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Federal Register / Vol. 72, No.

42 / Monday, March 5, 2007 / Notices 9745

comments disclose facts or materials may be available EXPORT-IMPORT BANK OF THE


considerations that indicate that such electronically, you may still access any UNITED STATES
consent is inappropriate, improper, of the publicly available docket
inadequate, or inconsistent with the materials through the EPA Docket Sunshine Act Meeting
requirements of the Act. Unless EPA or Center.
the Department of Justice determines, ACTION: Notice of a Partially Open
based on any comment which may be B. How and To Whom Do I Submit Meeting of the Board of Directors of the
submitted, that consent to the Comments? Export-Import Bank of the United States
settlement agreement should be
You may submit comments as TIME AND PLACE: Thursday, March 8,
withdrawn, the terms of the agreement
provided in the ADDRESSES section. 2007 at 9:30 a.m. The meeting will be
will be affirmed.
Please ensure that your comments are held at Ex-Im Bank in Room 1143, 811
II. Additional Information About submitted within the specified comment Vermont Avenue, NW., Washington, DC
Commenting on the Proposed period. Comments received after the 20571.
Settlement close of the comment period will be OPEN AGENDA ITEM: Small Business
A. How Can I Get a Copy of the marked ‘‘late.’’ EPA is not required to Committee Resolution (Amendment).
Settlement? consider these late comments. PUBLIC PARTICIPATION: The meeting will
Direct your comments to the official If you submit an electronic comment, be open to public participation for Item
public docket for this action under EPA recommends that you include your No. 1 only.
Docket ID No. EPA–HQ–OGC–2007– name, mailing address, and an e-mail FURTHER INFORMATION: For further
0190 which contains a copy of the address or other contact information in information, contact; Office of the
settlement. The official public docket is the body of your comment and with any Secretary, 811 Vermont Avenue, NW.,
available for public viewing at the disk or CD ROM you submit. This Washington, DC 20571 (Telephone 202–
Office of Environmental Information ensures that you can be identified as the 565–3957).
(OEI) Docket in the EPA Docket Center, submitter of the comment and allows Howard A. Schweitzer,
EPA West, Room 3334, 1301 EPA to contact you in case EPA cannot General Counsel.
Constitution Ave., NW., Washington, read your comment due to technical
DC. The EPA Docket Center Public [FR Doc. 07–1016 Filed 3–1–07; 3:07 pm]
difficulties or needs further information
Reading Room is open from 8:30 a.m. to BILLING CODE 6690–01–M
on the substance of your comment. Any
4:30 p.m., Monday through Friday, identifying or contact information
excluding legal holidays. The telephone provided in the body of a comment will
number for the Public Reading Room is FEDERAL COMMUNICATIONS
be included as part of the comment that
(202) 566–1744, and the telephone COMMISSION
is placed in the official public docket,
number for the OEI Docket is (202) 566– and made available in EPA’s electronic [AU Docket No. 06–206; Report No. AUC–
1752. 07–71–B (Auction No. 71); DA 07–30]
public docket. If EPA cannot read your
An electronic version of the public
docket is available through comment due to technical difficulties Auction of Broadband PCS Spectrum
www.regulations.gov. You may use the and cannot contact you for clarification, Scheduled for May 16, 2007; Notice
www.regulations.gov to submit or view EPA may not be able to consider your and Filing Requirements, Minimum
public comments, access the index comment. Opening Bids, Upfront Payments and
listing of the contents of the official Use of the www.regulations.gov Web Other Procedures for Auction No. 71
public docket, and to access those site to submit comments to EPA
documents in the public docket that are AGENCY: Federal Communications
electronically is EPA’s preferred method
available electronically. Once in the Commission.
for receiving comments. The electronic
system, select ‘‘search,’’ then key in the public docket system is an ‘‘anonymous ACTION: Notice.
appropriate docket identification access’’ system, which means EPA will SUMMARY: This document announces the
number. not know your identity, e-mail address,
It is important to note that EPA’s procedures and minimum opening bids
or other contact information unless you for the upcoming auction of certain
policy is that public comments, whether provide it in the body of your comment.
submitted electronically or in paper, Broadband PCS Spectrum (Auction No.
In contrast to EPA’s electronic public 71). This document is intended to
will be made available for public
docket, EPA’s electronic mail (e-mail) familiarize prospective bidders with the
viewing online at http://
system is not an ‘‘anonymous access’’ procedures and minimum opening bids
www.regulations.gov without change,
system. If you send an e-mail comment for this auction.
unless the comment contains
copyrighted material, CBI, or other directly to the Docket without going DATES: Applications to participate in
information whose disclosure is through www.regulations.gov, your e- Broadband PCS Auction No. 71 must be
restricted by statute. Information mail address is automatically captured filed before 6 p.m. ET on March 16,
claimed as CBI and other information and included as part of the comment 2007. Bidding for Auction No. 71 is
whose disclosure is restricted by statute that is placed in the official public scheduled to begin on May 16, 2007.
is not included in the official public docket, and made available in EPA’s FOR FURTHER INFORMATION CONTACT:
docket or in the electronic public electronic public docket. Wireless Telecommunications Bureau,
docket. EPA’s policy is that copyrighted Dated: February 27, 2007. Auctions Spectrum and Access
material, including copyrighted material Richard B. Ossias, Division: For legal questions: Stephen
erjones on PRODPC74 with NOTICES

contained in a public comment, will not Johnson at (202) 418–0660. For general
Associate General Counsel.
be placed in EPA’s electronic public auction questions: Roy Knowles or Lisa
docket but will be available only in [FR Doc. E7–3759 Filed 3–2–07; 8:45 am] Stover at (717) 338–2868. Mobility
printed, paper form in the official public BILLING CODE 6560–50–P Division: For service rule questions:
docket. Although not all docket Michael Connelly (legal and licensing)

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9746 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices

or Keith Harper (technical) at (202) 418– standard simultaneous multiple-round has passed and the Commission
0620. To request materials in accessible (SMR) auction format. The Bureau determines the information procedures
formats (Braille, large print, electronic sought comment on the feasibility and that will be used for the auction.
files, audio format) for people with desirability of allocating the PCS Therefore, to enable applicants to
disabilities, send an e-mail to licenses using the Commission’s comply with the Commission’s anti-
fcc504@fcc.gov or call the Consumer package bidding format (SMR–PB). collusion rules, once the Bureau has
and Governmental Affairs Bureau at Based on the record and the particular conducted its initial review of
(202) 418–0530 or (202) 418–0432 circumstances of the auction of these applications to participate in Auction
(TTY). PCS licenses, the Bureau will include No. 71, each applicant will receive a
SUPPLEMENTARY INFORMATION: This is a all 38 PCS licenses in a single auction letter that lists the other applicants in
summary of the Auction No. 71 using the Commission’s standard SMR Auction No. 71 that have applied for
Procedures Public Notice released on format, as proposed. Package bidding licenses in any of the same geographic
January 16, 2007. The complete text of will not be used in Auction No. 71. areas as the applicant.
the Auction No. 71 Procedures Public 3. For Auction No. 71, the
Commission will determine the i. Licenses To Be Auctioned
Notice, including attachments, as well
as related Commission documents are information procedures based primarily 6. Auction No. 71 will offer 38
available for public inspection and on the eligibility ratio, a measure of licenses for A, C, D, E, and F blocks of
copying from 8 a.m. to 4:30 p.m. Eastern likely competition in the auction. The broadband PCS spectrum. The spectrum
Time (ET) Monday through Thursday or eligibility ratio is defined as the total to be auctioned has been offered
from 8 a.m. to 11:30 a.m. on Friday at number of bidding units of eligibility previously in other auctions but was
the FCC Reference Information Center, purchased by bidders through their unsold and/or returned to the
Portals II, 445 12th Street, SW., Room upfront payments, divided by the total Commission as a result of license
CY–A257, Washington, DC 20554. The number of bidding units for the licenses cancellation or termination. A complete
Auction No. 71 Procedures Public in the auction. Specifically, if the list of licenses available for Auction No.
Notice and related Commission eligibility ratio equals or exceeds three, 71 is included as Attachment A of the
documents may also be purchased from the Commission will use the Auction No. 71 Procedures Public
the Commission’s duplicating information procedures since with Notice.
contractor, Best Copy and Printing, Inc. sufficient likely competition, the anti- 7. Some of the C block licenses to be
(BCPI), Portals II, 445 12th Street, SW., competitive behavior that limited offered in Auction No. 71 are available
Room CY–B402, Washington, DC, information procedures aim to deter is to all bidders in open bidding, while
20554, telephone 202–488–5300, unlikely to be successful. If the others are available only to
facsimile 202–488–5563, or Web site: eligibility ratio is less than three, in entrepreneurs in closed bidding. The A,
http://www.BCPIWEB.com. When general the Commission will withhold B, E, and F block licenses, as well as
ordering documents from BCPI, please certain information on bidder interests certain C block licenses, are available in
provide the appropriate FCC document and bidder identities. However, if the open bidding. Size-based bidding
number, for example, DA 07–30 for the eligibility ratio is less than three, the credits will be available for C and F
Auction No. 71 Procedures Public Commission reserves the discretion not block licenses won in open bidding. In
Notice. The Auction No. 71 Procedures to limit information on bidder interests order to qualify as an entrepreneur for
and identities if circumstances indicate closed bidding, an applicant, including
Public Notice and related documents are
that limited information procedures attributable investors and affiliates,
also available on the Internet at the
would not be an effective tool for must have had gross revenues of less
Commission’s Web site: http://
deterring anti-competitive behavior. than $125 million in each of the last two
wireless.fcc.gov/auctions/71/.
Such circumstances would occur, for years and must have less than $500
I. General Information example, if only two applicants became million in total assets. Size-based
qualified to participate in the bidding, bidding credits are not available for C
A. Introduction
since limited information procedures block licenses won in closed bidding or
1. The Commission announces the would be ineffective in preventing
procedures and minimum opening bid for licenses in the A, D, or E blocks.
bidders from knowing the identity of the 8. Because of the history of licenses
amounts for the upcoming auction of 38 competing bidder. for broadband PCS spectrum, certain of
broadband Personal Communications 4. In the event that the conditions the licenses available in Auction No. 71
Service (PCS) licenses scheduled to described above result in the use of
cover less bandwidth and fewer
begin on May 16, 2007 (Auction No. 71). procedures under which certain
frequencies and in some cases, licenses
On November 17, 2006, in accordance information is withheld, the
are available for only part of a market.
with Section 309(j)(3) of the Commission will release: (1) Each
See Attachment A of the Auction No. 71
Communications Act of 1934, as bidder’s eligibility and upfront payment
Procedures Public Notice to determine
amended, the Wireless made prior to the start of the auction;
the precise scope of the licenses that
Telecommunications Bureau (Bureau) and (2) the amounts of all gross bids
will be offered.
released a public notice seeking (including the losing bids) for each
comment on reserve prices or minimum license after each round, but not the B. Rules and Disclaimers
opening bid amounts and the identities of the bidders placing the
i. Relevant Authority
procedures to be used in Auction No. bids. The Commission believes this
71. The Commission received no provides bidders with information 9. Prospective applicants must
comments in response to the Auction regarding license valuations without familiarize themselves thoroughly with
No. 71 Comment Public Notice 71 FR compromising the goal of reducing the the Commission’s general competitive
erjones on PRODPC74 with NOTICES

69125, November 29, 2006. potential for anti-competitive outcomes. bidding rules set forth in Title 47CFR
2. In the Auction No. 71 Comment 5. Pursuant to these procedures, part 1, including recent amendments
Public Notice, the Bureau proposed to information on the license selections of and clarifications; rules relating to
include all 38 PCS licenses in a single auction applicants will be withheld at broadband PCS, contained in Title 47
auction using the Commission’s least until the upfront payment deadline CFR part 24; and rules relating to

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applications, practice and procedure prohibition begins at the short-form bidding system to disclose market
contained in Title 47 CFR part 1. application filing deadline and ends at information to competitors will not be
Prospective applicants must also be the down payment deadline after the tolerated and will subject bidders to
thoroughly familiar with the auction. This prohibition applies to all sanctions. Bidders are cautioned that
procedures, terms and conditions applicants regardless of whether such the Commission remains vigilant about
(collectively, terms) contained in the applicants become qualified bidders or prohibited communications taking place
Auction No. 71 Procedures Public actually bid. Information concerning in other situations. For example, the
Notice and the Commission’s decisions applicants’ license selections will not be Commission has warned that prohibited
in proceedings regarding competitive made public at least until the upfront communications concerning bids and
bidding procedures, application payment deadline has passed and the bidding strategies may include
requirements, and obligations of Commission determines the information communications regarding capital calls
Commission licensees. procedures that will be used for the or requests for additional funds in
10. The terms contained in the auction. Therefore, the Commission will support of bids or bidding strategies to
Commission’s rules, relevant orders, inform each applicant by letter of the the extent such communications convey
and public notices are not negotiable. identity of each of the other applicants information concerning the bids and
The Commission may amend or that has applied for licenses covering bidding strategies directly or indirectly.
supplement the information contained any of the same geographic areas as the Applicants are hereby placed on notice
in its public notices at any time, and licenses that it has selected in its short- that public disclosure of information
will issue public notices to convey any form application. relating to bidder interests and bidder
new or supplemental information to 12. For purposes of this prohibition, identities that—although revealed prior
applicants. It is the responsibility of all § 1.2105(c)(7)(i) defines applicant as to and during other Commission
applicants to remain current with all including all officers and directors of auctions—is confidential in this auction
Commission rules and with all public the entity submitting a short-form at the time of disclosure may violate the
notices pertaining to this auction. application to participate in the auction, anti-collusion rule. Bidders should use
all controlling interests of that entity, as caution in their dealings with other
ii. Prohibition of Collusion; Compliance
well as all holders of partnership and parties, such as members of the press,
With Antitrust Laws
other ownership interests and any stock financial analysts, or others who might
11. To ensure the competitiveness of interest amounting to 10 percent or become a conduit for the
the auction process, § 1.2105(c) of the more of the entity, or outstanding stock, communication of prohibited bidding
Commission’s rules prohibits applicants or outstanding voting stock of the entity information.
competing for licenses in any of the submitting a short-form application. 14. The Commission’s rules do not
same geographic license areas from 13. Applicants for licenses for any of prohibit applicants from entering into
communicating with each other about the same geographic license areas must otherwise lawful bidding agreements
bids, bidding strategies, or settlements not communicate directly or indirectly before filing their short-form
unless such applicants have identified about bids or bidding strategy. applications, as long as they disclose the
each other on their short-form Accordingly, such applicants are existence of the agreement(s) in their
applications (FCC Forms 175) as parties encouraged not to use the same short-form application. If parties agree
with whom they have entered into individual as an authorized bidder. A in principle on all material terms prior
agreements pursuant to violation of the anti-collusion rule could to the short-form filing deadline, each
§ 1.2105(a)(2)(viii). In Auction No. 71, occur if an individual acts as the party to the agreement must identify the
the rule would apply to any applicants authorized bidder for two or more other party or parties to the agreement
for licenses in the same BTA or MTA. competing applicants, and conveys on its short-form application under
The rule would also apply to applicants information concerning the substance of § 1.2105(c), even if the agreement has
for licenses in overlapping BTAs and bids or bidding strategies between such not been reduced to writing. If the
MTAs. For example, assume that one applicants. Also, if the authorized parties have not agreed in principle by
applicant applies for an MTA license bidders are different individuals the short-form filing deadline, they
and a second applicant applies for a employed by the same organization should not include the names of parties
BTA license covering any area within (e.g., law firm or engineering firm or to discussions on their applications, and
that MTA. The two entities will have consulting firm), a violation similarly they may not continue negotiations,
applied for licenses covering the same could occur. In such a case, at a discussions or communications with
geographic area and would be precluded minimum, applicants should certify on any other applicants after the short-form
from communicating with each other their applications that precautionary filing deadline.
under the rule. In addition, the rule steps have been taken to prevent 15. By electronically submitting its
would preclude applicants that apply to communication between authorized short-form application following the
bid for all licenses from communicating bidders and that applicants and their electronic filing procedures set forth in
with all other applicants. Thus, bidding agents will comply with the Attachment C of the Auction No. 71
applicants that have applied for licenses anti-collusion rule. A violation of the Procedures Public Notice, each
covering the same markets (unless they anti-collusion rule could occur in other applicant certifies its compliance with
have identified each other on their FCC contexts, such as an individual serving § 1.2105(c). However, the Commission
Form 175 applications as parties with as an officer for two or more applicants. cautions that merely filing a certifying
whom they have entered into Moreover, the Commission has found a statement as part of an application will
agreements under § 1.2105(a)(2)(viii)) violation of the anti-collusion rule not outweigh specific evidence that
must affirmatively avoid all where a bidder used the Commission’s collusive behavior has occurred, nor
communications with or disclosures to bidding system to disclose its bidding will it preclude the initiation of an
erjones on PRODPC74 with NOTICES

each other that affect or have the strategy in a manner that explicitly investigation when warranted. The
potential to affect bids or bidding invited other auction participants to Commission has stated that it intends to
strategy, which may include cooperate and collaborate in specific scrutinize carefully any instances in
communications regarding the post- markets, and has placed auction which bidding patterns suggest that
auction market structure. This participants on notice that the use of its collusion may be occurring. Any

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9748 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices

applicant found to have violated the § 1.2105(c) must report such assure themselves that, should they
anti-collusion rule may be subject to communication to the Commission in prevail in competitive bidding for a
sanctions. writing immediately, and in no case specific license, they will be able to
16. Applicants are also reminded that, later than five business days after the build and operate facilities that will
regardless of compliance with the communication occurs. fully comply with the Commission’s
Commission’s rules, they remain subject 18. Applicants that are winning technical and legal requirements.
to the antitrust laws, which are designed bidders will be required to disclose in 23. Applicants should also be aware
to prevent anticompetitive behavior in their long-form applications the specific that certain pending and future
the marketplace. Compliance with the terms, conditions, and parties involved proceedings, including applications
disclosure requirements of the in any bidding consortia, joint ventures, (including those for modification),
Commission’s anti-collusion rule will partnerships, and other arrangements petitions for rulemaking, requests for
not insulate a party from enforcement of entered into relating to the competitive special temporary authority, waiver
the antitrust laws. For instance, a bidding process. requests, petitions to deny, petitions for
violation of the antitrust laws could 19. A summary listing of documents reconsideration, informal oppositions,
arise out of actions taking place well issued by the Commission and the and applications for review, before the
before any party submits a short form Bureau addressing the application of the Commission may relate to particular
application. The Commission has cited anti-collusion rule may be found in applicants or incumbent licensees or the
a number of examples of potentially Attachment F of the Auction No. 71 licenses available in Auction No. 71. In
anticompetitive actions that would be Procedures Public Notice. addition, pending and future judicial
prohibited under antitrust laws. The iii. Incumbency Issues proceedings may relate to particular
Bureau has long reminded potential applicants or incumbent licensees, or
applicants and others that even where 20. While much of the private and the licenses available in Auction No. 71.
the applicant discloses parties with common carrier fixed microwave Prospective bidders are responsible for
whom it has reached an agreement on services (FMS) operating in the 1850– assessing the likelihood of the various
the short-form application, thereby 1990 MHz band (and other bands) have possible outcomes, and considering
permitting discussions with those been relocated to available frequencies their potential impact on spectrum
parties, the applicant is nevertheless in higher bands or to other media, some licenses available in this auction.
subject to existing antitrust laws. To the FMS licenses may still be operating in 24. Applicants should perform due
extent the Commission becomes aware the band. Applicants should become diligence to identify and consider all
of specific allegations that may give rise familiar with the status of FMS proceedings that may affect the
to violations of the federal antitrust operation and relocation, and applicable spectrum licenses being auctioned and
laws, the Commission may refer such Commission rules and orders. that could have an impact on the
allegations to the United States iv. Due Diligence availability of spectrum for Auction No.
Department of Justice for investigation. 71. In addition, although the
If an applicant is found to have violated 21. Potential bidders are reminded Commission may continue to act on
the antitrust laws or the Commission’s that they are solely responsible for various pending applications, informal
rules in connection with its investigating and evaluating all objections, petitions, and other requests
participation in the competitive bidding technical and marketplace factors that for Commission relief, some of these
process, it may be subject to forfeiture may have a bearing on the value of the matters may not be resolved by the
of its upfront payment, down payment, broadband PCS licenses in this auction. beginning of bidding in the auction.
or full bid amount and may be The FCC makes no representations or 25. Applicants are solely responsible
prohibited from participating in future warranties about the use of this for identifying associated risks and for
auctions, among other sanctions. spectrum for particular services. investigating and evaluating the degree
17. Section 1.65 of the Commission’s Applicants should be aware that an FCC to which such matters may affect their
rules requires an applicant to maintain auction represents an opportunity to ability to bid on, otherwise acquire, or
the accuracy and completeness of become an FCC licensee in this service, make use of licenses available in
information furnished in its pending subject to certain conditions and Auction No. 71.
application and to notify the regulations. An FCC auction does not 26. Applicants may obtain
Commission within 30 days of any constitute an endorsement by the FCC of information about licenses available in
substantial change that may be of any particular service, technology, or Auction No. 71 through the Bureau’s
decisional significance to that product, nor does an FCC license licensing databases at http://
application. Thus § 1.65 requires an constitute a guarantee of business wireless.fcc.gov/uls. Applicants may
auction applicant to notify the success. Applicants should perform query the database online and download
Commission of any substantial change their individual due diligence before a copy of their search results if desired.
to the information or certifications proceeding as they would with any new 27. The Commission makes no
included in its pending short-form business venture. representations or guarantees regarding
application. Applicants are therefore 22. Potential bidders are strongly the accuracy or completeness of
required by § 1.65 to report to the encouraged to conduct their own information in its databases or any third
Commission any communications they research prior to the beginning of party databases, including, for example,
have made to or received from another bidding in Auction No. 71 in order to court docketing systems. To the extent
applicant after the short-form filing determine the existence of any pending the Commission’s databases may not
deadline that affect or have the potential administrative or judicial proceedings include all information deemed
to affect bids or bidding strategy, unless that might affect their decision necessary or desirable by an applicant,
such communications are made to or regarding participation in the auction. applicants may obtain or verify such
erjones on PRODPC74 with NOTICES

received from parties to agreements Participants in Auction No. 71 are information from independent sources
identified under § 1.2105(a)(2)(viii). strongly encouraged to continue such or assume the risk of any
Section 1.2105(c)(6) provides that any research throughout the auction. In incompleteness or inaccuracy in said
applicant that makes or receives a addition, potential bidders should databases. Furthermore, the
communication prohibited by perform technical analyses sufficient to Commission makes no representations

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Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices 9749

or guarantees regarding the accuracy or attempt to use Auction No. 71 to wildlife preserves, threatened or
completeness of information that has deceive and defraud unsuspecting endangered species or designated
been provided by incumbent licensees investors. Information about deceptive critical habitats, historical or
and incorporated into its databases. telemarketing investment schemes is archaeological sites, Indian religious
28. Potential applicants are strongly available from the Commission as well sites, floodplains, and surface features.
encouraged to physically inspect any as the FTC and SEC. Complaints about The licensee also must prepare
prospective sites located in, or near, the specific deceptive telemarketing environmental assessments for facilities
service area for which they plan to bid, investment schemes should be directed that include high intensity white lights
and also to familiarize themselves with to the FTC, the SEC, or the National in residential neighborhoods or
the environmental review obligations. Fraud Information Center. excessive radio frequency emission.
v. Use of Integrated Spectrum Auction vii. Environmental Review C. Auction Specifics
System Requirements
i. Auction Date
29. The Commission will make 31. Licensees must comply with the
available a browser-based bidding Commission’s rules regarding 32. Bidding in Auction No. 71 will
system to allow bidders to participate in implementation of the National begin on Wednesday, May 16, 2007, as
Auction No. 71 over the Internet using Environmental Policy Act and other announced in the Auction No. 71
the Commission’s Integrated Spectrum federal environmental statutes. The Comment Public Notice. The initial
Auction System (ISAS or FCC Auction construction of a wireless antenna schedule for bidding will be announced
System). The Commission makes no facility is a federal action and the by public notice at least one week before
warranty whatsoever with respect to the licensee must comply with the the start of the auction.
FCC Auction System. In no event shall Commission’s environmental rules for 33. Unless otherwise announced,
the Commission, or any of its officers, each such facility. The Commission’s bidding on all licenses will be
employees or agents, be liable for any environmental rules require, among conducted on each business day until
damages whatsoever (including, but not other things, that the licensee consult bidding has stopped on all licenses.
limited to, loss of business profits, with expert agencies having
ii. Auction Title
business interruption, loss of business environmental responsibilities,
information, or any other loss) arising including the U.S. Fish and Wildlife 34. Auction No. 71—Broadband PCS.
out of or relating to the existence, Service, the State Historic Preservation
iii. Bidding Methodology
furnishing, functioning or use of the Office, the Army Corps of Engineers and
FCC Auction System that is accessible the Federal Emergency Management 35. The bidding methodology for
to qualified bidders in connection with Agency (through the local authority Auction No. 71 will be simultaneous
this auction. Moreover, no obligation or with jurisdiction over floodplains). In multiple round bidding. The
liability will arise out of the assessing the effect of facilities Commission will conduct this auction
Commission’s technical, programming construction on historic properties, the over the Internet using the FCC Auction
or other advice or service provided in licensee must follow the provisions of System, and telephonic bidding will be
connection with the FCC Auction the Nationwide Programmatic available as well. Qualified bidders are
System. Agreement Regarding the Section 106 permitted to bid electronically via the
National Historic Preservation Act Internet or by telephone. All telephone
vi. Bidder Alerts Review Process. The licensee must calls are recorded.
30. As is the case with many business prepare environmental assessments for
iv. Pre-Auction Dates and Deadlines
investment opportunities, some facilities that may have a significant
unscrupulous entrepreneurs may impact in or on wilderness areas, 36. Dates and Deadlines

Auction Seminar ............................................................................................................................................... March 7, 2007.


Short-Form Application (FCC Form 175) Filing Window Opens .................................................................. March 7, 2007; 12 noon ET.
Short-Form Application (FCC Form 175) Filing Window Deadline ............................................................. March 16, 2007; prior to 6 p.m.
ET.
Upfront Payments (via wire transfer) .............................................................................................................. April 20, 2007; 6 p.m. ET.
Mock Auction .................................................................................................................................................... May 14, 2007.
Auction Begins .................................................................................................................................................. May 16, 2007.

v. Requirements for Participation comply with all provisions outlined in provided in its FCC Form 175 will be
the Auction No. 71 Procedures Public used in determining whether the
37. Those wishing to participate in Notice and applicable Commission applicant is eligible for the claimed
the auction must: (1) Submit a short- rules. bidding credit. Applicants bear full
form application (FCC Form 175) responsibility for submitting accurate,
electronically prior to 6 p.m. Eastern II. Short-Form Application (FCC Form complete and timely short-form
Time (ET), March 16, 2007, following 175) Requirements applications. All applicants must certify
the electronic filing procedures set forth 38. Entities seeking licenses available on their short-form applications under
in Attachment C of the Auction No. 71 in Auction No. 71 must file a short-form penalty of perjury that they are legally,
Procedures Public Notice; (2) submit a application electronically via the FCC technically, financially and otherwise
sufficient upfront payment and an FCC Auction System prior to 6 p.m. ET on qualified to hold a license. Applicants
erjones on PRODPC74 with NOTICES

Remittance Advice Form (FCC Form March 16, 2007, following the should read the instructions set forth in
159) by 6 p.m. ET, April 20, 2007, procedures prescribed in Attachment C Attachment C to the Auction No. 71
following the procedures and to the Auction No. 71 Procedures Public Procedures Public Notice carefully and
instructions set forth in the Auction No. Notice. If an applicant claims eligibility should consult the Commission’s rules
71 Procedures Public Notice; and (3) for a bidding credit, the information to ensure that, in addition to the

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9750 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices

materials, all the information that is $40 million for the preceding three C. License Selection
required under the Commission’s rules years (small business) will receive a 15 47. In Auction No. 71, applicants
is included with their short-form percent discount on its winning bid for must select the licenses on which they
applications. certain C and F block licenses; (2) a want to bid from the list of available
39. An entity may not submit more bidder with attributed average annual licenses. In Auction No. 71, FCC Form
than one short-form application for a gross revenues that do not exceed $15 175 will include a filtering mechanism
single auction. In the event that a party million for the preceding three years that allows an applicant to filter the
submits multiple short-form (very small business) will receive a 25 available licenses. The applicant will
applications, only one application will percent discount on its winning bid for make selections for one or more of the
be accepted for filing. certain C and F block licenses. filter criteria and the system will
40. Applicants also should note that produce a list of licenses satisfying the
submission of a short-form application 43. Bidding credits are not
cumulative; a qualifying applicant specified criteria. The applicant may
constitutes a representation by the select all the licenses in the customized
certifying official that he or she is an receives either the 15 percent or 25
percent bidding credit on its winning list or select individual licenses from
authorized representative of the the list. Applicants also will be able to
applicant, that he or she has read the bid, but not both. No small and very
small business bidding credits are select licenses from one customized list
form’s instructions and certifications, and then create additional customized
and that the contents of the application, provided for licenses in the A, D, and
E blocks or for C block licenses available lists to select additional licenses. There
its certifications, and any attachments will be no opportunity to change license
are true and correct. Applicants are not only to entrepreneurs in closed bidding.
selection after the short-form filing
permitted to make major modifications 44. Every applicant that claims deadline. It is critically important that
to their applications; such eligibility for a bidding credit as either an applicant confirm its license
impermissible changes include a change a small business or a very small selections before submitting its short-
of the certifying official to the business, or a consortium of small form application because the FCC
application. Submission of a false businesses or very small businesses, Auction System will not accept bids on
certification to the Commission may will be required to provide information licenses that an applicant has not
result in penalties, including monetary regarding revenues attributable to the selected on its FCC Form 175.
forfeitures, license forfeitures, applicant, its affiliates, its controlling
ineligibility to participate in future interests, and the affiliates of its D. Disclosure of Bidding Arrangements
auctions, and/or criminal prosecution. controlling interests on its FCC Form 48. Applicants will be required to
A. Eligibility for Closed Bidding 175 short-form application to establish identify in their short-form applications
that it satisfies the applicable eligibility all parties with whom they have entered
41. In order to be eligible to bid for requirement. Applicants claiming into any agreements, arrangements, or
one or more closed C block licenses, an eligibility as a designated entity in understandings of any kind relating to
applicant must demonstrate that it Auction No. 71 should review carefully the licenses being auctioned, including
meets the eligibility requirements of any agreements relating to post-auction
the CSEA/Part 1 Designated Entity
§ 24.709(a) of the Commission’s rules. market structure. Applicants also will
Second FNPRM, 71 FR 6992, February
Specifically, as of the FCC Form 175 be required to certify under penalty of
10, 2006 and the CSEA/Part 1 Second
filing deadline, the applicant, together perjury in their short-form applications
Report and Order, 71 FR 26245, May 5,
with its affiliates and persons or entities that they have not entered and will not
2006. In that connection, the
that hold interests in the applicant and enter into any explicit or implicit
their affiliates, must have combined Commission adopted rules governing
eligibility for designated entity benefits agreements, arrangements or
total assets of less than $500 million and understandings of any kind with any
must have had combined gross revenues in the Designated Entity Second Report
and Order. The Commission’s new rules parties, other than those identified in
of less than $125 million in each of the the application, regarding the amount of
last two years. Every applicant that regarding applicants seeking eligibility
for designated entity benefits require the their bids, bidding strategies, or the
claims eligibility for closed bidding will particular licenses on which they will or
be required to provide information disclosure of a list of all parties with
which the applicant has entered into will not bid. If an applicant has had
regarding revenues attributable to the discussions, but has not reached a joint
applicant, its affiliates, its controlling arrangements for the lease or resale
(including wholesale agreements) of any bidding agreement by the short-form
interests, and the affiliates of its application filing deadline, it would not
controlling interests on its FCC Form of the capacity of any of the applicant’s
spectrum; and a list, separately and in include the names of parties to the
175 short-form application to establish discussions on its application and may
that it satisfies the eligibility the aggregate, of the gross revenues of
entities with which the applicant has an not continue such discussions with any
requirement. applicants after the deadline.
attributable material relationship, as
B. Preferences for Small Businesses and defined in § 1.2110(b)(3)(iv)(B). 49. After the filing of short-form
Others applications, the Commission’s rules do
ii. Tribal Lands Bidding Credit not prohibit a party holding a non-
i. Size Standards for Bidding Credits controlling, attributable interest in one
42. A bidding credit represents the 45. To encourage the growth of applicant from acquiring an ownership
amount by which a bidder’s winning wireless services in federally recognized interest in or entering into a joint
bid will be discounted. For Auction No. tribal lands, the Commission has bidding arrangement with other
71, bidding credits will be available to implemented a tribal lands bidding applicants provided that (i) the
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small businesses and very small credit. attributable interest holder certifies that
businesses, and consortia thereof, as iii. Installment Payments it has not and will not communicate
follows: (1) A bidder with attributed with any party concerning the bids or
average annual gross revenues that 46. Installment payment plans will bidding strategies of more than one of
exceed $15 million and do not exceed not be available in Auction No. 71. the applicants in which it holds an

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attributable interest, or with which it with controlling interests. Once small businesses, this information must
has entered into a joint bidding principals or entities with a controlling be provided for each consortium
arrangement; and (ii) the arrangements interest are determined, only the assets member.
do not result in a change in control of and revenues of those principals or 54. Controlling interests of an
any of the applicants. While the anti- entities, the applicant, and their applicant include individuals and
collusion rules do not prohibit non- affiliates will be counted in determining entities with either de facto or de jure
auction-related business negotiations entrepreneur eligibility. Therefore, control of the applicant. Typically,
among auction applicants, applicants entities applying to bid on closed ownership of at least 50.1 percent of an
are reminded that certain discussions or licenses will be required to disclose on entity’s voting stock evidences de jure
exchanges could touch upon their FCC Form 175 short-form control. De facto control is determined
impermissible subject matters because applications, separately and in the on a case-by-case basis. The following
they may convey pricing information aggregate, the gross revenues for the are some common indicia of de facto
and bidding strategies. Further preceding two years and the total assets control: (1) The entity constitutes or
compliance with the disclosure of each of the following: (1) The appoints more than 50 percent of the
requirements of the Commission’s anti- applicant, (2) the applicant’s affiliates, board of directors or management
collusion rule will not insulate a party (3) the applicant’s controlling interest committee; (2) the entity has authority
from enforcement of the antitrust laws. holders, and (4) the affiliates of the to appoint, promote, demote, and fire
applicant’s controlling interest holders. senior executives that control the day-
E. Ownership Disclosure Requirements to-day activities of the licensee; and (3)
Certification that the gross revenues for
50. All applicants must comply with each of the preceding two years or the the entity plays an integral role in
the uniform part 1 ownership disclosure total assets do not exceed the applicable management decisions.
standards and provide information limit is not sufficient. In order to 55. Officers and directors of an
required by §§ 1.2105 and 1.2112 of the comply with the Commission’s applicant are also considered to have a
Commission’s rules. Specifically, in disclosure requirements for controlling interest in the applicant. The
completing the short-form application, entrepreneur eligibility, an applicant Commission does not impose specific
applicants will be required to fully must provide separately for itself, its equity requirements on controlling
disclose information on the real party or affiliates, its controlling interests interest holders. Once the principals or
parties-in-interest and ownership holders, and their affiliates, the gross entities with a controlling interest are
structure of the applicant. The revenues for each of the preceding two determined, only the revenues of those
ownership disclosure standards for the years. Applicants for closed bidding in principals or entities, the affiliates of
short form are prescribed in §§ 1.2105 Auction No. 71 should not include those principals or entities, and the
and 1.2112 of the Commission’s rules. existing C and F block licenses in their applicant and its affiliates will be
Each applicant is responsible for calculations of total assets; however, all counted in determining small business
information submitted in its short-form other Commission licenses must be eligibility.
application being complete and included in such calculations. 56. In recent years the Commission
accurate. has made modifications to its rules
51. An applicant’s most current G. Bidding Credit Revenue Disclosures governing the attribution of gross
ownership information on file with the 53. To determine which applicants revenues for purposes of determining
Commission, if in an electronic format qualify for bidding credits as small small business eligibility. These changes
compatible with the short-form businesses or very small businesses, the include exempting the gross revenues of
application (FCC Form 175) (such as Commission considers the gross the affiliates of a rural telephone
information submitted in an online FCC revenues of the applicant, its affiliates, cooperative’s officers and directors from
Form 602 or in an FCC Form 175 filed its controlling interests, and the attribution to the applicant if certain
for a previous auction using ISAS) will affiliates of its controlling interests. specified conditions are met. The
automatically be entered into the Therefore, entities applying to bid as Commission has also clarified that, in
applicant’s short-form application. small businesses or very small calculating an applicant’s gross
Applicants are responsible for ensuring businesses (or consortia of small revenues under the controlling interest
that the information submitted in their businesses or very small businesses) standard, it will not attribute the
FCC Form 175 for Auction No. 71 is will be required to disclose on their FCC personal net worth, including personal
complete and accurate. Accordingly, Form 175 short-form applications the income, of its officers and directors to
applicants should carefully review any gross revenues of each of the following the applicant.
information automatically entered to for the preceding three years: (1) The 57. A consortium of small businesses
confirm that it is complete and accurate applicant, (2) its affiliates, (3) its or very small businesses is a
as of the deadline for filing the short- controlling interests, and (4) the conglomerate organization composed of
form application. Applicants can update affiliates of its controlling interests. two or more entities, each of which
any information that was entered Certification that the average annual individually satisfies the definition of a
automatically and needs to be changed gross revenues of such entities and small business or very small business as
directly in the short-form application. individuals for the preceding three years those terms are defined in the service-
do not exceed the applicable limit is not specific rules. Thus, each member of a
F. Entrepreneur Revenue Disclosures sufficient. In order to comply with the consortium of small or very small
52. To determine which entities Commission’s disclosure requirements businesses that applies to participate in
qualify as entrepreneurs for closed for bidding credit eligibility, an Auction No. 71 must individually meet
bidding, the Commission considers the applicant must provide separately for the definition of a small business or a
total assets and gross revenues of the itself, its affiliates, its controlling very small business adopted by the
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applicant, its controlling interest interests, and the affiliates of its Commission for broadband PCS. Each
holders, the affiliates of the applicant, controlling interests, the gross revenues consortium member must disclose its
and their controlling interests holders. for each of the preceding three years. If gross revenues along with those of its
The Commission does not impose the applicant is applying as a affiliates, its controlling interests, and
specific entity requirements on parties consortium of small businesses or very the affiliates of its controlling interests.

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Although the gross revenues of the participate in this auction—are not applications filed after the close of
consortium members will not be eligible to bid in Auction No. 71. competitive bidding will be reviewed
aggregated for purposes of determining 61. Applicants are encouraged to for compliance with the Commission’s
the consortium’s eligibility as a small review the Bureau’s previous guidance red light rule, and such review may
business or very small business, this on default and delinquency disclosure result in the dismissal of a winning
information must be provided to ensure requirements in the context of the short- bidder’s long-form application.
that each individual consortium form application process. For example,
it has been determined that to the extent I. Other Information
member qualifies for any bidding credit
awarded to the consortium. that Commission rules permit late 64. Applicants owned by member of
payment of regulatory or application minority groups and/or women, as
H. Provisions Regarding Former and fees accompanied by late fees, such defined in § 1.2110(c)(3), may identify
Current Defaulters debts will become delinquent for themselves in filling out their short-
58. Each applicant must state under purposes of §§ 1.2105(a) and 1.2106(a) form applications regarding this status.
penalty of perjury on its short-form only after the expiration of a final This applicant status information is
application whether or not the payment deadline. Therefore, with collected for statistical purposes only
applicant, its affiliates, its controlling respect to regulatory or application fees, and assists the Commission in
interests, and the affiliates of its the provisions of §§ 1.2105(a) and monitoring the participation of
controlling interests, as defined by 1.2106(a) regarding default and designated entities in its auctions.
§ 1.2110, have ever been in default on delinquency in connection with
competitive bidding are limited to J. Minor Modifications to Short-Form
any Commission licenses or have ever
circumstances in which the relevant Applications (FCC Form 175)
been delinquent on any non-tax debt
owed to any Federal agency. In party has not complied with a final 65. As of the deadline for filing short-
addition, each applicant must certify Commission payment deadline. form applications (FCC Forms 175) prior
under penalty of perjury on its short- 62. The Commission considers to 6 p.m. ET on March 16, 2007,
form application that as of the short- outstanding debts owed to the United applicants are permitted to make only
form filing deadline, the applicant, its States Government, in any amount, to be minor changes to their applications.
affiliates, its controlling interests, and a serious matter. The Commission Applicants are not permitted to make
the affiliates of its controlling interests, adopted rules, including a provision major modifications to their
as defined by § 1.2110, are not in default referred to as the red light rule, that applications (e.g., change their license
on any payment for Commission implement the Commission’s selections, change control of the
licenses (including down payments) and obligations under the Debt Collection applicant, change the certifying official,
Improvement Act of 1996, which or change their size to claim eligibility
that they are not delinquent on any non-
governs the collection of claims owed to for a higher bidding credit). Permissible
tax debt owed to any Federal agency.
the United States. Under the red light minor changes include, for example,
Prospective applicants are reminded
rule, the Commission will not process deletion and addition of authorized
that submission of a false certification to
applications and other requests for bidders (to a maximum of three) and
the Commission is a serious matter that
benefits filed by parties that have
may result in severe penalties, including revision of addresses and telephone
outstanding debts owed to the
monetary forfeitures, license numbers of the applicants and their
Commission. In the same rulemaking
revocations, exclusion from contact persons.
order, the Commission explicitly
participation in future auctions, and/or 66. Any application amendment and
declared, however, that the
criminal prosecution. Commission’s competitive bidding rules related statements of fact must be
59. Former defaulters—i.e., are not affected by the red light rule. As certified by:
applicants, including any of their a consequence, the Commission’s (1) The applicant, if the applicant is
affiliates, any of their controlling adoption of the red light rule does not an individual, (2) one of the partners if
interests, or any of the affiliates of their alter the applicability of any of the the applicant is a partnership, (3) an
controlling interests, that in the past Commission’s competitive bidding officer, director, or duly authorized
have defaulted on any Commission rules, including the provisions and employee, if the applicant is a
licenses or been delinquent on any non- certifications of §§ 1.2105 and 1.2106, corporation, (4) by a member who is an
tax debt owed to any Federal agency, with regard to current and former officer, if the applicant is an
but that have since remedied all such defaults or delinquencies. Applicants unincorporated association, (5) the
defaults and cured all of their are reminded, however, that the trustee if the applicant is an amateur
outstanding non-tax delinquencies—are Commission’s Red Light Display radio service club, or (6) a duly elected
eligible to bid in Auction No. 71, System, which provides information or appointed official who is authorized
provided that they are otherwise regarding debts owed to the to make such certifications under the
qualified. However former defaulters are Commission, may not be determinative laws of the applicable jurisdiction, if the
required to pay upfront payments that of an auction applicant’s ability to applicant is a governmental entity.
are fifty percent more than the normal comply with the default and 67. An applicant must make
upfront payment amounts. delinquency disclosure requirements of permissible minor changes to its short-
60. Current defaulters—i.e., § 1.2105. Thus, while the red light rule form application, as such changes are
applicants, including any of their ultimately may prevent the processing defined by § 1.2105(b), electronically
affiliates, any of their controlling of long-form applications by auction using the FCC Auction System.
interests, or any of the affiliates of their winners, an auction applicant’s red light Applicants must click on the SUBMIT
controlling interests, that are in default status is not necessarily determinative button in the FCC Auction System for
erjones on PRODPC74 with NOTICES

on any payment for any Commission of its eligibility to participate in this the changes to be submitted and
licenses (including down payments) or auction or of its upfront payment considered by the Commission. After
are delinquent on any non-tax debt obligation. the revised application has been
owed to any Federal agency as of the 63. Prospective applicants in Auction submitted, a confirmation page will be
filing deadline for applications to No. 71 should note that any long-form displayed that states the submission

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time and date, along with a unique file Auction No. 71 at the FCC headquarters, (TTY)); hours of service are Monday
number. located at 445 12th Street, SW., through Friday, from 8 a.m. to 6 p.m.
68. In addition, an applicant should Washington, DC. The seminar will E.T. In order to provide better service to
submit a letter briefly summarizing the provide attendees with information the public, all calls to Technical
changes and subsequently update their about pre-auction procedures, Support are recorded.
short-form applications in ISAS as soon completing FCC Form 175, auction
C. Application Processing and Minor
as possible. Note: After the filing conduct, the FCC Auction System,
Corrections
window has closed, the auction system auction rules, and the broadband PCS
will not permit applicants to make rules. The seminar will also provide an 78. After the deadline for filing the
certain changes, such as legal opportunity for prospective bidders to FCC Form 175 applications has passed,
classification and bidding credit. Any ask questions of FCC staff concerning the FCC will process all timely
letter describing changes to an the auction, auction procedures, filing submitted applications to determine
applicant’s short-form application requirements and other matters related which are acceptable for filing, and
should be submitted by electronic mail to this auction. subsequently will issue a public notice
to the following address: 74. To register, please provide the identifying: (1) Those applications
auction71@fcc.gov. information listed on Attachment B of accepted for filing; (2) those
69. Applicants must not submit the Auction No. 71 Procedures Public applications rejected; and (3) those
application-specific material through Notice by Monday, March 5, 2007. applications which have minor defects
the Commission’s Electronic Comment Registrations are accepted on a first- that may be corrected, and the deadline
Filing System (ECFS). come, first-served basis. The seminar is for resubmitting corrected applications.
free of charge. For individuals who are 79. As described more fully in the
K. Maintaining Current Information in unable to attend, an Audio/Video Commission’s rules, after the March 16,
Short-Form Applications (FCC Form webcast of this seminar will be available 2007, short-form filing deadline,
175) from the FCC’s Auction No. 71 Web applicants may make only minor
70. Section 1.65 of the Commission’s page at http://wireless.fcc.gov/auctions/ corrections to their FCC Form 175
rules requires an applicant to maintain 71/. applications. Applicants will not be
the accuracy and completeness of permitted to make major modifications
B. Short-Form Application (FCC Form
information furnished in its pending to their applications (e.g., change their
175)—Due Prior to 6 p.m. ET on March
application and to notify the license selections, change control of the
16, 2007
Commission within 30 days of any applicant, change certifying official, or
substantial change that may be of 75. In order to be eligible to bid in this change their size to claim eligibility for
decisional significance to that auction, applicants must first follow the a higher bidding credit).
application. Changes that cause a loss of procedures set forth in Attachment C to
the Auction No. 71 Procedures Public D. Upfront Payments—Due April 20,
or reduction in eligibility for a bidding 2007
credit must be reported immediately. If Notice to submit an FCC Form 175
an amendment reporting substantial application electronically via the FCC 80. In order to be eligible to bid in the
changes is a major amendment as Auction System. This application must auction, applicants must submit an
be received at the Commission prior to upfront payment accompanied by an
defined by § 1.2105, the major
6 p.m. ET on March 16, 2007. Late FCC Remittance Advice Form (FCC
amendment will not be accepted and
applications will not be accepted. There Form 159). After completing the FCC
may result in the dismissal of the short-
is no application fee required when Form 175, filers will have access to an
form application.
filing an FCC Form 175. However, to be electronic version of the FCC Form 159
71. After the short-form filing
eligible to bid, an applicant must submit that can be printed and sent by facsimile
deadline, applicants may make only
an upfront payment. to Mellon Bank in Pittsburgh, PA. All
minor changes to their FCC Form 175
76. Applications may generally be upfront payments must be sent by wire
applications, for example, deletion and
filed at any time beginning at noon ET transfer and received in the proper
addition of authorized bidders (to a
on March 7, 2007, and the filing account at Mellon Bank by 6 p.m. ET on
maximum of three). Applicants must
window will close at 6 p.m. ET on April 20, 2007.
click on the SUBMIT button in the FCC
March 16, 2007. Applicants are strongly
Auction System for the changes to be i. Making Auction Payments by Wire
encouraged to file early and are
submitted and considered by the Transfer
responsible for allowing adequate time
Commission. In addition, applicants
for filing their applications. Applicants 81. Wire transfer payments must be
must submit a letter, briefly
may update or amend their applications received by 6 p.m. ET on April 20, 2007.
summarizing the changes, by electronic
multiple times until the filing deadline To avoid untimely payments, applicants
mail at the following address:
on March 16, 2007. should discuss arrangements (including
auction71@fcc.gov. The electronic mail 77. Applicants must always click on bank closing schedules) with their
summarizing the changes must include the SUBMIT button on the Certify & banker several days before they plan to
a subject or caption referring to Auction Submit screen of the electronic form to make the wire transfer, and allow
No. 71 and the name of the applicant. successfully submit or modify their FCC sufficient time for the transfer to be
72. Applicants must not submit Form 175. Any form that is not initiated and completed before the
application-specific material through submitted will not be reviewed by the deadline.
ECFS into the record of the proceeding FCC. Additional information about 82. At least one hour before placing
concerning Auction No. 71 procedures. accessing, completing, and viewing the the order for the wire transfer (but on
III. Pre-Auction Procedures FCC Form 175 is included in the same business day), applicants must
erjones on PRODPC74 with NOTICES

Attachment C of the Auction No. 71 send by facsimile a completed FCC


A. Auction Seminar—March 7, 2007 Procedures Public Notice. FCC Auctions Form 159 (Revised 2/03) to Mellon
73. On Wednesday, March 7, 2007, Technical Support is available at (877) Bank. On the cover sheet of the
the FCC will sponsor a seminar for 480–3201, option nine; (202) 414–1250; facsimile, write Wire Transfer—Auction
parties interested in participating in or (202) 414–1255 (text telephone Payment for Auction No. 71. In order to

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9754 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices

meet the Commission’s upfront payment the applicant selected on its Form 175, defaulters, the Commission will divide
deadline, an applicant’s payment must but rather to cover the maximum the upfront payment received by 1.5 and
be credited to the Commission’s account number of bidding units that are round the result up to the nearest
before the deadline. Applicants are associated with licenses on which the bidding unit.
responsible for obtaining confirmation bidder wishes to place bids and hold
iv. Applicant’s Wire Transfer
from their financial institution that provisionally winning bids at any given
Information for Purposes of Refunds of
Mellon Bank has timely received their time. A qualified bidder’s maximum
upfront payment and deposited it in the eligibility will not exceed the sum of the Upfront Payments
proper account. bidding units associated with the total 90. To ensure that refunds of upfront
83. Please note that: (1) All payments number of licenses selected on its FCC payments are processed in an
must be made in U.S. dollars; (2) all Form 175 application. In some cases a expeditious manner, the Commission is
payments must be made by wire qualified bidder’s maximum eligibility requesting that all pertinent information
transfer; (3) upfront payments for may be less than the amount of its listed in the Auction No. 71 Procedures
Auction No. 71 go to a lockbox number upfront payment because the qualified Public Notice supplied to the FCC. All
different from the lockboxes used in bidder has either previously been in refunds will be returned to the payer of
previous FCC auctions, and different default on a Commission license or record as identified on the FCC Form
from the lockbox number to be used for delinquent on a non-tax debt owed to a 159 unless the payer submits written
post-auction payments and (4) failure to Federal Agency, or has submitted an authorization instructing otherwise.
deliver the upfront payment as upfront payment that exceeds the total
instructed by the April 20, 2007, E. Auction Registration
amount of bidding units associated with
deadline, will result in dismissal of the the licenses selected on its FCC Form 91. Approximately ten days before the
application and disqualification from 175 application. auction, the FCC will issue a public
participation in the auction. 86. In the Auction No. 71 Comment notice announcing all qualified bidders
Public Notice, the Bureau proposed to for the auction. Qualified bidders are
ii. FCC Form 159 those applicants whose FCC Form 175
calculate upfront payments for Auction
84. A completed FCC Remittance No. 71 on a license-by-license basis applications have been accepted for
Advice Form (FCC Form 159, Revised 2/ using the following formula based on filing and have timely submitted
03) must be sent by facsimile to Mellon bandwidth and license area population: upfront payments sufficient to make
Bank to accompany each upfront $0.05 * MHz * License Area Population them eligible to bid.
payment. Proper completion of FCC with a minimum of $500 per license. 92. All qualified bidders are
Form 159 (Revised 2/03) is critical to The Bureau set forth the specific upfront automatically registered for the auction.
ensuring correct crediting of upfront payments and bidding units for each Registration materials will be
payments. Detailed instructions for license in Attachment A of the Auction distributed prior to the auction by
completion of FCC Form 159 are No. 71 Comment Public Notice and overnight mail. The mailing will be sent
included in Attachment D to the sought comment on this proposal. The only to the contact person at the contact
Auction No. 71 Procedures Public Bureau received no comments in address listed in the FCC Form 175 and
Notice. An electronic pre-filled version response to the proposed upfront will include the SecurID tokens that
of the FCC Form 159 is available after payments. The specific upfront will be required to place bids, the
submitting the FCC Form 175. Payors payments and bidding units for each Integrated Spectrum Auction System
using a pre-filled FCC Form 159 are license are set forth in Attachment A of (ISAS) Bidder’s Guide, and the Auction
responsible for ensuring that all of the the Auction No. 71 Procedures Public Bidder Line phone number.
information on the form, including Notice. 93. Qualified bidders that do not
payment amounts, is accurate. The FCC 87. Applicants must make upfront receive this registration mailing will not
Form 159 can be completed payments sufficient to obtain bidding be able to submit bids. Therefore, any
electronically, but must be filed with eligibility on the licenses on which they qualified bidder that has not received
Mellon Bank via facsimile. will bid. this mailing by noon on Thursday, May
88. In calculating its upfront payment 10, 2007, should call (717) 338–2868.
iii. Upfront Payments and Bidding amount, an applicant should determine
Eligibility Receipt of this registration mailing is
the maximum number of bidding units critical to participating in the auction,
85. In the Auction No. 71 Comment on which it may wish to be active (bid and each applicant is responsible for
Public Notice, the Bureau proposed that on or hold provisionally winning bids ensuring it has received all of the
the amount of the upfront payment on) in any single round, and submit an registration material.
would determine a bidder’s initial upfront payment amount covering that 94. In the event that SecurID tokens
bidding eligibility, the maximum number of bidding units. In order to are lost or damaged, only a person who
number of bidding units on which a make this calculation, an applicant has been designated as an authorized
bidder may place bids. In order to bid should add together the upfront bidder, the contact person, or the
on a license, otherwise qualified bidders payments for all licenses on which it certifying official on the applicant’s
that selected that license on Form 175 seeks to be active in any given round. short-form application may request
must have a current eligibility level that Applicants should check their replacement registration material.
meets or exceeds the number of bidding calculations carefully, as there is no
units assigned to that license. At a provision for increasing a bidder’s F. Remote Electronic Bidding
minimum, therefore, an applicant’s total eligibility after the upfront payment 95. The Commission will conduct this
upfront payment must be enough to deadline. auction over the Internet, and
establish eligibility to bid on at least one 89. Former defaulters should calculate telephonic bidding will be available as
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of the licenses selected on its Form 175, their upfront payment for all licenses by well. Qualified bidders are permitted to
or else the applicant will not be eligible multiplying the number of bidding units bid electronically and telephonically.
to participate in the auction. An on which they wish to be active by 1.5. Each applicant should indicate its
applicant does not have to make an In order to calculate the number of bidding preference—electronic or
upfront payment to cover all licenses bidding units to assign to former telephonic—on the FCC Form 175. In

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either case, each authorized bidder must ii. Information Available to Bidders 104. If the Commission determines
have its own SecurID token, which the Before and During the Auction that limited information procedures will
FCC will provide at no charge. Each 100. In the Auction No. 71 Comment be used, it will make available prior to
applicant with one authorized bidder Public Notice, the Bureau sought the auction the total eligibility level for
will be issued two SecurID tokens, comment on whether to implement the auction as well as the eligibility of
while applicants with two or three procedures that prior to and during the each bidder but will not identify
authorized bidders will be issued three auction would limit the disclosure of bidders’ license selections. After each
tokens. For security purposes, the information on bidder interests and round of bidding, the amounts of each
SecurID tokens, the telephonic bidding identities. The Commission received no bid placed will be made available, but
telephone number, and the Integrated comments on this issue. not the identities of the bidders. This
Spectrum Auction System (ISAS) 101. For Auction No. 71, the information will give bidders an
Bidder’s Guide are only mailed to the Commission will use limited indication of demand for the licenses, so
contact person at the contact address information procedures if it appears that bidders and their investors will be
listed on the FCC Form 175. likely that the competitiveness of the able to assess whether their bids are
auction will be low, and if the likely to be consistent with the
G. Mock Auction—May 14, 2007
Commission believes that limited valuations of other bidders, mitigating
96. All qualified bidders will be information procedures will be effective fear of the winner’s curse. In addition,
eligible to participate in a mock auction in making anti-competitive behavior after each round bidders logged in to the
on Monday, May 14, 2007. The mock less likely to be successful. FCC Auction System will be able to see
auction will enable applicants to Alternatively, if the Commission whether their own bids are
become familiar with the FCC Auction determines that the auction is likely to provisionally winning.
System prior to the auction. be sufficiently competitive, and 105. Other Issues. The Commission
Participation by all bidders is strongly therefore, that the risk of successful does not believe that the information
recommended. Details will be collusion is low, the Commission will disclosure procedures established for
announced by public notice. not implement procedures that would this auction will interfere with the
limit the disclosure of information on administration of or compliance with
IV. Auction Event
bidder interest and identities before the the Commission’s anti-collusion rule.
97. The first round of bidding for close of bidding. Section 1.2105(c)(1) of the
Auction No. 71 will begin on 102. Specifically, the Commission Commission’s rules provides that after
Wednesday, May 16, 2007. The initial will estimate the likely level of the short-form application filing
bidding schedule will be announced in competition in the auction by deadline, all applicants for licenses in
a public notice listing the qualified considering the eligibility ratio, defined any of the same geographic license areas
bidders, which is to be released as the total number of bidding units of are prohibited from disclosing to each
approximately 10 days before the start eligibility purchased by bidders through other in any manner the substance of
of the auction. their upfront payments divided by the bids or bidding strategies until after the
total number of bidding units for the down payment deadline, subject to
A. Auction Structure licenses in the auction. If the eligibility specified exceptions. When limited
i. Simultaneous Multiple Round ratio equals or exceeds three, the information procedures are not in effect
Auction Commission will not use limited for a particular auction, each applicant’s
information procedures. If the eligibility selection of licenses has been publicly
98. In the Auction No. 71 Comment ratio is less than three, in general the available through the Commission’s on-
Public Notice, the Bureau proposed to Commission will withhold certain line short-form application database. In
auction all licenses in Auction No. 71 in information on bidder interest and Auction No. 71, however, the
a single auction using the Commission’s bidder identities prior to and during the Commission will not disclose
standard simultaneous multiple-round auction. information regarding license selection
(SMR) auction format. This type of 103. However, if the eligibility ratio is at least until the upfront payment
auction offers every license for bid at less than three, the Commission reserves deadline has passed and the
the same time and consists of successive the discretion not to use limited Commission determines the information
bidding rounds in which eligible information procedures if circumstances disclosure procedures to be used for the
bidders may place bids on individual indicate that limited information auction. As in the past, the Commission
licenses. A bidder may bid on, and procedures would be not be an effective will disclose the other portions of
potentially win, any number of licenses. tool for deterring anti-competitive applicants’ short-form applications,
Typically, bidding remains open on all behavior. For example, if only two through its on-line database and certain
licenses until bidding stops on every applicants become qualified to application-based information through
license, unless a modified stopping rule participate in the bidding, limited public notices. Thus, even without
is invoked. information procedures would be information regarding license selection,
99. The standard SMR auction format ineffective in preventing bidders from applicants would be able to comply
will meet the needs of bidders in knowing the identity of the competing with § 1.2105(c) by not disclosing bids
Auction No. 71. The Bureau will use a bidder and, therefore, limited or bidding strategies to any other
simultaneous multiple-round auction information procedures would not serve applicants in the auction. This
format without package bidding. Unless to deter attempts at signaling and approach, however, could inhibit
otherwise announced, bids will be retaliatory bidding behavior. The otherwise lawful communications with
accepted on all licenses in each round Commission anticipates announcing the applicants for licenses in other
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of the auction until bidding stops on information disclosure procedures to be geographic license areas, which the
every license. This approach, the used at or about the time that the Commission’s rule permits.
Commission believes, allows bidders to Commission releases a public notice Consequently, the Bureau will notify
take advantage of synergies that exist announcing the applicants that are separately each applicant with short-
among licenses. qualified to participate in the bidding. form applications to participate in a

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pending auction whether applicants in total dollar amount a bidder may bid on bidding round. Failure to maintain the
Auction No. 71 have applied for any given license. required activity level will result in the
licenses in any of the same geographic 108. In order to ensure that an auction use of an activity rule waiver or, if the
areas as that applicant. Specifically, closes within a reasonable period of bidder has no activity rule waivers
after the Bureau conducts its initial time, an activity rule requires bidders to remaining, a reduction in the bidder’s
review of applications to participate in bid actively throughout the auction, bidding eligibility in the next round.
Auction No. 71, each applicant with a rather than wait until late in the auction During Stage One, reduced eligibility for
pending short-form application will before participating. Bidders are the next round will be calculated by
receive a letter that lists the other required to be active on a specific multiplying the bidder’s current round
applicants in Auction No. 71 that have percentage of their current bidding activity (the sum of bidding units of the
applied for licenses in any of the same eligibility during each round of the bidder’s provisionally winning bids and
geographic areas as the applicant. The auction. bids during the current round) by five-
list will identify the Auction No. 71 109. A bidder’s activity level in a fourths (5/4).
applicant(s) by name but will not list round is the sum of the bidding units 113. Stage Two: During the second
the license selections of the Auction No. associated with licenses on which the stage of the auction, a bidder desiring to
71 applicant(s). As in past auctions, bidder is active. A bidder is considered maintain its current bidding eligibility
additional information regarding active on a license in the current round is required to be active on 95 percent of
applicants in Auction No. 71 that is if it is either the provisionally winning its current bidding eligibility. Failure to
needed to comply with § 1.2105(c), e.g., bidder at the end of the previous maintain the required activity level will
the identities of controlling interest in bidding round and does not withdraw result in the use of an activity rule
the applicant and ownership interests the provisionally winning bid in the waiver or, if the bidder has no activity
greater than ten percent, will be current round, or if it submits a bid in rule waivers remaining, a reduction in
available through the publicly the current round. The minimum the bidder’s bidding eligibility in the
accessible on-line short-form required activity is expressed as a next round. During Stage Two, reduced
application database. percentage of the bidder’s current eligibility for the next round will be
eligibility, and increases by stage as the calculated by multiplying the bidder’s
iii. Eligibility and Activity Rules auction progresses. Because these current round activity (the sum of
procedures have proven successful in bidding units of the bidder’s
106. In the Auction No. 71 Comment
maintaining the pace of previous provisionally winning bids and bids
Public Notice, the Bureau proposed that
auctions, the Commission adopts them during the current round) by twenty-
the amount of the upfront payment
for Auction No. 71. Failure to maintain nineteenths (20/19).
submitted by a bidder would determine
the requisite activity level will result in 114. CAUTION: Since activity
the initial (maximum) eligibility (as
the use of an activity rule waiver, if any requirements increase in Stage Two,
measured in bidding units) for each
remain, or a reduction in the bidder’s bidders must carefully check their
bidder. The Commission received no
eligibility, possibly curtailing or activity during the first round following
comments on this issue.
eliminating the bidder’s ability to place a stage transition to ensure that they are
107. The Commission will use upfront bids in the auction. meeting the increased activity
payments to determine initial requirement. This is especially critical
(maximum) eligibility (as measured in iv. Auction Stages for bidders that have provisionally
bidding units) for Auction No. 71. The 110. In the Auction No. 71 Comment winning bids and do not plan to submit
amount of the upfront payment Public Notice, the Bureau proposed to new bids. In past auctions, some bidders
submitted by a bidder determines initial conduct the auction in two stages and have inadvertently lost bidding
bidding eligibility, the maximum employ an activity rule. The Bureau eligibility or used an activity rule
number of bidding units on which a further proposed that, in each round of waiver because they did not re-verify
bidder may be active. Each license is Stage One, a bidder desiring to maintain their activity status at stage transitions.
assigned a specific number of bidding its current bidding eligibility would be Bidders may check their activity against
units listed in Attachment A of the required to be active on licenses the required activity level by logging
Auction No. 71 Procedures Public representing at least 80 percent of its into the FCC Auction System.
Notice. Bidding units for a given license current bidding eligibility. Finally, the 115. Because the foregoing procedures
do not change as prices rise during the Bureau proposed that in each round of have proven successful in maintaining
auction. A bidder’s upfront payment is Stage Two, a bidder desiring to maintain the proper pace in previous auctions,
not attributed to specific licenses. its current bidding eligibility would be the Commission adopts them for
Rather, a bidder may place bids on any required to be active on at least 95 Auction No. 71.
of the licenses selected on its FCC Form percent of its current bidding eligibility.
175 as long as the total number of v. Stage Transitions
The Commission received no comments
bidding units associated with those on this proposal. 116. In the Auction No. 71 Comment
licenses does not exceed its current 111. The Commission adopts the Public Notice, the Bureau proposed that
eligibility. Eligibility cannot be proposals for the activity rules and the auction would generally advance to
increased during the auction; it can only stages. Below are the activity levels for the next stage (i.e., from Stage One to
remain the same or decrease. Thus, in each stage of the auction. The Bureau Stage Two) when the auction activity
calculating its upfront payment amount, reserves the discretion to further alter level, as measured by the percentage of
an applicant must determine the the activity percentages before and/or bidding units receiving new
maximum number of bidding units it during the auction. provisionally winning bids, is
may wish to bid on or hold 112. Stage One: During the first stage approximately 20 percent or lower for
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provisionally winning bids on in any of the auction, a bidder desiring to three consecutive rounds of bidding.
single round, and submit an upfront maintain its current bidding eligibility The Bureau further proposed that it
payment amount covering that total will be required to be active on licenses would retain the discretion to change
number of bidding units. The total representing at least 80 percent of its stages unilaterally by announcement
upfront payment does not affect the current bidding eligibility in each during the auction. This determination,

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the Bureau proposed, would be based 120. The FCC Auction System submits any new bids, applies a
on a variety of measures of bidder assumes that bidders with insufficient proactive waiver, or withdraws any
activity, including, but not limited to, activity would prefer to apply an provisionally winning bids.
the auction activity level, the activity rule waiver (if available) rather 124. The Bureau also sought comment
percentages of licenses (as measured in than lose bidding eligibility. Therefore, on a modified version of the
bidding units) on which there are new the system will automatically apply a simultaneous stopping rule (modified
bids, the number of new bids, and the waiver at the end of any bidding round stopping rule). The modified stopping
percentage increase in revenue. The where a bidder’s activity level is below rule would close the auction for all
Commission received no comments on the minimum required unless: (1) There licenses after the first round in which
this issue. are no activity rule waivers available; or no bidder applies a proactive waiver,
117. The Commission adopts the (2) the bidder overrides the automatic withdraws a provisionally winning bid,
proposal. Thus, the auction will start in application of a waiver by reducing or places any new bids on any license
Stage One and will generally advance to eligibility. If a bidder has no waivers on which it is not the provisionally
Stage Two when, in each of three remaining and does not satisfy the winning bidder. Thus, absent any other
consecutive rounds of bidding, the activity requirement, the FCC Auction bidding activity, a bidder placing a new
provisionally winning bids have been System will permanently reduce the bid on a license for which it is the
placed on 20 percent or less of the bidder’s eligibility, possibly curtailing provisionally winning bidder would not
licenses being auctioned (as measured or eliminating the bidder’s ability to keep the auction open under this
in bidding units). In addition, the place additional bids in the auction. modified stopping rule.
Bureau will retain the discretion to 121. A bidder with insufficient 125. The Bureau further proposed
regulate the pace of the auction by activity that wants to reduce its bidding retaining the discretion to keep the
eligibility rather than use an activity auction open even if no bidder places
announcement. This determination will
rule waiver must affirmatively override any new bids, applies a proactive
be based on a variety of measures of
the automatic waiver mechanism during waiver, or withdraws any provisionally
bidder activity, including, but not
the bidding round by using the reduce winning bids in a round. In this event,
limited to, the auction activity level, the
eligibility function in the FCC Auction the effect will be the same as if a bidder
percentages of licenses (as measured in
System. In this case, the bidder’s had applied a waiver. Thus, the activity
bidding units) on which there are new
eligibility is permanently reduced to rule will apply as usual, and a bidder
bids, the number of new bids, and the
bring the bidder into compliance with with insufficient activity will either use
percentage increase in revenue. The
the activity rules. Once eligibility has an activity rule waiver (if it has any left)
Commission believes that these stage
been reduced, a bidder will not be or lose bidding eligibility.
transition rules, having proven 126. In addition, the Bureau proposed
permitted to regain its lost bidding
successful in prior auctions, are that it reserve the right to declare that
eligibility even if the round has not yet
appropriate for use in Auction No. 71. the auction will end after a specified
closed.
vi. Activity Rule Waivers 122. Finally, a bidder may apply an number of additional rounds (special
activity rule waiver proactively as a stopping rule). If the Bureau invokes
118. In the Auction No. 71 Comment means to keep the auction open without this special stopping rule, it will accept
Public Notice, the Bureau proposed that placing a bid. If a bidder proactively bids in the specified final round(s) and
each bidder in the auction be provided applies an activity waiver (using the the auction will close.
with three activity rule waivers. The apply waiver function in the FCC 127. The Bureau proposed to exercise
Commission received no comments on Auction System) during a bidding round these options only in circumstances
this issue. Therefore, the Commission in which no bids are placed or such as where the auction is proceeding
adopts the proposal that each bidder be withdrawn, the auction will remain very slowly, where there is minimal
provided three activity rule waivers. open and the bidder’s eligibility will be overall bidding activity or where it
The Commission is satisfied that preserved. However, an automatic appears likely that the auction will not
providing three waivers over the course waiver applied by the FCC Auction close within a reasonable period of time.
of the auction will give bidders a System in a round in which there are no The Bureau noted that before exercising
sufficient number of waivers and new bids, withdrawals, or proactive these options, the Bureau is likely to
flexibility, while also safeguarding the waivers will not keep the auction open. attempt to increase the pace of the
integrity of the auction. A bidder cannot submit a proactive auction by, for example, increasing the
119. Bidders may use an activity rule waiver after submitting a bid in a round, number of bidding rounds per day, and/
waiver in any round during the course and submitting a proactive waiver will or changing the minimum acceptable
of the auction. Use of an activity rule preclude a bidder from placing any bids bids.
waiver preserves the bidder’s current in that round. Note: Applying a waiver 128. The Commission believes that
bidding eligibility despite the bidder’s is irreversible; once a proactive waiver the proposed stopping rules are
activity in the current round being is submitted that waiver cannot be appropriate for Auction No. 71 because
below the required minimum activity unsubmitted, even if the round has not the Commission’s experience in prior
level. An activity rule waiver applies to yet closed. auctions demonstrates that these
an entire round of bidding and not to a stopping rules balance interests of
particular license. Activity rule waivers vii. Auction Stopping Rules administrative efficiency and maximum
can be either applied proactively by the 123. For Auction No. 71, the Bureau bidder participation. The Commission
bidder (a proactive waiver) or applied proposed to employ a simultaneous received no comments concerning the
automatically by the FCC Auction stopping rule approach. A simultaneous auction stopping rules, therefore it
System (an automatic waiver) and are stopping rule means that all licenses adopts the proposals made in the
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principally a mechanism for auction remain available for bidding until Auction No. 71 Comment Public Notice.
participants to avoid the loss of bidding bidding closes simultaneously on all Auction No. 71 will begin under the
eligibility in the event that exigent licenses. More specifically, bidding will simultaneous stopping rule approach,
circumstances prevent them from close simultaneously on all licenses and the Bureau will retain the discretion
placing a bid in a particular round. after the first round in which no bidder to employ the other versions of the

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stopping rule. Moreover, the Bureau ii. Reserve Price or Minimum Opening formula of $0.05 * MHz * license area
will retain the discretion to use the Bids population with a minimum of $500 per
modified stopping rule with or without 132. Section 309(j) of the license.
prior announcement during the auction. 137. The Commission received no
Communications Act of 1934, as
comments addressing the proposal that
viii. Auction Delay, Suspension, or amended, calls upon the Commission to
the Bureau retain the discretion to
Cancellation prescribe methods by which a
reduce minimum opening bid amounts.
reasonable reserve price will be required
The Commission adopts this proposal.
129. Because the Commission’s or a minimum opening bid established
The minimum opening bid amounts
approach to notification of delay during when applications for FCC licenses are
adopted for Auction No. 71 are
an auction has proven effective in subject to auction (i.e., because they are
reducible at the discretion of the
resolving exigent circumstances in mutually exclusive), unless the
Bureau. The Commission emphasizes,
previous auctions, the Commission Commission determines that a reserve however, that such discretion will be
adopts its proposed rules regarding price or minimum opening bid is not in exercised, if at all, sparingly and early
auction delay, suspension, or the public interest. Consistent with this in the auction, i.e., before bidders lose
cancellation. By public notice or by mandate, the Commission directed the all activity waivers. During the course of
announcement during the auction, the Bureau to seek comment on the use of the auction, the Bureau will not
a minimum opening bid and/or reserve entertain requests to reduce the
Bureau may delay, suspend, or cancel
price prior to the start of each auction. minimum opening bid amount on
the auction in the event of natural
Among other factors, the Bureau must specific licenses. The Commission notes
disaster, technical obstacle,
consider the amount of spectrum being that effectively the minimum opening
administrative or weather necessity, auctioned, levels of incumbency, the
evidence of an auction security breach bids operate as reserve prices.
availability of technology to provide 138. The specific minimum opening
or unlawful bidding activity, or for any service, the size of the geographic
other reason that affects the fair and bid amounts for each license available
service areas, the extent of interference in Auction No. 71 calculated pursuant
efficient conduct of competitive with other spectrum bands, and any to the procedure described above are set
bidding. In such cases, the Bureau, in its other relevant factors that could have an forth in Attachment A of the Auction
sole discretion, may elect to resume the impact on the spectrum being No. 71 Procedures Public Notice.
auction starting from the beginning of auctioned. The Commission concluded
the current round, resume the auction that the Bureau should have the iii. Bid Amounts
starting from some previous round, or discretion to employ either or both of 139. In the Auction No. 71 Comment
cancel the auction in its entirety. these mechanisms for future auctions. Public Notice, the Bureau proposed that
Network interruption may cause the 133. The Bureau proposed in the in each round, eligible bidders be able
Bureau to delay or suspend the auction. Auction No. 71 Comment Public Notice to place a bid on a given license in any
The Commission emphasizes that to establish minimum opening bids for of nine different amounts. Under the
exercise of this authority is solely each license, while retaining discretion proposal, the FCC Auction System
within the discretion of the Bureau, and to lower the minimum opening bids. interface will list the nine acceptable
its use is not intended to be a substitute Specifically, for Auction No. 71, the bid amounts for each license. The
for situations in which bidders may Bureau proposed the following formula Commission received no comment on
wish to apply their activity rule waivers. for calculating license-by-license this issue. Based on the Commission’s
minimum opening bids based on experience in prior auctions, the
B. Bidding Procedures bandwidth and license area population: Commission adopts the proposals for
$0.05 * MHz * License Area Population Auction No. 71.
i. Round Structure
with a minimum of $500 per license. 140. The first of the nine acceptable
130. The initial schedule of bidding 134. The Bureau sought comment on bid amounts is called the minimum
rounds will be announced in the public this proposal and, in the alternative, acceptable bid amount. The minimum
notice listing the qualified bidders, whether, consistent with the Section acceptable bid amount for a license will
which is released approximately 10 309(j), the public interest would be be equal to its minimum opening bid
days before the start of the auction. Each served by having no minimum opening amount until there is a provisionally
bid. winning bid for the license. After there
bidding round is followed by the release
135. In Commission auctions, is a provisionally winning bid for a
of round results. Multiple bidding
minimum opening bids are intended to license, the minimum acceptable bid
rounds may be conducted in a given serve as useful starting points for amount for that license will be equal to
day. Details regarding round results bidding. Minimum opening bids are not the amount of the provisionally winning
formats and locations will also be intended to be estimates of final auction bid plus a percentage of that bid amount
included in the qualified bidders public prices or to reflect all differences calculated using the formula described
notice. between license values. Accordingly, below. In general, the percentage will be
131. The Bureau has discretion to differences in license characteristics, higher for a license receiving many bids
change the bidding schedule in order to such as population density, that may than for a license receiving few bids. In
foster an auction pace that reasonably result in different final prices do not the case of a license for which the
balances speed with the bidders’ need to always necessitate different minimum provisionally winning bid has been
study round results and adjust their opening bids for the licenses. withdrawn, the minimum acceptable
bidding strategies. The Bureau may 136. The Commission received no bid amount will equal the second
increase or decrease the amount of time comments addressing the proposed highest bid received for the license.
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for the bidding rounds, the amount of minimum opening bid amounts or the 141. The percentage of the
time between rounds, or the number of formula proposed to calculate them. provisionally winning bid used to
Accordingly, the Commission will adopt establish the minimum acceptable bid
rounds per day, depending upon
the proposal and set the minimum amount (the additional percentage) is
bidding activity and other factors.
opening bids using the proposed calculated at the end of each round,

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based on an activity index which is a minimum acceptable bid amounts, the withdrawn its bid do not count towards
weighted average of the number of bids parameters of the formula to determine the bidder’s current activity.
in that round and the activity index the percentage of the provisionally 147. All bidding will take place
from the prior round. Specifically, the winning bid used to determine the remotely either through the FCC
activity index is equal to a weighting minimum acceptable bid, and the bid Auction System or by telephonic
factor times the number of bids on the increment percentage if it determines bidding. There will be no on-site
license in the most recent bidding round that circumstances so dictate. The bidding during Auction No. 71. Note
plus one minus the weighting factor Bureau will do so by announcement in that telephonic bid assistants are
times the activity index from the prior the FCC Auction System during the required to use a script when entering
round. The additional percentage is auction if circumstances warrant. The bids placed by telephone. Telephonic
determined as one plus the activity Commission adopts this proposal. bidders are therefore reminded to allow
index times a minimum percentage sufficient time to bid by placing their
iv. Provisionally Winning Bids calls well in advance of the close of a
amount, with the result not to exceed a
given maximum. The additional 144. At the end of each bidding round. The length of a call to place a
percentage is then multiplied by the round, a provisionally winning bid will telephonic bid may vary; please allow a
provisionally winning bid amount to be determined based on the highest bid minimum of 10 minutes.
obtain the minimum acceptable bid for amount received for each license. A 148. A bidder’s ability to bid on
the next round. The Commission will provisionally winning bid will remain specific licenses is determined by two
initially set the weighting factor at 0.5, the provisionally winning bid until factors: (1) the licenses selected on the
the minimum percentage at 0.1 (10%), there is a higher bid on the same license bidder’s FCC Form 175 and (2) the
and the maximum percentage at 0.2 at the close of a subsequent round. bidder’s eligibility. The bid submission
(20%). Hence, at these initial settings, Provisionally winning bids at the end of screens will allow bidders to submit
the minimum acceptable bid for a the auction become the winning bids. bids on only those licenses the bidder
license will be between 10% and 20% Bidders are reminded that provisionally selected on its FCC Form 175.
higher than the provisionally winning winning bids count toward activity for 149. In order to access the bidding
bid, depending upon the bidding purposes of the activity rule. function of the FCC Auction System,
activity for the license. Equations and 145. In the Auction No. 71 Comment bidders must be logged in during the
examples are shown in Attachment E of Public Notice, the Bureau proposed to bidding round using the passcode
the Auction No. 71 Procedures Public use a random number generator to select generated by the SecurID token and a
Notice. a single provisionally winning bid in personal identification number (PIN)
142. The eight additional bid amounts the event of identical high bid amounts created by the bidder. Bidders are
are calculated using the minimum being submitted on a license in a given strongly encouraged to print a round
acceptable bid amount and a bid round (i.e., tied bids). No comments summary for each round after they have
increment percentage. The first were received on this proposal. completed all of their activity for that
additional acceptable bid amount equals Therefore, the Bureau adopts its round.
the minimum acceptable bid amount proposal. A pseudo-random number 150. In each round, eligible bidders
times one plus the bid increment generator based on the L’Ecuyer will be able to place bids on a given
percentage, rounded. If, for example, the algorithms will be used to assign a license in any of nine different amounts.
bid increment percentage is ten percent, random number to each bid. The tied For each license, the FCC Auction
the calculation is (minimum acceptable bid with the highest random number System will list the nine acceptable bid
bid amount) * (1 + 0.1), rounded, or wins the tiebreaker, and becomes the amounts in a drop-down box. Bidders
(minimum acceptable bid amount) * 1.1, provisionally winning bid. The use the drop-down box to select from
rounded; the second additional remaining eligible bidders, as well as among the acceptable bid amounts. The
acceptable bid amount equals the the provisionally winning bidder, can FCC Auction System also includes an
minimum acceptable bid amount times submit higher bids in subsequent upload function that allows bidders to
one plus two times the bid increment rounds. However, if the auction were to upload text files containing bid
percentage, rounded, or (minimum end with no other bids being placed, the information.
acceptable bid amount) * 1.2, rounded; winning bidder would be the one that 151. Until a bid has been placed on
the third additional acceptable bid placed the selected provisionally a license, the minimum acceptable bid
amount equals the minimum acceptable winning bid. amount for that license will be equal to
bid amount times one plus three times 146. During a round, a bidder may its minimum opening bid amount. Once
the bid increment percentage, rounded, submit bids for as many licenses as it there are bids on a license, minimum
or (minimum acceptable bid amount) * wishes (providing that it is eligible to acceptable bids for a license will be
1.3, rounded; etc. The Commission will bid), withdraw provisionally winning determined.
round the results of these calculations, bids from previous rounds, remove bids 152. Finally, bidders are cautioned to
as well as the calculations to determine placed in the current bidding round, or select their bid amounts carefully
the minimum acceptable bid amounts, permanently reduce eligibility. Bidders because, as explained below, bidders
using the Bureau’s standard rounding also have the option of submitting and that withdraw a provisionally winning
procedures. For Auction No. 71, the removing multiple bids and bid from a previous round, even if the
Bureau proposed to use a bid increment withdrawing multiple provisionally bid was mistakenly or erroneously
percentage of ten percent to calculate winning bids (subject to the limitation made, are subject to bid withdrawal
the eight additional acceptable bid on withdrawal rounds discussed below) payments.
amounts. The Commission received no during a round. If a bidder submits
comment on this issue and will begin multiple bids for a single license in the v. Bid Removal and Bid Withdrawal
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the auction with a bid increment same round, the system takes the last 153. In the Auction No. 71 Comment
percentage of ten percent. bid entered as that bidder’s bid for the Public Notice, the Commission
143. The Commission received no round. Bidders should note that the proposed bid removal and bid
comments on the Bureau’s proposal to bidding units associated with licenses withdrawal procedures. With respect to
retain the discretion to change the for which the bidder has removed or bid withdrawals, the Commission

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9760 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices

proposed limiting each bidder to bidder’s discretion and there will be no license during the course of an auction,
withdrawals in no more than two limit on the number of bids that may be and provides for the assessment of
rounds during the course of the auction. withdrawn in either of these rounds. interim bid withdrawal payments. In the
The round in which withdrawals are Withdrawals during the auction will be Auction No. 71 Comment Public Notice,
used would be at each bidder’s subject to the bid withdrawal payments the Bureau proposed to establish the
discretion. The Commission received no specified in § 1.2104(g). Bidders should percentage at fifteen percent for the
comments on this issue. In previous note that abuse of the Commission’s bid broadband PCS auction and sought
auctions, the Commission detected withdrawal procedures could result in comment on the proposal.
bidder conduct that, arguably, may have the denial of the ability to bid on a 160. The Commission received no
constituted anti-competitive behavior market. comments on this issue and adopts the
through the use of bid withdrawals. 157. If a provisionally winning bid is
proposal. The Commission will assess
While the Commission continues to withdrawn, the minimum acceptable
an interim withdrawal payment equal to
recognize the important role that bid bid amount will equal the amount of the
fifteen percent of the amount of the
withdrawals may play in an auction, second highest bid received for the
withdrawn bids. The fifteen percent
i.e., reducing risk associated with efforts license, which may be less than, or in
interim payment will be applied toward
to secure various licenses in the case of tied bids, equal to, the
any final bid withdrawal payment that
combination, the Commission amount of the withdrawn bid. To set the
additional bid amounts, the second will be assessed after subsequent
concludes that, for Auction No. 71,
highest bid amount also will be used in auction of the license. Assessing an
adoption of a limit on the use of
place of the provisionally winning bid interim bid withdrawal payment
withdrawals to two rounds per bidder is
in the formula used to calculate ensures that the Commission receives a
appropriate. By doing so the
additional bid amounts. The minimal withdrawal payment pending
Commission believes it strikes a
Commission will serve as a place holder assessment of any final withdrawal
reasonable compromise that will allow
provisionally winning bidder on the payment. Section 1.2104(g) provides
bidders to use withdrawals. The
Commission bases the decision on this license until a new bid is submitted on specific examples showing application
issue upon its experience with bid that license. of the bid withdrawal payment rule.
withdrawals in prior auctions, including 158. Calculation of Bid Withdrawal vi. Round Results
PCS D, E and F block, 800 MHz SMR, Payment. Generally, the Commission
and other auctions. The Commission imposes payments on bidders that 161. If limited information procedures
will therefore limit the number of withdraw high bids during the course of described above are in effect, limited
rounds in which bidders may place an auction. If a bidder withdraws its bid information about the results of a round
withdrawals to two rounds, as and there is no higher bid in the same will be made public after the conclusion
previously proposed. or subsequent auction(s), the bidder that of the round. Specifically, after a round
154. Procedures. Before the close of a withdrew its bid is responsible for the closes, the Bureau will make available
bidding round, a bidder has the option difference between its withdrawn bid for each license, its current
of removing any bids placed in that and the provisionally winning bid in the provisionally winning bid amount, the
round. By using the remove bids same or subsequent auction(s). In the minimum acceptable bid amount for the
function in the FCC Auction System, a case of multiple bid withdrawals on a following round, the amounts of all bids
bidder may effectively unsubmit any bid single license, within the same or placed on the license during the round,
placed within that round. A bidder subsequent auctions(s), the payment for and whether the license is FCC held.
removing a bid placed in the same each bid withdrawal will be calculated The reports will be publicly accessible.
round is not subject to withdrawal based on the sequence of bid Moreover, after the auction, the Bureau
payments. Removing a bid will affect a withdrawals and the amounts will make available complete reports of
bidder’s activity for the round in which withdrawn. No withdrawal payment all bids placed during each round of the
it is removed, i.e., a bid that is removed will be assessed for a withdrawn bid if auction, including bidder identities.
does not count toward bidding activity. either the subsequent winning bid or
162. If, however, limited information
These procedures will enhance bidder any subsequent intervening withdrawn
procedures are not used, more
flexibility during the auction, and bid, in either the same or subsequent
information will be provided after each
therefore the Commission adopts them auctions(s), equals or exceeds that
round in the auction. Bids placed
for Auction No. 71. withdrawn bid. Thus, a bidder that
155. Once a round closes, a bidder withdraws a bid will not be responsible during a round, including bidder
may no longer remove a bid. However, for any withdrawal payments if there is identities, will be made public at the
in later rounds, a bidder may withdraw a subsequent higher bid in the same or conclusion of that round. Specifically,
provisionally winning bids from subsequent auction(s). This policy after a round closes, the Bureau will
previous rounds using the withdraw allows bidders most efficiently to compile reports of all bids placed and
bids function in the FCC Auction allocate their resources as well as to which bidders made them, current
System (assuming that the bidder has evaluate their bidding strategies and provisionally winning bids, new
not already withdrawn bids in two business plans during an auction while, minimum acceptable bid amounts, and
previous rounds). A provisionally at the same time, maintaining the bidder eligibility status (bidding
winning bidder that withdraws its integrity of the auction process. The eligibility and activity rule waivers) and
provisionally winning bid from a Bureau retains the discretion to will post the reports for public access.
previous round during the auction is scrutinize multiple bid withdrawals on vii. Auction Announcements
subject to the bid withdrawal payments a single license for evidence of anti-
specified in § 1.2104(g). Note: Once a competitive strategic behavior and take 163. The Commission will use auction
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withdrawal is submitted during a round, appropriate action when deemed announcements to announce items such
that withdrawal cannot be unsubmitted necessary. as schedule changes and stage
even if the round has not yet ended. 159. Section 1.2104(g)(1) of the rules transitions. All auction announcements
156. The rounds in which a bidder sets forth the payment obligations of a will be available by clicking a link in
may withdraw its bids will be at the bidder that withdraws a high bid on a the FCC Auction System.

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Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices 9761

V. Post-Auction Procedures understand how the members of the payments include both a deficiency
consortia will apply for a license in the payment, equal to the difference
A. Down Payments
event they are winning bidders. between the amount of the bidder’s bid
164. After bidding has ended, the and the amount of the winning bid the
Commission will issue a public notice D. Ownership Disclosure Information
next time a license covering the same
declaring the auction closed and Report (FCC Form 602)
spectrum is won in an auction, plus an
identifying winning bidders, down 169. At the time it submits its long- additional payment equal to a
payments and final payments due. form application (FCC Form 601), each percentage of the defaulter’s bid or of
165. Within ten business days after winning bidder also must comply with the subsequent winning bid, whichever
release of the auction closing notice, the ownership reporting requirements as is less. Pursuant to recent modifications
each winning bidder must submit set forth in §§ 1.913, 1.919, and 1.2112. to the rule governing default payments,
sufficient funds (in addition to its Further instructions will be provided to the percentage of the applicable bid to
upfront payment) to bring its total winning bidders at the close of the be assessed as an additional payment for
amount of money on deposit with the auction. defaults in a particular auction is
Commission for Auction No. 71 to 20 established in advance of the auction.
percent of the net amount of its winning E. Tribal Lands Bidding Credit
Accordingly, in the Auction No. 71
bids (gross bids less any applicable 170. A winning bidder that intends to Comment Public Notice, the Bureau
small business or very small business use its license(s) to deploy facilities and proposed to set the additional default
bidding credits). provide services to federally recognized payment for the auction of broadband
tribal lands that are unserved by any PCS licenses at ten percent of the
B. Final Payments telecommunications carrier or that have applicable bid. The Bureau sought
166. Each winning bidder will be a wireline penetration rate equal to or comment on the proposal and no
required to submit the balance of the net below 85 percent is eligible to receive a comments were received on this issue.
amount of its winning bids within 10 tribal lands bidding credit as set forth in The Commission therefore adopts the
business days after the deadline for §§ 1.2107 and 1.2110(f). A tribal lands proposal and sets the additional default
submitting down payments. bidding credit is in addition to, and payment for the auction of broadband
C. Long-Form Application (FCC Form separate from, any other bidding credit PCS licenses at ten percent of the
601) for which a winning bidder may qualify. applicable bid.
171. Unlike other bidding credits that
167. Within ten business days after are requested prior to the auction, a 174. Finally, the Commission notes
release of the auction closing notice, winning bidder applies for the tribal that in the event of a default, the
winning bidders must electronically lands bidding credit after winning the Commission may re-auction the license
submit a properly completed long-form auction when it files its long-form or offer it to the next highest bidder (in
application (FCC Form 601) for each application (FCC Form 601). When descending order) at its final bid
license won through Auction No. 71. initially filing the long-form application, amount. In addition, if a default or
Winning bidders that are entrepreneurs the winning bidder will be required to disqualification involves gross
and/or small businesses or very small advise the Commission whether it misconduct, misrepresentation, or bad
businesses must demonstrate their intends to seek a tribal lands bidding faith by an applicant, the Commission
qualifications to be considered an credit, for each license won in the may declare the applicant and its
entrepreneur and/or their eligibility for auction, by checking the designated principals ineligible to bid in future
a small business or very small business box(es). After stating its intent to seek a auctions, and may take any other action
bidding credit. Further filing tribal lands bidding credit, the applicant that it deems necessary, including
instructions will be provided to auction will have 180 days from the close of the institution of proceedings to revoke any
winners at the close of the auction. long-form filing window to amend its existing licenses held by the applicant.
168. The CSEA/Part 1 Report and application to select the specific tribal G. Refund of Remaining Upfront
Order modifies the procedure by which lands to be served and provide the Payment Balance
a consortium that is a winning bidder in required tribal government
Auction No. 71 will apply for a license. certifications. Licensees receiving a 175. All applicants that submit
In particular, (a) each member or group tribal lands bidding credit are subject to upfront payments but after the close of
of members of a winning consortium performance criteria as set forth in the auction are not winning bidders for
seeking separate licenses will be § 1.2110(f)(3)(vi). a license in Auction No. 71 may be
required to file a separate long-form 172. For additional information on the entitled to a refund of their remaining
application for its respective license(s) tribal lands bidding credit, including upfront payment balance after the
and, in the case of a license to be how the amount of the credit is conclusion of the auction. All refunds
partitioned or disaggregated, the calculated, applicants should review the will be returned to the payer of record,
member or group filing the applicable Commission’s rule making proceeding as identified on the FCC Form 159,
long-form application shall provide the regarding tribal lands bidding credits unless the payer submits written
parties’ partitioning or disaggregation and related public notices. authorization instructing otherwise.
agreement in its long-form application; 176. Bidders that drop out of the
(b) two or more consortium members F. Default and Disqualification auction completely may be eligible for
seeking to be licensed together shall first 173. Any winning bidder that defaults a refund of their upfront payments
form a legal business entity; and (c) any or is disqualified after the close of the before the close of the auction.
such entity must meet the applicable auction (i.e., fails to remit the required 177. Following the close of the
eligibility requirements in the down payment within the prescribed auction, the Commission may refund
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Commission’s rules for small business period of time, fails to submit a timely upfront monies on deposit that exceed
status. Applicants applying as consortia long-form application, fails to make full the required total of payments owed by
should review the CSEA/Part 1 Report payment, or is otherwise disqualified) winning bidders. Such refunds will be
and Order in detail and monitor any will be subject to the payments made to the payer of record as identified
relevant future proceedings to described in § 1.2104(g)(2). The on the FCC Form 159, provided the

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9762 Federal Register / Vol. 72, No. 42 / Monday, March 5, 2007 / Notices

necessary refund request and wire standards in section 4 of the BHC Act FOR FURTHER INFORMATION CONTACT:
transfer instructions have been received. (12 U.S.C. 1843). Unless otherwise http://www.hhs.gov/healthit/ahic/
Federal Communications Commission. noted, nonbanking activities will be confidentiality/.
Gary D. Michaels,
conducted throughout the United States. SUPPLEMENTARY INFORMATION: The
Additional information on all bank Workgroup Members will discuss
Deputy Chief, Auctions and Spectrum Access
Division, WTB.
holding companies may be obtained identity proofing issues and priorities.
from the National Information Center The meeting will be available via Web
[FR Doc. E7–3786 Filed 3–2–07; 8:45 am]
website at http://www.ffiec.gov/nic/. cast at http://www.hhs.gov/healthit/
BILLING CODE 6712–01–P
Unless otherwise noted, comments ahic/cps_instruct.html.
regarding each of these applications Dated: February 23, 2007.
must be received at the Reserve Bank
FEDERAL ELECTION COMMISSION Judith Sparrow,
indicated or the offices of the Board of
Director, American Health Information
Governors not later than March 30,
Sunshine Act Meeting Notices Community, Office of Programs and
2007. Coordination, Office of the National
DATE & TIME: Thursday, March 8, 2007, Coordinator for Health Information
at 10 a.m. A. Federal Reserve Bank of Atlanta Technology.
PLACE: 999 E Street, NW., Washington, (David Tatum, Vice President) 1000 [FR Doc. 07–985 Filed 3–2–07; 8:45 am]
DC (Ninth Floor) Peachtree Street, N.E., Atlanta, Georgia BILLING CODE 4150–24–M
30309:
STATUS: This Meeting Will be Open to
1. Community Holding Company of
the Public.
Florida, Inc., Miramar Beach, Florida; to DEPARTMENT OF HEALTH AND
THE FOLLOWING ITEMS HAVE BEEN ADDED become a bank holding company by HUMAN SERVICES
TO THE AGENDA: Report of the Audit acquiring 100 percent of the voting
Division on Kucinich for President, Inc.; shares of Community Bank, Destin, Agency for Healthcare Research and
Report of the Audit Division on Miramar Beach, Florida (in Quality
LaRouch in 2004. organization).
PERSON TO CONTACT FOR INFORMATION: Notice of Meeting
Mr. Robert Biersack, Press Officer, 2. CNBS Financial Group, Inc., to In accordance with section 10(d) of
Telephone: (202) 694–1220. become a bank holding company by the Federal Advisory Committee Act (5
Mary W. Dove, acquiring 100 percent of the voting U.S.C., Appendix 2), announcement is
Secretary of the Commission.
shares of Community National Bank of made of a Health Care Policy and
the South (in organization), both of Lake Research Special Emphasis Panel (SEP)
[FR Doc. 07–1014 Filed 3–1–07; 2:50 pm]
Mary, Florida. meeting.
BILLING CODE 6715–01–M
Board of Governors of the Federal Reserve A Special Emphasis Panel is a group
System, February 28, 2007. of experts in fields related to health care
Robert deV. Frierson, research who are invited by the Agency
FEDERAL RESERVE SYSTEM
Deputy Secretary of the Board. for Healthcare Research and Quality
Formations of, Acquisitions by, and [FR Doc. E7–3760 Filed 3–2–07; 8:45 am] (AHRQ), and agree to be available, to
Mergers of Bank Holding Companies BILLING CODE 6210–01–S
conduct on an as needed basis,
scientific reviews of applications for
The companies listed in this notice AHRQ support. Individual members of
have applied to the Board for approval, the Panel do not attend regularly-
pursuant to the Bank Holding Company DEPARTMENT OF HEALTH AND scheduled meetings and do not serve for
Act of 1956 (12 U.S.C. 1841 et seq.) HUMAN SERVICES fixed terms or a long period of time.
(BHC Act), Regulation Y (12 CFR Part Rather, they are asked to participate in
225), and all other applicable statutes Office of the National Coordinator for particular review meetings which
and regulations to become a bank Health Information Technology require their type of expertise.
holding company and/or to acquire the Substantial segments of the upcoming
assets or the ownership of, control of, or American Health Information SEP meeting listed below will be closed
the power to vote shares of a bank or Community Confidentiality, Privacy, to the public in accordance with the
bank holding company and all of the and Security Workgroup Meeting Federal Advisory Committee Act,
banks and nonbanking companies section 10(d) of 5 U.S.C., Appendix 2
owned by the bank holding company, ACTION: Announcement of meeting. and 5 U.S.C. 552b(c)(6). Grant
including the companies listed below. applications for ‘‘The Centers for
SUMMARY: This notice announces the
The applications listed below, as well Education and Research on
as other related filings required by the eighth meeting of the American Health
Therapeutics (CERTs),’’ are to be
Board, are available for immediate Information Community Confidentiality,
reviewed and discussed at this meeting.
inspection at the Federal Reserve Bank Privacy, and Security Workgroup in
These discussions are likely to reveal
indicated. The application also will be accordance with the Federal Advisory
personal information concerning
available for inspection at the offices of Committee Act (Pub. L. 92–463, 5
individuals associated with the
the Board of Governors. Interested U.S.C., App.)
applications. This information is
persons may express their views in DATES: March 15, 2007, from 10:30 a.m. exempt from mandatory disclosure
writing on the standards enumerated in to 4:30 p.m. Eastern Time. under the above-cited statutes.
erjones on PRODPC74 with NOTICES

the BHC Act (12 U.S.C. 1842(c)). If the ADDRESSES: Hubert H. Humphrey
SEP Meeting on: The Centers for Education
proposal also involves the acquisition of building (200 Independence Avenue, and Research on Therapeutics (CERTs).
a nonbanking company, the review also SW., Washington, DC 20201), Date: April 16, 2007 (Open on April 16
includes whether the acquisition of the Conference Room 705A (please bring from 8 a.m. to 8:15 a.m. and closed for the
nonbanking company complies with the photo ID for entry to a Federal building). remainder of the meeting).

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