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Letter from Timothy Welch, counsel for tronic SMR Communicati(@Xn-6F[w X- X   .2 X-w  #XP\  P6QhXP#Federal Communications Commission`(# DA 97250 ă  yxdddy .Պ+2 Before the w Federal Communications Commission  X-Washington, D.C. 20554 ă In the Matter of R#XP\  P6QhXP#)  X-R)h R)  X_-Hickory Telephone Company, Inc.R)hppFile No.  D031492 0(#(#X XH-x` `  hh @ R)hpp    X1-Request for Waiver of R)hpp    X -Section 90.811 of theR)hpp    X -Commission's Rules RegardingR)hpp   Various MTA MarketsR)  X -; ORDER TP  Xb-X` hp x (#%'0*,.8135@8:FX@# x7. We believe that Hickory has presented sufficient facts to meet the standard for a partial waiver of the down payment rule. The record indicates that prior to the second down  XM-payment, Hickory made all previously required auction payments on time and in full. There is no indication in the record that the payment shortfall was part of a deliberate effort by Hickory to delay payment. To the contrary, prior to the refund of a portion of its upfront payment, Hickory had sufficient funds on deposit with the Commission to cover its second  X-down payment.( yO>-ԍxHickory had $20,513.83 on deposit with the Commission prior to its refund of $16,178.83. In addition, we note that upon receiving notice from the Commission that its account was were delinquent, Hickory paid the balance owed. x8. Under the circumstances presented by Hickory, we conclude that the public interest would not be served by rigid enforcement of the second down payment deadline, which would result in denying Hickory licenses that it won at auction and imposition of a substantial default payment. In reaching this conclusion, we give considerable weight to the applicant's prior record of compliance, its good faith efforts to make payment on time, and its prompt action to remedy the delinquency. These facts indicate that Hickory was not a financially"9, ,-(-(ZZ" unqualified applicant attempting to "shop" its license to investors. We also recognize that unlike the up-front and first down payments, the second down payment does not affect the  X-timing of the auction or the Commission's review of these applicant's qualifications. Thus,  X-while we have consistently denied requests to waive these earlier payment deadlines,( {O4-ԍxSee, e.g., BDPCS MO&O, at n.9; C.H. PCS, Inc. Request for Waiver of Section 24.711(a)(2) of the Commission's rules, 11 FCC Rcd 9343 (rel. August 9, 1996). we believe that once the first down payment is made and applicants have already proven an ability to meet their financial obligations, some flexibility may be appropriate in addressing a minor delinquency with respect to the final down payment.  X_- x9. We do not believe that Hickory is entitled to a complete waiver of the default rules, however. Hickory admits that the delinquency occurred because it was unaware of the  X -Public Notice announcing the payment deadline.R "( yO -ԍxHickory Petition for Waiver at 4.R Such an error is the applicant's responsibility, and does not excuse its failure to make timely payment. Under the  X -circumstances, we conclude that Hickory should be subject to a late fee of five percent of the  X -amount that was not timely paid. ( yO8-ԍxHickory failed to submit $4,335.00 by July 8, 1996. Therefore, five percent of this amount is $216.75. This amount is commercially reasonable and serves to  X -underscore the importance of making timely payment of all auction payments.  In addition, for future auctions, we intend to provide applicants with notice of the exact amount owed for each applicant's down payment. Therefore, we will not entertain future waiver requests for alleged lack of awareness of Commission public notices. x10. For the reasons stated above, the request for waiver filed by Hickory Telephone Company, Inc. is hereby GRANTED IN PART, subject to a five (5) percent late fee, as  X-specified above. Such late fee of $216.75 must be paid within five business days after the release of this order. Grant of the license is expressly conditioned on timely payment of the late fee and timely execution of a security agreement commemorating the Commission's security interest in the license in the event of default. This action is taken under delegated authority pursuant to Section 0.331 of the Commission's rules. pMichele C. Farquhar Chief, Wireless Telecommunications Bureau