[Federal Register Volume 59, Number 35 (Tuesday, February 22, 1994)] [Unknown Section] [Page 0] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 94-3820] [[Page Unknown]] [Federal Register: February 22, 1994] ======================================================================= ----------------------------------------------------------------------- FEDERAL COMMUNICATIONS COMMISSION 47 CFR Part 1 [ET Docket No. 93-266; FCC 93-551] Review of the Pioneer's Preference Rules AGENCY: Federal Communications Commission. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: In October 1993, the Commission initiated a review of its pioneer's preference rules to assess the effect of competitive bidding authority recently enacted by Congress. In this First Report and Order the Commission concludes that any changes to its pioneer's preference rules will not be applied to the three proceedings in which Tentative Decisions have been issued. The action is intended to ensure the equitable treatment of pioneer's preference applicants in these proceedings. EFFECTIVE DATE: February 22, 1994. FOR FURTHER INFORMATION CONTACT: Rodney Small, Office of Engineering and Technology, (202) 653-8116. SUPPLEMENTARY INFORMATION: This is a summary of the Commission's First Report and Order adopted December 23, 1993, and released January 28, 1994. A summary of the Notice of Proposed Rule Making (Notice) initiating this proceeding may be found at 58 FR 57578 (October 26, 1993). This action will not change the public reporting burden. The full text of this Commission decision is available for inspection and copying during regular business hours in the FCC Reference Center (Room 239), 1919 M Street, NW., Washington, DC 20554. The complete text of the decision also may be purchased from the Commission's duplication contractor, International Transcription Service, (202) 857-3800, 2100 M Street, NW., Washington, DC 20037. Summary of First Report and Order 1. In the Notice the Commission initiated a review of the effect on its pioneer's preference rules of new authority to assign licenses by competitive bidding. Comment was solicited, inter alia, on whether repeal or amendment of the pioneer's preference rules should apply to the three proceedings in which Tentative Decisions, but not final Orders, have been issued that address preference requests. 2. In response to the Notice, American Personal Communications (APC) requested that the Commission address early and separately whether to apply to the 2 GHz broadband Personal Communications Services (PCS) proceeding, GEN Docket No. 90-314, any changes or repeal of the pioneer's preference rules. Most parties concurred with APC that it would be unfair to apply any modifications to the pioneer's preference rules to the 2 GHz broadband PCS proceeding and to two additional proceedings in which Tentative Decisions have been made. With regard to amending or repealing the rules with respect to the 2 GHz PCS preference applicants in particular, several parties expressed agreement with APC that it would be arbitrary for the Commission to treat the 2 GHz PCS preference applicants different from the 900 MHz PCS applicants solely because the Commission bifurcated its PCS proceeding and reached conclusions on narrowband issues first. See GEN Docket No. 90-314/ET Docket No. 92-100. 3. The Commission has issued Tentative Decisions in two proceedings in addition to 2 GHz PCS. With respect to the 28 GHz Local Multipoint Distribution Services (LMDS) proceeding, CC Docket No. 92-297, the Commission tentatively awarded a pioneer's preference to Suite 12 Group. Suite 12 argued that if the Commission decides to eliminate or alter significantly the pioneer's preference rules, equity demands that the tentative grants, including that for LMDS, be judged in accordance with the existing rules. With respect to the 1.6/2.4 GHz Mobile Satellite Service (MSS) proceeding, ET Docket No. 92-28, the Commission tentatively decided that no pioneer's preference award was merited. Motorola Satellite Communications, Inc. argued that there is no reason to change the preference rules as they apply to this proceeding and that authorization of competitive bidding does not undermine the basis of the Commission's decision to consider pioneer's preference requests in this proceeding because the MSS applications are not mutually exclusive. 4. Nextel Communications, Inc., Paging Network, Inc., and PageMart, Inc. (PageMart) maintained that under the notice and comment rule making procedures involved, the Commission may revise, modify, and even reverse its tentative conclusions based on the record developed in response to its solicitation for comments. BellSouth, PageMart, and Southwestern Bell Corporation also argued that it would be more equitable to charge pioneers in proceedings in which Tentative Decisions have been made if other licensees in the same service generally will be selected using competitive bidding. 5. The Commission concluded that it would be inequitable to apply any changes in the pioneer's preference rules to pending proceedings in which Tentative Decisions have been issued. The Commission found that notwithstanding that other licensees in the three proceedings at issue may have to bid at auction and pay for their licenses, preference applicants in these proceedings submitted their requests and publicly disclosed substantial detail of their system designs in reliance on the continued applicability of the pioneer's preference rules. The Commission stated that had the rules been different, these applicants might have structured their requests differently; or conducted research, development, and experimentation differently; or elected not to disclose detailed information about their systems. The Commission concluded that notwithstanding its legal authority to treat 2 GHz broadband PCS pending applicants differently than the 900 MHz narrowband PCS applicants and also to apply changed rules to pending applicants in the 28 GHz LMDS and 1.6/2.4 GHz MSS proceedings, to do so would be inequitable. Accordingly, the Commission decided to render final decisions on pioneer's preference requests in these proceedings based on the existing pioneer's preference rules. 6. This action concluded the Commission's review of the pioneer's preference rules with respect to proceedings in which Tentative Decisions have been made. The Commission anticipates concluding its review of the pioneer's preference rules with respect to other proceedings in a separate Report and Order. Ordering Clause 7. Accordingly, It is ordered that this First Report and Order IS ADOPTED. IT IS FURTHER ORDERED that the Request for Separate and Expedited Treatment of ``Existing Pioneer Preference'' Issues, filed by American Personal Communications, IS GRANTED to the extent indicated herein. This action is taken pursuant to sections 4(i), 7(a), 303(c), 303(f), 303(g), 303(r), and 309(j) of the Communications Act of 1934, as amended, 47 U.S.C. sections 154(i), 157(a), 303(c), 303(f), 303(g), 303(r), and 309(j). List of Subjects in 47 CFR Part 1 Administrative practice and procedure, Pioneer's preference. Federal Communications Commission. William F. Caton, Acting Secretary. [FR Doc. 94-3820 Filed 2-18-94; 8:45 am] BILLING CODE 6712-01-M
