UTC Washington Watch for Municipal Utilities

1. A PRESENTATION TO THE APPA LEGAL SEMINAR November 8, 2004 UTC Washington Watch for Municipal Utilities UTC Legal/Regulatory Department Jill M. Lyon Brett Kilbourne Prudence Parks

2. Areas of Concentration • Spectrum Issues • Infrastructure Issues • Homeland Security Issues

3. Spectrum Issues • PPD Spectrum Issues Section • Rusty Williams, Southern Co, Chair • 800 MHz Proceeding • Nextel 900 MHz Applications • Narrowbanding 150-512 MHz • ITA request to coordinate CI frequencies • Interference Temperature • Secondary Markets Decision/4.9 GHz • 2.1 GHz Microwave relocation

4. 800 MHz Proceeding – Status • Report & Order adopted 7/8; text released 8/6 • Federal Register publication not expected until end October; eff. dates for new rules 1/05? • Meanwhile, Comptroller General investigating challenge to FCC action • Litigation also possible

5. Major Points in Decision • NPSPAC systems 866-869 MHz will move to General Category (851-854 MHz) • Current Gen. Cat. Licensees will have to retune into 854-862 MHz vacated Nextel spectrum • Process to be overseen by independent Transition Administrator • PS, then PS/CI, get preference for remaining vacated spectrum • Nextel to get 1.9 GHz spectrum, pay ALL costs of retuning plus difference up to $4.8 billion

6. 800 MHz – CI Wins • No nationwide freeze! • Included in preference for remaining spectrum last two years of five-year period • Rules to establish cause, responsibility for resolving, unacceptable interference • Cannot be moved into 861-862 MHz guard band • Entitled to notification by carriers of system changes affecting PLMR systems • Full funding of rebanding

7. “Cellular” definition • Architecture not permitted below 861 MHz w/o waiver, but must have: • More than 5 overlapping, interactive sites w/handoff capability; • Antenna heights of less than 100 ft. above ground on HAATs of less than 500 ft; AND • More than 20 paired frequencies. • Higher threshold than proposed, but still a problem? • UTC likely to include issue in Petition for Reconsideration

8. Nextel 900 MHz Applications • Since 8/1, >500 apps filed for all remaining 896-901 MHz Business pool freqs in country (approx. 30,000 pairs) • Purpose stated as “private, internal” -- ? Commercial not eligible • UTC notice provides data, recommends checks against member systems • FCC imposes freeze • UTC and others seek to lift freeze

9. “Narrowbanding” Order (Balanced Budget Act proceeding) • FCC Grants UTC/API Request for Stay of Rules prohibiting • new applications for 25 kHz • modifications extending the contour • Other deadlines are still effective. • 2005 – no certification of 25 kHz equipment • 2008 -- no importation, manufacture of 25 kHz equipment • Existing non-PS licensees must migrate to 12.5 kHz channels by 1/1/2013 • Existing PS licensees must migrate to 12.5 kHz channels by 1/1/2018

10. Narrowbanding – outlook • API/UTC Petition for Recon. requests delay in modification deadline to 2006 • Several petitioners request no interim deadlines, only final migration date • PS requests acceleration of its deadline to 2013 • AMTA/ITA/PCIA request final date 2008 • FCC may move up deadline (2010?), eliminate interim dates – decision “in 2004” • FNPR asks about 6.25 kHz – UTC/LMCC opposes as premature, contrary to developing technology

11. ITA Coordination Petition • ITA “informal request” to coordinate 150-512 MHz former power, railroad, auto emergency channels w/o UTC, AAR or AAA concurrence • UTC, AAA, AAR, even API contesting; comments overwhelmingly oppose petition • FCC meetings – some understanding of CI concerns, but no immediate action • Discussions with new ITA leadership may lead to revised inter-service procedures, withdrawal of petition

12. Interference Temperature • NOI and NPR, comments and reply comments filed Spring ‘04 • UTC Task Force (Bill Anderson, chair) worked on answering technical issues, identifying CI presence in 6 GHz band • NOI Issues: • Interference Metric/Management • Implementation • Noise Floor Measurements • “Harmful interference”

13. Interference Temperature • NPR Issues focus on testing concept in 6525-6700 MHz / 12.75-13.15 / 13.2125-13.25 GHz bands • Comments overwhelmingly note impracticality of concept – no technology, no means of implementation • FCC under pressure to implement IT, but do not expect any action in the near term

14. Secondary Markets/4.9 GHz • New FCC decision broadens ability of licensees to lease spectrum • Overnight approval with certifications • Services expanded, including Public Safety, when leasing to entity “operating in support of PS” (CI)

15. Secondary Markets/4.9 GHz • 4940-4990 MHz spectrum allocated “in support of PS” • Ideal use for hot-spot file transfer, emergency scene use • R&O encourages cooperation, sharing between PS and CI, but little inclusion of CI in planning • No direct licensing eligibility – use of secondary mkts authority?

16. Microwave Relocation -- Overview • FCC Reallocates 1990-2000 MHz, 2020-2025 MHz, and 2165-2180 MHz bands for advanced wireless (3G) • Recent NPR seeks service rules • Further NPRM on 1910-1920 MHz band for 3G or Nextel Relocation • FCC issues R&O on relocation of FS in 2180-2200 MHz

17. Microwave Relocation • FCC Issues New Rules for MSS in 2180-2200 MHz band. • One year mandatory negotiation period began 1/7/04. • No reimbursement for self-relocation • No requirement to relocate both paths at the same time (2110-2150 MHz) • UTC/API Petition for reconsideration/clarification • Clarify that 2-year mandatory negotiation period applies in 2110-2150 MHz band, commencing upon PN after AWS auction • restore 2-year negotiation period in 2180-2200 MHz, commencing upon FR publication of R&O • require MSS (first likely licensees) to relocate both paths at once.

18. Infrastructure Issues • PPD Infrastructure Issues Section • Jeremy Euto, Nat’l Grid, Chair • IP Enabled Services NPRM • CALEA NPRM

19. IP-Enabled Services NPRM • Extends beyond “computer to computer” services to include all use of IP for voice • Implications for Bell usage of IP to avoid regulated charges • Implications for UTC members with private PBX’s – larger co’s linking • UTC files comments encouraging deregulation of competitive IP services, and opposes any regulation of private systems that use VoIP. • Draft order circulating at FCC would look at specific services rather than VoIP in general.

20. Communications Assistance for Law Enforcement Act (CALEA) • CALEA requires carriers to facilitate taps and traces of calls • DOJ asks FCC to expand CALEA to apply to packet-switched communications • UPLC opposes petition and asks FCC to forbear from imposing CALEA requirements on BPL • New FCC NPRM proposes to require broadband (including BPL) & VoIP providers to comply and would deny reimbursement from DOJ for cost of network upgrades. • Comments/replies due Nov. 8 and Dec. 7.

21. Homeland Security • Meetings, contacts have led to much higher degree of visibility • Resource limitation requires slow progress • Focus on Public Safety means CI must battle for attention • However, CI protection is vital issue

22. Homeland Security Issues • Inclusion of CI in HS discussions • NTIA spectrum initiative report encourages non-federal sharing • Inclusion in SCADA security: Congressional hearings, DHS program • Cyber security legislation possible; participation by UTC members encouraged to influence policymakers • Focus on link between CI protection and telecom systems

23. CI Spectrum Allocation • Stressed to meet needs for interoperability, reliability • 700 MHz possible home, adjacent to PS • With PS and HS users • Harder sell with budget deficit, pressure for allocation to wireless broadband • UTC seeks Cong. support through member letters • UTC emergency network proposal offers availability to PS, fed users as needed • Emphasize need for HS/PS discussion to include municipal utilities! • NTIA sharing is another option • UTC Tech Div. Next Generation Wireless RFP could serve as platform to propel discussions

24. Two Key Issues • Reliability – final blackout report urges more NERC authority, mandated stds – will involve telecom • Energy Bill will have to be re-introduced next session, but action likely • Part of UTC role to explain to FCC that its regulation must reflect requirements for CI from other sources • Re-opening of Telecom Act • Will be multi-year effort; most of focus on commercial services, technology • CICC developing “manifesto” for CI, but will need Congressional champions

25. Questions? – for more information, contact:Jill M. Lyon, 202-833-6808 jill.lyon@utc.orgBrett Kilbourne, 202-833-6807 brett.kilbourne@utc.orgThank You!