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800 MHz Rebanding Information

Monday, April 10, 2006

Great article on 800 MHz Rebanding

Liz Sachs wrote a very nice article in the April 2006 Mission Critical Communications magazine regarding the 800 MHz rebanding process. It highlights several "warning signs" of the contentious nature of the process, specifically the repeated statements by the FCC and TA that nay money spent planning for or implementing system reconfiguration would be "at risk" for reimbursement unless and until approve by Sprint Nextel and the TA.

Also noted in the article is the frustration of many licensees on the amount of discussion and hoops that incumbents have to go through for their cost estimates.

Here are several interesting quotes from the article:

* "The emphasis on the "at-risk" rule probably was the first warning sign that the process might prove more contentious than anticipated. The FCC and the TA repeatedly advised incumbents that any money spent planning for or implementing system reconfiguration would be "at risk" for reimbursement unless and until approved by Sprint Nextel and the TA."

* "...many incumbents heard the message as meaning that they wouldn't necessarily be reimbursed for all costs as promised by the FCC, but only for those approved by Sprint Nextel and the TA.

* "The problem was exacerbated by the hyper-analytical methodology applied to the estimated costs that incumbents must have approved as part of their frequency reconfiguration agreements or planning funding agreements."

* "Because they will be documented, reconciled, and perhaps even audited at the tru-up before closing, many incumbents are bewildered and frustrated by the time and costs being devoted to counting these "angels on the head of a pin""

* "Unless Sprint Nextel or the TA or both believe that incumbents plan to pad documented expenses by including work that was not done, overstating the number of hours worked, or some other fraudulent means, and hope to forestall that by challenging the figures in advance, it is difficult to understand the purpose of the cost-estimation gauntlet incumbents are forced to run."

* "There is something mightily wrong with the process if almost 100 Wave 1 channel 1 - 120 incumbents were not able to reach agreements with Sprint Nextel and ended in mediation"

I could go on and on, but you should get a copy of the April 2006 MissionCritical Communications magazine and read the entire article. You'll be glad you did.

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