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A. a.(1)(a) i) a)DocumentgPleadingHeader for Numbered Pleading PaperE!n    X X` hp x (#%'0*,.8135@8:=]8{{]8("SS]88]]ff.S8"S^8C_oo8CCNu8C88ooooooooooCCuuuzÐz8ozzzC8Cuo8ozozoCzz88o8zzzzNoCzooodN8NuC8CC!CCCCCCCCCCz8oooooȲooooo88888888zzzzzzzzzoozzzozzoooooozoooozzzzzzzCzCzCC8zoCoz8zCzCzCz8zzzzzȽNNNoooozCzCzCzzzzozdzdNF8ooCzoooooJIoCoC0(ddoCCoozz8dC"S^2CRddCCCdq2C28dddddddddd88qqqYzoCNzoozzC8C^dCYdYdYCdd88d8ddddCN8ddddY`(`lC2CC!CCCCCCCCCCd8YYYYYYzYzYzYzYC8C8C8C8ddddddddddYdddddodYYYYYYdzYzYzYzYdddddddCdCdCCCdNCdz8zCzCzCz8dddddCCCoNoNoNoNzCzCzCdddddzYzYNF2[dCYddddd7>d<d<$8YYdCCddooCYȾd<d<CCYYdCCddCYCdYzzzzCCCCqodYYYYYYYYYYY8888dddddddnddddddd(9KxRJ{(912yQ$B@EL-O){"^?Ll?LLY?L??LL?L?L?L???YLrY@YL?LL&LLLLLLLLLL?????????LLLL?L?LLL?YYYLLLrrNP?LTSLL6.rrLL?rL"5@^2Coddȧ8CCdr2C28ddddddddddCCrrrdzNdzoȐC8CtdCdoYoYCdo8Co8odooYNCodddYO,Oh2CC!CCPRCdodddddȐYYYYYN8N8N8N8oddddooooddoddddzodddYYYYYYddddooPoNoNCNodo8RoodȐYYoNoNNF2ldCddddddd<d<+8oodCCddddCoȾamount that Congress required us to collect in FY 1995. 60 FR 34004 (June 29, 1995). Also,  X_-  Nin the FY 1995 Report and Order, we amended certain rules governing our regulatory fee  XH-  kprogram based upon our experience administering the program in FY 1994. See 47 C.F.R.   X1-1.1151 et seq.  6. As noted above, for FY 1994 we adopted the Schedule of Regulatory Fees established  X -  /in Section 9(g) of the Act. For fiscal years after FY 1994, however, Sections 9(b)(2) and (3),   respectively, provide that we adjust our fees by making "Mandatory Adjustments" and "Permitted   lAmendments" to the Schedule of Regulatory Fees. 47 U.S.C.  159(b)(2), (b)(3). Section   j9(b)(2), entitled "Mandatory Adjustments", requires that we revise the Schedule of Regulatory Fees whenever Congress changes the amount that we are to recover. 47 U.S.C.  159(b)(2).  7. Section 9(b)(3), entitled "Permitted Amendments," requires that we determine annually   whether to adjust the fees to take into account factors that are reasonably related to the benefits   provided to the payors of the fees and factors that are in the public interest. In making these   amendments, we are to "add, delete, or reclassify services in the Schedule to reflect additions,   deletions or changes in the nature of its services." 47 U.S.C.  159(b)(3). Section 9(i) requires   that we develop accounting systems necessary to making permitted amendments. 47 U.S.C.    159(i). Finally, we are required to notify Congress of any permitted amendments 90 days before those amendments go into effect. 47 U.S.C.  159(b)(4)(B).  X-  X-III.Discussion  Xe- A.Overall Methodology  X7- 1 8. As noted above, Congress has required that we recover $126,400,000 for FY 1996   through the collection of regulatory fees, representing the costs applicable to our enforcement, policy and rulemaking, international, and user information activities. 47  U.S.C. 159(a).  X- 9. In our NPRM, we proposed to develop our fees for FY 1996 by first adjusting our   estimates of payment units so that we could determine how much revenue we would collect even   if we did not change any individual fee amounts. We then compared the total estimated revenue   that we would collect at the existing fee amounts to the total revenues that we are required to   Ncollect in FY 1996 ($126.4 million), and prorated the difference among all the existing fee"#0*%%ZZG""  X-  categories.GKb Oy<  Ѝ#X\  P6G;P# As noted earlier, Congress increased the amount to be collected in FY 1996 from $116.4 million to $126.4  yOQ-million subsequent to release of our NPRM in this proceeding.#x6X@`7pX@#G We then intended to compare these projected revenues with cost data accumulated   from our new cost accounting system and to make any further adjustments necessary to ensure  X-  that costs generally correlated with revenues in each fee category. As discussed in the NPRM,   this step was not performed due to implementation problems associated with our new cost accounting system.  m10. We next considered various recommendations made by our Bureaus' and Offices'   Lmanagers concerning adjustments to the fees and to our collection procedures. The results of   these actions, the detailed steps we followed in the development of our proposed FY 1996  X1-  -regulatory fees, and a proposed new Schedule of Regulatory Fees were presented in our NPRM.@10Kb yO -  #]\  PCP#э Permitted amendments are being made pursuant to Section 9(b)(3) to incorporate CMRS Mobile Services,   iCMRS OneWay Paging, Intelsat & Inmarsat Signatory, and Low Earth Orbit (LEO) Satellite Systems regulatory   fee  pcategoriesan p categories and p  pd  to make related changes to Geosynchronous Space Station fees. These new permitted amendments   will require 90 days Notice to Congress prior to implementation. 47 U.S.C.  159(b)(4)(B). However, it should be   noted that for the CMRS Mobile Services, licensees who have not elected to convert their stations from private to   \commercial status will not be subject to payment of a CMRS Mobile Services regulatory fee for FY 1996.   KTherefore, for stations licensed as commercial on or before the date of determination of fee liability the fee will  yO-become effective 60 days from the date of publication in the  pFedrra p Federal p  pl  Register. See para. 1722.   In addition, we provided detailed descriptions of each fee category, information on the entity   =responsible for payment of each fee, and other critical information designed to assist potential   fee payers in determining the extent of fee liability, if any, for FY 1996. We invited interested   parties to comment on our proposed methodology and on our various proposals to revise the  X -  Schedule of Regulatory Fees. We are adopting the same general methodology, as set forth in  X -Paragraphs 1214 below, for developing FY 1996 regulatory fees as we proposed in our NPRM.  11. While we received no comments specifically supporting or opposing the proposed   [methodology, the law firm of Bernstein and McVeigh contends that regulatees are entitled to a   [fee payment credit because the Federal government, including the Commission, was closed for   business for significant periods due to budget disputes and snowstorms resulting in substantially   ylower regulatory expenditures than anticipated. However, we have no discretion in the amount   that we are required to collect since it is Congress that annually establishes the amount that we  X-  .are to collect through regulatory fees. See 47 U.S.C.  159(a). Thus, Bernstein and McVeigh's pleading requires no further discussion.  X-  X-B.Adjustment of Payment Units  12. In order to calculate individual service fees for FY 1996, we first adjusted the   iestimated payment units for each service because, in many services, payment units have changed"e8 0*%%ZZ"   jsubstantially since last year. We obtained our estimates through a variety of means, including   our licensee data bases, actual prior year payment records, and industry and trade group   projections. Herein, we are further adjusting certain payment units to reflect refinements to our  X-  unit counts since adoption of our NPRM. Appendix B provides a summary of how payment units were determined for each fee category.  Xv- C.Adjustment of Television Station Fees  13. On April 26, 1996, the President signed H.R. 3019 (Pub. L. No. 104134), "The   LBalanced Budget Downpayment Act." This legislation, in addition to requiring that we collect   =$126.4 million in regulatory fees, revised the fees for television broadcast licensees set forth in  X -  Section 1.1153 of our rules. Kb O| <Ѝ#X\  P6G;P# Specifically, Pub. L. No. 104134 made the following changes to Section 1.1153: T ddx !ddx  T  p  w "lFee Category (VHF/UHF Television Stations)w"jFY 1995 Feew"(New FY 1996 Feep P  wY  VHF Markets 110Y#$22,420Y#^$32,000P P  VHF Markets 1125,Y#$19,925,Y#^$26,000P P  VHF Markets 2650|Y#$14,950|Y#^$17,000P P , VHF Markets 51100Y#)$9,975Y# $9,000P P | Remaining VHF MarketsY#)$6,225Y# $2,500P P  UHF Markets 110lY#$17,925lY#^$25,000P P  UHF Markets 1125Y#$15,950Y#^$20,000P P l UHF Markets 2650 Y#$11,950 Y#^$13,000P P  UHF Markets 51100\Y#)$7,975\Y# $7,000P     Y  Remaining UHF Markets#)$4,975# $2,000   \  yOl- #x6X@`7pX@# As Congress has required, we have incorporated its revised  X -television station fees into our Schedule of Regulatory Fees for FY 1996.  X - D.Recalculation of Fees Mandatory Adjustments  14. We next determined the amount of revenue to be collected from television station   licensees based on the new fee amounts established by Congress, as discussed in Paragraph 13.  Xb-  See Appendix C. We subtracted our estimated television revenues ($10,060,000) from the total"bH0*%%ZZ"   ^amount that Congress requires us to collect in FY 1996 ($126,400,000). The difference   |($116,340,000) is the amount to be recovered from all other regulatees in order to meet   Congress' requirement for FY 1996. We then multiplied the revised payment unit estimates for   FY 1996 by the corresponding FY 1995 fee amounts in each nontelevision fee category to   determine the revenue we would collect in FY 1996, assuming no other change to the FY 1995   fees. Next, we adjusted the revenue requirements for each fee category on a proportional basis,   consistent with Section 9(b)(2) of the Act, in order to insure that we would collect approximately   $116,340,000 from these fee categories. Finally, we recalculated the individual fee amounts in   order to collect the adjusted amount in each service, and rounded each fee amount as provided  X1-  =by Section 9(b)(2).1Kb O <ԍ#X\  P6G;P# Section 9(b)(2) requires that we round fees to the nearest $5 in the case of fees under $1,000, or to the nearest $25 in the case of fees of $1,000 or more. 47 U.S.C.  159(b)(2). Appendix C provides detailed calculations describing how the revised fee amounts were determined.  X - E.Proposed Permitted Amendments  X - 15. In our NPRM, we proposed certain changes and additions to our current fee   icategories and to our methodologies for assessing fees in individual service categories. We have   given full consideration to the comments by interested parties and, in certain instances, we have   decided that further adjustments to the Schedule of Regulatory Fees are warranted based upon   the public interest and other criteria established in 47 U.S.C.  159(b)(3). Each of these changes  XK-  Nis discussed below together with any comments we received in response to our NPRM.  X4-  KHowever, as noted above, we will not discuss further any of our proposals from the NPRM which  X-  received no comments. Instead, these proposals are incorporated as proposed in our NPRM or   are not adopted in those cases in which we proposed not to change our current rules and   procedures. These include: Commercial AM/FM/TV Construction Permits, where we considered   .and rejected including the revenue requirement in the fees for the broadcast station licensees;   Wireless Cable, where we considered and rejected the idea of basing the payment units on   subscriber counts instead of on a per license basis; Direct Broadcast Satellite (DBS) Service,   where we also considered and rejected a proposal to establish payment units on a subscriber basis   rather than per satellite; Interstate Telephone Service Providers, where we proposed to consolidate   several service categories into one category; and Earth Stations, where we also proposed to consolidate several service categories into one category.  X7-  X - 1.Commercial Mobile Radio Service (CMRS)  X-  16. In the NPRM, we proposed to establish a CMRS Mobile Services fee category and   jto include in the category cellular providers and CMRS service licensees authorized to provide   interconnected mobile radio services for profit to the public, or to such classes of eligible users  X!-  Las to be effectively available to a substantial portion of the public. See NPRM at para. 19. We"!00*%%ZZ "   0stated that the new CMRS Mobile Services category was intended to replace the Public   =Mobile/Cellular Radio regulatory fee category and that certain mobile services assigned to the   Private Land Mobile Radio Service fee category for FY 1995 would be included in the new  X-  CMRS category for FY 1996.GKb yO4-  K#X\  P6G;P#э Specifically, we proposed that the CMRS Mobile Service fee category would include cellular providers (Part   22) and Business Radio Services, 220222 MHz Land Mobile Systems, Specialized Mobile Radio Services (Part 90);   <Public Coast Stations (Part 80); Public Mobile Radio, 800 MHz AirGround Radiotelephone, and Offshore Radio   Services (Part 22). Licensees who have not elected to convert from private to commercial operations will be exempt   ,from payment of the annual CMRS Mobile Services fee for FY 1996. Existing commercial licensees and those who elected to convert prior to December 31, 1995, must pay the annual CMRS Mobile Services fee for FY 1996.G Also, we proposed to defer assessing a regulatory fee upon   licensees in the Personal Communications Service (PCS) because PCS is in a very early startup  X-  phase. Finally, we proposed that CMRS Mobile Services fee payors calculate their annual   regulatory fee based on their total mobile or cellular unit (mobile or cellular call sign or   telephone number) count, or on their total per unit (twoway pager) count, as determined on December 31, 1995.  17. The American Mobile Telecommunications Association, Inc. (AMTA) and Nextel   Communications, Inc. (Nextel) oppose including Specialized Mobile Radio (SMR) licensees and   other mobile communications providers, previously assigned to one of the Private Mobile Radio   Services (PMRS) fee categories, in the CMRS Mobile Services fee category for FY 1996. The   -parties contend that these mobile service providers are not properly subject to the CMRS Mobile   \Services fee because their operations were not a part of the CMRS service on December 31,   z1995, the date for calculating the CMRS Mobile Services fee, and, in fact, will not convert to   CMRS status until August 10, 1996. AMTA and Nextel also urge that we exclude from the   ZCMRS Mobile Services category any mobile units that do not have full interconnection capability   <with the public switched network. In addition, Nextel contends that, given the competitive status   of CMRS providers, we should not subject some new mobile service providers to a CMRS   Mobile Services fee and defer imposition of the requirement on other new providers, such as   PCS. Instead, AMTA and Nextel urge that current mobile service providers pay no fee or remain   in the PMRS fee category. Finally, AMTA contends that existing mobile licensees who have   paid their regulatory fees in advance should not be subject to a CMRS Mobile Services fee until   they file applications for renewal or reinstatement. In the alternative, AMTA and Nextel contend   that current licensees that become subject to the CMRS Mobile Services fee before their existing licenses expire are entitled to a credit for the remaining years of their advance fee payments.  18. In the Omnibus Budget Reconciliation Act of 1993, Congress provided that private   carrier systems, including 220222 MHz and SMR services, providing interconnected mobile   radio services for profit to the public, or to such classes of eligible users as to be effectively  X -  available to a substantial portion of the public, were to be reclassified as CMRS licensees. @Kb yO%-#X\  P6G;P#э See Omnibus Budget Reconciliation Act of 1993, Pub. L. No. 10366, Title VI  6002(b), 107 Stat. 312, 392. " 0*%%ZZ>"  X-  zCongress provided a three year transition period pursuant to which private carrier licensees   Mauthorized prior to August 10, 1993, would continue to be regulated as private carriers until   August 10, 1996. Therefore, we agree with the commenters that we should not require licensees   jthat will not become subject to CMRS regulation until August 10, 1996, to pay a CMRS Mobile   Services fee for FY 1996. Further, we agree with the parties that existing CMRS licensees   should include in their calculations of the CMRS Mobile fee only those units operational on   December 31, 1995. Also, as a result of this decision, we have reduced our estimate of the number of payment units for this category.  {19. However, we do not agree that CMRS units that do not fully connect with the public   switched network should not be subject to the CMRS fee. Consistent with Section 9(a) and 9(b),   <our CMRS Mobile Services fee is based upon the costs of our regulatory oversight. As such, we   ywill require mobile providers to submit a CMRS Mobile Services fee based upon our regulatory   =costs rather than the particular use that a provider makes of its frequencies. Therefore, mobile   [operators, otherwise subject to the CMRS Mobile Services fee, should submit a CMRS Mobile   Services fee for any unit operating under the authority of a license authorizing the operator to   Kprovide "for profit" service to the public and to interconnect its services with the public switched   =network, without limitation, or to such classes of eligible users as to be effectively available to  Xb-a substantial portion of the public, as described in Section 20.3 of our Rules.bKb yO-  #]\  PCP#э For regulatory fee purposes, "distress" traffic is not included as part of a public coast station licensee's subscriber count. 47 C.F.R.  20.3.  20. In addition, we reject Nextel's argument that, because we have decided that PCS   licensees should not be subject to the fee for FY 1996, all new providers of CMRS service   should be excepted from payment of the CMRS Mobile Services fee. Unlike other services   within the CMRS category of services, PCS has only recently been established and few PCS   >providers are now operational. In contrast, SMR licensees, such as Nextel, have long been   Leligible to provide mobile service, including interconnection with the public switched network,   and thus, although they may be newly assigned to CMRS, these operators cannot be said to be new providers of mobile services.  @21. We recognize that some current mobile service providers have paid Private Land   Mobile fees covering the length of their license term. However, we decline to defer assessing  X7-  La CMRS fee on these licensees until the expiration of their current licenses. X7 Kb yO!-  #X\  P6G;P#э Because Private Land Mobile regulatory fees are submitted with license applications and paid for the number  yO!-  of years in the term of the license, these licensees have paid their regulatory fees several years in advance. See 47  yO"-U.S.C.  159(f)(2).ĥ In our NPRM, we   stated that payors of advance fees would not have these fees "adjusted" during their license term.  X -  LSee NPRM at para. 56. Our clear purpose was to assure payors of advance fees that we would"  @ 0*%%ZZ="   not require any additional payment if we increased the fee amount required for the fee category   in which the payment was made. It was not our intent that licensees transferred from one fee   category to another would not be subject to the fee payment required by their new fee category   until the expiration of their current license. Nevertheless, under our Rules, a licensee is entitled   jto a refund of an advance payment, upon request, whenever we "adopt new rules that nullify a   klicense or other authorization." 47 C.F.R. 1.1159(2)(i). Therefore, any licensee that converts   .from private to CMRS and has paid its fees in advance for a period of years, may file a request   for refund with its initial CMRS regulatory fee payment. Detailed procedures for refund requests will be issued by Public Notice.  X1-  X -  22. Destineer, Inc., a PCS licensee, asks that we establish a CMRS Messaging Service   fee category to replace our CMRS OneWay Paging fee category. Destineer recognizes that, as   a PCS provider, it is not subject to any fee payment for FY 1996. However, it states that, with   the exception of twoway paging services, our CMRS Mobile category includes only broadband   kservices and that broadband services, unlike paging services, provide for real time twoway   interactive voice communications. We agree with Destineer that there are important regulatory,   technical and competitive differences between the two narrowband and broadband services that   .may warrant establishing a fee category that would include all narrowband services, including   =twoway paging. However, Destineer has provided us with no information concerning how to  XK-  structure its proposed fee category, e.g., estimated units that would be included in the category   for FY 1996 or the impact of the new fee category on revenues from our CMRS Mobile fee   jcategory. Therefore, we will adopt our proposed CMRS Mobile Services and CMRS OneWay   Paging fee categories for FY 1996, but we invite interested parties to file proposals and   -comments on alternative methods to assess CMRS fees in our proceeding to establish regulatory fees for FY 1997.  X-  X- 2.  Commercial AM/FM Radio  X-  X|-  23. In our NPRM, we discussed a proposal to assess regulatory fees for Commercial AM   and FM radio licensees according to the size of a station's market, but concluded that   development of a marketbased fee assessment methodology for radio broadcast stations appeared  X7-  \to be not cost effective. See FCC 96153 at  20. 7Kb yO- z#X\  P6G;P#эIn our FY 1995 NPRM, we recognized "that the population density of a station's geographic location was   yalso a public interest factor warranting recognition in the fee schedule." FCC 9514 at  29. Subsequently, we   Kdeclined to adopt a marketbased fee structure for AM and FM radio because we were unable to develop a reliable  yO!-  and accurate method for differentiating among radio markets. See FY 1995 Report and Order, 10 FCC Rcd at 13531532.  As a result, we proposed to assess radio   broadcast fees solely on the basis of class of license, utilizing the statutory fee structure that we  X -  adopted for FY 1994 and FY 1995. 47 U.S.C.  159(g). In our NPRM, we invited comments  X-proposing alternatives to the current radio fee structure.  Id. at  21." x 0*%%ZZ"Ԍ ԙ24. The Montana Broadcasters Association (Montana) filed comments proposing a radio   broadcast service fee structure based on class of station and on market size. Montana maintains   that its proposed fee structure is similar to the fee structure that Congress enacted for television   broadcast stations and that it would more fairly allocate regulatory fees among radio stations by  X-  reducing the fees for small market radio stations and increasing them for larger stations. See 47 U.S.C.  159(g)  25. Montana's proposed fee structure takes into account both a station's market size and   xthe classification of its facilities. The proposed fee structure establishes broad groupings of radio   broadcast markets determined by market size. It assigns a different level of fees for each market   grouping predicated on the ratios between fees that Congress initially assessed for licensees in   different sized television markets. Montana proposes four specific market classifications: Markets  X -  1 through 25, Markets 26 through 50, Markets 51 through 100, and Remaining Markets. Stations   Oare assigned to a market grouping based upon Arbitron Rating Co. (Arbitron) market   zdesignations. Montana proposes ratios between fees paid by larger market radio broadcast stations and fees paid by remaining market radio broadcast stations as follows: "y 0*%%ZZ"  X-Markets 1 through 25hh,1 to 3.4 Kb yOy-  #X\  P6G;P#э See Montana's petition, n. 4 at p 4. The ratios that Montana employs are those that Congress established in  yOA-  Yits fee structure for television broadcast regulatory fees. See 47 U.S.C.  159(g). The Montana proposal would raise  yO -  the fees for stations in larger markets and reduce the fees in smaller markets. For example the NPRM proposed a   Kregulatory fee for Class A AM stations of $1,125. Utilizing the proposed Montana Schedule, Class A stations in   Kremaining markets would have their fees reduced to $850; while Class A stations in Markets 1 through 25 would   hpay $2,890; in Markets 26 through 50 they would pay $2,040 and in Markets 51 100 they would pay $1,360. We   note that Congress recently directed the Commission to modify the regulatory fee schedule to increase the differential   between the fees paid by major market television stations and fees paid by television stations located outside of the  yO-  top 50 markets. Utilizing new ratios between fees paid by television in larger and smaller markets based on the   relationship between the fees Congress has established would further increase the differential between payments by radio stations in larger and smaller markets.   X-Markets 26 through 50hh,1 to 2.4  X-Markets 51 through 100hh,l to 1.6  /26. Montana assigns different classes of stations to each market by relying on an analysis   of the broadcast markets conducted by Dataworld MediaXpert Service. According to Montana,   its proposed rate structure would result in aggregate revenue to the Commission approximating   [the amount to be recovered from AM and FM licensees through the fee structure proposed in  X -  Zour NPRM. Although the Montana proposal would raise the fees for radio stations in the top 100 markets, no comments were filed by parties who would be adversely affected by the proposal.  27. Montana proposes to utilize the Dataworld data base which in turn is based on  X -  Arbitron market rankings. In our FY 1995 Report and Order, we found that a proposal to base   zfees on Arbitron data did not provide a sufficiently accurate and equitable methodology for   determining fees. 10 FCC Rcd at 531532. Moreover, because Congress recently mandated that   we amend the regulatory fee schedule for television stations, we believe that further evaluation   -of the proposal is necessary in order to determine the proper ratio between fees for radio stations  X4-  >in different markets and to evaluate the impact of this change. See H.R. 3019, H. Rept. 104537.  !28. As a result, for FY 1996, we have decided to adopt the basic fee structure proposed  X-  in our NPRM, which differentiates between licensees based on the class of a station's license.   xThe fees therein are low enough so that they should not be an onerous burden on most licensees,   and our policy is to grant waivers of the fees where our licensees can make a showing of a compelling case of financial hardship. "e ( 0*%%ZZ"Ԍ N29. We agree, however, that there may be inequities in requiring all radio stations of the   same class to pay the same fee without regard to the size of their market, particularly since   stations serving greater populations generally have greater revenues than stations serving smaller   markets. Thus, we believe that the Montana proposal warrants further study and consideration.   It is our intention to consider the Montana proposal, or some modification thereof, for assessment  X-  of the FY 1997 fees. We will be commencing, subsequent to this proceeding, a Notice of Inquiry   in order to develop a more appropriate methodology for assessing AM and FM fees. We invite   interested parties to comment on Montana's proposal and to submit alternative AM and FM fee methodologies for our consideration in the context of that proceeding.  X - 3. Commercial VHF/UHF Television Stations  X - 30. Subsequent to the release of the FY 1996 NPRM, Congress required that we revise   Section 1.1153 of the rules in order to increase the fees for VHF and UHF Television Stations   ylocated in the top 50 markets and to reduce the fees for stations in the 51 to 100 largest markets   and in the remaining markets category. Pub. L. No. 104134. Therefore, as required by   Congress, we will amend Section 1.1153 of our rules to include the specific fees that Congress   [determined should be assessed licensees in the Television Broadcast Service for FY 1996. See Appendix D for a listing of the FY 1996 Television Broadcast fees.  X4- _31. In our NPRM we proposed to rely on Nielsen DMA rankings to determine the   appropriate regulatory fee for television licensees in FY 1996 because Arbitron has ceased  X-  >publication of its Areas of Dominant Influence that we formerly relied upon. See NPRM at   ^para. 27. Southern Broadcast Corporation of Sarasota (Southern), licensee of Station   WWSB(TV), Sarasota, Florida, opposes reliance on Nielsen DMA's because, as calculated by   the DMA, its market rank would change to the 15th largest DMA market from the 153rd ADI   market. As a result, Southern will be subject to a substantially higher fee than it has previously been assessed.  32. We have decided to rely on Nielsen's DMA market rankings, as proposed. As noted   Mabove, current Arbitron data for assessing television regulatory fees is no longer available.  X7-  = Nielsen data is generally accepted throughout the industry and will be updated and published  X -  annually by Warren Publishing in its Television and Cable Factbook. While the change may   jresult in some licensees being assigned to new markets, this is not a basis for rejecting Nielsen   markets. Nielsen markets may, in fact, provide a more accurate reflection of an applicant's   kservice area than do Arbitron markets. We will consider the equities concerning the fees of   klicensees that change markets on a casebycase basis, upon request, and, where a licensee   demonstrates that it does not serve its assigned market, we will consider reducing the assigned  X"-fees to a more equitable level, based upon the area actually served by the licensee.  X#-  Xh$- "h$ 0*%%ZZ(#"Ԍ X- 4.Auxiliary Broadcast Stations  ^33. This fee category includes licensees of Remote Pickup Stations, Aural Broadcast   [Auxiliary Stations, Television Broadcast Auxiliary Stations, and Low Power Auxiliary Stations,   Kauthorized under Part 74 of the Commission's Rules. These stations are generally associated with a particular television or radio broadcast station or cable television system.  X_- ]34. In an attempt to simplify the Fee Schedule, our NPRM considered the feasibility and   equity of combining Auxiliary Broadcast Station fees with the primary fees paid by broadcast   station licensees and cable television operators into a single, consolidated fee. Although a   consolidated fee has certain advantages, there are significant problems with using this approach   and we found that such a fee would likely result in serious inequities since larger commercial   broadcast stations and cable systems in the most profitable markets are more likely to utilize   multiple auxiliary stations. While a consolidated fee would have little impact on stations serving   larger populations, it could result in less profitable stations in smaller markets subsidizing  X -  <regulatory fees for stations serving larger markets. Thus, our NPRM proposed to retain Auxiliary Broadcast Station fees as a separate category in FY 1996.  35. The Society of Broadcast Engineers (SBE) urges reduction or elimination of the   Auxiliary Broadcast Station fee. It contends that frequency coordination and regulation of these   facilities are in large part conducted by volunteers and supported by voluntary contributions from   the industry. In SBE's view, imposition of a regulatory fee on broadcast auxiliary stations could  X-"possibly place the entire program of SBEaffiliated frequency committees in jeopardy."  X- l 36. We have decided to not reduce or eliminate the Auxiliary Broadcast Station fee. We   xcannot conclude that our proposed regulatory fee would adversely impact voluntary coordination   of auxiliary stations. Moreover, the relatively small fee for Auxiliary Broadcast Stations already   takes into account volunteer efforts, including those described by SBE. Accordingly, we will  X|-  retain a separate Auxiliary Broadcast Station fee as proposed in the NPRM. See Appendix F, Paragraph 27.  X7- 5. Intelsat & Inmarsat Signatory  X -  X -  37. In our NPRM, we proposed to establish a Signatory fee category to recover our costs   of regulating the U.S. Signatories to the International Telecommunications Satellite Organization  X-  (Intelsat) and to the International Mobile Satellite Organization (Inmarsat). See FY 1996 NPRM   ?at para. 43. We stated that the new fee was warranted due to the unique role of the U.S.   Signatories in Intelsat's and Inmarsat's structure and our regulatory role with respect to these   entities. The U.S. Signatory to Intelsat is the Communications Satellite Corporation (Comsat),   the entity designated, pursuant to the Communications Satellite Act, as the sole operating entity   to participate in Intelsat in order to construct and operate the space segment of the global"h$ 0*%%ZZ(#"   commercial telecommunications satellite system established under the Interim Agreement and  X-  Special Agreement signed by the Governments on August 20, 1964. See 47 U.S.C.  731. Also,   ypursuant to the Communications Satellite Act, Comsat is solely designated to participate in the  X-  Inmarsat. See 47 U.S.C.  751. Because Comsat is the entity that Congress designated as the  X-U.S. Signatory to both Intelsat and Inmarsat, the fee would apply only to Comsat.   /38. Comsat has opposed our adoption of the Signatory Fee, contending that the proposed   "fee is unlawful and, even if lawful, excessive. GE American Communication, Inc. (GE   -Americom) has filed comments supporting our adoption of the Signatory fee and reply comments responding to certain of Comsat's arguments.  ?39. Comsat believes that the Signatory fee is beyond our authority in light of Congress'  X -  iintention not to assess a fee upon space stations operated by international organizations. See FY  X -  l1995 Report and Order at para. 110. In addition, Comsat argues that we are authorized to   establish new fee categories only in those instances in which there has been a change in our   zregulation or in the law. Comsat also claims that the Signatory fee is prohibited by Article I,   -Section 8, Clause 1 of the United States Constitution as an unauthorized and unconstitutional tax   because it bears no relationship to any specific regulatory benefit that Comsat receives from the   Commission. Instead, Comsat argues, Congress alone conferred upon Comsat its "special  XK-  benefit" of Signatory status.  Finally, Comsat maintains that, even assuming that we have   authority to establish a Signatory fee, the total amount to be recovered by the fee is grossly excessive.  m40. We reject Comsat's contention that the Signatory fee contravenes Congressional   intent reflected in Section 9. In the Conference Report accompanying Section 9, Congress stated with respect to space station fees that  Xthe Committee intends that fees in this category be assessed on operations of U.S.  facilities, consistent with U.S. jurisdiction. Therefore, these fees will only apply  4to space stations directly licensed by the Commission under Title III of the  Communications Act. Fees will not be applied to space stations operated by  international organizations subject to the International Organizations Immunities  X -Act, 22 U.S.C. Section 288 et seq. X Kb yO-  #X\  P6G;P#э See H.R. Rept. No. 213, 103d Cong., 1st Sess. 499 (1993); see also H.R. Rep. No. 102207, 102d Cong., 1st  yOa -  Sess. 26. Both Intelsat and Inmarsat are subject to the International Organizations Immunities Act. See Exec. Order No. 11,996, 42 Fed. Reg. 4331 (1977); Exec. Order No. 12,238, 45 Fed. Reg. 60,877 (1980).     -In contrast to the space stations referred to in the Conference Report, however, the Signatory fee   Kwill not be imposed on Intelsat and Inmarsat, or on their operation of international space stations.   The fee applies only to Comsat, a private, forprofit, U.S. corporation that receives benefits from"  0*%%ZZ"  xits special role in international satellite communications. Moreover, in contrast to Congress'  xKrejection of a fee on Intelsat's and Inmarsat's space stations as inconsistent with U.S. jurisdiction,  xnothing in Section 9 limits our authority to recover our costs of regulating Comsat, a U.S. Corporation.   ^x41. Comsat is also mistaken that the second sentence in subsection 9(b)(3)  p limits our  xauthority to establish new fee categories. Specifically, subsection 9(b)(3) states that "the  xZCommission shall add, delete, or reclassify services in the Schedule to reflect additions, deletions,  x<or changes in the nature of its services as a consequence of Commission rulemaking proceedings  X1- x=or changes in law." 47 U.S.C.  159(b)(3). The subsection provides that we must add new fees  xto the Schedule to reflect changes in the nature of our services. The statement does not purport to limit our statutory authority, and duty, to otherwise modify fees as provided in Section 9.   x42. In that regard, subsection 9(b)(3) requires that we "amend the Schedule of Regulatory  xFees if the Commission determines that the Schedule requires amendment to comply with the  xrequirements of paragraph (1)(A)." Paragraph (1)(A), in turn, requires that we assess and collect  x=regulatory fees to cover the costs of regulatory activities, including international activities, by  x"tak[ing] into account factors that are reasonably related to the benefits provided to the payor of  xzthe fee by the Commission's activities and other factors that the Commission determines are  xnecessary in the public interest." 47 U.S.C.  159(b)(1)(A). Thus, Section 9 both authorizes and  xyrequires amendment of the Schedule when, as here, we determine that such action is necessary  xyto recover our regulatory costs for international activities, taking into account the benefits that we provide the payor and other public interest factors.   x43. Further, we find no merit in Comsat's argument that our proposed Signatory fee  X- xconstitutes an unauthorized and unconstitutional tax. Relying on National Cable Television  X- xAssociation v. United States, (NCTA), Comsat claims that the fee is an unconstitutional tax,  xrather than a fee, because it bears no relationship to any regulatory benefit conferred by the  xCommission on Comsat as a signatory. Comsat also asserts that Congress may not delegate the  xpower to levy a tax. Comsat, however, misstates the law concerning delegations of taxing  XN- xauthority. In Skinner v. MidAmerica Pipe Line Co., the Supreme Court made clear that, even  x=if agency fees are a form of taxation, the delegation of discretionary authority under Congress'  xtaxing power is subject to no constitutional scrutiny greater than applied to other nondelegation  xchallenges. 490 U.S. 212, 224; 109 S.Ct. 1762, 1733 (1989). Thus, so long as the fees in  x[question are within the scope of Congress' lawful delegation of authority in Section 9, they are  xjconstitutional. No requirement exists to establish that all of the administrative costs recovered  xthrough the signatory fee are not a tax in that they "inure directly to the benefit of regulated  X!-parties," rather than to the public generally. Id. at 22324.  X#-  x44. Consistent with the Supreme Court's guidance in Skinner, Congress in Section 9 of  xthe Act declared that the fees are to be assessed in a rulemaking proceeding, based upon our"h$ 0*%%ZZ(#"  x>costs of performing enforcement, policy and rulemaking, international and user information  xactivities, "taking into account" the benefits provided to the payor of the fee by these activities,  xas well as other public interest factors, and that we are to recover our costs only in the aggregate amount annually appropriated by Congress.   x45. We believe that the fee in question fully satisfies the statutory requirements in  Xv- xSection 9. As noted in the NPRM, our review of our Signatory activities disclosed that  X_- x-approximately 14.7% of the costs attributable to space station regulatory oversight ($3,175,850) X_Kb yO-  #X\  P6G;P#Ѝ#X\  P6G;P# Revenue requirements have been adjusted throughout the satellite fee categories as a result of adjustments   to the assessable payment units for some fee categories and the Congressionally imposed fees for VHF and UHF  yOh -television stations. Therefore, the amounts will not match the amounts shown in the NPRM.,  xas determined in Appendix C, is directly related to Intelsat and Inmarsat Signatory activities (5.25  X1- xMFTEsX1Kb yO -  J#X\  P6G;P#э Full Time Equivalent (FTE) employment is the total number of regular straighttime hours (i.e., not including   yovertime or holiday hours) worked or to be worked by current and future employees divided by the number of  yOZ-compensable hours applicable to each fiscal year. Ġ out of a total of 35.7 direct FTEs). As a result, $466,850 (rounded) must be collected  xfrom the Signatories to offset the regulatory costs attributed to them ($3,175,850 X 14.7%).  xDividing this revenue requirement by two (there are Signatories to two separate organizations),  X - xyyields a Signatory fee of $233,425. See Appendix F, Paragraph 37. We also have no doubt that  xComsat benefits significantly from its status as signatory and the regulatory oversight that is  X - xnecessitated by that status.@ Kb yOw-  #X\  P6G;P#э For example, we are currently conducting several proceedings concerning Comsat's authority to provide   services via Intelsat and Inmarsat, its authority to participate in the procurement or leasing of various Intelsat and   Inmarsat space stations, and its authority to participate in certain Intelsat and Inmarsatassociated businesses. There   .also are proceedings pending before us related to whether Comsat has conformed to applicable structural and   Jfinancial separation rules. In addition, we actively participate on an ongoing basis with the Executive Branch in the   ,oversight of Comsat's representations of U.S. policy at the Intelsat and Inmarsat governing boards through the U.S. Government instructional process.  Therefore, taking into account these benefits, we perceive no public  x/interest basis for relieving Comsat of the costs that the Commission incurs in regulating its activities.   x46. Since the Signatory fee will recover our costs attributable to our Signatory oversight,  xwe are able to reduce the space station fee. The new space station fee is computed by reducing  x?the revenue requirement for space stations calculated in Appendix C ($3,175,850) by the  x$466,850 to be collected from signatories and dividing the reduced space station revenue  xrequirement ($2,709,000) by the number of payment units (38 operational space stations). The  X- xresult of these calculations is a new fee of $71,300 (rounded) for each operational space station.Kb yO$-#X\  P6G;P#э This fee is further adjusted in Paragraph 47.  "0*%%ZZ"   nx47. Finally, although we have imposed a Signatory fee in our FY 1996 Schedule of  xRegulatory Fees, we intend in FY 1997 to explore alternative means of recovering these costs.  xWe may, for example, conclude that it is more efficient to recover these regulatory costs through  xincreases in the fees for international bearer circuits. However, before making such changes, we  xwill seek public comment in the rulemaking proceeding to implement the FY 1997 Schedule of Regulatory Fees.  XH- 6.xLow Earth Orbit (LEO) Satellite Systems  X -  }x48. In our NPRM, we proposed for the first time to adopt a fee for Low Earth Orbit  X - x(LEO) Satellite Systems.uX Kb yO| -#X\  P6G;P#э Congress' Schedule of Regulatory Fees contains a fee for LEO systems. However, for FY 1994 and FY 1995, we determined that no LEO systems were operational on the effective date of the fee requirement for these  yO -years. See FY 1995 Report and Order at para. 15.u In developing that fee, we proposed to apportion the total revenue  xrequirement for all space stations between LEO systems and geosynchronous space station  xlicensees. In so doing, we also proposed to preserve the same relative relationship between the  xfees established by the Congress in Section 9(g) of the Act for geosynchronous space stations and  xLEO systems; i.e., an approximate 38.5% differential between the fee for LEO systems and the  xfee for geosynchronous space stations. 47 U.S.C  159(g). After reducing the space station  xrevenue requirement by the amount of the Signatory fees, the resultant LEO fee is $97,725  Xb-(rounded) and the new geosynchronous fee is $70,575 (rounded).G bKb yO-  #]\  PCP#э The FY 1996 adjusted revenue requirement for all space stations has been determined to be $2,709,000. See  yO-  hParagraph 46. For FY 1996, there is only one LEO system, and there are 37 geosynchronous (including DBS) space   stations subject to fee payment. The formula for computing the new LEO and geosynchronous space station fees is as follows:  (a) We have assigned "L" to represent the LEO system fee and "G" to represent the geosynchronous space station fee. (b) The relationship between the LEO fee and the geosynchronous fee may be expressed as:   L = 1.385G (i.e., the LEO fee needs to be 38.5% higher than the corresponding geosynchronous space station fee). (c) The total revenue to be collected from LEOs and geosynchronous space stations may be expressed as:   L + 37G = $2,709,000 (i.e., the one existing LEO system and 37 geosynchronous space stations together must account for $2,709,000 in revenues). ` ` (d) Substituting the value of "L" in (b) above into the formula in (c) above yields the following: "$0*%%%"Ԍ1.385G + 37G = $2,709,000 38.385G = $2,709,000 G = $70,574 (e) Therefore, "G" (Geosynchronous space station fee) is $70,575 (rounded). (f) Substituting the computed value of "G" in (d) above into the formula in (c) above yields the following: L + 37(70,575) = 2,709,000 L + 2,611,275 = 2,709,000 L = 97,725  yO -(g) Therefore, "L" (LEO fee) is $97,725.VV G "b0*%%ZZ"Ԍ  0ԙx49. Motorola requests that we defer imposing any regulatory fee on a LEO system until  X- xan entire planned constellation has been launched and is fully operational. In our FY 1994  X- xyReport and Order, we decided that a LEO system would become subject to a fee payment when  x[its first satellite became operational upon certification by its licensee that the operations of the  xfirst satellite in its system conforms to the terms and conditions of its authorization pursuant to  x47 C.F.R.  25.120(d). Nothing in Motorola's comments persuades us otherwise. It may take  xseveral years for an entire constellation to be completed. However, a system is capable of  x>providing commercial customer services prior to full deployment of all authorized satellites.  xThus, because our regulatory oversight of a LEO system begins when its initial satellite is  x[launched and placed in operation, we will require that a LEO system licensee submit a fee once it certifies to the operation of its initial satellite pursuant to Section 25.120(d) of our rules.  X - 7.xMinimum Fee Payment Liability " X -  "x50. As proposed in our NPRM at para. 57, we will adopt a minimum fee payment policy  xin order to minimize the cost of our regulatory fee program because our collection and  xverification costs for small payments are considerably more than our revenues from these  xcollections. A regulatee will be relieved of its fee payment requirement if its total fee due,  xincluding all categories of fees for which payment is due by the entity, amounts to less than $10.  xWe have reconsidered our proposal to submit the Form FCC 159 and have determined that we  x will not require those entities qualifying for the minimum fee liability exemption to file Form  x=FCC 159. Those qualifying for exemption, however, are advised that as part of our verification  xprogram, it may be necessary for them to provide proof of exemption should we choose to audit their fee liability.  X- F.xAdditional Regulatory Fee Issues "0*%%ZZ"Ԍ X-ԙ 1.xCable Television Systems   lx51. The National Cable Television Association (NCTA) has filed comments objecting to  xour proposed fee for cable television systems. NCTA asserts that we failed to discuss in our  X- xNPRM the basis for our proposed fee and that we did not demonstrate that the fee is reasonably  x=related to our costs of regulating cable television. NCTA also believes that with deregulation,  xthe fee for cable television should decrease rather than increase, particularly in light of our  x"social contract" resolution of rate complaints, ongoing deregulation of small cable systems and  x-its expectation of further rate deregulation. Further, NCTA contends that the cable television per  xsubscriber fee should not be set as high relative to the proposed fee for Wireless Cable (MMDS) licensees.  X -  Nx52. In our NPRM, we discussed in detail our methodology for developing our proposed  X - xfees for FY 1996, including our cable television fees. See NPRM at Paras. 812 and Appendix  xC. Therein, we set forth both our steps used to develop the fees and our mathematical  x[calculations underlying the development of specific fee proposals. We also explained that, for  xvarious reasons, our cost accounting system was not yet able to provide reliable information to  Xy- x]assist us in developing our fees. See NPRM at paras. 1317. Thus, for FY 1996, we were  xLunable to compare the individual fee category revenues with actual data accumulated from our new cost accounting system.   x53. Even though we were not able to use our new cost accounting system, we believe  xthe fees for cable systems are reasonably related to our costs attributable to cable television  X- xregulation which consist of several different categories of costs. Direct staff costs are those costs  xattributable to staff assigned to the Cable Services Bureau engaged in activities described in  X- xySection 9(a)(1) of the Act.  Indirect or overhead support staff costs are those costs attributable  xLto staff assigned to other Bureaus and Offices within the Commission who support direct staff  xworking in the Cable Services Bureau. Support staff accounts for approximately 40% of staff  X|- xcosts attributable to cable television oversight. Other obligations costs are nonpersonnel costs  xsuch as office space rental, equipment, contractual services, supplies, etc. which are attributable to the Cable Services Bureau. In total, these costs have not changed significantly from FY 1995.   x54. Additionally, we must recover from our regulatory fees other costs that cannot be  x-specifically attributed to a particular class of licensee. These costs, in the interest of fairness, are  xMallocated on a prorata basis to all fee payors. For example, Congress has exempted several  xZclasses of licensees from regulatory fees, including amateur radio licensees, noncommercial radio  xand television stations, nonprofit entities and public safety licensees. Although these entities are  xexempt from payment of a fee, Congress requires that our regulatory costs associated with these  x>entities be borne by those regulatees not exempt from the fee requirement. Additionally, in  xmaking the mandatory adjustments to the fee amounts required by Section 9(b)(2)(a), an overall  xrevenue shortfall occurs due to changes in the number of payment units from FY 1995 to FY"h$0*%%ZZ(#"  x?1996. This shortfall (over $1 million) is allocated on a pro rata basis to all fee categories, including cable television system operators.   lx55. Also, we disagree with NCTA's contention that our regulatory costs related to cable  xtelevision systems should be lower at this stage of the industry's deregulation. Based on the  x<foregoing, our costs attributable to the regulatory categories for which we are required to recover  xxour costs through regulatory fees are actually much higher than they may appear due to overhead  xMand indirect costs. Second, although we are deregulating the cable television industry, our  xregulatory costs related to cable television have not diminished for FY 1996. Since the  xTelecommunications Act of 1996 became law, we have commenced several important rulemaking  xproceedings to further our cable deregulatory policies, requiring significant personnel resources.  xzIn addition, because of the large volume of work required of the Commission under the 1996  xAct, the Cable Bureau has taken on significant new responsibilities in a number of areas related  xMto the provision of video programming services. For example, the Bureau is responsible for  xdeveloping and enforcing rules concerning open video systems pursuant to new section 653 of  x[the Communications Act, overtheair reception devices under section 207 of the 1996 Act and  xtelecommunications navigation devices under new section 629. And the Bureau has been  xassigned the responsibility to implement the amendments to section 224 (Regulation of Pole  xAttachments) of the Communications Act of 1934, as well as new section 713 of the  xyCommunications Act concerning video programming accessibility. These proceedings (whose  x<costs must be offset by regulatory fees) are in addition to our ongoing oversight responsibilities  xinvolving rate complaints, program access complaints, informational services, and adjudicatory  xproceedings work, which must continue even as we implement the Telecommunications Act.  xThus, while we agree with NCTA that our "social contracts" with cable operators and the  xderegulation of small cable operators and similar policy initiatives reduce certain costs of  xregulation, we cannot conclude that our overall costs of cable regulation or those additional  xregulatory costs that we must recover from cable operators justify a reduction in the cable television fee for FY 1996.   Nx56. Finally, we reject NCTA's complaint that the cable subscriber fee is too high relative  xto the regulatory fees paid by Wireless Cable (MMDS) licensees. NCTA estimates that MMDS  x=fees would be $.20 per subscriber if its fee were assessed on a per subscriber basis rather than  xa call sign basis. As NCTA is aware, cable and MMDS are subject to substantially different  xregulatory oversight programs. As a consequence of our oversight of these services, our  xestimated total cost to regulate the cable television industry in FY 1996 is $31 million as opposed  xto an estimated total cost to regulate MMDS entities in FY 1996 of $158,000. In view of these  xyestimated costs, in large part due to their different regulatory regimes, we see no unreasonable  xdisparity between the revenue requirement that we have assigned to the two services. NCTA  xshould note that MMDS regulatory fees have increased nearly twice as much as cable television  X#-fees since Congress established its Schedule of Regulatory Fees in 1993. See 47 U.S.C. 159(g). "h$0*%%ZZ(#"Ԍ  x57. In summary, we expect that our deregulatory activities will result in reduced  x/oversight costs in future years, but those costs have not and will not diminish for FY 1996. Thus, for FY 1996, we will adopt the cable television fee shown in Appendix D.  X- 2.xInternational Bearer Circuits   0x58. International Bearer Circuit fees are assessed upon facilitiesbased common carriers  xactivating a circuit in any transmission facility for the provision of service to an end user or a  XH- xyresale carrier. In our NPRM, we proposed a fee of $ 4.00 per bearer circuit upon facilitiesbased  xcommon carriers activating a circuit in any transmission facility for the provision of service to an end user or a resale carrier.   x59. Comsat contends that our proposed fee for international bearer circuits is  xapproximately twice the appropriate fee amount necessary to recover the revenue requirement that  x.we assigned to this fee category. Comsat states that the revenue requirement associated with  x-bearer circuits has increased significantly in one year without any explanation. In Comsat's view,  xthe increase in the revenue requirement for bearer circuits arises from underforecasting payment  xunits in FY 1995 and the use of actual payment units as the basis for our FY 1996 forecast.  xComsat states that, since there is no evidence that the costs which the bearer circuit fee is  xdesigned to recover have increased, our proposed retention of the $4.00 per circuit fee, based on our underestimate of bearer circuit payment units for FY 1995, is unjustified.  X-  x60. The Commission, in its FY 1995 NPRM, estimated that there were 62,000  xinternational bearer circuits susceptible to regulatory fee payment (based on estimated counts as  xof December 1994). As a result of comments received from interested parties in that rulemaking,  x1we more than doubled (to 125,000) the number of estimated circuits applicable to our  X- xdevelopment of FY 1995 regulatory fees in our FY 1995 Report and Order. Based on actual  xnumbers of bearer circuits for which fee payments were made in FY 1995, we proposed in our  X|- xFY 1996 NPRM a total of 228,000 circuits for FY 1996 (based on estimated counts as of December 31, 1995).   @x61. The Commission knows of no reliable source of bearer circuit counts. We do not  xmaintain this data at the Commission nor do we know of any central repository of this  xinformation. As such, we must rely on industry estimates or actual prior year payment  xinformation in order to determine the number of payment units for any particular fiscal year. The  x[payment unit estimate for FY 1995 was based on the best information available to us and relied  xupon information provided by regulatees. The same is true for FY 1996. Although Comsat  xquestions our estimate of payment units for FY 1996, it did not provide its own estimate of  x.circuits, nor did any other commentor. As such, we believe our FY 1996 payment unit estimate based on actual circuits paid for in FY 1995 is appropriate. "h$0*%%ZZ(#"Ԍ  ?x62. Comsat's concerns relative to the total revenues being collected from bearer circuits  x<are not persuasive. The methodology for calculating regulatory fees established by the Congress  x[requires that prior year fee amounts be proportionally adjusted in order to ensure that the total  xamount to be collected is apportioned fairly among our regulatees. The Congress also provided  xthat further adjustments to the fees ("permitted amendments") should be supported by costs  xderived from our cost accounting system. As noted elsewhere in this item, we were unable to  xutilize cost data from our new cost accounting system this year and were therefore unable to  x/determine the total costs attributable to bearer circuit regulation and to compare this to our  xestimate of revenue requirements. This data should be available for development of our FY 1997  xregulatory fees. In the absence of reliable cost accounting information, we performed an informal  xreview of bearer circuit costs and found that our costs may significantly exceed the revenue  xrequirement for bearer circuits established in this rulemaking. Estimated staff resources devoted  x\to bearer circuit oversight also seem to support a higher revenue requirement. As such, we  xibelieve that our revenue requirement and estimated payment units are based on the most accurate information available, and we will utilize these estimates for FY 1996.   !x63. In addition, Comsat states that our estimated unit count for bearer circuits may also  x[be low because we failed to consider that we recently authorized domestic satellites to provide  Xb- xLinternational bearer circuits. See FCC 9614 (released Jan. 22, 1996), summary published 61 FR.  xl9946 (Mar 12, 1996), 11 FCC Rcd 2429, (DISCOI Order). Also, Comsat contends that our  xZdefinition of bearer circuits should include all bearer circuits, not only those provided by common  xcarriers, because the statutory fee schedule contemplates that the bearer circuit fee will be collected from common and private carriers alike.   lx64. Nothing in Section 9 of our implementing rules limits payment of international bearer  xcircuit fees to international common carriers. Therefore, any common carrier, including domestic  X- xsatellite licensees providing international bearer circuits, as described in our FY 1995 Report and  X- xOrder at paras. 115 through 117, is subject to the bearer circuit fee. However, because our  X|- x{DISCOI Order did not become effective until after the calculation date for bearer circuits  x(October 1, 1995), domestic satellite licensees were not authorized to provide international bearer  xcircuits at the time for calculating the bearer circuit regulatory fee, and, therefore, we have not  xjincluded bearer circuits provided by domestic satellite carriers in our estimates of bearer circuit payment units for FY 1996.   ]x65. Finally, Comsat contends that Section 9 provides for the payment of a bearer circuit  X- x=fee by private carriers. However, our NPRM, as well as prior year NPRMs, did not propose to  xcollect international bearer circuit fees from other than common carriers. We do not have any  x>information in the record of this proceeding on which to calculate a fee applicable to bearer  xcircuits provided directly to end users over noncommon carrier international facilities. As a  X#- xresult, we have no other viable alternative but to adopt the fee as proposed in the NPRM.  xLHowever, we believe that Comsat's proposal warrants further consideration. It is our intention"h$0*%%ZZ(#"  xto consider Comsat's proposal, or some modification thereof, for assessment of the FY 1997 fees.  X-  X- 3.xNational Exchange Carrier Association (NECA)  X-  x66. NECA has requested by comments in this proceeding that we amend our rules  xgoverning confidentiality of information NECA receives in its role as administrator of the  xTelecommunications Relay Service (TRS) Fund to permit it to use TRS data for the sole  xNadditional purpose of aggregating regulatory fees from local exchange carriers (LECs) in  XH- xaccordance with our requirements for assessment of their fees.HKb yO -  #X\  P6G;P#э NECA is a notforprofit, membership association, consisting of all local exchange carriers in the United   States, Puerto Rico, the U.S. Virgin Islands and Micronesia. NECA is responsible, under Subpart G of our Rules,   for preparation of access charge tariffs on behalf of all local telephone companies that do not file separate tariffs,   hcollection and distribution of access charge revenues, administration of the Universal Service and Lifeline Assistance  yO -programs, and the administration of the TRS fund. See 47 C.F.R.  69.603 and  64.604.  See 47 C.F.R.  64.604(c)(4)(iii)(I). There were no other comments filed addressing NECA's proposal.   _x67. Currently, our rules prohibit NECA from using the TRS data it collects for any  X - xpurpose other than administration of the TRS fund. See 47 C.F.R.  64.604(c)(4)(iii)(I). Because  xour assessment of regulatory fees from LECs and other common carriers is modeled in large part  xupon the methodology that we adopted for contributions by these carriers to the TRS fund, we  xbelieve that a specific limited modification of the rule governing NECA's use of TRS information  xwould increase NECA's efficiency in determining the appropriate regulatory fee due from any  xcarrier that avails itself of NECA's services in paying its regulatory fee. Thus, we will amend  x?our rules to permit NECA to use TRS information for determining a carrier's fee. Section  x!64.604(c)(4)(iii)(i) will be amended to state that NECA may also use TRS information "to  x[calculate the regulatory fees of interstate common carriers and to aggregate their fee payments for submission to the Commission."  X- 4.xMobile Satellite Service (MSS)  X-  x68. Motorola Satellite Communications, Inc's. ("Motorola") has requested clarification  xthat handheld transmit and transmit/receive units used in the mobile satellite service (MSS) are  xwithin the category of MSS "blanket" earth station licenses subject to a single fee for all  xauthorized units on one license. We have incorporated language in Appendix F that MSS  x"blanket" earth station licenses include handheld transmit and transmit/receive units as well as vehiclebased transceivers and are, therefore, subject to a fee payment.  X -  G.xProcedures for Payment of Regulatory Fees  69. Section 9(f) requires that we permit "payment by installments in the case of fees in"x0*%%ZZ"  xlarge amounts, and in the case of small amounts, shall require the payment of the fee in advance  X- xfor a number of years not to exceed the term of the license held by the payor." See 47 U.S.C.  x 159(f)(1). Consistent with the section, we are again establishing three categories of fee  xpayments, based upon the category of service for which the fee payment is due and the amount  X- xof the fee. In general, we are retaining the procedures that we have established for the payment of regulatory fees.  X_- 1.xAnnual Payments of Standard Fees   x70. Standard fees are those regulatory fees that are payable in full on an annual basis.  xPayers of standard fees are not required to make advance payments for their full license term and  xare not eligible for installment payments. All standard fees are payable in full on the date we establish for payment of fees in their regulatory fee category.  X -  x71. The payment due date for standard fees will be announced by Public Notice in the  xyFederal Register following Congressional notification. For licensees, permittees and holders of  xvarious authorizations in the Common Carrier, Mass Media, International, and Cable Television  Xy- x<Services whose fees are not based on a subscriber, unit, or circuit count, liability for fee payment  Xb- xis established for any authorization held as of October 1, 1995, the first day of FY 1996.  XK- xHowever, the licensee, permittee, or other regulatee at the time a fee payment is due is the individual or entity legally liable for the fee payment.   1x72. In the case of regulatees whose fees are based upon a subscriber, unit, or circuit  X- xcount, the number of a regulatee's subscribers or circuits on December 31, 1995, will be used  X- xto calculate the fee payment.|@Kb yOQ- x#X\  P6G;P#Ѝ#X\  P6G;P# Cable systems have been calculating their regulatory fees using subscriber data submitted to the Commission  xiin their Annual Report of Cable Television Systems (Form FCC 325). Consistent with this methodology, we ask  xKthat cable system operators compute their subscribers as follows: Number of single family dwellings + number of  xindividual households in multiple dwelling unit (apartments, condominiums, mobile home parks, etc.) paying at the  xbasic subscriber rate + bulk rate customers + courtesy and free service. Note: BulkRate Customers = Total annual  xbulkrate charge divided by basic annual subscription rate for individual households. Accordingly, the number of  xcable subscribers will not necessarily be based on a count as of December 31, 1995, but rather on "a typical day in  yO-the last full week" of December 1995.#x6X@`7pX@#| As noted in the preceding paragraph, the licensee, permittee, or  X-other regulatee at the time a fee payment is due is legally liable for the fee payment.  X- 2.xInstallment Payments for Large Fees   x73. There will be insufficient time following the effective date of our FY 1996 Schedule  xof Regulatory Fees to permit implementation of an installment payment program for large fees.  X7-  >All entities who would otherwise have been eligible for installments, i.e., whose fee liability  X -  exceeds our previously established level of $12,000, must submit their fee payments on the date" 0*%%ZZ>" we will announce by Public Notice in the Federal Register.  X- 3.xAdvance Payments of Small Fees   ]x74. As we have in the past, we are treating regulatory fee payments by certain licensees  xjas small fees subject to advance payments. Advance payments will be required from licensees  Xv- xof those services that have been required to make advance payments in the past.vKb yO- x#X\  P6G;P#Ѝ#X\  P6G;P# Applicants for new, renewal and reinstatement licenses in the following services are required to pay their  xregulatory fees in advance: Land Mobile Services, Microwave services, Interactive Video Data Services (IVDS),  xMarine (Ship) Service, Marine (Coast) Service, Private Land Mobile (Other) Services, Aviation (Aircraft) Service,  xhAviation (Ground) Service, General Mobile Radio Service (GMRS). In addition, applicants for Amateur Radio vanity  yO -call signs are required to submit an advance payment. #x6X@`7pX@# Payers of  x\advance fees are required to submit the entire regulatory fee for the full term of their license  x.when filing their initial, renewal or reinstatement application. Regulatees subject to a payment  xof small fees shall pay the amount due for the current fiscal year multiplied by the number of  x years in the term of their requested license. In the event that the regulatory fee is adjusted  xfollowing payment of the fee, the new fee will not become effective until the expiration of the  xlicensing term. Thus, payment for the full license term would be made based upon the regulatory  X - xjfee applicable at the time the application is filed. The effective date for the payment of all small  X - xfees pursuant to the FY 1996 Schedule will be announced by Public Notice in the Federal Register following Congressional notification.  X-  Xy- H.xSchedule of Regulatory Fees   ~x75. The Commission's Schedule of Regulatory Fees for FY 1996 is contained in  X4-Appendix D of this Report and Order.  X- IV.xOrdering Clause   x76. Accordingly, it is ordered that the rule changes as specified herein are adopted. It  xis further ordered that the rule changes made herein will become effective 60 days from the date  x[of publication in the Federal Register, except that changes to the Schedule of Regulatory Fees,  xmade pursuant to Section 9(b)(3) of the Communications Act, and incorporating regulatory fees  xfor CMRS Mobile Services, CMRS OneWay Paging, Geosynchronous Space Stations, Intelsat  xjand Inmarsat Signatories, and Low Earth Orbit Satellite Systems, will become effective 90 days  XN- xfrom notification to Congress. However, it should be noted that for the CMRS Mobile Services,  xlicensees who did not elect to convert their stations from private to commercial status prior to  xDecember 31, 1995, will not be subject to payment of a CMRS Mobile Services regulatory fee  xfor FY 1996. Therefore, for stations licensed as commercial on or before the date of  xdetermination of fee liability the fee will become effective 60 days from the date of publication"x0*%%ZZ"  X- xin the  pFedrra p Federal p  pl  Register. See para. 1722 supra. As noted above, the date payment of the regulatory fee is due will be announced by Public Notice in the Federal Register.  X- V.xAuthority and Further Information   ^x77. Authority for this proceeding is contained in Sections 4(i) and (j), 9, and 303(r) of the Communications Act of 1934, as amended, 47 U.S.C.  154(1) and (j) and 159 and 303(r).   x78. Further information about this proceeding may be obtained by contacting the Fees Hotline at (202) 4180192.  X -   px` `  FEDERAL COMMUNICATIONS COMMISSION x` `  hh William F. Caton x` `  hhActing Secretary  X- List of Subjects in 47 CFR Part 1  X- xo Administrative practice and procedure, communication common carriers, radio, telecommunications, television. "0*%%ZZ"  X-`(#  Appendix A  X-  Final Regulatory Flexibility Analysis ĐTP  X- Final Analysis of the Report and Order  Xv-   2x1. As required by Section 603 of the Regulatory Flexibility Act, 5 U.S.C.  603, an  XH- xmInitial Regulatory Flexibility Analysis (IRFA) was provided in the Notice of Proposed  X1- xRulemaking (NPRM). The Commission sought written public comments on the proposals in the  X -NPRM, including the IRFA.  X -  Qx2. Need for and Objective of the Report and Order: Congress has directed the  xCommission to collect $126,400,000 in regulatory fees for fiscal year (FY) 1996. The  xyCommission, pursuant to 47 U.S.C.  159, is modifying its Schedule of Regulatory Fees in order to comply with the Congressional directive.  Xy-  x3. Summary of Significant Issues Raised by the Public in response to the IRFA: No comments were submitted in response to the IRFA.  X4-  ]x4. Description and Estimate of Number of Small Businesses to Which the Modifications  X- xof the Schedule of Fees Will Apply: The Regulatory Flexibility Act generally defines the term  x"small business" as having the same meaning as the term "small business concern" under the  xSmall Business Act, 15 U.S.C. 632. A small business concern is one which (1) is independently  xowned and operated; (2) is not dominant in its field of operations; and satisfies additional criteria  X- xestablished by the Small Business Administration (SBA). Id. According to the SBA's  xregulations, entities engaged in the provision of communications services may have maximum  xrevenues of $11 million in order to qualify as a small business concern. 13 C.F.R. 121.201.  xTherefore, this standard also applies in determining whether an entity is a small business for purposes of the Regulatory Flexibility Act.  X7-  0x5. The Report and Order creates a Commercial Mobile Radio Services (CMRS) category  xof fees which replaces the Cellular/Public Mobile category in our FY 1995 Schedule of  x<Regulatory Fees. Creation of the new category does not affect any fees payable by licensees nor  x|the manner in which these fees are paid. Cellular and Public Mobile Service licensees  xrepresenting an estimated 30 million assessable units will continue to pay an annual fee as they  x/have in the past. Business Radio, Special Mobile Radio Services and 220222 Land Mobile  xSystems, which are regulated under Part 90 of the Rules, and Public Coast Stations, which are  xregulated under Part 80, currently pay small fees in advance for the full period of their license  xterms, when filing their initial, reinstatement or renewal application. Certain of these licensees  xmay now elect to become CMRS licensees. However, they are not required to make that choice"h$0*%%ZZ(#"  x.before August 10, 1996. When and if they do, those licensees which have converted from the  xLPrivate Mobile Radio Services (PMRS) to CMRS will be required to pay annual regulatory fees  xpredicated on the number of units they have in service. Based on survey responses from  xlicensees, we estimate that roughly 120,000 stations will be eligible for conversion from PMRS  x=to CMRS. Although we know that many entities hold licenses for multiple stations and not all  xlicensees are small entities, we estimate the number of small entities that will be affected in the  xfuture to be approximately 20,000. However, because these conversions will not occur until the  xend of FY 1996 and were not effective on our established date for fee liability, no annual fee is being imposed on them for FY 1996.   {x6. With certain exceptions not relevant here, the Commission's Regulatory Fee Schedule  xapplies to all Commission licensee and regulatees. The only other changes in the fee schedule,  xconsist of adjustments in the assessments for various entities necessitated by the Congressionally  xmandated increase in the amount of fees to be recovered and new fees for Low Earth Orbit  xySatellite Systems, and Intelsat and Inmarsat Signatory Fees. There is only one Low Earth Orbit  xSystem, and Comsat is the sole Intelsat and Inmarsat Signatory. They are dominant carriers.  xThus, we certify that these new fees are not subject to the Regulatory Flexibility Act of 1980,  x\as amended, because they do not apply to small entities as defined by Section 601(3) of the  xRegulatory Flexibility Act. We further certify that the changes in the amounts of the other  x.regulatory fees to be collected are not subject to the Act because they are relatively small and  xnot likely to have a significant economic impact on a substantial number of small entities.  xMoreover, the Commission's policy is to waive the regulatory fee for licensees which can  xlestablish that payment of the regulatory fees would create a compelling case of financial hardship.  X-  3x7. Description of Projected Reporting, Record Keeping and Other Compliance  X- xRequirements: Compliance with the fee schedule requires CMRS licensees to tabulate the  xnumber of units they have in service, complete and file a form FCC 159, and pay an annual  xregulatory fee based on the number of units in service. Licensees ordinarily will keep a list of  xythe number of units they have in service as part of their normal business practices. No outside  xprofessional skills are required to complete the form FCC 159, and it can be completed by the  x.employees responsible for an entity's business records. The Commission estimates that it will  xtake each licensee about 515 minutes to fill in and file a form FCC 159 after computing the  xnumber of units subject to the fee. As an option, licensees are permitted to file electronically or  xon computer diskette to ease the burden of filing information which would require multiple forms  xzFCC 159. Although not mandatory, the latter may require additional professional skills. For  xCellular and Public Mobile Services licensees there is no change to these requirements.  xLicensees who paid small fees in advance supplied fee information as part of their application  xMand did not use form FCC 159. When and if they convert to CMRS, they must use the form  xkFCC 159, but the impact would be minimal since the basic information is the same as was on the application form."h$0*%%ZZ(#"Ԍ X-  nԙx8. Minimizing the Impact on Small Entities and Consistent with Stated Objectives:  xzAlthough no comments were submitted on the IRFA, we have amended our procedures in a  xkmanner calculated to minimize the impact on small entities. The fee schedule will assess the  xfees to be paid by those who choose to convert from PMRS to CMRS in the future, and require  xthat the fees be paid on an annual basis. These new CMRS licensees will also be required to  xmake annual fee payments, since single advance payments would no longer be practicable  x.because of fluctuations in the numbers of units a licensee may have in service over the length  xNof its license term. Additionally, the economic burden of annual fee payments would be  xsubstantially less than would be the burden of requiring advance payment of larger fees.  x.Moreover, the conversion is voluntary, and any licensee can avoid the burden by remaining a  xprivate carrier. In addition, because the conversion of existing stations will not take effect until  xMAugust 10, 1996, licensees who have not converted will be exempt from the fee for FY 1996.  xjFinally, in order to ease the burden on small entities, licensees with fee obligations of less than $10 will be exempt from the fees." 0*%%ZZm " #Xj\  P6G;XP#`K(#Appendix B  b<T  b<n$SOURCES OF PAYMENT UNIT ESTIMATES FOR FY 1996 ĐTP  aE 9!# 9 #MP6X@`7 Ё@## G\  P6G; CP#In order to calculate individual service fees for FY 1996, we adjusted FY 1995 payment units for each service to more accurately reflect expected FY 1996  9!$payment liabilities. We obtained our updated estimates through a variety of means. For example, we used Commission licensee data bases, actual prior year  9!6$payment records and industry and trade association projections when available. We tried to obtain verification for these estimates from multiple sources and,  9! $in all cases, we compared FY 1996 estimates with actual FY 1995 payment units to ensure that our revised estimates were reasonable. Where it made sense,  9!$we adjusted and/or rounded our final estimates to take into consideration the fact that certain variables that impact on the number of payment units yet cannot  9!%be estimated exactly. These include an unknown number of waivers and/or exemptions that may occur in FY 1996 and the fact that, in many services, the number  9!$of actual licensees or station operators fluctuates from time to time due to economic, technical or other reasons. Therefore, when we note, for example, that our  aEg  9!#estimated FY 1996 payment units are based on FY 1995 actual payment units, it does not necessarily mean that our FY 1996 projection is exactly the same number as FY 1995. It means that we have either rounded the FY 1995 number or adjusted it slightly to account for these variables.  9!  9X  O ddx !ddx t  O  N  Y "jFEE CATEGORYM Y"G+SOURCES OF PAYMENT UNIT ESTIMATESN     Y   aE # MP6X@`7 Ё@## G\  P6G; CP#Land Mobile (All), Microwave, IVDS, Marine (Ship & Coast), Aviation (Aircraft & Ground), GMRS, Amateur Vanity Call Signs, Domestic Public Fixed m Based on Wireless Telecommunications Bureau (WTB) projections of new applications and renewals taking into consideration existing Commission licensee data bases. Aviation (Aircraft) and Marine (Ship) estimates have been adjusted to take into consideration proposals to license portions of these services on a voluntary basis.  z M  v  CMRS Mobile Services (incl. Cellular/Public Mobile Radio Services and Two Way Paging Services)v Based on actual FY 1995 payment units adjusted to take into consideration industry estimates of growth between FY 1995 and FY 1996 and Wireless Telecommunications Bureau projections of new applications and average number of mobile units associated with each application. z . m v,  CMRS One Way Paging Services, Based on industry estimates of the number of pager units in operation. . .  ,,  AM/FM Radio StationsC, Based on actual FY 1995 payment units. . .  ,,  UHF/VHF Television Stationsq, Based on actual FY 1995 payment units.. . C ,,  AM/FM/TV Construction Permits, Based on actual FY 1995 payment units. . . q ,,  LPTV, Translators and Boosters, Based on actual FY 1995 payment units.. .  ,,  Auxiliaries, Based on actual FY 1995 payment units.. .  ,,  MDS/MMDS), Based on actual FY 1995 payment units.. .  ,,  Cable Antenna Relay System (CARS)W, Based on actual FY 1995 payment units.. . ) ,,  Cable Television System Subscribers, Based on Cable Services Bureau and industry estimates of subscribership. . z W ,v  IXCs/LECs,CAPs, Other Service Providers, Based on actual FY 1995 interstate revenues associated with contributions to the Telecommunications Relay System (TRS) Fund adjusted to take into consideration FY 1996 revenue growth in this industry as estimated by the Common Carrier Bureau.z .  v,  Earth Stations-!, Based on actual FY 1995 payment units.. .  ,,  Space Stations & LEOs[", Based on International Bureau licensee data bases.. . -! ,,  International Bearer Circuits#, Based on actual FY 1995 payment units..  [" ,  International HF Broadcast Stations, International Public Fixed Radio Service% Based on actual FY 1995 payment units."$0*%%ZZ#d#" # X-  # Xj\  P6G;XP# Appendix D Đ(#*X  n,iOe#G6X@`7&@# FY 1996 SCHEDULE OF REGULATORY FEES #x6X@`7pX@#ѐV*X  ?<XUX(# U J !ddx t   Addx p J   #    K0<>b  u YZ #pw7#Fee Category#:fpw7):#ѐ>bK V  V0<Y Annual JRegulatory  V:<cs!FeeĐq8"@ F  g  Land Mobile (per license) (220222 Mhz, above 470 Mhz, Base Station and  M -SMRS) (47 CFR Part 90)` x x Ƭx d g"m"X` hp x (#%'0*,.8135@8:@@CEGHJLNPQS7F g   gw   M -Microwave (per license) (47 CFR Part 101)hwƬ w"m"7g g d  Interactive Video Data Service (per license) (47 CFR Part 95)2w"m"`h !p"$ 'x)+(.0205798<>@@CEGHJLNPQSX` hp x (#%'0*,.8135@8:@@CEGHJLNPQS6 +"[6 +"@!`h !p"$ 'x)+(.0205798<>@@CEGHJLNPQS`h !p"$ 'x)+(.0205798<>@@CEGHJLNPQS7 P   +Y   H -Microwave (per license) (47 CFR Part 101)((6v(o Y"6o Y"[6o Y"@!7P    Y+  Interactive Video Data Service (per license) (47 CFR Part 95)+"`h !p"$ 'x)+(.0205798<>@@CEGHJLNPQSX` hp x (#%'0*,.8135@8: yO-#X\  P6G;P#э This category only applies to licensees of shareduse private 220222 MHz and 470 MHz and above in the Specialized Mobile Radio (SMR) service who have elected not to change to the Commercial Mobile Radio Service (CMRS). Those who have elected to change to the CMRS are referred to paragraph 14 of this Appendix. For FY 1996, Land Mobile licensees will pay a $7 annual regulatory fee per license,  Ypayable for an entire five or ten year license term at the time of application for a new, renewal or  X1- Yreinstatement license.,1> yO-#X\  P6G;P#э Although this fee category includes licenses with ten year terms, the estimated volume of ten year license applications in FY 1996 is less than one tenth of one percent and, therefore, is statistically insignificant. , The total regulatory fee due is either $35 for a license with a five year term or $70 for a license with a 10 year term.  X - '0''i5. Microwave Services: These services include private microwave systems and private  Ycarrier systems authorized under Part 101 of the Commission's Rules to provide telecommunications  Y-services between fixed points on a high quality channel of communications. Microwave systems  Yare often used to relay data and to control railroad, pipeline and utility equipment. For FY 1996,  YKMicrowave licensees will pay a $7 annual regulatory fee per license, payable for an entire ten year  Y>license term at the time of application for a new, renewal or reinstatement license. The total regulatory fee due is $70 for the ten year license term.  X4- '''i6. Interactive Video Data Service (IVDS): The IVDS is a twoway pointtomultipoint  Yradio service allocated high quality channels of communications and authorized under Part 95 of  Ythe Commission's Rules. The IVDS provides information, products and services, and also the  Y<capability to obtain responses from subscribers in a specific service area. The IVDS is offered on  X- Ya private carrier basis. For FY 1996, IVDS licensees will pay a $7 annual regulatory fee per  Yylicense, payable for an entire five year license term at the time of application for a new, renewal,  Yor reinstatement license. The total regulatory fee due is $35 for the five year term of the license.  X-  X|-b.''iShared Use Services  XN- '''i7. Marine (Ship) Service: This service is a shipboard radio service authorized under Part  Y80 of the Commission's Rules to provide telecommunications between watercraft or between  Ywatercraft and shorebased stations. Radio installations are required by domestic and international  Yilaw for large passenger or cargo vessels. Radio equipment may be voluntarily installed on smaller  Y,vessels, such as recreational boats. The recently enacted Telecommunications Act of 1996 gave the  YiCommission the authority to license certain ship stations by rule rather than by individual license. "',N(N(ZZ"  YPrivate boat operators sailing entirely within domestic U.S. waters and who are not otherwise  Yrequired by treaty or agreement to carry a radio, may no longer be required to hold a marine license  YKif the Commission enacts rules to that effect, and they will not be required to pay a regulatory fee.  YFor FY 1996, parties required to be licensed and those choosing to be licensed for Marine (Ship)  Y-Stations will pay a $3 annual regulatory fee per station, payable for an entire ten year license term  Y<at the time of application for a new, renewal or reinstatement license. The total regulatory fee due is $30 for the ten year license term.  XH- '1''i8. Marine (Coast) Service: This service includes landbased stations in the maritime  Yxservices, authorized under Part 80 of the Commission's Rules, to provide communications services  Yto ships and other watercraft in coastal and inland waterways. For FY 1996, licensees of Marine  Y(Coast) Stations will pay a $3 annual regulatory fee per call sign, payable for the entire five year  Y>license term at the time of application for a new, renewal or reinstatement license. The total  X -regulatory fee due is $15 per call sign for the five year license term.   X - '@''i9. Private Land Mobile (Other) Services: These services include Land Mobile Radio  Y=Services operating under Parts 90 and 95 of the Commission's Rules. Services in this category  Yprovide one or two way communications between vehicles, persons or to fixed stations on a shared  Ybasis and include radiolocation services, industrial radio services and land transportation radio  Yjservices. For FY 1996, licensees of services in this category will pay a $3 annual regulatory fee  YMper call sign, payable for an entire five year license term at the time of application for a new,  Y<renewal or reinstatement license. The total regulatory fee due is $15 for the five year license term.  X- '''i10. Aviation (Aircraft) Service: These services include stations authorized to provide  Y,communications between aircraft and from aircraft to ground stations and includes frequencies used  Y.to communicate with air traffic control facilities pursuant to Part 87 of the Commission's Rules.  Y,The recently enacted Telecommunications Act of 1996 gave the Commission the authority to license  Ycertain aircraft radio stations by rule rather than by individual license. Private aircraft operators  Yflying entirely within domestic U.S. airspace and who are not otherwise required by treaty or  YZagreement to carry a radio, may no longer be required to hold an aircraft license if the Commission  Yenacts rules to that effect, and they will not be required to pay a regulatory fee. For FY 1996,  YJparties required to be licensed and those choosing to be licensed for Aviation (Aircraft) Stations will  Ypay a $3 annual regulatory fee per station, payable for the entire ten year license term at the time  Yof application for a new, renewal or reinstatement license. The total regulatory fee due is $30 per station for the ten year license term.  X - '''i11. Aviation (Ground) Service: This service includes stations authorized to provide ground Ybased communications to aircraft for weather or landing information, or for logistical support  Ypursuant to Part 87 of the Commission's Rules. Certain groundbased stations which only serve  YKitinerant traffic; i.e., possess no actual units on which to assess a fee, are exempt from payment of  Yregulatory fees. For FY 1996, licensees of Aviation (Ground) Stations will pay a $3 annual  Yxregulatory fee per license, payable for the entire five year license term at the time of application for  Yja new, renewal or reinstatement license. The total regulatory fee is $15 per call sign for the five year license term. "#'(,N(N(ZZ%"Ԍ X- '!ԙ''i12. General Mobile Radio Service (GMRS): These services include Land Mobile Radio  Ylicensees providing personal and limited business communications between vehicles or to fixed  YZstations for shortrange, twoway communications pursuant to Part 95 of the Commission's Rules.  X- Y-For FY 1996, GMRS licensees will pay a $3 annual regulatory fee per license, payable for an entire  Yfive year license term at the time of application for a new, renewal or reinstatement license. The total regulatory fee due is $15 per license for the five year license term.  X_- c.''i Amateur Radio Vanity Call Signs  X1- '''i13. Amateur Vanity Call Signs: This fee covers voluntary requests for specific call signs  Yin the Amateur Radio Service authorized under part 97 of the Commission's Rules. For FY 1996,  Y<applicants for Amateur Vanity CallSigns will pay a $3 annual regulatory fee per call sign, payable  Yfor an entire ten year license term at the time of application for a vanity call sign. The total  X -regulatory fee due would be $30 per license for the ten year license term.jX > yON-#X\  P6G;P#э Section 9(h) exempts "amateur radio operator licenses under Part 97 of the Commission's rules (47 CFR Part 97)" from the requirement. However, Section 9(g)'s fee schedule explicitly includes "Amateur vanity call signs" as a category subject to the payment of a regulatory fee. j  X - d.''iCommercial Wireless Radio Services  Xy- '''i14. Commercial Mobile Radio Services (CMRS) Mobile Services: The Commercial Mobile  Y<Radio Service (CMRS) is a new "umbrella" descriptive term attributed to various existing services  YJauthorized to provide interconnected mobile radio services for profit to the public, or to such classes  YKof eligible users as to be effectively available to a substantial portion of the public. CMRS Mobile  YServices include certain licensees which formerly were licensed as part of the Private Radio Services  Y(e.g., Specialized Mobile Radio Services) and others formerly licensed as part of the Common  YjCarrier Radio Services (e.g., Public Mobile Services and Cellular Radio Service). While specific  Yrules pertaining to each covered service remain in separate Parts 22, 80 and 90; general rules for  YiCMRS are contained in Part 20. We have replaced the Public Mobile/Cellular Radio regulatory fee  Yycategory with a CMRS Mobile Services category for regulatory fee collection purposes. CMRS  YMobile Services will include: qualifying Business Radio Services, 220222 MHz Land Mobile  X|- YSystems, Specialized Mobile Radio Services (Part 90); x|> yO-#X\  P6G;P#э This category does not include licensees of private shareduse 220 MHz and 470 MHz and above in the Specialized Mobile Radio (SMR) service who have elected to remain noncommercial. Those who have elected not to change to the Commercial Mobile Radio Service (CMRS) are referred to paragraph 4 of this Appendix. Further, Congress provided for a three year transition period until August 10, 1996, for conversion to CMRS.  yO5"-See Omnibus Budget Reconciliation Act of 1993, Pub. L. No. 10366, Title VI  6002(b), 107 Stat. 312,392. Therefore, licensees who had not converted to CMRS prior to December 31, 1995, are not subject to the CMRS Mobile Services fee for FY 1996.  Public Coast Stations (Part 80); Public  YMobile Radio, Cellular, 800 MHz AirGround Radiotelephone, and Offshore Radio Services (Part  Y22). Licensees who have not elected to convert from private to commercial operations will be  Yexempt from payment of the annual CMRS Mobile Services fee for FY 1996. Existing commercial  Ylicensees and those who converted prior to December 31, 1995, must pay the annual CMRS Mobile" )( ,N(N(ZZ\"  Y[Services fee for FY 1996. Each licensee in this group will pay an annual regulatory fee for each  Yxmobile or cellular unit (mobile or cellular call sign or telephone number), including twoway paging  X- Yunits, assigned to its customers, including resellers of its services. For FY 1996, the regulatory fee is $.17 per unit.  X- '''i15. Personal Communications Service (PCS): For FY 1996, the Personal Communications Service (PCS) covered by Part 24 of the rules is exempt from payment of regulatory fees.  XH- '''i16. Commercial Mobile Radio Services (CMRS) OneWay Paging Services: The  YCommercial Mobile Radio Service (CMRS) is a new "umbrella" descriptive term attributed to  Yvarious existing services authorized to provide interconnected mobile radio services for profit to the  YKpublic, or to such classes of eligible users as to be effectively available to a substantial portion of  Ythe public. CMRS OneWay Paging Services include certain licensees which formerly were licensed  Yas part of the Private Radio Services (e.g., Private Paging) and others formerly licensed as part of  Ythe Common Carrier Radio Services (e.g., Public Mobile OneWay Paging). While specific rules  Y-pertaining to each covered service remain in separate Parts 22 and 90; general rules for CMRS are  Ycontained in Part 20. We have replaced the Public Mobile OneWay Paging regulatory fee category  Ywith a CMRS OneWay Paging Services category for regulatory fee collection purposes. Licensees  Ywho have not elected to convert from private to commercial operations will be exempt from  Ypayment of the annual CMRS OneWay Paging Services fee for FY 1996. Existing commercial  Ylicensees and those who converted prior to December 31, 1995, must pay the annual CMRS One YWay Paging Services fee for FY 1996. Each licensee in the CMRS OneWay Paging Services will  Ypay an annual regulatory fee for each paging unit, assigned to its customers, including resellers of its services. For FY 1996, the regulatory fee is $.02 per unit.  X- 2.''iMass Media Services  ' ''i17. The regulatory fees for the Mass Media fee category apply to broadcast licensees and permittees. Noncommercial Educational Broadcasters are exempt from regulatory fees.  XN- a. Commercial AM and FM Radio  'N''i18. These categories include licensed Commercial AM (Classes A, B, C, and D) and FM  Y(Classes A, B, B1, C, C1, C2, and C3) Radio Stations operating under Part 73 of the Commission's  X-Rules. > yOk!-#X\  P6G;P#э The Commission acknowledges that certain stations operating in Puerto Rico and Guam have been assigned a higher level station class than would be expected if the station were located on the mainland. Although this results in a higher regulatory fee, we believe that the increased interference protection associated with the higher station class is necessary and justifies the fee. The regulatory fees for AM and FM Stations for FY 1996 are as follows: "*,N(N(ZZ" AM Radio Class A .....................................$1,250 Class B ..........................................690 Class C ..........................................280 Class D ..........................................345 FM Radio Classes C, C1, C2, B ................$1,250 Classes A, B1, C3 ......................830  X1-  (#  X - b.''i Construction Permits Commercial AM Radio  '''i19. This category includes holders of permits to construct new Commercial AM Stations.  Y0For FY 1996, permittees will pay a fee of $140 for each permit held. Upon issuance of an  Yoperating license, this fee would no longer be applicable and licensees would be required to pay the applicable fee for the designated class of the station.  Xy- c.''iConstruction Permits Commercial FM Radio  '''i20. This category includes holders of permits to construct new Commercial FM Stations.  Y0For FY 1996, permittees will pay a fee of $690 for each permit held. Upon issuance of an  Yoperating license, this fee would no longer be applicable. Instead, licensees would pay a regulatory  X-fee based upon the designated class of the station.   X- d.''iCommercial Television Stations  '\''i21. This category includes licensed Commercial VHF and UHF Television Stations covered  Yunder Part 73 of the Commission's Rules, except commonly owned Television Satellite Stations,  Yaddressed separately below. Markets are Nielsen Designated Market Areas (DMA) as listed in the  Xe- Y-Television & Cable Factbook, Stations Volume No. 63, 1995 Edition, Warren Publishing, Inc. The fees for each category of station are as follows: ''iVHF Markets 110...............$32,000 ''iVHF Markets 1125...............26,000 ''iVHF Markets 2650...............17,000 ''iVHF Markets 51100...............9,000 ''iVHF Remaining Markets....... 2,500 ''iUHF Markets 110...............$25,000 ''iUHF Markets 1125...............20,000 ''iUHF Markets 2650...............13,000 ''iUHF Markets 51100...............7,000 ''iUHF Remaining Markets........2,000 "#'+,N(N(ZZ%"Ԍ X- e.''iCommercial Television Satellite Stations  '''i22. Commonly owned Television Satellite Stations in any market (authorized pursuant to  YNote 5 of Section 73.3555 of the Commission's Rules) that retransmit programming of the primary  Ystation are assessed a fee of $690 annually. Those stations designated as Television Satellite  X- YZStations in the 1995 Edition of the Television and Cable Factbook are subject to the fee applicable  Yto Television Satellite Stations. All other television licensees are subject to the regulatory fee payment required for their class of station and market.  X1- f.''iConstruction Permits Commercial VHF Television Stations  'k''i23. This category includes holders of permits to construct new Commercial VHF Television  YiStations. For FY 1996, VHF permittees will pay an annual regulatory fee of $5,550. Upon issuance  Yxof an operating license, this fee would no longer be applicable. Instead, licensees would pay a fee based upon the designated market of the station.  X- g.''iConstruction permits Commercial UHF Television Stations  '''i24. This category includes holders of permits to construct new UHF Television Stations.  XK- YFor FY 1996, UHF Television permittees will pay an annual regulatory fee of $4,425. Upon  Yiissuance of an operating license, this fee would no longer be applicable. Instead, licensees would pay a fee based upon the designated market of the station.  X- h.''iConstruction Permits ĩ Satellite Television Stations  '''i25. The fee for UHF and VHF Television Satellite Station construction permits for FY 1996  Yis $250. An individual regulatory fee payment is to be made for each Television Satellite Station construction permit held.  Xe-  i.''iLow Power Television, FM Translator and Booster Stations, TV Translator and Booster Stations.  X7-  '''i26. This category includes Low Power UHF/VHF Television stations operating under Part  Yj74 of the Commission's Rules with a transmitter power output limited to 1 kW for a UHF facility  Yand, generally, 0.01 kW for a VHF facility. Low Power Television (LPTV) stations may retransmit  Ythe programs and signals of a TV Broadcast Station, originate programming, and/or operate as a  X - Ysubscription service.  This category also includes translators and boosters operating under Part 74  YYwhich rebroadcast the signals of full service stations on a frequency different from the parent station  YY(translators) or on the same frequency (boosters). The stations in this category are secondary to full  Yxservice stations in terms of frequency priority. We have also received requests for waivers of the  YJregulatory fees from operators of community based Translators. These Translators are generally not  Yaffiliated with commercial broadcasters, they are nonprofit, nonprofitable, or only marginally  Yprofitable, serve small rural communities, and are supported financially by the residents of the   !communities served. We are aware of the difficulties these Translators have in paying even minimal"#',,N(N(ZZ%"  YZregulatory fees, and we have addressed those concerns in the ruling on reconsideration of the FY  X- Y1994 Report and Order. Community based Translators are exempt from regulatory fees. For FY 1996, licensees in this category will pay a regulatory fee of $190 for each license held.  X- j.''iBroadcast Auxiliary Stations.  '''i27. This category includes licensees of remote pickup stations, Aural Broadcast Auxiliary  YStations, Television Broadcast Auxiliary Stations, and Low Power Auxiliary Stations, authorized  YMunder Part 74 of the Commission's Rules. Auxiliary Stations are generally associated with a  Yparticular television or radio broadcast station or cable television system. For FY 1996, licensees of Commercial Auxiliary Stations will pay a $35 annual regulatory fee on a per call sign basis.  X -  X -k.''iMultipoint Distribution Service  '''i28. This service is included in the Domestic Public Fixed Service category and covers  YMultipoint Distribution Service (MDS), and Multichannel Multipoint Distribution Service (MMDS),  Yauthorized under Part 21 of the Commission's Rules to use microwave frequencies for video and  Ydata distribution within the United States. For FY 1996, MDS and MMDS stations will pay an  Xb-annual regulatory fee of $155 per call sign. See para. 31 below.  X4- 3.''iCable Services  X- a.''iCable Television Systems   '''i29. This category includes operators of Cable Television Systems, providing or distributing  Yjprogramming or other services to subscribers under Part 76 of the Commission's Rules. For FY  X- Y1996 Cable Systems will pay a regulatory fee of $.55 per subscriber.6> yO#-#X\  P6G;P#э Cable systems are to pay their regulatory fees on a per subscriber basis rather than per 1,000 subscribers  yO-as set forth in the statutory fee schedule. See FY 1994 Report and Order at para. 100. 6 Payments for Cable Systems  Ykare to be made on a per subscriber by community unit basis as of December 31, 1995. Cable  YLSystems should determine their subscriber numbers by calculating the number of single family  Xe- Y>dwellings, the number of individual households in multiple dwelling units, e.g., apartments,  Ycondominiums, mobile home parks, etc., paying at the basic subscriber rate, the number of bulk rate  Yicustomers and the number of courtesy or fee customers. In order to determine the number of bulk  Yrate subscribers, a system should divide its bulk rate charge by the annual subscription rate for  X -individual households. See FY 1994 Report and Order, Appendix B at para. 31.  X-  X-b.''i Cable Antenna Relay Service  ' ''i30. This category includes Cable Antenna Relay Service (CARS) stations used to transmit  Ytelevision and related audio signals, signals of AM and FM Broadcast Stations and cablecasting  Yfrom the point of reception to a terminal point from where the signals are distributed to the public"#- ,N(N(ZZe""  Y[by a Cable Television System. For FY 1996, licensees will pay an annual regulatory fee of $325 per CARS license.  X- 4.''iCommon Carrier Services  X- a.''iFixed Radio Services  X_- ' ''i31. Domestic Public Fixed Radio Service: This category includes licensees in the Pointto YPoint Microwave Radio Service, Local Television Transmission Radio Service, Digital Electronic  YMessage Service, Multipoint Distribution Service (MDS), and Multichannel Multipoint Distribution  X - YService (MMDS) > yO -#X\  P6G;P#э MDS and MMDS are regulated by the Mass Media Bureau., authorized under Part 21 of the Commission's Rules to use microwave  Yfrequencies for video and data distribution within the United States. For FY 1996, Domestic Public Fixed Radio Service licensees pay a $155 annual regulatory fee per call sign.  X - b.''iInterstate Telephone Service Providers  X -  'M''i32. This category includes InterExchange Carriers (IXCs), Local Exchange Carriers (LECs),  YCompetitive Access Providers (CAPs), domestic and international carriers that provide operator  YKservices, Wide Area Telephone Service (WATS), 800, 900, telex, telegraph, video, other switched,  Yinterstate access, special access, and alternative access services either by using their own facilities  Y<or by reselling facilities and services of other carriers or telephone carrier holding companies, and  X- Ycompanies other than traditional local telephone companies that provide interstate access services  Yto long distance carriers and other customers. This category also includes prepaid calling card  Yproviders. These common carriers, including resellers, must submit fee payments based upon their  Yxproportionate share of gross interstate revenues using the methodology that we have adopted for  X- Ycalculating contributions to the TRS fund. See Telecommunications Relay Services, 8 FCC Rcd  YM5300 (1993), 58 FR 39671 (1993). In order to avoid imposing any double payment burden on  Yresellers, we will permit carriers to subtract from their gross interstate revenues, as reported to  YNECA in connection with their TRS contribution, any payments made to underlying common  Ycarriers for telecommunications facilities and services, including payments for interstate access  Yservice, that are sold in the form of interstate service. For this purpose, resold telecommunications  Yxfacilities and services are only intended to include payments that correspond to revenues that will  Ybe included by another carrier reporting interstate revenue. For FY 1996, carriers should multiply  YZtheir adjusted gross revenue figure (gross revenue reduced by the total amount of their payments  Yto underlying common carriers for telecommunications facilities or services) by the factor 0.00098  Yto determine the appropriate fee for this category of service. You may want to use the following worksheet to determine your fee payment: "!.X,N(N(ZZ " Y addxw#V: ddx/ Y  @    z DTOTALz IINTERSTATE@ P  Y   yO-#X\  P6G;P#(1) Revenue reported in TRS Fund worksheetsY Y P P z YY  (2) Less: Access charges paidY Y P   Y+  (3) Less: Other telecommunications facilities and services taken for resale2+ 2+  P @  +Y  (4) Adjusted revenues (1)minus(2)minus(3)Y Y P @ P @ 2 YY  (5) Fee factor Y  Y ;I0.00098P @  B  Y  (6) Fee due (4)times(5)R  R   B    X - #Xj\  P6G;XP#5.''iInternational Services  X- a.''iEarth Stations  '>''i33. Very Small Aperture Terminal (VSAT) Earth Stations, equivalent CBand Earth Stations  YZand antennas, and earth station systems comprised of very small aperture terminals operate in the  Yj12 and 14 GHz bands and provide a variety of communications services to other stations in the  XA- Ynetwork. VSAT systems consist of a network of technicallyidentical small FixedSatellite Earth  YStations which often include a larger hub station. VSAT Earth Stations and CBand Equivalent  X- YEarth Stations are authorized pursuant to Part 25 of the Commission's Rules. Mobile Satellite Earth  X- YStations, operating pursuant to Part 25 of the Commission's Rules under blanket licenses for mobile  Y[antennas (transceivers), are smaller than one meter and provide voice or data communications,  X- Yincluding position location information for mobile platforms such as cars, buses or trucks.nX> yOG-#X\  P6G;P#э Mobile earth stations are handheld or vehiclebased units capable of operation while the operator or vehicle is in motion. In contrast, transportable units are moved to a fixed location and operate in a stationary (fixed) mode. Both are assessed the same regulatory fee for FY 1996.n Fixed X- YSatellite Transmit/Receive and Transmit Only Earth Station antennas, authorized or registered under  YPart 25 of the Commission's Rules, are operated by private and public carriers to provide telephone,  Ytelevision, data, and other forms of communications. Included in this category are telemetry,  Ytracking, and control (TT&C) earth stations and earth station uplinks. For FY 1996, licensees of  YVSATs, Mobile Satellite Earth Stations, and FixedSatellite Transmit/Receive and Transmit Only  XD- YyEarth Stations will pay a fee of $370 per authorization or registration as well as a separate fee of  X--$370 for each associated Hub Station.  X- 0''p34. Receive only earth stations. For FY 1996, there is no regulatory fee for receiveonly earth stations. ""/,N(N(ZZV" "Ԍ X- b.''iSpace Stations (Geosynchronous)   '/''i35. Geosynchronous Space Stations are domestic and international satellites positioned in  Yorbit to remain approximately fixed relative to the earth. Most are authorized under Part 25 of the  YCommission's Rules to provide communications between satellites and earth stations on a common  Ycarrier and/or private carrier basis. In addition, this category includes Direct Broadcast Satellite  Y(DBS) Service which includes space stations authorized under Part 100 of the Commission's rules  Y=to transmit or retransmit signals for direct reception by the general public encompassing both  YZindividual and community reception. For FY 1996, entities authorized to operate geosynchronous  Yspace stations (including DBS satellites) will be assessed an annual regulatory fee of $70,575 per  Yoperational station in orbit. Payment is required for any geosynchronous satellite that has been launched and tested and is authorized to provide service.  X - c.''iLow Earth Orbit Satellites (LEOs)  '''i36. Low Earth Orbit Satellite Systems are space stations that orbit the earth in non Ygeosynchronous orbit. They are authorized under Part 25 of the Commission's rules to provide  Ycommunications between satellites and earth stations on a common carrier and/or private carrier  Ybasis. For FY 1996, entities authorized to operate Low Earth Orbit Satellite Systems will be  Y<assessed an annual regulatory fee of $97,725 per operational system in orbit. Payment is required for any LEO System that has one or more operational satellites.  X- d.''iSignatories  X- 'p''i37. A Signatory to INMARSAT is an Administration or government, or the  Ytelecommunications entity designated as sole operating entity by an Administration or government,  Ywhich participates in the International Mobile Satellite Organization (INMARSAT) in order to  Ydevelop and operate a global maritime satellite telecommunication system which serves maritime  X|- Ycommercial and safety needs of the United States and foreign countries. A Signatory to INTELSAT  Yis an Administration or government, or the telecommunications entity designated as sole operating  Y}entity by an Administration or government, which participates in the International  YTelecommunications Satellite Organization (INTELSAT) in order to develop, construct, operate and  Ymaintain the space segment of the global commercial telecommunications satellite system  YJestablished under the Interim Agreement and Special Agreement signed by Governments on August  Y20, 1964. For FY 1996, Signatories to INMARSAT and INTELSAT will be assessed an annual  Yjregulatory fee of $233,425 in order to recover the cost of the Commission's regulatory activities associated with such entities.  X"- e.''iInternational Bearer Circuits  '''i38. Regulatory fees for International Bearer Circuits are to be paid by the facilitiesbased  Ycommon carriers activating the circuit in any transmission facility for the provision of service to an  Y end user or resale carrier. Payment of the fee for bearer circuits by private submarine cable  Yoperators is required for circuits sold on an indefeasible right of use (IRU) basis or leased to any"#'0,N(N(ZZ% "  Ycustomer other than an international common carrier authorized by the Commission to provide U.S.  X- Yinternational common carrier services. Compare FY 1994 Report and Order at 5367. The fee is  Ybased upon active 64 Kbps circuits, or equivalent circuits. Under this formulation, 64 Kbps circuits  Yor their equivalent will be assessed a fee. Equivalent circuits include the 64 Kbps circuit equivalent  Yjof larger bit stream circuits. For example, the 64 Kbps circuit equivalent of a 2.048 Mbps circuit  Y-is 30 64 Kbps circuits. Analog circuits such as 3 and 4 KHz circuits used for international service  Yare also included as 64 Kbps circuits. However, circuits derived from 64 Kbps circuits by the use  Yof digital circuit multiplication systems are not equivalent 64 Kbps circuits. Such circuits are not  Y=subject to fees. Only the 64 Kbps circuit from which they have been derived will be subject to  Y payment of a fee. For FY 1996, the regulatory fee is $4.00 for each active 64 Kbps circuit or equivalent. For analog television channels we will assess fees as follows: ''iAnalog Television Channel No. of equivalent 64 Kbps  X -''iSize in MHz/ /  1Circuits ''i 36.................................... 630 ''i 24.................................... 288 ''i 18..................................... 240  Xb- f.''iInternational Public Fixed  '~''i39. This fee category includes common carriers authorized under Part 23 of the  YCommission's Rules to provide radio communications between the United States and a foreign point  Yvia microwave or HF troposcatter systems, other than satellites and satellite earth stations, but not  Y<including service between the United States and Mexico and the United States and Canada using  Yfrequencies above 72 MHz. For FY 1996, International Public Fixed Radio Service licensees will pay a $225 annual regulatory fee per call sign.  X- g.''iInternational (HF) Broadcast  '!''i40. This category covers International Broadcast Stations licensed under Part 73 of the  YCommission's Rules to operate on frequencies in the 5,950 khz to 26,100 Khz range to provide  Yservice to the general public in foreign countries. For FY 1996, International HF Broadcast Stations will pay an annual regulatory fee of $280 per station license. " 1,N(N(ZZ "  X- X #Xj\  P6G;XP#`(# Appendix G ă  X-v{ Description of FCC Activities à  X- Y Authorization of Service: The authorization or licensing of radio stations, telecommunications  Yequipment and radio operators, as well as the authorization of common carrier and other services  Yand facilities. Includes policy direction, program development, legal services, and executive direction, as well as support services associated with authorization activities.  X - Y Policy and Rule Making: Formal inquiries, rule making proceedings to establish or amend the  YCommission's rules and regulations, action on petitions for rule making and requests for rule  Yinterpretations or waivers; economic studies and analyses; spectrum planning, modeling,  Ypropagation-interference analyses and allocation; and development of equipment standards. Includes  Ypolicy direction, program development, legal services, and executive direction, as well as support services associated with policy and rule making activities.  Xy- Y Enforcement: Enforcement of the Commission's rules, regulations and authorizations, including  Yinvestigations, inspections, compliance monitoring and sanctions of all types. Also includes the  Yreceipt and disposition of formal and informal complaints regarding common carrier rates and  Y,services, the review and acceptance/rejection of carrier tariffs, and the review, prescription and audit  Yof carrier accounting practices. Includes policy direction, program development, legal services, and executive direction, as well as support services associated with enforcement activities.  X-   X- Y; Public Information Services: The publication and dissemination of Commission decisions and  Y0actions, and related activities; public reference and library services; the duplication and  Ydissemination of Commission records and databases; the receipt and disposition of public inquiries;  Yconsumer, small business and public assistance; and public affairs and media relations. Includes  Ypolicy direction, program development, legal services, and executive direction, as well as support services associated with public information activities. "N2 +&&ZZ^ "  X-#Xj\  P6G;XP#`(# Appendix H ă  X-w { Parties Filing Comments and Reply Comments ă  X-Parties Filing Comments Bernstein and McVeigh Motorola Satellite Communications, Inc. Destineer Corp. GE American Communications, Inc. Montana Broadcasters Association American Mobile Telecommunications Association, Inc. COMSAT Corporation Southern Broadcast Corporation of Sarasota National Cable Television Association, Inc. Society of Broadcast Engineers, Inc. National Exchange Carrier Association, Inc. NEXTEL Communications, Inc.  XK-Parties Filing Reply Comments GE American Communications, Inc. "3 +&&ZZV " #Xj\  P6G;XP#  X-{ FINAL RULES  X- Parts 1 and 64 of Chapter I of Title 47 of the Code of Federal Regulations are amended as follows:  Xv- PART 1 PRACTICE AND PROCEDURE  XH-1.''iThe authority citation for Part 1 continues to read as follows: ''iAuthority: Sec. 5, 48 Stat. 1068, as amended; 47 U.S.C. 155, 225, unless otherwise noted.  X -  X -2.''i Sec. 1.1152 is revised to read as follows:  X -  1.1152 Schedule of annual regulatory fees and filing locations for wireless radio services.  X-   Xy-X` hp x (#%'0*,.8135@8: