[Federal Register Volume 80, Number 232 (Thursday, December 3, 2015)]
[Notices]
[Pages 75677-75678]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-30606]
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FEDERAL COMMUNICATIONS COMMISSION
[AU Docket No. 14-252, GN Docket No. 12-268, WT Docket No. 12-269; DA
15-1365]
Wireless Telecommunications Bureau Clarifies Procedure for
Disbursing Reverse Auction Incentive Payments
AGENCY: Federal Communications Commission.
ACTION: Notice.
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SUMMARY: This document clarifies procedure for reverse incentive
auction payments for Auction 1001.
FOR FURTHER INFORMATION CONTACT: Wireless Telecommunications Bureau,
Auctions and Spectrum Access Division: For general forward auction
questions: Mary Margaret Jackson at (202) 418-3641.
SUPPLEMENTARY INFORMATION: This is a summary of the Clarification on
Reverse Auction Payment Public Notice, AU Docket No. 14-252, GN Docket
No. 12-268, WT Docket No. 12-269, DA 15-1365, released on November 25,
2015. The complete text of the Clarification on Reverse Auction Payment
Public Notice is available for public inspection and copying from 8:00
a.m. to 4:30 p.m. ET Monday through Thursday or from 8:00 a.m. to 11:30
a.m. ET on Fridays in the FCC Reference Information Center, 445 12th
Street SW., Room CY-A257, Washington, DC 20554. The complete text is
also available on the Commission's Web site at http://wireless.fcc.gov,
or by using the search function on the ECFS Web page at http://www.fcc.gov/cgb/ecfs/. Alternative formats are available to persons
with disabilities by sending an email to [email protected] or by calling
the Consumer & Governmental Affairs Bureau at (202) 418-0530 (voice),
(202) 418-0432 (TTY).
1. The Wireless Telecommunications Bureau (Bureau) in response to a
number of comments and inquiries clarified the circumstances under
which the Commission will accept payment
[[Page 75678]]
instructions to make incentive payments to an entity other than a
winning reverse auction bidder. The Commission has stated that
incentive payments will be disbursed ``to the licensee that is the
reverse auction applicant'' and that, in making such disbursements, it
will ``follow winning reverse auction bidders' payment instructions as
set forth on their respective standardized incentive payment forms to
the extent permitted by law.'' The Bureau clarified that the winning
reverse auction bidder need not be the owner of the account to which
disbursement is made. Winning bidders may instruct that their payments
be disbursed to a third party, such as a ``qualified intermediary,'' a
``qualified trust,'' an escrow account, or an account jointly owned by
parties to a channel sharing agreement (CSA) who are named as owners of
that account. The flexibility to instruct that payments be disbursed to
a third party will facilitate channel sharing and thereby promote
voluntary broadcaster participation in the reverse auction.
2. In addition, the Bureau clarified that incentive payments will
be disbursed only to a single payee and into a single account. Any
division of payments (e.g., among the parties to a CSA or to different
accounts) will be the responsibility of the winning reverse auction
bidder or the party to which the winning bidder's payment is disbursed,
not the Commission. Disbursement will be made to a third party only if
the winning bidder has so instructed on its incentive payment form.
Finally, winning bidders and third parties to which winning bidders
instruct that payments be disbursed will be required: (1) To agree to
indemnify and to hold harmless the United States from any and all
liability arising from the disbursement of incentive payments; (2) to
acknowledge and agree that the payments are subject to offset pursuant
to applicable law for debts (owed to the Commission or the United
States) by either the winning bidder or the third party payee
designated by the winning bidder; and (3) to acknowledge and agree that
payments will not be made to (or for the benefit of) any winning bidder
or other payee appearing on the U.S. Treasury's ``Do Not Pay'' portal.
3. The Bureau is not providing guidance on how the federal tax laws
may apply to incentive payments. Specific procedures for disbursing
payments, including the forms for submitting instructions and the
necessary financial information, will be set forth by future public
notice.
Federal Communications Commission.
William Huber,
Associate Chief, Auctions and Spectrum Access Division, WTB.
[FR Doc. 2015-30606 Filed 12-2-15; 8:45 am]
BILLING CODE 6712-01-P