Goto Section: 1.2106 | 1.2108 | Table of Contents
Revised as of October 29, 2020
Goto Year:2020 |
§ 1.2107 Submission of down payment and filing of long-form applications.
(a) After bidding has ended, the Commission will identify and notify
the high bidder and declare the bidding closed.
(b) Unless otherwise specified by public notice, within ten (10)
business days after being notified that it is a high bidder on a
particular license(s), a high bidder must submit to the Commission's
lockbox bank such additional funds (the “down payment”) as are
necessary to bring its total deposits (not including upfront payments
applied to satisfy bid withdrawal or default payments) up to twenty
(20) percent of its high bid(s). (In single round sealed bid auctions
conducted under § 1.2103, however, bidders may be required to submit
their down payments with their bids.) Unless otherwise specified by
public notice, this down payment must be made by wire transfer in U.S.
dollars from a financial institution whose deposits are insured by the
Federal Deposit Insurance Corporation and must be made payable to the
Federal Communications Commission. Down payments will be held by the
Commission until the high bidder has been awarded the license and has
paid the remaining balance due on the license or authorization, in
which case it will not be returned, or until the winning bidder is
found unqualified to be a licensee or has defaulted, in which case it
will be returned, less applicable payments. No interest on any down
payment will be paid to the bidders.
(c) A high bidder that meets its down payment obligations in a timely
manner must, within ten (10) business days after being notified that it
is a high bidder, submit an additional application (the “long-form
application”) pursuant to the rules governing the service in which the
applicant is the high bidder. Except as otherwise provided in § 1.1104,
high bidders need not submit an additional application filing fee with
their long-form applications. Specific procedures for filing
applications will be set out by Public Notice. Ownership disclosure
requirements are set forth in § 1.2112. Beginning January 1, 1999, all
long-form applications must be filed electronically. An applicant that
fails to submit the required long-form application under this paragraph
and fails to establish good cause for any late-filed submission, shall
be deemed to have defaulted and will be subject to the payments set
forth in § 1.2104.
(d) As an exhibit to its long-form application, the applicant must
provide a detailed explanation of the terms and conditions and parties
involved in any bidding consortia, joint venture, partnership or other
agreement or arrangement it had entered into relating to the
competitive bidding process prior to the time bidding was completed.
Such agreements must have been entered into prior to the filing of
short-form applications pursuant to § 1.2105.
(e) A winning bidder that seeks a bidding credit to serve a qualifying
tribal land, as defined in § 1.2110(f)(3)(i), within a particular market
must indicate on the long-form application (FCC Form 601) that it
intends to serve a qualifying tribal land within that market.
(f) An applicant must also submit FCC Form 602 (see § 1.919 of this
chapter) with its long form application (FCC Form 601).
(g)(1)(i) A consortium participating in competitive bidding pursuant to
§ 1.2110(b)(4)(i) that is a winning bidder may not apply as a consortium
for licenses covered by the winning bids. Individual members of the
consortium or new legal entities comprising individual consortium
members may apply for the licenses covered by the winning bids of the
consortium. An individual member of the consortium or a new legal
entity comprising two or more individual consortium members applying
for a license pursuant to this provision shall be the applicant for
purposes of all related requirements and filings, such as filing FCC
Form 602. However, the members filing separate long-form applications
shall all use the consortium's FCC Registration Number (“FRN”) on their
long-form applications. An application by an individual consortium
member or a new legal entity comprising two or more individual
consortium members for a license covered by the winning bids of the
consortium shall not constitute a major modification of the application
or a change in control of the applicant for purposes of Commission
rules governing the application.
(ii) Within ten business days after release of the public notice
announcing grant of a long-form application, that licensee must update
its filings in the Commission's Universal Licensing System (“ULS”) to
substitute its individual FRN for that of the consortium.
(2) The continuing eligibility for size-based benefits, such as
size-based bidding credits or set-aside licenses, of a newly formed
legal entity comprising two or more individual consortium members will
be based on the size of such newly formed entity as of the filing of
its long-form application.
(3) Members of a consortium intending to partition or disaggregate
license(s) among individual members or new legal entities comprising
two or more individual consortium members must select one member or one
new legal entity comprising two or more individual consortium members
to apply for the license(s). The applicant must include in its
applications, as part of the explanation of terms and conditions
provided pursuant to § 1.2107(d), the agreement of the applicable
parties to partition or disaggregate the relevant license(s). Upon
grant of the long-form application for that license, the licensee must
then apply to partition or disaggregate the license pursuant to those
terms and conditions.
[ 59 FR 44293 , Aug. 26, 1994, as amended at 61 FR 49075 , Sept. 18, 1996;
62 FR 13543 , Mar. 21, 1997; 63 FR 2342 , Jan. 15, 1998; 63 FR 12659 ,
Mar. 16, 1998; 63 FR 68942 , Dec. 14, 1998; 65 FR 47354 , Aug. 2, 2000;
67 FR 45365 , July 9, 2002; 71 FR 6227 , Feb. 7, 2006; 76 FR 37661 , June
28, 2011; 80 FR 56813 , Sept. 18, 2015]
Goto Section: 1.2106 | 1.2108
Goto Year: 2020 |
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