§ 22.602   Transition of the 2110-2130 and 2160-2180 MHz channels to emerging
technologies.

   The  2110-2130 and 2160-2180 MHz microwave channels formerly listed in
   § 22.591  have  been re-allocated for use by emerging technologies (ET)
   services. No new systems will be authorized under this part. The rules in
   this section provide for a transition period during which existing Paging
   and  Radiotelephone  Service (PARS) licensees using these channels may
   relocate operations to other media or to other fixed channels, including
   those in other microwave bands. For PARS licensees relocating operations to
   other microwave bands, authorization must be obtained under part 101 of this
   chapter.

   (a) Licensees proposing to implement ET services may negotiate with PARS
   licensees authorized to use these channels, for the purpose of agreeing to
   terms under which the PARS licensees would—

   (1) Relocate their operations to other fixed microwave bands or other media,
   or alternatively,

   (2) Accept a sharing arrangement with the ET licensee that may result in an
   otherwise impermissible level of interference to the PARS operations.

   (b) [Reserved]

   (c)  Relocation  of fixed microwave licensees in the 2110-2130 MHz and
   2160-2180  MHz bands will be subject to mandatory negotiations only. A
   separate mandatory negotiation period will commence for each fixed microwave
   licensee  when an ET licensee informs that fixed microwave licensee in
   writing  of its desire to negotiate. Mandatory negotiation periods are
   defined as follows:

   (1) Non-public safety incumbents will have a two-year mandatory negotiation
   period; and

   (2) Public safety incumbents will have a three-year mandatory negotiation
   period.

   (d) The mandatory negotiation period is triggered at the option of the ET
   licensee. Once mandatory negotiations have begun, a PARS licensee may not
   refuse to negotiate and all parties are required to negotiate in good faith.
   Good faith requires each party to provide information to the other that is
   reasonably necessary to facilitate the relocation process. In evaluating
   claims that a party has not negotiated in good faith, the FCC will consider,
   inter alia, the following factors:

   (1) Whether the ET licensee has made a bona fide offer to relocate the PARS
   licensee to comparable facilities in accordance with Section 101.75(b) of
   this chapter;

   (2)  If  the PARS licensee has demanded a premium, the type of premium
   requested (e.g., whether the premium is directly related to relocation, such
   as system-wide relocations and analog-to-digital conversions, versus other
   types of premiums), and whether the value of the premium as compared to the
   cost of providing comparable facilities is disproportionate (i.e., whether
   there is a lack of proportion or relation between the two);

   (3)  What steps the parties have taken to determine the actual cost of
   relocation to comparable facilities;

   (4) Whether either party has withheld information requested by the other
   party that is necessary to estimate relocation costs or to facilitate the
   relocation  process.  Any party alleging a violation of our good faith
   requirement must attach an independent estimate of the relocation costs in
   question to any documentation filed with the Commission in support of its
   claim. An independent cost estimate must include a specification for the
   comparable facility and a statement of the costs associated with providing
   that facility to the incumbent licensee.

   (e) Involuntary period. After the end of the mandatory negotiation period,
   ET  licensees may initiate involuntary relocation procedures under the
   Commission's rules. ET licensees are obligated to pay to relocate only the
   specific  microwave  links to which their systems pose an interference
   problem.  Under involuntary relocation, a PARS licensee is required to
   relocate, provided that:

   (1)  The ET applicant, provider, licensee or representative guarantees
   payment of relocation costs, including all engineering, equipment, site and
   FCC  fees,  as well as any legitimate and prudent transaction expenses
   incurred  by  the  PARS  licensee that are directly attributable to an
   involuntary relocation, subject to a cap of two percent of the hard costs
   involved.  Hard  costs are defined as the actual costs associated with
   providing a replacement system, such as equipment and engineering expenses.
   ET licensees are not required to pay PARS licensees for internal resources
   devoted to the relocation process. ET licensees are not required to pay for
   transaction  costs  incurred by PARS licensees during the voluntary or
   mandatory periods once the involuntary period is initiated or for fees that
   cannot be legitimately tied to the provision of comparable facilities;

   (2) The ET applicant, provider, licensee or representative completes all
   activities necessary for implementing the replacement facilities, including
   engineering and cost analysis of the relocation procedure and, if radio
   facilities  are involved, identifying and obtaining, on the incumbents
   behalf, new channels and frequency coordination; and,

   (3)  The ET applicant, provider, licensee or representative builds the
   replacement system and tests it for comparability with the existing 2 GHz
   system.

   (f) Comparable Facilities. The replacement system provided to an incumbent
   during an involuntary relocation must be at least equivalent to the existing
   PARS system with respect to the following three factors:

   (1) Throughput. Communications throughput is the amount of information
   transferred within a system in a given amount of time. If analog facilities
   are being replaced with analog, the ET licensee is required to provide the
   PARS licensee with an equivalent number of 4 kHz voice channels. If digital
   facilities are being replaced with digital, the ET licensee must provide the
   PARS  licensee  with equivalent data loading bits per second (bps). ET
   licensees must provide PARS licensees with enough throughput to satisfy the
   PARS licensee's system use at the time of relocation, not match the total
   capacity of the PARS system.

   (2) Reliability. System reliability is the degree to which information is
   transferred accurately within a system. ET licensees must provide PARS
   licensees with reliability equal to the overall reliability of their system.
   For digital data systems, reliability is measured by the percent of time the
   bit error rate (BER) exceeds a desired value, and for analog or digital
   voice transmissions, it is measured by the percent of time that audio signal
   quality  meets  an established threshold. If an analog voice system is
   replaced with a digital voice system, only the resulting frequency response,
   harmonic distortion, signal-to-noise ratio and its reliability will be
   considered in determining comparable reliability.

   (3) Operating Costs. Operating costs are the cost to operate and maintain
   the  PARS  system. ET licensees must compensate PARS licensees for any
   increased recurring costs associated with the replacement facilities (e.g.
   additional rental payments, increased utility fees) for five years after
   relocation. ET licensees may satisfy this obligation by making a lump-sum
   payment based on present value using current interest rates. Additionally,
   the maintenance costs to the PARS licensee must be equivalent to the 2 GHz
   system in order for the replacement system to be considered comparable.

   (g) The PARS licensee is not required to relocate until the alternative
   facilities are available to it for a reasonable time to make adjustments,
   determine comparability, and ensure a seamless handoff.

   (h) [Reserved]

   (i) After April 25, 1996, all major modifications and extensions to existing
   PARS systems operating on channels in the 2110-2130 and 2160-2180 MHz bands
   will be authorized on a secondary basis to future ET operations. All other
   modifications will render the modified PARS license secondary to future ET
   operations unless the incumbent affirmatively justifies primary status and
   the incumbent PARS licensee establishes that the modification would not add
   to the relocation costs of ET licensees. Incumbent PARS licensees will
   maintain primary status for the following technical changes:

   (1) Decreases in power;

   (2) Minor changes (increases or decreases) in antenna height;

   (3) Minor location changes (up to two seconds);

   (4) Any data correction which does not involve a change in the location of
   an existing facility;

   (5) Reductions in authorized bandwidth;

   (6) Minor changes (increases or decreases) in structure height;

   (7) Changes (increases or decreases) in ground elevation that do not affect
   centerline height;

   (8) Minor equipment changes.

   (j) Sunset. PARS licensees will maintain primary status in the 2110-2130 MHz
   and 2160-2180 MHz bands unless and until an ET licensee requires use of the
   spectrum. ET licensees are not required to pay relocation costs after the
   relocation rules sunset (i.e., for the 2110-2130 MHz and 2160-2180 MHz
   bands, ten years after the first ET license is issued in the respective
   band). Once the relocation rules sunset, an ET licensee may require the
   incumbent to cease operations, provided that the ET licensee intends to turn
   on a system within interference range of the incumbent, as determined by TIA
   TSB 10-F or any standard successor. ET licensee notification to the affected
   PARS licensee must be in writing and must provide the incumbent with no less
   than six months to vacate the spectrum. After the six-month notice period
   has  expired,  the  PARS  licensee must turn its license back into the
   Commission, unless the parties have entered into an agreement which allows
   the PARS licensee to continue to operate on a mutually agreed upon basis. If
   the  parties cannot agree on a schedule or an alternative arrangement,
   requests for extension will be accepted and reviewed on a case-by-case
   basis. The Commission will grant such extensions only if the incumbent can
   demonstrate that:

   (1)  It  cannot relocate within the six-month period (e.g., because no
   alternative spectrum or other reasonable option is available), and;

   (2)  The public interest would be harmed if the incumbent is forced to
   terminate operations (e.g., if public safety communications services would
   be disrupted).

   (k) Reimbursement and relocation expenses in the 2110-2130 MHz and 2160-2180
   MHz bands. Whenever an ET licensee in the 2110-2130 MHz and 2160-2180 MHz
   band relocates a paired PARS link with one path in the 2110-2130 MHz band
   and  the paired path in the 2160-2180 MHz band, the ET license will be
   entitled to reimbursement pursuant to the procedures described in § § 27.1160
   through 27.1174 of this chapter.

   [ 61 FR 29689 , June 12, 1996, as amended at  70 FR 19309 , Apr. 13, 2005;  71 FR 29834 , May 24, 2006]

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