WASHINGTON-The Federal Communications Commission, in agreeing with the Wireless Telecommunications Bureau, denied Omnipoint Corp.’s petition for a lower interest rate for the installment payment system for C-block personal communications services licenses. A similar petition by Savannah Independent PCS Corp. also was denied.
Omnipoint and Savannah objected to the 7-percent interest rate on Sept. 17, 1996, based on the August 1996 treasury bond auction. Omnipoint said there were unique circumstances surrounding that bond auction and that the interest rate goes against the FCC policy of not setting interest rates higher than the government’s cost of money.
Omnipoint initially appealed the interest rate on Dec. 16, 1996. This was denied on May 18, 1998, by the FCC’s wireless bureau. On June 17, 1998, Omnipoint appealed to the full commission. Savannah had filed a similar application for review in 1997.
