PUBLIC NOTICE

FEDERAL COMMUNICATIONS COMMISSION
1919 M STREET, N.W.
WASHINGTON, D.C.  20554                         News Media Information: (202) 418-0500
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                                            DA 97-2420         
                                              November 18, 1997
                                                               
   OPPORTUNITY FOR REPLY COMMENT ON RESERVE PRICES OR MINIMUM
             OPENING BIDS FOR LMDS AUCTION EXTENDED
                                
                                
Report No. AUC-17-D (Auction No. 17)

     When FCC licenses are subject to auction (i.e., because they are mutually exclusive) the
recently enacted Balanced Budget Act of 1997 calls upon the Commission to prescribe methods
by which a reasonable reserve price will be required or a minimum opening bid established,
unless the Commission determines that a reserve price or minimum bid is not in the public
interest.  The Commission recently announced the auction of 986 licenses for the Local
Multipoint Distribution Service ("LMDS"), and originally set an auction commencement date of
December 10, 1997, later rescheduled to February 18, 1998.  In anticipation of that auction and
in light of the Balanced Budget Act, the Commission proposed that minimum opening bids be
established for the LMDS auction, that they be calculated under a specific iterated formula, and
that the Commission have discretion to lower the minimum opening bids as it deems
appropriate.  Because of the imminence of the auction, the Commission sought 

comment on its proposals under a schedule that provided a somewhat abbreviated deadline for
reply comments.

     The Commission received comments from the following parties:

BroadBand, Inc.
Cornerstone Wireless Communications, L.L.C.
East Ascension Telephone Company, Inc.
Eclipse Communications Corporation
Fremont Telcom Co.
HighSpeed.Com, L.L.C.
Horizon Personal Communications, Inc.
JATO Communications Corp.
Midwest Wireless Communications, L.L.C.
Montana Wireless, Inc.
North Alabama Cellular, LLC
Pioneer Telephone Association, Inc.
Richard L. Vega Group, Inc.
Spectraware Corporation
Tel/Logic Inc.
Thomas F. Mitts and Pappas Telecasting Companies
U.S. WaveLink Telecommunications, L.P.
U.S. Wireless Communications, Inc.
Vanguard Cellular Systems, Inc.
VIPC
Virginia Tech Foundation, Inc.
WinStar Communications, Inc.
Zip Communications Corporation

A reply comment was received from the National Telephone Cooperative Association.

       More recently, the Commission postponed the auction commencement date until
February 18, 1998.  Because of the additional time available prior to the commencement of the
auction, the Commission hereby reopens the period for reply comments on its above-referenced
proposals regarding minimum opening bids.  Reply comments therefore will be due on or before
December 1, 1997.  To file formally, parties must submit an original and four copies to the
Office of the Secretary, Room 222, 1919 M Street, N.W., Washington, D.C. 20554.  Comments
and reply comments will be available for public inspection during regular 

business hours in the FCC Public Reference Room, Room 239, 1919 M Street, N.W.,
Washington, D.C. 20554.

     For further information concerning this proceeding, contact Brett Tarnutzer, Auctions and
Industry Analysis Division, Wireless Telecommunications Bureau, at (202) 418-0660.


                              - FCC -