Federal Communications Commission FCC 14-129
Before the
Federal Communications Commission
Washington, DC 20554
In the Matter of
Assessment and Collection of Regulatory Fees    
for Fiscal Year 2014
Assessment and Collection of Regulatory Fees for 
Fiscal Year 2013
Procedures for Assessment and Collection of 
Regulatory Fees 
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MD Docket No. 14-92
MD Docket No. 13-140
MD Docket No. 12-201
REPORT AND ORDER
AND FURTHER NOTICE OF PROPOSED RULEMAKING
Adopted:  August 29, 2014 Released:  August 29, 2014
By the Commission:
Comment Date:  (30 days after date of publication in the Federal Register)
Reply Comment Date:  (60 days after date of publication in the Federal Register)
TABLE OF CONTENTS
Heading Paragraph #
I. INTRODUCTION AND EXECUTIVE SUMMARY ........................................................................... 1
II. BACKGROUND.................................................................................................................................... 2
III. DISCUSSION ........................................................................................................................................ 6
A. AM Expanded Band Radio Stations ................................................................................................ 6
B. Reallocations within Fee Categories................................................................................................ 8
1. Submarine Cable ....................................................................................................................... 8
2. Earth Stations .......................................................................................................................... 12
C. Improving the Regulatory Fee Process .......................................................................................... 13
D. Revising the De Minimis Threshold .............................................................................................. 18
E. Eliminating Certain Regulatory Fee Categories ............................................................................ 22
F. New Regulatory Fee Categories—Toll Free Numbers .................................................................. 25
G. Additional Regulatory Fee Reform................................................................................................ 29
H. Other Issues.................................................................................................................................... 30
IV. SECOND FURTHER NOTICE OF PROPOSED RULEMAKING.................................................... 36
A. Toll Free Numbers ......................................................................................................................... 36
B. DBS................................................................................................................................................ 38
V. PROCEDURAL MATTERS................................................................................................................ 44
VI. ORDERING CLAUSES....................................................................................................................... 62
APPENDIX A — List of Commenters
APPENDIX B — Calculation of FY 2014 Revenue Requirement
APPENDIX C — FY 2014 Schedule of Regulatory Fees
Federal Communications Commission FCC 14-129
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APPENDIX D — Sources of Program Unit Estimates
APPENDIX E — Factors, Measurements, and Allocations
APPENDIX F — Final Regulatory Flexibility Analysis
APPENDIX G — Initial Regulatory Flexibility Analysis
APPENDIX H — Revised Allocations
APPENDIX I — Rule Changes
I. INTRODUCTION AND EXECUTIVE SUMMARY
1. This Report and Order concludes the rulemaking proceeding initiated to collect 
$339,844,000 in regulatory fees for Fiscal Year (FY) 2014, pursuant to Section 9 of the Communications 
Act of 1934, as amended (the Act or Communications Act).
1
These regulatory fees are due in September 
2014.  This Report and Order also adopts several proposals from our June 13, 2014 Notice of Proposed 
Rulemaking and Second Further Notice of Proposed Rulemaking (FY 2014 NPRM).
2
  Specifically the 
proposals adopted are:  (1) ending the exemption of AM expanded band licenses from regulatory fees; (2) 
revising the apportionment between International Bureau licensees to reduce the proportion paid by the 
submarine cable/terrestrial and satellite bearer circuits by approximately five percent; (3) increasing the 
regulatory fees paid by earth station licensees by approximately 7.5 percent to more accurately reflect the 
regulation and oversight of this industry; (4) increasing our annual de minimis threshold from under $10 
to $500; (5) eliminating several regulatory fee categories (218-219 MHz, broadcast auxiliaries, and 
satellite television construction permits) from regulatory fee requirements; and adopting a regulatory fee 
for each toll free number managed by a Responsible Organization. The increase in the annual de minimis 
threshold, the elimination of three regulatory fee categories, and the new toll free category will be 
effective in FY 2015, following the required notification of Congress.  The other provisions adopted in 
this Report and Order will be in effect for FY 2014 upon publication of a summary of this Report and 
Order in the Federal Register and are reflected in the fee schedule attached as Appendix C. We are also 
seeking further comment on methods to ensure or encourage compliance with our new toll free regulatory 
fee requirement as well as a proposal to adopt a new direct broadcast satellite (DBS) regulatory fee 
category in the attached Further Notice of Proposed Rulemaking.
II. BACKGROUND
2. The Commission is required by Congress to assess regulatory fees each year in an 
amount that can reasonably be expected to equal the amount of its appropriation.
3
  The Commission 
calculates the fees by first determining the full-time equivalent (FTE)
4
number of employees performing
the regulatory activities specified in section 9(a), “adjusted to take into account factors that are reasonably 
                                                          
1
Section 9 regulatory fees are mandated by Congress and collected to recover the regulatory costs associated with 
the Commission’s enforcement, policy and rulemaking, user information, and international activities. 47 U.S.C. § 
159(a).  In FY 2013, the Commission was also required to collect $339,844,000 in regulatory fees.  The final 
collection amount was $10.9 million over this total, which the Commission deposited in the U.S. Treasury.  The 
year-to-date accumulated total is $81.9 million.
2
Assessment and Collection of Regulatory Fees for Fiscal Year 2014, Notice of Proposed Rulemaking, Second 
Further Notice of Proposed Rulemaking, and Order, MD Docket Nos. 14-92, 13-140, and 12-201, 29 FCC Rcd 6417 
(2014) (FY 2014 NPRM).  
3
47 U.S.C. § 159(b)(1)(B).
4
One FTE, a “Full Time Equivalent” or “Full Time Employee,” is a unit of measure equal to the work performed 
annually by a full time person (working a 40 hour workweek for a full year) assigned to the particular job, and 
subject to agency personnel staffing limitations established by the U.S. Office of Management and Budget.
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related to the benefits provided to the payer of the fee by the Commission’s activities….”
5
  Regulatory 
fees must also cover the costs the Commission incurs in regulating entities that are statutorily exempt 
from paying regulatory fees,
6
entities whose regulatory fees are waived,
7
and entities that provide 
nonregulated services.
8
  To calculate regulatory fees, the Commission allocates the total amount to be 
collected among the various regulatory fee categories.  This allocation is based on the number of FTEs 
assigned to work in each regulatory fee category.  FTEs are categorized as “direct” if they are performing 
regulatory activities in one of the “core” bureaus, i.e., the Wireless Telecommunications Bureau, Media
Bureau, Wireline Competition Bureau, and part of the International Bureau.  All other FTEs are 
considered “indirect.”
9
The total FTEs for each fee category is calculated by counting the number of 
direct FTEs in the core bureau that regulates that category, plus a proportional allocation of indirect FTEs.  
Each regulatee within a fee category pays its proportionate share based on an objective measure, e.g.,
revenues, or number of subscribers or licenses.
10
  
3. Section 9 of the Act requires the Commission to make certain changes to the regulatory 
fee schedule “if the Commission determines that the schedule requires amendment to comply with the 
requirements” of section 9(b)(1)(A).
11
The Commission is required, by rule, to revise regulatory fees by 
proportionate increases or decreases to reflect changes in the amount appropriated for the performance of 
its regulatory activities.
12
  The Commission must add, delete, or reclassify services in the fee schedule to 
reflect additions, deletions, or changes in the nature of its services “as a consequence of Commission 
rulemaking proceedings or changes in law.” These “permitted amendments” require Congressional 
notification
13
before they may take effect and any resulting changes in fees are not subject to judicial 
review.
14
  
4. We continue our efforts to examine areas where we can improve our regulatory fee 
process to better reflect changes in the industry and at the Commission, and this Report and Order is 
another step in this process.  The Commission began this regulatory fee reform analysis in the FY 2008 
                                                          
5
47 U.S.C. § 159(b)(1)(A). When section 9 was adopted, the total FTEs were to be calculated based on the number 
of FTEs in the Private Radio Bureau, Mass Media Bureau, and Common Carrier Bureau.  (The names of these 
bureaus were subsequently changed.)  Satellites and submarine cable were regulated through the Common Carrier 
Bureau before the International Bureau was created.  
6
Assessment and Collection of Regulatory Fees for Fiscal Year 2004, Report and Order, 19 FCC Rcd 11662, 11666, 
para. 11 (2004) (FY 2004 Report and Order).  For example, governmental and nonprofit entities are exempt from 
regulatory fees under section 9(h) of the Act.  47 U.S.C. § 159(h); 47 C.F.R. § 1.1162.
7
47 C.F.R. § 1.1166.
8
E.g., broadband services, non-U.S.-licensed space stations.
9
The indirect FTEs are the employees from the International Bureau (in part), Enforcement Bureau, Consumer &
Governmental Affairs Bureau, Public Safety & Homeland Security Bureau, Chairman and Commissioners’ offices, 
Office of the Managing Director, Office of General Counsel, Office of the Inspector General, Office of 
Communications Business Opportunities, Office of Engineering and Technology, Office of Legislative Affairs, 
Office of Strategic Planning and Policy Analysis, Office of Workplace Diversity, Office of Media Relations, and 
Office of Administrative Law Judges, totaling 1,044 FTEs.  
10
For a fuller description of this process, see Assessment and Collection of Regulatory Fees, Notice of Proposed 
Rulemaking, 27 FCC Rcd 8458, 8461-62, paras. 8-11 (2012) (FY 2012 NPRM).
11
47 U.S.C. § 159(b)(1)(A).
12
47 U.S.C. § 159(b)(2) (Mandatory Amendments).
13
47 U.S.C. § 159(b)(4)(B).
14
47 U.S.C. § 159(b)(3).
Federal Communications Commission FCC 14-129
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Further Notice.
15
  Regulatory fees cannot be precisely calibrated to the actual costs of the regulatory 
activities; however, there may be areas in which we can revise and improve the regulatory fee process.
16
  
In that proceeding, the Commission sought comment on several issues, e.g., updating FTE allocations;
17
ITTA’s proposal to add wireless providers to the Interstate Telecommunications Service Providers (ITSP) 
category, which includes interexchange carriers (IXCs), incumbent local exchange carriers (LECs), toll 
resellers, and other IXC service providers regulated by the Wireline Competition Bureau;
18
adding a
category for Internet Protocol TV (IPTV);
19
and adopting a per-subscriber fee for direct broadcast satellite 
(DBS).
20
  In its 2012 report on the Commission’s regulatory fee program the Government Accountability 
Office (GAO) encouraged the Commission to update the FTE allocations to better align regulatory fees 
with regulatory costs.
21
  In the FY 2012 NPRM
22
and the FY 2013 NPRM
23
the Commission also sought 
comment on revising the FTE allocations; and in the FY 2013 Report and Order we adopted updated FTE 
allocations to more accurately reflect the number of FTEs working on regulation and oversight of the 
regulatees in the various fee categories;
24
we also combined the UHF and VHF television stations into one 
regulatory fee category,
25
and created a fee category to include IPTV.
26
    
5. In our FY 2014 NPRM, we sought comment on proposed regulatory fees and on whether 
AM expanded band radio stations should remain exempt from regulatory fees.  In addition, we sought 
comment on additional reform measures including: (1) reallocating some of the FTEs from the 
Enforcement Bureau, the Consumer & Governmental Affairs Bureau, and the Office of Engineering and 
Technology, as direct FTEs for regulatory fee purposes; (2) reapportioning the fee allocations between 
groups of International Bureau regulatees; (3) periodically updating FTE allocations; (4) applying a cap 
on any regulatory fee increases for FY 2014; (5) improving access to information through our website; (6) 
establishing a higher de minimis threshold; (7) eliminating certain regulatory fee categories; (8) 
combining ITSP and wireless voice services into one fee category; (9) adding DBS operators to the cable 
television and IPTV category; (10) creating a new regulatory fee category for non-U.S. licensed space 
stations, or, alternatively, reallocating some FTEs assigned to work on non-U.S. licensed space station 
                                                          
15
See Assessment and Collection of Regulatory Fees for Fiscal Year 2008, MD Docket No. 08-65, Report and Order 
and Further Notice of Proposed Rulemaking, 24 FCC Rcd 6388 (2008) (FY 2008 Further Notice).
16
FY 2008 Further Notice, 24 FCC Rcd at 6402, para. 30.
17
Id., 24 FCC Rcd at 6405, para. 41.    
18
Id., 24 FCC Rcd at 6404, para. 40.    
19
Id., 24 FCC Rcd at 6406-07, paras. 48-49.
20
Id., 24 FCC Rcd at 6407, para. 50.  Although these proposals were not adopted at that time; we later adopted a 
new methodology for assessing regulatory fees for the submarine cable industry.  See Assessment and Collection of 
Regulatory Fees for Fiscal Year 2008, Second Report and Order, 24 FCC Rcd 4208, 4213, para. 11 (2009) 
(Submarine Cable Order).
21
See GAO, Federal Communications Commission, “Regulatory Fee Process Needs to be Updated,” Aug. 2012, 
GAO-12-686 (GAO Report).
22
FY 2012 NPRM, 27 FCC Rcd at 8465-8469, paras. 18-34.
23
Assessment and Collection of Regulatory Fees for Fiscal Year 2013, Notice of Proposed Rulemaking and Further 
Notice of Proposed Rulemaking, MD Docket Nos. 13-140, 12-201, and 08-65, 28 FCC Rcd 7790, 7796-7803, paras. 
15-29 (2013) (FY 2013 NPRM).
24
Assessment and Collection of Regulatory Fees for Fiscal Year 2013, MD Docket No. 08-65, Report and Order, 28
FCC Rcd 12351, 12354-58, paras 10-20 (2013) (FY 2013 Report and Order).
25
FY 2013 Report and Order, 28 FCC Rcd at 12361-62, paras. 29-31.
26
Id., 28 FCC Rcd at 12362-63, paras. 32-33.
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issues as indirect for regulatory fee purposes; and (11) adding a new regulatory fee category for toll free 
numbers.  Some of these issues had been raised in earlier regulatory fee proceedings and other issues were 
discussed for the first time as part of our reform process.  We received 19 comments (some of which are 
joint comments) and six reply comments.  Appendix A is a list of the commenters in this proceeding.
III. DISCUSSION
A. AM Expanded Band Radio Stations
6. Licensees operating a standard band AM station (540-1600 kHz) linked to an AM 
expanded band station (1605-1705 kHz) are subject to regulatory fees for the standard band station only.
27
  
The Commission decided not to require section 9 regulatory fee payments for AM expanded band stations
to encourage the movement to the expanded band and reduce interference in the standard band.
28
In 
doing so, the Commission determined that at some future point we might impose section 9 regulatory fee 
requirements for AM expanded band stations.
29
  In the FY 2008 FNPRM, the Commission stated that 
“[t]here is no compelling reason to permanently exempt AM expanded band licensees from paying 
regulatory fees.  As a general matter, it would be appropriate to treat the AM expanded band and the AM 
standard band similarly for regulatory fee purposes.”
30
  In the FY 2014 NPRM, we proposed adopting a 
section 9 regulatory fee obligation for all AM expanded band radio stations.
31
  
7. A number of AM expanded band broadcasters have chosen to operate exclusively in the 
expanded band; at least two opted to retain their standard band licenses.  We find that there is no longer a 
reason to provide this regulatory fee exemption to AM broadcasters.
32
  Broadcasters who have retained 
both their standard and expanded band licenses should not continue to be exempt from paying regulatory 
fees because the exemption’s original purpose of encouraging AM broadcasters to move to the expanded 
band and reduce interference in the standard band has been achieved.  Therefore, we adopt the proposal in 
the FY 2014 NPRM by discontinuing the exemption.  Broadcasters who are operating in the AM 
expanded band will pay regulatory fees on the same basis as AM standard band licensees beginning in FY 
2014.     
B. Reallocations within Fee Categories
1. Submarine Cable
8. Submarine cable systems
33
transport data, as well as voice services, for international 
carriers, Internet providers, wholesale operators, corporate customers, and governments.  The submarine 
cable industry is subject to minimal regulation and oversight from the Commission after the initial 
licensing process.
34
  After a submarine cable system is licensed, the regulatory activity is primarily 
                                                          
27
See Assessment and Collection of Regulatory Fees for Fiscal Year 2005 and Assessment and Collection of 
Regulatory Fees for Fiscal Year 2004, MD Docket Nos. 05-59 and 04-73, Report and Order and Order on 
Reconsideration, 20 FCC Rcd 12259, 12267, paras. 24-25 (2005) (FY 2005 Report and Order).
28
FY 2005 Report and Order, 20 FCC Rcd at 12267, para. 25.
29
Id.
30
See FY 2008 FNPRM, 24 FCC Rcd at 6393, para. 13.
31
FY 2014 NPRM, 29 FCC Rcd at 6424, para. 19.
32
Commenters addressing this issue support assessing regulatory fees on the AM expanded band licensees. See T. 
Cowan Comments at 1.  We did not receive any comments objecting to discontinuation of the exemption.
33
Submarine cable systems are undersea cables between land-based stations carrying data and voice services.
34
FY 2014 NPRM, 29 FCC Rcd at 6427, para. 28.
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limited to preparing Circuit Status Reports
35
and filing of quarterly reports by licensees affiliated with a 
carrier with market power in destination market of the submarine cable.
36
  
9. Previously, commenters proposed that the regulatory fees among International Bureau 
licensees should be adjusted to reflect this minimal oversight
37
and we sought comment on this issue in 
the FY 2014 NPRM.
38
  We tentatively concluded in the FY 2014 NPRM that we should revise the 
apportionment between satellite services (space station and earth station regulatory fee categories) and the
submarine cable operators/terrestrial and satellite circuits (submarine cable/bearer circuits) to more 
accurately reflect the  amount of oversight and regulation for these industries.
39
The satellite services pay 
59 percent of the total regulatory fees allocated to International Bureau licensees and submarine cable 
pays 41 percent of this total.  Submarine cable is subject to minimal regulation and oversight after being 
licensed, and therefore, the current allocation of 41 percent of regulatory fees is excessive for this 
industry.
10. For instance, in response to the FY 2014 NPRM, NASCA, representing several submarine 
cable operators (with 29 of the 41 active systems landing in the United States) emphasized that the 
Commission engages in limited enforcement activity, policy and rulemaking actions, user information 
services, and international activities regarding submarine cable operators.
40
  NASCA also observes that 
most of the Commission’s work related to submarine cable is limited to licensing, processing 
applications, and reviewing proposed transactions.
41
  
11. We agree that the combined revenue requirement for submarine cable is currently too 
high compared to the revenue requirement for the satellite and earth station operators.
42
  Specifically, the 
current regulatory fee assessment for the submarine cable category does not fairly take into account the 
Commission’s minimal oversight and regulation of the industry, as demonstrated by NASCA.  We 
therefore reduce the regulatory fee apportionment for submarine cable to more accurately reflect the 
amount of regulation and oversight for this industry.  In doing so, we find a five percent decrease in 
regulatory fee obligations is appropriate at this time.  This decrease reflects that although only two FTEs 
in the International Bureau work on submarine cable issues, a total of 47.5 indirect FTEs devote time to 
both submarine cable and other regulatees of the International Bureau.
43
  A five percent decrease, is 
therefore appropriate because it reflects both the direct work on submarine cable issues and the indirect 
FTEs that devote their time to International Bureau regulatees as a whole.  As discussed below, this
approximately five percent decrease in regulatory fees for submarine cable results in a change in the 
                                                          
35
See Reporting Requirements for U.S. Providers of International Telecommunications Services; Amendment of 
Part 43 of the Commission’s Rules, IB Docket No. 04-112, Second Report and Order, 28 FCC Rcd 575, 601-08, 
paras. 89-108 (2013), recon. pending.
36
See 47 C.F.R. § 1.767(l).
37
See, e.g., NASCA Comments at 8-9 (filed June 19, 2013); Telstra Comments at 2 (filed June 19, 2013); ICC 
Reply Comments at 2 (filed June 19, 2013).
38
FY 2014 NPRM, 29 FCC Rcd at 6427, para. 28.
39
The revenue allocation between submarine cable operators and common carrier terrestrial and satellite circuits is 
87.6 percent/12.4 percent and was adopted in the Submarine Cable Order.  See Assessment and Collection of 
Regulatory Fees for Fiscal Year 2008, Second Report and Order, 24 FCC Rcd 4208 (2009) (Submarine Cable
Order).  We did not propose any change to this allocation in the FY 2014 NPRM.
40
NASCA Comments at 5-7.
41
NASCA Comments at 7.
42
NASCA Comments at 10-12.
43
FY 2013 Report and Order, 28 FCC Rcd at 12355, para. 13.
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allocation percentage between Submarine Cable and Bearer Circuit issues (41 percent of International 
regulatory fees), and Satellite and Earth Station issues (59 percent of International regulatory fees) to 
35.72 percent and 64.28 percent, respectively.  We will revisit the issue of submarine cable systems in 
future regulatory fee proceedings to determine if additional adjustment is warranted. 
2. Earth Stations
12. An earth station transmits or receives messages from a satellite.  In the FY 2014 NPRM, 
the Commission recognized that oversight and regulation of the satellite industry by International Bureau 
FTEs involves legal, technical, and policy issues pertaining to both space station and earth station 
operations and is therefore interdependent to some degree.
44
  We also recognized in the FY 2014 NPRM, 
that our activities concerning the satellite industry also involve issues related to non-U.S. licensed space 
stations that access the U.S. market but do not pay regulatory fees.
45
In light of this, we sought comment
on whether we should increase the earth station regulatory fee allocation in order to reflect more 
appropriately the number of FTEs devoted to the regulation and oversight of the earth station portion of 
the satellite industry.
46
  Commenters suggest that if the Commission needs a specific mechanism to 
account for International Bureau FTEs working on market access requests from non-U.S.-licensed 
satellites, the Commission should do so by increasing the earth station regulatory fee.
47
  EchoStar and 
DISH observe that earth station licensees’ regulatory fees may not reflect the regulatory cost associated 
with these systems for regulatory fee purposes.  These commenters also note that space stations pay an 
unreasonably high portion of the regulatory fees for this allocation.
48
  Commenters also suggest the 
current allocation between space and earth station operators does not reflect the significant streamlining 
of space station regulation that has occurred.
49
  We agree with commenters and adjust the regulatory fees 
for earth stations to reflect the relative oversight and regulation of space stations and earth stations.  
Accordingly, as discussed above, we revise the allocation of the submarine cable/bearer circuit fee 
categories from 41 percent of all international regulatory fees to approximately 36 percent of all 
international regulatory fees.  This reduction in the allocation of submarine cable/bearer circuit fee 
categories results in an increase in the satellite/earth station allocation percentage from 59 percent to
approximately 64 percent.  This five percent change in allocation results in a larger projected revenue 
collection for satellite and earth stations.  To collect this additional revenue for FY 2014 we will increase 
earth stations regulatory fees by 7.5 percent from their FY 2013 rates and we will collect the remaining 
revenue from the satellite fee categories.           
C. Improving the Regulatory Fee Process
13. As noted earlier, this Report and Order is our latest step in reforming our regulatory fee 
process.  In the FY 2013 Report and Order, the Commission committed to additional regulatory fee 
reform, stating: 
                                                          
44
FY 2014 NPRM, 29 FCC Rcd at 6428, para. 29. Some of these FTEs work on earth station issues that pertain to 
non-U.S.-licensed space stations.
45
Id., 29 FCC Rcd at 6433, paras. 47-50.
46
Id., 29 FCC Rcd at 6428, para. 29.
47
Satellite Parties Comments at 8-10 (“assessing these costs as part of earth station regulatory fees may be a better 
(albeit imperfect) method of capturing these costs”).
48
See, e.g., Echostar and DISH Comments at 5.
49
See, e.g., SIA Comments at 5.  See also Comprehensive Review of Licensing and Operating Rules for Satellite 
Services, Report and Order, 28 FCC Rcd 12403 at 1205, n.2 (2013) (providing an exhaustive list of streamlined 
actions with respect to satellite services).
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Various other issues relevant to revising our regulatory fee program were also raised in either the 
FY 2013 NPRM or in comments submitted in response to it.  Because we require further 
information to best determine what action to take on these complex issues, we will consolidate 
them for consideration in a Second Further Notice of Proposed Rulemaking that we will issue 
shortly.  We recognize that these are complex issues and that resolving them will be difficult.  
Nevertheless, we intend to conclusively readjust regulatory fees within three years.
50
14. We adopted significant reforms in the FY 2013 Report and Order and we continued to 
seek comment on additional reforms in the FY 2014 NPRM and in the Further Notice included in this 
order.  In the FY 2014 NPRM we sought comment on how often we should engage in an in-depth review 
of our regulatory fee methodology in a way that balances the need for stability to enable regulatees in 
various industry sectors to budget for regulatory fees against the need to reflect the changing work of the 
Commission FTEs.
51
Commenters agree that we should update our FTE allocations at regular intervals, 
such as annually, to avoid assessing regulatory fees based on outdated information.
52
  
15. We conclude that it is appropriate to update the FTE count annually.  We agree with 
commenters and the GAO that regular updates are appropriate in order to calculate regulatory fees more 
accurately.  We also find it appropriate to perform these updates annually because doing so will ensure 
use of the most current FTE counts in regulatory fee calculations, while imposing little administrative 
burden on the Commission. We will begin this process beginning in FY 2015.  
16. Commenters also suggest that we conclude our regulatory fee proceedings earlier in the 
year;
53
however, it is not feasible to do so because our fee calculations (unit estimates) are generally
updated based on industry submissions with filing deadlines between April and June, and this data is 
crucial in determining an accurate fee rate prior to release of the regulatory fee notice of proposed 
rulemaking.
54
  Given these deadlines, which are set for additional purposes beyond regulatory fees and the 
time needed to comply with rulemaking requirements, it is not currently feasible to conduct and conclude 
the regulatory fee process earlier in the year.  
17. Concerning revising allocations, we believe it would be appropriate to seek comment on 
any such revisions every two years, or as needed.  Whereas updating the FTEs can be accomplished at 
minimal cost to the Commission, revising the allocations is a more complex process requiring in-depth 
analysis and public comment.  Moreover, revising the allocations annually could create regulatory 
uncertainty based on changes stemming from small variations in annual workload rather than a longer
lasting change. Therefore, given the need for regulatory certainty and the time needed for the
Commission to conduct the appropriate rulemaking proceedings we conclude that a biennial process for 
revising allocations is preferable to an annual one. 
                                                          
50
FY 2013 Report and Order, 28 FCC Rcd at 12352, para. 5.
51
FY 2014 NPRM, 29 FCC Rcd at 6428, para. 30.
52
CTIA Comments at 2; ITTA Comments at 12-13; USTelecom Reply Comments at 2-4 (arguing that we should 
update the FTE count annually).
53
ITTA Comments at 14; USTelecom Reply Comments at 2-3.
54
E.g., revenue information is provided in the FCC Form 499-A, due April 1 each year, and Media Bureau licensees 
file data in June and July. In addition, the Circuit Status Report, which contains bearer circuit and submarine cable 
information, is filed with the International Bureau by March 31 each year.  After the International Bureau staff 
analyzes this information and requests supporting data, the final data is usually provided to the Managing Director in 
June .
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D. Revising the De Minimis Threshold 
18. Currently, a regulatee is exempt from paying regulatory fees if the sum total of all of its 
liabilities for all categories of regulatory fees for the fiscal year is less than $10.
55
  Because this $10 
annual threshold is too low to benefit most small entities, in the FY 2014 NPRM we proposed to increase
the de minimis threshold to $100, $500, or $1,000 to provide more relief to smaller entities and improve 
the cost effectiveness of the Commission’s collection of regulatory fees.
56
19. ACA contends, and we agree, that our previous de minimis threshold of $10 was too low 
to benefit the smaller licensees and provide cost effectiveness to our fee collection process.
57
  ACA
asserts that extending relief from regulatory fees to very small operators would have a de minimis impact 
on our regulatory fee collections
58
but may contribute to the difference between staying in business or 
shuttering the system for the operators and small and rural communities they serve.
59
  NAB also asserts
that a higher de minimis threshold would permit stations in small markets to devote more resources 
towards improved programming and signal quality.
60
20. AT&T suggests that in setting the de minimis threshold the Commission select a “fee 
amount just north of the point at which it costs the Commission more to assess and recover the fee than 
the fee actually brings in.”
61
  This suggestion is reasonable and, as we discuss below, is what we adopt 
today.  In addition, we take into account the significant non-financial benefits that justify an increased
threshold.  Smaller entities are at greater risk of missing regulatory fee deadlines because of their limited 
budgets and resources.  Nonpayment for these small entities then often results in the escalation of 
administrative and financial burdens, as these small entities must devote more resources to navigate 
through the late payment recovery process.  In addition, many of these entities are subject to little 
Commission oversight and regulation which serves to further exacerbate this inequity.  We therefore find 
the current $10 threshold unnecessarily burdens small entities, and raising it to $500 will provide financial 
relief to these entities, in addition to reducing the administrative burden on the Commission.  This higher 
threshold reflects the estimated costs of collecting an unpaid, minimal regulatory fee, at least $350 in 
direct costs,
62
and the benefits to these entities of a higher de minimis threshold.  In addition, setting the 
threshold at $500 is unlikely to reduce fee collections to an amount below the full amount of the 
Commission’s annual appropriation. Contrary to the assertion of ACA, which argues the de minimis 
threshold should be cable operators serving 1000 or fewer subscribers, or NAB, which argues for a $750 
or $1,000 de minimis threshold, we believe setting the de minimis threshold at $500 is the proper balance 
to ensure relief for smaller entities against the need for sufficient collection of regulatory fees consistent 
with the Commission’s responsibilities.  In particular, we find a de minimis threshold higher than $500 
may result in insufficient fees collected for the fiscal year.  We will continue to monitor the de minimis 
                                                          
55
The Commission’s Process Reform Report, 29 FCC Rcd 1338 (2014), also seeks comment on this issue.
56
FY 2014 NPRM, 29 FCC Rcd at 6428-29, paras. 31-32.    .  
57
ACA Comments at 9-13.
58
For example, figures from our FY 2013 regulatory fee collections show that increasing the de minimis threshold 
to $500 would have decreased the amount collected from cable licensees by only .125% and making the same 
change for ITSPs would have decreased collections for that fee category by only .04%.
59
ACA Comments at 12.
60
NAB Comments at 2.
61
AT&T Comments at 3.  See also CTIA Comments at 12.
62
The Commission estimates that the cost of researching, creating, and sending a bill to a non-payer bill, and 
completing all follow-up discussion and correspondence, totals more than $350.  This sum does not include 
overhead or the more difficult to quantify administrative costs of administering the regulatory fee program 
generally.
Federal Communications Commission FCC 14-129
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issue and, in the future, will consider whether to further increase the threshold, adopt a threshold based on 
the number of cable and IPTV subscribers as suggested by ACA, or revise the threshold on some other 
basis.
21. The de minimis threshold we adopt today applies only to filers of annual regulatory fees 
(not multi-year filings).  This de minimis exemption from the payment of regulatory fees applies to the 
sum of all annual regulatory fee obligations that a regulatee has for all applicable fee categories; not to 
individual payments for each category separately.  So that all licensees have the same opportunity to 
include all of their licenses towards the $500 de minimis exemption, the Commission will raise the de 
minimis threshold to $500 beginning October 1, 2014, the first day of fiscal year 2015.  For example, in 
FY 2015, a regulatee will be exempt from paying regulatory fees if the sum total of all annual regulatory 
fee obligations between October 1, 2014 and September 30, 2015 is $500 or less.  This includes the sum 
total of all annual regulatory fees (but not multi-year wireless fees).  The de minimis status is not a 
permanent exemption from regulatory fees.  Rather, each regulatee will need to reevaluate annually to 
determine whether its total liability for annual regulatory fees falls at or below the threshold given any 
changes that the Commission may make in its regulatory fees from year to year.
E. Eliminating Certain Regulatory Fee Categories 
22. In the FY 2014 NPRM, we sought comment on whether to exclude certain categories, 
such as amateur radio vanity call signs
63
($21.60 for a 10-year license) and general mobile radio service 
(GMRS)
64
($25 for a five-year license), from regulatory fees.
65
  We also sought comment on eliminating 
other regulatory fee categories, such as Satellite TV, Satellite TV Construction Permits, Broadcast 
Auxiliaries,
66
LPTV/Class A Television and FM Translators/Boosters, and CMRS Messaging (Paging) 
from regulatory fees.  We sought comment on the benefits of discontinuing such collections because these 
fee categories account for a relatively small portion of annual regulatory fees.  The fees for single licenses
in many of these regulatory fee categories are below the de minimis threshold adopted above.  However, 
the de minimis threshold is an annual threshold and licensees that pay regulatory fees on multiple licenses 
during the fiscal year may exceed this de minimis threshold by the end of the fiscal year.      
23. Most commenters addressing this issue agree with our proposal.
67
  Commenters contend
that we should eliminate CMRS Messaging,
68
aviation ground licensees,
69
and certain broadcast 
                                                          
63
Amateur stations are normally assigned the next available call sign, based on the licensee’s geographic region and 
license status, i.e., a sequential call sign.  47 C.F.R. § 97.17(d).  The licensee can request a specific unassigned but 
assignable call sign, known as a vanity call sign. 47 C.F.R. § 97.19.  
64
GMRS is a land-mobile radio service available for short-distance two-way communications to facilitate the 
activities of a licensee and his or her immediate family members. See 47 C.F.R. § 95.1. We initially proposed 
eliminating regulatory fees for GMRS in the FY 2008 Further Notice.  See FY 2008 Further Notice, 24 FCC Rcd at 
6409, para. 57.
65
CTIA opposes this proposal because the exclusion of some categories would shift the burden to other categories.  
See CTIA Comments at 12-13.  These fee categories, however, account for a very small portion of annual regulatory 
fees.  R. Knowles suggests that we eliminate the application fee instead of the regulatory fee.  R. Knowles 
Comments at 4-7.  In Reply Comments, however, Mr. Knowles recommends we eliminate the GMRS regulatory fee.  
See R.Knowles Reply Comments at 1-5.  As noted below, we will not eliminate the GMRS regulatory fee because 
we do not yet have an adequate record to support it.
66
Broadcast Auxiliary stations are used for relaying broadcast aural and television signals. They can be used to 
relay signals from the studio to the transmitter, or between two points, such as a main studio and an auxiliary studio. 
The Broadcast Auxiliary services also include mobile TV pickups and remote pickup stations which relay signals 
from a remote location, back to the studio.
67
See, e.g., K. Harrison Comments at 2; NAB Comments at 2; R. Knowles Reply Comments at 1-5.
68
CMA Comments at 3-5.
Federal Communications Commission FCC 14-129
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categories,
70
because there is not intensive Commission oversight or regulation of these industry sectors.  
At this time, we are not eliminating these categories or GMRS, Satellite TV, LPTV/Class A Television 
and FM Translators/Boosters, and amateur radio Vanity Call Signs because, based on examination, we do 
not have adequate support to determine whether the cost of recovery and burden on small entities 
outweighs the collected revenue; or whether eliminating the fee would adversely affect the licensing 
process.  We will reevaluate this issue in the future to determine if we should eliminate other fee
categories.  
24. We conclude that we should eliminate 218-219 MHz licenses,
71
broadcast auxiliaries, and 
satellite television construction permits from the regulatory fee schedule, beginning in FY 2015.  Entities 
holding 218-219 MHz licenses pay an annual fee consisting of a regulatory fee and an annual license 
renewal fee. The Commission will eliminate the regulatory fee component of this three multi-year 
wireless fee category beginning in FY 2015.  Parties that already have such licenses, however, must 
continue to pay the annual renewal fee and will not be eligible for a refund of any previously paid 
licensing fees.  In the past several years, the Commission has received very few applications, if any, for 
218-219 MHz licenses, which has prompted us to eliminate this fee category.  We will eliminate annual
regulatory fees for satellite television construction permits, beginning in FY 2015 because the 
Commission has not received any new applications or payments of regulatory fees for this fee category in 
many years.  We have also decided to eliminate the broadcast auxiliary fee category beginning in FY 
2015 because the Commission spends more resources in monitoring and collecting these very small fees
($10 in FY 2013) than it collects.  After we eliminate the fee, licensees will no longer be burdened 
administratively and financially to identify each of their call signs and to submit payment.  Finally, 
eliminating this fee category benefits the Commission because it will no longer have to devote resources 
to associate each of the 27,000 call signs with the primary station of ownership.
F. New Regulatory Fee Categories—Toll Free Numbers
25. Toll free numbers allow callers to reach the called party without being charged for the 
call; instead the charge for the call is paid by the called party (the toll free subscriber).
72
Toll free 
numbers, as defined in section 52.101(f) of our rules,
73
are not currently subject to regulatory fees.  
Historically, the Commission has not assessed regulatory fees on toll free numbers under the rationale that 
the entities controlling the numbers, wireline and wireless carriers, were paying regulatory fees based on 
(Continued from previous page)                                                           
   
69
ASRI Comments at 6.
70
T. Cowan Comments at 1 (suggesting we also eliminate regulatory fees for Broadcast Auxiliaries and 
Translators); NAB Comments at 2 (suggesting we eliminate regulatory fees for Broadcast Auxiliaries, Low Power 
TV/Class A Television, and TV/FM Translators and Boosters.  We are eliminating broadcast auxiliaries, but not 
translators and boosters or low power TV/Class A television, at this time because translators and boosters are still an 
integral part of radio and television operations, whereas broadcast auxiliaries only carry the signal forward. As a 
result, compared to broadcast auxiliaries, the fee revenue derived from translators and boosters is approximately six 
times greater ($1.57 million versus .26 million), which the Commission would still need to recoup. However, in 
instances in which a regulatee has one translator/booster license, it would be exempt from regulatory fees because it 
would meet the de minimis threshold. 
71
The 218-219 MHz Service (formerly known as the Interactive Video and Data Service (or IVDS)) is in the 218-
219 MHz spectrum range. The 218-219 MHz Service spectrum is suitable for providing fixed or mobile services.
72
47 U.S.C. §§ 52.101 (e), (f).
73
Toll free numbers are telephone numbers for which the toll charges for completed calls are paid by the toll free 
subscriber.  See 47 C.F.R. § 52.101(f).  These are 800, 888, 877, 866, 855, or 844 numbers. SMS/800 (or the 800 
Service Management System) is a centralized system that performs toll free number management. For a list of 
RespOrgs on the SMS/800 website, see http://www.sms800.com/Controls/NAC/Serviceprovider.aspx.
Federal Communications Commission FCC 14-129
12
either revenues or subscribers.
74
  In the FY 2014 NPRM,
75
we recognized this may no longer be a realistic 
assumption as there appear to be many toll free numbers controlled or managed by entities, Responsible 
Organizations or RespOrgs,
76
that in some cases are not carriers.  In the FY 2014 NPRM we sought 
comment on whether we should assess regulatory fees on RespOrgs, for each toll free number managed 
by a RespOrg.
77
  
26. We find that the Commission has the legal authority and responsibility to assess 
regulatory fees on toll free numbers
78
and we adopt a new fee category for toll free numbers in this 
proceeding.
79
  The Commission has exclusive jurisdiction over “those portions of the North American 
Numbering Plan that pertain to the United States.”
80
  Commission FTEs, primarily in the Wireline 
Competition Bureau and the Enforcement Bureau, devote work to toll free numbering issues and activities 
including enforcement activities,
81
rulemakings, and other policy making proceedings.
82
  Because the 
Commission is required to devote its FTEs to toll number regulation, it is appropriate under section 9 of 
the Act to recover the associated costs.
83
   Exercising our authority under section 9 to assess regulatory 
fees on toll free numbers also advances a fundamental purpose of  section 251(e)(1) of the Act, to ensure 
the efficient, fair, and orderly allocation of toll free numbers.
84
  The Commission is empowered to ensure 
that toll free numbers, a valuable national public resource, are allocated in an equitable and orderly 
manner that serves the public interest.
85
  
27. Based on our evaluation, the FTEs involved in toll free issues are primarily from the 
Wireline Competition Bureau.
86
  Accordingly, a regulatory fee assessed on toll free numbers reduces the 
                                                          
74
See generally, Universal Service Contribution Methodology, Further Notice of Proposed Rulemaking, 27 FCC 
Rcd 5357, 5463-64, para. 306 (2012).
75
FY 2014 NPRM, 29 FCC Rcd at 6434-35, para. 51.
76
A RespOrg is a company that manages toll free telephone numbers for subscribers. They use the SMS/800 data 
base to verify the availability of specific numbers and to reserve the numbers for subscribers. See 47 C.F.R. § 
52.101(b).  
77
In the FY 2014 Further Notice we asked commenters whether we should assess regulatory fees on working, 
assigned, and reserved toll free numbers if we should assess regulatory fees for toll free numbers that are in the 
“transit” status, or any other status as defined in section 52.103 of the Commission’s rules. FY 2014 NPRM, 29 FCC 
Rcd at 6434-35, para. 51.
78
Toll Free Access Codes, Second Report and Order and Further Notice of Proposed Rulemaking, 12 FCC Rcd 
11162, 11178-79, para. 22 (1997) (Toll Free Second Report and Order) (Sections 201(b) and 251(e) of the Act 
“empower the Commission to ensure that toll free numbers . . . are allocated in an equitable and orderly manner that 
serves the public interest.”)
79
We will seek comment on the fee rate in our annual regulatory fee notice of proposed rulemaking next year.
80
47 U.S.C. § 251(e)(1).
81
See, e.g., Richard Jackowitz, IT Connect, Inc., Notice of Apparent Liability for Forfeiture, 29 FCC Rcd 3318
(2014); Richard Jackowitz, IT Connect, Inc., Notice of Apparent Liability for Forfeiture, 28 FCC Rcd 6692 (2013); 
Telseven, LLC, et al., Notice of Apparent Liability for Forfeiture, 27 FCC Rcd 15558 (2013).
82
See, e.g., Toll Free Second Report and Order, 12 FCC Rcd 11162 (1997).
83
47 U.S.C. § 159(a)(1).
84
See Toll Free Second Report and Order, 12 FCC Rcd at 11176, para. 18.
85
Id., 12 FCC Rcd at 11178-79, para. 22.
86
See, e.g., Toll Free Service Access Codes, Petition to Change the Composition of SMS/800, Inc., CC Docket No. 
95-155, WC Docket No. 12-260, Order, 28 FCC Rcd 15328 (2013); Enforcement Bureau staff also work on toll free 
issues.
Federal Communications Commission FCC 14-129
13
ITSP regulatory fee total; for example, if the total revenue requirement for toll free numbers had been 
four million dollars this year,
87
expected ITSP revenues would need only be $127,369,000 instead of 
$131,369,000 and the ITSP rate would need only be 0.00333 instead of 0.00343.  We, therefore, will 
assess regulatory fees on RespOrgs, for each toll free number managed by a RespOrg.
88
  We clarify that 
the regulatory fee, assessed on RespOrgs, for toll free numbers is limited to toll free numbers that are 
accessible within the United States.
89
28. Parties requested greater clarity and outreach to promote awareness of why this new fee 
category may be needed, especially for RespOrgs that the commenters allege are not generally 
accustomed to being regulated or paying regulatory fees.
90
  Consistent with past efforts by Commission 
staff to seek and obtain greater input concerning regulatory fee reform, we intend to engage and conduct 
outreach to promote awareness of this new category and to promote discussion with interested parties.
91
  
There will be sufficient time for such activities because this change will not take effect until FY 2015.  It
is a “permitted amendment” as defined in section 9(b)(3) of the Act, which, pursuant to section 9(b)(4)(B,
must be submitted to Congress at least 90 days before it becomes effective.
92
  Therefore, because the 
Commission will not have sufficient time to provide 90 days’ notice before September 30, 2014 we will 
not implement this change until FY 2015.
G. Additional Regulatory Fee Reform
29. In the FY 2014 NPRM we sought comment on ways to further improve our regulatory fee 
process to make it less burdensome for all entities, specifically smaller entities.
93
  We note that the 
Commission is currently seeking comment on Commission-wide “Process Reform,”
94
and we plan to 
adopt reforms to the regulatory fee process in conjunction with the Process Reform initiative.  In 
particular, the Managing Director has placed regulatory fee waiver decisions on the Commission’s 
website so that they are accessible to the public.
95
  Although the decisions are specifically applicable only 
to the parties involved, these letters can be helpful in providing guidance to all waiver applicants 
regarding the requirements of our rules.  The Managing Director has also initiated a complete review of 
the Commission’s regulatory fee webpage with the objective of improving access to other regulatory fee 
payment information.  The Managing Director is directed to provide details on other improvements in a 
subsequent public notice.
                                                          
87
See FY 2014 NPRM, 29 FCC Rcd at 6434-35, para. 51 (estimating based on assessment of one cent per month per 
managed toll free number by a RespOrg).
88
In the FY 2014 NPRM we asked commenters whether we should assess regulatory fees on working, assigned, and 
reserved toll free numbers and if we should assess regulatory fees for toll free numbers that are in the “transit” 
status, or any other status as defined in section 52.103 of the Commission’s rules. FY 2014 NPRM, 29 FCC Rcd at 
6434-35, para. 51.  We are including toll free numbers in any such status in this category.
89
See, e.g., Bell Canada Comments at 2. Other commenters support this new category.  See, e.g., ITTA Comments 
at 13.  One commenter, however, contends that it would be confusing to impose regulatory fees on a RespOrg that is 
not a carrier.  See Bandwidth.com Reply Comments at 2.  USTelecom argues that we need to clarify our proposal to 
impose regulatory fees on toll free numbers.  USTelecom Reply Comments at 5.
90
See Bandwidth Reply Comments at 2.
91
See FY 2014 NPRM, 29 FCC Rcd at 6421, para. 9.
92
47 U.S.C. § 159(b)(3).
93
FY 2014 NPRM, 29 FCC Rcd at 6429-6430, para. 35.
94
Process Reform Report, 29 FCC Rcd 1338 (2014).
95
These are in our electronic comment filing system (ECFS), under proceeding “86-285.”
Federal Communications Commission FCC 14-129
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H. Other Issues
30. One of the significant measures adopted in the FY 2013 regulatory fee reform process 
was updating the FTE allocations and allocating a portion of the International Bureau FTEs as indirect 
FTEs.
96
  We reallocated some FTEs from the International Bureau as indirect FTEs because the work 
those FTEs perform is for the Commission as a whole, rather than for a particular group of regulatees.
97
  
In the FY 2014 NPRM, we sought comment on additional FTE reallocations.  We recognize that 
reallocating FTEs from a core bureau as indirect, or from a non-core bureau as direct, could better align 
regulatory fees with the costs of regulation.  In this Report and Order we do not adopt further FTE 
reallocations.  Rather, as discussed below, we find that additional information and examination is needed 
to better understand, at a more granular level, the number of FTEs performing work related to the various 
types of regulatees throughout the communications industry.  In particular, the work of the Wireline 
Competition Bureau, Wireless Telecommunications Bureau, and Media Bureau has, in many cases, 
converged over time and their regulation of various types of regulatees involves similar issues and 
generates common Commission costs.
98
  In addition, we have seen an increase in the number of wireless 
subscribers and a decrease in wireline (switched access lines and interconnected Voice over Internet 
Protocol (VoIP), together) subscribers.
99
  From June 2011 to June 2014 wireless subscribers have 
increased from 298 million to 335 million, while the total wireline access lines (switched access lines and 
VoIP subscriptions, together) have decreased from 146 million to 135 million.
100
  Fewer wireline 
customers over time may result in disproportionately higher regulatory fees for the ITSP industry.  Also, a 
growth in segments of the industry that do not pay regulatory fees can also increase the regulatory fee 
burden on the remaining industries.  For these reasons, Commission staff will continue its analysis of 
these issues and we intend to seek further comment on reallocation proposals in future regulatory 
proceedings.
31. In the FY 2014 NPRM, we specifically sought comment on a proposal from SIA to 
reallocate FTEs from the Enforcement Bureau and the Consumer & Governmental Affairs Bureau to 
other bureaus.
101
  SIA contends that the FTEs in these two non-core bureaus are focused on certain 
regulatees or licensees and therefore should not be allocated proportionally to all the core bureaus as 
indirect FTEs but should be allocated directly to the Wireline, Media, and Wireless bureaus.
102
  For 
example, the FTEs in the regional and field offices of the Enforcement Bureau primarily investigate 
issues involving wireless and broadcast licensees; however, this division has one FTE responsible for 
satellite interference issues, and may also be involved in wireline issues in the course of disaster relief 
efforts.  As a whole, the Enforcement Bureau
103
and the Consumer & Governmental Affairs Bureau FTEs 
                                                          
96
FY 2013 Report and Order, 28 FCC Rcd at 12354-58, paras. 10-20.
97
We note that even with that FTE reallocation, a significant number of International Bureau FTEs work on matters 
involving non-U.S.-licensed space stations serving the United States.  We are also considering reallocating those 
FTEs as indirect but do not adopt such a rule here because we would like to develop the record further before 
making a decision.
98
FY 2013 NPRM, 28 FCC Rcd at 7799, para. 18.
99
See “Local Telephone Competition:  Status as of June 30, 2013,” Industry Analysis and Technology Division, 
Wireline Competition Bureau, June 2014 (Local Telephone Competition Report) at 2, Figure 1.
100
Local Telephone Competition Report at 2, Figure 1. A decrease in total wireline access lines could eventually 
result in a higher rate for the ITSP category if the same number of FTEs are assigned to this category.
101
FY 2014 NPRM, 29 FCC Rcd at 6425-26, paras. 22-25.
102
This proposal is supported by several commenters.  See, e.g., Echostar and DISH Comments at 3-4; NASCA 
Comments at 12-13; SIA Comments at 2-4.
103
See, e.g., Intelsat License, LLC, Notice of Apparent Liability for Forfeiture, 28 FCC Rcd 17183 (2013).
Federal Communications Commission FCC 14-129
15
devote a small portion of their time to international bureau licensee issues.  For that reason, we find that 
the record does not support reallocating these indirect Enforcement Bureau and Consumer & 
Governmental Affairs Bureau FTEs to the Wireline, Enforcement, and Wireless Bureaus at this time.
104
  
32. We also sought comment on reallocating the FTEs from the Commission’s Office of 
Engineering and Technology.
105
  This office is primarily involved in work related to spectrum issues.  For 
example, the office advises the Commission on technical and engineering matters, develops and 
administers Commission decisions regarding spectrum allocations, develops technical rules for the 
operation of unlicensed radio devices, authorizes the marketing of radio frequency devices as compliant 
with Commission technical rules, grants experimental radio licenses, and is the agency’s liaison to the 
National Telecommunications and Information Administration.  After reviewing the record, we are not 
persuaded that reallocation of these indirect FTEs as direct FTEs to certain bureaus is appropriate at this 
time; however, we will continue to develop the record for possible implementation in the future.
106
  
33. As a result, the various reallocation proposals discussed in the FY 2014 NPRM regarding 
the Enforcement Bureau, the Consumer & Governmental Affairs Bureau, and the Office of Engineering 
and Technology require further review.  We therefore intend to conduct a more in-depth, fact-based 
examination of the work of the FTEs in these bureaus and offices and the regulatees benefited by their 
work.  Such analysis will be incorporated into any future notice of proposed rulemaking concerning 
regulatory fee allocations in order to determine whether reallocation is appropriate.  
34. We also note that other proposals discussed in the FY 2014 NPRM, e.g., a per subscriber 
charge for DBS,
107
adding a fee category for non-U.S.-licensed space stations,
108
and combining the ITSP 
category with wireless,
109
are not adopted in this report and order.  We decline to adopt these proposals at 
this time due to the complexities of these proposals raised by commenters in the record.  For example, 
ITTA’s proposal to combine wireless and wireline voice services would require a methodology to 
synthesize two different regulatory fee structures for two different industries.  Adopting a fee category for 
non-U.S.-licensed space stations raises significant issues regarding our authority to assess such a fee as 
well as the policy implications if other countries decided to follow our example.
110
  We recognize that 
there may be merit to more fundamental reform in the regulatory fee process as outlined in these 
proposals.  Additional time, however, is needed to provide an opportunity to more closely examine and 
consider these proposals and the record in future fiscal year regulatory fee proceedings.
111
                                                          
104
Several commenters argue that we should not take this action at this time.  See, e.g., AT&T Comments at 1-2; 
CTIA Comments at 10-12; NAB Comments at 3; USTelecom Reply Comments at 5.
105
FY 2014 NPRM, 29 FCC Rcd at 6426-27, para. 26. This proposal is supported by several commenters.  See, e.g., 
Echostar and DISH Comments at 4.
106
NAB agrees that we should adopt a comprehensive holistic method for reallocation.  NAB Comments at 3-5.
107
This issue is supported by some commenters, (see, e.g., ACA Comments at 3-9; ITTA Comments at 11-12; 
NCTA Comments at 3-6; NCTA & ACA Reply Comments at 3-11), and is opposed by the DBS and satellite 
industry, (see, e.g., DIRECTV and DISH Comments at 1-18; SIA Comments at 6-8).
108
This issue, proposed by Intelsat, (see Intelsat Comments at 3-8 and Intelsat Reply Comments at 1-8) is opposed 
by the rest of the satellite industry.  See, e.g., EchoStar and DISH Comments at 6-9; Satellite Parties Comments at 3-
8; Satellite Parties Reply Comments at 1-7.
109
The ITTA proposal, discussed in ITTA Comments at 5-11, is generally opposed by commenters, see, e.g., AT&T 
Comments at 4-5 (observing that “although both wireline and wireless services involve voice telecommunications 
services, they remain strikingly different services.”); CTIA Comments at 3-9; 
110
These issues are discussed in greater detail in the FY 2013 NPRM, 28 FCC Rcd at 7809-7810, paras. 47-49.
111
In the attached Further Notice of Proposed Rulemaking we seek comment on the issue of a per subscriber 
regulatory fee for DBS.
Federal Communications Commission FCC 14-129
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35. As a final matter, in the FY 2014 NPRM, we sought comment on capping increases at 7.5 
percent, or a higher cap, “for any category resulting solely from the reallocations of FTEs or our reform 
measures;” however, we have not adopted any such measures that would result in an increase of over 7.5 
percent.  We recognize that the fees in some categories may increase for FY 2014 due to a decrease in the 
number of units in that particular category.  These changes in the number of units in each category can 
occur each year without any Commission action.  As compared with FY 2013, very few fee categories 
will experience large fee rate increases in FY 2014, and these increases do not result from the reform 
measures that the Commission has adopted here.  Therefore, we do not adopt a cap in this proceeding.
We note that commenters did not support this proposal, as set forth in the FY 2014 NPRM.  For example, 
AT&T opposes adopting a cap for FY 2014 unless we can show that an uncapped increase in regulatory 
fees would have a severe impact on the economic wellbeing of licensees and that the increase was not due 
to the Commission’s efforts to address a long-standing imbalance.
112
IV. SECOND FURTHER NOTICE OF PROPOSED RULEMAKING
A. Toll Free Numbers
36. In the above Report and Order we adopt a regulatory fee category for toll free numbers.  
We agree with the commenters
113
that additional development in the record is needed regarding the 
appropriate procedures for enforcement for non-payment such as revocation of numbers or decertifying a 
RespOrg.      
37. We therefore seek comment on what procedures we may use to enforce a RespOrg’s 
obligation to pay any regulatory fees assessed on toll free numbers.  For instance, section 9(c)(3) of the 
Act states that in lieu of penalties and dismissals, “the Commission may revoke any instrument of 
authorization held by an entity that has failed to make payment of a regulatory fee assessed pursuant to 
the section.”
114
  We seek comment on whether section 9(c)(3) of the Act permits the Commission to 
classify toll free numbers as “instruments of authorizations,” thereby allowing reclamation of those 
numbers if regulatory fees are not paid.  We also invite input on whether the Commission may decertify 
(or direct SMS/800 to decertify) a RespOrg in instances of delinquent regulatory fee payments. Does the 
Commission have authority under section 9(c) to revoke a certification granted by a third party, such as 
the SMS/800 Database Administrator?  If so, would this certification be an “instrument of authorization” 
under section 9(c) of the Act that could be revoked if the RespOrg failed to pay regulatory fees?  For 
instance, we might treat an SMS/800, Inc. certification as sufficient (though perhaps not necessary) 
evidence that an entity is entitled to an FCC authorization to operate as a RespOrg. Then, in the event of 
non-payment of regulatory fees, the Commission might revoke the FCC-issued authorization needed for 
the entity to serve as a RespOrg. We seek comment on this and any other possible approaches. We seek 
comment on whether there are other statutory approaches for revoking such certification in the event of 
nonpayment.  We further seek comment on whether a RespOrg’s application either for certification by 
SMS/800, Inc. or to receive toll free numbers filed with SMS/800, Inc. can be delayed or denied, thus 
preventing either temporary or permanent access to the toll free database to reserve toll free numbers if 
regulatory fees are delinquent.
115
  If not, should the Commission require a separate application be 
submitted to it for the use of toll free numbers and payment of regulatory fees?
                                                          
112
AT&T Comments at 3-4.  EchoStar and DISH suggested using the rate of inflation instead of 7.5 percent.  
EchoStar and DISH Comments at 6.
113
AT&T Comments at 5; US Telecom Reply Comments at 5; Bandwidth Reply Comments at 1. 
114
47 U.S.C. § 159(c)(3).  We also note that under section 9(c)(1) we have authority to issue penalties for late 
payment.
115
Currently the SMS/800, Inc. tariff has a process in place to suspend or discontinue service to a RespOrg for 
nonpayment of SMS/800 fees.  See 800 Service Management System (SMS) Functions Tariff, FCC Tariff No. 1 at 
Section 2.1.8, available at http://www.sms800.com/Controls/NAC/Tariff.aspx#.
Federal Communications Commission FCC 14-129
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B. DBS
38. In this Further Notice we also propose to adopt a new fee category for DBS, based on the 
Media Bureau FTEs which perform work related to these regulatees.  DBS providers are multichannel 
video programming distributors (MVPDs), pursuant to section 602(13) of the Act.
116
  These operators of 
U.S.-licensed geostationary space stations used to provide one-way subscription television service to 
consumers in the United States pay a regulatory fee under the category “Space Station (Geostationary 
Orbit)” in the regulatory fee schedule.  DBS providers are also similar to cable operators and IPTV 
providers because DBS providers offer multi-channel video programming to end-users.  Despite this 
similarity, DBS providers do not pay the per-subscriber regulatory fee assessed on cable operators and 
IPTV providers based on Media Bureau FTE regulation.    
39. In the FY 2014 NPRM, we sought comment on “whether regulatory fees paid by DBS 
providers should be included in the cable television and IPTV category and assessed in the same manner 
as cable television system operators.”
117
  It noted that DBS providers currently pay less than nine percent 
of the regulatory fees they would be assessed if the Commission were to combine these categories 
($2,052,450 vs. $23,120,000) and required DBS to pay the same rate as cable television and IPTV.
118
  
Various commenters have supported this proposal
119
arguing that assessing regulatory fees on DBS 
providers is warranted because Media Bureau FTEs provide similar regulatory work to both cable 
operators and DBS providers.
120
  For example, DBS providers and cable operators are permitted to file 
program access complaints
121
and complaints seeking relief under the retransmission consent good faith 
rules;
122
and DBS providers are also required to comply with Media Bureau oversight and regulation such 
as Commercial Advertisement Loudness Mitigation Act (CALM Act),
123
the Twenty-First Century Video 
Accessibility Act (CVAA),
124
as well as the closed captioning and video description rules.
125
  ACA argues 
that because DBS providers do not pay fees to cover the Media Bureau FTE expenses, the Media Bureau 
costs are shifted entirely to the entities that do pay regulatory fees based on Media Bureau FTEs.
126
  DBS 
providers have opposed this proposal; arguing that they are not cable television operators and they are not 
subject to all of the regulations historically imposed on the cable industry by the Media Bureau; instead, 
their business model is based on satellite technology and is subject to satellite licensing rules through the 
International Bureau.
127
  
                                                          
116
47 U.S.C. § 522(13).
117
FY 2014 NPRM, 29 FCC Rcd at 6432, para. 43.  We had sought comment on this issue in previous NPRMs. See, 
e.g., FY 2013 NPRM, 28 FCC Rcd at 7810-11, paras. 50-52; FY 2008 FNPRM, 24 FCC Rcd at 6407, para. 50.
118
FY 2014 NPRM, 29 FCC Rcd at 6432, Table 4.
119
See, e.g., ACA Comments at 3-9; ITTA Comments at 11-12; NCTA Comments at 3-6; NCTA & ACA Reply 
Comments at 3-11 (“basic principles of fairness and technological neutrality require the Commission to assess 
[DBS] service providers regulatory fees as part of a  . . . fee category that also includes cable operators and IPTV 
services.”).
120
See FY 2014 NPRM, 29 FCC Rcd at 6432, para. 42.
121
47 U.S.C. § 548; 47 C.F.R. § 76.1000-1004.
122
47 U.S.C. §§ 325(b)(1), (3)(C)(ii); 47 C.F.R. § 76.65(b).
123
See Implementation of the Commercial Advertisement, Loudness Mitigation (CALM) Act, Report and Order, 26 
FCC Rcd 17222 (2011).
124
47 U.S.C. § 618(b).
125
47 C.F.R. Part 79.
126
ACA Comments at 6.
127
See DIRECTV and DISH Comments at 13-18.
Federal Communications Commission FCC 14-129
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40. We recognize that DBS providers are not subject to all of the regulations and 
requirements imposed on the cable industry.
128
  However, as discussed above, there are certain rules that 
both DBS providers, and cable operators are subject to, and Media Bureau FTEs provide the oversight 
and regulation of the DBS industry in these areas.
129
  Last year, the Commission adopted a new category 
of regulatory fees for IPTV providers and cable television operators reasoning that “assessing regulatory 
fees on cable television systems, but not on IPTV . . . . may place cable providers at a competitive 
disadvantage,”
130
and noting that there is a “relatively small difference from a regulatory perspective” 
between IPTV providers and cable operators.
131
This Media Bureau FTE involvement and the benefits 
received by DBS may support adoption of a new fee category.  We believe, therefore, it may be 
appropriate under section 9 of the Act to recover the costs associated with Media Bureau FTE work.
132
  
Accordingly, we propose to adopt a new fee category to recover the costs incurred by the Media Bureau 
due to the DBS industry.  Alternatively, should Media Bureau FTEs working on DBS issues be assigned 
to the International Bureau or as indirect FTEs for regulatory fee purposes?  We invite comment on the 
legal and policy implications of such a proposal.
41. Unlike cable television/IPTV, DBS providers already pay regulatory fees based on the 
oversight of their industry by International Bureau FTEs and do not pay any Media Bureau FTE fees.  
We, seek comment on whether DBS providers should pay a regulatory fee under this category at a much 
lower rate than that for other MVPDs, such as one-tenth of the anticipated revenue if DBS were combined 
with MVPD, to recognize the International Bureau FTE fees DBS providers will continue to pay as well 
as the Media Bureau FTEs related to DBS regulation.  We estimate this amount would be approximately 
$2.1 million.
133
  We invite comment on the appropriateness of this amount, or whether it should be higher 
or lower.  In assessing this proposal, we also intend to factor in any resulting “rate shock” on DBS 
providers, the financial impact of such a fee on economic wellbeing of the DBS industry and the 
customers it serves, and the appropriateness of phasing in any permanent adjustments to our rate structure 
for DBS.  This regulatory fee category, if adopted, would apply to all operators of U.S.-licensed 
geostationary space stations used to provide one-way subscription television service to consumers in the 
United States.  We seek comment on whether assessing this fee on the space station operator is an
efficient assessment mechanism or if there are alternative mechanisms for assessing a fee on providers of 
one-way subscription television service to consumers in the United States.
42. Commenters should discuss whether the payment obligations of this new category should 
increase over time to a larger percentage of the cable television/IPTV rate or if this fee category should be 
transitioned to a MVPD category together with cable television and IPTV.  We invite comment on the 
appropriateness of eventually adopting a new regulatory fee category that includes DBS, cable operators, 
and IPTV, all assessed using the same methodology and at the same rate.  In doing so, we ask for legal 
and policy implications of such a combination.  We also seek comment on the time period the DBS 
providers should be transitioned into such a fee category, and in what manner, or if they should continue 
to remain at a lower rate than cable operators and IPTV. 
                                                          
128
See, e.g., DIRECTV and DISH Comments at 13-17; SIA Comments at 7.
129
See, e.g., 47 C.F.R. §§ 76.65(b); 76.1000-1004; Part 79; see also Implementation of Commercial Advertisement, 
Loudness Mitigation (CALM) Act, Report and Order, 26 FCC Rcd 17222 (2011); 47 U.S.C. § 618(b).
130
FY 2013 Report and Order, 28 FCC Rcd at 12362, para. 32.
131
Id., 28 FCC Rcd at 12362, n.81.
132
47 U.S.C. § 159(a)(1).
133
See Table 4 in the FY 2014 NPRM, 29 FCC Rcd at 6432.  If adopted, the regulatory fee rate will be proposed in 
the annual notice of proposed rulemaking seeking comment on regulatory fees for the upcoming fiscal year.
Federal Communications Commission FCC 14-129
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43. Commenters should also discuss whether, if DBS providers are assessed a more 
significant fee rate (comparable or the same as cable operators and IPTV), they should have an offset or 
credit for all or a portion of the regulatory fees that they pay based on the International Bureau FTEs.  
V. PROCEDURAL MATTERS
A. New for Fiscal Year 2014
1. Payments By Check Will No Longer Be Accepted for Payment of Annual 
Regulatory Fees
44. Pursuant to an Office of Management and Budget (OMB) directive,
134
the Commission is 
moving towards a paperless environment, extending to disbursement and collection of select federal 
government payments and receipts.
135
The initiative to reduce paper and curtail check payments for 
regulatory fees is expected to produce cost savings, reduce errors, and improve efficiencies across 
government.  Accordingly, the Commission will no longer accept checks (including cashier’s checks and 
money orders) and the accompanying hardcopy forms (e.g., Forms 159, 159-B, 159-E, 159-W) for the 
payment of regulatory fees.  This new paperless procedure will require that all payments be made by 
online ACH payment, online credit card, or wire transfer.  Any other form of payment (e.g., checks, 
cashier’s checks, or money orders) will be rejected.  For payments by wire, a Form 159-E should still be 
transmitted via fax so that the Commission can associate the wire payment with the correct regulatory fee 
information.  This change will affect all payments of regulatory fees.
136
B. Assessment Notifications
1. Commercial Mobile Radio Service (CMRS) Cellular and Mobile Services 
Assessments   
45. For regulatory fee collection in FY 2014, we will continue to follow our current 
procedures for conveying CMRS subscriber counts to providers, except that in FY 2014 and thereafter, 
the Commission will no longer mail out the initial CMRS assessment letters to providers.  The 
Commission will compile data from the Numbering Resource Utilization Forecast (NRUF) report that is 
based on “assigned” telephone number (subscriber) counts that have been adjusted for porting to net Type 
0 ports (“in” and “out”).
137
  This information of telephone numbers (subscriber count) will be posted on 
the Commission’s electronic filing and payment system (Fee Filer) along with the carrier’s Operating 
Company Numbers (OCNs).  
46. A carrier wishing to revise its telephone number (subscriber) count can do so by 
accessing Fee Filer and follow the prompts to revise their telephone number counts. Any revisions to the 
telephone number counts should be accompanied by an explanation or supporting documentation.
138
The 
Commission will then review the revised count and supporting documentation and either approve or 
                                                          
134
Office of Management and Budget (OMB) Memorandum M-10-06, Open Government Directive, Dec. 8, 2009; 
see also http://www.whitehouse.gov/the-press-office/2011/06/13/executive-order-13576-delivering-efficient-
effective-and-accountable-gov.
135
See U.S. Department of the Treasury, Open Government Plan 2.1, Sept. 2012.
136
Payors should note that this change will mean that to the extent certain entities have to date paid both regulatory 
fees and application fees at the same time via paper check, they will no longer be able to do so as the regulatory fees 
payment via paper check will no longer be accepted.
137
See FY 2005 Report and Order, 20 FCC Rcd at 12264, paras. 38-44.
138
In the supporting documentation, the provider will need to state a reason for the change, such as a purchase or 
sale of a subsidiary, the date of the transaction, and any other pertinent information that will help to justify a reason 
for the change.
Federal Communications Commission FCC 14-129
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disapprove the submission in Fee Filer. If the submission is disapproved, the Commission will contact 
the provider to afford the provider an opportunity to discuss its revised subscriber count and/or provide 
additional supporting documentation. If we receive no response from the provider, or we do not reverse 
our initial disapproval of the provider’s revised count submission, the fee payment must be based on the 
number of subscribers listed initially in Fee Filer. Once the timeframe for revision has passed, the 
telephone number counts are final and are the basis upon which CMRS regulatory fees are to be 
paid. Providers can view their final telephone counts online in Fee Filer. A final CMRS assessment letter 
will not be mailed out.         
47. Because some carriers do not file the NRUF report, they may not see their telephone 
number counts in Fee Filer. In these instances, the carriers should compute their fee payment using the 
standard methodology that is currently in place for CMRS Wireless services (i.e., compute their telephone 
number counts as of December 31, 2013), and submit their fee payment accordingly. Whether a carrier 
reviews their telephone number counts in Fee Filer or not, the Commission reserves the right to audit the 
number of telephone numbers for which regulatory fees are paid. In the event that the Commission 
determines that the number of telephone numbers that are paid is inaccurate, the Commission will bill the 
carrier for the difference between what was paid and what should have been paid. 
C. Payment of Regulatory Fees
1. Lock Box Bank
48. All lock box payments to the Commission for FY 2014 will be processed by U.S. Bank, 
St. Louis, Missouri, and payable to the FCC.  During the fee season for collecting FY 2014 regulatory 
fees, regulatees can pay their fees by credit card through Pay.gov,
139
ACH, debit card,
140
or by wire 
transfer.  Additional payment instructions are posted at http://transition.fcc.gov/fees/regfees.html.
2. Receiving Bank for Wire Payments
49. The receiving bank for all wire payments is the Federal Reserve Bank, New York, New 
York (TREAS NYC).  When making a wire transfer, regulatees must fax a copy of their Fee Filer 
generated Form 159-E to U.S. Bank, St. Louis, Missouri at (314) 418-4232 at least one hour before 
initiating the wire transfer (but on the same business day) so as not to delay crediting their account.  
Regulatees should discuss arrangements (including bank closing schedules) with their bankers several 
days before they plan to make the wire transfer to allow sufficient time for the transfer to be initiated and 
completed before the deadline.  Complete instructions for making wire payments are posted at 
http://transition.fcc.gov/fees/wiretran.html.
                                                          
139
In accordance with U.S. Treasury Financial Manual Announcement No. A-2012-02, the U.S. Treasury will reject 
credit card transactions greater than $49,999.99 from a single credit card in a single day.  This includes online 
transactions conducted via Pay.gov, transactions conducted via other channels, and direct-over-the counter 
transactions made at a U.S. Government facility. Individual credit card transactions larger than the $49,999.99 limit 
may not be split into multiple transactions using the same credit card, whether or not the split transactions are 
assigned to multiple days. Splitting a transaction violates card network and Financial Management Service (FMS) 
rules. However, credit card transactions exceeding the daily limit may be split between two or more different credit 
cards. Other alternatives for transactions exceeding the $49,999.99 credit card limit include payment by electronic 
debit from your bank account, and wire transfer.
140
In accordance with U.S. Treasury Financial Manual Announcement No. A-2012-02, the maximum dollar-value 
limit for debit card transactions will be eliminated.  It should also be noted that only Visa and MasterCard branded 
debit cards are accepted by Pay.gov.
Federal Communications Commission FCC 14-129
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3. De Minimis Regulatory Fees
50. Regulatees whose total FY 2014 regulatory fee liability, including all categories of fees 
for which payment is due, is less than $10 are exempted from payment of FY 2014 regulatory fees.  The 
new $500 de minimis threshold we adopt here will be effective for payment of FY 2015 regulatory fees.
4. Standard Fee Calculations and Payment Dates
51. The Commission will accept fee payments made in advance of the window for the 
payment of regulatory fees.  The responsibility for payment of fees by service category is as follows:
? Media Services:  Regulatory fees must be paid for initial construction permits that were granted 
on or before October 1, 2013 for AM/FM radio stations, VHF/UHF full service television 
stations, and satellite television stations.  Regulatory fees must be paid for all broadcast facility 
licenses granted on or before October 1, 2013.  In instances where a permit or license is 
transferred or assigned after October 1, 2013, responsibility for payment rests with the holder of 
the permit or license as of the fee due date.
? Wireline (Common Carrier) Services:  Regulatory fees must be paid for authorizations that were 
granted on or before October 1, 2013.  In instances where a permit or license is transferred or 
assigned after October 1, 2013, responsibility for payment rests with the holder of the permit or 
license as of the fee due date.  Audio bridging service providers are included in this category.
141
? Wireless Services:  CMRS cellular, mobile, and messaging services (fees based on number of 
subscribers or telephone number count):  Regulatory fees must be paid for authorizations that 
were granted on or before October 1, 2013.  The number of subscribers, units, or telephone 
numbers on December 31, 2013 will be used as the basis from which to calculate the fee 
payment.  In instances where a permit or license is transferred or assigned after October 1, 2013, 
responsibility for payment rests with the holder of the permit or license as of the fee due date.  
? The first eleven regulatory fee categories in our Schedule of Regulatory Fees (see Appendix C)
pay “small multi-year wireless regulatory fees.”  Entities pay these regulatory fees in advance 
for the entire amount period covered by the five-year or ten-year terms of their initial licenses, 
and pay regulatory fees again only when the license is renewed or a new license is obtained.  We 
include these fee categories in our rulemaking (see Appendix B) to publicize our estimates of the 
number of “small multi-year wireless” licenses that will be renewed or newly obtained in FY 
2014. 
? Multichannel Video Programming Distributor Services (cable television operators and CARS 
licensees):  Regulatory fees must be paid for the number of basic cable television subscribers as 
of December 31, 2013.
142
  Regulatory fees also must be paid for CARS licenses that were 
granted on or before October 1, 2013.  In instances where a permit or license is transferred or 
assigned after October 1, 2013, responsibility for payment rests with the holder of the permit or 
license as of the fee due date.  
                                                          
141
Audio bridging services are toll teleconferencing services. 
142
Cable television system operators should compute their number of basic subscribers as follows: Number of single 
family dwellings + number of individual households in multiple dwelling unit (apartments, condominiums, mobile 
home parks, etc.) paying at the basic subscriber rate + bulk rate customers + courtesy and free service.  Note: Bulk-
Rate Customers = Total annual bulk-rate charge divided by basic annual subscription rate for individual households.  
Operators may base their count on “a typical day in the last full week” of December 2013, rather than on a count as 
of December 31, 2013. 
Federal Communications Commission FCC 14-129
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? International Services:  Regulatory fees must be paid for (1) earth stations and (2) geostationary 
orbit space stations and non-geostationary orbit satellite systems that were licensed and 
operational on or before October 1, 2013.  In instances where a permit or license is transferred or 
assigned after October 1, 2013, responsibility for payment rests with the holder of the permit or 
license as of the fee due date.
? International Services: Submarine Cable Systems:  Regulatory fees for submarine cable systems
are to be paid on a per cable landing license basis based on circuit capacity as of December 31, 
2013.  In instances where a license is transferred or assigned after October 1, 2013, 
responsibility for payment rests with the holder of the license as of the fee due date.  For 
regulatory fee purposes, the allocation in FY 2014 will remain at 87.6 percent for submarine 
cable and 12.4 percent for satellite/terrestrial facilities. 
? International Services: Terrestrial and Satellite Services:  Regulatory fees for International 
Bearer Circuits are to be paid by facilities-based common carriers that have active (used or 
leased) international bearer circuits as of December 31, 2013 in any terrestrial or satellite 
transmission facility for the provision of service to an end user or resale carrier.  When 
calculating the number of such active circuits, the facilities-based common carriers must include 
circuits held by themselves or their affiliates.  In addition, non-common carrier satellite 
operators must pay a fee for each circuit they and their affiliates hold and each circuit sold or 
leased to any customer, other than an international common carrier authorized by the 
Commission to provide U.S. international common carrier services.  “Active circuits” for these 
purposes include backup and redundant circuits as of December 31, 2013.  Whether circuits are 
used specifically for voice or data is not relevant for purposes of determining that they are active 
circuits.  In instances where a permit or license is transferred or assigned after October 1, 2013, 
responsibility for payment rests with the holder of the permit or license as of the fee due date.  
For regulatory fee purposes, the allocation in FY 2014 will remain at 87.6 percent for submarine 
cable and 12.4 percent for satellite/terrestrial facilities.  
D. Enforcement
52. To be considered timely, regulatory fee payments must be received and stamped at the 
lockbox bank by the payment due date for regulatory fees.  Section 9(c) of the Act requires us to impose a 
late payment penalty of 25 percent of the unpaid amount to be assessed on the first day following the 
deadline for filing these fees.
143
  Failure to pay regulatory fees and/or any late penalty will subject 
regulatees to sanctions, including those set forth in section 1.1910 of the Commission’s rules,
144
which 
generally requires the Commission to withhold action on “applications, including on a petition for 
reconsideration or any application for review of a fee determination, or requests for authorization by any 
entity found to be delinquent in its debt to the Commission” and in the Debt Collection Improvement Act 
of 1996 (DCIA).
145
  We also assess administrative processing charges on delinquent debts to recover 
additional costs incurred in processing and handling the debt pursuant to the DCIA and section 1.1940(d) 
                                                          
143
47 U.S.C. § 159(c).
144
See 47 C.F.R. § 1.1910.
145
Delinquent debt owed to the Commission triggers the “red light rule,” which places a hold on the processing of 
pending applications, fee offsets, and pending disbursement payments. 47 C.F.R. §§ 1.1910, 1.1911, 1.1912.  In 
2004, the Commission adopted rules implementing the requirements of the DCIA. See Amendment of Parts 0 and 1 
of the Commission’s Rules, MD Docket No. 02-339, Report and Order, 19 FCC Rcd 6540 (2004); 47 C.F.R. Part 1, 
Subpart O, Collection of Claims Owed the United States.
Federal Communications Commission FCC 14-129
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of the Commission’s rules.
146
  These administrative processing charges will be assessed on any delinquent 
regulatory fee, in addition to the 25 percent late charge penalty.  In the case of partial payments 
(underpayments) of regulatory fees, the payor will be given credit for the amount paid, but if it is later 
determined that the fee paid is incorrect or not timely paid, then the 25 percent late charge penalty (and 
other charges and/or sanctions, as appropriate) will be assessed on the portion that is not paid in a timely 
manner.
53. Pursuant to the “red light rule,” we will withhold action on any applications or other 
requests for benefits filed by anyone who is delinquent in any non-tax debts owed to the Commission 
(including regulatory fees) and will ultimately dismiss those applications or other requests if payment of 
the delinquent debt or other satisfactory arrangement for payment is not made.
147
  Failure to pay 
regulatory fees can also result in the initiation of a proceeding to revoke any and all authorizations held by 
the entity responsible for paying the delinquent fee(s).
148
E. Effective Date
54. Providing a 30 day period after Federal Register publication before this Report and Order 
becomes effective as required by 5 U.S.C. § 553(d) will not allow sufficient time for the Commission to 
collect the FY 2014 fees before FY 2014 ends on September 30, 2014.  For this reason, pursuant to 5 
U.S.C. § 553(d)(3), the Commission finds there is good cause to waive the requirements of section 
553(d), and this Report and Order will become effective upon publication in the Federal Register.  
Because payments of the regulatory fees will not actually be due until the middle of September, persons 
affected by this Report and Order will still have a reasonable period in which to make their payments and 
thereby comply with the rules established herein.
F. Final Regulatory Flexibility Analysis
55. As required by the Regulatory Flexibility Act of 1980 (RFA),
149
the Commission has 
prepared a Final Regulatory Flexibility Analysis (FRFA) relating to this Report and Order.  The FRFA is 
contained in Appendix F.
G. Initial Regulatory Flexibility Analysis
56. An initial regulatory flexibility analysis (IRFA) is contained in Appendix G. Comments 
to the IRFA must be identified as responses to the IRFA and filed by the deadlines for comments on the 
Further Notice of Proposed Rulemaking.  The Commission will send a copy of the Further Notice of 
Proposed Rulemaking, including the IRFA, to the Chief Counsel for Advocacy of the Small Business 
Administration.
H. Initial Paperwork Reduction Act of 1995 Analysis
57. This document solicits possible proposed information collection requirements.  The 
Commission, as part of its continuing effort to reduce paperwork burdens, invites the general public and 
the Office of Management and Budget (OMB) to comment on the possible proposed information 
collection requirements contained in this document, as required by the Paperwork Reduction Act of 1995, 
Public Law 104-13.  In addition, pursuant to the Small Business Paperwork Relief Act of 2002, Public 
                                                          
146
47 C.F.R. § 1.1940(d).
147
See 47 C.F.R. §§ 1.1161(c), 1.1164(f)(5), and 1.1910.  
148
47 U.S.C. § 159.
149
See 5 U.S.C. § 603.  The RFA, see 5 U.S.C. §§ 601-612, has been amended by the Small Business Regulatory 
Enforcement Fairness Act of 1996 (SBREFA), Pub. L. No. 104-121, Title II, 110 Stat. 847 (1996).  The SBREFA 
was enacted as Title II of the Contract with America Advancement Act of 1996 (CWAAA).
Federal Communications Commission FCC 14-129
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Law 107-198, see 44 U.S.C. 3506(c)(4), we seek specific comment on how we might further reduce the 
information collection burden for small business concerns with fewer than 25 employees.
I. Congressional Review Act.
58. The Commission will send a copy of this Report and Order to Congress and the 
Government Accountability Office pursuant to the Congressional Review Act.  5 U.S.C. 801(a)(1)(A).
J. Filing Instructions
59. Pursuant to sections 1.415 and 1.419 of the Commission’s rules, 47 C.F.R. §§ 1.415, 
1.419, interested parties may file comments and reply comments on or before the dates indicated on the 
first page of this document.  Comments may be filed using the Commission’s Electronic Comment Filing 
System (ECFS).  See Electronic Filing of Documents in Rulemaking Proceedings, 63 FR 24121 (1998).
? Electronic Filers:  Comments may be filed electronically using the Internet by accessing 
the ECFS.
? Paper Filers:  Parties who choose to file by paper must file an original and one copy of 
each filing.  If more than one docket or rulemaking number appears in the caption of this 
proceeding, filers must submit two additional copies for each additional docket or 
rulemaking number.
o Filings can be sent by hand or messenger delivery, by commercial overnight 
courier, or by first-class or overnight U.S. Postal Service mail.  All filings must be 
addressed to the Commission’s Secretary, Office of the Secretary, Federal 
Communications Commission.
o All hand-delivered or messenger-delivered paper filings for the Commission’s 
Secretary must be delivered to FCC Headquarters at 445 12th St., SW, Room TW-
A325, Washington, DC 20554.  The filing hours are 8:00 a.m. to 7:00 p.m.  All 
hand deliveries must be held together with rubber bands or fasteners.  Any 
envelopes and boxes must be disposed of before entering the building.  
o Commercial overnight mail (other than U.S. Postal Service Express Mail and 
Priority Mail) must be sent to 9300 East Hampton Drive, Capitol Heights, MD  
20743.
o U.S. Postal Service first-class, Express, and Priority mail must be addressed to 
445 12th Street, SW, Washington, DC  20554.
60. People with Disabilities:  To request materials in accessible formats for people with 
disabilities (braille, large print, electronic files, audio format), send an e-mail to fcc504@fcc.gov or call 
the Consumer & Governmental Affairs Bureau at 202-418-0530 (voice), 202-418-0432 (tty).
K. Ex Parte Information
61. This proceeding shall be treated as a “permit-but-disclose” proceeding in accordance with 
the Commission’s ex parte rules.  Persons making ex parte presentations must file a copy of any written 
presentation or a memorandum summarizing any oral presentation within two business days after the 
presentation (unless a different deadline applicable to the Sunshine period applies).  Persons making oral 
ex parte presentations are reminded that memoranda summarizing the presentation must list all persons 
attending or otherwise participating in the meeting at which the ex parte presentation was made, and 
summarize all data presented and arguments made during the presentation.  If the presentation consisted 
in whole or in part of the presentation of data or arguments already reflected in the presenter’s written 
comments, memoranda, or other filings in the proceeding, the presenter may provide citations to such data 
or arguments in his or her prior comments, memoranda, or other filings (specifying the relevant page 
and/or paragraph numbers where such data or arguments can be found) in lieu of summarizing them in the 
memorandum.  Documents shown or given to Commission staff during ex parte meetings are deemed to
Federal Communications Commission FCC 14-129
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be written ex parte presentations and must be filed consistent with rule 1.1206(b).  In proceedings 
governed by rule 1.49(f) or for which the Commission has made available a method of electronic filing, 
written ex parte presentations and memoranda summarizing oral ex parte presentations, and all 
attachments thereto, must be filed through the electronic comment filing system available for that 
proceeding, and must be filed in their native format (e.g., .doc, .xml, .ppt, searchable .pdf).  Participants in 
this proceeding should familiarize themselves with the Commission’s ex parte rules.
VI. ORDERING CLAUSES
62. Accordingly, IT IS ORDERED that, pursuant to Sections 4(i) and (j), 9, and 303(r) of 
the Communications Act of 1934, as amended, 47 U.S.C. §§ 154(i), 154(j), 159, and 303(r), this Report 
and Order and Further Notice of Proposed Rulemaking IS HEREBY ADOPTED.
63. IT IS FURTHER ORDERED that, as provided in paragraph 54, this Report and Order 
SHALL BE EFFECTIVE upon publication in the Federal Register.
64. IT IS FURTHER ORDERED that the Commission’s Consumer and Governmental 
Affairs Bureau, Reference Information Center, SHALL SEND a copy of this Report and Order, including 
the Final Regulatory Flexibility Analysis in Appendix F, to the Chief Counsel for Advocacy of the U.S. 
Small Business Administration.
FEDERAL COMMUNICATIONS COMMISSION
Marlene H. Dortch
Secretary
Federal Communications Commission FCC 14-129
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APPENDIX A
List of Commenters—Initial Comments
Commenter Abbreviation
American Cable Association ACA
AT&T Services, Inc. AT&T
Aviation Spectrum Resources, Inc. ASRI
Bell Canada Bell Canada
Terry Cowan T. Cowan
Critical Messaging Association CMA
DirecTV, LLC DirecTV
CTIA—The Wireless Association® CTIA
DirecTV, LLC and DISH Network L.L.C. DirecTV and DISH
EchoStar Satellite Operating Company and 
Hughes Network Systems, LLC and DISH 
Network L.L.C.
EchoStar and DISH
G. Kris Harrison K. Harrison
Intelsat License LLC Intelsat
ITTA-the Voice of Midsize Communications 
Companies, the Eastern Rural Telecom 
Association, and Windstream Corporation
ITTA
P. Randall Knowles R. Knowles
National Association of Broadcasters NAB
National Cable & Telecommunications 
Association
NCTA
North American Submarine Cable Association NASCA
Satellite Industry Association SIA
SES Americom, Inc., Inmarsat, Inc., and Telesat 
Canada
Satellite Parties
List of Commenters—Reply Comments
Commenter Abbreviation
Bandwidth.com, Inc. Bandwidth.com
Intelsat License LLC Intelsat
P. Randall Knowles R. Knowles
National Cable & Telecommunications Association 
and American Cable Association
NCTA and ACA
SES Americom, Inc., Inmarsat, Inc., and Telesat 
Canada
Satellite Parties
United States Telecom Association USTelecom
Federal Communications Commission FCC 14-129
27
APPENDIX B
Calculation of FY 2014 Revenue Requirements and Pro-Rata Fees
Regulatory fees for the categories shaded in gray are collected by the Commission in advance to cover the 
term of the license and are submitted at the time the application is filed.  
Fee Category FY 2014 
Payment Units Years
FY 2013 
Revenue 
Estimate
Pro-Rated 
FY 2014 
Revenue 
Require-
ment
Computed 
Uncapped 
FY 2014 
Regulatory 
Fee
Rounded 
FY 2014 
Regula-
tory Fee
Expected
FY 2014
Revenue
PLMRS (Exclusive 
Use) 
1,700 10 560,000 595,000 35 35 595,000
PLMRS (Shared 
use)
30,000 10 2,250,000 3,000,000 10 10 3,000,000
Microwave 17,000 10 2,640,000 2,550,000 15 15 2,550,000
218-219 MHz 
(Formerly IVDS)
5 10 3,750 4,000 82 80 4,000
Marine (Ship) 5,200 10 655,000 780,000 17 15 780,000
GMRS 8,900 5 197,500 222,500 7 5 222,500
Aviation (Aircraft) 4,200 10 290,000 420,000 10 10 420,000
Marine (Coast) 300 10 156,750 165,000 55 55 165,000
Aviation (Ground) 510 10 135,000 153,000 30 30 153,000
Amateur Vanity 
Call Signs
11,500 10 230,230 246,100 2.14 2.14 246,100
AM Class A
4a
67 1 286,000 274,700 4,105 4,100 274,700
AM Class B
4b
1,481 1 3,435,250 3,410,900 2,308 2,300 3,410,900
AM Class C
4c
832 1 1,201,500 1,212,750 1,385 1,375 1,212,750
AM Class D
4d
1,522 1 3,862,500 4,033,300 2,661 2,650 4,033,300
FM Classes A, B1 
& C3
4e
3,107 1 8,379,375 8,466,575 2,731 2,725 8,466,575
FM Classes B, C, 
C0, C1 & C2
4f
3,139 1 10,597,500 10,437,175 3,316 3,325 10,437,175
AM Construction 
Permits
30 1 30,090 17,700 590 590 17,700
FM Construction 
Permits
1
185 1 142,500 138,750 750 750 138,750
Satellite TV 127 1 190,625 196,850 1,545 1,550 196,850
Satellite TV 
Construction Permit
3 1 2,880 3,900 1,308 1,025 3,900
Digital TV Markets 
1-10
138 1 6,235,725 6,161,700 44,661 44,650 6,161,700
Digital TV Markets 
11-25
138 1 5,636,875 5,809,800 42,102 42,100 5,809,800
Digital TV Markets 
26-50
182 1 4,965,225 4,909,450 26,964 26,975 4,909,450
Digital TV Markets 
51-100
290 1 4,645,275 4,524,000 15,604 15,600 4,524,000
Federal Communications Commission FCC 14-129
28
Fee Category FY 2014 
Payment Units Years
FY 2013 
Revenue 
Estimate
Pro-Rated 
FY 2014 
Revenue 
Require-
ment
Computed 
Uncapped 
FY 2014 
Regulatory 
Fee
Rounded 
FY 2014 
Regula-
tory Fee
Expected
FY 2014
Revenue
Digital TV  
Remaining Markets 
380 1 1,769,975 1,805,000 4,751 4,750 1,805,000
Digital TV 
Construction 
Permits
1
5 1 20,950 23,750 4,750 4,750 23,750
Broadcast 
Auxiliaries
25,800 1 254,000 258,000 12 10 258,000
LPTV/Translators/ 
Boosters/Class A 
TV
3,830 1 1,527,250 1,570,300 410 410 1,570,300
CARS Stations 325 1 165,750 196,625 604 605 196,625
Cable TV Systems, 
including IPTV 
65,400,000 1 61,200,000 64,746,000 .993 .99 64,746,000
Interstate 
Telecommunication 
Service Providers
$38,300,000,000 1 135,330,000 131,369,000 0.003425 0.00343 131,369,000
CMRS Mobile 
Services 
(Cellular/Public 
Mobile)
335,000,000 1 58,680,000 60,300,000 0.179 0.18 60,300,000
CMRS Messag. 
Services
2,900,000 1 240,000 232,000 0.0800 0.080 232,000
BRS
2
LMDS 
900
190
1
1 
469,200
86,700
643,500
135,850
715
715
715
715
643,500
135,850
Per 64 kbps Int’l 
Bearer Circuits 
6a
Terrestrial (Common) 
& Satellite (Common 
& Non-Common) 
4,484,000 1 1,032,277 932,351 .2079 .21 941,640
Submarine Cable 
Providers (see chart 
in Appendix C)
3,6b
40.19 1 8,530,139 6,586,607 163,897 163,900 6,586,731
Earth Stations
6c
3,400 1 935,000 1,003,000 303 295 1,003,000
Space Stations 
(Geostationary)
94 1 12,101,700 11,505,600 122,402 122,400 11,505,600
Space Stations 
(Non-Geostationary
6 1 899,250 797,100 132,850 132,850 797,100
******  Total 
Estimated Revenue 
to be Collected
339,965,741 339,837,833 339,847,246
******  Total 
Revenue 
339,844,000 339,844,000 339,844,000
Federal Communications Commission FCC 14-129
29
Fee Category FY 2014 
Payment Units Years
FY 2013 
Revenue 
Estimate
Pro-Rated 
FY 2014 
Revenue 
Require-
ment
Computed 
Uncapped 
FY 2014 
Regulatory 
Fee
Rounded 
FY 2014 
Regula-
tory Fee
Expected
FY 2014
Revenue
Requirement
                   
Difference
121,741 (6,167) 3,246
Notes on Appendix B
1
The AM and FM Construction Permit revenues and the Digital (VHF/UHF) Construction Permit revenues were 
adjusted to set the regulatory fee to an amount no higher than the lowest licensed fee for that class of service.  The 
reductions in the AM and FM Construction Permit revenues are offset by increases in the revenue totals for AM and 
FM radio stations, respectively.  Similarly, reductions in the Digital (VHF/UHF) Construction Permit revenues are 
offset by increases in the revenue totals for various Digital television stations by market size, respectively. 
2
MDS/MMDS category was renamed Broadband Radio Service (BRS).  See Amendment of Parts 1, 21, 73, 74 and 
101 of the Commission’s Rules to Facilitate the Provision of Fixed and Mobile Broadband  Access, Educational and 
Other Advanced Services in the 2150-2162 and 2500-2690 MHz Bands, Report & Order and Further Notice of 
Proposed Rulemaking, 19 FCC Rcd 14165, 14169, para. 6 (2004).
3
The chart at the end of Appendix C lists the submarine cable bearer circuit regulatory fees (common and non-
common carrier basis) that resulted from the adoption of the FY 2008 Further Notice, 24 FCC Rcd 6388 and the 
Submarine Cable Order, 24 FCC Rcd 4208.
4
The fee amounts listed in the column entitled “Rounded New FY 2014 Regulatory Fee” constitute a weighted 
average media regulatory fee by class of service.  The actual FY 2014 regulatory fees for AM/FM radio station are 
listed on a grid located at the end of Appendix C.   
5
As a continuation of our regulatory fee reform for the submarine cable and bearer circuit fee categories, the 
allocation percentage for these two categories, in relation to the satellite (GSO and NGSO) and earth station fee 
categories, was reduced by approximately 5 per cent.  This allocation reduction of 5 per cent resulted in an increase 
in the allocation for the satellite and earth station fee categories.  However, only the earth station fee rate increased 
from its FY 2013 fee amount.   
Federal Communications Commission FCC 14-129
30
APPENDIX C
FY 2014 Schedule of Regulatory Fees
Regulatory fees for the categories shaded in gray are collected by the Commission in advance to cover the 
term of the license and are submitted at the time the application is filed.
Fee Category
Annual 
Regulatory Fee
(U.S. $'s)
PLMRS (per license) (Exclusive Use) (47 CFR part 90) 35
Microwave (per license) (47 CFR part 101) 15
218-219 MHz (Formerly Interactive Video Data Service) (per license) (47 CFR 
part 95)
80
Marine (Ship) (per station) (47 CFR part 80) 15
Marine (Coast) (per license) (47 CFR part 80) 55
General Mobile Radio Service (per license) (47 CFR part 95) 5
Rural Radio (47 CFR part 22) (previously listed under the Land Mobile category) 10
PLMRS (Shared Use) (per license) (47 CFR part 90) 10
Aviation (Aircraft) (per station) (47 CFR part 87) 10
Aviation (Ground) (per license) (47 CFR part 87) 30
Amateur Vanity Call Signs (per call sign) (47 CFR part 97) 2.14
CMRS Mobile/Cellular Services (per unit) (47 CFR parts 20, 22, 24, 27, 80 and 
90)
.18
CMRS Messaging Services (per unit) (47 CFR parts 20, 22, 24 and 90) .08
Broadband Radio Service (formerly MMDS/ MDS) (per license) (47 CFR part 
27)
Local Multipoint Distribution Service (per call sign) (47 CFR, part 101)
715
715
AM Radio Construction Permits 590
FM Radio Construction Permits 750
Digital TV (47 CFR part 73) VHF and UHF Commercial
Markets 1-10 44,650
Markets 11-25 42,100
Markets 26-50 26,975
Markets 51-100 15,600
Remaining Markets 4,750
Construction Permits 4,750
Satellite Television Stations  (All Markets)   1,550
Federal Communications Commission FCC 14-129
31
Fee Category
Annual 
Regulatory Fee
(U.S. $'s)
Construction Permits – Satellite Television Stations 1,300
Low Power TV, Class A TV, TV/FM Translators & Boosters (47 CFR part 74) 410
Broadcast Auxiliaries (47 CFR part 74) 10
CARS (47 CFR part 78) 605
Cable Television Systems (per subscriber) (47 CFR part 76), Including IPTV .99
Interstate Telecommunication Service Providers (per revenue dollar) .00343
Earth Stations (47 CFR part 25) 295
Space Stations (per operational station in geostationary orbit) (47 CFR part 25) 
also includes DBS Service (per operational station) (47 CFR part 100) 122,400
Space Stations (per operational system in non-geostationary orbit) (47 CFR part 
25)
132,850
International Bearer Circuits -  Terrestrial/Satellites (per 64KB circuit) .21
International Bearer Circuits - Submarine Cable See Table Below
Federal Communications Commission FCC 14-129
32
FY 2014 SCHEDULE OF REGULATORY FEES: Maintain Allocation (continued)
FY 2014 RADIO STATION REGULATORY FEES
Population 
Served
AM Class 
A
AM Class 
B
AM 
Class C
AM 
Class D
FM Classes
A, B1 & C3
FM Classes
B, C, C0, C1 
& C2
<=25,000 $775 $645 $590 $670 $750 $925
25,001 – 75,000 $1,550 $1,300 $900 $1,000 $1,500 $1,625
75,001 – 150,000 $2,325 $1,625 $1,200 $1,675 $2,050 $3,000
150,001 – 500,000 $3,475 $2,750 $1,800 $2,025 $3,175 $3,925
500,001 – 1,200,000 $5,025 $4,225 $3,000 $3,375 $5,050 $5,775
1,200,001 – 3,000,00 $7,750 $6,500 $4,500 $5,400 $8,250 $9,250
>3,000,000 $9,300 $7,800 $5,700 $6,750 $10,500 $12,025
FY 2014 SCHEDULE OF REGULATORY FEES
International Bearer Circuits - Submarine Cable
Submarine Cable Systems
(capacity as of December 31, 2013)
Fee amount Address
< 2.5 Gbps
$10,250
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
2.5 Gbps or greater, but less 
than 5 Gbps
$20,500
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
5 Gbps or greater, but less than 
10 Gbps
$40,975 
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
10 Gbps or greater, but less 
than 20 Gbps
$81,950 
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
20 Gbps or greater
$163,900
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
Federal Communications Commission FCC 14-129
33
APPENDIX D
Sources of Payment Unit Estimates for FY 2014
In order to calculate individual service fees for FY 2014, we adjusted FY 2013 payment units for each 
service to more accurately reflect expected FY 2014 payment liabilities.  We obtained our updated 
estimates through a variety of means. For example, we used Commission licensee data bases, actual prior 
year payment records and industry and trade association projections when available.  The databases we 
consulted include our Universal Licensing System (ULS), International Bureau Filing System (IBFS), 
Consolidated Database System (CDBS) and Cable Operations and Licensing System (COALS), as well as 
reports generated within the Commission such as the Wireline Competition Bureau’s Trends in Telephone 
Service and the Wireless Telecommunications Bureau’s Numbering Resource Utilization Forecast.  
We sought verification for these estimates from multiple sources and, in all cases; we compared FY 2014 
estimates with actual FY 2013 payment units to ensure that our revised estimates were reasonable.  Where 
appropriate, we adjusted and/or rounded our final estimates to take into consideration the fact that certain 
variables that impact on the number of payment units cannot yet be estimated with sufficient accuracy.  
These include an unknown number of waivers and/or exemptions that may occur in FY 2014 and the fact 
that, in many services, the number of actual licensees or station operators fluctuates from time to time due to 
economic, technical, or other reasons.  When we note, for example, that our estimated FY 2014 payment 
units are based on FY 2013 actual payment units, it does not necessarily mean that our FY 2014 projection 
is exactly the same number as in FY 2013.  We have either rounded the FY 2014 number or adjusted it 
slightly to account for these variables.
FEE CATEGORY SOURCES OF PAYMENT UNIT ESTIMATES
Land Mobile (All), Microwave, 
218-219 MHz, Marine (Ship & 
Coast), Aviation (Aircraft &
Ground), GMRS, Amateur 
Vanity Call Signs, Domestic 
Public Fixed 
Based on Wireless Telecommunications Bureau (“WTB”) 
projections of new applications and renewals taking into 
consideration existing Commission licensee data bases. Aviation 
(Aircraft) and Marine (Ship) estimates have been adjusted to take 
into consideration the licensing of portions of these services on a 
voluntary basis.
CMRS Cellular/Mobile Services Based on WTB projection reports, and FY 13 payment data. 
CMRS Messaging Services Based on WTB reports, and FY 13 payment data.  
AM/FM Radio Stations Based on CDBS data, adjusted for exemptions, and actual FY 2013 
payment units.
Digital TV Stations
(Combined VHF/UHF units)
Based on CDBS data, adjusted for exemptions, and actual FY 2013 
payment units.
AM/FM/TV Construction Permits Based on CDBS data, adjusted for exemptions, and actual FY 2013 
payment units. 
LPTV, Translators and Boosters, 
Class A Television
Based on CDBS data, adjusted for exemptions, and actual FY 2013 
payment units.
Broadcast Auxiliaries Based on actual FY 2013 payment units.
BRS (formerly MDS/MMDS)
LMDS
Based on WTB reports and actual FY 2013 payment units.
Based on WTB reports and actual FY 2013 payment units.
Federal Communications Commission FCC 14-129
34
Cable Television Relay Service 
(“CARS”) Stations
Based on data from Media Bureau’s COALS database and actual 
FY 2013 payment units.
Cable Television System 
Subscribers, Including IPTV 
Subscribers
Based on publicly available data sources for estimated subscriber 
counts and actual FY 2013 payment units. 
Interstate Telecommunication 
Service Providers
Based on FCC Form 499-Q data for the four quarters of calendar 
year 2013, the Wireline Competition Bureau projected the amount 
of calendar year 2013 revenue that will be reported on 2014 FCC 
Form 499-A worksheets in April, 2014.
Earth Stations Based on International Bureau (“IB”) licensing data and actual FY 
2013 payment units.
Space Stations (GSOs & NGSOs) Based on IB data reports and actual FY 2013 payment units.
International Bearer Circuits Based on IB reports and submissions by licensees, adjusted as 
necessary.
Submarine Cable Licenses Based on IB license information.
Federal Communications Commission FCC 14-129
35
APPENDIX E
Factors, Measurements, and Calculations That Determines Station
Signal Contours and Associated Population Coverages
AM Stations
For stations with nondirectional daytime antennas, the theoretical radiation was used at all 
azimuths.  For stations with directional daytime antennas, specific information on each day tower, 
including field ratio, phase, spacing, and orientation was retrieved, as well as the theoretical 
pattern root-mean-square of the radiation in all directions in the horizontal plane (RMS) figure 
(milliVolt per meter (mV/m) @ 1 km) for the antenna system.  The standard, or augmented 
standard if pertinent, horizontal plane radiation pattern was calculated using techniques and 
methods specified in sections 73.150 and 73.152 of the Commission’s rules. Radiation values 
were calculated for each of 360 radials around the transmitter site.  Next, estimated soil 
conductivity data was retrieved from a database representing the information in FCC Figure R3. 
Using the calculated horizontal radiation values, and the retrieved soil conductivity data, the 
distance to the principal community (5 mV/m) contour was predicted for each of the 360 radials.  
The resulting distance to principal community contours were used to form a geographical 
polygon.  Population counting was accomplished by determining which 2010 block centroids 
were contained in the polygon.  (A block centroid is the center point of a small area containing 
population as computed by the U.S. Census Bureau.)  The sum of the population figures for all 
enclosed blocks represents the total population for the predicted principal community coverage 
area.
FM Stations
The greater of the horizontal or vertical effective radiated power (ERP) (kW) and respective 
height above average terrain (HAAT) (m) combination was used.  Where the antenna height 
above mean sea level (HAMSL) was available, it was used in lieu of the average HAAT figure to 
calculate specific HAAT figures for each of 360 radials under study.  Any available directional 
pattern information was applied as well, to produce a radial-specific ERP figure.  The HAAT and 
ERP figures were used in conjunction with the Field Strength (50-50) propagation curves 
specified in 47 C.F.R. §73.313 of the Commission’s rules to predict the distance to the principal 
community (70 dBu (decibel above 1 microVolt per meter) or 3.17 mV/m) contour for each of the 
360 radials.  The resulting distance to principal community contours were used to form a 
geographical polygon.  Population counting was accomplished by determining which 2010 block 
centroids were contained in the polygon.  The sum of the population figures for all enclosed
blocks represents the total population for the predicted principal community coverage area.
Federal Communications Commission FCC 14-129
APPENDIX F
Final Regulatory Flexibility Analysis
1. As required by the Regulatory Flexibility Act of 1980, as amended (RFA),
1
an Initial 
Regulatory Flexibility Analysis (IRFA) was included in the FY 2014 NPRM.  The Commission sought 
written public comment on the proposals in the FY 2014 NPRM, including comment on the IRFA. This 
Final Regulatory Flexibility Analysis (FRFA) conforms to the IRFA.
2
A. Need for, and Objectives of, the Report and Order  
2. In this Report and Order, we conclude the Assessment and Collection of Regulatory Fees 
for Fiscal Year (FY) 2014 proceeding to collect $339,844,000 in regulatory fees for FY 2014, pursuant to 
Section 9 of the Communications Act
.3
These regulatory fees will be due in September 2014.  Under 
section 9 of the Communications Act, regulatory fees are mandated by Congress and collected to recover 
the regulatory costs associated with the Commission’s enforcement, policy and rulemaking, user 
information, and international activities in an amount that can reasonably be expected to equal the amount 
of the Commission’s annual appropriation .
4
    
3. In our FY 2014 NPRM, we sought comment on proposed regulatory fees and on whether 
AM expanded band radio stations should remain exempt from regulatory fees.  In addition, we sought 
comment on additional reform measures including: (1) reallocating some of the FTEs from the 
Enforcement Bureau, the Consumer & Governmental Affairs Bureau, and the Office of Engineering and 
Technology, as direct FTEs for regulatory fee purposes; (2) reapportioning the fee allocations between 
groups of International Bureau regulatees; (3) periodically updating FTE allocations; (4) applying a cap 
on any regulatory fee increases for FY 2014; (5) improving access to information through our website; (6) 
establishing a higher de minimis amount; (7) eliminating certain regulatory fee categories; (8) combining
ITSP and wireless voice services into one fee category; (9) adding DBS operators  to the cable television 
and IPTV category; (10) creating a new regulatory fee category for non-U.S. licensed space stations, or, 
alternatively, reallocating some FTEs assigned to work on non-U.S. licensed space station issues as 
indirect for regulatory fee purposes; and (11) adding a new regulatory fee category for toll free numbers.  
Some of these issues had been raised in earlier regulatory fee proceedings and other issues were discussed 
for the first time as part of our reform process.
4. The Report and Order adopts some of the proposals from the FY 2014 NPRM.  
Specifically, in addition to adopting the proposed new regulatory fee rates, the Commission (1) removes 
the exemption on  regulatory fees from AM expanded band licenses; (2) revises the apportionment 
between the submarine cable/terrestrial and satellite bearer circuits and the satellite/earth stations by 
approximately five percent to reduce the proportion paid by the submarine cable/terrestrial and satellite 
bearer circuits; (3) increases the allocation paid by earth stations and satellites by approximately 7.5 
percent to more accurately reflect the regulation and oversight of this industry; (4) increases the de 
minimis threshold from $10 to $500 (to go into effect for FY 2015); (5) eliminates several regulatory fee 
categories (218-219 MHz, broadcast auxiliaries, and satellite television construction permits) from 
                                                          
1
5 U.S.C. § 603.  The RFA, 5 U.S.C. §§ 601-612 has been amended by the Small Business Regulatory Enforcement 
Fairness Act of 1996 (SBREFA), Pub. L. No. 104-121, Title II, 110 Stat. 847 (1996).
2
5 U.S.C. § 604.
3
47 U.S.C. § 159(a).
4
47 U.S.C. § 159(a).
Federal Communications Commission FCC 14-129
37
regulatory fee requirements (to go into effect for FY 2015); and (6) adopts a new toll free number 
regulatory fee category (to go into effect for FY 2015).    
B. Summary of the Significant Issues Raised by the Public Comments in Response to 
the IRFA
5. None.
C. Description and Estimate of the Number of Small Entities to Which the Rules Will 
Apply:
6. The RFA directs agencies to provide a description of, and where feasible, an estimate of the 
number of small entities that may be affected by the proposed rules and policies, if adopted.
5
  The RFA 
generally defines the term “small entity” as having the same meaning as the terms “small business,” “small 
organization,” and “small governmental jurisdiction.”
6
In addition, the term “small business” has the same 
meaning as the term “small business concern” under the Small Business Act.
7
  A “small business concern” 
is one which: (1) is independently owned and operated; (2) is not dominant in its field of operation; and (3) 
satisfies any additional criteria established by the SBA.
8
Nationwide, there are a total of approximately 27.9
million small businesses, according to the SBA.
9
   
8. Wired Telecommunications Carriers. The SBA has developed a small business size
standard for Wired Telecommunications Carriers, which consists of all such companies having 1,500 or
fewer employees. Census data for 2007 shows that there were 31,996 establishments that operated that year. 
Of those 31,996, 1,818 operated with more than 100 employees, and 30,178 operated with fewer than 100 
employees.
10
  Thus, under this size standard, the majority of firms can be considered small.
9. Local Exchange Carriers (LECs). Neither the Commission nor the SBA has developed a 
size standard for small businesses specifically applicable to local exchange services. The closest applicable 
size standard under SBA rules is for Wired Telecommunications Carriers. Under that size standard, such a 
business is small if it has 1,500 or fewer employees.
11
  According to Commission data, census data for 2007 
shows that there were 31,996 establishments that operated that year. Of those 31,996, 1,818 operated with 
more than 100 employees, and 30,178 operated with fewer than 100 employees.
12
  The Commission 
                                                          
5
5 U.S.C. § 603(b)(3).
6
5 U.S.C. § 601(6).
7
5 U.S.C. § 601(3) (incorporating by reference the definition of “small-business concern” in the Small Business 
Act, 15 U.S.C. § 632).  Pursuant to 5 U.S.C. § 601(3), the statutory definition of a small business applies “unless an 
agency, after consultation with the Office of Advocacy of the Small Business Administration and after opportunity
for public comment, establishes one or more definitions of such term which are appropriate to the activities of the 
agency and publishes such definition(s) in the Federal Register.”
8
15 U.S.C. § 632.
9
See SBA, Office of Advocacy, “Frequently Asked Questions,” 
http://www.sba.gov/sites/default/files/FAQ_Sept_2012.pdf.
10
See id.
11
13 C.F.R. § 121.201, NAICS code 517110.
12
See id.
Federal Communications Commission FCC 14-129
38
estimates that most providers of local exchange service are small entities that may be affected by the rules 
and policies adopted.
10. Incumbent LECs.  Neither the Commission nor the SBA has developed a small business 
size standard specifically for incumbent local exchange services.  The closest applicable size standard under 
SBA rules is for the category Wired Telecommunications Carriers.  Under that size standard, such a 
business is small if it has 1,500 or fewer employees.
13
  According to Commission data, 1,307 carriers 
reported that they were incumbent local exchange service providers.
14
  Of these 1,307 carriers, an estimated 
1,006 have 1,500 or fewer employees and 301 have more than 1,500 employees.
15
   Consequently, the 
Commission estimates that most providers of incumbent local exchange service are small businesses that 
may be affected by the rules and policies adopted.    
11. Competitive Local Exchange Carriers (Competitive LECs), Competitive Access 
Providers (CAPs), Shared-Tenant Service Providers, and Other Local Service Providers.  Neither the 
Commission nor the SBA has developed a small business size standard specifically for these service 
providers.  The appropriate size standard under SBA rules is for the category Wired Telecommunications 
Carriers.  Under that size standard, such a business is small if it has 1,500 or fewer employees.
16
   According 
to Commission data, 1,442 carriers reported that they were engaged in the provision of either competitive 
local exchange services or competitive access provider services.
17
   Of these 1,442 carriers, an estimated 
1,256 have 1,500 or fewer employees and 186 have more than 1,500 employees.
18
   In addition, 17 carriers 
have reported that they are Shared-Tenant Service Providers, and all 17 are estimated to have 1,500 or fewer 
employees.
19
   In addition, 72 carriers have reported that they are Other Local Service Providers.
20
   Of the 
72, seventy have 1,500 or fewer employees and two have more than 1,500 employees.
21
   Consequently, the 
Commission estimates that most providers of competitive local exchange service, competitive access 
providers, Shared-Tenant Service Providers, and Other Local Service Providers are small entities that may 
be affected by rules adopted. 
12. Interexchange Carriers (IXCs).  Neither the Commission nor the SBA has developed a 
small business size standard specifically applicable to interexchange services.  The applicable size standard 
under SBA rules is for the Wired Telecommunications Carriers.  Under that size standard, such a business is 
small if it has 1,500 or fewer employees.
22
  According to Commission data, 359 companies reported that 
their primary telecommunications service activity was the provision of interexchange services.
23
  Of these 
359 companies, an estimated 317 have 1,500 or fewer employees and 42 have more than 1,500 employees.
24
   
                                                          
13
13 C.F.R. § 121.201, NAICS code 517110.
14
See Trends in Telephone Service, Federal Communications Commission, Wireline Competition Bureau, Industry 
Analysis and Technology Division at Table 5.3 (Sept. 2010) (Trends in Telephone Service).
15
Id.
16
13 C.F.R. § 121.201, NAICS code 517110.
17
See Trends in Telephone Service, at tbl. 5.3.
18
Id.
19
Id.
20
Id.
21
Id.
22
13 C.F.R. § 121.201, NAICS code 517110.
23
See Trends in Telephone Service, at tbl. 5.3.
24
Id.
Federal Communications Commission FCC 14-129
39
Consequently, the Commission estimates that the majority of interexchange service providers are small 
entities that may be affected by rules adopted.
13. Prepaid Calling Card Providers.  Neither the Commission nor the SBA has developed a 
small business size standard specifically for prepaid calling card providers.  The appropriate size standard 
under SBA rules is for the category Telecommunications Resellers.  Under that size standard, such a 
business is small if it has 1,500 or fewer employees.
25
   Census data for 2007 show that 1,716 establishments 
provided resale services during that year.  Of that number, 1,674 operated with fewer than 99 employees and 
42 operated with more than 100 employees.
26
   Thus under this category and the associated small business 
size standard, the majority of these prepaid calling card providers can be considered small entities.  
According to Commission data, 193 carriers have reported that they are engaged in the provision of prepaid 
calling cards.
27
   Of these, all 193 have 1,500 or fewer employees and none have more than 1,500 
employees.
28
   Consequently, the Commission estimates that the majority of prepaid calling card providers 
are small entities that may be affected by rules adopted.
14. Local Resellers.  The SBA has developed a small business size standard for the category of 
Telecommunications Resellers.  Under that size standard, such a business is small if it has 1,500 or fewer 
employees.
29
   Census data for 2007 show that 1,716 establishments provided resale services during that 
year.  Of that number, 1,674 operated with fewer than 99 employees and 42 operated with more than 100 
employees.
30
   Under this category and the associated small business size standard, the majority of these 
local resellers can be considered small entities.  According to Commission data, 213 carriers have reported 
that they are engaged in the provision of local resale services.
31
   Of these, an estimated 211 have 1,500 or 
fewer employees and two have more than 1,500 employees.
32
   Consequently, the Commission estimates 
that the majority of local resellers are small entities that may be affected by rules adopted.
15. Toll Resellers.  The SBA has developed a small business size standard for the category of 
Telecommunications Resellers.  Under that size standard, such a business is small if it has 1,500 or fewer 
employees.
33
   Census data for 2007 show that 1,716 establishments provided resale services during that 
year.  Of that number, 1,674 operated with fewer than 99 employees and 42 operated with more than 100 
employees.
34
  Thus, under this category and the associated small business size standard, the majority of 
these resellers can be considered small entities.  According to Commission data, 881 carriers have reported 
that they are engaged in the provision of toll resale services.
35
  Of these, an estimated 857 have 1,500 or 
                                                          
25
13 C.F.R. § 121.201, NAICS code 517911.
26
http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2007_US_51SSSZ2&pro
dType=table.
27
See Trends in Telephone Service, at tbl. 5.3.
28
Id.
29
13 C.F.R. § 121.201, NAICS code 517911.
30
http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2007_US_51SSSZ2&pro
dType=table.
31
See Trends in Telephone Service, at tbl. 5.3.  
32
Id.
33
13 C.F.R. § 121.201, NAICS code 517911.
34
http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ECN_2007_US_51SSSZ2&pro
dType=table.
35
Trends in Telephone Service, at tbl. 5.3.
Federal Communications Commission FCC 14-129
40
fewer employees and 24 have more than 1,500 employees.
36
  Consequently, the Commission estimates that 
the majority of toll resellers are small entities that may be affected by the rules adopted herein.
16. Other Toll Carriers. Neither the Commission nor the SBA has developed a size standard 
for small businesses specifically applicable to Other Toll Carriers. This category includes toll carriers that 
do not fall within the categories of interexchange carriers, operator service providers, prepaid calling card 
providers, satellite service carriers, or toll resellers. The closest applicable size standard under SBA rules is 
for Wired Telecommunications Carriers. Under that size standard, such a business is small if it has 1,500 or 
fewer employees.
37
  Census data for 2007 shows that there were 31,996 establishments that operated that
year. Of those 31,996, 1,818 operated with more than 100 employees, and 30,178 operated with fewer than 
100 employees.
38
  Thus, under this category and the associated small business size standard, the majority of 
Other Toll Carriers can be considered small. According to Commission data, 284 companies reported that 
their primary telecommunications service activity was the provision of other toll carriage.
39
  Of these, an
estimated 279 have 1,500 or fewer employees and five have more than 1,500 employees.
40
  Consequently, 
the Commission estimates that most Other Toll Carriers are small entities that may be affected by the rules 
and policies adopted.
17. Wireless Telecommunications Carriers (except Satellite).  Since 2007, the SBA has
recognized wireless firms within this new, broad, economic census category.
41
  Prior to that time, such firms 
were within the now-superseded categories of Paging and Cellular and Other Wireless
Telecommunications.
42
  Under the present and prior categories, the SBA has deemed a wireless business to 
be small if it has 1,500 or fewer employees.
43
  For this category, census data for 2007 show that there were 
11,163 establishments that operated for the entire year.
44
  Of this total, 10,791 establishments had
employment of 999 or fewer employees and 372 had employment of 1000 employees or more.
45
  Thus,
under this category and the associated small business size standard, the Commission estimates that the 
majority of wireless telecommunications carriers (except satellite) are small entities that may be affected by 
our action.
18. Similarly, according to Commission data, 413 carriers reported that they were engaged in
the provision of wireless telephony, including cellular service, Personal Communications Service (PCS),
                                                          
36
Id.
37
13 C.F.R. § 121.201, NAICS code 517110.
38
Id.
39
Trends in Telephone Service, at tbl. 5.3.
40
Id.
41
13 C.F.R. § 121.201, NAICS code 517210.
42
U.S. Census Bureau, 2002 NAICS Definitions, “517211 Paging,” available at http://www.census.gov/cgibin/ 
sssd/naics/naicsrch?code=517211&search=2002%20NAICS%20Search; U.S. Census Bureau, 2002 NAICS 
Definitions, “517212 Cellular and Other Wireless Telecommunications,” available at http://www.census.gov/cgi-
bin/sssd/naics/naicsrch?code=517212&search=2002%20NAICS%20Search.
43
13 C.F.R. § 121.201, NAICS code 517210. The now-superseded, pre-2007 C.F.R. citations were 13 C.F.R. § 
121.201, NAICS codes 517211 and 517212 (referring to the 2002 NAICS).
44
U.S. Census Bureau, Subject Series: Information, Table 5, “Establishment and Firm Size: Employment Size of 
Firms for the United States: 2007 NAICS Code 517210” (issued Nov. 2010).
45
Id. Available census data do not provide a more precise estimate of the number of firms that have employment of 
1,500 or fewer employees; the largest category provided is for firms with “100 employees or more.”
Federal Communications Commission FCC 14-129
41
and Specialized Mobile Radio (SMR) Telephony services.
46
  Of these, an estimated 261 have 1,500 or fewer 
employees and 152 have more than 1,500 employees.
47
  Consequently, the Commission estimates that 
approximately half or more of these firms can be considered small. Thus, using available data, we estimate 
that the majority of wireless firms can be considered small.
19. Cable Television and other Program Distribution.   Since 2007, these services have 
been defined within the broad economic census category of Wired Telecommunications Carriers; that 
category is defined as follows:  “This industry comprises establishments primarily engaged in operating 
and/or providing access to transmission facilities and infrastructure that they own and/or lease for the 
transmission of voice, data, text, sound, and video using wired telecommunications networks. Transmission 
facilities may be based on a single technology or a combination of technologies.”
48
  The SBA has developed 
a small business size standard for this category, which is:  all such firms having 1,500 or fewer employees.
49
  
Census data for 2007 shows that there were 31,996 establishments that operated that year.   Of those 31,996, 
1,818 had more than 100 employees, and 30,178 operated with fewer than 100 employees.  Thus under this 
size standard, the majority of firms offering cable and other program distribution services can be considered 
small and may be affected by rules adopted.
20. Cable Companies and Systems.  The Commission has developed its own small business 
size standards, for the purpose of cable rate regulation.  Under the Commission’s rules, a “small cable 
company” is one serving 400,000 or fewer subscribers, nationwide.
50
  Industry data indicate that, of 1,076 
cable operators nationwide, all but eleven are small under this size standard.
51
In addition, under the 
Commission’s rules, a “small system” is a cable system serving 15,000 or fewer subscribers.
52
   Industry 
data indicate that, of 6,635 systems nationwide, 5,802 systems have under 10,000 subscribers, and an 
additional 302 systems have 10,000-19,999 subscribers.
53
   Thus, under this second size standard, most cable 
systems are small and may be affected by rules adopted.
21. All Other Telecommunications. The Census Bureau defines this industry as including
“establishments primarily engaged in providing specialized telecommunications services, such as satellite
tracking, communications telemetry, and radar station operation. This industry also includes establishments
primarily engaged in providing satellite terminal stations and associated facilities connected with one or
                                                          
46
Trends in Telephone Service, at tbl. 5.3.
47
Id.
48
U.S. Census Bureau, 2007 NAICS Definitions, “517110 Wired Telecommunications Carriers” (partial definition), 
available at http://www.census.gov/cgi-bin/sssd/naics/naicsrch?code=517110&search=2007%20NAICS%20Search.
49
13 C.F.R. § 121.201, NAICS code 517110.
50
See 47 C.F.R. § 76.901(e). The Commission determined that this size standard equates approximately to a size 
standard of $100 million or less in annual revenues. See Implementation of Sections of the 1992 Cable Television 
Consumer Protection and Competition Act: Rate Regulation, MM Docket Nos. 92-266, 93-215, Sixth Report and 
Order and Eleventh Order on Reconsideration, 10 FCC Rcd 7393, 7408, para. 28 (1995).
51
These data are derived from R.R. BOWKER, BROADCASTING & CABLE YEARBOOK 2006, “Top 25 
Cable/Satellite Operators,” pages A-8 & C-2 (data current as of June 30, 2005); WARREN COMMUNICATIONS 
NEWS, TELEVISION & CABLE FACTBOOK 2006, “Ownership of Cable Systems in the United States,” pages 
D-1805 to D-1857. 
52
See 47 C.F.R. § 76.901(c).
53
WARREN COMMUNICATIONS NEWS, TELEVISION & CABLE FACTBOOK 2006, “U.S. Cable Systems by 
Subscriber Size,” page F-2 (data current as of Oct. 2007). The data do not include 851 systems for which classifying 
data were not available.
Federal Communications Commission FCC 14-129
42
more terrestrial systems and capable of transmitting telecommunications to, and receiving
telecommunications from, satellite systems. Establishments providing Internet services or Voice over
Internet Protocol (VoIP) services via client-supplied telecommunications connections are also included in
this industry.”
54
  The SBA has developed a small business size standard for this category; that size standard
is $30.0 million or less in average annual receipts.
55
  According to Census Bureau data for 2007, there were 
2,623 firms in this category that operated for the entire year.
56
  Of these, 2478 establishments had annual 
receipts of under $10 million and 145 establishments had annual receipts of $10 million or more.
57
Consequently, we estimate that the majority of these firms are small entities that may be affected by our 
action.  In addition, some small businesses whose primary line of business does not involve provision of 
communications services hold FCC licenses or other authorizations for purposes incidental to their primary 
business.  We do not have a reliable estimate of how many of these entities are small businesses.  
D. Description of Projected Reporting, Recordkeeping and Other Compliance 
Requirements
22. This Report and Order does not adopt any new reporting, recordkeeping, or other 
compliance requirements.
E. Steps Taken to Minimize Significant Economic Impact on Small Entities, and 
Significant Alternatives Considered
23. The RFA requires an agency to describe any significant alternatives that it has considered 
in reaching its approach, which may include the following four alternatives, among others: (1) the 
establishment of differing compliance or reporting requirements or timetables that take into account the 
resources available to small entities; (2) the clarification, consolidation, or simplification of compliance or 
reporting requirements under the rule for small entities; (3) the use of performance, rather than design, 
standards; and (4) an exemption from coverage of the rule, or any part thereof, for small entities.
58
   
24. This Report and Order does not adopt any new reporting requirements.  Therefore no 
adverse economic impact on small entities will be sustained based on reporting requirements.  There may be 
a regulatory fee increase on small entities, in some cases and in some industries, but if so it would be 
specifically in furtherance of the reform measures.  We are mitigating fee increases to small entities, and 
other entities, by, for example, raising the de minimis threshold from $10 to $500 and eliminating several 
regulatory fee categories (218-219 MHz, broadcast auxiliaries, and satellite television construction 
permits) from regulatory fee requirements.  In keeping with the requirements of the Regulatory Flexibility 
Act, we have considered certain alternative means of mitigating the effects of fee increases to a particular 
industry segment.  In addition, the Commission’s rules provide a process by which regulatory fee payors 
may seek waivers or other relief on the basis of financial hardship.  47 C.F.R. §1.1166
                                                          
54
U.S. Census Bureau, “2007 NAICS Definitions: 517919 All Other Telecommunications,” available at 
http://www.census.gov/cgi-bin/sssd/naics/naicsrch?code=517919&search=2007%20NAICS%20Search.
55
13 C.F.R. § 121.201, NAICS code 517919.
56
U.S. Census Bureau, 2007 Economic Census, Subject Series: Information, Table 4, “Establishment and Firm Size:  
Receipts Size of Firms for the United States: 2007 NAICS Code 517919” (issued Nov. 2010).
57
Id.
58
5 U.S.C. § 603(c)(1)–(c)(4).
Federal Communications Commission FCC 14-129
43
F. Federal Rules that May Duplicate, Overlap, or Conflict 
26. None.
Federal Communications Commission FCC 14-129
APPENDIX G
Initial Regulatory Flexibility Analysis
1. As required by the Regulatory Flexibility Act (RFA),
1
the Commission prepared this Initial 
Regulatory Flexibility Analysis (IRFA) of the possible significant economic impact on small entities by the 
policies and rules proposed in the Further Notice of Proposed Rulemaking attached to the Report and Order
(FNPRM). Written comments are requested on this IRFA.  Comments must be identified as responses to the 
IRFA and must be filed by the deadline for comments on this FNPRM.  The Commission will send a copy 
of the FNPRM, including the IRFA, to the Chief Counsel for Advocacy of the Small Business 
Administration (SBA).
2
  In addition, the FNPRM and IRFA (or summaries thereof) will be published in the 
Federal Register.
3
I. Need for, and Objectives of, the FNPRM  
2. The FNPRM seeks comment regarding the adoption and implementation of creating a 
new DBS fee category per section 9 (b) (3), and how a Responsible Organization (RespOrgs) can be held 
to their regulatory fee obligation for lack of payment.  With respect to establishing a new DBS fee 
category, the Commission has determined that DBS providers do not qualify as small business entities.  
With respect to RespOrgs, the Commission has discovered that while it provides oversight for RespOrgs 
in various numbering plans, it does not assess a regulatory fee for the resources that it expends.  
Consequently, the Commission has decided to assess a fee on this group of regulatees to ensure equitable 
access to toll free numbers and to minimize the chance that these toll free numbers are not unjustly 
controlled.  In addition to holding RespOrgs responsible for payment of regulatory fees, the Commission 
also seeks comment on the extent to which it can revoke an instrument of authorization for failure to pay 
regulatory fees section 9 (c) (3).  We invite comment on this topic to better inform the Commission 
concerning whether and/or how this service should be assessed under our regulatory fee methodology in 
future years.     
II. Legal Basis:
3. This action, including publication of proposed rules, is authorized under Sections (4)(i) and 
(j), 9, and 303(r) of the Communications Act of 1934, as amended.
4
III. Description and Estimate of the Number of Small Entities to Which the Rules Will 
Apply:
4. The RFA directs agencies to provide a description of, and where feasible, an estimate of the 
number of small entities that may be affected by the proposed rules and policies, if adopted.
5
  The RFA 
                                                          
1
5 U.S.C. § 603.  The RFA, 5 U.S.C. §§ 601-612 has been amended by the Small Business Regulatory Enforcement 
Fairness Act of 1996 (SBREFA), Pub. L. No. 104-121, Title II, 110 Stat. 847 (1996).
2
5 U.S.C. § 603(a).
3
Id.
4
47 U.S.C. §§ 154(i) and (j), 159, and 303(r).
5
5 U.S.C. § 603(b)(3).
Federal Communications Commission FCC 14-129
45
generally defines the term “small entity” as having the same meaning as the terms “small business,” “small 
organization,” and “small governmental jurisdiction.”
6
In addition, the term “small business” has the same 
meaning as the term “small business concern” under the Small Business Act.
7
  A “small business concern” 
is one which: (1) is independently owned and operated; (2) is not dominant in its field of operation; and (3) 
satisfies any additional criteria established by the SBA.
8
5. Small Businesses.   Nationwide, there are a total of approximately 27.9 million small 
businesses, according to the SBA.
9
   
6. Wired Telecommunications Carriers. The SBA has developed a small business size
standard for Wired Telecommunications Carriers, which consists of all such companies having 1,500 or
fewer employees. Census data for 2007 shows that there were 31,996 establishments that operated that year. 
Of this total, 1,818 operated with more than 100 employees, and 30,178 operated with fewer than 100 
employees.
10
  Thus, under this size standard, the majority of firms can be considered small.
7. Local Exchange Carriers (LECs). Neither the Commission nor the SBA has developed a 
size standard for small businesses specifically applicable to local exchange services. The closest applicable 
size standard under SBA rules is for Wired Telecommunications Carriers. Under that size standard, such a 
business is small if it has 1,500 or fewer employees.
11
  According to Commission data, census data for 2007 
shows that there were 31,996 establishments that operated that year. Of this total, 1,818 operated with more 
than 100 employees, and 30,178 operated with fewer than 100 employees.
12
  The Commission estimates that 
most providers of local exchange service are small entities that may be affected by the rules and policies 
proposed in the FNPRM.
8. Incumbent LECs.  Neither the Commission nor the SBA has developed a small business 
size standard specifically for incumbent local exchange services.  The closest applicable size standard under 
SBA rules is for the category Wired Telecommunications Carriers.  Under that size standard, such a 
business is small if it has 1,500 or fewer employees.
13
  According to Commission data, 1,307 carriers 
reported that they were incumbent local exchange service providers.
14
  Of this total, an estimated 1,006 have 
1,500 or fewer employees and 301 have more than 1,500 employees.
15
   Consequently, the Commission 
                                                          
6
5 U.S.C. § 601(6).
7
5 U.S.C. § 601(3) (incorporating by reference the definition of “small-business concern” in the Small Business 
Act, 15 U.S.C. § 632).  Pursuant to 5 U.S.C. § 601(3), the statutory definition of a small business applies “unless an 
agency, after consultation with the Office of Advocacy of the Small Business Administration and after opportunity
for public comment, establishes one or more definitions of such term which are appropriate to the activities of the 
agency and publishes such definition(s) in the Federal Register.”
8
15 U.S.C. § 632.
9
See SBA, Office of Advocacy, “Frequently Asked Questions,” 
http://www.sba.gov/sites/default/files/FAQ_Sept_2012.pdf.
10
See id.
11
13 C.F.R. § 121.201, NAICS code 517110.
12
See id.
13
13 C.F.R. § 121.201, NAICS code 517110.
14
See Trends in Telephone Service, Federal Communications Commission, Wireline Competition Bureau, Industry 
Analysis and Technology Division at Table 5.3 (Sept. 2010) (Trends in Telephone Service).
15
Id.
Federal Communications Commission FCC 14-129
46
estimates that most providers of incumbent local exchange service are small businesses that may be affected 
by the rules and policies proposed in the FNPRM.    
9. Competitive Local Exchange Carriers (Competitive LECs), Competitive Access 
Providers (CAPs), Shared-Tenant Service Providers, and Other Local Service Providers.  Neither the 
Commission nor the SBA has developed a small business size standard specifically for these service 
providers.  The appropriate size standard under SBA rules is for the category Wired Telecommunications 
Carriers.  Under that size standard, such a business is small if it has 1,500 or fewer employees.
16
   According 
to Commission data, 1,442 carriers reported that they were engaged in the provision of either competitive 
local exchange services or competitive access provider services.
17
   Of these 1,442 carriers, an estimated 
1,256 have 1,500 or fewer employees and 186 have more than 1,500 employees.
18
   In addition, 17 carriers 
have reported that they are Shared-Tenant Service Providers, and all 17 are estimated to have 1,500 or fewer 
employees.
19
   In addition, 72 carriers have reported that they are Other Local Service Providers.
20
   Of this 
total, 70 have 1,500 or fewer employees and two have more than 1,500 employees.
21
   Consequently, the 
Commission estimates that most providers of competitive local exchange service, competitive access 
providers, Shared-Tenant Service Providers, and Other Local Service Providers are small entities that may 
be affected by rules adopted pursuant to the proposals in this FNPRM. 
10. Interexchange Carriers (IXCs).  Neither the Commission nor the SBA has developed a 
small business size standard specifically applicable to interexchange services.  The applicable size standard 
under SBA rules is for the Wired Telecommunications Carriers.  Under that size standard, such a business is 
small if it has 1,500 or fewer employees.
22
  According to Commission data, 359 companies reported that 
their primary telecommunications service activity was the provision of interexchange services.
23
   Of this 
total, an estimated 317 have 1,500 or fewer employees and 42 have more than 1,500 employees.
24
   
Consequently, the Commission estimates that the majority of interexchange service providers are small 
entities that may be affected by rules adopted pursuant to the FNPRM.
11. Prepaid Calling Card Providers.  Neither the Commission nor the SBA has developed a 
small business size standard specifically for prepaid calling card providers.  The appropriate size standard 
under SBA rules is for the category Telecommunications Resellers.  Under that size standard, such a 
business is small if it has 1,500 or fewer employees.
25
   Census data for 2007 show that 1,523 firms provided 
resale services during that year.  Of that number, 1,522 operated with fewer than 1000 employees and one 
operated with more than 1,000.
26
   Thus under this category and the associated small business size standard, 
the majority of these prepaid calling card providers can be considered small entities.  According to 
                                                          
16
13 C.F.R. § 121.201, NAICS code 517110.
17
See Trends in Telephone Service, at tbl. 5.3.
18
Id.
19
Id.
20
Id.
21
Id.
22
13 C.F.R. § 121.201, NAICS code 517110.
23
See Trends in Telephone Service, at tbl. 5.3.
24
Id.
25
13 C.F.R. § 121.201, NAICS code 517911.
26
Id.
Federal Communications Commission FCC 14-129
47
Commission data, 193 carriers have reported that they are engaged in the provision of prepaid calling 
cards.
27
   All 193 carriers have 1,500 or fewer employees and none have more than 1,500 employees.
28
   
Consequently, the Commission estimates that the majority of prepaid calling card providers are small 
entities that may be affected by rules adopted pursuant to the FNPRM.
12. Local Resellers.  The SBA has developed a small business size standard for the category of 
Telecommunications Resellers.  Under that size standard, such a business is small if it has 1,500 or fewer 
employees.
29
   Census data for 2007 show that 1,523 firms provided resale services during that year.  Of that 
number, 1,522 operated with fewer than 1000 employees and one operated with more than 1,000.
30
  Under 
this category and the associated small business size standard, the majority of these local resellers can be 
considered small entities.  According to Commission data, 213 carriers have reported that they are engaged 
in the provision of local resale services.
31
   Of this total, an estimated 211 have 1,500 or fewer employees 
and two have more than 1,500 employees.
32
   Consequently, the Commission estimates that the majority of 
local resellers are small entities that may be affected by rules adopted pursuant to the proposals in this 
FNPRM. 
13. Toll Resellers.  The SBA has developed a small business size standard for the category of 
Telecommunications Resellers.  Under that size standard, such a business is small if it has 1,500 or fewer 
employees.
33
   Census data for 2007 show that 1,523 firms provided resale services during that year.  Of that 
number, 1,522 operated with fewer than 1,000 employees and one operated with more than 1,000.
34
  Thus,
under this category and the associated small business size standard, the majority of these resellers can be 
considered small entities.  According to Commission data, 881 carriers have reported that they are engaged 
in the provision of toll resale services.
35
  Of this total, an estimated 857 have 1,500 or fewer employees and 
24 have more than 1,500 employees.
36
  Consequently, the Commission estimates that the majority of toll 
resellers are small entities that may be affected by our proposals in the FNPRM.
14. Other Toll Carriers. Neither the Commission nor the SBA has developed a size standard 
for small businesses specifically applicable to Other Toll Carriers. This category includes toll carriers that 
do not fall within the categories of interexchange carriers, operator service providers, prepaid calling card 
providers, satellite service carriers, or toll resellers. The closest applicable size standard under SBA rules is 
for Wired Telecommunications Carriers. Under that size standard, such a business is small if it has 1,500 or 
fewer employees.
37
  Census data for 2007 shows that there were 31,996 establishments that operated that 
year. Of this total, 1,818 operated with more than 100 employees, and 30,178 operated with fewer than 100 
                                                          
27
See Trends in Telephone Service, at tbl. 5.3.
28
Id.
29
13 C.F.R. § 121.201, NAICS code 517911.
30
Id.
31
See Trends in Telephone Service, at tbl. 5.3.  
32
Id.
33
13 C.F.R. § 121.201, NAICS code 517911.
34
Id.
35
Trends in Telephone Service, at tbl. 5.3.
36
Id.
37
13 C.F.R. § 121.201, NAICS code 517110.
Federal Communications Commission FCC 14-129
48
employees.
38
  Thus, under this category and the associated small business size standard, the majority of 
Other Toll Carriers can be considered small. According to Commission data, 284 companies reported that 
their primary telecommunications service activity was the provision of other toll carriage.
39
  Of these, an 
estimated 279 have 1,500 or fewer employees and five have more than 1,500 employees.
40
  Consequently, 
the Commission estimates that most Other Toll Carriers are small entities that may be affected by the rules 
and policies adopted pursuant to the FNPRM.
15. Wireless Telecommunications Carriers (except Satellite).  Since 2007, the SBA has
recognized wireless firms within this new, broad, economic census category.
41
  Prior to that time, such firms 
were within the now-superseded categories of Paging and Cellular and Other Wireless
Telecommunications.
42
  Under the present and prior categories, the SBA has deemed a wireless business to 
be small if it has 1,500 or fewer employees.
43
  For this category, census data for 2007 show that there were 
11,163 establishments that operated for the entire year.
44
  Of this total, 10,791 establishments had
employment of 999 or fewer employees and 372 had employment of 1000 employees or more.
45
  Thus,
under this category and the associated small business size standard, the Commission estimates that the 
majority of wireless telecommunications carriers (except satellite) are small entities that may be affected by 
our proposed action.  Similarly, according to Commission data, 413 carriers reported that they were engaged 
in the provision of wireless telephony, including cellular service, Personal Communications Service (PCS),
and Specialized Mobile Radio (SMR) Telephony services.
46
  Of this total, an estimated 261 have 1,500 or
fewer employees and 152 have more than 1,500 employees.
47
  Consequently, the Commission estimates that 
approximately half or more of these firms can be considered small. Thus, using available data, we estimate 
that the majority of wireless firms can be considered small.
16. Cable Television and other Program Distribution.  Since 2007, these services have been 
defined within the broad economic census category of Wired Telecommunications Carriers; that category is 
defined as follows:  “This industry comprises establishments primarily engaged in operating and/or 
providing access to transmission facilities and infrastructure that they own and/or lease for the transmission 
of voice, data, text, sound, and video using wired telecommunications networks. Transmission facilities may 
                                                          
38
Id.
39
Trends in Telephone Service, at tbl. 5.3.
40
Id.
41
13 C.F.R. § 121.201, NAICS code 517210.
42
U.S. Census Bureau, 2002 NAICS Definitions, “517211 Paging,” available at http://www.census.gov/cgibin/ 
sssd/naics/naicsrch?code=517211&search=2002%20NAICS%20Search; U.S. Census Bureau, 2002 NAICS 
Definitions, “517212 Cellular and Other Wireless Telecommunications,” available at http://www.census.gov/cgi-
bin/sssd/naics/naicsrch?code=517212&search=2002%20NAICS%20Search.
43
13 C.F.R. § 121.201, NAICS code 517210. The now-superseded, pre-2007 C.F.R. citations were 13 C.F.R. § 
121.201, NAICS codes 517211 and 517212 (referring to the 2002 NAICS).
44
U.S. Census Bureau, Subject Series: Information, Table 5, “Establishment and Firm Size: Employment Size of 
Firms for the United States: 2007 NAICS Code 517210” (issued Nov. 2010).
45
Id. Available census data do not provide a more precise estimate of the number of firms that have employment of 
1,500 or fewer employees; the largest category provided is for firms with “100 employees or more.”
46
Trends in Telephone Service, at tbl. 5.3.
47
Id.
Federal Communications Commission FCC 14-129
49
be based on a single technology or a combination of technologies.”
48
  The SBA has developed a small 
business size standard for this category, which is:  all such firms having 1,500 or fewer employees.
49
  
Census data for 2007 shows that there were 31,996 establishments that operated that year.   Of this total, 
1,818 had more than 100 employees, and 30,178 operated with fewer than 100 employees.  Thus under this 
size standard, the majority of firms offering cable and other program distribution services can be considered 
small and may be affected by rules adopted pursuant to the FNPRM.
17. Cable Companies and Systems.  The Commission has developed its own small business 
size standards, for the purpose of cable rate regulation.  Under the Commission’s rules, a “small cable 
company” is one serving 400,000 or fewer subscribers, nationwide.
50
  Industry data indicate that, of 1,076 
cable operators nationwide, all but eleven are small under this size standard.
51
In addition, under the 
Commission’s rules, a “small system” is a cable system serving 15,000 or fewer subscribers.
52
   Industry 
data indicate that, of 6,635 systems nationwide, 5,802 systems have fewer than 10,000 subscribers, and an 
additional 302 systems have 10,000-19,999 subscribers.
53
   Thus, under this second size standard, most cable 
systems are small and may be affected by rules adopted pursuant to the FNPRM.
18. All Other Telecommunications. The Census Bureau defines this industry as including
“establishments primarily engaged in providing specialized telecommunications services, such as satellite
tracking, communications telemetry, and radar station operation. This industry also includes establishments
primarily engaged in providing satellite terminal stations and associated facilities connected with one or
more terrestrial systems and capable of transmitting telecommunications to, and receiving
telecommunications from, satellite systems. Establishments providing Internet services or Voice over
Internet Protocol (VoIP) services via client-supplied telecommunications connections are also included in
this industry.”
54
  The SBA has developed a small business size standard for this category; that size standard
is $30.0 million or less in average annual receipts.
55
  According to Census Bureau data for 2007, there were
2,623 firms in this category that operated for the entire year.
56
  Of this total, 2478 establishments had annual
                                                          
48
U.S. Census Bureau, 2007 NAICS Definitions, “517110 Wired Telecommunications Carriers” (partial definition), 
available at http://www.census.gov/cgi-bin/sssd/naics/naicsrch?code=517110&search=2007%20NAICS%20Search.
49
13 C.F.R. § 121.201, NAICS code 517110.
50
See 47 C.F.R. § 76.901(e). The Commission determined that this size standard equates approximately to a size 
standard of $100 million or less in annual revenues. See Implementation of Sections of the 1992 Cable Television 
Consumer Protection and Competition Act: Rate Regulation, MM Docket Nos. 92-266, 93-215, Sixth Report and 
Order and Eleventh Order on Reconsideration, 10 FCC Rcd 7393, 7408, para. 28 (1995).
51
These data are derived from R.R. BOWKER, BROADCASTING & CABLE YEARBOOK 2006, “Top 25 
Cable/Satellite Operators,” pages A-8 & C-2 (data current as of June 30, 2005); WARREN COMMUNICATIONS 
NEWS, TELEVISION & CABLE FACTBOOK 2006, “Ownership of Cable Systems in the United States,” pages 
D-1805 to D-1857.
52
See 47 C.F.R. § 76.901(c).
53
WARREN COMMUNICATIONS NEWS, TELEVISION & CABLE FACTBOOK 2006, “U.S. Cable Systems by 
Subscriber Size,” page F-2 (data current as of Oct. 2007). The data do not include 851 systems for which classifying 
data were not available.
54
U.S. Census Bureau, “2007 NAICS Definitions: 517919 All Other Telecommunications,” available at 
http://www.census.gov/cgi-bin/sssd/naics/naicsrch?code=517919&search=2007%20NAICS%20Search.
55
13 C.F.R. § 121.201, NAICS code 517919.
56
U.S. Census Bureau, 2007 Economic Census, Subject Series: Information, Table 4, “Establishment and Firm Size:  
Receipts Size of Firms for the United States: 2007 NAICS Code 517919” (issued Nov. 2010).
Federal Communications Commission FCC 14-129
50
receipts of under $10 million and 145 establishments had annual receipts of $10 million or more.
57
Consequently, we estimate that the majority of these firms are small entities that may be affected by our 
action in this FNPRM.
IV.  Description of Projected Reporting, Recordkeeping and Other Compliance Requirements
19. While this FNPRM seeks comment on changes to the Commission’s current regulatory fee 
methodology and schedule, any changes to the regulatory fee methodology will not impact the information 
collection, reporting, and recordkeeping requirements. If a new fee is ultimately adopted, the Commission’s 
current online procedures for payment of regulatory fees will apply for the collection and reporting of 
these fees. 
V.  Steps Taken to Minimize Significant Economic Impact on Small Entities, and Significant 
Alternatives Considered
20. The RFA requires an agency to describe any significant alternatives that it has considered 
in reaching its approach, which may include the following four alternatives, among others: (1) the 
establishment of differing compliance or reporting requirements or timetables that take into account the 
resources available to small entities; (2) the clarification, consolidation, or simplification of compliance or 
reporting requirements under the rule for small entities; (3) the use of performance, rather than design, 
standards; and (4) an exemption from coverage of the rule, or any part thereof, for small entities.
58
   
21. Toll free numbers allow callers to reach the called party without being charged for the 
call; instead the charge for the call is paid by the called party (the toll free subscriber).
59
A Responsible 
Organization (RespOrg) is a company that manages toll free telephone numbers for subscribers. They use 
the SMS/800 data base to verify the availability of specific numbers and to reserve the numbers for 
subscribers. See 47 C.F.R. § 52.101(b).  It is possible that our proposal, if adopted, would result in 
increasing or imposing a regulatory fee burden on small entities such as RespOrgs.  The actual fee amount 
or financial burden, however, will be determined after comments are received and evaluated.  Our proposal 
exempts entities that are already paying regulatory fees, such as Interexchange Carriers, but would assess 
fees on other Responsible Organizations that do not currently pay any regulatory fees.  In addition, it is 
possible that many of the RespOrgs may also qualify for de minimis status if their total regulatory fee 
obligation is $500 or less, beginning in FY 2015.  The Commission seeks comment on the abovementioned
proposal, including methods on how to minimize significant economic impact on small entities.
VI.  Federal Rules that May Duplicate, Overlap, or Conflict with the Proposed Rules
23. None.
                                                          
57
Id.
58
5 U.S.C. § 603(c)(1)–(c)(4).
59
47 U.S.C. §§ 52.101 (e), (f).
Federal Communications Commission FCC 14-129
51
APPENDIX H
Revised FTE (as of 9/30/12) Allocations
FY 2013 Schedule of Regulatory Fees
(Fee Rates Capped at 7.5%)
Regulatory fees for the categories shaded in gray are collected by the Commission in advance to cover the 
term of the license and are submitted at the time the application is filed.
Fee Category
Annual 
Regulatory 
Fee
(U.S. $'s)
PLMRS (per license) (Exclusive Use) (47 CFR part 90) 40
Microwave (per license) (47 CFR part 101) 20
218-219 MHz (Formerly Interactive Video Data Service) (per license) (47 CFR part 
95)
75
Marine (Ship) (per station) (47 CFR part 80) 10
Marine (Coast) (per license) (47 CFR part 80) 55
General Mobile Radio Service (per license) (47 CFR part 95) 5
Rural Radio (47 CFR part 22) (previously listed under the Land Mobile category) 15
PLMRS (Shared Use) (per license) (47 CFR part 90) 15
Aviation (Aircraft) (per station) (47 CFR part 87) 10
Aviation (Ground) (per license) (47 CFR part 87) 15
Amateur Vanity Call Signs (per call sign) (47 CFR part 97) 1.61
CMRS Mobile/Cellular Services (per unit) (47 CFR parts 20, 22, 24, 27, 80 and 90) .18
CMRS Messaging Services (per unit) (47 CFR parts 20, 22, 24 and 90) .08
Broadband Radio Service (formerly MMDS/ MDS) (per license) (47 CFR part 27)
Local Multipoint Distribution Service (per call sign) (47 CFR, part 101)
510
510
AM Radio Construction Permits 590
FM Radio Construction Permits 750
TV (47 CFR part 73) VHF Commercial
Markets 1-10 86,075
Markets 11-25 78,975
Markets 26-50 42,775
Markets 51-100 22,475
Remaining Markets 6,250
Construction Permits 6,250
Federal Communications Commission FCC 14-129
52
Fee Category
Annual 
Regulatory 
Fee
(U.S. $'s)
TV (47 CFR part 73) UHF Commercial
Markets 1-10 38,000
Markets 11-25 35,050
Markets 26-50 23,550
Markets 51-100 13,700
Remaining Markets 3,675
Construction Permits 3,675
Satellite Television Stations  (All Markets)   1,525
Construction Permits – Satellite Television Stations 960
Low Power TV, Class A TV, TV/FM Translators & Boosters (47 CFR part 74) 410
Broadcast Auxiliaries (47 CFR part 74) 10
CARS (47 CFR part 78) 510
Cable Television Systems (per subscriber) (47 CFR part 76) 1.02
Interstate Telecommunication Service Providers (per revenue dollar) .00347
Earth Stations (47 CFR part 25) 275
Space Stations (per operational station in geostationary orbit) (47 CFR part 25) also 
includes DBS Service (per operational station) 139,100
Space Stations (per operational system in non-geostationary orbit) (47 CFR part 25) 149,875
International Bearer Circuits - Terrestrial/Satellites (per 64KB circuit) .27
International Bearer Circuits - Submarine Cable See Table 
Below
Federal Communications Commission FCC 14-129
53
FY 2013 SCHEDULE OF REGULATORY FEES: 
(continued)
FY 2013 RADIO STATION REGULATORY FEES
Population 
Served
AM Class 
A
AM Class 
B
AM 
Class C
AM 
Class D
FM Classes
A, B1 & C3
FM Classes
B, C, C0, C1 
& C2
<=25,000 $775 $645 $590 $670 $750 $925
25,001 – 75,000 $1,550 $1,300 $900 $1,000 $1,500 $1,625
75,001 – 150,000 $2,325 $1,625 $1,200 $1,675 $2,050 $3,000
150,001 – 500,000 $3,475 $2,750 $1,800 $2,025 $3,175 $3,925
500,001 – 1,200,000 $5,025 $4,225 $3,000 $3,375 $5,050 $5,775
1,200,001 – 3,000,00 $7,750 $6,500 $4,500 $5,400 $8,250 $9,250
>3,000,000 $9,300 $7,800 $5,700 $6,750 $10,500 $12,025
FY 2013 SCHEDULE OF REGULATORY FEES: Fee Rate Increases Capped at 7.5%
International Bearer Circuits - Submarine Cable
Submarine Cable Systems
(capacity as of December 31, 2012)
Fee amount Address
< 2.5 Gbps
$13,600
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
2.5 Gbps or greater, but less 
than 5 Gbps $27,200
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
5 Gbps or greater, but less than 
10 Gbps $54,425 
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
10 Gbps or greater, but less 
than 20 Gbps $108,850 
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
20 Gbps or greater
$217,675
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
Federal Communications Commission FCC 14-129
APPENDIX I
Rule Changes
Part 1 of Title 47 of the Code of Federal Regulations is amended to read as follows:
PART 1 – PRACTICE AND PROCEDURE
1. The authority citation for part 1 continues to read as follows:                                                       
Authority:  15 U.S.C. 79 et seq.; 47 U.S.C. 151, 154(i), 154(j), 155, 157, 225, 303(r), 309.
2.   Section 1.1152 is revised to read as follows:
   
§ 1.1152  Schedule of annual regulatory fees and filing locations for wireless radio services.
                     
Exclusive use services (per license) Fee Amount
1
Address  
1. Land Mobile (Above 470
MHz and 220 MHz Local,
Base Station & SMRS)
(47 CFR part 90)
a)New, Renew/Mod $35.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
b) New, Renew/Mod $35.00 FCC
   (Electronic Filing) P.O. Box 979097
   (FCC 601 & 159) St. Louis, MO 63197-9000
c)Renewal Only $35.00 FCC
            (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
d)Renewal Only $35.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
220 MHz Nationwide $35.00 FCC
a)New, Renew/Mod P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
b)New, Renew/Mod $35.00 FCC
   (Electronic Filing) P.O. Box 979097
                                                          
1
Note that "small fees" are collected in advance for the entire license term.  Therefore, the annual fee amount shown in 
this table that is a small fee (categories 1 through 5) must be multiplied by the 5-or 10-year license term, as appropriate, 
to arrive at the total amount of regulatory fees owed.  Also, application fees may apply as detailed in §1.1102 of this 
chapter.
Federal Communications Commission FCC 14-129
55
   (FCC 601 & 159) St. Louis, MO 63197-9000
c)Renewal Only $35.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
          d)Renewal Only $35.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
2. Microwave (47 CFR Pt. 101) (Private)
         a)New, Renew/Mod $15.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
b)New, Renew/Mod $15.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
c)Renewal Only $15.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
          d)Renewal Only $15.00 FCC
    (Electronic Filing) P.O. Box 979097
    (FCC 601 & 159) St. Louis, MO 63197-9000
3.  218-219 MHz Service
a)New, Renew/Mod $80.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
         
b)New, Renew/Mod $80.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
c)Renewal Only $80.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
          d)Renewal Only $80.00 FCC
    (Electronic Filing) P.O. Box 979097
    (FCC 601 & 159) St. Louis, MO 63197-9000
4.  Shared Use Services
          Land Mobile (Frequencies
          Below 470 MHz – except
           220 MHz)
a)New, Renew/Mod $10.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
Federal Communications Commission FCC 14-129
56
b) New, Renew/Mod $10.00 FCC
   (Electronic Filing) P.O. Box 979097
   (FCC 601 & 159) St. Louis, MO 63197-9000
c)Renewal Only $10.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
d)Renewal Only $10.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
General Mobile Radio Service
a)New, Renew/Mod $5.00 FCC
     (FCC 605 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
b)New, Renew/Mod $5.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 605 & 159) St. Louis, MO 63197-9000
  
c)Renewal Only $5.00 FCC
  (FCC 605 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
d)Renewal Only $5.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 605 & 159) St. Louis, MO 63197-9000
Rural Radio (Part 22)
a)New, Additional Facility, $10.00 FCC
   Major Renew/Mod P.O. Box 979097
  (Electronic Filing) St. Louis, MO
  (FCC 601 & 159) 63197-9000
b)Renewal, Minor Renew/Mod $10.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
Marine Coast
a)New Renewal/Mod $55.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
b)New, Renewal/Mod $55.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
c)Renewal Only $55.00 FCC
  (FCC 601 & 159) P.O. Box 979097
Federal Communications Commission FCC 14-129
57
  St. Louis, MO 63197-9000
d)Renewal Only $55.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
Aviation Ground
a)New, Renewal/Mod $30.00 FCC
  (FCC 601 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
b)New, Renewal/Mod $30.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
c)Renewal Only $30.00 FCC
  (FCC 601 & 159) P.O. Box 979097
  St. Louis, MO 63197-9000
d)Renewal Only $30.00 FCC
  (Electronic Only) P.O. Box 979097
  (FCC 601 & 159) St. Louis, MO 63197-9000
Marine Ship
a)New, Renewal/Mod $15.00 FCC
  (FCC 605 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
b)New, Renewal/Mod $15.00 FCC
(Electronic Filing) P.O. Box 979097
(FCC 605 & 159) St. Louis, MO 63197-9000
c)Renewal Only $15.00 FCC
  (FCC 605 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
d)Renewal Only $15.00 FCC
(Electronic Filing) P.O. Box 979097
(FCC 605 & 159) St. Louis, MO 63197-9000
Federal Communications Commission FCC 14-129
58
Aviation Aircraft
a)New, Renew/Mod $10.00 FCC
  (FCC 605 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
b)New, Renew/Mod $10.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 605 & 159) St. Louis, MO 63197-9000
c)Renewal Only $10.00 FCC
  (FCC 605 & 159) P.O. Box 979097
St. Louis, MO 63197-9000
d)Renewal Only $10.00 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 605 & 159) St. Louis, MO 63197-9000
5.  Amateur Vanity Call Signs $2.14 FCC
a)Initial or Renew P.O. Box 979097 
  (FCC 605 & 159) St. Louis, MO 63197-9000
b)Initial or Renew $2.14 FCC
  (Electronic Filing) P.O. Box 979097
  (FCC 605 & 159) St. Louis, MO 63197-9000
6.  CMRS Cellular/Mobile Services $ .18
2
FCC
     (per unit) P.O. Box 979084
     (FCC 159) St. Louis, MO 63197-9000
7.  CMRS Messaging Services $ .08
3
FCC
     (per unit) P.O. Box 979084
     (FCC 159) St. Louis, MO 63197-9000
8. Broadband Radio Service      $  715        FCC
    (formerly MMDS and  MDS)        P.O. Box 979084
       St. Louis, MO 63197-9000
9. Local Multipoint Distribution Service $  715        FCC, ,
           P.O. Box 979084
       St. Louis, MO 63197-9000
3.   Section 1.1153 is revised to read as follows:
§ 1.1153  Schedule of annual regulatory fees and filing locations for mass media services. 
Radio [AM and FM] (47 CFR part 73) Fee Amount Address
                                                          
2
These are standard fees that are to be paid in accordance with § 1.1157(b) of this chapter.
3
These are standard fees that are to be paid in accordance with § 1.1157(b) of this chapter.
Federal Communications Commission FCC 14-129
59
1. AM Class A
<=25,000 population    $775 FCC, Radio
25,001-75,000 population $1,550 P.O. Box 979084
75,001-150,000 population $2,325 St. Louis, MO
150,001-500,000 population $3,475 63197-9000
500,001-1,200,000 population $5,025
1,200,001-3,000,000 population $7,750
>3,000,000 population $9,300
2. AM Class B
<=25,000 population    $645 FCC, Radio
25,001-75,000 population $1,300 P.O. Box 979084
75,001-150,000 population $1,625 St. Louis, MO
150,001-500,000 population $2,750 63197-9000
500,001-1,200,000 population $4,225
1,200,001-3,000,000 population $6,500
>3,000,000 population $7,800
3. AM Class C
<=25,000 population    $590 FCC, Radio
25,001-75,000 population    $900 P.O. Box 979084
75,001-150,000 population $1,200 St. Louis, MO
150,001-500,000 population $1,800 63197-9000
500,001-1,200,000 population $3,000
1,200,001-3,000,000 population $4,500
>3,000,000 population $5,700
4. AM Class D
<=25,000 population    $670 FCC, Radio
25,001-75,000 population $1,000 P.O. Box 979084
75,001-150,000 population $1,675 St. Louis, MO
150,001-500,000 population $2,025 63197-9000
500,001-1,200,000 population $3,375
1,200,001-3,000,000 population $5,400
>3,000,000 population $6,750
5. AM Construction Permit    $590 FCC, Radio
P.O. Box 979084
St. Louis, MO
63197-9000
Federal Communications Commission FCC 14-129
60
6. FM Classes A, B1 and C3
<=25,000 population    $750 FCC, Radio
25,001-75,000 population $1,500 P.O. Box 979084
75,001-150,000 population $2,050 St. Louis, MO
150,001-500,000 population $3,175 63197-9000
500,001-1,200,000 population $5,050
1,200,001-3,000,000 population $8,250
>3,000,000 population $10,500
7. FM Classes B, C, C0, C1 and C2
<=25,000 population    $925 FCC, Radio
25,001-75,000 population $1,625 P.O. Box 979084
75,001-150,000 population $3,000 St. Louis, MO
150,001-500,000 population $3,925 63197-9000
500,001-1,200,000 population $5,775
1,200,001-3,000,000 population $9,250
>3,000,000 population $12,025
8. FM Construction Permits $750 FCC, Radio
P.O. Box 979084
St. Louis, MO 63197-9000
TV (47 CFR, part 73)
Digital TV (UHF and VHF Commercial Stations)
1. Markets 1 thru 10 $44,650 FCC, TV Branch
2. Markets 11 thru 25 $42,100 P.O. Box 979084
3. Markets 26 thru 50 $26,975 St. Louis, MO
4. Markets 51 thru 100 $15,600   63197-9000
5. Remaining Markets $  4,750
6. Construction Permits $  4,750
Satellite UHF/VHF Commercial
1. All Markets $1,550 FCC Satellite TV
2. Construction Permits $1,300 P.O. Box 979084
St. Louis, MO 63197-9000
Low Power TV,  Class A TV, TV/FM $  410 FCC, Low Power
Translator, & TV/FM Booster P.O. Box 979084
(47 CFR part 74) St. Louis, MO 63197-9000
Broadcast Auxiliary $    10 FCC, Auxiliary
P.O. Box 979084
St. Louis, MO 63197-9000
   
4.   Section 1.1154 is revised to read as follows:
§ 1.1154  Schedule of annual regulatory charges and filing locations for common carrier services.
Radio Facilities Fee Amount Address
1. Microwave (Domestic Public Fixed) $15.00 FCC
Federal Communications Commission FCC 14-129
61
(Electronic Filing) P.O. Box 979097
(FCC Form 601 & 159) St. Louis, MO 63197-9000
Carriers
1. Interstate Telephone Service Providers $   .00343 FCC, Carriers
(per interstate and international end-user P.O. Box 979084
revenues (see FCC Form 499-A) St. Louis, MO 63197-9000
5.   Section 1.1155 is revised to read as follows:
§ 1.1155  Schedule of regulatory fees and filing locations for cable television services.
Fee Amount Address
1. Cable Television Relay Service $605 FCC, Cable
2. Cable TV System, Including IPTV $   0.99 P.O. Box 979084
(per subscriber)   St. Louis, MO 63197-9000
6.   Section 1.1156 is revised to read as follows:
§ 1.1156  Schedule of regulatory fees and filing locations for international services.
a.        The following schedule applies for the listed services:
Fee Category Fee Amount Address
Space Stations (Geostationary 
Orbit) $122,400
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
Space Stations (Non-
Geostationary Orbit) $132,850
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
Earth 
Stations: Transmit/Receive & 
Transmit only (per 
authorization or registration)
$295
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
b.        International Terrestrial and Satellite. Regulatory fees for International Bearer Circuits 
are to be paid by facilities-based common carriers that have active (used or leased) international 
bearer circuits as of December 31 of the prior year in any terrestrial or satellite transmission 
facility for the provision of service to an end user or resale carrier, which includes active circuits
to themselves or to their affiliates. In addition, non-common carrier satellite operators must pay 
a fee for each circuit sold or leased to any customer, including themselves or their affiliates, 
other than an international common carrier authorized by the Commission to provide U.S. 
international common carrier services. “Active circuits” for these purposes include backup and 
redundant circuits. In addition, whether circuits are used specifically for voice or data is not 
relevant in determining that they are active circuits.
The fee amount, per active 64 KB circuit or equivalent will be determined for each fiscal year.
Federal Communications Commission FCC 14-129
62
International Terrestrial and 
Satellite (capacity as of 
December 31, 2013)
Fee Amount Address
Terrestrial Common Carrier
Satellite Common Carrier
Satellite Non-Common Carrier
$0.21 per 64 KB Circuit
FCC, International, P.O. Box 
979084, St. Louis, MO 
63197-9000
c.        Submarine cable: Regulatory fees for submarine cable systems will be paid annually, per 
cable landing license, for all submarine cable systems operating as of December 31 of the prior 
year. The fee amount will be determined by the Commission for each fiscal year.
Submarine Cable Systems
(capacity as of Dec. 31, 2013)
Fee Amount Address
< 2.5 Gbps
$10,250
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
2.5 Gbps or greater, but less 
than 5 Gbps
$20,500
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
5 Gbps or greater, but less 
than 10 Gbps
$40,975 
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
10 Gbps or greater, but less 
than 20 Gbps
$81,950 
FCC, International, P.O. Box 
979084, St. Louis, MO 63197-
9000
20 Gbps or greater
$163,900 
FCC, International, P.O. Box
979084, St. Louis, MO 63197-
9000