WPC- 2HBVX@Z3|P (TT)7PC2, XP\  P6QXP"5@^2BRdd$BBdq2B28dddddddddd88qqqYzoBNzoozzB8B^dBYdYdYBdd88d8ddddBN8ddddY`(`l2BB!BBPRBddYYYYYYzYzYzYzYB8B8B8B8ddddddddddYdddddoddYYYYYzYzYzYddddddPdBdBBBdNdz8zRdddBRoNoNNF2ZdBYddddd7>d<d<BBYYdBBddBYBdYzzzzBBBBqodYYYYYYYYYYY8888dddddddndddddddHP LaserJet IIISiRoom 610HPLAIISI.WRSXP\  P6Q,,, 1|XP2 z@@3|P"5@^2BTdd+BBd2B28ddddddddddBBdzzzzBYozzdozzooN8NTdBddYdY8dd88Y8ddddNN8dYYYNP7Pl2BB!BBPRBddzdzdzdzdzdYzYzYzYzYB8B8B8B8dddddddddoYzddddoYdzdzdzdzdYYYzYzYzYddddddPdBdBBBdYYo8oRdddzNzRdNdNNF2hdNdddddd7>d<d<BBoodBBddBoBddzzzzzzzzzzBBBBozdddddddYYYYY8888dddddddndddddYd"5@^2BRdd$BBdq2B28dddddddddd88qqqYzoBNzoozzB8B^dBYdYdYBdd88d8ddddBN8ddddY`(`l2BB!BBPRBddYYYYYYzYzYzYzYB8B8B8B8ddddddddddYdddddoddYYYYYzYzYzYddddddPdBdBBBdNdz8zRdddBRoNoNNF2ZdBYddddd7>d<d<BBYYdBBddBYBdYzzzzBBBBqodYYYYYYYYYYY8888dddddddnddddddd2* ZF  @ @HP LaserJet IIISiRoom 610HPLAIISI.WRSXP\  P6Q,,, 1|XP"5@^2Boddȧ8BBdr2B28ddddddddddBBrrrdzNdzoȐB8BtdBdoYoYBdo8Bo8odooYNBodddYO,Oh2BB!BBPRBdodddddȐYYYYYN8N8N8N8oddddooooddoddddzodddYYYYYYddddooPoNoNBNodo8RoodȐYYoNoNNF2ldBddddddXx6X@DQX@6?xxx,dXx `NQXt?xxx,}Xx6NhQXHTimes New Roman (TT)Times New Roman (Bold) (TT)Times New Roman (Italic) (TT)Courier New (TT)Courier New (Bold) (TT)Courier New (Italic) (TT)a8DocumentgDocument Style StyleXX` `  ` a4DocumentgDocument Style Style . 2Wkfk<va6DocumentgDocument Style Style GX  a5DocumentgDocument Style Style }X(# a2DocumentgDocument Style Style<o   ?  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A.   a3TechnicalTechnical Document Style9Wg  2  1.   2&m$%%[&a4TechnicalTechnical Document Style8bv{ 2  a.   a1TechnicalTechnical Document StyleF!<  ?  I.   a7TechnicalTechnical Document Style(@D i) . a8TechnicalTechnical Document Style(D a) . 2/-3'F(eJ,,Doc InitInitialize Document Stylez   0*0*0*  I. A. 1. a.(1)(a) i) a) I. 1. A. a.(1)(a) i) a)DocumentgPleadingHeader for Numbered Pleading PaperE!n    X X` hp x (#%'0*,.8135@8:403(k) of the Telecom Act amends sections 310(b)(3) and (4) ofthe Communications Act of  x1934 to remove the restrictions against corporate licensees having alien officers or directors. In  xthis order, we amend certain Commission rules relating to the citizenship requirements for  xxlicenses for broadcast, common carrier, aeronautical en route, and aeronautical fixed radio stations  xto conform to the amended statutory language. To further implement the statutory change, we  xalso modify in part certain policies treating certain alien partners as the equivalent of alien  X - xofficers and directors set forth in Request for Declaratory Ruling Concerning the Citizenship  X- xyRequirements of Section310(b)(3) and (4) of the Communications Act of 1934, as amended, 103  X- xFCC 2d 511 (1985), recon. in part, 1 FCC Rcd 12 (1986) (Wilner and Scheiner) and in Market  X - x Entry and Regulation of Foreignaffiliated Entities, 11 FCC Rcd 3873 (1995) (Foreign Carrier  X!-Entry Order). ""y0*&&qq!"Ԍ X-g II. BACKGROUND ă   Nx2. Section 310(b) of the Communications Act appliesto licenses for broadcast, common  xcarrier, aeronautical en route, and aeronautical fixed radio stations. Prior to enactment of the  xTelecom Act, section 310(b)(3) precluded a license being granted to or held by any corporation  xjwith any alien officer or director, or by a corporation in which more than one-fifth of the capital  x stock was owned or voted by aliens. The prior version of section 310(b)(4), which applies  xwhere another corporation directly or indirectly controls a corporate licensee, provided that the  xNCommission may deny an application or revoke a license where any officer of the parent  xycorporation is an alien, more than onefourth of its directors are aliens, or more than onefourth  xof the capital stock is owned or voted by aliens, if it finds that such denial or revocation serves the public interest.   x3. To implement the statute, the Commission included the statutory restrictions on alien  xownership set forth in sections 310(b)(3) and (4) in certain rules that define the eligibility criteria  x.for holding licenses for certain types of broadcast, common carrier, and aeronautical stations.  xIn addition, various other Commission actions, while not codified, also effectuate these statutory  Xy- xprovisions. In Wilner and Scheiner we issued a declaratory ruling prescribing the manner in  x.which sections 310(b)(3) and (4) apply to corporate and partnership interests. In doing so, we  XK- xadvised that the statutory restrictions governing foreign officers or directors apply to partners in  xa partnership without any limited partners, to general partners in a limited partnership, and to  X- xlnoninsulated limited partners. 103 FCC 2d at 520 n.43. And, in our Foreign Carrier Entry  X- xOrder, 11 FCC Rcd at 394156  179219, we adopted an "effective competitive opportunities"  x-test to be considered, along with additional public interest factors, in deciding whether it is in the  xpublic interest to permit alien ownership of licensees of common carrier radio facilities in excess  xof the statutory benchmarks set forth in section 310(b)(4). We identified several factors as being  xgermane to this analysis, including "the extent of alien participation in the applicant's parent  x.corporation (in particular the presence of alien officers and directors in excess of the statutory  X|-benchmarks)." Id.Ġat 3955  Xe-  216.    ~x4. Section 403 of the Telecom Act provides for the elimination of unnecessary  xCommission regulations and functions. In this context, section 403(k) amends sections 310(b)(3)  xand (4) to remove the restriction on a broadcast, common carrier, or aeronautical license being  xLheld by or granted to a corporation having alien officers or directors. The restrictions on how much of the capital stock may be owned or voted by aliens have not been changed.  X!- III. DISCUSSION ă   Px5. Current Commission rules that govern the licensing of commercial mobile radio  xservices (Part 20), domestic public fixed radio services (Part 21), public mobile services (Part 22), narrowband and broadband personal communications services (Part 24), general wireless "Q%0*&&qq $"Ԍ xcommunications service (Part 26), stations in the maritime services (Part 80), aviation services  x(Part 87), private land mobile radio services (Part 90), direct broadcast satellite service (Part 100),  X- xand fixed microwave services (Part 101)  XK-ԍSee Reorganization and Revision of Parts 1, 2, 21, and 94 of the Rules to Establish a  X4-New Part 101 Governing Terrestrial Microwave Fixed Radio Services, FCC 9651 (released February 29, 1996.  incorporate verbatim the statutory restrictions on alien  x\ownership embodied in sections 310(b)(3) and (4). Accordingly, as reflected in the attached  x-Appendix, we amend the applicable rules that prescribe the citizenship requirements for licensees  xin these various communications services to eliminate the restrictions against corporations with  xalien officers or directors. For other services, where these restrictions are not codified in the rules, no changes to our rules are needed.   |x6. Consistent with the elimination of the restrictions on alien officers and directors of  xKcorporate licensees, we will also no longer accord any independent significance under the statute  xZto positions held by aliens that may convey the power to manage the affairs of an unincorporated  xentity or to bind a partnership such as a general partner or a noninsulated limited partner. Our  xaction in this regard does not alter our more general determination that, for purposes of ownership  x=attribution in connection with the multiple ownership rules, general partners and noninsulated  xlimited partners exercise powers and exert influence functionally equivalent to officers and  xjdirectors in a corporation. Similarly, in applying the "effective competition opportunities" test  Xy- x>that we adopted in the Foreign Carrier Entry Order, we will no longer considerthe presence  xofalien officers and/or directors in the parent company of a common carrier licensee in  xdetermining, pursuant to section 310(b)(4), whether it serves the public interest to allow an alien  xNentity or combination of entities to control more than 25 percent of the capital stock of a company that directly or indirectly controls a common carrier licensee.  X-  {x7. #Xx6X@DQ>X@##XP\  P6QCXP#In making these changes to our rules and policies, we emphasize that, since Congress  xjhas retained those portions of sections310(b)(3) and (b)(4) that restrict alien ownership and/or  xvoting interests, our action doesnot affect these restrictions, which we have previously held to  X- x<encompasspartnership and other noncorporate interests. Wilner and Scheiner, 103 FCC 2d at 516  x 10. Thus, in calculating whether aliens exceed the ownership and voting benchmarks set forth  X~- xLin these statutory provisions, we will continue to follow the guidelines specified in Wilner and  Xg-Scheiner that relate to the computation of such interests.  ?P<#Xx6X@DQ>X@#  X-#XP\  P6QCXP#  IV. ADMINISTRATIVE MATTERS  X-   x8. The rule changes that we adopt today simply conform our rules and policies to section  x403(k) of the Telecom Act. These changes thus merely implement the new Congressional  xdirective to remove the restriction that no broadcast, common carrier, or aeronautical license may  xbe held by or granted to a corporation having alien officers or directors. Accordingly, we find" K0*&&qq"  xfor good cause that compliance with the general notice and comment provisions of the  X- xAdministrative Procedure Act is unnecessary. See 5 U.S.C.  553(b)(B). For similar reasons,  x[and because the changes ease restrictions on alien participation, compliance with the effective date provision of the Administrative Procedure Act also is unnecessary. 5 U.S.C.  553(d).   x9. ACCORDINGLY, IT IS ORDERED, That, pursuant to Sections 154(i) and 303(r) of  xthe Communications Act of 1934, as amended, 47 U.S.C.  154(i) and 303(r), Parts 20, 21, 22,  xl24, 26, 80, 87, 90, 100 and 101 of the Commission's Rules, 47 C.F.R. Parts 20, 21, 22, 24, 26,  x080, 87, 90, 100, and 101 ARE AMENDED as set forth in the Appendix, EFFECTIVE upon publication in the Federal Register.    XxX` ` X XXhhX@FEDERAL COMMUNICATIONS COMMISSION(# XxX` ` X XXhhX@William F. Caton(# XxX` ` X XXhhX@Acting Secretary(#" 0*&&qqN "  X-  0 APPENDIX  X-'Rul e Changes ă   3xParts 20, 21, 22, 24, 26, 80, 87, 90, 100 and 101 of Title 47 of the Code of Federal Regulations are amended as follows: PART 20 COMMERCIAL MOBILE RADIO SERVICES  X1-x1. ` `  ` ` The authority citation for Part 20 continues to read as follows:  xAUTHORITY: Secs. 4, 303, and 332. 48 Stat. 1066, 1082, as amended; 47 U.S.C. 154, 303, and 332, unless otherwise noted.  X - ` ax2.` ` Section 20.5 is amended by revising paragraphs (a)(4) and (a)(5) to read as follows:  Xy-  20.5 Citizenship. x(a) * * *   Nx(4) Any corporation of which more than one-fifth of the capital stock is owned of record  xor voted by aliens or their representatives or by a foreign government or representative thereof or by any corporation organized under the laws of a foreign country; or   x(5) Any corporation directly or indirectly controlled by any other corporation of which  x@more than one-fourth of the capital stock is owned of record or voted by aliens, their  xrepresentatives, or by a foreign government or representative thereof, or by any corporation  xorganized under the laws of a foreign country, if the Commission finds that the public interest  Xe-will be served by the refusal or revocation of such license.  XN- x` ` * * * * * PART 21 DOMESTIC PUBLIC FIXED RADIO SERVICES  X-x3. ` ` The authority citation for Part 21 continues to read as follows:  xAUTHORITY: Secs. 1, 2, 4, 201-205, 208, 215, 218, 303, 307, 313, 403, 404, 410, 602, 48 Stat.  xas amended, 1064, 1066, 1070-1073, 1076, 1077, 1080, 1082, 1083, 1087, 1094, 1098, 1102; 47 U.S.C. 151, 154, 201205, 208, 215, 218, 303, 307, 313, 314, 403, 404, 602; 47 U.S.C. 552, 554.  XQ%- ` ~x4.` ` Section 21.4 is amended by removing paragraphs (d) and (f), and redesignating paragraphs (e) and (g) as paragraphs (d) and (e), respectively.  X#'- "#'0*o(o(qq%"Ԍ X-ԙ(G!R    ( G!R    G!R  G!R    G!R PART 22 PUBLIC MOBILE SERVICES T ă  X-x5.` ` The authority citation for Part 22 continues to read as follows:  X-xPAUTHORITY:  ` ` 47 U.S.C. 154, 303, and 332, unless otherwise noted.  Xv- ` %x6.` ` Section 22.5 isamended by revising paragraphs (b)(3) and (b)(4) to read as follows:  X1-  22.5 Citizenship. * * * * * x(b) * * * x   {x(3) Any corporation of which more than one-fifth of the capital stock is owned of record  xor voted by aliens or their representatives or by a foreign government or representative thereof, or by any corporation organized under the laws of a foreign country;   x(4) Any corporation directly or indirectly controlled by any other corporation of which  x@more than one-fourth of the capital stock is owned of record or voted by aliens, their  xrepresentatives, or by a foreign government or representative thereof, or by any corporation  xorganized under the laws of a foreign country, if the FCC finds that the public interest will be served by the refusal or revocation of such license.  X-PART 24 PERSONAL COMMUNICATIONS SERVICES T ă  X|-x7.` ` The authority citation for Part 24 continues to read as follows:  XN-xPAUTHORITY:  ` ` 47 U.S.C. 154, 301, 302, 303, 309, and 332, unless otherwise noted.  X - ` x8.` ` Section 24.404 is amended by revising paragraphs (b)(3) and (b)(4) to read as follows:  X-  24.404 Eligibility. * * * * * x(b) * * *   Nx(3) Any corporation of which more than one-fifth of the capital stock is owned of record"Q%0*&&qq $"  xor voted by aliens or their representatives or by a foreign government or representative thereof or any corporation organized under the laws of a foreign country.   x(4) Any corporation directly or indirectly controlled by any other corporation of which  x@more than one-fourth of the capital stock is owned of record or voted by aliens, their  xrepresentatives, or by a foreign government or representative thereof, or by any corporation  xorganized under the laws of a foreign country, if the Commission finds that the public interest  xywill be served by the refusal or revocation of such license. A Narrowband PCS authorization to  xprovide Private Mobile Radio Service may not be granted to or held by a foreign government or a representative thereof.  X - ` x9. ` ` Section 24.804 is amended by revising paragraphs (b)(3) and (b)(4) to read as follows:  X -  24.804 Eligibility.  X - * * * * * x(b) * * *   {x(3) Any corporation of which more than one-fifth of the capital stock is owned of record  xor voted by aliens or their representatives or by a foreign government or representative thereof or any corporation organized under the laws of a foreign country.   x(4) Any corporation directly or indirectly controlled by any other corporation of which  x@more than one-fourth of the capital stock is owned of record or voted by aliens, their  xrepresentatives, or by a foreign government or representative thereof, or by any corporation  xorganized under the laws of a foreign country, if the Commission finds that the public interest will be served by the refusal or revocation of such license. x` ` * * * * *  X7- x PART 26 GENERAL WIRELESS COMMUNICATIONS SERVICE  X-x10.` ` The authority citation for Part 26 continues to read as follows: AUTHORITY: 47 U.S.C. Sections 154, 301, 302, 303, 309 and 332, unless otherwise noted.  X"-x11. ` ` Section 26.302 is amended by revising paragraphs (b)(3) and (b)(4) as follows:  Xh$-  26.302 Eligibility. "Q%0*&&qq $"Ԍ* * * * * x(b) * * *   {x(3) Any corporation of which more than one-fifth of the capital stock is owned of record  xor voted by aliens or their representatives or by a foreign government or representative thereof or any corporation organized under the laws of a foreign country.   x(4) Any corporation directly or indirectly controlled by any other corporation of which  x@more than one-fourth of the capital stock is owned of record or voted by aliens, their  xrepresentatives, or by a foreign government or representative thereof, or by any corporation  xorganized under the laws of a foreign country, if the Commission finds that the public interest will be served by the refusal or revocation of such license. x` ` * * * * * PART 80 STATIONS IN THE MARITIMESERVICES  Xb-x12. ` ` The authority citation for Part 80 continues to read as follows:  xAUTHORITY: Secs. 4, 303, 48 Stat. 1066, 1082, as amended; 47 U.S.C. 154, 303, unless  xotherwise noted. Interpret or apply 48 Stat. 1064-1068, 1081-1105, as amended; 47 U.S.C. 151-155, 301-609; 3 UST 3450, 3 UST 4726, 12 UST 2377.  X- ` 5x13. ` ` Section 80.15 is amended by removing paragraphs (b)(4) and (b)(6), and redesignating paragraphs (b)(5) and (b)(7) as paragraphs (b)(4) and (b)(5), respectively.  X- PART 87 AVIATION SERVICES  XN-x14. ` ` The authority citation for Part 87 continues to read as follows:  xMAUTHORITY: 48 Stat. 1066, 1082, as amended; 47 U.S.C. 154, 303, unless otherwise noted. Interpret or apply 48 Stat. 1064-1068, 1081-1105, as amended; 47 U.S.C. 151-156, 301-609.  X- ` x15.` ` Section 87.19 is amended by removing paragraph (b)(3) and by redesignating paragraphs (b)(4) and (b)(5) as paragraphs (b)(3) and (b)(4), respectively. "#0*&&qqG"" PART 90 PRIVATE LAND MOBILE RADIO SERVICES  X-x16. ` ` The authority citation for Part 90 continues to read as follows:  xAUTHORITY: Sections 4, 303, 309, and 332, 48 Stat. 1066, 1082, as amended; 47 U.S.C. ss 154, 303, 309, and 332, unless otherwise noted.  X_- ` x17. ` ` Section 90.115 is amended by revising paragraphs (b)(3) and (b)(4) to read as follows:  X -  90.115 Foreign government and alien eligibility.  X -* * * * *` ` x(b) * * *   Nx(3) A corporation of which more than one-fifth of the capital stock is owned of record or  xvoted by aliens or their representatives or by a foreign government or representative thereof, or by any corporation organized under the laws of a foreign country;   x(4) A corporation directly or indirectly controlled by any other corporation of which more  xthan one-fourth of the capital stock is owned of record or voted by aliens, their representatives,  xor by a foreign government or representative thereof, or by any corporation organized under the  xLlaws of a foreign country, if the Commission finds that the public interest will be served by the refusal or revocation of such license. XX( PART 100 DIRECT BROADCASTSATELLITE SERVICE  Xe-x18. ` ` The authority citation for Part 100 continues to readasfollows: AUTHORITY: Secs. 4, 303, 48 Stat. 1066, 1082, as amended; 47 U.S.C. 154, 303, 554.  X - ` x19. ` ` Section 100.11 is revisedby removing paragraphs (d) and (f), and redesignating paragraphs (e) and (g) as paragraphs (d) and (e), respectively. PART 101 FIXED MICROWAVESERVICES x20. The authority citation for Part 101 continues to readasfollows: AUTHORITY: 47 U.S.C. Secs. 154, 303, unless otherwise noted. "Q% 0*&&qq $"Ԍ X- ` ԙx21. ` ` Section 101.7 is revisedby removing paragraphs (b)(3) and (b)(5), and redesignating paragraphs (b)(4) and (b)(6) as (b)(3) and (b)(4), respectively.