Before the
                Federal Communications Commission
                      Washington, D.C. 20554

In the Matter of                )
                                )
Highland Cellular, Inc.         )       File No. 0000012881
                                )
Request for Waiver of           )
47 C.F.R.  1.2105(b)(2)        )       
                                 

                                 
                             ORDER


   Adopted:  September 2, 1999          Released:  September 2, 1999 

By the Chief, Policy and Rules Branch, Commercial Wireless Division, Wireless Telecommunications Bureau:

     1.   By this Order, we deny Highland Cellular, Inc.'s (Highland Cellular) request for waiver of section
1.2105(b)(2) of the Commission's rules.  Highland Cellular, a winning bidder of four licenses in Auction 22, the
C, D, E and F block broadband PCS auction that closed on April 15, 1999 (Auction 22), requests the Wireless
Telecommunications Bureau (Bureau) to waive section 1.2105(b)(2) to permit Highland Cellular to change its
designated entity status from "small business" to "very small business."

     2.   Under the Commission's rules, two categories of small businesses were eligible to bid in Auction
22:  (1) small businesses, which are entities that, together with their affiliates and persons or entities that hold
interests in such entities and their affiliates, have average annual gross revenues that are not more than $40
million for the preceding three years, and (2) very small businesses, which are entities that, together with their
affiliates and persons or entities that hold interests in such entities and their affiliates, have average annual gross
revenues that are not more than $15 million for the preceding three years.  Small businesses are eligible for a
15 percent bidding credit, while very small businesses are eligible for a 25 percent bidding credit.

     3.   On its short-form application (FCC Form 175), Highland Cellular indicated that it qualified as
a small business, with gross revenues of not more than $40 million.  In its waiver request, which was attached
to its long-form application (FCC Form 601), Highland Cellular now argues that in calculating its gross revenues
for the short-form application, it double counted the gross revenues of its major shareholder, Marz Attar, thereby
causing its total gross revenues to exceed the $15 million threshold.  Highland Cellular contends that when its
average annual gross revenues are calculated correctly, it meets the definition of a very small business and should
therefore be eligible to receive a 25 percent bidding credit.

     4.   Section 1.2105(b)(2) of the Commission's rules permits auction applicants to amend or modify
their short-form applications to make minor changes or correct minor errors (such as typographical errors). 
Major amendments, which include changes in an applicant's size that would affect eligibility for designated entity
provisions, may not be made to a short-form application after the initial filing deadline.  The Commission has
previously stated that the modification of an applicant's small business status does not constitute a minor change
within the meaning of section 1.2105(b)(2).  Furthermore, we do not believe that a waiver of the rule is
warranted in this case.  A request for waiver must include a showing that unique facts and circumstances are
involved that render application of the rule inequitable, unduly burdensome or otherwise contrary to the public
interest.  Highland Cellular has failed to show that unique circumstances are involved here.

     5.   Accordingly, IT IS ORDERED that the waiver request filed by Highland Cellular, Inc., on May
5, 1999, IS DENIED.  This action is taken pursuant to sections 0.331 and 1.925 of the Commission's rules, 47
C.F.R.  0.331, 1.925.

                              FEDERAL COMMUNICATIONS COMMISSION



                              Paul D'Ari
                              Chief, Policy and Rules Branch
                              Commercial Wireless Division
                              Wireless Telecommunications Bureau