83_FR_44410 83 FR 44241 - Connect America Fund Universal Service Reform-Mobility Fund

83 FR 44241 - Connect America Fund Universal Service Reform-Mobility Fund

FEDERAL COMMUNICATIONS COMMISSION

Federal Register Volume 83, Issue 169 (August 30, 2018)

Page Range44241-44245
FR Document2018-18804

This document addresses two applications for review regarding the procedures and parameters of the Mobility Fund II challenge process and grant in part and deny in part a related extension request.

Federal Register, Volume 83 Issue 169 (Thursday, August 30, 2018)
[Federal Register Volume 83, Number 169 (Thursday, August 30, 2018)]
[Rules and Regulations]
[Pages 44241-44245]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-18804]


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FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 54

[WC Docket No. 10-90, WT Docket No. 10-208; FCC 18-124]


Connect America Fund Universal Service Reform--Mobility Fund

AGENCY: Federal Communications Commission.

ACTION: Final action; extension of filing period; petitions for 
reconsideration.

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SUMMARY: This document addresses two applications for review regarding 
the procedures and parameters of the Mobility Fund II challenge process 
and grant in part and deny in part a related extension request.

DATES: This Order is effective August 30, 2018. The window for filing 
challenges to ineligible areas extended to November 26, 2018.

FOR FURTHER INFORMATION CONTACT: Wireless Telecommunications Bureau, 
Auctions and Spectrum Access Division, Audra Hale-Maddox, at (202) 418-
0660.

SUPPLEMENTARY INFORMATION: This is a summary of the final actions in 
the Federal Communications Commission (``Commission'') Order, Notice of 
Proposed Rulemaking and Memorandum Opinion and Order (Combined Order), 
FCC 18-124, adopted on August 14, 2018, and released on August 21, 
2018. The complete text of this document is available for public 
inspection and copying from 8 a.m. to 4:30 p.m. Eastern Time (ET) 
Monday through Thursday or from 8 a.m. to 11:30 a.m. ET on Fridays in 
the FCC Reference Information Center, 445 12th Street SW, Room CY-A257, 
Washington, DC 20554. The complete text is also available on the 
Commission's website at http://wireless.fcc.gov, or by using the search 
function on the ECFS web page at http://www.fcc.gov/cgb/ecfs/. 
Alternative formats are available to persons with disabilities by 
sending an email to [email protected] or by calling the Consumer & 
Governmental Affairs Bureau at (202) 418-0530 (voice), (202) 418-0432 
(TTY).

I. Synposis

    On August 21, 2018, the Commission released an ``Order, Notice of 
Proposed Rulemaking, and Memorandum Opinion and Order'' (August 21 
Order). The Commission separately published the proposed modifications 
to the speed test data specifications regarding the relevant timeframes 
for valid speed tests for the August 21 Order elsewhere in this issue 
of the Federal Register. In the August 21 Order, the Commission 
extended the previously announced deadline for the close of the 
Mobility Fund Phase II (MF-II) challenge window by an additional 90 
days. Challengers were given until November 26, 2018, to submit speed 
test data in support of a challenge. The Commission adopted this 
extension to ensure that interested parties can initiate and submit 
speed test data for areas they wish to challenge. In addition, given 
this extension, the Commission proposed to make modifications to the 
speed test data specifications regarding the relevant timeframes for 
valid speed tests. The Commission also addressed two applications for 
review regarding the procedures and parameters of the MF-II challenge 
process and granted in part and denied in part a related extension 
request.

II. Order Extending the Challenge Window

    1. In February 2017, the Commission adopted rules to move forward 
on a reverse auction that will direct up to $4.53 billion of MF-II 
support over ten years to providers in geographic areas lacking 
unsubsidized 4G Long Term Evolution (LTE) services. The Commission also 
determined that it would compile a list of areas that were 
presumptively eligible for MF-II support and provide a limited 
timeframe before the auction during which interested parties could 
challenge areas that were not listed as presumptively eligible (i.e., 
``presumptively ineligible'' areas). In February 2018, the Rural 
Broadband Auctions Task Force, in conjunction with the Wireless 
Telecommunications Bureau and the Wireline Competition Bureau (the 
Bureaus), published a map of areas presumptively eligible for MF-II 
support based on a one-time collection by the Commission of 4G LTE 
coverage data and subsidy data from the Universal Service 
Administrative Company (USAC).
    2. The MF-II Challenge Process Order, 82 FR 42473, September 8, 
2017, established the framework for a robust challenge process that 
will refine the map of areas presumptively eligible to receive MF-II 
support. This challenge process is designed to efficiently resolve 
disputes about areas that are presumptively ineligible through the 
submission, analysis, and validation of mobile network speed test data. 
The Commission initially established a 150-day challenge window for 
interested parties to contest the initial determination of areas deemed 
presumptively ineligible for MF-II support. The challenge window opened 
on March 29, 2018, and it was scheduled to close on August 27, 2018.
    3. As part of the challenge process framework, the Commission 
established various parameters for the acceptance of speed test data, 
including that such data would only be accepted if they were collected 
within six months of the scheduled close of the challenge window. That 
six-month period commenced on February 27, 2018. After the close of the 
challenge window, a respondent (i.e., a ``challenged party'') will have 
the opportunity to respond to challenges by submitting its own speed 
test data or certain technical information that is probative of the 
validity of the challenger's speed tests. Speed test data submitted by 
respondents is subject to the same standards and requirements 
applicable to challengers, except that the Commission established in 
the MF-II Challenge Process Order that it would only accept data 
submitted by a respondent that was collected within six months of the 
scheduled close of the response window.
    4. After the Commission adopted the timeframe for the challenge 
window, the Rural Wireless Association (RWA) submitted data regarding 
estimated burdens of the challenge process, including specific 
estimates of the amount of time required to conduct speed tests in 
certain areas.
    5. The Commission extended the previously established deadline for 
challengers to submit data in the challenge process and provide an 
additional 90 days, until November 26, 2018, for the submission and 
certification of challenges. The Commission direct USAC to implement 
this change in the challenge portal.

[[Page 44242]]

    6. In light of new estimates and again out of an abundance of 
caution, the Commission concluded that while a 150-day challenge window 
may still be sufficient for parties to conduct speed tests and submit 
challenges, providing an additional 90 days for this window will ensure 
that all interested parties have ample opportunity to conduct speed 
tests and submit speed test data for the areas they wish to challenge. 
Providing this additional time, for a total challenge window of 240 
days, ultimately should result in a more efficient allocation of 
support funds, while still advancing the overall auction process to a 
timely conclusion, directing its limited funds to the unserved areas 
most in need, and completing the phase down of duplicative support that 
directs subsidies to areas already served by unsubsidized providers. 
Accordingly, the Commission makes a procedural change to the challenge 
process by extending the deadline for filing challenges to November 26, 
2018.

III. Memorandum Opinion and Order Addressing Applications for Review 
From RWA and Verizon

    7. In the MF-II Challenge Process Procedures Public Notice, 83 FR 
13417, March 29, 2018, the Bureaus determined, consistent with the 
Commission's decision in the MF-II Challenge Process Order, that speed 
test measurements submitted to support or respond to a challenge to an 
area that initially is deemed ineligible for MF-II support must be no 
more than one-half of one kilometer apart from one another. The Bureaus 
also decided to assess challenges using a uniform grid with cells of 
one square kilometer and a ``buffer'' with a radius equal to one-half 
of the maximum distance parameter, i.e., one-quarter of one kilometer 
(250 meters).
    8. On March 21, 2018, RWA submitted data regarding the burden a 
challenger would experience as a result of these decisions. On March 
29, 2018, RWA filed an application for review in which it argued that 
the speed test buffer radius size should have been set at one-quarter 
mile and that the size of the uniform grid cells should have been one 
square mile. One party--Verizon--opposed RWA's application for review 
and argued that the grid cell size and the buffer radius should not be 
increased.
    9. On April 30, 2018, RWA filed an ex parte letter indicating that 
increasing the speed test buffer to 400 meters (approximately one-
quarter mile) and maintaining a grid cell size of one square kilometer 
would yield largely similar results to increasing the grid cell size to 
one square mile and the buffer size to one-quarter mile. On April 30, 
2018, the Bureaus, on their own motion, adopted an order on 
reconsideration that increased the buffer size to 400 meters. AT&T, the 
Competitive Carriers Association (CCA), and U.S. Cellular filed replies 
to Verizon's opposition to RWA's AFR, in which they supported the 
Bureaus' decision to implement a 400-meter buffer radius. On the issue 
of the grid cell size, AT&T argued that the grid cells should not be 
resized. CCA and U.S. Cellular argued that the grid cells should be 
resized.
    10. On June 21, 2018, Verizon filed an application for review of 
the Bureaus' order on reconsideration in which it sought reinstatement 
of the 250-meter buffer radius. NTCA, Smith Bagley, RWA, and Panhandle 
Telecommunication opposed Verizon's application for review and argued 
that the 400-meter buffer should be maintained. CCA filed a reply to 
the oppositions supporting the 400-meter buffer radius, and Verizon 
filed a reply to the oppositions restating its support for a 250-meter 
buffer radius.
    11. RWA's application for review seeks review of the Bureaus' 
procedures adopted in the MF-II Challenge Process Procedures Public 
Notice establishing a one kilometer grid cell size and a one-quarter 
kilometer ``buffer'' for assessing challenges to areas deemed 
ineligible for MF-II support. RWA advocates instead for a one square 
mile grid size and a one-quarter mile buffer. It argues that roads in 
certain areas of rural America have been laid out on square mile grids 
rather than square kilometer grids, which according to RWA means that 
using a square kilometer grid would yield more grid cells that cannot 
be fully tested by drive testing. RWA argues further that a 250-meter 
buffer for each test point would require needlessly dense testing 
points which would increase the cost and technical difficulty of 
submitting challenges.
    12. RWA's subsequent ex parte on April 30, 2018, included 
additional information. In Alabama and the Oklahoma Panhandle, RWA 
found that increasing the buffer to 400 meters, while maintaining the 
one square kilometer grid cell size, would result in a significant 
reduction of the percentage of cells for which a challenger could not 
fully test by drive testing. Indeed, RWA found that changing the buffer 
size would provide better results in Alabama than if both the buffer 
and grid cell size were increased. In the area in Alabama that RWA 
studied, the number of grid cells requiring some off-road testing 
dropped by 26 percentage points when increasing the buffer to 400 
meters, versus a decrease of 16 percentage points when increasing 
buffer size to 400 meters and increasing the grid cell size to one 
square mile.
    13. In the Oklahoma Panhandle, RWA found that the results were 
largely the same if the buffer size was increased, regardless of 
whether the grid cell size was also increased. In both cases, RWA found 
that the grid cells requiring some off-road testing would decrease by 
nearly 40 percentage points, from 82.3 percent to either 44.7 percent 
(buffer size alone) or 43.6 percent (buffer and grid cell size). 
Summarizing its analysis, RWA stated that it ``recognizes the Bureaus' 
desire to utilize a square kilometer grid cell scheme and believes that 
the use of a one square kilometer grid cell and accompanying longer 
buffer radius will give prospective challengers the ability to more 
meaningfully participate in the MF-II challenge process.''
    14. U.S. Cellular supports RWA's AFR. The company estimated that 
the one-kilometer grid cell size in conjunction with the original 250-
meter buffer radius size would make mounting a challenge by drive-
testing alone impossible for as much as 78 percent of the areas 
involved.
    15. After considering the data RWA filed in its March 21, 2018 ex 
parte submission, the Bureaus decided to expand the buffer surrounding 
each test point from 250 meters to 400 meters (approximately equivalent 
to one-quarter mile), explaining that the new data persuaded them that 
the previous buffer size and resulting number of test points required 
may be unduly burdensome to some challengers. The new evidence 
illustrated both the considerable increase in area that could be 
covered by drive-testing and the decrease in the number of speed test 
measurements typically needed per grid cell resulting from using a 
buffer radius of one-quarter of one mile rather than a radius of one-
quarter of one kilometer. These modified parameters decreased the 
burden on challengers by reducing the number of speed test measurements 
needed to file a successful challenge. Accordingly, because the Bureaus 
have already effectively granted RWA's request regarding buffer size, 
the Commission dismiss RWA's application for review on these grounds as 
moot.
    16. In contrast, RWA has not shown that changing the grid cell size 
is warranted. The Commission finds that the expansion of the speed test 
point buffer to 400 meters (as supported by numerous commenters) while 
retaining the square kilometer grid cell size properly balances the 
measurements needed for meaningful testing with the burdens placed on 
challengers and

[[Page 44243]]

challenged parties. This decision also furthers the Commission's goals 
of moving expeditiously to conduct the MF-II auction and of 
administrative efficiency. The Commission and the Bureaus have 
carefully considered the burdens on entities that choose to submit 
challenges and entities that choose to respond to challenges, the goals 
of administrative efficiency, and the record evidence.
    17. As Verizon and AT&T noted, to implement RWA's proposed resizing 
of the grid, ``the Commission would have to reprocess the carrier 
coverage maps using a one square mile grid, generate a new map of 
presumptively eligible areas, and finally direct USAC to modify its 
challenge process software to accept challenges based on one square 
mile grid cells.'' AT&T argues that RWA's proposed reconfiguration of 
the grid cells ``would be too disruptive'' and would ``significantly 
delay the start'' of the MF-II auction. Similarly, Verizon argues that 
``stopping the current challenge process and then starting over with a 
one square mile grid would extend the challenge process--and delay the 
start of the Mobility Fund auction--by many months.''
    18. Moreover, as AT&T notes, the benefit sought by RWA--an increase 
in the percentage of the area that can be drive tested--``can 
effectively be addressed by modifying the buffer radius, as the Bureaus 
recently did, on their own motion.'' As RWA admits in its various 
submissions, the buffer size is the key parameter affecting the 
percentage of cells that can be drive tested and the change made to the 
buffer size, by itself, would provide similar results--in terms of the 
increase in the percentage of cells that could be challenged by drive 
testing--to changing both the buffer size and the grid cell size.
    19. RWA, CCA, and U.S. Cellular argue that the one square kilometer 
grid cell size prevents challenges in less accessible areas. The 
Commission disagrees. Nothing in the challenge process framework 
prevents challenges in less accessible areas or in areas that require 
some off-road testing. As shown in RWA's own submissions, the buffer 
radius is the key parameter affecting the percentage of area that can 
be fully tested by drive testing, and increasing the grid cell size in 
some areas increases the percentage of cells that require off road 
testing in certain areas. Indeed, U.S. Cellular concedes that the 
Bureau's increase of the buffer radius to 400 meters undermines its 
argument that it cannot use drive testing for much of the MF-II 
challenge process.
    20. The Commission appropriately balanced the competing interests 
of challengers and challenged parties in this proceeding with the need 
to efficiently administer the challenge process. Roads do not match 
perfectly with any uniform grid, regardless of the size of the grid 
cell. The Commission decided to conduct an auction based upon land 
area, not road miles, because of limited universal service funds on the 
unserved areas where people live, work, and travel. No commenter sought 
reconsideration of that decision. Similarly, the Commission decided to 
not make special accommodations for less accessible areas, and no 
commenter sought reconsideration of that decision. Any ineligible area 
may be challenged, and it is incumbent upon challengers and challenged 
parties to collect the required speed test points to substantiate or 
rebut a challenge. Indeed, as of July 31, 2018, challengers had already 
uploaded over 1.6 million speed tests, with a significant number of 
those tests taken in primarily rural areas. Accordingly, the Commission 
denies RWA's application for review on the grid cell size.
    21. RWA submitted an extension request along with its application 
for review, requesting that the challenge window be open for 150 days 
after its application for review was addressed. The Commission granted 
a 90-day extension of the challenge window, which will extend the 
challenge window through November 26, 2018. This extension will mean 
that the challenge window now provides 200 days after the Order on 
Reconsideration for submitting challenges under parameters that largely 
address RWA's concerns regarding the percentage of areas that could be 
fully tested by drive testing. The Commission thus has already 
effectively granted RWA's extension request insofar as it sought at 
least 150 days for the challenge window after the modifications to the 
challenge process that it sought were implemented.
    22. RWA has not demonstrated that a further extension of the window 
for filing challenges to areas deemed ineligible for MF-II support is 
in the public interest. The window has been extended to now provide a 
window of 200 days with parameters that largely address RWA's concerns, 
thus providing 50 more days than RWA requested. Although parties may 
disagree with the specific rules promulgated to achieve the purposes of 
MF-II, the mere filing of an application for review does not alter the 
effective date of those rules; a party is not entitled to an extension 
of the challenge window on the hope that the Commission will act 
favorably on its application for review. Moreover, the Bureaus have 
already acted to make it easier to conduct speed tests. Thus, all 
affected parties must comply with the rules and the requirements of the 
challenge process, should they choose to participate in it, absent 
Commission grant of a stay (which RWA did not request). RWA has not 
cited any unanticipated circumstances that might explain its members' 
need for an extension nor provided a reasonable justification for 
granting it.
    23. Moreover, granting a further extension as requested by RWA 
would work at cross-purposes with the goals of the MF-II proceeding. In 
the MF-II Report and Order, 82 FR 15422, March 28, 2017, the Commission 
stated that the purpose of MF-II is ``to allocate up to $4.53 billion . 
. . 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 
Commission also indicated that MF-II would redirect legacy subsidies 
away from areas that are fully covered by unsubsidized 4G LTE service. 
Further extension of the challenge window undermines the purpose of the 
MF-II proceeding by delaying the conclusion of the challenge process, 
the release of the final eligible areas map, the commencement of the 
MF-II auction, and the refocusing of its limited universal service 
funds to the primarily rural areas of the country that need the funds 
the most. Under these circumstances, the Commission finds that the now 
extended window will provide eligible parties with sufficient time to 
prepare and submit any challenges they intend to file and that RWA has 
failed to demonstrate that a further extension of the challenge window 
would serve the public interest.
    24. Accordingly, RWA's extension request is granted in part and is 
otherwise denied.
    25. Verizon's application for review requests that the Commission 
vacate the Bureaus' decision to increase the maximum speed test 
distance parameter from 500 meters to 800 meters and the associated 
speed test buffer radius from 250 meters to 400 meters. The thrust of 
Verizon's application for review is that the Bureaus have shifted the 
balance of the MF-II challenge process too far in favor of challengers. 
The outcome, Verizon argues, will be to ``allow challengers to 
successfully challenge a one square kilometer area with as few as two 
speed test points'' and will ``result in widespread false positives, 
i.e., presumptively successful challenges of large areas that are in 
fact well-served

[[Page 44244]]

by 4G LTE, particularly if providers cherry-pick test points with an 
aim of minimizing actual coverage.'' Several carriers and trade 
associations filed oppositions to Verizon's arguments; no filers 
supported the Verizon AFR. The Commission rejects Verizon's arguments, 
agrees with the unanimous opposition to Verizon's AFR, and affirms the 
decision of the Bureaus to expand the maximum distance between speed 
tests to 800 meters and the buffer radius of speed tests to 400 meters.
    26. Verizon argues that the increased speed test buffer radius 
allows challengers to ``cherry-pick'' speed test data to challenge the 
unsubsidized providers' coverage maps. The Commission disagrees. The 
Bureaus did not modify the other numerous and rigorous challenge 
process requirements in the MF-II Challenge Process Procedures Public 
Notice. Challengers must submit not only speed test data demonstrating 
throughput below 5 Mbps, but also data collected demonstrating speeds 
equal to or greater than 5 Mbps. Thus, in grid cells well served by 
existing 4G LTE, the data submitted to the challenge portal are likely 
to reflect speed test results favoring incumbents. Moreover, contrary 
to Verizon's argument, providing only two speed tests in a grid cell 
with high quality 4G LTE service will likely not be sufficient to 
successfully challenge the grid cell. Rather, the combined buffer areas 
of sub-5 Mbps speed tests in or adjacent to challengeable grid cells 
must cover 75 percent of the challengeable areas of all carriers in the 
grid cell. Further, even where combined testing points do cover 75 
percent of the challengeable areas in a grid cell, the resulting 
presumptive challenge simply shifts the burden of production (though 
not the burden of persuasion) to the challenged carrier to produce 
evidence rebutting the presumption. A presumptive challenge does not 
automatically result in any change to eligibility; final adjudications 
of eligibility will occur after challenged parties have an opportunity 
to respond to challenges.
    27. Verizon also argues that increasing the speed test buffer 
radius to 400 meters will increase the number of presumptively 
successful challenges in areas already served by 4G LTE--which Verizon 
terms ``false positives''--which will degrade the accuracy of the MF-II 
eligibility map. The Commission disagrees. The risk of so-called 
``false positives'' from a 400-meter buffer is adequately addressed by 
the challenge process framework that the Commission adopted. While 
increasing the buffer radius to 400 meters can make challenges more 
feasible in areas where roads are less dense, it does not lead to the 
conclusion that more challenges will cause the accuracy of the final 
auction eligibility map to suffer. Verizon's argument appears to 
conflate a presumptive challenge with the final disposition of a 
challenge. Challenged carriers will have an opportunity to provide 
evidence refuting a challenge in any challenged grid cell. And because 
speed test points submitted by challenged parties are buffered by the 
same distance as points submitted by challengers, increasing the buffer 
radius increases the ability of challenged carriers to respond to 
challenges.
    28. The Bureaus' increase in the number of grid cells that may be 
fully tested by drive testing does not alter the network performance 
that is being tested, nor will it necessarily result in an increase in 
the number of valid challenges. Indeed, as several entities have noted, 
more opportunities for challengers to participate in the challenge 
process should improve the accuracy of the final eligibility map, 
insofar as it subjects more grid cells to confirmation testing. The 
Commission likewise agree with NTCA and SBI that the potential risks 
associated with increasing the buffer size for the challenge process to 
400 meters--i.e., increased availability of challenges--are outweighed 
by the benefits of ensuring, through a process that does not unduly 
deter challenges, that all areas that lack unsubsidized 4G LTE mobile 
service are designated eligible for the auction and have an opportunity 
to compete for MF-II support.
    29. The Commission also rejected Verizon's argument that the 
Bureaus exceeded their authority by increasing the maximum speed test 
distance parameter and buffer radius. In the MF-II Challenge Process 
Order, the Commission directed the Bureaus to establish the challenge 
process speed testing parameters. Specifically, the Commission directed 
Bureaus to establish a maximum distance between tests of up to one mile 
and to set a corresponding buffer around tests to balance the benefits 
to the MF-II process, the burdens on small carriers, and an 
administratively efficient adjudication of challenges regarding network 
deployment. The Bureaus could consider any maximum speed test distance 
parameter and buffer within the established one mile range, including 
the 800-meter distance parameter (approximately one-half of one mile) 
and corresponding 400-meter buffer radius selected. Thus, the Bureaus 
were well within their authority to consider newly available record 
evidence that supported their reconsideration of the maximum speed test 
distance and buffer radius. In any event, this argument is moot since 
the Commission has reviewed and upheld the Bureaus' decision.
    30. Although Verizon argues that customer experience is likely to 
vary over those distances due to signal attenuation, and terrain and 
clutter variations, the Commission notes that the MF-II Challenge 
Process Order did not call for speed tests that mirror every customer 
experience within a speed tested area, but rather a reasonable balance 
of administrative and private burdens and costs in a tested area. The 
800-meter distance parameter and 400-meter buffer radius reflect such a 
balance. The parameters selected by the Bureaus also has received 
widespread support from other parties participating in this proceeding. 
All four of the parties opposing Verizon's AFR, as well as a reply to 
the oppositions, supported expanding the buffer radius and maximum 
speed test distance. Similarly, in filings submitted in response to 
RWA's AFR, AT&T, CCA, and U.S. Cellular all supported expanding the 
buffer radius. The Commission further note that, while Verizon objects 
to the Bureaus' reliance on RWA's evidence, it did not cite any other 
record evidence, new or otherwise, that undermines the Bureaus' 
decision.
    31. For all these reasons, the Commission denies Verizon's 
application for review.

IV. Ordering Clauses

    32. Accordingly, it is ordered that pursuant to the authority 
contained in sections 1, 4(i) and (j), 254, 303(r), and 332 of the 
Communications Act of 1934, as amended, and section 706 of the 
Telecommunications Act of 1996, 47 U.S.C. 151, 154(i), (j), 254, 
303(r), 332, 1302, and sections 1.1, 1.115, 1.412, and 1.427 of the 
Commission's rules, 47 CFR 1.1, 1.115, 1.412, 1.427, this Order and 
Memorandum Opinion and Order is adopted.
    33. It is further ordered that, pursuant to the authority contained 
in sections 1, 4(i) and (j), 254, 303(r), and 332 of the Communications 
Act of 1934, as amended, and section 706 of the Telecommunications Act 
of 1996, 47 U.S.C. 151, 154(i), (j), 254, 303(r), 332, 1302, and 
sections 1.1 and 1.412 of the Commission's rules, 47 CFR 1.1, 1.412, 
the deadline for challengers to submit information in connection with 
the MF-II challenge process is extended, to the extent described 
herein.
    34. It is further ordered that, pursuant to authority contained in 
sections 4(i),

[[Page 44245]]

254, 303(r), and 332 of the Communications Act of 1934, as amended, and 
section 706 of the Telecommunications Act of 1996, 47 U.S.C. 154(i), 
254, 303(r), 332, 1302, and section 1.46 of the Commission's rules, 47 
CFR 1.46, RWA's Request for Extension of Challenge Window is granted in 
part, and is denied in part, to the extent described herein.
    35. It is further ordered that, pursuant to section 5(c)(5) of the 
Communications Act of 1934, as amended, 47 U.S.C. 155(c)(5), and 
section 1.115(g) of the Commission's rules, 47 CFR 1.115(g), the 
Application for Review filed by the Rural Wireless Association, Inc. on 
March 29, 2018, is granted in part, dismissed as moot in part, and 
denied in part to the extent described herein.
    36. It is further ordered that, pursuant to section 5(c)(5) of the 
Communications Act of 1934, as amended, 47 U.S.C. 155(c)(5), and 
section 1.115(g) of the Commission's rules, 47 CFR 1.115(g), the 
Application for Review filed by Verizon Communications, Inc. on June 
22, 2018, is denied.
    37. It is further ordered that, pursuant to Sec.  1.427(b) of the 
Commission's rules, 47 CFR 1.427(b), this Order shall be effective upon 
its publication in the Federal Register.

Federal Communications Commission.

Marlene Dortch,
Secretary.
[FR Doc. 2018-18804 Filed 8-28-18; 11:15 am]
BILLING CODE 6712-01-P



                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                        44241

                                           PART 206—FEDERAL DISASTER                               A257, Washington, DC 20554. The                       Bureau (the Bureaus), published a map
                                           ASSISTANCE                                              complete text is also available on the                of areas presumptively eligible for MF–
                                                                                                   Commission’s website at http://                       II support based on a one-time
                                           ■  1. The authority citation for part 206               wireless.fcc.gov, or by using the search              collection by the Commission of 4G LTE
                                           is revised to read as follows:                          function on the ECFS web page at                      coverage data and subsidy data from the
                                             Authority: Robert T. Stafford Disaster                http://www.fcc.gov/cgb/ecfs/.                         Universal Service Administrative
                                           Relief and Emergency Assistance Act, 42                 Alternative formats are available to                  Company (USAC).
                                           U.S.C. 5121 through 5207; Homeland                      persons with disabilities by sending an                  2. The MF–II Challenge Process Order,
                                           Security Act of 2002, 6 U.S.C. 101 et seq.;             email to fcc504@fcc.gov or by calling the             82 FR 42473, September 8, 2017,
                                           Department of Homeland Security Delegation              Consumer & Governmental Affairs                       established the framework for a robust
                                           9001.1.                                                 Bureau at (202) 418–0530 (voice), (202)               challenge process that will refine the
                                           § 206.210   [Removed and Reserved]                      418–0432 (TTY).                                       map of areas presumptively eligible to
                                                                                                                                                         receive MF–II support. This challenge
                                           ■   2. Remove § 206.210.                                I. Synposis                                           process is designed to efficiently resolve
                                             Dated: August 23, 2018.                                  On August 21, 2018, the Commission                 disputes about areas that are
                                           Brock Long,                                             released an ‘‘Order, Notice of Proposed               presumptively ineligible through the
                                                                                                   Rulemaking, and Memorandum Opinion                    submission, analysis, and validation of
                                           Administrator, Federal Emergency
                                           Management Agency.                                      and Order’’ (August 21 Order). The                    mobile network speed test data. The
                                                                                                   Commission separately published the                   Commission initially established a 150-
                                           [FR Doc. 2018–18796 Filed 8–29–18; 8:45 am]
                                                                                                   proposed modifications to the speed test              day challenge window for interested
                                           BILLING CODE 9110–11–P
                                                                                                   data specifications regarding the                     parties to contest the initial
                                                                                                   relevant timeframes for valid speed tests             determination of areas deemed
                                                                                                   for the August 21 Order elsewhere in                  presumptively ineligible for MF–II
                                           FEDERAL COMMUNICATIONS                                  this issue of the Federal Register. In the            support. The challenge window opened
                                           COMMISSION                                              August 21 Order, the Commission                       on March 29, 2018, and it was
                                                                                                   extended the previously announced                     scheduled to close on August 27, 2018.
                                           47 CFR Part 54
                                                                                                   deadline for the close of the Mobility                   3. As part of the challenge process
                                           [WC Docket No. 10–90, WT Docket No. 10–                 Fund Phase II (MF–II) challenge                       framework, the Commission established
                                           208; FCC 18–124]                                        window by an additional 90 days.                      various parameters for the acceptance of
                                                                                                   Challengers were given until November                 speed test data, including that such data
                                           Connect America Fund Universal                          26, 2018, to submit speed test data in                would only be accepted if they were
                                           Service Reform—Mobility Fund                            support of a challenge. The Commission                collected within six months of the
                                           AGENCY:  Federal Communications                         adopted this extension to ensure that                 scheduled close of the challenge
                                           Commission.                                             interested parties can initiate and                   window. That six-month period
                                                                                                   submit speed test data for areas they                 commenced on February 27, 2018. After
                                           ACTION: Final action; extension of filing
                                                                                                   wish to challenge. In addition, given                 the close of the challenge window, a
                                           period; petitions for reconsideration.
                                                                                                   this extension, the Commission                        respondent (i.e., a ‘‘challenged party’’)
                                           SUMMARY:   This document addresses two                  proposed to make modifications to the                 will have the opportunity to respond to
                                           applications for review regarding the                   speed test data specifications regarding              challenges by submitting its own speed
                                           procedures and parameters of the                        the relevant timeframes for valid speed               test data or certain technical
                                           Mobility Fund II challenge process and                  tests. The Commission also addressed                  information that is probative of the
                                           grant in part and deny in part a related                two applications for review regarding                 validity of the challenger’s speed tests.
                                           extension request.                                      the procedures and parameters of the                  Speed test data submitted by
                                                                                                   MF–II challenge process and granted in                respondents is subject to the same
                                           DATES: This Order is effective August
                                                                                                   part and denied in part a related                     standards and requirements applicable
                                           30, 2018. The window for filing
                                                                                                   extension request.                                    to challengers, except that the
                                           challenges to ineligible areas extended
                                                                                                                                                         Commission established in the MF–II
                                           to November 26, 2018.                                   II. Order Extending the Challenge
                                                                                                                                                         Challenge Process Order that it would
                                           FOR FURTHER INFORMATION CONTACT:                        Window
                                                                                                                                                         only accept data submitted by a
                                           Wireless Telecommunications Bureau,                        1. In February 2017, the Commission                respondent that was collected within six
                                           Auctions and Spectrum Access                            adopted rules to move forward on a                    months of the scheduled close of the
                                           Division, Audra Hale-Maddox, at (202)                   reverse auction that will direct up to                response window.
                                           418–0660.                                               $4.53 billion of MF–II support over ten                  4. After the Commission adopted the
                                           SUPPLEMENTARY INFORMATION: This is a                    years to providers in geographic areas                timeframe for the challenge window, the
                                           summary of the final actions in the                     lacking unsubsidized 4G Long Term                     Rural Wireless Association (RWA)
                                           Federal Communications Commission                       Evolution (LTE) services. The                         submitted data regarding estimated
                                           (‘‘Commission’’) Order, Notice of                       Commission also determined that it                    burdens of the challenge process,
                                           Proposed Rulemaking and                                 would compile a list of areas that were               including specific estimates of the
                                           Memorandum Opinion and Order                            presumptively eligible for MF–II                      amount of time required to conduct
                                           (Combined Order), FCC 18–124,                           support and provide a limited                         speed tests in certain areas.
                                           adopted on August 14, 2018, and                         timeframe before the auction during                      5. The Commission extended the
                                           released on August 21, 2018. The                        which interested parties could challenge              previously established deadline for
                                           complete text of this document is                       areas that were not listed as                         challengers to submit data in the
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                                           available for public inspection and                     presumptively eligible (i.e.,                         challenge process and provide an
                                           copying from 8 a.m. to 4:30 p.m. Eastern                ‘‘presumptively ineligible’’ areas). In               additional 90 days, until November 26,
                                           Time (ET) Monday through Thursday or                    February 2018, the Rural Broadband                    2018, for the submission and
                                           from 8 a.m. to 11:30 a.m. ET on Fridays                 Auctions Task Force, in conjunction                   certification of challenges. The
                                           in the FCC Reference Information                        with the Wireless Telecommunications                  Commission direct USAC to implement
                                           Center, 445 12th Street SW, Room CY–                    Bureau and the Wireline Competition                   this change in the challenge portal.


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                                           44242            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                              6. In light of new estimates and again   size to one-quarter mile. On April 30,                            points when increasing buffer size to
                                           out of an abundance of caution, the         2018, the Bureaus, on their own motion,                           400 meters and increasing the grid cell
                                           Commission concluded that while a           adopted an order on reconsideration                               size to one square mile.
                                           150-day challenge window may still be       that increased the buffer size to 400                                13. In the Oklahoma Panhandle, RWA
                                           sufficient for parties to conduct speed     meters. AT&T, the Competitive Carriers                            found that the results were largely the
                                           tests and submit challenges, providing      Association (CCA), and U.S. Cellular                              same if the buffer size was increased,
                                           an additional 90 days for this window       filed replies to Verizon’s opposition to                          regardless of whether the grid cell size
                                           will ensure that all interested parties     RWA’s AFR, in which they supported                                was also increased. In both cases, RWA
                                           have ample opportunity to conduct           the Bureaus’ decision to implement a                              found that the grid cells requiring some
                                           speed tests and submit speed test data      400-meter buffer radius. On the issue of                          off-road testing would decrease by
                                           for the areas they wish to challenge.       the grid cell size, AT&T argued that the                          nearly 40 percentage points, from 82.3
                                           Providing this additional time, for a       grid cells should not be resized. CCA                             percent to either 44.7 percent (buffer
                                           total challenge window of 240 days,         and U.S. Cellular argued that the grid                            size alone) or 43.6 percent (buffer and
                                           ultimately should result in a more          cells should be resized.                                          grid cell size). Summarizing its analysis,
                                           efficient allocation of support funds,         10. On June 21, 2018, Verizon filed an                         RWA stated that it ‘‘recognizes the
                                           while still advancing the overall auction   application for review of the Bureaus’                            Bureaus’ desire to utilize a square
                                           process to a timely conclusion, directing   order on reconsideration in which it                              kilometer grid cell scheme and believes
                                           its limited funds to the unserved areas     sought reinstatement of the 250-meter                             that the use of a one square kilometer
                                           most in need, and completing the phase      buffer radius. NTCA, Smith Bagley,                                grid cell and accompanying longer
                                           down of duplicative support that directs    RWA, and Panhandle                                                buffer radius will give prospective
                                           subsidies to areas already served by        Telecommunication opposed Verizon’s                               challengers the ability to more
                                           unsubsidized providers. Accordingly,        application for review and argued that                            meaningfully participate in the MF–II
                                           the Commission makes a procedural           the 400-meter buffer should be                                    challenge process.’’
                                           change to the challenge process by          maintained. CCA filed a reply to the                                 14. U.S. Cellular supports RWA’s
                                           extending the deadline for filing           oppositions supporting the 400-meter                              AFR. The company estimated that the
                                           challenges to November 26, 2018.            buffer radius, and Verizon filed a reply                          one-kilometer grid cell size in
                                                                                       to the oppositions restating its support                          conjunction with the original 250-meter
                                           III. Memorandum Opinion and Order           for a 250-meter buffer radius.                                    buffer radius size would make mounting
                                           Addressing Applications for Review             11. RWA’s application for review                               a challenge by drive-testing alone
                                           From RWA and Verizon                        seeks review of the Bureaus’ procedures                           impossible for as much as 78 percent of
                                              7. In the MF–II Challenge Process        adopted in the MF–II Challenge Process                            the areas involved.
                                           Procedures Public Notice, 83 FR 13417,      Procedures Public Notice establishing a                              15. After considering the data RWA
                                           March 29, 2018, the Bureaus                 one kilometer grid cell size and a one-                           filed in its March 21, 2018 ex parte
                                           determined, consistent with the             quarter kilometer ‘‘buffer’’ for assessing                        submission, the Bureaus decided to
                                           Commission’s decision in the MF–II          challenges to areas deemed ineligible for                         expand the buffer surrounding each test
                                           Challenge Process Order, that speed test MF–II support. RWA advocates instead                                 point from 250 meters to 400 meters
                                           measurements submitted to support or        for a one square mile grid size and a                             (approximately equivalent to one-
                                           respond to a challenge to an area that      one-quarter mile buffer. It argues that                           quarter mile), explaining that the new
                                           initially is deemed ineligible for MF–II    roads in certain areas of rural America                           data persuaded them that the previous
                                           support must be no more than one-half       have been laid out on square mile grids                           buffer size and resulting number of test
                                           of one kilometer apart from one another. rather than square kilometer grids,                                  points required may be unduly
                                           The Bureaus also decided to assess          which according to RWA means that                                 burdensome to some challengers. The
                                           challenges using a uniform grid with        using a square kilometer grid would                               new evidence illustrated both the
                                           cells of one square kilometer and a         yield more grid cells that cannot be fully                        considerable increase in area that could
                                           ‘‘buffer’’ with a radius equal to one-half  tested by drive testing. RWA argues                               be covered by drive-testing and the
                                           of the maximum distance parameter,          further that a 250-meter buffer for each                          decrease in the number of speed test
                                           i.e., one-quarter of one kilometer (250     test point would require needlessly                               measurements typically needed per grid
                                           meters).                                    dense testing points which would                                  cell resulting from using a buffer radius
                                              8. On March 21, 2018, RWA                increase the cost and technical difficulty                        of one-quarter of one mile rather than a
                                           submitted data regarding the burden a       of submitting challenges.                                         radius of one-quarter of one kilometer.
                                           challenger would experience as a result        12. RWA’s subsequent ex parte on                               These modified parameters decreased
                                           of these decisions. On March 29, 2018,      April 30, 2018, included additional                               the burden on challengers by reducing
                                           RWA filed an application for review in      information. In Alabama and the                                   the number of speed test measurements
                                           which it argued that the speed test         Oklahoma Panhandle, RWA found that                                needed to file a successful challenge.
                                           buffer radius size should have been set     increasing the buffer to 400 meters,                              Accordingly, because the Bureaus have
                                           at one-quarter mile and that the size of    while maintaining the one square                                  already effectively granted RWA’s
                                           the uniform grid cells should have been kilometer grid cell size, would result in                             request regarding buffer size, the
                                           one square mile. One party—Verizon—         a significant reduction of the percentage                         Commission dismiss RWA’s application
                                           opposed RWA’s application for review        of cells for which a challenger could not                         for review on these grounds as moot.
                                           and argued that the grid cell size and the fully test by drive testing. Indeed, RWA                              16. In contrast, RWA has not shown
                                           buffer radius should not be increased.      found that changing the buffer size                               that changing the grid cell size is
                                              9. On April 30, 2018, RWA filed an       would provide better results in Alabama                           warranted. The Commission finds that
                                           ex parte letter indicating that increasing than if both the buffer and grid cell size                         the expansion of the speed test point
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                                           the speed test buffer to 400 meters         were increased. In the area in Alabama                            buffer to 400 meters (as supported by
                                           (approximately one-quarter mile) and        that RWA studied, the number of grid                              numerous commenters) while retaining
                                           maintaining a grid cell size of one         cells requiring some off-road testing                             the square kilometer grid cell size
                                           square kilometer would yield largely        dropped by 26 percentage points when                              properly balances the measurements
                                           similar results to increasing the grid cell increasing the buffer to 400 meters,                              needed for meaningful testing with the
                                           size to one square mile and the buffer      versus a decrease of 16 percentage                                burdens placed on challengers and


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                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                        44243

                                           challenged parties. This decision also                     20. The Commission appropriately                   the Commission will act favorably on its
                                           furthers the Commission’s goals of                      balanced the competing interests of                   application for review. Moreover, the
                                           moving expeditiously to conduct the                     challengers and challenged parties in                 Bureaus have already acted to make it
                                           MF–II auction and of administrative                     this proceeding with the need to                      easier to conduct speed tests. Thus, all
                                           efficiency. The Commission and the                      efficiently administer the challenge                  affected parties must comply with the
                                           Bureaus have carefully considered the                   process. Roads do not match perfectly                 rules and the requirements of the
                                           burdens on entities that choose to                      with any uniform grid, regardless of the              challenge process, should they choose
                                           submit challenges and entities that                     size of the grid cell. The Commission                 to participate in it, absent Commission
                                           choose to respond to challenges, the                    decided to conduct an auction based                   grant of a stay (which RWA did not
                                           goals of administrative efficiency, and                 upon land area, not road miles, because               request). RWA has not cited any
                                           the record evidence.                                    of limited universal service funds on the             unanticipated circumstances that might
                                              17. As Verizon and AT&T noted, to                    unserved areas where people live, work,               explain its members’ need for an
                                           implement RWA’s proposed resizing of                    and travel. No commenter sought                       extension nor provided a reasonable
                                           the grid, ‘‘the Commission would have                   reconsideration of that decision.                     justification for granting it.
                                           to reprocess the carrier coverage maps                  Similarly, the Commission decided to                     23. Moreover, granting a further
                                           using a one square mile grid, generate a                not make special accommodations for                   extension as requested by RWA would
                                           new map of presumptively eligible                       less accessible areas, and no commenter               work at cross-purposes with the goals of
                                           areas, and finally direct USAC to modify                sought reconsideration of that decision.              the MF–II proceeding. In the MF–II
                                           its challenge process software to accept                Any ineligible area may be challenged,                Report and Order, 82 FR 15422, March
                                           challenges based on one square mile                     and it is incumbent upon challengers                  28, 2017, the Commission stated that the
                                           grid cells.’’ AT&T argues that RWA’s                    and challenged parties to collect the                 purpose of MF–II is ‘‘to allocate up to
                                           proposed reconfiguration of the grid                    required speed test points to                         $4.53 billion . . . to advance the
                                           cells ‘‘would be too disruptive’’ and                   substantiate or rebut a challenge.                    deployment of 4G LTE service to areas
                                           would ‘‘significantly delay the start’’ of              Indeed, as of July 31, 2018, challengers              that are so costly that the private sector
                                           the MF–II auction. Similarly, Verizon                   had already uploaded over 1.6 million                 has not yet deployed there and to
                                           argues that ‘‘stopping the current                      speed tests, with a significant number of             preserve such service where it might not
                                           challenge process and then starting over                those tests taken in primarily rural                  otherwise exist.’’ The Commission also
                                           with a one square mile grid would                       areas. Accordingly, the Commission                    indicated that MF–II would redirect
                                           extend the challenge process—and                        denies RWA’s application for review on                legacy subsidies away from areas that
                                           delay the start of the Mobility Fund                    the grid cell size.                                   are fully covered by unsubsidized 4G
                                           auction—by many months.’’                                  21. RWA submitted an extension                     LTE service. Further extension of the
                                                                                                   request along with its application for                challenge window undermines the
                                              18. Moreover, as AT&T notes, the
                                                                                                   review, requesting that the challenge                 purpose of the MF–II proceeding by
                                           benefit sought by RWA—an increase in
                                                                                                   window be open for 150 days after its                 delaying the conclusion of the challenge
                                           the percentage of the area that can be                  application for review was addressed.                 process, the release of the final eligible
                                           drive tested—‘‘can effectively be                       The Commission granted a 90-day                       areas map, the commencement of the
                                           addressed by modifying the buffer                       extension of the challenge window,                    MF–II auction, and the refocusing of its
                                           radius, as the Bureaus recently did, on                 which will extend the challenge                       limited universal service funds to the
                                           their own motion.’’ As RWA admits in                    window through November 26, 2018.                     primarily rural areas of the country that
                                           its various submissions, the buffer size                This extension will mean that the                     need the funds the most. Under these
                                           is the key parameter affecting the                      challenge window now provides 200                     circumstances, the Commission finds
                                           percentage of cells that can be drive                   days after the Order on Reconsideration               that the now extended window will
                                           tested and the change made to the buffer                for submitting challenges under                       provide eligible parties with sufficient
                                           size, by itself, would provide similar                  parameters that largely address RWA’s                 time to prepare and submit any
                                           results—in terms of the increase in the                 concerns regarding the percentage of                  challenges they intend to file and that
                                           percentage of cells that could be                       areas that could be fully tested by drive             RWA has failed to demonstrate that a
                                           challenged by drive testing—to                          testing. The Commission thus has                      further extension of the challenge
                                           changing both the buffer size and the                   already effectively granted RWA’s                     window would serve the public interest.
                                           grid cell size.                                         extension request insofar as it sought at                24. Accordingly, RWA’s extension
                                              19. RWA, CCA, and U.S. Cellular                      least 150 days for the challenge window               request is granted in part and is
                                           argue that the one square kilometer grid                after the modifications to the challenge              otherwise denied.
                                           cell size prevents challenges in less                   process that it sought were                              25. Verizon’s application for review
                                           accessible areas. The Commission                        implemented.                                          requests that the Commission vacate the
                                           disagrees. Nothing in the challenge                        22. RWA has not demonstrated that a                Bureaus’ decision to increase the
                                           process framework prevents challenges                   further extension of the window for                   maximum speed test distance parameter
                                           in less accessible areas or in areas that               filing challenges to areas deemed                     from 500 meters to 800 meters and the
                                           require some off-road testing. As shown                 ineligible for MF–II support is in the                associated speed test buffer radius from
                                           in RWA’s own submissions, the buffer                    public interest. The window has been                  250 meters to 400 meters. The thrust of
                                           radius is the key parameter affecting the               extended to now provide a window of                   Verizon’s application for review is that
                                           percentage of area that can be fully                    200 days with parameters that largely                 the Bureaus have shifted the balance of
                                           tested by drive testing, and increasing                 address RWA’s concerns, thus providing                the MF–II challenge process too far in
                                           the grid cell size in some areas increases              50 more days than RWA requested.                      favor of challengers. The outcome,
                                           the percentage of cells that require off                Although parties may disagree with the                Verizon argues, will be to ‘‘allow
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                                           road testing in certain areas. Indeed,                  specific rules promulgated to achieve                 challengers to successfully challenge a
                                           U.S. Cellular concedes that the Bureau’s                the purposes of MF–II, the mere filing                one square kilometer area with as few as
                                           increase of the buffer radius to 400                    of an application for review does not                 two speed test points’’ and will ‘‘result
                                           meters undermines its argument that it                  alter the effective date of those rules; a            in widespread false positives, i.e.,
                                           cannot use drive testing for much of the                party is not entitled to an extension of              presumptively successful challenges of
                                           MF–II challenge process.                                the challenge window on the hope that                 large areas that are in fact well-served


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                                           44244            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations

                                           by 4G LTE, particularly if providers                    challenges more feasible in areas where               record evidence that supported their
                                           cherry-pick test points with an aim of                  roads are less dense, it does not lead to             reconsideration of the maximum speed
                                           minimizing actual coverage.’’ Several                   the conclusion that more challenges will              test distance and buffer radius. In any
                                           carriers and trade associations filed                   cause the accuracy of the final auction               event, this argument is moot since the
                                           oppositions to Verizon’s arguments; no                  eligibility map to suffer. Verizon’s                  Commission has reviewed and upheld
                                           filers supported the Verizon AFR. The                   argument appears to conflate a                        the Bureaus’ decision.
                                           Commission rejects Verizon’s                            presumptive challenge with the final                     30. Although Verizon argues that
                                           arguments, agrees with the unanimous                    disposition of a challenge. Challenged                customer experience is likely to vary
                                           opposition to Verizon’s AFR, and                        carriers will have an opportunity to                  over those distances due to signal
                                           affirms the decision of the Bureaus to                  provide evidence refuting a challenge in              attenuation, and terrain and clutter
                                           expand the maximum distance between                     any challenged grid cell. And because                 variations, the Commission notes that
                                           speed tests to 800 meters and the buffer                speed test points submitted by                        the MF–II Challenge Process Order did
                                           radius of speed tests to 400 meters.                    challenged parties are buffered by the                not call for speed tests that mirror every
                                              26. Verizon argues that the increased                same distance as points submitted by                  customer experience within a speed
                                           speed test buffer radius allows                         challengers, increasing the buffer radius             tested area, but rather a reasonable
                                           challengers to ‘‘cherry-pick’’ speed test               increases the ability of challenged                   balance of administrative and private
                                           data to challenge the unsubsidized                      carriers to respond to challenges.                    burdens and costs in a tested area. The
                                           providers’ coverage maps. The                              28. The Bureaus’ increase in the                   800-meter distance parameter and 400-
                                           Commission disagrees. The Bureaus did                   number of grid cells that may be fully                meter buffer radius reflect such a
                                           not modify the other numerous and                       tested by drive testing does not alter the            balance. The parameters selected by the
                                           rigorous challenge process requirements                 network performance that is being                     Bureaus also has received widespread
                                           in the MF–II Challenge Process                          tested, nor will it necessarily result in             support from other parties participating
                                           Procedures Public Notice. Challengers                   an increase in the number of valid                    in this proceeding. All four of the
                                           must submit not only speed test data                    challenges. Indeed, as several entities               parties opposing Verizon’s AFR, as well
                                           demonstrating throughput below 5                        have noted, more opportunities for                    as a reply to the oppositions, supported
                                           Mbps, but also data collected                           challengers to participate in the                     expanding the buffer radius and
                                           demonstrating speeds equal to or greater                challenge process should improve the                  maximum speed test distance.
                                           than 5 Mbps. Thus, in grid cells well                   accuracy of the final eligibility map,                Similarly, in filings submitted in
                                           served by existing 4G LTE, the data                     insofar as it subjects more grid cells to             response to RWA’s AFR, AT&T, CCA,
                                           submitted to the challenge portal are                   confirmation testing. The Commission                  and U.S. Cellular all supported
                                           likely to reflect speed test results                    likewise agree with NTCA and SBI that                 expanding the buffer radius. The
                                           favoring incumbents. Moreover,                          the potential risks associated with                   Commission further note that, while
                                           contrary to Verizon’s argument,                         increasing the buffer size for the                    Verizon objects to the Bureaus’ reliance
                                           providing only two speed tests in a grid                challenge process to 400 meters—i.e.,                 on RWA’s evidence, it did not cite any
                                           cell with high quality 4G LTE service                   increased availability of challenges—are              other record evidence, new or
                                           will likely not be sufficient to                        outweighed by the benefits of ensuring,               otherwise, that undermines the Bureaus’
                                           successfully challenge the grid cell.                   through a process that does not unduly                decision.
                                           Rather, the combined buffer areas of                    deter challenges, that all areas that lack               31. For all these reasons, the
                                           sub-5 Mbps speed tests in or adjacent to                unsubsidized 4G LTE mobile service are                Commission denies Verizon’s
                                           challengeable grid cells must cover 75                  designated eligible for the auction and               application for review.
                                           percent of the challengeable areas of all               have an opportunity to compete for MF–
                                                                                                                                                         IV. Ordering Clauses
                                           carriers in the grid cell. Further, even                II support.
                                           where combined testing points do cover                     29. The Commission also rejected                      32. Accordingly, it is ordered that
                                           75 percent of the challengeable areas in                Verizon’s argument that the Bureaus                   pursuant to the authority contained in
                                           a grid cell, the resulting presumptive                  exceeded their authority by increasing                sections 1, 4(i) and (j), 254, 303(r), and
                                           challenge simply shifts the burden of                   the maximum speed test distance                       332 of the Communications Act of 1934,
                                           production (though not the burden of                    parameter and buffer radius. In the MF–               as amended, and section 706 of the
                                           persuasion) to the challenged carrier to                II Challenge Process Order, the                       Telecommunications Act of 1996, 47
                                           produce evidence rebutting the                          Commission directed the Bureaus to                    U.S.C. 151, 154(i), (j), 254, 303(r), 332,
                                           presumption. A presumptive challenge                    establish the challenge process speed                 1302, and sections 1.1, 1.115, 1.412, and
                                           does not automatically result in any                    testing parameters. Specifically, the                 1.427 of the Commission’s rules, 47 CFR
                                           change to eligibility; final adjudications              Commission directed Bureaus to                        1.1, 1.115, 1.412, 1.427, this Order and
                                           of eligibility will occur after challenged              establish a maximum distance between                  Memorandum Opinion and Order is
                                           parties have an opportunity to respond                  tests of up to one mile and to set a                  adopted.
                                           to challenges.                                          corresponding buffer around tests to                     33. It is further ordered that, pursuant
                                              27. Verizon also argues that increasing              balance the benefits to the MF–II                     to the authority contained in sections 1,
                                           the speed test buffer radius to 400                     process, the burdens on small carriers,               4(i) and (j), 254, 303(r), and 332 of the
                                           meters will increase the number of                      and an administratively efficient                     Communications Act of 1934, as
                                           presumptively successful challenges in                  adjudication of challenges regarding                  amended, and section 706 of the
                                           areas already served by 4G LTE—which                    network deployment. The Bureaus                       Telecommunications Act of 1996, 47
                                           Verizon terms ‘‘false positives’’—which                 could consider any maximum speed test                 U.S.C. 151, 154(i), (j), 254, 303(r), 332,
                                           will degrade the accuracy of the MF–II                  distance parameter and buffer within                  1302, and sections 1.1 and 1.412 of the
                                           eligibility map. The Commission                         the established one mile range,                       Commission’s rules, 47 CFR 1.1, 1.412,
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                                           disagrees. The risk of so-called ‘‘false                including the 800-meter distance                      the deadline for challengers to submit
                                           positives’’ from a 400-meter buffer is                  parameter (approximately one-half of                  information in connection with the MF–
                                           adequately addressed by the challenge                   one mile) and corresponding 400-meter                 II challenge process is extended, to the
                                           process framework that the Commission                   buffer radius selected. Thus, the                     extent described herein.
                                           adopted. While increasing the buffer                    Bureaus were well within their                           34. It is further ordered that, pursuant
                                           radius to 400 meters can make                           authority to consider newly available                 to authority contained in sections 4(i),


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                                                            Federal Register / Vol. 83, No. 169 / Thursday, August 30, 2018 / Rules and Regulations                                       44245

                                           254, 303(r), and 332 of the                             (OMB) of a collection-of-information                  Classification
                                           Communications Act of 1934, as                          requirement, which was contained in
                                                                                                                                                         Administrative Procedure Act
                                           amended, and section 706 of the                         regulations implementing fishing limits
                                           Telecommunications Act of 1996, 47                      in purse seine and longline fisheries,                   Pursuant to 5 U.S.C. 553(b)(B), there
                                           U.S.C. 154(i), 254, 303(r), 332, 1302, and              and other restrictions, for U.S. vessels              is good cause to waive prior notice and
                                           section 1.46 of the Commission’s rules,                 used to fish for highly migratory species             opportunity for public comment for this
                                           47 CFR 1.46, RWA’s Request for                          in the western and central Pacific Ocean              action because notice and comment
                                           Extension of Challenge Window is                        (WCPO), in a final rule published on                  would be unnecessary and contrary to
                                           granted in part, and is denied in part,                 July 18, 2018. The intent of this final               the public interest. This action simply
                                           to the extent described herein.                         rule is to inform the public of the                   provides notice of OMB’s approval of
                                              35. It is further ordered that, pursuant             effectiveness of the collection-of-                   the reporting requirements at issue,
                                           to section 5(c)(5) of the Communications                information requirement associated                    which has already occurred, and
                                           Act of 1934, as amended, 47 U.S.C.                      with daily purse seine fishing effort                 renders those requirements effective.
                                           155(c)(5), and section 1.115(g) of the                  reports included in the final rule.                   Thus this action does not involve any
                                           Commission’s rules, 47 CFR 1.115(g),                                                                          further exercise of agency discretion by
                                                                                                   DATES: This final rule is effective August
                                           the Application for Review filed by the                                                                       NMFS or OMB. Moreover, the public
                                                                                                   30, 2018. The amendment to 50 CFR                     has had prior notice and the
                                           Rural Wireless Association, Inc. on
                                                                                                   300.218(g), published at 83 FR 33851                  opportunity to comment on the
                                           March 29, 2018, is granted in part,
                                                                                                   (July 18, 2018), is effective on August               collection-of-information requirement.
                                           dismissed as moot in part, and denied
                                                                                                   30, 2018.                                             NMFS published a proposed rule
                                           in part to the extent described herein.
                                              36. It is further ordered that, pursuant             ADDRESSES: Written comments                           including the collection-of-information
                                           to section 5(c)(5) of the Communications                regarding burden-hour estimates or                    requirement (83 FR 21748; published
                                           Act of 1934, as amended, 47 U.S.C.                      other aspects of the collection-of-                   May 10, 2018), with comments accepted
                                           155(c)(5), and section 1.115(g) of the                  information requirements contained in                 until May 25, 2018. The final rule (83
                                           Commission’s rules, 47 CFR 1.115(g),                    this final rule may be submitted to                   FR 33851; published July 18, 2018),
                                           the Application for Review filed by                     Michael D. Tosatto, Regional                          included a response to the one comment
                                           Verizon Communications, Inc. on June                    Administrator, NMFS, Pacific Islands                  received on the reporting requirements,
                                           22, 2018, is denied.                                    Regional Office (PIRO), 1845 Wasp                     advised where to send any additional
                                              37. It is further ordered that, pursuant             Blvd., Building 176, Honolulu, HI 96818               comments on aspects of the collection of
                                           to § 1.427(b) of the Commission’s rules,                and by email to OIRA_Submission@                      information, and indicated that this
                                           47 CFR 1.427(b), this Order shall be                    omb.eop.gov or fax to (202) 395–5806.                 final rule would be published
                                           effective upon its publication in the                   FOR FURTHER INFORMATION CONTACT:                      announcing the effective date for the
                                           Federal Register.                                       Emily Crigler, NMFS, (808) 725–5036,                  revised reporting requirements upon
                                           Federal Communications Commission.                      or emily.crigler@noaa.gov.                            OMB approval.
                                                                                                                                                            There is good cause under 5 U.S.C.
                                           Marlene Dortch,                                         SUPPLEMENTARY INFORMATION: Under
                                                                                                                                                         553(d)(3) to waive the 30-day delay in
                                           Secretary.                                              authority of the Western and Central                  effective date for the collection-of-
                                           [FR Doc. 2018–18804 Filed 8–28–18; 11:15 am]            Pacific Fisheries Convention                          information requirement. The reporting
                                           BILLING CODE 6712–01–P                                  Implementation Act (WCPFC                             requirements included in this final rule
                                                                                                   Implementation Act; 16 U.S.C. 6901 et                 are intended to allow NMFS to obtain
                                                                                                   seq.), NMFS implemented recent                        better data, to more accurately track the
                                           DEPARTMENT OF COMMERCE                                  decisions of the Commission for the                   purse seine fishing effort limits,
                                                                                                   Conservation and Management of                        specified at 50 CFR 300.223(a), and to
                                           National Oceanic and Atmospheric                        Highly Migratory Fish Stocks in the                   predict when a fishing effort limit is
                                           Administration                                          Western and Central Pacific Ocean.                    expected to be reached with greater
                                                                                                   Background                                            certainty. Delaying the effective date of
                                           50 CFR Part 300                                                                                               this reporting requirement will limit
                                                                                                      NMFS issued a final rule to                        NMFS’s ability to accurately track
                                           [Docket No. 180209155–8750–03]
                                                                                                   implement specific fishing limits in                  fishing effort and make timely
                                           RIN 0648–BH77                                           purse seine and longline fisheries, and               predictions of when effort limits may be
                                                                                                   other restrictions, for U.S. vessels used             reached. Accordingly, waiver of the 30-
                                           International Fisheries; Western and                    to fish for highly migratory species in
                                           Central Pacific Fisheries for Highly                                                                          day delay in effective date is necessary
                                                                                                   the WCPO. The final rule was published                to comply with the requirements of the
                                           Migratory Species; Fishing Limits in                    in the Federal Register on July 18, 2018
                                           Purse Seine and Longline Fisheries,                                                                           WCPFC Implementation Act, the failure
                                                                                                   (83 FR 33851) and the associated                      of which would be contrary to the
                                           Restrictions on the Use of Fish                         regulations are found at 50 CFR part
                                           Aggregating Devices in Purse Seine                                                                            public interest.
                                                                                                   300. The requirements of that final rule,
                                           Fisheries, and Transshipment                            other than the collection-of-information              Executive Order 12866
                                           Prohibitions                                            requirements associated with the daily                  This final rule has been determined to
                                           AGENCY:   National Marine Fisheries                     purse seine fishing effort reports, were              be not significant for purposes of
                                           Service (NMFS), National Oceanic and                    effective on July 18, 2018. OMB                       Executive Order 12866.
                                           Atmospheric Administration (NOAA),                      approved the collection-of-information
                                                                                                   requirements contained in the final rule              Paperwork Reduction Act
amozie on DSK3GDR082PROD with RULES




                                           Commerce.
                                           ACTION: Final rule; date of effectiveness               on August 3, 2018, under OMB Control                     This final rule contains a collection-
                                           for collection-of-information                           Number 0648–0649. Accordingly, this                   of-information requirement subject to
                                           requirements.                                           final rule announces the approval and                 the Paperwork Reduction Act (PRA) and
                                                                                                   effective date of the daily purse seine               which OMB approved under OMB
                                           SUMMARY:   NMFS announces approval by                   fishing effort report requirements found              Control Number 0648–0649 on August
                                           the Office of Management and Budget                     at 50 CFR 300.218(g).                                 3, 2018. Specifically, U.S. purse seine


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Document Created: 2018-08-30 01:21:26
Document Modified: 2018-08-30 01:21:26
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal action; extension of filing period; petitions for reconsideration.
DatesThis Order is effective August 30, 2018. The window for filing challenges to ineligible areas extended to November 26, 2018.
ContactWireless Telecommunications Bureau, Auctions and Spectrum Access Division, Audra Hale-Maddox, at (202) 418- 0660.
FR Citation83 FR 44241 

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