Electronic Engineering Co. v. Federal Communications Commission

140 F.3d 1045, 329 U.S. App. D.C. 326, 12 Communications Reg. (P&F) 361, 1998 U.S. App. LEXIS 7388
CourtCourt of Appeals for the D.C. Circuit
DecidedApril 14, 1998
Docket97-1255
StatusPublished

This text of 140 F.3d 1045 (Electronic Engineering Co. v. Federal Communications Commission) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Electronic Engineering Co. v. Federal Communications Commission, 140 F.3d 1045, 329 U.S. App. D.C. 326, 12 Communications Reg. (P&F) 361, 1998 U.S. App. LEXIS 7388 (D.C. Cir. 1998).

Opinion

SENTELLE, Circuit Judge:

Electronic Engineering Company (“EEC”) appeals a decision of the Federal Communications Commission allowing PageMart II, Inc. (“PageMart”) to use private paging frequency 929.7625 MHz on an exclusive nationwide basis. EEC argues that the Commission should have dismissed PageMart’s applications because the Personal Communication Industry Association (“PCIA”), the frequency coordinator for 900 MHz paging frequencies, unlawfully altered the frequency requested in PageMart’s applications and submitted the amended applications to the Commission without obtaining additional signatures from PageMart. The Commission, interpreting its own rules, determined that frequency coordinators have the authority to alter a frequency request on an application before filing it with the Commission, provided that they act with the consent of the applicant. Because we conclude that the Commission’s interpretation was neither plainly erroneous nor inconsistent with the rules, we affirm.

I.

An applicant seeking to provide private land mobile radio services must obtain a frequency recommendation from a private organization known as a “frequency coordinator.” A frequency coordinator, as defined by the FCC’s rules governing private land mobile radio services, is simply an “entity or organization that has been certified by the Commission to recommend frequencies for use by licensees____” 47 C.F.R. § 90.7 (1994). Frequency coordinators were formed decades ago in response to FCC rules requiring that channels be used on a shared basis, and requiring that users and applicants cooperate in the selection and use of the frequencies to minimize interference. See In re Frequency Coordination in the Private Land Mobile Radio Services, 103 F.C.C.2d 1093, 1095 (1986) (“Report and Order”). To facilitate this process, interested parties organized frequency coordinating committees, which were comprised of entities using their services so that the recommendations would be both knowledgeable and impartial. Id.

The FCC formally recognized the role that frequency coordinators play in the selection process in 1958. The Commission first adopted rules simply providing that applicants could obtain frequency recommendations from these committees, and that the Commission would consider their recommendations when making assignment decisions. In re Amendment of Part 11, Rules Governing the Industrial Radio Services, To Delete, Modify and Create Services and To Effect Changes in the Availability of Frequencies, *1047 First Report and Order, 23 Fed.Reg. 4784 (1958). In 1969, the Commission issued a Memorandum Opinion and Order that further clarified the role of frequency coordinators. The order makes clear, among other things, that a frequency coordinator must not discriminate between members and nonmembers, and that a coordinator’s recommendation is not binding on either the applicant or the Commission. In re Amendment of Section 91.8(a)(2) and (a)(8) of the Commission’s Rules Relating to Frequency Coordination in the Industrial Radio Service, 16 F.C.C.2d 299, 305-06 (1969).

In 1982, Congress amended the Communications Act and affirmed the FCC’s authority to use frequency coordinators in the spectrum management process. 47 U.S.C. § 332(b)(1). The Commission subsequently revised its rules to improve the quality and efficiency of frequency selections. The amended rules provide that all applicants for private land mobile licenses that require frequency coordination must send their applications to the certified frequency coordinator. 47 C.F.R. §§ 1.912(b), 90.127(a). The coordinator is then required to perform appropriate coordination services. Id. The rules make clear that each application for frequencies in the 929-930 MHz band, the band at issue in this case, must include a “statement from the coordinator recommending the most appropriate frequency.” 47 C.F.R. § 90.175(c). The frequency coordinator then forwards the application along with the frequency recommendation to the Commission for evaluation and decision. 47 C.F.R. §§ 1.912(b), 90.127(a).

The Report and Order that announced the new rules further elaborated upon the frequency coordination process. An applicant must send its completed application to the certified frequency coordinator (a single coordinator is certified for each service), rather than to the Commission. 103 F.C.C.2d at 1100,1104-05. When submitting materials, the applicant can either request a particular frequency, or leave the selection of the frequency entirely to the coordinator. Id. at 1096-97, 1147. An applicant that requests a particular frequency must submit a technical justification for that frequency along with the application. Id. at 1147. Upon receiving the applications, the frequency coordinator is required to process the submissions in the order of receipt. Id. at 1104, 1119. The coordinator checks each application for “completeness, accuracy, and compliance with the Commission’s rules.” Id. at 1100. If the coordinator encounters an application that is incomplete or contains minor errors, the coordinator is authorized to make the necessary corrections with the applicant’s approval. Id. at 1147. After reviewing the application, the coordinator evaluates the channel availability and identifies the most suitable frequency for that particular applicant. Id. at 1100,1119. The coordinator then files the application, along with the frequency recommendation, directly with the Commission. Id. at 1100, 1104-05. If the coordinator disagrees with the frequency requested by the applicant, and if the applicant disapproves of the coordinator’s recommendation, the coordinator must submit the application, the technical submission, the coordinator’s written reasons for rejection, and the alternate frequency recommendation to the Commission. Id. at 1147-48.

All private paging systems were assigned on a shared basis until 1993, when the Commission amended its rules governing the 929-930 MHz band to grant channel exclusivity to qualified local, regional, and national paging systems. 1 Under the amended rules, incumbent systems had the first chance to obtain exclusivity rights. Incumbents were allowed thirty days from the date of the order to submit a request for exclusivity to PCIA (formerly known as the National Association of Business and Educational Radio, Inc., or “NABER”), the frequency coordinator for the 900 MHz private paging systems. Upon receipt of the requests, PCIA was required to review the submissions and then forward *1048 requests that satisfied the exclusivity criteria to the Commission for review and approval. Incumbent systems that satisfied the criteria would have exclusivity rights with respect to their existing authorizations as of the effective date of the rules.

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140 F.3d 1045, 329 U.S. App. D.C. 326, 12 Communications Reg. (P&F) 361, 1998 U.S. App. LEXIS 7388, Counsel Stack Legal Research, https://law.counselstack.com/opinion/electronic-engineering-co-v-federal-communications-commission-cadc-1998.