WPC(6 2?BJ.Courier3|j#Xw PE37}XP#Times New RomanCG TimesTimes New Roman BoldXP^X@Times New RomanCG Times#Xw PE37}XP#2@qK Z CourierCG Times"i~'^:DPddDDDdp4D48dddddddddd88pppX|pDL|pp||D8D\dDXdXdXDdd88d8ddddDL8ddddX`(`lD4l\DDD4DDDDDDDDd8XXXXXX|X|X|X|XD8D8D8D8ddddddddddXdbdddpdXXXXXlX~|X|X|X|XdddldldD8DdDDDdplld|8|P|D|D|8dvddddDDDpLpLpLpl|T|8|\ddddddl|X|X|Xd|DdpL|Dd~4ddC$CWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNHxxH\dDXddddd8@d<@d<DDXXdDDxddzHxxHvppDXd<"dxtldpxxdkd|H|8~ddddddddXXXd~ddkd~ddxCddCCCWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNdddCYQQddddddFddddFCChhd44ddzzdddvooChdF"dhd9dCCzCddoddCdYds]zUvdYYCCCCz~ozoY~NYdYC8YooYdYzsdzdd~YYzozzz~CdzYzzzzCCdddddddzCsdYC\   pxtll\tll@\@\`Lc406c3\lj_hp4si_2033M_600_2HPLAS4SI.PRSXj\  P6G;\#I^XP8wC;,}Xw PE37XP\ @^5q.$h';U7G;A 7 (c) Copyright Micr2rEXf '3|jTimes New RomanCG TimesTimes New Roman BoldTimes New Roman Italic6G;\z$.RXP07jC:,yoXj\  P6G;XP18wC;,}Xw PE37XP2y.X80,ɓX\  P6G;P7nC:,/>/>/>/x]SSSSx]x]x]x]xSxSx]SSxSxSf]xSxSxSxIxIxWxIx{nInInInISSSWS]a?/?]?9?]]WW]n/nKn9nCn/x]xx]x]SSxxIxIxI]?]?]?]WnUn9nax]x]x]x]x]x]xxWnInInIx]n9x]]?n9xSz+SS8-8WuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxN8HH"&H>XHH8HB8>HH^HH>"".2",2,2,"222N2222"&22H22,006"6."""""""""""2H,H,H,H,H,XAB,>,>,>,>,""""H2H2H2H2H2H2H2H2H2H2H,H2H1H2H2H282H,H,H,B,B,B6B,H?>,>,>,>,H2H2H2H6H2H6H2""2"""2F866H2>>(>">">H2;H2H2H2H2XHB"B"B"8&8&8&86>*>>.H2H2H2H2H2H2^HH6>,>,>,H2>"H28&>"H2?22!!WFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxN$<<$.2",2222`2 LL2 LL2L"",,2d""satellite's community of service is deemed underserved if there are two or fewer fullservice  x[stations licensed to it. GRK asserts that Vanderbilt is underserved under the transmission test  xbecause WGKU is the only station licensed to the community. We agree that GRK has  xdemonstrated that WGKU provides service to an underserved community, in satisfaction of the second prong of the presumption test.   |x5. As for the third criterion, an applicant may show, in the case of an existing station,  xZthe unavailability of an alternative operator by presenting evidence of attempts to sell the station.  XO- x.Television Satellite Order, 6 FCC Rcd at 4215. We note, however, that GRK does not base its  X:- x>satisfaction of the third criterion on efforts to sell WGKU. GRK contends that operation of  xLWGKU as a fullservice station would, due to the increased operational costs, make continued  xoperation of WGKU infeasible. GRK asserts that the remoteness and small population of  x\Vanderbilt and the surrounding area render it impossible to operate WGKU as a fullservice  x>station. While we do not find this argument meets the third criterion, we find that GRK has  X- xmade a strong enough showing to justify satellite operation under our ad hoc analysis. See e.g.,  X-Plains Television Partnership, 9 FCC Rcd 4435 (1994).   x6. First, GRK notes the following population statistics which are derived from the 1990  x>U.S. Census. Vanderbilt, WGKU's city of license, has a population of only 605 persons. In  xaddition, Otsego County, in which Vanderbilt is located, has a population of only 17,957.  xMoreover, the county seat of Otsego, Gaylord, has just 3,256 residents. We note that the  x?Commission has authorized satellite operations in communities considerably larger than  X- x]Vanderbilt. In Eagle 22, Ltd., 7 FCC Rcd 5295 (1993), the Commission approved satellite  x>authorization in a community with a population of 87,758. Next, GRK cites the community's  xlack of a substantial economic base as insufficient to support a fullservice station. According  X - xto the Rand McNally Commercial Atlas and Marketing Guide 1996, Otsego County's 7400  xhouseholds have an estimated per capita income of $14,058. In the entire county of Otsego there"!,-(-(ZZ "  X- x[are only 225 retail establishments. See City and County Data Book 1994 at 281. Furthermore,  xstates GRK, in 1996 the total advertising revenue generated by both WGKU and WGKI from  x.Otsego County was only $9,543. We find that the area's lack of economic base is a significant  X- xzfactor in considering GRK's satellite waiver request. As the Commission stated in Sidney T.  X- x\Warner, 3 FCC Rcd, 4034 (1988), "[i]n the past, we have authorized satellite stations . . . as a  xmeans of providing television service to small communities having an insufficient economic base  x.to support a fullservice television operation." (footnote omitted). In addition, GRK observes,  xVanderbilt's geographical isolation from major population centers further contributes to its  xyinability to generate enough advertising revenues to sustain a fullservice station. The closest  x=significantly sized towns are located many miles away from Vanderbilt. Specifically, Petoskey,  xpopulation 6,056, and Traverse City, population 15,155, are approximately 22 miles away and 55 miles away, respectively.   x7. Finally, GRK opines, the presence of other satellite stations in the market underscores  X - xythe economics of the area. The Traverse CityCadillac market, GRK observes, consists of three  x[pairs of parent stations and their satellites: WWTV(TV), Cadillac, which operates WWUPTV,  xSault Ste. Marie, as a satellite; WGTU(TV), Traverse City, which operates WGTQ(TV), Sault  xSte. Marie, as a satellite; and WPBNTV, Traverse City, which operates WTOMTV, Cheboygan,  xas a satellite. We agree with GRK's contention that these facts tend to demonstrate that the  xcommunities of northern Michigan do not generate sufficient revenues to support a fullservice  X:- xstation. See Sidney T. Warner, 3 FCC Rcd at 4035 (inability to support fulltime station shown by fact that other similarlysized communities in region had satellites of network affiliates).   x8. Based on our review of the information submitted, including the size of WGKU's  xcommunity, the area's small economic base and the existence of other satellite combinations, we  X- x{conclude that GRK has set forth sufficiently compelling arguments to support an ad hoc  xdetermination that a grant of the waiver of the duopoly rule pursuant to the satellite exception  x set forth in Note 5 to Section 73.3555 would serve the public interest. However, in a recent  X- xKNotice of Proposed Rulemaking the Commission has undertaken a reexamination of its broadcast  xtelevision ownership policies, including the continued exemption of satellite stations from  XZ- xbroadcast ownership restrictions. See Second Further Notice of Proposed Rule Making in MM  xDocket Nos. 91221 and 878, FCC 96438 (released November 7, 1996). Accordingly, we will  xcondition the grant of this satellite waiver on whatever action is undertaken in that proceeding.  xIn view of the foregoing, and having determined that the applicant is qualified to operate the  xstations as proposed, we find that grants of these applications will serve the public interest, convenience and necessity.  X!-0 Conclusion ă   x9. Accordingly, IT IS ORDERED, That the request by GRK for operation of station  xWGKU(TV), Vanderbilt, Michigan, pursuant to the satellite exception of the duopoly rule,  xSection 73.3555 of the Commission's rules, IS GRANTED, subject to the outcome of the Commission's pending television ownership rule making in MM Docket Nos. 91221 and 878. "1',-(-(ZZ%"Ԍ  x10. IT IS FURTHER ORDERED, That the application (File No. BPCT970516KE) for  xMmodification of the facilities of WGKI(TV), Cadillac, Michigan, and the application (File No.  xBLCT970626KE) for license to cover the construction permit for modification of the facilities of WGKU(TV), Vanderbilt, Michigan, ARE GRANTED. x` `  hh@FEDERAL COMMUNICATIONS COMMISSION x` `  hh@Roy J. Stewart x` `  hh@Chief, Mass Media Bureau