§ 27.1164   The cost-sharing formula.

   An AWS relocator who relocates an interfering microwave link, i.e., one
   that is in all or part of its market area and in all or part of its
   frequency band or a voluntarily relocating microwave incumbent, is
   entitled to pro rata reimbursement based on the following formula:
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   (a) RN equals the amount of reimbursement.

   (b) C equals the actual cost of relocating the link(s). Actual
   relocation costs include, but are not limited to, such items as: Radio
   terminal equipment (TX and/or RX—antenna, necessary feed lines,
   MUX/Modems); towers and/or modifications; back-up power equipment;
   monitoring or control equipment; engineering costs (design/path
   survey); installation; systems testing; FCC filing costs; site
   acquisition and civil works; zoning costs; training; disposal of old
   equipment; test equipment (vendor required); spare equipment; project
   management; prior coordination notification under § 101.103(d) of this
   chapter; site lease renegotiation; required antenna upgrades for
   interference control; power plant upgrade (if required); electrical
   grounding systems; Heating Ventilation and Air Conditioning (HVAC) (if
   required); alternate transport equipment; and leased facilities.
   Increased recurring costs represent part of the actual cost of
   relocation and, even if the compensation to the incumbent is in the
   form of a commitment to pay five years of charges, the AWS or MSS/ATC
   relocator is entitled to seek immediate reimbursement of the lump sum
   amount based on present value using current interest rates, provided it
   has entered into a legally binding agreement to pay the charges. C also
   includes voluntarily relocating microwave incumbent's independent third
   party appraisal of its compensable relocation costs and incumbent
   transaction expenses that are directly attributable to the 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. C may
   not exceed $250,000 per paired link, with an additional $150,000
   permitted if a new or modified tower is required.

   (c) N equals the number of AWS and MSS/ATC entities that have triggered
   a cost-sharing obligation. For the AWS relocator, N = 1. For the next
   AWS entity triggering a cost-sharing obligation, N = 2, and so on. In
   the case of a voluntarily relocating microwave incumbent, N = 1 for the
   first AWS entity triggering a cost-sharing obligation. For the next AWS
   or MSS/ATC entity triggering a cost-sharing obligation, N = 2, and so
   on.

   (d) Tm equals the number of months that have elapsed between the month
   the AWS or MSS/ATC relocator or voluntarily relocating microwave
   incumbent obtains reimbursement rights for the link and the month in
   which an AWS entity triggers a cost-sharing obligation. An AWS or
   MSS/ATC relocator obtains reimbursement rights for the link on the date
   that it signs a relocation agreement with a microwave incumbent. A
   voluntarily relocating microwave incumbent obtains reimbursement rights
   for the link on the date that the incumbent notifies the Commission
   that it intends to discontinue, or has discontinued, the use of the
   link, pursuant to § 101.305 of the Commission's rules.

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