DA 98-1524
                                             Adopted: July 29, 1998
                                             Released: July 31, 1998



Mr. Jeffrey L. Timmons
Counsel for OnQue Communications, Inc.
Irwin, Campbell & Tannenwald, P.C.
1730 Rhode Island Ave., N.W., Suite 200
Washington, D.C.  20036-3101


     Re:  Waiver of June 8, 1998 Election Date for PCS C Block Licensees
          to Resubmit Elections with Corrections


Dear Mr. Timmons:

     This letter responds to OnQue Communications, Inc.'s ("OnQue") request for a waiver of
the June 8, 1998 payment option election deadline for PCS C block licensees.  OnQue requests
this waiver of the June 8, 1998 deadline to correct its original, defective submission.  We find that
the facts and circumstances presented by OnQue are sufficiently unique to merit a waiver of the
deadline.  We also will allow OnQue to begin its repayment obligations ten (10) business days
from the release date of this letter, instead of on July 31, 1998.  We are not extending the 90-day
non-delinquency period beyond the October 29, 1998 date and all other terms of the
Reconsideration Order remain in effect.  We discuss the specific rationale for this waiver below.

     On June 8, 1998, OnQue filed a timely but defective election.  OnQue's Election Notice
stated that it would disaggregate and resume payment on its Kenewick, Washington license.  It
specified the return of its other four licenses, located in the Oklahoma City and Dallas MTAs,
under Amnesty-Prepayment, using the prepayment credit to pay-down the principal balance on its
Kenewick, Washington license.   According to the Order on Reconsideration, the prepayment
credit associated with the amnesty option may only be used to pre-pay the entire outstanding
balance for a license. Therefore, we determined that the election was defective and OnQue was
informed of this finding on June 11, 1998.  

     As a defective filer, OnQue would retain all five of its C block licenses.  It would be
responsible for the resumption of installment payments on the full amount owed for all five
licenses under the terms of its existing loan documents.  Any interest accrued since April 1, 1998
would be due by July 31, 1998, with any Suspension Interest due in eight equal quarterly
installments, also beginning on July 31, 1998, and continuing on October 29, 1998, and then
quarterly thereafter.

     On June 23, 1998, OnQue filed a "Petition for Reconsideration and Request for Waiver"
with the Commission.  It has since filed a "Request for Stay" of the July 31, 1998 payment
deadline.  OnQue argues that its election was "conditionally defective" and requests the
opportunity to refile in the same manner as other licensees in this category.   This argument is
flawed, as the conditionally defective licensees did not file inherently defective elections in the
nature of OnQue's.  Rather, they mistakenly included language in their filings which attempted to
force the Commission to follow the findings in the GWI bankruptcy proceeding.  These licensees
were given the opportunity to delete the objectionable language from their elections in order to
submit a clean filing. 

     The primary basis for OnQue's waiver request is that it misunderstood the rules and lacked
competent legal assistance at the time it made its filing.  It indicates that it intended to request
"Amnesty - Bid" instead of "Amnesty - Prepayment" for its four returned licenses.  OnQue bore a
responsibility as a licensee for monitoring and following the Commission's and Bureau's orders
and releases in this matter. It argues, however, that permitting a resubmission in this case would
be consistent with the Commission's overall policy of providing relief to C block licensees that
may otherwise be unable to pay installment payments under the original installment plans.  Also,
since OnQue forfeited all of its $550,350.00 in dowpayment on the four licenses returned under
the amnesty plan, it argues that it should be permitted to bid on those four licenses at reauction. 
Finally, OnQue notes its status as a "small business" with total assets of only $2,000,000.00 when
bidding for the licenses, and annual gross revenues in the two years preceding the auction of less
than $2,000,000.00.  OnQue claims that the loss of $550,350.00 alone represents a significant
financial hardship, and the imposition of further payments based upon its defective status would
be debilitating.

     Pursuant to Section 24.819 of the Commission's Rules (47 C.F.R. 24.819), waiver of a
provision of the PCS rules is appropriate only when a party demonstrates either that the
underlying purpose of the rule will not be served, or would be frustrated, by its application in a
particular case, and that grant of the waiver is otherwise in the public interest, or that the unique
facts and circumstances of a particular case render application of the rule inequitable, unduly
burdensome or otherwise contrary to the public interest.

     We find that the facts and circumstances cited here are of sufficient novelty to warrant a
waiver of the June 8, 1998 election date.  First, the C block election process is a unique
occurrence which is unlikely to repeat itself in any other context.  Second, OnQue's lack of
technical assistance at this juncture caused a technical misunderstanding of the Commission's
Rules.  Third, we do not believe that the defective submission was intended to enhance OnQue's
position vis-a-vis the other licensees, nor do we find that OnQue intended to delay its ultimate
election by submitting a defective submission.  

     OnQue's waiver request is distinguishable from instances where a waiver would affect the
integrity and efficient functioning of the auctions process.  A waiver of the election date to allow
OnQue's resubmission changing the election filed from "Amnesty-Prepayment" to "Amnesty-Bid,"
and a brief delay in the July 31, 1998 repayment deadline still will permit timely closure in this
matter and encourage the licensee to meet its obligations to the Commission.  A strict application
of the election date here would be unduly burdensome for OnQue and cause extreme financial
hardship.  Although we find that rigid enforcement of the June 8, 1998 deadline would not serve
the public interest, we caution OnQue that in the future, it should obtain proper legal assistance or
follow the guidance of the Commission's staff prior to proceeding in important licensing matters.

     Accordingly, we hereby grant OnQue's request for a waiver of the June 8, 1998 election
date, and we will permit the resubmission as stated in OnQue's June 23, 1998 waiver request.  We
further order that OnQue begin its repayment obligations ten (10) business days from the release
date of this letter.  This action is taken pursuant to delegated authority under Section 0.331 of the
Commission's Rules. 47 C.F.R. 0.331.





                              Sincerely,



                              E. Rachel Kazan, Chief
                              Auction Finance and Market Analysis Branch                            Auctions and Industry Analysis Division
                              Wireless Telecommunications Bureau