82_FR_13460 82 FR 13413 - Connect America Fund; Universal Service Reform-Mobility Fund

82 FR 13413 - Connect America Fund; Universal Service Reform-Mobility Fund

FEDERAL COMMUNICATIONS COMMISSION

Federal Register Volume 82, Issue 47 (March 13, 2017)

Page Range13413-13418
FR Document2017-04988

In this document, the Commission seeks comment on the parameters for the process in determining whether areas are eligible for funding under the Mobility Fund Phase II. The Commission established the framework for the Mobility Fund Phase II in a Report and Order--adopted concurrently with the Further Notice of Proposed Rulemaking (Further Notice)--but had remaining questions regarding the process in which entities may challenge the areas eligible for support. Therefore, the Commission anticipates that additional comment will allow it to make more informed decisions on the challenge process, thereby making a more robust, targeted challenge process that efficiently resolves disputes about areas eligible for MF-II support.

Federal Register, Volume 82 Issue 47 (Monday, March 13, 2017)
[Federal Register Volume 82, Number 47 (Monday, March 13, 2017)]
[Proposed Rules]
[Pages 13413-13418]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-04988]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 54

[WC Docket No. 10-90, WT Docket No. 10-208; FCC 17-11]


Connect America Fund; Universal Service Reform--Mobility Fund

AGENCY: Federal Communications Commission.

ACTION: Proposed rule.

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SUMMARY: In this document, the Commission seeks comment on the 
parameters for the process in determining whether areas are eligible 
for funding under the Mobility Fund Phase II. The Commission 
established the framework for the Mobility Fund Phase II in a Report 
and Order--adopted concurrently with the Further Notice of Proposed 
Rulemaking (Further Notice)--but had remaining questions regarding the 
process in which entities may challenge the areas eligible for support. 
Therefore, the Commission anticipates that additional comment will 
allow it to make more informed decisions on the challenge process, 
thereby making a more robust, targeted challenge process that 
efficiently resolves disputes about areas eligible for MF-II support.

DATES: Comments are due on or before April 12, 2017, and reply comments 
are due on or before April 27, 2017.

ADDRESSES: All filings in response to the Further Notice must refer to 
WC Docket No. 10-90 and WT Docket No. 10-208. The Commission strongly 
encourages parties to develop responses to the Further Notice that 
adhere to the organization and structure of the Further Notice. 
Comments may be filed using the Commission's Electronic Comment Filing 
System (ECFS):
     Electronic Filers: Comments may be filed electronically 
using the Internet by accessing ECFS: http://fjallfoss.fcc.gov/ecfs2.
     Paper Filers: Parties who choose to file by paper must 
file an original and one copy of each filing. Filers must submit two 
additional copies for each additional docket or rulemaking number. 
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

[[Page 13414]]

filings must be addressed to the Commission's Secretary, Office of the 
Secretary, Federal Communications Commission. All hand-delivered or 
messenger-delivered paper filings for the Commission's Secretary must 
be delivered to FCC Headquarters at 445 12th Street 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. 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. U.S. Postal Service first-class, 
Express, and Priority mail must be addressed to 445 12th Street SW., 
Washington, DC 20554.
     People with Disabilities: Contact the FCC to request 
reasonable accommodations (accessible format documents, sign language 
interpreters, CART, etc.) by email: [email protected] or phone: 202-418-
0530 or TTY: 202-418-0432.
    For detailed instructions for submitting comments and additional 
information on the rulemaking process, see the SUPPLEMENTARY 
INFORMATION section of this document.

FOR FURTHER INFORMATION CONTACT: Wireless Telecommunications Bureau, 
Auction and Spectrum Access Division, Mark Montano, at (202) 418-0660.

SUPPLEMENTARY INFORMATION: This is a summary of the Commission's 
Further Notice of Proposed Rulemaking (Further Notice) in WC Docket No. 
10-90, WT Docket No. 10-208, FCC 17-11, adopted on February 23, 2017, 
and released on March 7, 2017. The proceeding related to this Further 
Notice 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 (1) list 
all persons attending or otherwise participating in the meeting at 
which the ex parte presentation was made, and (2) summarize all data 
presented and arguments made 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 rule section 
1.1206(b). In proceedings governed by rule section 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.

Initial Paperwork Reduction Act of 1995 Analysis

    The Further Notice contains proposed new or modified information 
collection requirements. The Commission, as part of its continuing 
effort to reduce paperwork burdens, invites the general public and the 
Office of Management and Budget (OMB) to comment on the information 
collection requirements contained in this document, as required by the 
Paperwork Reduction Act of 1995, Public Law 104-13. In addition, 
pursuant to the Small Business Paperwork Relief Act of 2002, Public Law 
107-198, see 44 U.S.C. 3506(c)(4), the Commission seeks specific 
comment on how it might further reduce the information collection 
burden for small business concerns with fewer than 25 employees.

I. Introduction

    1. In the Further Notice, the Commission seeks further comment on 
the parameters for the process in determining whether areas are 
eligible for funding under the Mobility Fund Phase II (MF-II). In the 
months leading up to adoption of the MF-II Order, the Commission 
received a number of specific record filings, including detailed, 
technical proposals, regarding the process for challenging whether 
areas will be eligible for MF-II funding. In order to make more 
informed decisions on the challenge process, the Commission sought 
further comment on the parameters for the challenge process for MF-II.
    2. The Commission commits to a robust, targeted challenge process 
that efficiently resolves disputes about areas eligible for MF-II 
support. The Commission's overarching objective is to quickly 
transition away from the legacy competitive eligible telecommunications 
carrier (CETC) support system, where support was never awarded based on 
the need to support the deployment of mobile broadband, to a system 
directed to that policy goal. The Commission's commitment to fiscal 
responsibility requires that it not fund areas that already have 4G LTE 
from an unsubsidized provider. At the same time, the Commission wants 
to ensure that areas that may require support for qualified 4G LTE are 
eligible for, and potentially receive, MF-II support. The challenge 
process is an integral part of that determination, to build upon and 
improve provider-filed and -certified Form 477 data, which remain the 
best available data source.
    3. The Commission recognizes that any challenge process will 
necessarily involve tradeoffs in terms of burdens imposed on interested 
parties and the Commission, as well as the timeliness and accuracy. As 
such, the Commission is committed to designing the challenge process so 
that it is as efficient as possible. It does not want to unduly burden 
challenging parties by creating so high an evidentiary standard that it 
deters stakeholders from challenging even the most obviously mis-
categorized areas. Conversely, the Commission is cognizant of the 
burdens imposed on parties whose coverage is challenged merely on the 
basis of anecdotal, unsystematic claims--the burdens of having to spend 
resources to defend coverage areas in Form 477 filings that they have 
already certified as accurate. The Commission also will take into 
account that smaller providers will have fewer resources available, and 
therefore specifically seeks comment on ways in which the burden of the 
challenge process can be reduced for smaller providers.
    4. Additionally, the challenge process must be administratively 
efficient. As discussed in the MF-II Order, there is a need to move 
forward rapidly with MF-II to retarget universal service support being 
provided to mobile carriers; the challenge process must not impede the 
implementation of MF-II support. There is a demonstrated need for MF-II 
support in many areas of the country where support is not provided 
today, and that support must be disbursed to unserved areas without 
unreasonable delay.

[[Page 13415]]

    5. The Commission seeks comment on these guiding principles for the 
challenge process and whether it should take into consideration 
additional principles as it designs the process. In addition, the 
Commission seeks comment on the extent to which these principles are 
furthered by the specific parameters for the challenge process outlined 
in the Further Notice.
    6. In addition, the Commission recognizes that no matter how well 
engineered, no wireless network has 100 percent reliability. Even in 
areas of generally good coverage there may be small regions where 
performance is less than desired, especially due to natural or 
manufactured obstructions, areas far inside buildings, basements, and 
so forth. In light of these network characteristics, the Commission 
asks what standards and guidance will help staff in the Commission's 
Wireless Telecommunications Bureau evaluate challenges and expedite 
their resolution?
    7. The Commission seeks general comment on a couple of potential 
structures for the challenge process. While the Further Notice presents 
them as separate options, the Commission makes clear that it is not 
proposing to adopt either option wholesale. Rather, the Commission 
intends to take the most effective parameters from these various 
options, as well as possible additional alternatives, to assemble a 
``best in class'' structure for the challenge process.

II. Option A

    8. Initial Challenge. The challenge would consist of a 
certification by the challenging party that in a specific area, the 
party has a good faith belief, based on actual knowledge or past data 
collection, that there is not 4G LTE with at least 5 Mbps download 
speed coverage as depicted on Form 477. The specific area challenged 
may be for a partial census block or full census block(s). In support 
of such a challenge, the party would need to file a shapefile in a 
standard format of the challenged area. What, if any, evidence should 
be required in support of an initial challenge? What standards should 
be required for the submission of an initial challenge?
    9. A challenge of an area could be made by either a carrier that is 
submitting a challenge within its licensed area or a state or local 
government that is submitting a challenge within its jurisdiction, 
potentially through a state public utilities commission (PUC). The 
Commission seeks comment on whether additional parties (carriers that 
are potential entrants, consumers, etc.) should be allowed to submit 
challenges.
    10. The Commission seeks comment regarding whether it should 
require that the challenged area be at least a minimum size. Would 
automatically dismissing de minimis challenges (e.g., challenges that 
address a very small percentage of the square miles in a given census 
block group or census tract) further administrative efficiency? If so, 
what should the Commission set as the minimum size for a challenge?
    11. Moreover, the Commission seeks comment regarding whether it 
should permit challenges for areas that the Wireless Telecommunications 
Bureau and the Wireline Competition Bureau (the Bureaus) identify as 
eligible (i.e., areas where the Form 477 data show no qualified 4G LTE 
coverage from an unsubsidized carrier). The Commission anticipates that 
there would be far fewer such challenges than for ineligible areas 
since the challenging party would likely be the same carrier that 
submitted--and certified--the Form 477 data that allegedly shows too 
small a coverage area. Should the Commission's challenge process allow 
what are in essence Form 477 corrections? Should those challenges be 
limited to corrections in the Bureaus' processing of the Form 477 data 
as filed?
    12. Propagation Map Response. A challenged carrier may respond by 
submitting an engineering (propagation) map that demonstrates expected 
coverage for the challenged area. The submission must be substantiated 
by the certification of a qualified engineer, under penalty of perjury. 
The Commission seeks comment on the specific technical parameters for 
the propagation model and the shapefile, and how much time challenged 
carriers would require to respond. Should the Commission adopt a signal 
strength threshold for the map? Should the measure be -90 dB (Received 
Signal Strength Indicator or RSSI) or a different amount? One 
commenter, for example, has proposed that a coverage map for the 
challenge process use a -85 dB measure. Should any signal strength be 
set based on RSSI or Reference Signal Received Power (RSRP) 
measurements? Is there a particular resolution that the Commission 
should require for the shapefile? Should the Commission specify any 
other parameters?
    13. The Commission seeks comment on the utility of such shapefiles 
in the challenge process. It recognizes that such maps do not actually 
portray the consumer's experience throughout the area at issue, given 
in part that a consumer's experience depends on variables other than 
signal strength. Nevertheless, such maps may be a reasonable step to 
build into the challenge process for the purpose of narrowing the areas 
requiring further evidence to resolve the challenge.
    14. Submission of Evidence of Actual Speeds Being Provided to 
Consumers. Once the challenged carrier has timely submitted a map that 
shows the challenged area to be within the contour of coverage, the 
original challenger may submit actual speed data (potentially with 
supporting signal strength data) from hardware- or software-based drive 
tests or app-based tests (e.g., such as those from established 
companies such as Ookla, Rootmetrics, Nielsen, and Mosaik) that 
spatially cover the challenged area. This submission must also be 
substantiated by the certification of a qualified engineer, under 
penalty of perjury. What parameters should be specified to ensure that 
the evidence accurately reflects consumer experience in the challenged 
area? For instance, should the number of test locations be 
proportionate to the amount of area challenged? How many tests should 
be done per location? What other parameters should be included in 
specifying how these tests are done?
    15. Once a challenger submits evidence of actual speeds, what 
evidence of actual speeds should be accepted from the provider whose 
coverage is being challenged? How much time should be allowed for the 
submission of actual speed data?
    16. Resolution of Challenge. A party seeking to challenge the 
Bureaus' initial determination of eligibility for MF-II support would 
have the burden of proving its claims by a preponderance of the 
evidence (i.e., enough evidence to make it more likely than not that 
the status the claimant seeks to prove is true). The Commission seeks 
comment on this evidentiary standard. Should it require challengers to 
meet a higher standard, such as clear and convincing evidence? Should 
the submission of evidence of actual speeds be permitted, or required, 
and how should that affect the resolution of challenges?

III. Option B

    17. In a recent filing, a large, mid-sized, and small provider 
submitted a joint proposal for how the Commission should structure the 
challenge process. The following parameters are based on that joint 
proposal.
    18. Challenge. Under the joint proposal, challenging parties would 
have 60 days following the Commission's release of a list of eligible 
areas to submit evidence, which would be filed in the public record. 
Parties would be permitted to challenge areas

[[Page 13416]]

that they claim are incorrectly identified as ineligible or eligible. 
Service providers and governmental entities located in or near the 
relevant areas would be only parties eligible to participate.
    19. Also under the joint proposal, the evidence submitted in a 
challenge must include a map(s) in shapefile format, of the challenged 
area. In addition, challenging parties must report actual download 
speed test data using either actual speed tests or transmitter 
monitoring data. For the actual speed tests, data from app-based tests 
(many of which are freely available on consumer devices), and both 
hardware- and software-based drive tests would be permitted, so long as 
they met certain standards. For example, with app-based tests and 
software-based drive tests, late-model LTE devices compatible with a 
particular carrier's LTE network could be used to measure the speed. 
What requirements should the Commission adopt for speed tests to ensure 
that they will be representative of coverage in a disputed area, 
including those pertaining to time and distance between tests? In 
considering these issues, the Commission will need to balance the 
accuracy of any challenge, the burdens on affected parties, and the 
timeliness of resolution. The challenge evidence must be certified 
under penalty of perjury.
    20. Response. Under the joint proposal, challenged parties would 
have 30 days to file their certified responses. The responses must meet 
the same requirements as those for challenging parties--i.e., coverage 
shapefiles and speed test data.
    21. The Commission seeks comment on the burden of requiring this 
level of response from challenged parties. In particular, should the 
Commission require the same or reduced evidence from those parties that 
do not have the burden of proof? The Commission acknowledges that 
requiring equivalent data from both parties is likely to assist the 
Bureaus in resolving challenges more efficiently. However, are those 
efficiency gains outweighed by the burden placed on the challenged 
party?
    22. Resolution. Under the joint proposal, the Commission would 
reach decisions based on the weight of the evidence and determine 
whether any changes to its initial list of eligible areas is warranted.

IV. Additional Options

    23. The Commission seeks comment as well on any additional options 
that parties may wish to propose. For example, one proposal would 
require all Form 477 filers whose filings represent a basis for 
declaring certain areas not eligible for MF-II support to (1) 
supplement those filings within 60 days of the release of a preliminary 
list of areas not eligible for MF-II support and (2) notify other 
service providers in those areas of their supplemented Form 477 filings 
and their declaration that they provide voice and LTE service in those 
areas. Those other service providers would have 30 days to challenge 
those declarations of service.
    24. The Commission reiterates that it is not necessarily going to 
adopt either of the options discussed in the Further Notice and 
summarized above. Therefore, the Commission urges commenters to come up 
with additional proposals, including consensus proposals that 
accommodate the interests of multiple parties. This is particularly 
important to the extent the options discussed above do not adequately 
address issues that are essential to the structuring of an effective 
and efficient challenge process.

V. Initial Regulatory Flexibility Analysis

    25. As required by the Regulatory Flexibility Act of 1980, as 
amended (RFA), the Commission has prepared this Initial Regulatory 
Flexibility Analysis (IRFA) of the possible significant economic impact 
on a substantial number of small entities from the policies and rules 
proposed in this Further Notice of Proposed Rulemaking (Further 
Notice). The Commission requests written public comment on this IRFA. 
Comments must be identified as responses to the IRFA and must be filed 
by the deadlines for comments provided in the Further Notice. The 
Commission will send a copy of the Further Notice, including this IRFA, 
to the Chief Counsel for Advocacy of the Small Business Administration 
(SBA).

A. Need for, and Objectives of, the Proposed Rules

    26. In the MF-II Order, the Commission adopted the framework for 
moving forward with the Mobility Fund Phase II (MF-II) and Tribal 
Mobility Fund Phase II, which will allocate up to $4.53 billion over 
the next decade to advance the deployment of 4G LTE service to areas 
that are so costly that the private sector has not yet deployed there 
and to preserve such service where it might not otherwise exist. The 
funding for this effort will come from the redirection of legacy 
subsidies and distributed using a market-based, multi-round reverse 
auction and will come with defined, concrete compliance requirements so 
that rural consumers will be adequately served by the mobile carriers 
receiving universal service support.
    27. In the Further Notice, the Commission proposes a robust 
challenge process to supplement the Commission's coverage maps and to 
ensure that it is targeting support where it is most needed. 
Specifically, because record filings have become more specific the past 
several months, including detailed, technical proposals regarding the 
challenge process in the past few weeks, the Commission seeks further 
comment on the parameters for the challenge process for MF-II. The 
Commission is committed to a robust, targeted challenge process that 
efficiently resolves disputes about areas eligible for MF-II support. 
Its overarching objective is to quickly transition away from the legacy 
CETC support system, where support was never awarded based on the need 
to support the deployment of mobile broadband, to a system directed to 
that policy goal. The challenge process is an integral part of that 
determination, to build upon and improve provider-filed and -certified 
Form 477 data, which remain the best available data source. The 
Commission, therefore, seeks general comment on a couple of potential 
structures for the challenge process. While the Commission has 
presented them in this Further Notice as separate options, it is not 
proposing to adopt either option wholesale. Rather, the Commission 
intends to take the most effective parameters from these various 
options, as well as possible additional alternatives, to assemble a 
``best in class'' structure for the challenge process.

B. Description and Estimate of the Number of Small Entities To Which 
the Proposed Rules Will Apply

    28. 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, if adopted. The RFA generally defines 
the term ``small entity'' as having the same meaning as the terms 
``small business,'' ``small organization,'' and ``small governmental 
jurisdiction.'' In addition, the term ``small business'' has the same 
meaning as the term ``small-business concern'' under the Small Business 
Act. A ``small-business concern'' is one which: (1) Is independently 
owned and operated; (2) is not dominant in its field of operation; and 
(3) satisfies any additional criteria established by the SBA.
    29. Small Entities, Small Organizations, Small Governmental 
Jurisdictions. The Commission's proposed actions, over time, may affect

[[Page 13417]]

small entities that are not easily categorized at present. The 
Commission therefore describe, at the outset, three comprehensive small 
entity size standards that could be directly affected herein. As of 
2014, according to the SBA, there were 28.2 million small businesses in 
the U.S., which represented 99.7% of all businesses in the United 
States. Additionally, a ``small organization'' is generally ``any not-
for-profit enterprise which is independently owned and operated and is 
not dominant in its field.'' Nationwide, as of 2007, there were 
approximately 1,621,215 small organizations. 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.'' Census 
Bureau data for 2012 indicate that there were 89,476 local governmental 
jurisdictions in the United States. The Commission estimates that, of 
this total, as many as 88,761 entities may qualify as ``small 
governmental jurisdictions.'' Thus, the Commission estimates that most 
governmental jurisdictions are small.
    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. Establishments in this industry have spectrum licenses and 
provide services using that spectrum, such as cellular services, paging 
services, wireless internet access, and wireless video services. The 
appropriate size standard under SBA rules is that such a business is 
small if it has 1,500 or fewer employees. For this industry, census 
data for 2012 show that there were 967 firms that operated for the 
entire year. Of this total, 955 firms had employment of 999 or fewer 
employees and 12 had employment of 1000 employees or more. 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, and Specialized Mobile Radio 
Telephony services. Of this total, an estimated 261 have 1,500 or fewer 
employees, and 152 have more than 1,500 employees. Thus, using 
available data, the Commission estimates that the majority of wireless 
firms can be considered small.
    31. Internet Service Providers. 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.'' The SBA has developed a small business size standard 
for Wired Telecommunications Carriers, which consists of all such firms 
having 1,500 or fewer employees. Census Bureau data for 2012 shows that 
there were 3,117 firms that operated for the entire year. Of this 
total, 3,083 firms had employment of 999 or fewer employees, and 34 
firms had employment of 1,000 employees or more. Thus, under this size 
standard, the majority of firms in this industry can be considered 
small. In addition, while Internet Service Providers (broadband) are a 
subcategory of the broader category of Wired Telecommunications 
Carrier, there is Census Bureau data specific to Internet Service 
Providers (broadband). For 2012, Census Bureau data shows there were a 
total of 1,180 firms in the subcategory of Internet Service Providers 
(broadband) that operated for the entire year. Of this total, 1,178 
firms had employment of 999 or fewer employees, and two firms had 
employment of 1000 employees or more. Consequently, the Commission 
estimates that the majority of these firms are small entities that may 
be affected by rules adopted pursuant to the MF-II Order.

C. Description of Projected Reporting, Recordkeeping, and Other 
Compliance Requirements for Small Entities

    32. In the Further Notice, the Commission seeks further comment on 
the parameters for the challenge process for MF-II. It seeks general 
comment on a couple of potential structures for the challenge process: 
(1) A proposal by one mobile provider (Option A); and (2) a joint 
proposal by three providers (Option B). The Commission seeks comment as 
well on any additional options that parties may wish to propose, such 
as, for instance, a proposal that would require all Form 477 filers 
whose filings represent a basis for declaring certain areas not 
eligible for MF-II support to supplement those filings within 60 days 
of the release of a preliminary list of areas not eligible for MF-II 
support. The Commission urges commenters to come up with additional 
proposals, including consensus proposals that accommodate the interests 
of multiple parties.
    33. Under Option A, the challenge would consist of a certification 
by the challenging party that in a specific area, the party has a good 
faith belief, based on actual knowledge or past data collection, that 
there is not 4G LTE with at least 5 Mbps download speed coverage as 
depicted on Form 477. In support of such a challenge, the party would 
need to file a shapefile in a standard format of the challenged area. A 
challenge of an area could be made by either a carrier that is 
submitting a challenge within its license area or a state or local 
government that is submitting a challenge within its jurisdiction, 
potentially through a state PUC. A challenged carrier may respond by 
submitting an engineering (propagation) map that demonstrates expected 
coverage for the challenged area. The submission must be substantiated 
by the certification of a qualified engineer, under penalty of perjury. 
Once the challenged carrier has timely submitted a map that shows the 
challenged area to be within the contour of coverage, the original 
challenger may submit actual speed data (potentially with supporting 
signal strength data) from hardware- or software-based drive tests or 
app-based tests (e.g., such as those from established companies such as 
Ookla, Rootmetrics, Nielsen, and Mosaik) that spatially cover the 
challenged area. This submission must also be substantiated by the 
certification of a qualified engineer, under penalty of perjury. A 
party seeking to challenge the Bureaus' initial determination of 
eligibility for MF-II support would have the burden of proving its 
claims by a preponderance of the evidence.
    34. Under Option B, challenging parties would have 60 days 
following the Commission's release of a list of eligible areas to 
submit evidence, which would be filed in the public record. Service 
providers and governmental entities located in or near the relevant 
areas would be only parties eligible to participate. The evidence 
submitted in a challenge must include a map(s) in shapefile format, of 
the challenged area. In addition, challenging parties must report 
actual download speed test data using either actual speed tests or 
transmitter monitoring data. For the actual speed tests, data from app-
based tests (many of which are freely available on consumer devices), 
and both hardware- and software-based drive

[[Page 13418]]

tests would be permitted, so long as they met certain standards. The 
challenge evidence must be certified under penalty of perjury. 
Challenged parties would have 30 days to file their certified 
responses. The responses must meet the same requirements as those for 
challenging parties--i.e., coverage shapefiles and speed test data. The 
Commission would reach decisions based on the weight of the evidence 
and determine whether any changes to its initial list of eligible areas 
is warranted.

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

    35. The RFA requires an agency to describe any significant 
alternatives that it has considered in reaching its proposed approach, 
which may include the following four alternatives, among others: ``(1) 
the establishment of differing compliance or reporting requirements or 
timetables that take into account the resources available to small 
entities; (2) the clarification, consolidation, or simplification of 
compliance or reporting requirements under the rule for small entities; 
(3) the use of performance, rather than design, standards; and (4) an 
exemption from coverage of the rule, or any part thereof, for small 
entities.'' The Commission expects to consider all these factors when 
it has received substantive comment from the public and potentially 
affected entities.
    36. The Commission has made an effort to anticipate the challenges 
faced by small entities in complying with its rules. For example, the 
Commission specifically notes that smaller providers will have fewer 
resources available, and therefore specifically seeks comment on ways 
in which it can reduce the burden of the challenge process on smaller 
providers. The Commission also seeks comment on specific principles of 
the challenge proposals and ways to make them as efficient as possible 
for all interested parties, including small entities.
    37. Option A. In order to further administrative efficiency, the 
Further Notice seeks comment on whether the Commission should require 
that the challenged area be at least a minimum size and whether it 
should automatically dismiss de minimis challenges (e.g., challenges 
that address a very small percentage of the square miles in a given 
census block group or census tract). The Further Notice also seeks 
comment regarding whether the Commission should permit challenges for 
areas that the Bureaus identify as eligible (i.e., areas where the Form 
477 data show no qualified 4G LTE coverage from an unsubsidized 
carrier), which could further promote efficiencies for all parties, 
including small entities. The Commission emphasizes that there would be 
far fewer such challenges than for ineligible areas since the 
challenging party would likely be the same carrier that submitted--and 
certified--the Form 477 data that allegedly shows too small a coverage 
area. Recognizing the burden that may be placed on parties responding 
to challenges and rebuttals, including small entities, the Further 
Notice requests comment on the specific technical parameters that must 
be provided and how much time challenged carriers, or original 
challengers, would require to respond.
    38. Option B. In addition to seeking comment on the proposals of 
Option B, the Commission asks what requirements it should adopt for 
speed tests to ensure that they will be representative of coverage in a 
disputed area, including those pertaining to time and distance between 
tests. The Commission notes that it will need to balance the accuracy 
of any challenge with the burdens on affected parties, including small 
entities, and the timeliness of resolution. The Commission also seeks 
comment on whether the burden of proof should be the same or reduced 
for challenged parties, including small entities, recognizing that 
efficiency gains could be outweighed by the burden placed on the 
challenged party.
    39. More generally, the Commission expects to consider the economic 
impact on small entities, as identified in comments filed in response 
to the Further Notice and the IRFA contained therein, in reaching its 
final conclusions and taking action in this proceeding. The proposals 
and questions laid out in the Further Notice were designed to ensure 
the Commission has a complete understanding of the benefits and 
potential burdens associated with the different actions and methods.

Federal Communications Commission.
Marlene H. Dortch,
Secretary.
[FR Doc. 2017-04988 Filed 3-10-17; 8:45 am]
 BILLING CODE 6712-01-P



                                                                             Federal Register / Vol. 82, No. 47 / Monday, March 13, 2017 / Proposed Rules                                                 13413

                                                    Captain of the Port Charleston or a                     Multimedia submissions (audio, video,                   Dated: January 3, 2017.
                                                    designated representative.                              etc.) must be accompanied by a written                Alexis Strauss,
                                                      (3) The Coast Guard will provide                      comment. The written comment is                       Acting Regional Administrator, Region IX.
                                                    notice of the regulated area by Local                   considered the official comment and                   [FR Doc. 2017–04782 Filed 3–10–17; 8:45 am]
                                                    Notice to Mariners, Broadcast Notice to                 should include discussion of all points               BILLING CODE 6560–50–P
                                                    Mariners, and on-scene designated                       you wish to make. The EPA will
                                                    representatives.                                        generally not consider comments or
                                                      (d) Enforcement period. This rule will                comment contents located outside of the               FEDERAL COMMUNICATIONS
                                                    be enforced on from 7 a.m. until 9 a.m.                 primary submission (i.e. on the web,                  COMMISSION
                                                    on April 23, 2017.
                                                                                                            cloud, or other file sharing system). For
                                                      Dated: March 7, 2017.                                 additional submission methods, please                 47 CFR Part 54
                                                    G. L. Tomasulo,                                         contact the person identified in the FOR              [WC Docket No. 10–90, WT Docket No. 10–
                                                    Captain, U.S. Coast Guard, Captain of the               FURTHER INFORMATION CONTACT section.                  208; FCC 17–11]
                                                    Port Charleston.                                        For the full EPA public comment policy,
                                                    [FR Doc. 2017–04878 Filed 3–10–17; 8:45 am]             information about CBI or multimedia                   Connect America Fund; Universal
                                                    BILLING CODE 9110–04–P                                  submissions, and general guidance on                  Service Reform—Mobility Fund
                                                                                                            making effective comments, please visit               AGENCY:  Federal Communications
                                                                                                            http://www2.epa.gov/dockets/                          Commission.
                                                    ENVIRONMENTAL PROTECTION                                commenting-epa-dockets.                               ACTION: Proposed rule.
                                                    AGENCY
                                                                                                            FOR FURTHER INFORMATION CONTACT:
                                                                                                                                                                  SUMMARY:   In this document, the
                                                    40 CFR Part 52                                          Ginger Vagenas, EPA Region IX, (415)
                                                                                                                                                                  Commission seeks comment on the
                                                                                                            972–3964, vagenas.ginger@epa.gov.
                                                    [EPA–R09–OAR–2016–0772; FRL–9958–18–                                                                          parameters for the process in
                                                    Region 9]                                               SUPPLEMENTARY INFORMATION:                            determining whether areas are eligible
                                                                                                            Throughout this document, ‘‘we,’’ ‘‘us’’              for funding under the Mobility Fund
                                                    Determination of Attainment and                         and ‘‘our’’ refer to the EPA. This                    Phase II. The Commission established
                                                    Approval of Base Year Emissions                         proposal pertains to the 2008 winter and              the framework for the Mobility Fund
                                                    Inventories for the Imperial County,                                                                          Phase II in a Report and Order—adopted
                                                                                                            annual base year emissions inventories
                                                    California Fine Particulate Matter                                                                            concurrently with the Further Notice of
                                                                                                            in a plan submitted by the California Air
                                                    Nonattainment Area                                                                                            Proposed Rulemaking (Further
                                                                                                            Resources Board to address the
                                                    AGENCY:  Environmental Protection                       attainment planning requirements for                  Notice)—but had remaining questions
                                                    Agency (EPA).                                           the Imperial County NA. It also                       regarding the process in which entities
                                                    ACTION: Proposed rule.                                  addresses our determination (also                     may challenge the areas eligible for
                                                                                                            referred to as a clean data determination             support. Therefore, the Commission
                                                    SUMMARY:   The Environmental Protection                                                                       anticipates that additional comment
                                                                                                            or CDD) that the Imperial County NA
                                                    Agency (EPA) is determining that the                                                                          will allow it to make more informed
                                                                                                            has attained the 2006 24-hour PM2.5
                                                    Imperial County, California Moderate                                                                          decisions on the challenge process,
                                                                                                            NAAQS. In the Rules and Regulations
                                                    nonattainment area (‘‘the Imperial                                                                            thereby making a more robust, targeted
                                                                                                            section of this issue of the Federal                  challenge process that efficiently
                                                    County NA’’) has attained the 2006 24-
                                                                                                            Register, we are approving the 2008                   resolves disputes about areas eligible for
                                                    hour fine particulate matter (PM2.5)
                                                    national ambient air quality standard                   winter and annual base year emissions                 MF–II support.
                                                    (NAAQS). The EPA is also approving a                    inventories and making this CDD in a
                                                                                                                                                                  DATES: Comments are due on or before
                                                    revision to California’s state                          direct final action without prior
                                                                                                                                                                  April 12, 2017, and reply comments are
                                                    implementation plan (SIP) consisting of                 proposal because we believe this SIP                  due on or before April 27, 2017.
                                                    the 2008 winter and annual base year                    revision and CDD are not controversial.
                                                                                                                                                                  ADDRESSES: All filings in response to the
                                                    emissions inventories for the Imperial                  If, however, we receive adverse
                                                                                                                                                                  Further Notice must refer to WC Docket
                                                    County NA submitted by California Air                   comments we will publish a timely
                                                                                                                                                                  No. 10–90 and WT Docket No. 10–208.
                                                    Resources Board on January 9, 2015.                     withdrawal of the direct final rule and               The Commission strongly encourages
                                                    DATES: Any comments on this proposal                    address the comments in subsequent                    parties to develop responses to the
                                                    must arrive by April 12, 2017.                          action based on this proposed rule. If we             Further Notice that adhere to the
                                                    ADDRESSES: Submit your comments,                        receive adverse comment on a distinct                 organization and structure of the
                                                    identified by Docket ID No. EPA–R09–                    provision of this rulemaking, we will                 Further Notice. Comments may be filed
                                                    OAR–2016–0772 at http://                                publish a timely withdrawal in the                    using the Commission’s Electronic
                                                    www.regulations.gov, or via email to                    Federal Register indicating which                     Comment Filing System (ECFS):
                                                    Ginger Vagenas, at vagenas.ginger@                      provision we are withdrawing. The                        • Electronic Filers: Comments may be
                                                    epa.gov. For comments submitted at                      provision that is not withdrawn will                  filed electronically using the Internet by
                                                    Regulations.gov, follow the online                      become effective on the date set out                  accessing ECFS: http://fjallfoss.fcc.gov/
                                                    instructions for submitting comments.                   above, notwithstanding adverse                        ecfs2.
                                                    Once submitted, comments cannot be                      comment on the other provision.                          • Paper Filers: Parties who choose to
jstallworth on DSK7TPTVN1PROD with PROPOSALS




                                                    removed or edited from Regulations.gov.                    We do not plan to open a second                    file by paper must file an original and
                                                    For either manner of submission, the                    comment period, so anyone interested                  one copy of each filing. Filers must
                                                    EPA may publish any comment received                    in commenting should do so at this                    submit two additional copies for each
                                                    to its public docket. Do not submit                                                                           additional docket or rulemaking
                                                                                                            time. If we do not receive adverse
                                                    electronically any information you                                                                            number. Filings can be sent by hand or
                                                                                                            comments, no further activity is
                                                    consider to be Confidential Business                                                                          messenger delivery, by commercial
                                                                                                            planned. For further information, please
                                                    Information (CBI) or other information                                                                        overnight courier, or by first-class or
                                                    whose disclosure is restricted by statute.              see the direct final action.                          overnight U.S. Postal Service mail. All


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                                                    13414                   Federal Register / Vol. 82, No. 47 / Monday, March 13, 2017 / Proposed Rules

                                                    filings must be addressed to the                        written comments, memoranda or other                     2. The Commission commits to a
                                                    Commission’s Secretary, Office of the                   filings in the proceeding, the presenter              robust, targeted challenge process that
                                                    Secretary, Federal Communications                       may provide citations to such data or                 efficiently resolves disputes about areas
                                                    Commission. All hand-delivered or                       arguments in his or her prior comments,               eligible for MF–II support. The
                                                    messenger-delivered paper filings for                   memoranda, or other filings (specifying               Commission’s overarching objective is
                                                    the Commission’s Secretary must be                      the relevant page and/or paragraph                    to quickly transition away from the
                                                    delivered to FCC Headquarters at 445                    numbers where such data or arguments                  legacy competitive eligible
                                                    12th Street SW., Room TW–A325,                          can be found) in lieu of summarizing                  telecommunications carrier (CETC)
                                                    Washington, DC 20554. The filing hours                  them in the memorandum. Documents                     support system, where support was
                                                    are 8:00 a.m. to 7:00 p.m. All hand                     shown or given to Commission staff                    never awarded based on the need to
                                                    deliveries must be held together with                   during ex parte meetings are deemed to                support the deployment of mobile
                                                    rubber bands or fasteners. Any                          be written ex parte presentations and                 broadband, to a system directed to that
                                                    envelopes and boxes must be disposed                    must be filed consistent with rule                    policy goal. The Commission’s
                                                    of before entering the building.                        section 1.1206(b). In proceedings                     commitment to fiscal responsibility
                                                    Commercial overnight mail (other than                   governed by rule section 1.49(f) or for               requires that it not fund areas that
                                                    U.S. Postal Service Express Mail and                    which the Commission has made                         already have 4G LTE from an
                                                    Priority Mail) must be sent to 9300 East                available a method of electronic filing,              unsubsidized provider. At the same
                                                    Hampton Drive, Capitol Heights, MD                      written ex parte presentations and                    time, the Commission wants to ensure
                                                    20743. U.S. Postal Service first-class,                 memoranda summarizing oral ex parte                   that areas that may require support for
                                                    Express, and Priority mail must be                      presentations, and all attachments                    qualified 4G LTE are eligible for, and
                                                    addressed to 445 12th Street SW.,                       thereto, must be filed through the                    potentially receive, MF–II support. The
                                                    Washington, DC 20554.                                   electronic comment filing system                      challenge process is an integral part of
                                                       • People with Disabilities: Contact the              available for that proceeding, and must               that determination, to build upon and
                                                    FCC to request reasonable                               be filed in their native format (e.g., .doc,          improve provider-filed and -certified
                                                    accommodations (accessible format                       .xml, .ppt, searchable .pdf). Participants            Form 477 data, which remain the best
                                                    documents, sign language interpreters,                  in this proceeding should familiarize                 available data source.
                                                    CART, etc.) by email: FCC504@fcc.gov                    themselves with the Commission’s ex                      3. The Commission recognizes that
                                                    or phone: 202–418–0530 or TTY: 202–                     parte rules.                                          any challenge process will necessarily
                                                    418–0432.                                               Initial Paperwork Reduction Act of                    involve tradeoffs in terms of burdens
                                                       For detailed instructions for                        1995 Analysis                                         imposed on interested parties and the
                                                    submitting comments and additional                                                                            Commission, as well as the timeliness
                                                    information on the rulemaking process,                    The Further Notice contains proposed
                                                                                                            new or modified information collection                and accuracy. As such, the Commission
                                                    see the SUPPLEMENTARY INFORMATION                                                                             is committed to designing the challenge
                                                    section of this document.                               requirements. The Commission, as part
                                                                                                            of its continuing effort to reduce                    process so that it is as efficient as
                                                    FOR FURTHER INFORMATION CONTACT:                                                                              possible. It does not want to unduly
                                                                                                            paperwork burdens, invites the general
                                                    Wireless Telecommunications Bureau,                     public and the Office of Management                   burden challenging parties by creating
                                                    Auction and Spectrum Access Division,                   and Budget (OMB) to comment on the                    so high an evidentiary standard that it
                                                    Mark Montano, at (202) 418–0660.                        information collection requirements                   deters stakeholders from challenging
                                                    SUPPLEMENTARY INFORMATION: This is a                    contained in this document, as required               even the most obviously mis-categorized
                                                    summary of the Commission’s Further                     by the Paperwork Reduction Act of                     areas. Conversely, the Commission is
                                                    Notice of Proposed Rulemaking (Further                  1995, Public Law 104–13. In addition,                 cognizant of the burdens imposed on
                                                    Notice) in WC Docket No. 10–90, WT                      pursuant to the Small Business                        parties whose coverage is challenged
                                                    Docket No. 10–208, FCC 17–11, adopted                   Paperwork Relief Act of 2002, Public                  merely on the basis of anecdotal,
                                                    on February 23, 2017, and released on                   Law 107–198, see 44 U.S.C. 3506(c)(4),                unsystematic claims—the burdens of
                                                    March 7, 2017. The proceeding related                   the Commission seeks specific comment                 having to spend resources to defend
                                                    to this Further Notice shall be treated as              on how it might further reduce the                    coverage areas in Form 477 filings that
                                                    a ‘‘permit-but-disclose’’ proceeding in                 information collection burden for small               they have already certified as accurate.
                                                    accordance with the Commission’s ex                     business concerns with fewer than 25                  The Commission also will take into
                                                    parte rules. Persons making ex parte                    employees.                                            account that smaller providers will have
                                                    presentations must file a copy of any                                                                         fewer resources available, and therefore
                                                    written presentation or a memorandum                    I. Introduction                                       specifically seeks comment on ways in
                                                    summarizing any oral presentation                          1. In the Further Notice, the                      which the burden of the challenge
                                                    within two business days after the                      Commission seeks further comment on                   process can be reduced for smaller
                                                    presentation (unless a different deadline               the parameters for the process in                     providers.
                                                    applicable to the Sunshine period                       determining whether areas are eligible                   4. Additionally, the challenge process
                                                    applies). Persons making oral ex parte                  for funding under the Mobility Fund                   must be administratively efficient. As
                                                    presentations are reminded that                         Phase II (MF–II). In the months leading               discussed in the MF–II Order, there is a
                                                    memoranda summarizing the                               up to adoption of the MF–II Order, the                need to move forward rapidly with MF–
                                                    presentation must (1) list all persons                  Commission received a number of                       II to retarget universal service support
                                                    attending or otherwise participating in                 specific record filings, including                    being provided to mobile carriers; the
jstallworth on DSK7TPTVN1PROD with PROPOSALS




                                                    the meeting at which the ex parte                       detailed, technical proposals, regarding              challenge process must not impede the
                                                    presentation was made, and (2)                          the process for challenging whether                   implementation of MF–II support. There
                                                    summarize all data presented and                        areas will be eligible for MF–II funding.             is a demonstrated need for MF–II
                                                    arguments made during the                               In order to make more informed                        support in many areas of the country
                                                    presentation. If the presentation                       decisions on the challenge process, the               where support is not provided today,
                                                    consisted in whole or in part of the                    Commission sought further comment on                  and that support must be disbursed to
                                                    presentation of data or arguments                       the parameters for the challenge process              unserved areas without unreasonable
                                                    already reflected in the presenter’s                    for MF–II.                                            delay.


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                                                                            Federal Register / Vol. 82, No. 47 / Monday, March 13, 2017 / Proposed Rules                                            13415

                                                       5. The Commission seeks comment on                   potential entrants, consumers, etc.)                  Nevertheless, such maps may be a
                                                    these guiding principles for the                        should be allowed to submit challenges.               reasonable step to build into the
                                                    challenge process and whether it should                    10. The Commission seeks comment                   challenge process for the purpose of
                                                    take into consideration additional                      regarding whether it should require that              narrowing the areas requiring further
                                                    principles as it designs the process. In                the challenged area be at least a                     evidence to resolve the challenge.
                                                    addition, the Commission seeks                          minimum size. Would automatically                        14. Submission of Evidence of Actual
                                                    comment on the extent to which these                    dismissing de minimis challenges (e.g.,               Speeds Being Provided to Consumers.
                                                    principles are furthered by the specific                challenges that address a very small                  Once the challenged carrier has timely
                                                    parameters for the challenge process                    percentage of the square miles in a given             submitted a map that shows the
                                                    outlined in the Further Notice.                         census block group or census tract)                   challenged area to be within the contour
                                                       6. In addition, the Commission                       further administrative efficiency? If so,             of coverage, the original challenger may
                                                    recognizes that no matter how well                      what should the Commission set as the                 submit actual speed data (potentially
                                                    engineered, no wireless network has 100                 minimum size for a challenge?                         with supporting signal strength data)
                                                    percent reliability. Even in areas of                      11. Moreover, the Commission seeks                 from hardware- or software-based drive
                                                    generally good coverage there may be                    comment regarding whether it should                   tests or app-based tests (e.g., such as
                                                    small regions where performance is less                 permit challenges for areas that the                  those from established companies such
                                                    than desired, especially due to natural                 Wireless Telecommunications Bureau                    as Ookla, Rootmetrics, Nielsen, and
                                                    or manufactured obstructions, areas far                 and the Wireline Competition Bureau                   Mosaik) that spatially cover the
                                                    inside buildings, basements, and so                     (the Bureaus) identify as eligible (i.e.,             challenged area. This submission must
                                                    forth. In light of these network                        areas where the Form 477 data show no                 also be substantiated by the certification
                                                    characteristics, the Commission asks                    qualified 4G LTE coverage from an                     of a qualified engineer, under penalty of
                                                    what standards and guidance will help                   unsubsidized carrier). The Commission                 perjury. What parameters should be
                                                    staff in the Commission’s Wireless                      anticipates that there would be far fewer             specified to ensure that the evidence
                                                    Telecommunications Bureau evaluate                      such challenges than for ineligible areas             accurately reflects consumer experience
                                                    challenges and expedite their                           since the challenging party would likely              in the challenged area? For instance,
                                                    resolution?                                             be the same carrier that submitted—and                should the number of test locations be
                                                       7. The Commission seeks general                      certified—the Form 477 data that                      proportionate to the amount of area
                                                    comment on a couple of potential                        allegedly shows too small a coverage                  challenged? How many tests should be
                                                    structures for the challenge process.                   area. Should the Commission’s                         done per location? What other
                                                    While the Further Notice presents them                  challenge process allow what are in                   parameters should be included in
                                                    as separate options, the Commission                     essence Form 477 corrections? Should                  specifying how these tests are done?
                                                    makes clear that it is not proposing to                 those challenges be limited to                           15. Once a challenger submits
                                                    adopt either option wholesale. Rather,                  corrections in the Bureaus’ processing of             evidence of actual speeds, what
                                                    the Commission intends to take the                      the Form 477 data as filed?                           evidence of actual speeds should be
                                                    most effective parameters from these                       12. Propagation Map Response. A                    accepted from the provider whose
                                                    various options, as well as possible                    challenged carrier may respond by                     coverage is being challenged? How
                                                    additional alternatives, to assemble a                  submitting an engineering (propagation)               much time should be allowed for the
                                                    ‘‘best in class’’ structure for the                     map that demonstrates expected                        submission of actual speed data?
                                                    challenge process.                                      coverage for the challenged area. The                    16. Resolution of Challenge. A party
                                                                                                            submission must be substantiated by the               seeking to challenge the Bureaus’ initial
                                                    II. Option A                                            certification of a qualified engineer,                determination of eligibility for MF–II
                                                       8. Initial Challenge. The challenge                  under penalty of perjury. The                         support would have the burden of
                                                    would consist of a certification by the                 Commission seeks comment on the                       proving its claims by a preponderance
                                                    challenging party that in a specific area,              specific technical parameters for the                 of the evidence (i.e., enough evidence to
                                                    the party has a good faith belief, based                propagation model and the shapefile,                  make it more likely than not that the
                                                    on actual knowledge or past data                        and how much time challenged carriers                 status the claimant seeks to prove is
                                                    collection, that there is not 4G LTE with               would require to respond. Should the                  true). The Commission seeks comment
                                                    at least 5 Mbps download speed                          Commission adopt a signal strength                    on this evidentiary standard. Should it
                                                    coverage as depicted on Form 477. The                   threshold for the map? Should the                     require challengers to meet a higher
                                                    specific area challenged may be for a                   measure be ¥90 dB (Received Signal                    standard, such as clear and convincing
                                                    partial census block or full census                     Strength Indicator or RSSI) or a different            evidence? Should the submission of
                                                    block(s). In support of such a challenge,               amount? One commenter, for example,                   evidence of actual speeds be permitted,
                                                    the party would need to file a shapefile                has proposed that a coverage map for                  or required, and how should that affect
                                                    in a standard format of the challenged                  the challenge process use a ¥85 dB                    the resolution of challenges?
                                                    area. What, if any, evidence should be                  measure. Should any signal strength be
                                                    required in support of an initial                       set based on RSSI or Reference Signal                 III. Option B
                                                    challenge? What standards should be                     Received Power (RSRP) measurements?                      17. In a recent filing, a large, mid-
                                                    required for the submission of an initial               Is there a particular resolution that the             sized, and small provider submitted a
                                                    challenge?                                              Commission should require for the                     joint proposal for how the Commission
                                                       9. A challenge of an area could be                   shapefile? Should the Commission                      should structure the challenge process.
                                                    made by either a carrier that is                        specify any other parameters?                         The following parameters are based on
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                                                    submitting a challenge within its                          13. The Commission seeks comment                   that joint proposal.
                                                    licensed area or a state or local                       on the utility of such shapefiles in the                 18. Challenge. Under the joint
                                                    government that is submitting a                         challenge process. It recognizes that                 proposal, challenging parties would
                                                    challenge within its jurisdiction,                      such maps do not actually portray the                 have 60 days following the
                                                    potentially through a state public                      consumer’s experience throughout the                  Commission’s release of a list of eligible
                                                    utilities commission (PUC). The                         area at issue, given in part that a                   areas to submit evidence, which would
                                                    Commission seeks comment on whether                     consumer’s experience depends on                      be filed in the public record. Parties
                                                    additional parties (carriers that are                   variables other than signal strength.                 would be permitted to challenge areas


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                                                    13416                   Federal Register / Vol. 82, No. 47 / Monday, March 13, 2017 / Proposed Rules

                                                    that they claim are incorrectly identified              eligible for MF–II support to (1)                     carriers receiving universal service
                                                    as ineligible or eligible. Service                      supplement those filings within 60 days               support.
                                                    providers and governmental entities                     of the release of a preliminary list of                  27. In the Further Notice, the
                                                    located in or near the relevant areas                   areas not eligible for MF–II support and              Commission proposes a robust
                                                    would be only parties eligible to                       (2) notify other service providers in                 challenge process to supplement the
                                                    participate.                                            those areas of their supplemented Form                Commission’s coverage maps and to
                                                       19. Also under the joint proposal, the               477 filings and their declaration that                ensure that it is targeting support where
                                                    evidence submitted in a challenge must                  they provide voice and LTE service in                 it is most needed. Specifically, because
                                                    include a map(s) in shapefile format, of                those areas. Those other service                      record filings have become more
                                                    the challenged area. In addition,                       providers would have 30 days to                       specific the past several months,
                                                    challenging parties must report actual                  challenge those declarations of service.              including detailed, technical proposals
                                                    download speed test data using either                      24. The Commission reiterates that it              regarding the challenge process in the
                                                    actual speed tests or transmitter                       is not necessarily going to adopt either              past few weeks, the Commission seeks
                                                    monitoring data. For the actual speed                   of the options discussed in the Further               further comment on the parameters for
                                                    tests, data from app-based tests (many of               Notice and summarized above.                          the challenge process for MF–II. The
                                                    which are freely available on consumer                  Therefore, the Commission urges                       Commission is committed to a robust,
                                                    devices), and both hardware- and                        commenters to come up with additional                 targeted challenge process that
                                                    software-based drive tests would be                     proposals, including consensus                        efficiently resolves disputes about areas
                                                    permitted, so long as they met certain                  proposals that accommodate the                        eligible for MF–II support. Its
                                                    standards. For example, with app-based                  interests of multiple parties. This is                overarching objective is to quickly
                                                    tests and software-based drive tests,                   particularly important to the extent the              transition away from the legacy CETC
                                                    late-model LTE devices compatible with                  options discussed above do not                        support system, where support was
                                                    a particular carrier’s LTE network could                adequately address issues that are                    never awarded based on the need to
                                                    be used to measure the speed. What                      essential to the structuring of an                    support the deployment of mobile
                                                    requirements should the Commission                      effective and efficient challenge process.            broadband, to a system directed to that
                                                    adopt for speed tests to ensure that they                                                                     policy goal. The challenge process is an
                                                                                                            V. Initial Regulatory Flexibility
                                                    will be representative of coverage in a                                                                       integral part of that determination, to
                                                                                                            Analysis
                                                    disputed area, including those                                                                                build upon and improve provider-filed
                                                    pertaining to time and distance between                   25. As required by the Regulatory                   and -certified Form 477 data, which
                                                    tests? In considering these issues, the                 Flexibility Act of 1980, as amended                   remain the best available data source.
                                                    Commission will need to balance the                     (RFA), the Commission has prepared                    The Commission, therefore, seeks
                                                    accuracy of any challenge, the burdens                  this Initial Regulatory Flexibility                   general comment on a couple of
                                                    on affected parties, and the timeliness of              Analysis (IRFA) of the possible                       potential structures for the challenge
                                                    resolution. The challenge evidence must                 significant economic impact on a                      process. While the Commission has
                                                    be certified under penalty of perjury.                  substantial number of small entities                  presented them in this Further Notice as
                                                       20. Response. Under the joint                        from the policies and rules proposed in               separate options, it is not proposing to
                                                    proposal, challenged parties would have                 this Further Notice of Proposed                       adopt either option wholesale. Rather,
                                                    30 days to file their certified responses.              Rulemaking (Further Notice). The                      the Commission intends to take the
                                                    The responses must meet the same                        Commission requests written public                    most effective parameters from these
                                                    requirements as those for challenging                   comment on this IRFA. Comments must                   various options, as well as possible
                                                    parties—i.e., coverage shapefiles and                   be identified as responses to the IRFA                additional alternatives, to assemble a
                                                    speed test data.                                        and must be filed by the deadlines for                ‘‘best in class’’ structure for the
                                                       21. The Commission seeks comment                     comments provided in the Further                      challenge process.
                                                    on the burden of requiring this level of                Notice. The Commission will send a
                                                                                                            copy of the Further Notice, including                 B. Description and Estimate of the
                                                    response from challenged parties. In
                                                                                                            this IRFA, to the Chief Counsel for                   Number of Small Entities To Which the
                                                    particular, should the Commission
                                                                                                            Advocacy of the Small Business                        Proposed Rules Will Apply
                                                    require the same or reduced evidence
                                                    from those parties that do not have the                 Administration (SBA).                                    28. The RFA directs agencies to
                                                    burden of proof? The Commission                                                                               provide a description of, and where
                                                                                                            A. Need for, and Objectives of, the                   feasible, an estimate of the number of
                                                    acknowledges that requiring equivalent                  Proposed Rules
                                                    data from both parties is likely to assist                                                                    small entities that may be affected by
                                                    the Bureaus in resolving challenges                       26. In the MF–II Order, the                         the proposed rules, if adopted. The RFA
                                                    more efficiently. However, are those                    Commission adopted the framework for                  generally defines the term ‘‘small
                                                    efficiency gains outweighed by the                      moving forward with the Mobility Fund                 entity’’ as having the same meaning as
                                                    burden placed on the challenged party?                  Phase II (MF–II) and Tribal Mobility                  the terms ‘‘small business,’’ ‘‘small
                                                       22. Resolution. Under the joint                      Fund Phase II, which will allocate up to              organization,’’ and ‘‘small governmental
                                                    proposal, the Commission would reach                    $4.53 billion over the next decade to                 jurisdiction.’’ In addition, the term
                                                    decisions based on the weight of the                    advance the deployment of 4G LTE                      ‘‘small business’’ has the same meaning
                                                    evidence and determine whether any                      service to areas that are so costly that              as the term ‘‘small-business concern’’
                                                    changes to its initial list of eligible areas           the private sector has not yet deployed               under the Small Business Act. A ‘‘small-
                                                                                                            there and to preserve such service                    business concern’’ is one which: (1) Is
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                                                    is warranted.
                                                                                                            where it might not otherwise exist. The               independently owned and operated; (2)
                                                    IV. Additional Options                                  funding for this effort will come from                is not dominant in its field of operation;
                                                      23. The Commission seeks comment                      the redirection of legacy subsidies and               and (3) satisfies any additional criteria
                                                    as well on any additional options that                  distributed using a market-based, multi-              established by the SBA.
                                                    parties may wish to propose. For                        round reverse auction and will come                      29. Small Entities, Small
                                                    example, one proposal would require all                 with defined, concrete compliance                     Organizations, Small Governmental
                                                    Form 477 filers whose filings represent                 requirements so that rural consumers                  Jurisdictions. The Commission’s
                                                    a basis for declaring certain areas not                 will be adequately served by the mobile               proposed actions, over time, may affect


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                                                                            Federal Register / Vol. 82, No. 47 / Monday, March 13, 2017 / Proposed Rules                                            13417

                                                    small entities that are not easily                      estimates that the majority of wireless               filings within 60 days of the release of
                                                    categorized at present. The Commission                  firms can be considered small.                        a preliminary list of areas not eligible
                                                    therefore describe, at the outset, three                   31. Internet Service Providers. Since              for MF–II support. The Commission
                                                    comprehensive small entity size                         2007, these services have been defined                urges commenters to come up with
                                                    standards that could be directly affected               within the broad economic census                      additional proposals, including
                                                    herein. As of 2014, according to the                    category of Wired Telecommunications                  consensus proposals that accommodate
                                                    SBA, there were 28.2 million small                      Carriers; that category is defined as                 the interests of multiple parties.
                                                    businesses in the U.S., which                           follows: ‘‘This industry comprises                       33. Under Option A, the challenge
                                                    represented 99.7% of all businesses in                  establishments primarily engaged in                   would consist of a certification by the
                                                    the United States. Additionally, a                      operating and/or providing access to                  challenging party that in a specific area,
                                                    ‘‘small organization’’ is generally ‘‘any               transmission facilities and infrastructure            the party has a good faith belief, based
                                                    not-for-profit enterprise which is                      that they own and/or lease for the                    on actual knowledge or past data
                                                    independently owned and operated and                    transmission of voice, data, text, sound,             collection, that there is not 4G LTE with
                                                                                                            and video using wired                                 at least 5 Mbps download speed
                                                    is not dominant in its field.’’
                                                                                                            telecommunications networks.                          coverage as depicted on Form 477. In
                                                    Nationwide, as of 2007, there were
                                                                                                            Transmission facilities may be based on               support of such a challenge, the party
                                                    approximately 1,621,215 small
                                                                                                            a single technology or a combination of               would need to file a shapefile in a
                                                    organizations. Finally, the term ‘‘small                technologies.’’ The SBA has developed                 standard format of the challenged area.
                                                    governmental jurisdiction’’ is defined                  a small business size standard for Wired              A challenge of an area could be made
                                                    generally as ‘‘governments of cities,                   Telecommunications Carriers, which                    by either a carrier that is submitting a
                                                    towns, townships, villages, school                      consists of all such firms having 1,500               challenge within its license area or a
                                                    districts, or special districts, with a                 or fewer employees. Census Bureau data                state or local government that is
                                                    population of less than fifty thousand.’’               for 2012 shows that there were 3,117                  submitting a challenge within its
                                                    Census Bureau data for 2012 indicate                    firms that operated for the entire year.              jurisdiction, potentially through a state
                                                    that there were 89,476 local                            Of this total, 3,083 firms had                        PUC. A challenged carrier may respond
                                                    governmental jurisdictions in the                       employment of 999 or fewer employees,                 by submitting an engineering
                                                    United States. The Commission                           and 34 firms had employment of 1,000                  (propagation) map that demonstrates
                                                    estimates that, of this total, as many as               employees or more. Thus, under this                   expected coverage for the challenged
                                                    88,761 entities may qualify as ‘‘small                  size standard, the majority of firms in               area. The submission must be
                                                    governmental jurisdictions.’’ Thus, the                 this industry can be considered small.                substantiated by the certification of a
                                                    Commission estimates that most                          In addition, while Internet Service                   qualified engineer, under penalty of
                                                    governmental jurisdictions are small.                   Providers (broadband) are a subcategory               perjury. Once the challenged carrier has
                                                       30. Wireless Telecommunications                      of the broader category of Wired                      timely submitted a map that shows the
                                                    Carriers (except Satellite). This industry              Telecommunications Carrier, there is                  challenged area to be within the contour
                                                    comprises establishments engaged in                     Census Bureau data specific to Internet               of coverage, the original challenger may
                                                    operating and maintaining switching                     Service Providers (broadband). For                    submit actual speed data (potentially
                                                    and transmission facilities to provide                  2012, Census Bureau data shows there                  with supporting signal strength data)
                                                    communications via the airwaves.                        were a total of 1,180 firms in the                    from hardware- or software-based drive
                                                    Establishments in this industry have                    subcategory of Internet Service                       tests or app-based tests (e.g., such as
                                                    spectrum licenses and provide services                  Providers (broadband) that operated for               those from established companies such
                                                    using that spectrum, such as cellular                   the entire year. Of this total, 1,178 firms           as Ookla, Rootmetrics, Nielsen, and
                                                    services, paging services, wireless                     had employment of 999 or fewer                        Mosaik) that spatially cover the
                                                    internet access, and wireless video                     employees, and two firms had                          challenged area. This submission must
                                                                                                            employment of 1000 employees or                       also be substantiated by the certification
                                                    services. The appropriate size standard
                                                                                                            more. Consequently, the Commission                    of a qualified engineer, under penalty of
                                                    under SBA rules is that such a business
                                                                                                            estimates that the majority of these firms            perjury. A party seeking to challenge the
                                                    is small if it has 1,500 or fewer
                                                                                                            are small entities that may be affected               Bureaus’ initial determination of
                                                    employees. For this industry, census
                                                                                                            by rules adopted pursuant to the MF–II                eligibility for MF–II support would have
                                                    data for 2012 show that there were 967                  Order.                                                the burden of proving its claims by a
                                                    firms that operated for the entire year.                                                                      preponderance of the evidence.
                                                    Of this total, 955 firms had employment                 C. Description of Projected Reporting,                   34. Under Option B, challenging
                                                    of 999 or fewer employees and 12 had                    Recordkeeping, and Other Compliance                   parties would have 60 days following
                                                    employment of 1000 employees or                         Requirements for Small Entities                       the Commission’s release of a list of
                                                    more. Thus under this category and the                    32. In the Further Notice, the                      eligible areas to submit evidence, which
                                                    associated size standard, the                           Commission seeks further comment on                   would be filed in the public record.
                                                    Commission estimates that the majority                  the parameters for the challenge process              Service providers and governmental
                                                    of wireless telecommunications carriers                 for MF–II. It seeks general comment on                entities located in or near the relevant
                                                    (except satellite) are small entities.                  a couple of potential structures for the              areas would be only parties eligible to
                                                    Similarly, according to internally                      challenge process: (1) A proposal by one              participate. The evidence submitted in a
                                                    developed Commission data, 413                          mobile provider (Option A); and (2) a                 challenge must include a map(s) in
                                                    carriers reported that they were engaged                joint proposal by three providers                     shapefile format, of the challenged area.
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                                                    in the provision of wireless telephony,                 (Option B). The Commission seeks                      In addition, challenging parties must
                                                    including cellular service, Personal                    comment as well on any additional                     report actual download speed test data
                                                    Communications Service, and                             options that parties may wish to                      using either actual speed tests or
                                                    Specialized Mobile Radio Telephony                      propose, such as, for instance, a                     transmitter monitoring data. For the
                                                    services. Of this total, an estimated 261               proposal that would require all Form                  actual speed tests, data from app-based
                                                    have 1,500 or fewer employees, and 152                  477 filers whose filings represent a basis            tests (many of which are freely available
                                                    have more than 1,500 employees. Thus,                   for declaring certain areas not eligible              on consumer devices), and both
                                                    using available data, the Commission                    for MF–II support to supplement those                 hardware- and software-based drive


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                                                    13418                   Federal Register / Vol. 82, No. 47 / Monday, March 13, 2017 / Proposed Rules

                                                    tests would be permitted, so long as                    from an unsubsidized carrier), which                  DEPARTMENT OF VETERANS
                                                    they met certain standards. The                         could further promote efficiencies for all            AFFAIRS
                                                    challenge evidence must be certified                    parties, including small entities. The
                                                    under penalty of perjury. Challenged                    Commission emphasizes that there                      48 CFR Parts 816, 828 and 852
                                                    parties would have 30 days to file their                would be far fewer such challenges than               RIN 2900–AP82
                                                    certified responses. The responses must                 for ineligible areas since the challenging
                                                    meet the same requirements as those for                 party would likely be the same carrier                Revise and Streamline VA Acquisition
                                                    challenging parties—i.e., coverage                      that submitted—and certified—the Form                 Regulation To Adhere to Federal
                                                    shapefiles and speed test data. The                     477 data that allegedly shows too small               Acquisition Regulation Principles
                                                    Commission would reach decisions                                                                              (VAAR Case 2014–V002—Parts 816,
                                                                                                            a coverage area. Recognizing the burden
                                                    based on the weight of the evidence and                                                                       828)
                                                                                                            that may be placed on parties
                                                    determine whether any changes to its
                                                    initial list of eligible areas is warranted.            responding to challenges and rebuttals,               AGENCY:    Department of Veterans Affairs.
                                                                                                            including small entities, the Further
                                                    D. Steps Taken To Minimize Significant                                                                        ACTION:   Proposed rule.
                                                                                                            Notice requests comment on the specific
                                                    Economic Impact on Small Entities, and                  technical parameters that must be                     SUMMARY:   The Department of Veterans
                                                    Significant Alternatives Considered                     provided and how much time                            Affairs (VA) is proposing to amend and
                                                       35. The RFA requires an agency to                    challenged carriers, or original                      update its VA Acquisition Regulation
                                                    describe any significant alternatives that              challengers, would require to respond.                (VAAR). Under this initiative, all parts
                                                    it has considered in reaching its                          38. Option B. In addition to seeking               of the regulation are being reviewed in
                                                    proposed approach, which may include                    comment on the proposals of Option B,                 phased increments to revise or remove
                                                    the following four alternatives, among                                                                        any policy that has been superseded by
                                                                                                            the Commission asks what requirements
                                                    others: ‘‘(1) the establishment of                                                                            changes in Federal Acquisition
                                                                                                            it should adopt for speed tests to ensure
                                                    differing compliance or reporting                                                                             Regulation (FAR), to remove any
                                                    requirements or timetables that take into               that they will be representative of
                                                                                                            coverage in a disputed area, including                procedural guidance that is internal to
                                                    account the resources available to small                                                                      the VA, and to incorporate any new
                                                    entities; (2) the clarification,                        those pertaining to time and distance
                                                                                                                                                                  regulations or policies.
                                                    consolidation, or simplification of                     between tests. The Commission notes
                                                                                                                                                                    Acquisition regulations become
                                                    compliance or reporting requirements                    that it will need to balance the accuracy
                                                                                                                                                                  outdated over time and require updating
                                                    under the rule for small entities; (3) the              of any challenge with the burdens on                  to incorporate additional policies,
                                                    use of performance, rather than design,                 affected parties, including small                     solicitation provisions, or contract
                                                    standards; and (4) an exemption from                    entities, and the timeliness of                       clauses that implement and supplement
                                                    coverage of the rule, or any part thereof,              resolution. The Commission also seeks                 the FAR to satisfy VA mission needs,
                                                    for small entities.’’ The Commission                    comment on whether the burden of                      and to incorporate changes in dollar and
                                                    expects to consider all these factors                   proof should be the same or reduced for               approval thresholds, definitions, and
                                                    when it has received substantive                        challenged parties, including small                   VA position titles and offices. This
                                                    comment from the public and                             entities, recognizing that efficiency                 Proposed Rule will correct
                                                    potentially affected entities.                          gains could be outweighed by the                      inconsistencies, remove redundant and
                                                       36. The Commission has made an                       burden placed on the challenged party.                duplicate material already covered by
                                                    effort to anticipate the challenges faced                                                                     the FAR, delete outdated material or
                                                    by small entities in complying with its                    39. More generally, the Commission
                                                                                                            expects to consider the economic                      information, and appropriately
                                                    rules. For example, the Commission                                                                            renumber VAAR text, clauses and
                                                    specifically notes that smaller providers               impact on small entities, as identified in
                                                                                                            comments filed in response to the                     provisions where required to comport
                                                    will have fewer resources available, and
                                                                                                            Further Notice and the IRFA contained                 with FAR format, numbering and
                                                    therefore specifically seeks comment on
                                                                                                                                                                  arrangement.
                                                    ways in which it can reduce the burden                  therein, in reaching its final conclusions
                                                                                                                                                                    This Proposed Rule will streamline
                                                    of the challenge process on smaller                     and taking action in this proceeding.
                                                                                                                                                                  the VAAR to implement and
                                                    providers. The Commission also seeks                    The proposals and questions laid out in
                                                                                                                                                                  supplement the FAR only when
                                                    comment on specific principles of the                   the Further Notice were designed to                   required, and remove internal agency
                                                    challenge proposals and ways to make                    ensure the Commission has a complete                  guidance as noted above in keeping
                                                    them as efficient as possible for all                   understanding of the benefits and                     with the FAR principles concerning
                                                    interested parties, including small                     potential burdens associated with the                 agency acquisition regulations.
                                                    entities.                                               different actions and methods.
                                                       37. Option A. In order to further                                                                          DATES: Comments must be received on
                                                    administrative efficiency, the Further                  Federal Communications Commission.                    or before May 12, 2017 to be considered
                                                    Notice seeks comment on whether the                     Marlene H. Dortch,                                    in the formulation of the final rule.
                                                    Commission should require that the                      Secretary.                                            ADDRESSES: Written comments may be
                                                    challenged area be at least a minimum                   [FR Doc. 2017–04988 Filed 3–10–17; 8:45 am]           submitted through
                                                    size and whether it should                              BILLING CODE 6712–01–P
                                                                                                                                                                  www.Regulations.gov; by mail or hand-
                                                    automatically dismiss de minimis                                                                              delivery to Director, Regulation Policy
                                                    challenges (e.g., challenges that address                                                                     and Management (00REG), Department
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                                                    a very small percentage of the square                                                                         of Veterans Affairs, 810 Vermont
                                                    miles in a given census block group or                                                                        Avenue NW., Room 1068, Washington,
                                                    census tract). The Further Notice also                                                                        DC 20420; or by fax to (202) 273–9026.
                                                    seeks comment regarding whether the                                                                           Comments should indicate that they are
                                                    Commission should permit challenges                                                                           submitted in response to ‘‘RIN 2900–
                                                    for areas that the Bureaus identify as                                                                        AP82—Revise and Streamline VA
                                                    eligible (i.e., areas where the Form 477                                                                      Acquisition Regulation to Adhere to
                                                    data show no qualified 4G LTE coverage                                                                        Federal Acquisition Regulation


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Document Created: 2018-02-01 14:57:44
Document Modified: 2018-02-01 14:57:44
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 on or before April 12, 2017, and reply comments are due on or before April 27, 2017.
ContactWireless Telecommunications Bureau, Auction and Spectrum Access Division, Mark Montano, at (202) 418-0660.
FR Citation82 FR 13413 

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