WASHINGTON-The Federal Communications Commission Wednesday proposed relaxing future license and buildout rules in an effort to bring the benefits of wireless to rural America.
While the notice of proposed rulemaking passed unanimously, the Democrats on the panel expressed some concerns. The first concern is the proposal to eliminate the cellular class ownership rule in rural service areas with four or more wireless carriers. The second is a proposal to allow the Rural Utilities Service to take a securities interest in the spectrum licenses of its borrowers.
RUS is a unit of the U.S. Department of Agriculture, which loans money to build out infrastructure in rural America.
FCC Commissioner Michael Copps believes this proposal could lead to real property rights of spectrum. FCC Commissioner Jonathan Adelstein believes that such private property rights would violate the Communications Act.
