Goto Section: 90.812 | 90.814 | Table of Contents
Revised as of October 20, 2020
Goto Year:2020 |
§ 90.813 Partitioned licenses and disaggregated spectrum.
(a) Eligibility. Parties seeking approval for partitioning and
disaggregation shall request an authorization for partial assignment of
a license pursuant to § 1.948 of this chapter.
(b) Technical standards—(1) Partitioning. In the case of partitioning,
requests for authorization for partial assignment of a license must
include, as attachments, a description of the partitioned service area
and a calculation of the population of the partitioned service area and
the licensed geographic service area. The partitioned service area
shall be defined by coordinate points at every 3 degrees along the
partitioned service area unless an FCC recognized service area is
utilized (i.e., Major Trading Area, Basic Trading Area, Metropolitan
Service Area, Rural Service Area or Economic Area) or county lines are
followed. The geographic coordinates must be specified in degrees,
minutes, and seconds to the nearest second of latitude and longitude
and must be based upon the 1927 North American Datum (NAD27).
Applicants may supply geographical coordinates based on 1983 North
American Datum (NAD83) in addition to those required (NAD27). In the
case where an FCC recognized service area or county lines are utilized,
applicants need only list the specific area(s) (through use of FCC
designations or county names) that constitute the partitioned area.
(2) Disaggregation. Spectrum may be disaggregated in any amount.
(3) Combined partitioning and disaggregation. The Commission will
consider requests for partial assignment of licenses that propose
combinations of partitioning and disaggregation.
(c) Installment payments—(1) Apportioning the balance on installment
payment plans. When a winning bidder elects to pay for its license
through an installment payment plan pursuant to § 90.812, and partitions
its licensed area or disaggregates spectrum to another party, the
outstanding balance owed by the licensee on its installment payment
plan (including accrued and unpaid interest) shall be apportioned
between the licensee and partitionee or disaggregatee. Both parties
will be responsible for paying their proportionate share of the
outstanding balance to the U.S. Treasury. In the case of partitioning,
the balance shall be apportioned based upon the ratio of the population
of the partitioned area to the population of the entire original
license area calculated based upon the most recent census data. In the
case of disaggregation, the balance shall be apportioned based upon the
ratio of the amount of spectrum disaggregated to the amount of spectrum
allocated to the licensed area.
(2) Parties not qualified for installment payment plans. (i) The
partitionee or disaggregatee shall, as a condition of the approval of
the partial assignment application, pay its entire pro rata amount
within 30 days of Public Notice conditionally granting the partial
assignment application. Failure to meet this condition will result in a
rescission of the grant of the partial assignment application.
(ii) The licensee shall be permitted to continue to pay its pro rata
share of the outstanding balance and shall receive new financing
documents (promissory note, security agreement) with a revised payment
obligation, based on the remaining amount of time on the original
installment payment schedule. These financing documents will replace
the licensee's existing financing documents which shall be marked
“superseded” and returned to the licensee upon receipt of the new
financing documents. The original interest rate, established pursuant
to § 1.2110(g)(3)(i) of this chapter at the time of the grant of the
initial license in the market, shall continue to be applied to the
licensee's portion of the remaining government obligation. The
Commission will require, as a further condition to approval of the
partial assignment application, that the licensee execute and return to
the U.S. Treasury the new financing documents within 30 days of the
Public Notice conditionally granting the partial assignment
application. Failure to meet this condition will result in the
automatic cancellation of the grant of the partial assignment
(iii) A default on the licensee's payment obligation will only affect
the licensee's portion of the market.
(3) Parties qualified for installment payment plans. (i) Where both
parties to a partitioning or disaggregation agreement qualify for
installment payments, the partitionee or disaggregatee will be
permitted to make installment payments on its portion of the remaining
government obligation, as calculated according to paragraph (d)(1) of
(ii) Each party will be required, as a condition to approval of the
partial assignment application, to execute separate financing documents
(promissory note, security agreement) agreeing to pay their pro rata
portion of the balance due (including accrued and unpaid interest)
based upon the installment payment terms for which they qualify under
the rules. The financing documents must be returned to the U.S.
Treasury within thirty (30) days of the Public Notice conditionally
granting the partial assignment application. Failure by either party to
meet this condition will result in the automatic cancellation of the
grant of the partial assignment application. The interest rate,
established pursuant to § 1.2110(g)(3)(i) of this chapter at the time of
the grant of the initial license in the market, shall continue to be
applied to both parties' portion of the balance due. Each party will
receive a license for their portion of the partitioned market or
(iii) A default on an obligation will only affect that portion of the
market area held by the defaulting party.
(iv) Partitionees and disaggregatees that qualify for installment
payment plans may elect to pay some of their pro rata portion of the
balance due in a lump sum payment to the U.S. Treasury and to pay the
remaining portion of the balance due pursuant to an installment payment
(d) License term. The license term for a partitioned license area and
for disaggregated spectrum shall be the remainder of the original
licensee's license term as provided for in § 90.665(a).
[ 62 FR 41219 , July 31, 1997, as amended at 67 FR 45376 , July 9, 2002;
68 FR 43001 , July 21, 2003; 82 FR 41549 , Sept. 1, 2017]
Goto Section: 90.812 | 90.814
Goto Year: 2020 |
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