building.
    [cir] Commercial overnight mail (other than U.S. Postal Service 
Express Mail and Priority Mail) must be sent to 9300 East Hampton 
Drive, Capitol Heights, MD 20743.
    [cir] U.S. Postal Service first-class, Express, and Priority mail 
must be addressed to 445 12th Street SW., Washington, DC 20554.
    4. People with Disabilities: To request materials in accessible 
formats for people with disabilities (braille, large print, electronic 
files, audio format), send an email to [email protected] or call the 
Consumer & Governmental Affairs Bureau at 202-418-0530 (voice), 202-
418-0432 (tty).

D. Ex Parte Information

    5. This proceeding shall be treated as a ``permit-but-disclose'' 
proceeding in accordance with the Commission's ex parte rules. Persons 
making ex parte presentations must file a copy of any written 
presentation or a memorandum summarizing any oral presentation within 
two business days after the presentation (unless a different deadline 
applicable to the Sunshine period applies). Persons making oral ex 
parte presentations are reminded that memoranda summarizing the 
presentation must list all persons attending or otherwise participating 
in the meeting at which the ex parte presentation was made, and 
summarize all data presented and arguments made

[[Page 60826]]

during the presentation. If the presentation consisted in whole or in 
part of the presentation of data or arguments already reflected in the 
presenter's written comments, memoranda, or other filings in the 
proceeding, the presenter may provide citations to such data or 
arguments in his or her prior comments, memoranda, or other filings 
(specifying the relevant page and/or paragraph numbers where such data 
or arguments can be found) in lieu of summarizing them in the 
memorandum. Documents shown or given to Commission staff during ex 
parte meetings are deemed to be written ex parte presentations and must 
be filed consistent with Sec.  1.1206(b). In proceedings governed by 
Sec.  1.49(f) or for which the Commission has made available a method 
of electronic filing, written ex parte presentations and memoranda 
summarizing oral ex parte presentations, and all attachments thereto, 
must be filed through the electronic comment filing system available 
for that proceeding, and must be filed in their native format (e.g., 
.doc, .xml, .ppt, searchable .pdf). Participants in this proceeding 
should familiarize themselves with the Commission's ex parte rules.

II. Introduction and Executive Summary

    6. In the Further Notice of Proposed Rulemaking in this docket, we 
seek further comment on changes to our methodology in calculating 
regulatory fees for AM and FM broadcast radio and on reallocating FTEs 
from the Wireline Competition Bureau working on numbering and universal 
service issues.

III. Background

    7. Congress adopted a regulatory fee schedule in 1993 \2\ and 
authorized the Commission to assess and collect annual regulatory fees 
pursuant to the schedule, as amended by the Commission.\3\ As a result, 
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 decrease to the schedule of 
regulatory fees.\4\ The Commission makes changes to the regulatory fee 
schedule ``if the Commission determines that the schedule requires 
amendment to comply with the requirements'' \5\ of section 9(b)(1)(A) 
of the Act.\6\ The Commission may also add, delete, or reclassify 
services in the fee schedule to reflect additions, deletions, or 
changes in the nature of its services ``as a consequence of Commission 
rulemaking proceedings or changes in law.'' Thus, for each fiscal year, 
the proposed fee schedule in the annual Notice of Proposed Rulemaking 
(NPRM) will reflect changes in the amount appropriated for the 
performance of the FCC's regulatory activities, changes in the 
industries represented by the regulatory fee payers, changes in 
Commission FTE levels, and any other issues of relevance to the 
proposed fee schedule.\7\ After receipt and review of comments, the 
Commission issues a Report and Order adopting the fee schedule for the 
fiscal year and sets out the procedures for payment of fees.
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    \2\ 47 U.S.C. 159 (g) (showing original fee schedule prior to 
Commission amendment).
    \3\ 47 U.S.C. 159
    \4\ 47 U.S.C. 159(b)(1)(B).
    \5\ 47 U.S.C. 159(b)(2).
    \6\ 47 U.S.C. 159(b)(1)(A).
    \7\ Section 9(b)(2) discusses mandatory amendments to the fee 
schedule and Section 9(b)(3) discusses permissive amendments to the 
fee schedule. Both mandatory and permissive amendments are not 
subject to judicial review. 47 U.S.C. 159(b)(2) and (3).
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IV. Further Notice of Proposed Rulemaking

A. Broadcasters' Regulatory Fees

    8. In the FY 2015 NPRM, we sought comment on whether the Commission 
should review the apportionment of regulatory fees among broadcasters. 
We sought comment on whether the Commission should reexamine the number 
of FTEs devoted to the regulation of radio versus television 
broadcasters and adjust the fee paid by radio and television 
broadcasters to more accurately take into account factors related to 
``the benefits provided to the payor of the fee by the Commission's 
activities.'' \8\ NAB filed comments in support of our effort to better 
align fees with the FTEs working on broadcast issues, but observes that 
we have not yet provided information about the relevant FTEs.\9\ We 
have reviewed the categories of work performed by FTEs in the Media 
Bureau, in order to provide further information for commenters on this 
issue. The Media Bureau, consisting of 169 FTEs, develops, recommends, 
and administers the policy and licensing programs for electronic media, 
including cable television, broadcast television, and radio in the 
United States and its territories, and also handles post-licensing 
matters regarding DBS service. The Media Bureau has 25 FTEs in the 
bureau front office, (including staff assigned to Bureau-wide 
administrative support), 51 in the Audio Division, 27 in the Industry 
Analysis Division, 13 in Engineering Division, 29 in the Policy 
Division, and 24 in the Video Division. Some of these FTEs may be 
categorized as auctions-funded, depending on the Commission's auctions 
schedule. All of the Engineering Division FTEs work on cable issues, 
and some FTEs from the Policy and Industry Analysis Divisions also work 
on cable issues. Of the 52 FTEs in the Audio Division, approximately 42 
are assigned to FM and 10 to AM. The 25 FTEs in the Video Division work 
on television issues. We seek further comment on whether and how to 
reform our regulatory fee assessments for broadcasters.
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    \8\ 47 U.S.C. 159(b)(1)(A) (providing for adjustment of the FTE 
allocation 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 such factors as service area 
coverage, shared use versus exclusive use, and other factors that 
the Commission determines are necessary in the public interest.'').
    \9\ NAB Comments at 2.
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    9. The Commission assesses regulatory fees on radio broadcasters 
based on type and class of service and on the population they serve. 
Earlier this year we sought comment on whether the dividing points for 
higher fee levels for both television and radio broadcasters remain 
appropriate and observed that ``no single ratio apportions regulatory 
fees among AM and FM radio categories.'' \10\ We seek further comment 
on rationalizing the regulatory fee table for radio broadcasters. 
First, we seek input on including a higher population row in the table, 
dividing radio broadcasters that serve 3,000,001-6,000,000 people from 
those that serve more. Second, we seek input on standardizing the 
incremental increase in fees as radio broadcasters increase the 
population they serve, such as by requiring that fee adjustments 
between tiers monotonically increase as the population served 
increases. Third, we seek input on consistently assessing fees based on 
the relative type and class of service, such as by assessing FM class 
B, C, C0, C1, & C2 stations at twice the rate of AM class C stations, 
and FM class A, B1, & C3 stations assessed at 75 percent more than AM 
class C stations. For AM stations, we seek comment on assessing AM 
class A stations at 60 percent more, AM class B stations at 15 percent 
more, and AM class D stations at 10 percent more than AM class C 
stations (i.e., at roughly the relative rates assessed today). Taking 
these options together, we seek comment on the following potential 
table of regulatory fees for radio broadcasters.
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    \10\ FY 2015 NPRM, 30 FCC Rcd at 5359, para. 13.

[[Page 60827]]



                                                         Proposed Radio Station Regulatory Fees
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                                                                                                                           FM Classes A,   FM Classes B,
                    Population served                       AM Class A      AM Class B      AM Class C      AM Class D        B1 & C3     C, C0, C1 & C2
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<=25,000................................................            $910            $655            $570            $625          $1,000          $1,140
25,001-75,000...........................................           1,370             985             855             940           1,495           1,710
75,001-150,000..........................................           1,825           1,310           1,140           1,255           1,995           2,280
150,001-500,000.........................................           2,735           1,965           1,710           1,880           2,995           3,420
500,001-1,200,000.......................................           4,560           3,280           2,850           3,135           4,990           5,700
1,200,001-3,000,000.....................................           6,840           4,915           4,275           4,705           7,480           8,550
3,000,001-6,000,000.....................................           9,120           6,555           5,700           6,270           9,975          11,400
>6,000,000..............................................          11,400           8,195           7,125           7,840          12,470          14,250
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    10. The Commission assesses regulatory fees on television 
broadcasters based on the markets they serve (1-10:11-25:26-50:51-100: 
Remaining Market). Before the Commission combined the VHF and UHF 
regulatory fee categories, the ratio of regulatory fees for VHF 
stations (then considered the most valuable stations) was roughly 
14:11:7:4:1. Today, it is roughly 10:9:6:3:1. We seek comment on 
readjusting the table to restore the traditional determination that Top 
10 stations should pay about twice what stations in markets 26-50 pay 
(that is, the new ratios would be 12:9:6:3:1). With this change, and 
adjusting to recover the same total regulatory fees as television 
broadcasters pay today, we seek comment on the following potential 
table of regulatory fees for television broadcasters.

------------------------------------------------------------------------
 Digital TV (47 CFR part 73) VHF and UHF
               commercial                     Before           After
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Markets 1-10............................         $46,825         $55,025
Markets 11-25...........................          43,200          41,270
Markets 26-50...........................          27,625          27,515
Markets 51-100..........................          16,275          13,755
Remaining Markets.......................           4,850           4,585
Construction Permits....................           4,850           4,585
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    11. NAB also observes that after the spectrum incentive auction 
there may be fewer television stations, resulting in material changes 
in the regulatory fee apportionment among the remaining stations.\11\ 
We seek comment on whether, when, and how the Commission should adjust 
its methodology for assessing regulatory fees on televisions stations, 
to respond to such potential changed circumstances consistent with the 
provisions of Section 9 of the Communications Act.
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    \11\ NAB Comments at 7-9.
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B. ITTA's Proposals To Reallocate FTEs

    12. ITTA has suggested that we should consider all cross-cutting 
work throughout the Commission, not just in the International Bureau, 
and we should re-assign certain Wireline Competition Bureau FTEs for 
regulatory fee purposes.\12\ ITTA contends that the Commission should 
make appropriate adjustments to its regulatory fee structure to reflect 
that the work of the Wireline Competition Bureau is no longer primarily 
focused on ITSPs.\13\ According to ITTA, resources expended by Wireline 
Competition Bureau FTEs increasingly benefit other industry 
sectors.\14\ ITTA argues that the Commission's efforts to modernize the 
Lifeline program and to conduct a comprehensive analysis of the special 
access marketplace, for example, generate significant benefits for 
entities that do not pay regulatory fees as ITSPs.\15\
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    \12\ ITTA Comments at 2-5.
    \13\ Id. at 3-4.
    \14\ Id. at 4.
    \15\ Id. at 4-5.
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    13. ITTA has previously proposed that we combine wireless providers 
into the ITSP fee category so that all voice providers pay regulatory 
fees on the same basis.\16\ ITTA continues to endorse this approach and 
contends that such action would be consistent with the Commission's 
decision to incorporate interconnected VoIP providers into the ITSP fee 
category to ensure that such providers are paying their share of 
regulatory fees in connection with the Commission's oversight of voice 
services.\17\
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    \16\ Id. at 3.
    \17\ Id.
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    14. We recognize that there is substantial convergence in the 
telecommunications industry and organizational changes in the 
Commission that may support additional FTE reallocations as ITTA 
contends. Wireless providers are not subject to all of the regulations 
and requirements imposed on ITSPs. However, there are certain rules 
(e.g., universal service), that wireless and wireline services benefit 
from and the Wireline Competition Bureau FTEs provide the oversight and 
regulation of the industry in these areas.\18\ We seek comment on 
ITTA's proposals to (i) combine wireless voice and wireline services 
into the ITSP category and, alternatively, to (ii) re-assign certain 
Wireline Competition Bureau FTEs as indirect for regulatory fee 
purposes. Concerning any reassignment of direct FTEs, we seek comment 
on whether it is reasonable and consistent with section 9 of the Act to 
readjust the assignment of FTEs in the bureau and if the record 
demonstrates the clearest case for reassignment.\19\
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    \18\ 47 CFR 54.900 et seq.
    \19\ FY 2013 Report and Order, 28 FCC Rcd at 12357-58, para. 19.
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    15. Commenters supporting ITTA's proposals should also explain: How 
wireless voice services and wireline services can be combined 
(currently wireless regulatory fees are calculated per subscriber and 
ITSP fees are based on revenues) and how we would determine which and 
how many Wireline Competition Bureau FTEs to reassign as indirect. We 
note that, as ITTA observes, certain issues handled

[[Page 60828]]

in the Wireline Competition Bureau benefit wireless providers, and that 
argument could support reassigning certain Wireline Competition Bureau 
FTEs as Wireless Telecommunications Bureau FTEs for regulatory fee 
purposes.\20\ For example, given the amount of Universal Service 
Lifeline Support distributed to wireless providers, should FTEs who 
work on issues related to such providers be allocated the Wireless 
Telecommunications Bureau for regulatory fee calculations? \21\ 
Alternatively, we also seek comment on adopting a new fee category for 
wireless providers, as a subcategory of the ITSP regulatory fee 
category, based on a percentage Wireline Competition Bureau FTE work 
devoted to work related to these wireless regulatees.\22\
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    \20\ Based on staff analysis, approximately 10 FTEs work on 
high-cost issues, 4 FTEs work on Lifeline issues, 9 FTEs work on E-
rate issues, and 4 FTEs work on Rural Health Care issues. In 
addition approximately 14 FTEs work on numbering issues and/or 
special access.
    \21\ Wireless providers received an estimated $1.4 billion in 
Lifeline disbursements in 2014.
    \22\ See, e.g., FY 2014 NPRM, 29 FCC Rcd at 10782-84, paras. 38-
43.
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V. Regulatory Flexibility Analysis

Initial Regulatory Flexibility Analysis

    16. As required by the Regulatory Flexibility Act (RFA),\23\ the 
Commission prepared this Initial Regulatory Flexibility Analysis (IRFA) 
of the possible significant economic impact on small entities by the 
policies and rules proposed in the Further Notice of Proposed 
Rulemaking (Further Notice). Written comments are requested on this 
IRFA. Comments must be identified as responses to the IRFA and must be 
filed by the deadline for comments on this Further Notice. The 
Commission will send a copy of the Further Notice, including the IRFA, 
to the Chief Counsel for Advocacy of the Small Business Administration 
(SBA).\24\ In addition, the Further Notice and IRFA (or summaries 
thereof) will be published in the Federal Register.\25\
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    \23\ 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), Pub. L. 104-121, Title II, 110 Stat. 847 (1996).
    \24\ 5 U.S.C. 603(a).
    \25\ Id.
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A. Need for, and Objectives of, the Notice

    17. The Further Notice seeks comment regarding adjusting the 
regulatory fees paid by broadcasters, for radio and television. 
Specifically, the Commission seeks comment on the extent of FTEs that 
work on video, cable, DBS, and radio services, and whether the current 
proportion of fees paid by these various fee categories associated with 
these services are still accurate. The level of FTE activity on these 
media services determines the proportion of fees to be paid by each 
media service fee category, which in turn is used to calculate the fee 
amount for each fee category.

B. Legal Basis

    18. This action, including publication of proposed rules, is 
authorized under Sections (4)(i) and (j), 9, and 303(r) of the 
Communications Act of 1934, as amended.\26\
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    \26\ 47 U.S.C. 154(i) and (j), 159, and 303(r).
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C. Description and Estimate of the Number of Small Entities to Which 
the Rules Will Apply

    19. 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.\27\ The RFA 
generally defines the term ``small entity'' as having the same meaning 
as the terms ``small business,'' ``small organization,'' and ``small 
governmental jurisdiction.'' \28\ In addition, the term ``small 
business'' has the same meaning as the term ``small business concern'' 
under the Small Business Act.\29\ 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.\30\
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    \27\ 5 U.S.C. 603(b)(3).
    \28\ 5 U.S.C. 601(6).
    \29\ 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.''
    \30\ 15 U.S.C. 632.
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    20. Small Entities. Our actions, over time, may affect small 
entities that are not easily categorized at present. We therefore 
describe here, at the outset, three comprehensive small entity size 
standards that could be directly affected by the proposals under 
consideration.\1\ As of 2009, small businesses represented 99.9 percent 
of the 27.5 million businesses in the United States, according to the 
SBA.\2\ In addition, a ``small organization is generally any not-for-
profit enterprise which is independently owned and operated and not 
dominant in its field.\3\ Nationwide, as of 2007, there were 
approximately 1,621,215 small organizations.\4\ Finally the term 
``small governmental jurisdiction'' is defined generally as 
``governments of cities, towns, townships, villages, school districts, 
or special districts, with a population of less than fifty thousand.\5\ 
Census Bureau data for 2011 indicate that there were 90,056 local 
governmental jurisdictions in the United States.\6\ We estimate that, 
of this total, as many as 89,327 entities may qualify as ``small 
governmental jurisdictions.'' \7\ Thus, we estimate that most local 
government jurisdictions are small.
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    \1\ See 5 U.S.C. 601(3)-(6).
    \2\ See SBA, Office of Advocacy, ``Frequently Asked Questions'', 
available at http://www.sba.gov/faqs/faqindex.cfm?arealD=24.
    \3\ 5 U.S.C. 601(4).
    \4\ See Independent Sector, The New Nonprofit Almanac and Desk 
Reference (2010).
    \5\ 5 U.S.C. 601(5).
    \6\ See SBA, Office of Advocacy, ``Frequently Asked Questions,'' 
available at http.www.sba.gov/sites/default/files.FAQMarch201_Opdf.
    \7\ The 2011 Census Data for small governmental organizations 
are not presented based on the size of the population in each 
organization. As stated above, there were 90,056 local governmental 
organizations in 2011. As a basis for estimating how many of these 
90,056 local organizations were small, we note that there were a 
total of 729 cities and towns (incorporated places and civil 
divisions) with populations over 50,000. See http://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?src=bkmk. If we subtract the 729 cities and towns 
that exceed the 50,000 population threshold, we conclude that 
approximately 789, 237 are small.
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    21. 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. 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.'' \8\ 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.\9\ Census data for 2007 
shows that there were 3,188 firms that operated that year. Of this

[[Page 60829]]

total, 3,144 operated with fewer than 1,000 employees.\10\ Thus, under 
this size standard, the majority of firms in this industry can be 
considered small.
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    \8\ See http://www.census.gov/cgi-bin/sssd/naics/naicsrch.
    \9\ See 13 CFR 120.201, NAICS Code 517110.
    \10\ http://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2007_US_51SSSZ5&prodType=table.
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    22. 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 for Wired Telecommunications Carriers as defined in 
paragraph 6 of this IRFA. Under that size standard, such a business is 
small if it has 1,500 or fewer employees.\11\ According to Commission 
data, census data for 2007 shows that there were 3,188 establishments 
that operated that year. Of this total, 3,144 operated with fewer than 
1,000 employees.\12\ The Commission estimates that most providers of 
local exchange service are small entities that may be affected by the 
rules and policies proposed in the Further Notice.
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    \11\ 13 CFR 121.201, NAICS code 517110.
    \12\ See id.
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    23. 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 
IRFA. Under that size standard, such a business is small if it has 
1,500 or fewer employees.\13\ According to Commission data, 3,188 firms 
operated in that year. 1,307 carriers reported that they were incumbent 
local exchange service providers.\14\ Of this total, 3,144 operated 
with fewer than 1,000 employees.\15\ Consequently, the Commission 
estimates that most providers of incumbent local exchange service are 
small businesses that may be affected by the rules and policies 
proposed in the Further Notice. Three hundred and seven (307) Incumbent 
Local Exchange Carriers reported that they were incumbent local 
exchange service providers.\16\ Of this total, an estimated 1,006 have 
1,500 or fewer employees.\17\
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    \13\ 13 CFR 121.201, NAICS code 517110.
    \14\ See Trends in Telephone Service, Federal Communications 
Commission, Wireline Competition Bureau, Industry Analysis and 
Technology Division at Table 5.3 (Sept. 2010) (Trends in Telephone 
Service).
    \15\ See id.
    \16\ See id.
    \17\ Id.
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    24. 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 IRFA. 
Under that size standard, such a business is small if it has 1,500 or 
fewer employees.\18\ U.S. Census data for 2007 indicate that 3,188 
firms operated during that year. Of that number, 3,144 operated with 
fewer than 1,000 employees.\19\ Based on this data, the Commission 
concludes that the majority of Competitive LECs, CAPs, Shared-Tenant 
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.\20\ Of these 1,442 
carriers, an estimated 1,256 have 1,500 or fewer employees. 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.\21\ In addition, 72 carriers have reported that they are 
Other Local Service Providers.\22\ Of this total, 70 have 1,500 or 
fewer employees.\23\ Consequently, 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 that may be affected by rules adopted 
pursuant to the proposals in this Notice.
---------------------------------------------------------------------------

    \18\ 13 CFR 121.201, NAICS code 517110.
    \19\ http://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2007_US_51SSSZ5&prodType=%20table.
    \20\ See Trends in Telephone Service, at Table 5.3.
    \21\ Id.
    \22\ Id.
    \23\ Id.
---------------------------------------------------------------------------

    25. 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 IRFA. The applicable size standard under SBA rules 
is that such a business is small if it has 1,500 or fewer 
employees.\24\ According to Commission data, 359 companies reported 
that their primary telecommunications service activity was the 
provision of interexchange services.\25\ Of this total, an estimated 
317 have 1,500 or fewer employees and 42 have more than 1,500 
employees.\26\ Consequently, the Commission estimates that the majority 
of interexchange service providers are small entities that may be 
affected by rules adopted pursuant to the Further Notice.
---------------------------------------------------------------------------

    \24\ 13 CFR 121.201, NAICS code 517110.
    \25\ See Trends in Telephone Service, at Table 5.3.
    \26\ Id.
---------------------------------------------------------------------------

    26. Prepaid Calling Card Providers. Neither the Commission nor the 
SBA has developed a small business size standard specifically for 
prepaid calling card providers. The appropriate NAICS Code category for 
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. Mobile virtual 
networks operators (MVNOs) are included in this industry.\27\ Under the 
applicable SBA size standard, such a business is small if it has 1,500 
or fewer employees.\28\ U.S. Census data for 2007 show that 1,523 firms 
provided resale services during that year. Of that number, 1,522 
operated with fewer than 1,000 employees.\29\ 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.\30\ All 193 carriers 
have 1,500 or fewer employees.\31\ Consequently, the Commission 
estimates that the majority of prepaid calling card providers are small 
entities that may be affected by rules adopted pursuant to the Further 
Notice.
---------------------------------------------------------------------------

    \27\ http://www.census.gov/cgi-bin/ssd/naics/naicsrch.
    \28\ 13 CFR 121.201, NAICS code 517911.
    \29\ http://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2007_US_51SSSZ5&prodType=table.
    \30\ See Trends in Telephone Service, at Table 5.3.
    \31\ Id.
---------------------------------------------------------------------------

    27. 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.\32\ Census data for 2007 show that 1,523 firms provided 
resale services during that year. Of that number, 1,522 operated with 
fewer than 1,000 employees.\33\ Under this category and the associated 
small business size

[[Page 60830]]

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.\34\ Of this 
total, an estimated 211 have 1,500 or fewer employees.\35\ 
Consequently, the Commission estimates that the majority of local 
resellers are small entities that may be affected by rules adopted 
pursuant to the proposals in this Further Notice.
---------------------------------------------------------------------------

    \32\ 13 CFR 121.201, NAICS code 517911.
    \33\ Id.
    \34\ See Trends in Telephone Service, at Table 5.3.
    \35\ Id.
---------------------------------------------------------------------------

    28. 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. Under that size standard, such a business is small if it has 
1,500 or fewer employees.\36\ Census data for 2007 show that 1,523 
firms provided resale services during that year. Of that number, 1,522 
operated with fewer than 1,000 employees.\37\ 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.\38\ Of this total, an estimated 857 have 1,500 
or fewer employees.\39\ Consequently, the Commission estimates that the 
majority of toll resellers are small entities that may be affected by 
our proposals in the Further Notice.
---------------------------------------------------------------------------

    \36\ 13 CFR 121.201, NAICS code 517911.
    \37\ Id.
    \38\ See Trends in Telephone Service, at Table 5.3.
    \39\ Id.
---------------------------------------------------------------------------

    29. Other Toll Carriers. Neither the Commission nor the SBA has 
developed a size standard 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 IRFA. Under that size standard, such a business is small if it has 
1,500 or fewer employees.\40\ Census data for 2007 shows that there 
were 3,188 firms that operated that year. Of this total, 3,144 operated 
with fewer than 1,000 employees.\41\ Thus, under this category and the 
associated small business size standard, the majority of Other Toll 
Carriers can be considered small. According to Commission data, 284 
companies reported that their primary telecommunications service 
activity was the provision of other toll carriage.\42\ Of these, an 
estimated 279 have 1,500 or fewer employees.\43\ Consequently, the 
Commission estimates that most Other Toll Carriers are small entities 
that may be affected by the rules and policies adopted pursuant to the 
Further Notice.
---------------------------------------------------------------------------

    \40\ 13 CFR 121.201, NAICS code 517110.
    \41\ Id.
    \42\ See Trends in Telephone Service, at Table 5.3.
    \43\ Id.
---------------------------------------------------------------------------

    30. Wireless Telecommunications Carriers (except Satellite). This 
industry comprises 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.\44\ 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 2007 show that 
there were 1,383 firms that operated for the entire year. Of this 
total, 1,368 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.\45\ Of this total, an estimated 261 have 1,500 or fewer 
employees.\46\ Consequently, the Commission estimates that 
approximately half of these firms can be considered small. Thus, using 
available data, we estimate that the majority of wireless firms can be 
considered small.
---------------------------------------------------------------------------

    \44\ NAICS Code 517210. See http://www.census.gov/cgi-bin/ssd/naics/naiscsrch.
    \45\ See Trends in Telephone Service, at Table 5.3.
    \46\ Id.
---------------------------------------------------------------------------

    31. Cable Television and other Subscription Programming.\47\ Since 
2007, these services have been defined within the broad economic census 
category of Wired Telecommunications Carriers. That category is defined 
as follows: ``This 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 a combination of technologies.'' \48\ The SBA has developed a small 
business size standard for this category, which is: All such firms 
having 1,500 or fewer employees.\49\ Census data for 2007 shows that 
there were 3,188 firms that operated that year. Of this total, 3,144 
had fewer than 1,000 employees.\50\ Thus under this size standard, the 
majority of firms offering cable and other program distribution 
services can be considered small and may be affected by rules adopted 
pursuant to the Further Notice.
---------------------------------------------------------------------------

    \47\ In 2014, ``Cable and Other Subscription Programming,'' 
NAICS Code 515210, replaced a prior category, now obsolete, which 
was called ``Cable and Other Program Distribution.'' Cable and Other 
Program Distribution, prior to 2014, were placed under NAICS Code 
517110, Wired Telecommunications Carriers. Wired Telecommunications 
Carriers is still a current and valid NAICS Code Category. Because 
of the similarity between ``Cable and Other Subscription 
Programming'' and ``Cable and other Program Distribution,'' we will, 
in this proceeding, continue to use Wired Telecommunications Carrier 
data based on the U.S. Census. The alternative of using data 
gathered under Cable and Other Subscription Programming (NAICS Code 
515210) is unavailable to us for two reasons. First, the size 
standard established by the SBA for Cable and Other Subscription 
Programming is annual receipts of $38.5 million or less. Thus to use 
the annual receipts size standard would require the Commission 
either to switch from existing employee based size standard of 1,500 
employees or less for Wired Telecommunications Carriers, or else 
would require the use of two size standards. No official approval of 
either option has been granted by the Commission as of the time of 
the release of the FY 2015 NPRM. Second, the data available under 
the size standard of $38.5 million dollars or less is not applicable 
at this time, because the only currently available U.S. Census data 
for annual receipts of all businesses operating in the NAICS Code 
category of 515210 (Cable and other Subscription Programming) 
consists only of total receipts for all businesses operating in this 
category in 2007 and of total annual receipts for all businesses 
operating in this category in 2012. Hence the data do not provide 
any basis for determining, for either year, how many businesses were 
small because they had annual receipts of $38.5 million or less. See 
http://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2012_US_51I2&prodType=table.
    \48\ U.S. Census Bureau, 2007 NAICS Definitions, ``517110 Wired 
Telecommunications Carriers'' (partial definition), (Full definition 
stated in paragraph 6 of this IRFA) available at http://www.census.gov/cgi-bin/sssd/naics/naicsrch.
    \49\ 13 CFR 121.201, NAICS code 517110.
    \50\ http://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2007_US-51SSSZ5&prodType=Table.
---------------------------------------------------------------------------

    32. 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.\51\ Industry data 
indicate that there are currently 4,600 active cable systems in

[[Page 60831]]

the United States.\52\ Of this total, all but ten cable operators 
nationwide are small under the 400,000-subscriber size standard.\53\ In 
addition, under the Commission's rate regulation rules, a ``small 
system'' is a cable system serving 15,000 or fewer subscribers.\54\ 
Current Commission records show 4,600 cable systems nationwide.\55\ Of 
this total, 3,900 cable systems have less than 15,000 subscribers, and 
700 systems have 15,000 or more subscribers, based on the same 
records.\56\ Thus, under this standard as well, we estimate that most 
cable systems are small entities.
---------------------------------------------------------------------------

    \51\ 47.CFR 76.901(e).
    \52\ August 15, 2015 Report from the Media Bureau based on data 
contained in the Commission's Cable Operations And Licensing System 
(COALS). See www/fcc.gov/coals.
    \53\ See SNL KAGAN at www.snl.com/interactiveX/topcableMSOs 
aspx?period2015Q1&sortcol=subscribersbasic&sortorder=desc.
    \54\ 47 CFR76.901(c).
    \55\ See footnote 2, supra.
    \56\ August 5, 2015 report from the Media Bureau based on its 
research in COALS. See www.fcc.gov/coals.
---------------------------------------------------------------------------

    33. Cable System Operators (Telecom Act Standard). The 
Communications Act of 1934, as amended, 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 are approximately 52,403,705 cable video 
subscribers in the United States today.\57\ 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.\58\ 
Based on available data, we find that all but nine incumbent cable 
operators are small entities under this size standard.\59\ 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.\60\ Although it seems certain that some 
of these cable system operators are affiliated with entities whose 
gross annual revenues exceed $250,000,000, 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.
---------------------------------------------------------------------------

    \57\ See SNL KAGAN at www.snl.com/interactivex/MultichannelIndustryBenchmarks.aspx.
    \58\ 47.901(f) and notes ff. 1, 2, and 3.
    \59\ See SNL KAGAN at www.snl.com/Interactivex/TopCable 
MSOs.aspx.
    \60\ The 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 section 76.901(f) of the Commission's rules. See 47 CFR 
76.901(f).
---------------------------------------------------------------------------

    34. 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 client-supplied telecommunications 
connections are also included in this industry.\61\ 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.\62\ For this category, census 
data for 2007 show that there were 2,383 firms that operated for the 
entire year. Of these firms, a total of 2,346 had gross annual receipts 
of less than $25 million.\63\ Thus, a majority of ``All Other 
Telecommunications'' firms potentially affected by the proposals in the 
Further Notice can be considered small.
---------------------------------------------------------------------------

    \61\ http://www.census.gov/cgi-bin/ssssd/naics/naicsrch.
    \62\ 13 CFR 121.201; NAICs Code 517919.
    \63\ http://factfinder.census.gov/faces/tableservices.jasf/pages/productview.xhtml?pid+ECN_2007_US.51SSSZ4&prodType=table.
---------------------------------------------------------------------------

D. Description of Projected Reporting, Recordkeeping and Other 
Compliance Requirements

    35. This Further Notice does not propose any changes to the 
Commission's current information collection, reporting, recordkeeping, 
or compliance requirements.

E. Steps Taken To Minimize Significant Economic Impact on Small 
Entities, and Significant Alternatives Considered

    36. 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.\64\
---------------------------------------------------------------------------

    \64\ 5 U.S.C. 603(c)(1) through (c)(4).
---------------------------------------------------------------------------

    37. This Further Notice seeks comment on the Commission's 
regulatory fee collection for radio and television broadcasters, 
including comment on exempting smaller broadcasters from regulatory 
fees. Specifically, the Commission seeks comment on the extent of FTEs 
that work on video, cable, DBS, and radio services, and whether the 
current proportion of fees paid by these various fee categories 
associated with these services are still accurate. The level of FTE 
activity on these media services determines the proportion of fees to 
be paid by each media service fee category, which in turn is used to 
calculate the fee amount for each fee category. Since this determines 
the fee rate for big and small media companies, the Commission is 
sensitive to the impact of any changes in the proportion of FTE 
activity on companies in the media industry.

F. Federal Rules That May Duplicate, Overlap, or Conflict With the 
Proposed Rules

    38. None.

VI. Ordering Clauses

    39. Accordingly, it is ordered that, pursuant to sections 4(i) and 
(j), 9, and 303(r) of the Communications Act of 1934, as amended, 47 
U.S.C. 154(i), 154(j), 159, and 303(r), this Report and Order and 
Further Notice of Proposed Rulemaking is hereby adopted.
    40. It is further ordered that this Further Notice of Proposed 
Rulemaking comments are due November 9, 2015 and reply comments are due 
December 7, 2015.
    41. It is further ordered that the Commission's Consumer & 
Governmental Affairs Bureau, Reference Information Center, shall send a 
copy of this Further Notice of Proposed Rulemaking, including the 
Initial Regulatory Flexibility Analysis, to the Chief Counsel for 
Advocacy of the U.S. Small Business Administration.

Federal Communications Commission.
Marlene H. Dortch.
Secretary.
[FR Doc. 2015-25578 Filed 10-7-15; 8:45 am]
BILLING CODE 6712-01-P



                                                                     Federal Register / Vol. 80, No. 195 / Thursday, October 8, 2015 / Proposed Rules                                          60825

                                                    to fresh and saltwater fishes. Journal of          SUMMARY:   In this document the                       Documents in Rulemaking Proceedings,
                                                    Hazardous Materials. 1: 303–318.                   Commission revises its Schedule of                    63 FR 24121 (1998).
                                               82. INERIS. 1999. Détermination de la                  Regulatory Fees to recover an amount of                  • Electronic Filers: Comments may be
                                                    toxicité aiguë du 2-butoxyethanol vis-à-                                                              filed electronically using the Internet by
                                                    vis de Oncorhynchus mykiss,
                                                                                                       $339,844,000 that Congress has required
                                                    unpublished, Ba746f-CGR21427.                      the Commission to collect for fiscal year             accessing the ECFS.
                                                    Verneuil-en-Halatte, France, 14                    2015. Section 9 of the Communications                    • Paper Filers: Parties who choose to
                                                    december 1999, INERIS: 10. As cited in             Act of 1934, as amended, provides for                 file by paper must file an original and
                                                    Ref. 77.                                           the annual assessment and collection of               one copy of each filing. If more than one
                                               83. Bridie, A.L., Wolff, C.J.M., Winter, M.             regulatory fees under sections 9(b)(2)                docket or rulemaking number appears in
                                                    1979. The acute toxicity of some                   and 9(b)(3), respectively, for annual                 the caption of this proceeding, filers
                                                    petrochemicals to goldfish. Water Res.                                                                   must submit two additional copies for
                                                                                                       ‘‘Mandatory Adjustments’’ and
                                                    13(7): 623–626.                                                                                          each additional docket or rulemaking
                                               84. Price, K.S., Waggy, G.T., Conway, R.A.              ‘‘Permitted Amendments’’ to the
                                                    1974. Brine shrimp bioassay and                    Schedule of Regulatory Fees.                          number.
                                                    seawater BOD of petrochemicals. Journal                                                                     Æ Filings can be sent by hand or
                                                                                                       DATES: Comments are due November 9,
                                                    WPCF. 46(1): 63–76.                                                                                      messenger delivery, by commercial
                                                                                                       2015 and Reply Comments are due                       overnight courier, or by first-class or
                                               85. Bringmann, G., Kuhn, R. 1978. Threshold
                                                                                                       December 7, 2015.                                     overnight U.S. Postal Service mail. All
                                                    Values of Substances Harmful to Water
                                                    for Blue Algae (Microcystis aeruginosa)            FOR FURTHER INFORMATION CONTACT:                      filings must be addressed to the
                                                    and Green Algae (Scenedesmus                       Roland Helvajian, Office of Managing                  Commission’s Secretary, Office of the
                                                    quadricauda) in Tests Measuring the                Director at (202) 418–0444.                           Secretary, Federal Communications
                                                    Inhibition of Cellular Propagation. Vom
                                                    Wasser. 50:45 60 (in German) (English              SUPPLEMENTARY INFORMATION: This is a                  Commission.
                                                    Abstract), Tr 80 0201, Literature                  summary of the Commission’s Further                      Æ All hand-delivered or messenger-
                                                    Research Company: 22 p.                            Notice of Proposed Rulemaking                         delivered paper filings for the
                                               86. Bringmann, G., Kuhn, R. 1978. Testing of            (FNPRM), FCC 15–108, MD Docket No.                    Commission’s Secretary must be
                                                    Substances for Their Toxicity Threshold:           15–121, adopted on September 1, 2015                  delivered to FCC Headquarters at 445
                                                    Model Organisms Microcystis                        and released on September 2, 2015.                    12th St. SW., Room TW–A325,
                                                    (Diplocystis) aeruginosa and                                                                             Washington, DC 20554. The filing hours
                                                    Scenedesmus quadricauda. Mitt. Int.                I. Administrative Matters                             are 8:00 a.m. to 7:00 p.m. All hand
                                                    Ver. Theor. Angew. Limnol. 21: 275 284.
                                                                                                       A. Initial Regulatory Flexibility Analysis            deliveries must be held together with
                                               87. Dill, DC, Milazzo, D.P. 1988. Dowanol PM
                                                    Glycol Ether: Evaluation of the toxicity                                                                 rubber bands or fasteners. Any
                                                                                                         1. As required by the Regulatory                    envelopes and boxes must be disposed
                                                    to the green alga, Selenastrum
                                                    capricornutum Printz. Dow Chemical
                                                                                                       Flexibility Act of 1980 (RFA),1 the                   of before entering the building.
                                                    Company. EPA Document Control                      Commission has prepared an Initial                       Æ Commercial overnight mail (other
                                                    Number 86–890001160. 18 pages.                     Regulatory Flexibility Analysis (FRFA)                than U.S. Postal Service Express Mail
                                               88. INERIS. 1999. Détermination de la                  relating to this Further Notice of                    and Priority Mail) must be sent to 9300
                                                    toxicité chronique du 2-butoxyethanol             Proposed Rulemaking.                                  East Hampton Drive, Capitol Heights,
                                                    vis-à-vis de Daphnia magna, Ba746a–                                                                     MD 20743.
                                                    CGR21427. Verneuil-en-Halatte, France,             B. Initial Paperwork Reduction Act of
                                                                                                       1995 Analysis                                            Æ U.S. Postal Service first-class,
                                                    15 december 1999, INERIS: 13. As cited
                                                    in Ref. 77.
                                                                                                                                                             Express, and Priority mail must be
                                                                                                         2. This document does not contain                   addressed to 445 12th Street SW.,
                                               89. INERIS. 2001. Essai poisson 21 jours,
                                                    Danio rerio, unpublished report, N°                new or modified information collection                Washington, DC 20554.
                                                    22685, 05.11.2001. As cited in Ref. 77.            requirements subject to the Paperwork                    4. People with Disabilities: To request
                                                                                                       Reduction Act of 1995 (PRA), Public                   materials in accessible formats for
                                               List of Subjects in 40 CFR Part 372                     Law 104–13. In addition, therefore, it                people with disabilities (braille, large
                                                 Environmental protection,                             does not contain any new or modified                  print, electronic files, audio format),
                                               Community right-to-know, Reporting                      information collection burden for small               send an email to fcc504@fcc.gov or call
                                               and recordkeeping requirements, and                     business concerns with fewer than 25                  the Consumer & Governmental Affairs
                                               Toxic chemicals.                                        employees, pursuant to the Small                      Bureau at 202–418–0530 (voice), 202–
                                                 Dated: September 24, 2015.                            Business Paperwork Relief Act of 2002,                418–0432 (tty).
                                               Arnold E. Layne,
                                                                                                       Public Law 107–198, see 44 U.S.C.
                                                                                                       3506(c)(4).                                           D. Ex Parte Information
                                               Director, Office of Information Analysis and                                                                     5. This proceeding shall be treated as
                                               Access.                                                 C. Filing Instructions                                a ‘‘permit-but-disclose’’ proceeding in
                                               [FR Doc. 2015–25674 Filed 10–7–15; 8:45 am]                                                                   accordance with the Commission’s ex
                                                                                                         3. Pursuant to sections 1.415 and
                                               BILLING CODE 6560–50–P                                                                                        parte rules. Persons making ex parte
                                                                                                       1.419 of the Commission’s rules, 47 CFR
                                                                                                       1.415, 1.419, interested parties may file             presentations must file a copy of any
                                                                                                       comments and reply comments on or                     written presentation or a memorandum
                                               FEDERAL COMMUNICATIONS                                  before the dates indicated on the first               summarizing any oral presentation
                                               COMMISSION                                              page of this document. Comments may                   within two business days after the
                                                                                                       be filed using the Commission’s                       presentation (unless a different deadline
                                               47 CFR Part 1                                                                                                 applicable to the Sunshine period
                                                                                                       Electronic Comment Filing System
Lhorne on DSK5TPTVN1PROD with PROPOSALS




                                               [MD Docket No. 15–121; FCC 15–108]                      (ECFS). See Electronic Filing of                      applies). Persons making oral ex parte
                                                                                                                                                             presentations are reminded that
                                               Assessment and Collection of                              1 See 5 U.S.C. 603. The RFA, see 5 U.S.C. 601–      memoranda summarizing the
                                               Regulatory Fees for Fiscal Year 2015                    612, has been amended by the Small Business           presentation must list all persons
                                                                                                       Regulatory Enforcement Fairness Act of 1996           attending or otherwise participating in
                                               AGENCY:  Federal Communications                         (SBREFA), Public Law 104–121, Title II, 110 Stat.
                                               Commission.                                             847 (1996). The SBREFA was enacted as Title II of
                                                                                                                                                             the meeting at which the ex parte
                                                                                                       the Contract with America Advancement Act of          presentation was made, and summarize
                                               ACTION: Proposed rule.
                                                                                                       1996 (CWAAA).                                         all data presented and arguments made


                                          VerDate Sep<11>2014   14:48 Oct 07, 2015   Jkt 238001   PO 00000   Frm 00017   Fmt 4702   Sfmt 4702   E:\FR\FM\08OCP1.SGM   08OCP1


                                               60826                  Federal Register / Vol. 80, No. 195 / Thursday, October 8, 2015 / Proposed Rules

                                               during the presentation. If the                         section 9(b)(1)(A) of the Act.6 The                    Division, 27 in the Industry Analysis
                                               presentation consisted in whole or in                   Commission may also add, delete, or                    Division, 13 in Engineering Division, 29
                                               part of the presentation of data or                     reclassify services in the fee schedule to             in the Policy Division, and 24 in the
                                               arguments already reflected in the                      reflect additions, deletions, or changes               Video Division. Some of these FTEs may
                                               presenter’s written comments,                           in the nature of its services ‘‘as a                   be categorized as auctions-funded,
                                               memoranda, or other filings in the                      consequence of Commission rulemaking                   depending on the Commission’s
                                               proceeding, the presenter may provide                   proceedings or changes in law.’’ Thus,                 auctions schedule. All of the
                                               citations to such data or arguments in                  for each fiscal year, the proposed fee                 Engineering Division FTEs work on
                                               his or her prior comments, memoranda,                   schedule in the annual Notice of                       cable issues, and some FTEs from the
                                               or other filings (specifying the relevant               Proposed Rulemaking (NPRM) will                        Policy and Industry Analysis Divisions
                                               page and/or paragraph numbers where                     reflect changes in the amount                          also work on cable issues. Of the 52
                                               such data or arguments can be found) in                 appropriated for the performance of the                FTEs in the Audio Division,
                                               lieu of summarizing them in the                         FCC’s regulatory activities, changes in                approximately 42 are assigned to FM
                                               memorandum. Documents shown or                          the industries represented by the                      and 10 to AM. The 25 FTEs in the Video
                                               given to Commission staff during ex                     regulatory fee payers, changes in                      Division work on television issues. We
                                               parte meetings are deemed to be written                 Commission FTE levels, and any other                   seek further comment on whether and
                                               ex parte presentations and must be filed                issues of relevance to the proposed fee
                                                                                                                                                              how to reform our regulatory fee
                                               consistent with § 1.1206(b). In                         schedule.7 After receipt and review of
                                                                                                                                                              assessments for broadcasters.
                                               proceedings governed by § 1.49(f) or for                comments, the Commission issues a
                                               which the Commission has made                           Report and Order adopting the fee                         9. The Commission assesses
                                               available a method of electronic filing,                schedule for the fiscal year and sets out              regulatory fees on radio broadcasters
                                               written ex parte presentations and                      the procedures for payment of fees.                    based on type and class of service and
                                               memoranda summarizing oral ex parte                                                                            on the population they serve. Earlier
                                                                                                       IV. Further Notice of Proposed                         this year we sought comment on
                                               presentations, and all attachments
                                                                                                       Rulemaking                                             whether the dividing points for higher
                                               thereto, must be filed through the
                                               electronic comment filing system                        A. Broadcasters’ Regulatory Fees                       fee levels for both television and radio
                                               available for that proceeding, and must                    8. In the FY 2015 NPRM, we sought                   broadcasters remain appropriate and
                                               be filed in their native format (e.g., .doc,            comment on whether the Commission                      observed that ‘‘no single ratio
                                               .xml, .ppt, searchable .pdf). Participants              should review the apportionment of                     apportions regulatory fees among AM
                                               in this proceeding should familiarize                   regulatory fees among broadcasters. We                 and FM radio categories.’’ 10 We seek
                                               themselves with the Commission’s ex                     sought comment on whether the                          further comment on rationalizing the
                                               parte rules.                                            Commission should reexamine the                        regulatory fee table for radio
                                               II. Introduction and Executive                          number of FTEs devoted to the                          broadcasters. First, we seek input on
                                               Summary                                                 regulation of radio versus television                  including a higher population row in
                                                                                                       broadcasters and adjust the fee paid by                the table, dividing radio broadcasters
                                                  6. In the Further Notice of Proposed                                                                        that serve 3,000,001–6,000,000 people
                                               Rulemaking in this docket, we seek                      radio and television broadcasters to
                                                                                                       more accurately take into account                      from those that serve more. Second, we
                                               further comment on changes to our                                                                              seek input on standardizing the
                                               methodology in calculating regulatory                   factors related to ‘‘the benefits provided
                                                                                                       to the payor of the fee by the                         incremental increase in fees as radio
                                               fees for AM and FM broadcast radio and                                                                         broadcasters increase the population
                                               on reallocating FTEs from the Wireline                  Commission’s activities.’’ 8 NAB filed
                                                                                                       comments in support of our effort to                   they serve, such as by requiring that fee
                                               Competition Bureau working on                                                                                  adjustments between tiers
                                               numbering and universal service issues.                 better align fees with the FTEs working
                                                                                                       on broadcast issues, but observes that                 monotonically increase as the
                                               III. Background                                         we have not yet provided information                   population served increases. Third, we
                                                  7. Congress adopted a regulatory fee                 about the relevant FTEs.9 We have                      seek input on consistently assessing fees
                                               schedule in 1993 2 and authorized the                   reviewed the categories of work                        based on the relative type and class of
                                               Commission to assess and collect                        performed by FTEs in the Media                         service, such as by assessing FM class
                                               annual regulatory fees pursuant to the                  Bureau, in order to provide further                    B, C, C0, C1, & C2 stations at twice the
                                               schedule, as amended by the                             information for commenters on this                     rate of AM class C stations, and FM
                                               Commission.3 As a result, the                           issue. The Media Bureau, consisting of                 class A, B1, & C3 stations assessed at 75
                                               Commission annually reviews the                         169 FTEs, develops, recommends, and                    percent more than AM class C stations.
                                               regulatory fee schedule, proposes                       administers the policy and licensing                   For AM stations, we seek comment on
                                               changes to the schedule to reflect                      programs for electronic media,                         assessing AM class A stations at 60
                                               changes in the amount of its                            including cable television, broadcast                  percent more, AM class B stations at 15
                                               appropriation, and proposes increases                   television, and radio in the United                    percent more, and AM class D stations
                                               or decrease to the schedule of regulatory               States and its territories, and also                   at 10 percent more than AM class C
                                               fees.4 The Commission makes changes                     handles post-licensing matters regarding               stations (i.e., at roughly the relative rates
                                               to the regulatory fee schedule ‘‘if the                 DBS service. The Media Bureau has 25                   assessed today). Taking these options
                                               Commission determines that the                          FTEs in the bureau front office,                       together, we seek comment on the
                                               schedule requires amendment to                          (including staff assigned to Bureau-wide               following potential table of regulatory
                                               comply with the requirements’’ 5 of                     administrative support), 51 in the Audio               fees for radio broadcasters.
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                                                 2 47 U.S.C. 159 (g) (showing original fee schedule      7 Section 9(b)(2) discusses mandatory                that are reasonably related to the benefits provided
                                               prior to Commission amendment).                         amendments to the fee schedule and Section 9(b)(3)     to the payor of the fee by the Commission’s
                                                 3 47 U.S.C. 159                                       discusses permissive amendments to the fee             activities, including such factors as service area
                                                 4 47 U.S.C. 159(b)(1)(B).                             schedule. Both mandatory and permissive                coverage, shared use versus exclusive use, and
                                                                                                       amendments are not subject to judicial review. 47      other factors that the Commission determines are
                                                 5 47 U.S.C. 159(b)(2).
                                                                                                       U.S.C. 159(b)(2) and (3).                              necessary in the public interest.’’).
                                                 6 47 U.S.C. 159(b)(1)(A).                               8 47 U.S.C. 159(b)(1)(A) (providing for adjustment     9 NAB Comments at 2.

                                                                                                       of the FTE allocation to ‘‘take into account factors     10 FY 2015 NPRM, 30 FCC Rcd at 5359, para. 13.




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                                                                             Federal Register / Vol. 80, No. 195 / Thursday, October 8, 2015 / Proposed Rules                                                                                  60827

                                                                                                                  PROPOSED RADIO STATION REGULATORY FEES
                                                                                                                                                                                                                                          FM Classes B,
                                                                                                                                                                                                                          FM Classes A,
                                                                Population served                                  AM Class A                 AM Class B                AM Class C                AM Class D                               C, C0, C1 &
                                                                                                                                                                                                                            B1 & C3            C2

                                               <=25,000 ..................................................                     $910                       $655                       $570                       $625             $1,000          $1,140
                                               25,001–75,000 .........................................                        1,370                        985                        855                        940              1,495           1,710
                                               75,001–150,000 .......................................                         1,825                      1,310                      1,140                      1,255              1,995           2,280
                                               150,001–500,000 .....................................                          2,735                      1,965                      1,710                      1,880              2,995           3,420
                                               500,001–1,200,000 ..................................                           4,560                      3,280                      2,850                      3,135              4,990           5,700
                                               1,200,001–3,000,000 ...............................                            6,840                      4,915                      4,275                      4,705              7,480           8,550
                                               3,000,001–6,000,000 ...............................                            9,120                      6,555                      5,700                      6,270              9,975          11,400
                                               >6,000,000 ...............................................                    11,400                      8,195                      7,125                      7,840             12,470          14,250



                                                 10. The Commission assesses                                             considered the most valuable stations)                                     With this change, and adjusting to
                                               regulatory fees on television                                             was roughly 14:11:7:4:1. Today, it is                                      recover the same total regulatory fees as
                                               broadcasters based on the markets they                                    roughly 10:9:6:3:1. We seek comment on                                     television broadcasters pay today, we
                                               serve (1–10:11–25:26–50:51–100:                                           readjusting the table to restore the                                       seek comment on the following
                                               Remaining Market). Before the                                             traditional determination that Top 10                                      potential table of regulatory fees for
                                               Commission combined the VHF and                                           stations should pay about twice what                                       television broadcasters.
                                               UHF regulatory fee categories, the ratio                                  stations in markets 26–50 pay (that is,
                                               of regulatory fees for VHF stations (then                                 the new ratios would be 12:9:6:3:1).

                                                                                         Digital TV (47 CFR part 73) VHF and UHF commercial                                                                                  Before           After

                                               Markets 1–10 ...........................................................................................................................................................         $46,825         $55,025
                                               Markets 11–25 .........................................................................................................................................................           43,200          41,270
                                               Markets 26–50 .........................................................................................................................................................           27,625          27,515
                                               Markets 51–100 .......................................................................................................................................................            16,275          13,755
                                               Remaining Markets ..................................................................................................................................................               4,850           4,585
                                               Construction Permits ...............................................................................................................................................               4,850           4,585



                                                 11. NAB also observes that after the                                    sectors.14 ITTA argues that the                                            requirements imposed on ITSPs.
                                               spectrum incentive auction there may                                      Commission’s efforts to modernize the                                      However, there are certain rules (e.g.,
                                               be fewer television stations, resulting in                                Lifeline program and to conduct a                                          universal service), that wireless and
                                               material changes in the regulatory fee                                    comprehensive analysis of the special                                      wireline services benefit from and the
                                               apportionment among the remaining                                         access marketplace, for example,                                           Wireline Competition Bureau FTEs
                                               stations.11 We seek comment on                                            generate significant benefits for entities                                 provide the oversight and regulation of
                                               whether, when, and how the                                                that do not pay regulatory fees as                                         the industry in these areas.18 We seek
                                               Commission should adjust its                                              ITSPs.15                                                                   comment on ITTA’s proposals to (i)
                                               methodology for assessing regulatory                                         13. ITTA has previously proposed                                        combine wireless voice and wireline
                                               fees on televisions stations, to respond                                  that we combine wireless providers into                                    services into the ITSP category and,
                                               to such potential changed circumstances                                   the ITSP fee category so that all voice                                    alternatively, to (ii) re-assign certain
                                               consistent with the provisions of                                         providers pay regulatory fees on the                                       Wireline Competition Bureau FTEs as
                                               Section 9 of the Communications Act.                                      same basis.16 ITTA continues to endorse                                    indirect for regulatory fee purposes.
                                                                                                                         this approach and contends that such                                       Concerning any reassignment of direct
                                               B. ITTA’s Proposals To Reallocate FTEs                                    action would be consistent with the                                        FTEs, we seek comment on whether it
                                                                                                                         Commission’s decision to incorporate                                       is reasonable and consistent with
                                                  12. ITTA has suggested that we                                         interconnected VoIP providers into the                                     section 9 of the Act to readjust the
                                               should consider all cross-cutting work                                    ITSP fee category to ensure that such                                      assignment of FTEs in the bureau and if
                                               throughout the Commission, not just in                                    providers are paying their share of                                        the record demonstrates the clearest
                                               the International Bureau, and we should                                   regulatory fees in connection with the                                     case for reassignment.19
                                               re-assign certain Wireline Competition                                    Commission’s oversight of voice                                               15. Commenters supporting ITTA’s
                                               Bureau FTEs for regulatory fee                                            services.17                                                                proposals should also explain: How
                                               purposes.12 ITTA contends that the                                           14. We recognize that there is                                          wireless voice services and wireline
                                               Commission should make appropriate                                        substantial convergence in the                                             services can be combined (currently
                                               adjustments to its regulatory fee                                         telecommunications industry and                                            wireless regulatory fees are calculated
                                               structure to reflect that the work of the                                 organizational changes in the                                              per subscriber and ITSP fees are based
                                               Wireline Competition Bureau is no                                         Commission that may support                                                on revenues) and how we would
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                                               longer primarily focused on ITSPs.13                                      additional FTE reallocations as ITTA                                       determine which and how many
                                               According to ITTA, resources expended                                     contends. Wireless providers are not                                       Wireline Competition Bureau FTEs to
                                               by Wireline Competition Bureau FTEs                                       subject to all of the regulations and                                      reassign as indirect. We note that, as
                                               increasingly benefit other industry                                                                                                                  ITTA observes, certain issues handled
                                                                                                                            14 Id. at 4.
                                                 11 NAB    Comments at 7–9.                                                 15 Id. at 4–5.                                                             18 47
                                                                                                                                                                                                          CFR 54.900 et seq.
                                                 12 ITTA Comments at 2–5.                                                   16 Id. at 3.                                                               19 FY
                                                                                                                                                                                                           2013 Report and Order, 28 FCC Rcd at
                                                 13 Id. at 3–4.                                                             17 Id.                                                                  12357–58, para. 19.



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                                               60828                 Federal Register / Vol. 80, No. 195 / Thursday, October 8, 2015 / Proposed Rules

                                               in the Wireline Competition Bureau                      proportion of fees paid by these various                not dominant in its field.3 Nationwide,
                                               benefit wireless providers, and that                    fee categories associated with these                    as of 2007, there were approximately
                                               argument could support reassigning                      services are still accurate. The level of               1,621,215 small organizations.4 Finally
                                               certain Wireline Competition Bureau                     FTE activity on these media services                    the term ‘‘small governmental
                                               FTEs as Wireless Telecommunications                     determines the proportion of fees to be                 jurisdiction’’ is defined generally as
                                               Bureau FTEs for regulatory fee                          paid by each media service fee category,                ‘‘governments of cities, towns,
                                               purposes.20 For example, given the                      which in turn is used to calculate the                  townships, villages, school districts, or
                                               amount of Universal Service Lifeline                    fee amount for each fee category.                       special districts, with a population of
                                               Support distributed to wireless                                                                                 less than fifty thousand.5 Census Bureau
                                                                                                       B. Legal Basis
                                               providers, should FTEs who work on                                                                              data for 2011 indicate that there were
                                               issues related to such providers be                       18. This action, including publication                90,056 local governmental jurisdictions
                                               allocated the Wireless                                  of proposed rules, is authorized under                  in the United States.6 We estimate that,
                                               Telecommunications Bureau for                           Sections (4)(i) and (j), 9, and 303(r) of               of this total, as many as 89,327 entities
                                               regulatory fee calculations? 21                         the Communications Act of 1934, as                      may qualify as ‘‘small governmental
                                               Alternatively, we also seek comment on                  amended.26                                              jurisdictions.’’ 7 Thus, we estimate that
                                               adopting a new fee category for wireless                C. Description and Estimate of the                      most local government jurisdictions are
                                               providers, as a subcategory of the ITSP                 Number of Small Entities to Which the                   small.
                                               regulatory fee category, based on a                     Rules Will Apply                                           21. Wired Telecommunications
                                               percentage Wireline Competition                                                                                 Carriers. The U.S. Census Bureau
                                               Bureau FTE work devoted to work                            19. The RFA directs agencies to                      defines this industry as ‘‘establishments
                                               related to these wireless regulatees.22                 provide a description of, and where                     primarily engaged in operating and/or
                                                                                                       feasible, an estimate of the number of                  providing access to transmission
                                               V. Regulatory Flexibility Analysis                      small entities that may be affected by                  facilities and infrastructure that they
                                               Initial Regulatory Flexibility Analysis                 the proposed rules and policies, if                     own and/or lease for the transmission of
                                                                                                       adopted.27 The RFA generally defines                    voice, data, text, sound, and video using
                                                 16. As required by the Regulatory                     the term ‘‘small entity’’ as having the
                                               Flexibility Act (RFA),23 the Commission                                                                         wired communications networks.
                                                                                                       same meaning as the terms ‘‘small                       Transmission facilities may be based on
                                               prepared this Initial Regulatory                        business,’’ ‘‘small organization,’’ and
                                               Flexibility Analysis (IRFA) of the                                                                              a single technology or a combination of
                                                                                                       ‘‘small governmental jurisdiction.’’ 28 In              technologies. Establishments in this
                                               possible significant economic impact on                 addition, the term ‘‘small business’’ has
                                               small entities by the policies and rules                                                                        industry use the wired
                                                                                                       the same meaning as the term ‘‘small                    telecommunications network facilities
                                               proposed in the Further Notice of                       business concern’’ under the Small
                                               Proposed Rulemaking (Further Notice).                                                                           that they operate to provide a variety of
                                                                                                       Business Act.29 A ‘‘small business                      services, such as wired telephony
                                               Written comments are requested on this                  concern’’ is one which: (1) Is
                                               IRFA. Comments must be identified as                                                                            services, including VoIP services, wired
                                                                                                       independently owned and operated; (2)                   (cable) audio and video programming
                                               responses to the IRFA and must be filed                 Is not dominant in its field of operation;
                                               by the deadline for comments on this                                                                            distribution, and wired broadband
                                                                                                       and (3) satisfies any additional criteria               internet services. By exception,
                                               Further Notice. The Commission will                     established by the SBA.30
                                               send a copy of the Further Notice,                                                                              establishments providing satellite
                                                                                                          20. Small Entities. Our actions, over                television distribution services using
                                               including the IRFA, to the Chief                        time, may affect small entities that are
                                               Counsel for Advocacy of the Small                                                                               facilities and infrastructure that they
                                                                                                       not easily categorized at present. We                   operate are included in this industry.’’ 8
                                               Business Administration (SBA).24 In                     therefore describe here, at the outset,
                                               addition, the Further Notice and IRFA                                                                           The SBA has developed a small
                                                                                                       three comprehensive small entity size                   business size standard for Wired
                                               (or summaries thereof) will be                          standards that could be directly affected
                                               published in the Federal Register.25                                                                            Telecommunications Carriers, which
                                                                                                       by the proposals under consideration.1                  consists of all such companies having
                                               A. Need for, and Objectives of, the                     As of 2009, small businesses                            1,500 or fewer employees.9 Census data
                                               Notice                                                  represented 99.9 percent of the 27.5                    for 2007 shows that there were 3,188
                                                                                                       million businesses in the United States,                firms that operated that year. Of this
                                                  17. The Further Notice seeks comment
                                                                                                       according to the SBA.2 In addition, a
                                               regarding adjusting the regulatory fees
                                                                                                       ‘‘small organization is generally any not-                35   U.S.C. 601(4).
                                               paid by broadcasters, for radio and
                                                                                                       for-profit enterprise which is                            4 See  Independent Sector, The New Nonprofit
                                               television. Specifically, the Commission                                                                        Almanac and Desk Reference (2010).
                                                                                                       independently owned and operated and
                                               seeks comment on the extent of FTEs                                                                                5 5 U.S.C. 601(5).

                                               that work on video, cable, DBS, and                       26 47 U.S.C. 154(i) and (j), 159, and 303(r).
                                                                                                                                                                  6 See SBA, Office of Advocacy, ‘‘Frequently

                                               radio services, and whether the current                   27 5 U.S.C. 603(b)(3).
                                                                                                                                                               Asked Questions,’’ available at http.www.sba.gov/
                                                                                                                                                               sites/default/files.FAQMarch201_Opdf.
                                                                                                         28 5 U.S.C. 601(6).
                                                                                                                                                                  7 The 2011 Census Data for small governmental
                                                  20 Based on staff analysis, approximately 10 FTEs      29 5 U.S.C. 601(3) (incorporating by reference the
                                                                                                                                                               organizations are not presented based on the size
                                               work on high-cost issues, 4 FTEs work on Lifeline       definition of ‘‘small-business concern’’ in the Small   of the population in each organization. As stated
                                               issues, 9 FTEs work on E-rate issues, and 4 FTEs        Business Act, 15 U.S.C. 632). Pursuant to 5 U.S.C.      above, there were 90,056 local governmental
                                               work on Rural Health Care issues. In addition           601(3), the statutory definition of a small business    organizations in 2011. As a basis for estimating how
                                               approximately 14 FTEs work on numbering issues          applies ‘‘unless an agency, after consultation with     many of these 90,056 local organizations were
                                               and/or special access.                                  the Office of Advocacy of the Small Business
                                                  21 Wireless providers received an estimated $1.4
                                                                                                                                                               small, we note that there were a total of 729 cities
                                                                                                       Administration and after opportunity for public         and towns (incorporated places and civil divisions)
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                                               billion in Lifeline disbursements in 2014.              comment, establishes one or more definitions of         with populations over 50,000. See http://
                                                  22 See, e.g., FY 2014 NPRM, 29 FCC Rcd at 10782–     such term which are appropriate to the activities of    factfinder.census.gov/faces/tableservices/jsf/pages/
                                               84, paras. 38–43.                                       the agency and publishes such definition(s) in the      productview.xhtml?src=bkmk. If we subtract the
                                                  23 5 U.S.C. 603. The RFA, 5 U.S.C. 601–612 has       Federal Register.’’                                     729 cities and towns that exceed the 50,000
                                               been amended by the Small Business Regulatory             30 15 U.S.C. 632.                                     population threshold, we conclude that
                                               Enforcement Fairness Act of 1996 (SBREFA), Pub.           1 See 5 U.S.C. 601(3)–(6).                            approximately 789, 237 are small.
                                               L. 104–121, Title II, 110 Stat. 847 (1996).               2 See SBA, Office of Advocacy, ‘‘Frequently              8 See http://www.census.gov/cgi-bin/sssd/naics/
                                                  24 5 U.S.C. 603(a).                                                                                          naicsrch.
                                                                                                       Asked Questions’’, available at http://www.sba.gov/
                                                  25 Id.                                               faqs/faqindex.cfm?arealD=24.                               9 See 13 CFR 120.201, NAICS Code 517110.




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                                                                     Federal Register / Vol. 80, No. 195 / Thursday, October 8, 2015 / Proposed Rules                                                   60829

                                               total, 3,144 operated with fewer than                   Other Local Service Providers. Neither                42 have more than 1,500 employees.26
                                               1,000 employees.10 Thus, under this                     the Commission nor the SBA has                        Consequently, the Commission
                                               size standard, the majority of firms in                 developed a small business size                       estimates that the majority of
                                               this industry can be considered small.                  standard specifically for these service               interexchange service providers are
                                                  22. Local Exchange Carriers (LECs).                  providers. The appropriate NAICS Code                 small entities that may be affected by
                                               Neither the Commission nor the SBA                      category is Wired Telecommunications                  rules adopted pursuant to the Further
                                               has developed a size standard for small                 Carriers, as defined in paragraph 6 of                Notice.
                                               businesses specifically applicable to                   this IRFA. Under that size standard,                     26. Prepaid Calling Card Providers.
                                               local exchange services. The closest                    such a business is small if it has 1,500              Neither the Commission nor the SBA
                                               applicable NAICS Code category is for                   or fewer employees.18 U.S. Census data                has developed a small business size
                                               Wired Telecommunications Carriers as                    for 2007 indicate that 3,188 firms                    standard specifically for prepaid calling
                                               defined in paragraph 6 of this IRFA.                    operated during that year. Of that                    card providers. The appropriate NAICS
                                               Under that size standard, such a                        number, 3,144 operated with fewer than                Code category for prepaid calling card
                                               business is small if it has 1,500 or fewer              1,000 employees.19 Based on this data,                providers is Telecommunications
                                               employees.11 According to Commission                    the Commission concludes that the                     Resellers. This industry comprises
                                               data, census data for 2007 shows that                   majority of Competitive LECs, CAPs,                   establishments engaged in purchasing
                                               there were 3,188 establishments that                    Shared-Tenant Service Providers, and                  access and network capacity from
                                               operated that year. Of this total, 3,144                Other Local Service Providers are small               owners and operators of
                                               operated with fewer than 1,000                          entities. According to Commission data,               telecommunications networks and
                                               employees.12 The Commission estimates                   1,442 carriers reported that they were                reselling wired and wireless
                                               that most providers of local exchange                   engaged in the provision of either                    telecommunications services (except
                                               service are small entities that may be                  competitive local exchange services or                satellite) to businesses and households.
                                               affected by the rules and policies                      competitive access provider services.20               Mobile virtual networks operators
                                               proposed in the Further Notice.                         Of these 1,442 carriers, an estimated                 (MVNOs) are included in this
                                                  23. Incumbent LECs. Neither the                                                                            industry.27 Under the applicable SBA
                                                                                                       1,256 have 1,500 or fewer employees. In
                                               Commission nor the SBA has developed                                                                          size standard, such a business is small
                                                                                                       addition, 17 carriers have reported that
                                               a small business size standard                                                                                if it has 1,500 or fewer employees.28
                                                                                                       they are Shared-Tenant Service
                                               specifically for incumbent local                                                                              U.S. Census data for 2007 show that
                                                                                                       Providers, and all 17 are estimated to
                                               exchange services. The closest                                                                                1,523 firms provided resale services
                                                                                                       have 1,500 or fewer employees.21 In
                                               applicable NAICS Code category is                                                                             during that year. Of that number, 1,522
                                                                                                       addition, 72 carriers have reported that
                                               Wired Telecommunications Carriers, as                                                                         operated with fewer than 1,000
                                                                                                       they are Other Local Service
                                               defined in paragraph 6 of this IRFA.                                                                          employees.29 Thus, under this category
                                                                                                       Providers.22 Of this total, 70 have 1,500
                                               Under that size standard, such a                                                                              and the associated small business size
                                               business is small if it has 1,500 or fewer              or fewer employees.23 Consequently, the
                                                                                                       Commission estimates that most                        standard, the majority of these prepaid
                                               employees.13 According to Commission                                                                          calling card providers can be considered
                                               data, 3,188 firms operated in that year.                providers of competitive local exchange
                                                                                                       service, competitive access providers,                small entities. According to Commission
                                               1,307 carriers reported that they were                                                                        data, 193 carriers have reported that
                                               incumbent local exchange service                        Shared-Tenant Service Providers, and
                                                                                                       Other Local Service Providers are small               they are engaged in the provision of
                                               providers.14 Of this total, 3,144 operated                                                                    prepaid calling cards.30 All 193 carriers
                                               with fewer than 1,000 employees.15                      entities that may be affected by rules
                                                                                                       adopted pursuant to the proposals in                  have 1,500 or fewer employees.31
                                               Consequently, the Commission                                                                                  Consequently, the Commission
                                               estimates that most providers of                        this Notice.
                                                                                                                                                             estimates that the majority of prepaid
                                               incumbent local exchange service are                       25. Interexchange Carriers (IXCs).                 calling card providers are small entities
                                               small businesses that may be affected by                Neither the Commission nor the SBA                    that may be affected by rules adopted
                                               the rules and policies proposed in the                  has developed a definition for                        pursuant to the Further Notice.
                                               Further Notice. Three hundred and                       Interexchange Carriers. The closest                      27. Local Resellers. The SBA has
                                               seven (307) Incumbent Local Exchange                    NAICS Code category is Wired                          developed a small business size
                                               Carriers reported that they were                        Telecommunications Carriers as defined                standard for the category of
                                               incumbent local exchange service                        in paragraph 6 of this IRFA. The                      Telecommunications Resellers. Under
                                               providers.16 Of this total, an estimated                applicable size standard under SBA                    that size standard, such a business is
                                               1,006 have 1,500 or fewer employees.17                  rules is that such a business is small if             small if it has 1,500 or fewer
                                                  24. Competitive Local Exchange                       it has 1,500 or fewer employees.24                    employees.32 Census data for 2007 show
                                               Carriers (Competitive LECs),                            According to Commission data, 359                     that 1,523 firms provided resale services
                                               Competitive Access Providers (CAPs),                    companies reported that their primary                 during that year. Of that number, 1,522
                                               Shared-Tenant Service Providers, and                    telecommunications service activity was               operated with fewer than 1,000
                                                                                                       the provision of interexchange                        employees.33 Under this category and
                                                 10 http://factfinder.census.gov/faces/
                                                                                                       services.25 Of this total, an estimated               the associated small business size
                                               tableservices/jsf/pages/                                317 have 1,500 or fewer employees and
                                               productview.xhtml?pid=ECN_2007_US_
                                               51SSSZ5&prodType=table.                                                                                         26 Id.
                                                 11 13 CFR 121.201, NAICS code 517110.                   18 13  CFR 121.201, NAICS code 517110.                27 http://www.census.gov/cgi-bin/ssd/naics/
                                                 12 See id.                                              19 http://factfinder.census.gov/faces/              naicsrch.
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                                                 13 13 CFR 121.201, NAICS code 517110.                 tableservices/jsf/pages/                                28 13 CFR 121.201, NAICS code 517911.

                                                 14 See Trends in Telephone Service, Federal           productview.xhtml?pid=ECN_2007_US_                      29 http://factfinder.census.gov/faces/

                                               Communications Commission, Wireline                     51SSSZ5&prodType=%20table.                            tableservices/jsf/pages/
                                                                                                         20 See Trends in Telephone Service, at Table 5.3.
                                               Competition Bureau, Industry Analysis and                                                                     productview.xhtml?pid=ECN_2007_US_
                                                                                                         21 Id.                                              51SSSZ5&prodType=table.
                                               Technology Division at Table 5.3 (Sept. 2010)
                                               (Trends in Telephone Service).                            22 Id.                                                30 See Trends in Telephone Service, at Table 5.3.
                                                 15 See id.                                              23 Id.                                                31 Id.
                                                 16 See id.                                              24 13 CFR 121.201, NAICS code 517110.                 32 13 CFR 121.201, NAICS code 517911.
                                                 17 Id.                                                  25 See Trends in Telephone Service, at Table 5.3.     33 Id.




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                                               60830                    Federal Register / Vol. 80, No. 195 / Thursday, October 8, 2015 / Proposed Rules

                                               standard, the majority of these local                     standard, the majority of Other Toll                    2007, these services have been defined
                                               resellers can be considered small                         Carriers can be considered small.                       within the broad economic census
                                               entities. According to Commission data,                   According to Commission data, 284                       category of Wired Telecommunications
                                               213 carriers have reported that they are                  companies reported that their primary                   Carriers. That category is defined as
                                               engaged in the provision of local resale                  telecommunications service activity was                 follows: ‘‘This industry comprises
                                               services.34 Of this total, an estimated                   the provision of other toll carriage.42 Of              establishments primarily engaged in
                                               211 have 1,500 or fewer employees.35                      these, an estimated 279 have 1,500 or                   operating and/or providing access to
                                               Consequently, the Commission                              fewer employees.43 Consequently, the                    transmission facilities and infrastructure
                                               estimates that the majority of local                      Commission estimates that most Other                    that they own and/or lease for the
                                               resellers are small entities that may be                  Toll Carriers are small entities that may               transmission of voice, data, text, sound,
                                               affected by rules adopted pursuant to                     be affected by the rules and policies                   and video using wired
                                               the proposals in this Further Notice.                     adopted pursuant to the Further Notice.                 telecommunications networks.
                                                  28. Toll Resellers. The Commission                        30. Wireless Telecommunications                      Transmission facilities may be based on
                                               has not developed a definition for Toll                   Carriers (except Satellite). This industry              a single technology or a combination of
                                               Resellers. The closest NAICS Code                         comprises establishments engaged in                     technologies.’’ 48 The SBA has
                                               Category is Telecommunications                            operating and maintaining switching                     developed a small business size
                                               Resellers, and the SBA has developed a                    and transmission facilities to provide                  standard for this category, which is: All
                                               small business size standard for the                      communications via the airwaves, such                   such firms having 1,500 or fewer
                                               category of Telecommunications                            as cellular services, paging services,                  employees.49 Census data for 2007
                                               Resellers. Under that size standard, such                 wireless internet access, and wireless                  shows that there were 3,188 firms that
                                               a business is small if it has 1,500 or                    video services.44 The appropriate size                  operated that year. Of this total, 3,144
                                               fewer employees.36 Census data for 2007                   standard under SBA rules is that such                   had fewer than 1,000 employees.50 Thus
                                               show that 1,523 firms provided resale                     a business is small if it has 1,500 or                  under this size standard, the majority of
                                               services during that year. Of that                        fewer employees. For this industry,                     firms offering cable and other program
                                               number, 1,522 operated with fewer than                    Census Data for 2007 show that there                    distribution services can be considered
                                               1,000 employees.37 Thus, under this                       were 1,383 firms that operated for the                  small and may be affected by rules
                                               category and the associated small                         entire year. Of this total, 1,368 firms had             adopted pursuant to the Further Notice.
                                               business size standard, the majority of                   fewer than 1,000 employees. Thus                           32. Cable Companies and Systems.
                                               these resellers can be considered small                   under this category and the associated                  The Commission has developed its own
                                               entities. According to Commission data,                   size standard, the Commission estimates                 small business size standards for the
                                               881 carriers have reported that they are                  that the majority of wireless                           purpose of cable rate regulation. Under
                                               engaged in the provision of toll resale                   telecommunications carriers (except                     the Commission’s rules, a ‘‘small cable
                                               services.38 Of this total, an estimated                   satellite) are small entities. Similarly,               company’’ is one serving 400,000 or
                                               857 have 1,500 or fewer employees.39                      according to internally developed                       fewer subscribers nationwide.51
                                               Consequently, the Commission                              Commission data, 413 carriers reported                  Industry data indicate that there are
                                               estimates that the majority of toll                       that they were engaged in the provision                 currently 4,600 active cable systems in
                                               resellers are small entities that may be                  of wireless telephony, including cellular
                                                                                                                                                                 to us for two reasons. First, the size standard
                                               affected by our proposals in the Further                  service, Personal Communications                        established by the SBA for Cable and Other
                                               Notice.                                                   Service (PCS), and Specialized Mobile                   Subscription Programming is annual receipts of
                                                  29. Other Toll Carriers. Neither the                   Radio (SMR) services.45 Of this total, an               $38.5 million or less. Thus to use the annual
                                               Commission nor the SBA has developed                      estimated 261 have 1,500 or fewer                       receipts size standard would require the
                                                                                                                                                                 Commission either to switch from existing
                                               a size standard for small businesses                      employees.46 Consequently, the                          employee based size standard of 1,500 employees
                                               specifically applicable to Other Toll                     Commission estimates that                               or less for Wired Telecommunications Carriers, or
                                               Carriers. This category includes toll                     approximately half of these firms can be                else would require the use of two size standards.
                                                                                                                                                                 No official approval of either option has been
                                               carriers that do not fall within the                      considered small. Thus, using available                 granted by the Commission as of the time of the
                                               categories of interexchange carriers,                     data, we estimate that the majority of                  release of the FY 2015 NPRM. Second, the data
                                               operator service providers, prepaid                       wireless firms can be considered small.                 available under the size standard of $38.5 million
                                               calling card providers, satellite service                    31. Cable Television and other                       dollars or less is not applicable at this time, because
                                                                                                                                                                 the only currently available U.S. Census data for
                                               carriers, or toll resellers. The closest                  Subscription Programming.47 Since                       annual receipts of all businesses operating in the
                                               applicable NAICS Code category is for                                                                             NAICS Code category of 515210 (Cable and other
                                               Wired Telecommunications Carriers, as                       42 See   Trends in Telephone Service, at Table 5.3.   Subscription Programming) consists only of total
                                                                                                           43 Id.                                                receipts for all businesses operating in this category
                                               defined in paragraph 6 of this IRFA.
                                                                                                            44 NAICS Code 517210. See http://                    in 2007 and of total annual receipts for all
                                               Under that size standard, such a                                                                                  businesses operating in this category in 2012. Hence
                                                                                                         www.census.gov/cgi-bin/ssd/naics/naiscsrch.
                                               business is small if it has 1,500 or fewer                   45 See Trends in Telephone Service, at Table 5.3.    the data do not provide any basis for determining,
                                               employees.40 Census data for 2007                            46 Id.                                               for either year, how many businesses were small
                                               shows that there were 3,188 firms that                       47 In 2014, ‘‘Cable and Other Subscription           because they had annual receipts of $38.5 million
                                                                                                                                                                 or less. See http://factfinder.census.gov/faces/
                                               operated that year. Of this total, 3,144                  Programming,’’ NAICS Code 515210, replaced a
                                                                                                                                                                 tableservices/jsf/pages/
                                               operated with fewer than 1,000                            prior category, now obsolete, which was called
                                                                                                                                                                 productview.xhtml?pid=ECN_2012_US_
                                                                                                         ‘‘Cable and Other Program Distribution.’’ Cable and
                                               employees.41 Thus, under this category                    Other Program Distribution, prior to 2014, were
                                                                                                                                                                 51I2&prodType=table.
                                               and the associated small business size                    placed under NAICS Code 517110, Wired
                                                                                                                                                                    48 U.S. Census Bureau, 2007 NAICS Definitions,

                                                                                                                                                                 ‘‘517110 Wired Telecommunications Carriers’’
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                                                                                                         Telecommunications Carriers. Wired
                                                 34 See                                                  Telecommunications Carriers is still a current and      (partial definition), (Full definition stated in
                                                          Trends in Telephone Service, at Table 5.3.
                                                 35 Id.                                                  valid NAICS Code Category. Because of the               paragraph 6 of this IRFA) available at http://
                                                                                                         similarity between ‘‘Cable and Other Subscription       www.census.gov/cgi-bin/sssd/naics/naicsrch.
                                                 36 13    CFR 121.201, NAICS code 517911.                                                                           49 13 CFR 121.201, NAICS code 517110.
                                                 37 Id.                                                  Programming’’ and ‘‘Cable and other Program
                                                                                                                                                                    50 http://factfinder.census.gov/faces/
                                                 38 See
                                                                                                         Distribution,’’ we will, in this proceeding, continue
                                                          Trends in Telephone Service, at Table 5.3.     to use Wired Telecommunications Carrier data            tableservices/jsf/pages/
                                                 39 Id.
                                                                                                         based on the U.S. Census. The alternative of using      productview.xhtml?pid=ECN_2007_US-
                                                 40 13    CFR 121.201, NAICS code 517110.                                                                        51SSSZ5&prodType=Table.
                                                                                                         data gathered under Cable and Other Subscription
                                                 41 Id.                                                  Programming (NAICS Code 515210) is unavailable             51 47.CFR 76.901(e).




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                                                                     Federal Register / Vol. 80, No. 195 / Thursday, October 8, 2015 / Proposed Rules                                                    60831

                                               the United States.52 Of this total, all but             with greater precision the number of                  consolidation, or simplification of
                                               ten cable operators nationwide are small                cable system operators that would                     compliance or reporting requirements
                                               under the 400,000-subscriber size                       qualify as small cable operators under                under the rule for small entities; (3) the
                                               standard.53 In addition, under the                      the definition in the Communications                  use of performance, rather than design,
                                               Commission’s rate regulation rules, a                   Act.                                                  standards; and (4) an exemption from
                                               ‘‘small system’’ is a cable system serving                 34. All Other Telecommunications.                  coverage of the rule, or any part thereof,
                                               15,000 or fewer subscribers.54 Current                  ‘‘All Other Telecommunications’’ is                   for small entities.64
                                               Commission records show 4,600 cable                     defined as follows: This U.S. industry is
                                                                                                                                                                37. This Further Notice seeks
                                               systems nationwide.55 Of this total,                    comprised of establishments that are
                                                                                                                                                             comment on the Commission’s
                                               3,900 cable systems have less than                      primarily engaged in providing
                                                                                                                                                             regulatory fee collection for radio and
                                               15,000 subscribers, and 700 systems                     specialized telecommunications
                                                                                                                                                             television broadcasters, including
                                               have 15,000 or more subscribers, based                  services, such as satellite tracking,
                                                                                                                                                             comment on exempting smaller
                                               on the same records.56 Thus, under this                 communications telemetry, and radar
                                                                                                                                                             broadcasters from regulatory fees.
                                               standard as well, we estimate that most                 station operation. This industry also
                                                                                                                                                             Specifically, the Commission seeks
                                               cable systems are small entities.                       includes establishments primarily
                                                                                                                                                             comment on the extent of FTEs that
                                                  33. Cable System Operators (Telecom                  engaged in providing satellite terminal
                                                                                                       stations and associated facilities                    work on video, cable, DBS, and radio
                                               Act Standard). The Communications
                                                                                                       connected with one or more terrestrial                services, and whether the current
                                               Act of 1934, as amended, also contains
                                                                                                       systems and capable of transmitting                   proportion of fees paid by these various
                                               a size standard for small cable system
                                                                                                       telecommunications to, and receiving                  fee categories associated with these
                                               operators, which is ‘‘a cable operator
                                                                                                       telecommunications from, satellite                    services are still accurate. The level of
                                               that, directly or through an affiliate,
                                                                                                       systems. Establishments providing                     FTE activity on these media services
                                               serves in the aggregate fewer than 1
                                                                                                       Internet services or voice over Internet              determines the proportion of fees to be
                                               percent of all subscribers in the United
                                                                                                       protocol (VoIP) services via client-                  paid by each media service fee category,
                                               States and is not affiliated with any
                                                                                                       supplied telecommunications                           which in turn is used to calculate the
                                               entity or entities whose gross annual
                                                                                                       connections are also included in this                 fee amount for each fee category. Since
                                               revenues in the aggregate exceed
                                                                                                       industry.61 The SBA has developed a                   this determines the fee rate for big and
                                               $250,000,000 are approximately
                                                                                                       small business size standard for ‘‘All                small media companies, the
                                               52,403,705 cable video subscribers in
                                                                                                       Other Telecommunications,’’ which                     Commission is sensitive to the impact of
                                               the United States today.57 Accordingly,
                                                                                                       consists of all such firms with gross                 any changes in the proportion of FTE
                                               an operator serving fewer than 524,037
                                                                                                       annual receipts of $32.5 million or                   activity on companies in the media
                                               subscribers shall be deemed a small
                                                                                                       less.62 For this category, census data for            industry.
                                               operator if its annual revenues, when
                                               combined with the total annual                          2007 show that there were 2,383 firms                 F. Federal Rules That May Duplicate,
                                               revenues of all its affiliates, do not                  that operated for the entire year. Of                 Overlap, or Conflict With the Proposed
                                               exceed $250 million in the aggregate.58                 these firms, a total of 2,346 had gross               Rules
                                               Based on available data, we find that all               annual receipts of less than $25
                                               but nine incumbent cable operators are                  million.63 Thus, a majority of ‘‘All Other               38. None.
                                               small entities under this size standard.59              Telecommunications’’ firms potentially
                                                                                                                                                             VI. Ordering Clauses
                                               We note that the Commission neither                     affected by the proposals in the Further
                                               requests nor collects information on                    Notice can be considered small.                          39. Accordingly, it is ordered that,
                                               whether cable system operators are                      D. Description of Projected Reporting,                pursuant to sections 4(i) and (j), 9, and
                                               affiliated with entities whose gross                    Recordkeeping and Other Compliance                    303(r) of the Communications Act of
                                               annual revenues exceed $250 million.60                  Requirements                                          1934, as amended, 47 U.S.C. 154(i),
                                               Although it seems certain that some of                                                                        154(j), 159, and 303(r), this Report and
                                                                                                         35. This Further Notice does not                    Order and Further Notice of Proposed
                                               these cable system operators are
                                                                                                       propose any changes to the                            Rulemaking is hereby adopted.
                                               affiliated with entities whose gross
                                                                                                       Commission’s current information
                                               annual revenues exceed $250,000,000,                    collection, reporting, recordkeeping, or                 40. It is further ordered that this
                                               we are unable at this time to estimate                  compliance requirements.                              Further Notice of Proposed Rulemaking
                                                                                                                                                             comments are due November 9, 2015
                                                  52 August 15, 2015 Report from the Media Bureau      E. Steps Taken To Minimize Significant                and reply comments are due December
                                               based on data contained in the Commission’s Cable       Economic Impact on Small Entities, and
                                               Operations And Licensing System (COALS). See                                                                  7, 2015.
                                                                                                       Significant Alternatives Considered
                                               www/fcc.gov/coals.                                                                                               41. It is further ordered that the
                                                  53 See SNL KAGAN at www.snl.com/interactiveX/           36. The RFA requires an agency to                  Commission’s Consumer &
                                               topcableMSOs aspx?period2015Q1&sortcol=                 describe any significant alternatives that
                                               subscribersbasic&sortorder=desc.                                                                              Governmental Affairs Bureau, Reference
                                                  54 47 CFR76.901(c).
                                                                                                       it has considered in reaching its                     Information Center, shall send a copy of
                                                  55 See footnote 2, supra.
                                                                                                       approach, which may include the                       this Further Notice of Proposed
                                                  56 August 5, 2015 report from the Media Bureau       following four alternatives, among                    Rulemaking, including the Initial
                                               based on its research in COALS. See www.fcc.gov/        others: (1) The establishment of                      Regulatory Flexibility Analysis, to the
                                               coals.                                                  differing compliance or reporting                     Chief Counsel for Advocacy of the U.S.
                                                  57 See SNL KAGAN at www.snl.com/interactivex/
                                                                                                       requirements or timetables that take into             Small Business Administration.
                                               MultichannelIndustryBenchmarks.aspx.
                                                                                                       account the resources available to small
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                                                  58 47.901(f) and notes ff. 1, 2, and 3.
                                                                                                       entities; (2) the clarification,                      Federal Communications Commission.
                                                  59 See SNL KAGAN at www.snl.com/Interactivex/
                                                                                                                                                             Marlene H. Dortch.
                                               TopCable MSOs.aspx.
                                                  60 The Commission does receive such information        61 http://www.census.gov/cgi-bin/ssssd/naics/       Secretary.
                                               on a case-by-case basis if a cable operator appeals     naicsrch.                                             [FR Doc. 2015–25578 Filed 10–7–15; 8:45 am]
                                                                                                         62 13 CFR 121.201; NAICs Code 517919.
                                               a local franchise authority’s finding that the                                                                BILLING CODE 6712–01–P
                                               operator does not qualify as a small cable operator       63 http://factfinder.census.gov/faces/table

                                               pursuant to section 76.901(f) of the Commission’s       services.jasf/pages/productview.xhtml?pid+ECN_
                                               rules. See 47 CFR 76.901(f).                            2007_US.51SSSZ4&prodType=table.                         64 5   U.S.C. 603(c)(1) through (c)(4).



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Document Created: 2015-12-15 08:42:58
Document Modified: 2015-12-15 08:42:58
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesComments are due November 9, 2015 and Reply Comments are due December 7, 2015.
ContactRoland Helvajian, Office of Managing Director at (202) 418-0444.
FR Citation80 FR 60825 

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