Mutually exclusive initial applications for 3450-3550 MHz band licenses are subject to competitive bidding. The general competitive bidding procedures set forth in 47 CFR part 1, subpart Q, will apply unless otherwise provided in this subpart.

(a) Eligibility for small business provisions—(1) Definitions—(i) Small business. A small business is an entity that, together with its affiliates, its controlling interests, and the affiliates of its controlling interests, has average gross revenues not exceeding $55 million for the preceding five (5) years.

(ii) Very small business. A very small business is an entity that, together with its affiliates, its controlling interests, and the affiliates of its controlling interests, has average gross revenues not exceeding $20 million for the preceding five (5) years.

(2) Bidding credits. A winning bidder that qualifies as a small business, as defined in this section, or a consortium of small businesses as provided in § 1.2110(c)(6) of this chapter, may use the bidding credit of 15 percent, as specified in § 1.2110(f)(2)(i)(C) of this chapter, subject to the cap specified in § 1.2110(f)(2)(ii) of this chapter. A winning bidder that qualifies as a very small business, as defined in this section, or a consortium of very small businesses as provided in § 1.2110(c)(6) of this chapter, may use the bidding credit of 25 percent, as specified in § 1.2110(f)(2)(i)(B) of this chapter, subject to the cap specified in § 1.2110(f)(2)(ii) of this chapter.

(b) Eligibility for rural service provider bidding credit. A rural service provider, as defined in § 1.2110(f)(4)(i) of this chapter, that has not claimed a small business bidding credit, or a consortium of rural service providers as provided in § 1.2110(c)(6) of this chapter, may use the bidding credit of 15 percent specified in § 1.2110(f)(4) of this chapter.

Regarding incumbent Federal operations in the 3450-3550 MHz band, 3.45 GHz Service licensees must comply with footnote US431B of the Table of Frequency Allocations in 47 CFR 2.106.

(a) Coordination requirement. Prior to operation of any 3.45 GHz Service license in a Cooperative Planning Area or Periodic Use Area, a 3.45 GHz Service licensee must successfully coordinate such operation with any Federal incumbents in the Cooperative Planning Area or Periodic Use Area. The coordination procedures contained in this section shall apply unless the 3.45 GHz Service licensee and the Federal incumbent(s) have reached a mutually acceptable operator-to-operator coordination agreement that provides otherwise.

(b) Informal discussions. Before a 3.45 GHz Service licensee submits a formal coordination request, it may share and discuss draft proposals with Federal incumbent coordination staff. These discussions are voluntary, informal, and non-binding and can begin at any time.

(c) Formal coordination. The 3.45 GHz Service licensee shall initiate coordination by formally requesting access to operate within a Cooperative Planning Area and/or Periodic Use Area directly through the Department of Defense's online portal.

(d) Initiation, timing, and affirmative concurrence. A 3.45 GHz Service licensee must initiate a formal coordination request through the online portal provided by the Department of Defense. Unless otherwise agreed between a 3.45 GHz Service licensee and the relevant Federal incumbent(s), no formal coordination requests may be submitted until nine (9) months after the date of the auction closing Public Notice. 3.45 GHz Service licensees may request informal discussions (through the point of contact identified in the applicable Transition Plan) during this nine-month time period. Unless otherwise agreed to in writing, the requirement to reach a coordination arrangement is satisfied only by obtaining the affirmative concurrence of the relevant Federal incumbent(s) via the portal. The requirement of this paragraph (d) is not satisfied by omission.

(e) Submission information. To submit a formal coordination request, the 3.45 GHz Service licensee must include information about the technical characteristics for the 3.45 GHz Service base stations and associated mobile units relevant to operation within the Cooperative Planning Area and/or Periodic Use Area. This information should be provided in accordance with the instructions provided in the portal user's guide provided by the Department of Defense. 3.45 GHz Service licensees must prioritize their deployments in the Cooperative Planning Area for each Federal incumbent when submitting a formal coordination request. If a 3.45 GHz Service licensee is seeking to coordinate with multiple systems or multiple locations of operation controlled by one Federal incumbent, the licensee must specify the order in which it prefers the Federal incumbent process the request (i.e., the order of systems or geographic locations).

(f) Coordination analysis. If a 3.45 GHz Service licensee has questions about the result of a coordination request, it may contact the Federal incumbent to propose network design modifications to help address issues raised by the Federal incumbent. Once the 3.45 GHz Service licensee has revised its network design, it must resubmit a formal coordination request, and the 3.45 GHz Service formal coordination process begins again.

(g) Interference resolution process. In instances of identified harmful interference occurring between a Federal and non-Federal operator not otherwise addressed by the coordination procedures or operator-to-operator agreements, the 3.45 GHz Service licensee shall first attempt to resolve the interference directly. If that effort is unsuccessful, the 3.45 GHz Service licensee, if adversely affected may escalate the matter to the Commission.

(a) Relocation reimbursement contribution. Each entity granted an initial license (not a renewal) in the 3.45 GHz Service (Licensee) must pay a pro rata portion to reimburse the costs incurred by authorized non-Federal, secondary radiolocation licensees for relocating from the 3.3-3.55 GHz band. These costs include the cost of a clearinghouse's administration of the reimbursement, which the radiolocation licensees will pay initially and include in their reimbursable costs.

(b) Pro rata share. A Licensee's pro rata share of relocation costs will be determined by dividing the total actual costs of such relocation, as approved by the clearinghouse selected pursuant to § 27.1605, by the total number of 3.45 GHz Service licenses granted, multiplied by the number of such licenses the Licensee will hold.

(c) Timing of payment. A Licensee's relocation reimbursement contribution share must be paid to the clearinghouse by the date(s) and subject to procedures specified by public notice.

(a) The clearinghouse ultimately selected shall determine the reimbursement obligations of each Licensee pursuant to § 27.1604.

(1) The clearinghouse must be a must be a neutral, independent entity with no conflicts of interest (as defined in § 27.1414(b), on the part of the organization or its officers, directors, employees, contractors, or significant subcontractors.

(2) The clearinghouse must be able to demonstrate that it has the requisite expertise to perform the duties required, which will include collecting and distributing reimbursement payments, auditing incoming and outgoing estimates, mitigating cost disputes among parties, and generally acting as a clearinghouse.

(3) The clearinghouse must comply with, on an ongoing basis, all applicable laws and Federal Government guidance on privacy and information security requirements such as relevant provisions in the Federal Information Security Management Act, National Institute of Standards and Technology publications, and Office of Management and Budget guidance.

(4) The clearinghouse must provide quarterly reports to the Wireless Telecommunications Bureau that detail the status of reimbursement funds available, the payments issued, the amounts collected from licensees, and any information filed by incumbents. The reports must account for all funds spent, including the clearinghouse's own expenses. The report shall include descriptions of any disputes and the manner in which they were resolved.

(b) Non-Federal secondary radiolocation licensees in the 3.3-3.55 GHz band that seek reimbursement of their expenses for relocating operations authorized under their licenses and existing as of February 22, 2019, must submit invoices or other appropriate documentation of such expenses to the clearinghouse no later than a date to be specified by public notice.

(c) Expenses must be reasonably related to the relocation from the 3.3-3.55 GHz band to the 2.9-3.0 GHz band, may be future expenses or expenses already incurred—including the clearinghouse's costs, and no expenses for other purposes will be subject to reimbursement. Ineligible expenses include, but are not limited to, those related to upgrades or improvements. The clearinghouse shall have the authority to determine whether particular expenses are eligible for reimbursement.

(d) The Wireless Telecommunications Bureau is responsible for resolving any disputes arising from decisions by the clearinghouse and shall specify by public notice when the clearinghouse's responsibilities have terminated.

(a) 3.45 GHz Service licensees may aggregate up to 40 megahertz of 3450-3550 MHz band licenses across both license categories in any service area at any given time for four years after the close of the auction. After four years post-auction, no such aggregation limit on 3450-3550 MHz licenses shall apply.

(b) The criteria in § 20.22(b) of this chapter will apply in order to attribute partial ownership and other interests for the purpose of applying the aggregation limit in paragraph (a) of this section.

(a) 3.45 GHz Service licensees must provide information to requesting Citizens Broadband Radio Service (part 96 of this chapter) operators to enable time division duplex (TDD) synchronization. Negotiations over the information must be conducted in good faith, with the goal of enabling synchronization between the relevant systems.

(1) A Citizens Broadband Radio Service operator, whether a Priority Access Licensee or a General Authorized Access user (§ 96.1(b) of this chapter), may request information from a 3.45 GHz Service licensee to enable cross-service TDD synchronization if it provides service, or intends to provide service, in the same or adjacent geographic area as a 3.45 GHz Service licensee.

(2) Upon request by an eligible Citizens Broadband Radio Service operator, the 3.45 GHz Service licensee must provide sufficient technical information to allow the Citizens Broadband Radio Service operator to synchronize its system with the 3.45 GHz band system. The 3.45 GHz Service licensee must keep this information current if its network operations change.

(b) 3.45 GHz Service licensees are under no obligation to make any changes to their operations or proposed operations to enable TDD synchronization.