NEWSReport No. WT 97-3              WIRELESS TELECOM ACTION      February 19, 1997
     
FCC AMENDS MICROWAVE RELOCATION RULES TO FACILITATE RAPID
                       DEPLOYMENT OF PCS TO THE PUBLIC
                            (WT Docket No. 95-157)

     On February 13, 1997, the Commission amended its rules concerning relocation of
microwave systems in the 2 GHz band to clear spectrum for Personal Communications
Services (PCS).  In a Second Report and Order in WT Docket 95-157, the Commission:  
(1) shortened the period for voluntary negotiations between non-public safety microwave
incumbents and PCS licensees in the C, D, E, and F blocks; and  (2) allowed microwave
incumbents who relocate their own systems to participate in the relocation cost sharing plan
adopted by the Commission in April 1996.  By encouraging negotiations and providing
incentives for relocation of microwave incumbents to alternative spectrum, the steps taken by
the Commission today will facilitate deployment of PCS and the provision of service to the
public.

     The microwave relocation rules were originally adopted by the Commission in 1992. 
These rules provide an initial period for voluntary negotiations between the PCS licensees
and microwave incumbents, followed by a mandatory negotiation period.  If relocation is not
accomplished through voluntary or mandatory negotiations, the PCS licensee may
involuntarily relocate the incumbent, provided it pays the cost of relocation and provides the
incumbent with comparable facilities.  Prior to the adoption of this Order, the voluntary
negotiation period for PCS licensees and non-public safety microwave incumbents was two
years from the time PCS long-form applications are accepted for filing in the particular PCS
block being licensed. 

     In the Order, the Commission reduced the voluntary period to one year for non-public
safety incumbents and PCS licensees in the C, D, E, and F blocks.  The Commission
determined that a shorter voluntary period would facilitate the negotiation process and
provide incentives for PCS licensees and microwave incumbents to reach mutually
satisfactory relocation agreements.  As a result of this change, the voluntary negotiation
period for C Block, which began on May 22, 1996, will now end on May 22, 1997.  The
voluntary period for D, E, and F blocks, which began on January 30, 1997, will end on
January 30, 1998.  The changes adopted yesterday do not affect PCS licensees in the A and
B blocks, whose voluntary negotiation period began on April 5, 1995, and will expire (for
negotiations with non-public safety incumbents) on April 5, 1997.   


                                    (over)

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     The Commission's action does not affect voluntary and mandatory negotiation periods
applicable to public safety microwave licensees.  These licensees are subject to a three-year
voluntary and a two-year mandatory negotiation period.   The Commission concluded that
their periods should not be changed because of the importance of ensuring a seamless
transition for public safety facilities that support vital emergency services, and because public
safety agencies typically operate under greater budgetary constraints and longer planning
cycles than other entities. 

     Also in this Order, the Commission allowed microwave incumbents who voluntarily
relocate their systems to participate in the cost-sharing plan previously adopted by the
Commission in the First Report and Order in WT Docket No. 95-157.  The cost-sharing plan
allows licensees who relocate microwave systems to obtain reimbursement for a proportional
share of their relocation costs from subsequent PCS licensees who benefit from the clearing
of the spectrum.  By extending the provisions of the plan to microwave incumbents, the
Order provides an incentive for microwave incumbents to relocate their own systems rather
than requiring them to wait to be relocated by a PCS licensee.  The Order  adopts safeguards
to ensure that reimbursement of incumbents does not exceed the actual cost of relocating
their systems to comparable facilities.                     
                                       
     Action by the Commission February 13, 1997, by Second Report and Order (FCC 97-
48).  Chairman Hundt, Commissioners Quello, Ness and Chong.

                                   - FCC - 

News Media contact: Kara Palamaras at (202) 418-0654  
Wireless Telecommunications Bureau contact: Michael Hamra at (202) 418-0620