WPC> 2B'J  CourierCG TimesCG Times BoldCG Times ItalicE37XPCG Timeset 4Si (Additional) LPT2HPL4SAD.PRSx  @\X^X@2 6@ Z#|ws BoldTimes Bold (Scalable)CG Times Italic (Scalable)#|wHP LaserJet 4Si (Additional) LPT2HPL4SAD.PRSXw PE37\X^XP2X$X  8wC;,/Xw PE37XPD7zC;, 'Xz_ pi7XV"G($,VhG PE37hP6uC;,'Xu&_ x7XXddCCCWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNdddCYQQddddddFddddFCChhd44ddzzdddvooChdF"Ȑdhd岲dCCȐzȲxCddodȐȅdCdYdsȐ]ȐȐȧzȐUvŐdȐYYCCCCŐz~ozoY~NYdYC8YooYdYzsdzdd~YYzozzz~CdzYzzzzCCdddddddzCsdYC"Sh5^;C]ddCCCdCCCCddddddddddCCȲdxN`xoȐCCCddCdoYoYFdo8Co8odooYNCodddYdddddddddCddddddddo8dddddϐYYYYYN8N8N8N8oddddooooddoddddxoddddddodddddddddood8doddrddoddN8ooddddoNododdddooooȐdYCddCCCWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNdddCdUUddddddFddddFCCssd44ddzzddd~ooCsdF"Ȑdsd岲dCCȐzȲxCddodȐȅdCdYdsȐ`ȐȐȮzȐUvŐdȐddCCCCŐzozoYNYYYN8YooYdYzzdzddYYzozzzNdzYzzzzCCdddddddzCzdYCȢ8wC;,Xw P7XP7zC;,OXz_ p^7XV"G($,hG P7hP&6uC;,-sXu&_ x$&7XX"Sh5^$(8<><q*"xxxxWWxxxWWkkxxx><q*"xxxxWWxxxWWkkxxx",tB^ f ^;C`ddCCCdCCCCddddddddddCCdxxxsCYoxxdoxxooCCCddCddYdY8dd88Y8ddddLL8dYYYLYdYd4dddddCddddddddd8xdxdxdxdxdYxYxYxYxYC8C8C8C8dddddddddoYxddddoYdxdxdxdxdXXddxxXxdxdxXdddddddD8ddddCdddddp8pHodp8p8dxddddxLxLxddLdLdLddpHp8odddddddodpLpLpLdoddddododxCddCCCWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNdddCd]]ddddddFddddFCCddd88ddzzdddkddCddF"ddd9dCCzCdzdoddCdYds]zUvdYYCCCCzzzozoYzNoYdYC8YooYdYzzdzddoYoYzzozzzzzCdoozYzzzzCCddddzdddooozCsdYC\   pxtll\tll@\@\`L$// Order, Bay Springs Telephone Co., DA 95865 ei //$ $/ 24.714(d) Eligibility for partitioned licenses/$ ei  #RECORD ONLY ei ԃ  X-2( Before the  FEDERAL COMMUNICATIONS COMMISSION  X_-Washington, D.C. 20554 TPx` `  hh@hpp  xxDA 95865  Y1-In the Matter of hh@)  Y - hh@)  Y -Partitioning Plan of hh@)  Y -Bay Springs Telephone Company,hh@)  Y -PCS PRIMECO, L.P. and Peterson @)  Y -County Communications, L.P. hh@)  Xy-U DECLARATORY ORDER ĐTP  Y4- xAdopted: April 18, 1995 Released: April 18, 1995  Y- By the Chief, Wireless Telecommunications Bureau:  X-  Y-1. Before the Wireless Telecommunications Bureau ("Bureau") for consideration is a  Y-request, filed on April 14, 1995, by Bay Springs Telephone Company, Inc. Y<-ԍ Bay Springs Telephone Company, Inc. is a subsidiary of Telephone Electronics Corporation. ("Bay Springs"), PCS PRIMECO, L.P. ("PRIMECO") and Peterson County Communications, L.P. ("Peterson"). Bay Springs provides telephone service to the rural areas surrounding Jackson,  Y~-Hattiesburg, and Laurel, Mississippi.~b Y-ԍ April 14, 1995 Letter from Bay Springs Telephone Company, Inc., PCS PRIMECO, L.P. and Peterson County Communications, L.P. to Regina Keeney, Chief, Wireless Telecommunications Bureau ("Request") at 45. PRIMECO was the winning bidder for the "B Block" broadband personal communications service ("PCS") license that covers the New Orleans YP-Baton Rouge Major Trading Area ("MTA").7P Y#-ԍ Request at 2.7 Peterson is a prospective applicant for the "C  Y9-Block" broadband PCS license that serves the Jackson Basic Trading Area`9 Y&-ԍ The 51 MTAs and 493 BTAs divide this country into geographic regions, and were designed by Rand McNally based on the natural flow of commerce. In establishing the MTA and BTA boundaries, Rand McNally considered factors such as physiography, population distribution, newspaper circulation, economic activities, highway facilities, railroad service,";)0*0*0*_)"  Y-suburban transportation, and analysts' field reports. Rand McNally 1992 Commercial Atlas  Y{-and Marketing Guide, 123rd Edition, 3640.` ("BTA").79f Y.-ԍ Request at 2.7 The"90*0*0*=" parties jointly request a determination that a partitioning plan, encompassing the New OrleansBaton Rouge MTA and the Jackson BTA, would conform to the requirements of Section 24.714(d) of the Commission's Rules, 47 C.F.R.  24.714(d). For the reasons described below, the Bureau finds that the proposed partitioning plan is in compliance with Section 24.714(d), and would further the Commission's goal of expediting the provision of  Y-broadband PCS to rural areas.  Y-ԍ The Commission's policies in this area are intended to implement Section 309(j)(3)(A) of the Communications Act, 47 U.S.C.  309(j)(3)(A), which in turn directs the Commission to adopt auction rules that will promote "the development and rapid deployment of new technologies, products, and services for the benefit of the public, including those residing in  Y -rural areas." See also 47 U.S.C.  309(j)(4)(B), 309(j)(4)(C) and 309(j)(4)(D).   Y_- 2. In the Fifth Report and Order, PP Docket No. 93253, the Commission decided that rural telephone companies should be permitted to obtain broadband PCS licenses by partitioning  Y2-sections of an MTA or BTA.j2 Y-ԍ See generally 9 FCC Rcd 5532 (1994), paras. 150152.j Partitioning was adopted to promote investment in and rapid deployment of new technologies in rural areas, and to provide rural telephone companies with opportunities to implement wireless services that could complement or replace the  Y -landline network.L  Yl-ԍ 9 FCC Rcd 5532, paras.150 and 152.L Rural telephone companies that meet the definition set forth in Section  Y -24.720(e) of the Rules, 47 C.F.R.  24.720(e),    Y-ԍ 47 C.F.R.  24.720(e) defines a rural telephone company as "a local exchange carrier having 100,000 or fewer access lines, including all affiliates." are permitted to obtain a partitioned license through either 1) forming bidding consortia and then partitioning the license among the parties to such consortia, or 2) private negotiations with a potential broadband PCS licensee  Y-either before or after the auction.F   Y[-ԍ 9 FCC Rcd 5532 at para. 151.F  Yc- 3. The Commission, in Section 24.714(d) of the Rules, also established certain requirements for partitioned areas. Partitioned areas must conform to established geopolitical boundaries (such as county lines) and each partitioned area must include all portions of the rural telephone company's wireline service area that lies within the PCS service area. Finally, the partitioned area must be reasonably related to the rural telephone company's wireline service area. In further refining what is meant by the term, "reasonably related," the Commission established a general presumption of reasonableness if the partitioned areas contain no more than twice the population of that portion of a rural telephone company's wireline service area that lies within the PCS service area. At the same time, the Commission recognized "that rural telephone companies will require some flexibility in fashioning areas in which they will receive partitioned licenses," and thus declined to adopt a strict rule concerning the"~ 0*0*0*"  Y-reasonableness of the partitioned areas.  Yy-ԍ Fifth Report and Order, PP Docket No. 93253, 9 FCC Rcd 5532 (1994), para. 151; Fifth Memorandum Opinion and Order, PP Docket No. 93253, 10 FCC Rcd 403 (1994), paras. 112113.  Y- 4. Bay Springs represents that it is a rural telephone company within the meaning of Section  Y-24.720(e) of the Commission's Rules.7 K Y-ԍ Request at 2.7 Bay Springs seeks to obtain from PRIMECO and Peterson partitioned sections of the New OrleansBaton Rouge MTA and the Jackson, MS BTA that follow established geopolitical boundaries. Specifically, PRIMECO anticipates partitioning a portion of the "B Block" broadband PCS license for the New OrleansBaton Rouge MTA to conform to the boundaries of the Laurel and Hattiesburg Mississippi BTAs. Peterson intends to partition five of the fourteen counties contained in the "C Block" broadband PCS license for the Jackson, MS BTA: Scott, Smith, Rankin, Madison and Hinds  Y -counties.3   Y-ԍ Id.3 Bay Springs provides local telephone service to customers in the Laurel and  Y -Hattiesburg BTAs, as well as Scott, Smith and Rankin counties.4  Yb-ԍ Id. 4 Bay Springs admits, however, that populations within the areas to be partitioned far exceed the population standards set forth in the note to Section 24.714 of the Commission's Rules that establish a  Y -presumption of reasonableness for the partitioned areas.< ^  Y-ԍ Request at Note 2.< Bay Springs, PRIMECO and Peterson therefore rely upon an alternative approach to demonstrate that the partitioned area is reasonably related to Bay Springs' wireline service area.  Yc- 5. The parties argue that an analysis of Bay Springs' wireline customer base demonstrates strong economic interdependence between the area Bay Springs currently serves and the  Y6-Jackson, Laurel and Hattiesburg Basic Trading Centers.36  Y-ԍ Each BTA has a Basic Trading Center. Residents of the BTA travel to the Basic  Y-Trading Center to make the bulk of their shopping goods purchases. Rand McNally 1992  Y -Commercial Atlas and Marketing Guide, 123rd Edition, 4.3 Specifically, the parties argue that limiting Bay Springs to serving its immediate rural telephone exchange would unduly limit its ability to serve the mobile communications needs of most rural customers, who must travel to the Basic Trading Centers of Jackson, Hattiesburg and Laurel to shop, obtain specialized  Y-services, maintain employment or seek higher education.9 Y!&-ԍ Request at 34.9 Therefore, including these three Basic Trading Centers in the partitioning plan would facilitate the provision of PCS to Bay Springs' customers in a service area that best reflects the mobile communications"G0*0*0*"  Y-requirements of the population in this part of rural Mississippi. Yy-ԍ While the parties indicate that permitting the partitioning plan would also result in an economically viable PCS system, we do not base our decision on this factor. Rather, we rely on representations by the parties that implementation of the partitioning plan will expedite the delivery of high quality broadband PCS to Bay Springs' customers.   Y- 6. The parties further demonstrate that because Bay Springs has a proven ability to serve these sparsely populated areas it is uniquely positioned to expedite broadband PCS throughout the region. The Commission has observed that rural telephone companies can  Y-make efficient use of their existing infrastructure to speed service to rural areas.4 Ys -ԍ Fifth Report and Order, 9 FCC Rcd 5532 (1994), para. 150; Further Notice of Proposed Rule Making, PP Docket No. 93253, 9 FCC Rcd 6775 (1994), para. 3. The need to expedite service is particularly compelling in this instance because, while Jackson and Hattiesburg are both fully served by two cellular carriers, barely half of the rural areas  YI-within the Bay Springs' local exchange are served by even one cellular carrier.EI Y-ԍ Request at Note 3 and at 6.E Therefore, by permitting this partitioning plan, Bay Springs' customers will, at a minimum, be able to avail themselves of a competitive alternative to the single cellular provider. The ultimate benefit to Bay Springs' customers of partitioning will be the ability, for the first time, to subscribe to an advanced wireless mobile communications service that achieves comprehensive coverage throughout the area where they live and work.  Y - 7. In sum, we find that the partitioning plan as represented satisfies the requirements of 24.714(d) of the Commission's Rules. The parties have amply demonstrated that the partitioning plan 1) conforms to established political boundaries, 2) includes the wireline   service area of Bay Springs, and 3) is reasonably related to the Bay Springs wireline service area, given the economic interdependence of the partitioned area and the Bay Springs local exchange area. Permitting such partitioning would further the Commission's objective of expediting the provision of advanced technologies to rural areas.  X-  Y-8. Accordingly, IT IS ORDERED , pursuant to Sections 4(i) and 303(r) of the Communications Act of 1934, as amended, 47 U.S.C.  154(i) and 303(r), and Section 24.714(d) of the Commission's rules, 47 C.F.R.  24.714(d), that the partitioning plan submitted by Bay Springs Telephone Company, Inc., PCS PRIMECO, L.P. and Peterson  Y-County Communications, L.P. is APPROVED . x` `  hhFEDERAL COMMUNICATIONS COMMISSION x` `  hh x` `  hhRegina M. Keeney x` `  hhChief, Wireless Telecommunications Bureau