NEWS
Federal Communications Commission
445 12th Street, S.W.
Washington, D. C.  20554
This is an unofficial announcement of Commission action.  Release of the full text of a Commission order constitutes official action.
See MCI v. FCC. 515 F 2d 385 (D.C. Circ 1974).
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FOR IMMEDIATE RELEASE: NEWS MEDIA CONTACT:
November 15, 2007 Chelsea Fallon: (202) 418-7991
FCC WAIVES PORTIONS OF ITS “DESIGNATED ENTITY”
ELIGIBILITY RULES FOR THE UPPER 700 MHz D BLOCK LICENSE
Washington, D.C. – In an Order released today, the Federal Communications 
Commission (FCC) waived one of its designated entity eligibility rules for the Upper 700 MHz 
D Block license.  The single, nationwide Upper D Block license will be part of the 700 MHz 
Public Safety/Private Partnership with the 700 MHz Public Safety Broadband Licensee. This 
Partnership is designed to enable the construction of a nationwide, interoperable broadband 
communications network for public safety.
With today’s action, the FCC decided that it will not apply its “impermissible material 
relationship” rule when determining designated entity eligibility for the Upper D Block license.  
Under this rule, except for cases where specifically grandfathered, an applicant or a licensee is 
considered to have an “impermissible material relationship” if it has entered into arrangements 
with one or more entities for the lease or resale (including wholesaling arrangements) of more 
than 50 percent of the spectrum capacity, and is therefore ineligible for designated entity 
benefits.  
Because the FCC is waiving this rule for the Upper D Block license, entities that have 
entered into an otherwise “impermissible material relationship” when applying for the Upper D 
Block license can still qualify as designated entities as long as they meet all of the FCC’s other 
designated entity eligibility requirements.  In addition, if the Upper D Block is licensed to a 
designated entity, the licensee will not be prohibited from entering into agreements to, on a 
cumulative basis, lease or resell (including wholesale agreements) more than 50 percent of its 
spectrum capacity to other entities. The Upper D Block applicants and licensee will remain 
subject to the FCC’s other designated entity provisions, including the “attributable material 
relationship” and unjust enrichment rules.
The FCC found that the unique circumstances and obligations of the Upper D Block 
license, together with the application of the FCC’s other designated entity eligibility rules, make 
the application of the “impermissible material relationship” rule unnecessary and inequitable in 
this instance.  The Upper D Block licensee is required to construct and operate a nationwide, 
interoperable broadband network across both the Upper D Block and the 700 MHz public safety 
broadband spectrum under stringent build out requirements.  In addition, the winning bidder for 
the Upper D Block license is obligated to negotiate a Network Sharing Agreement (NSA) with 
the Public Safety Broadband Licensee.  The NSA must be approved by the FCC before the 
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Upper D Block license is granted to the winning bidder, and the FCC will retain an ongoing role 
in overseeing the negotiation and implementation of the NSA. The FCC’s significant oversight 
role, along with the requirements and obligations of the license, will ensure that today’s waiver 
will not undermine the underlying purposes of the “impermissible material relationship” rule or 
risk any abuses that the rules is designed to address.  
Action by the Commission on November 15, 2007, by Order (FCC 07-197). Chairman Martin 
and Commissioners Copps, Adelstein, Tate, and McDowell.
For additional information, contact Margaret Wiener, Wireless Telecommunications Bureau, at 
(202) 418-2176, or Margaret.Wiener@fcc.gov.
– FCC –
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