Goto Section: 90.711 | 90.715 | Table of Contents

FCC 90.713
Revised as of October 1, 2006
Goto Year:2005 | 2007
Sec.  90.713   Entry criteria.

   (a) As set forth in  Sec. 90.717, four 5-channel blocks are available for
   nationwide, commercial use to non-Government, Phase I applicants. Applicants
   for these nationwide channel blocks must comply with paragraphs (b), (c),
   and (d) of this section.

   (b)(1) An applicant must include certification that, within ten years of
   receiving a license, it will construct a minimum of one base station in at
   least 70 different geographic areas designated in the application; that base
   stations will be located in a minimum of 28 of the 100 urban areas listed in
    Sec. 90.741; and that each base station will have all five assigned nationwide
   channels constructed and placed in operation (regularly interacting with
   mobile and/or portable units).

   (2) An applicant must include certification that it will meet the
   construction requirements set forth in  Sec. 90.725.

   (3) An applicant must include a ten-year schedule detailing plans for
   construction of the proposed system.

   (4) An applicant must include an itemized estimate of the cost of
   constructing 40 percent of the system and operating the system during the
   first four years of the license term.

   (5) An applicant must include proof that the applicant has sufficient
   financial resources to construct 40 percent of the system and operate the
   proposed land mobile system for the first four years of the license term;
   i.e., that the applicant has net current assets sufficient to cover
   estimated costs or a firm financial commitment sufficient to cover estimated
   costs.

   (c) An applicant relying on personal or internal resources for the showing
   required in paragraph (b) of this section must submit independently audited
   financial statements certified within one year of the date of the
   application showing net current assets sufficient to meet estimated
   construction and operating costs. An applicant must also submit an unaudited
   balance sheet, current within 60 days of the date of submission, that
   clearly shows the continued availability of sufficient net current assets to
   construct and operate the proposed system, and a certification by the
   applicant or an officer of the applicant organization attesting to the
   validity of the balance sheet.

   (d) An applicant submitting evidence of a firm financial commitment for the
   showing required in paragraph (b) of this section must obtain the commitment
   from a bona fide commercially acceptable source, e.g., a state or federally
   chartered bank or savings and loan institution, other recognized financial
   institution, the financial arm of a capital equipment supplier, or an
   investment banking house. If the lender is not a state or federally
   chartered bank or savings and loan institution, other recognized financial
   institution, the financial arm of a capital equipment supplier, or an
   investment banking house, the lender must also demonstrate that it has funds
   available to cover the total commitments it has made. The lender's
   commitment shall contain a statement that the lender:

   (1) Has examined the financial condition of the applicant including an
   audited financial statement, and has determined that the applicant is
   creditworthy;

   (2) Has examined the financial viability of the proposed system for which
   the applicant intends to use the commitment; and

   (3) Is willing, if the applicant is seeking a Phase I, commercial nationwide
   license, to provide a sum to the applicant sufficient to cover the realistic
   and prudent estimated costs of construction of 40 percent of the system and
   operation of the system for the first four years of the license term.

   (e) A Phase II applicant for authorization in a geographic area for Channels
   166 through 170 in the public safety/mutual aid category may not have any
   interest in another pending application in the same geographic area for
   Channels 166 through 170 in the public safety/mutual aid category, and a
   Phase II applicant for authorization in a geographic area for channels in
   the emergency medical category may not have any interest in another pending
   application in the same geographic area for channels in the emergency
   medical category.

   [ 62 FR 15994 , Apr. 3, 1997, as amended at  62 FR 18935 , Apr. 17, 1997]


Goto Section: 90.711 | 90.715

Goto Year: 2005 | 2007
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