Implementation of Section 309(j) of the Communications ActCompetitive Bidding; Final Rule FEDERAL COMMUNICATIONS COMMISSION

In this Fifth Memorandum Opinion and Order the Commission resolves petitions for reconsideration or clarification of its competitive bidding rules for the entrepreneurs' blocks, including provisions established to ensure that small businesses, rural telephone companies and businesses owned by minorities and women (collectively termed ``designated entities'') have a meaningful opportunity to participate in the provision of Personal Communications Services in the 2 GHz band (called ``broadband PCS''). Among the issues the Commission re-examines in this Fifth Memorandum Opinion and Order are matters concerning: the financial caps for entry into the entrepreneurs' block and qualification as a small business; the equity requirements for the control group and other eligibility criteria; joint venture and consortia rules; guidelines for defining de facto control of an applicant; permissible management agreements between noncontrolling investors and entrepreneurs' block applicants; treatment of affiliated entities and ownership attribution rules; and installment payments and bidding credits. The rules and decisions made in this Fifth Memorandum Opinion and Order are designed to result in auctions that will serve the public interest by ensuring that small businesses, rural telephone companies and businesses owned by minorities and women have the opportunity to attract the necessary investment capital to compete for and obtain broadband PCS licenses and ultimately to have meaningful involvement in building and managing this nation's broadband PCS infrastructure.