800 MHz Rebanding in the
Mexican Border Area:
Timing, Process & Tips
Robert Gurss
Fletcher, Heald & Hildreth, PLC
gurss@fhhlaw.com
(703) 812-0468
and
Regulatory Counsel
APCO International
gurssr@apcomail.org
Timing for Mexican
Border Area
• Sprint and Mexican counterpart (NII) reached
agreement on rebanding costs
• Mexican government considering agreement
o This year?
• FCC to seek comment on final band plan once
agreement is reached
• Negotiations could start as early as mid-2011
Robert Gurss
8/26/2010
2
Form Your Team
• Internal Management
• Primary Equipment Vendor (Motorola, Harris, or EFJ)
• Technical Consultant (optional, but recommended)
o Can also be project manager to relieve burden on your time
• FCC counsel with rebanding experience for
contracts, strategic advice and negotiations
COSTS PAID DIRECTLY BY SPRINT, IF REASONABLE,
DOCUMENTED, AND NON-DUPLICATIVE
Robert Gurss
8/26/2010
3
Other Players
• FCC
• 800 MHz Transition Administrator (TA)
o Deloitte, Squire Sanders & Dempsey, Baseline
Telecom (Dave Buchanan in SoCal)
• TA Mediator
o Usually SSD lawyer
• Sprint deal manager
o Does not have final authority
• Sprint counsel
Robert Gurss
8/26/2010
4
Rebanding Stages
• Request for Planning Funding (RFPF)
• Planning Funding Agreement (PFA)
• Planning
• Frequency Reconfiguration Agreement (FRA)
• Reconfiguration Implementation
Robert Gurss
8/26/2010
5
Planning Process
Overview
• FCC will create window for negotiating Planning
Funding Agreement (PFA)
• Some Wave 4 Licensees have preliminary
agreements for non-frequency dependent work
• Submit Request for Planning Funding (RFPF)
Form on TA website: www.800ta.org
System Inventory (infrastructure/subscribers)
Frequency analysis (deferred on preliminary PFAs)
Engineering and implementation planning
• Interoperability, site reconfiguration, subscriber analysis
o Project Management costs
o Legal costs
o
o
o
o
• Negotiate Planning Funding Agreement (PFA)
Robert Gurss
8/26/2010
6
Negotiations (PFA/FRA)
• TA Mediator will monitor initial “good faith” stage
• Negotiations via phone conference, except for
large systems when in-person meetings appropriate
• Sprint prepares spreadsheet (PRW) to reflect
offers/counteroffers
• Good idea to include counsel early in process
• Mediator will step in and control negotiations after
initial period
• Time extensions available if there is progress
• Heavy reliance on vendors. Include them, but
maintain control
Robert Gurss
8/26/2010
7
Planning Stage
• Expect vendors to take substantial time to
complete work and present SOW for your review
• Look at inventory situation (recent?)
• Resource allocation for implementation (use 3rd
parties where appropriate)
• Once cost proposal (based upon vendor SOW) is
submitted, Sprint Nextel has 4 days to review for
completeness. TA mediator may order
licensee/vendor to provide more details before
negotiations can commence
Robert Gurss
8/26/2010
8
Change Orders
• Not for anticipated overruns
• Ok for unexpected changes or costs
• Can be a lengthy approval process
• Avoid spending money prior to approval
• Use TA change order forms (on www.800ta.org)
Robert Gurss
8/26/2010
9
FRA ISSUES
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Infrastructure
Subscriber (replace, retune, reprogram)
Testing (3 types, see TA website)
Professional Services (PM, ST, SE)
Legal
Schedule C Equipment (from Vendor)
Schedule D Equipment (provide through Sprint per
its agreements with major vendors)
Robert Gurss
8/26/2010
10
Cost Issues
• For some costs, “level of effort” tables complied by
the TA provide guideposts
• Sprint always challenges vendors hours
• Vendors and consultants need to avoid duplication
of effort, and perceived duplication of effort
• Internal rates usually ok, but need to show basis
• Second and third touches of radios often at issue
• Back-to-back repeaters sometimes favored by
Sprint, but also sometimes opposed depending on
cost
Robert Gurss
8/26/2010
11
The METRICS
• TA data based on prior agreements
• Sprint fond of citing
• Higher level of scrutiny if proposed costs exceed
75th percentile – can be allowed, but must be
justified
• Metrics are not limits, and should not distract from
bottom up construction of costs.
Robert Gurss
8/26/2010
12
If Negotiations Fail
• Parties required to file Proposed Resolution
Memoranda (PRMs) with the mediator
• Mediator issues Recommended Resolution (RR)
• Parties have the option of filing Statements of
Position with FCC (SN not required to pay for SOP)
• Wait, ………Wait…………Wait…………………………..
• And wait some more ……………..
• FCC finally issues order (can be a year or more)
• Vast majority of case never get to the FCC
Robert Gurss
8/26/2010
13
Tips
• Consider unit costs rather than hourly charges
o May reduce recording keeping
• Document, Document, Document
o Assume you will be audited
• Confirm interoperability arrangements
o Cutover schedules need to be coordinated
o Considers pros/cons of back-to-back repeaters
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•
•
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Educate user agencies, keep them informed
For very large systems, talk to SN early
Use consultants wisely
Tracking mechanism for radio touches
o Software or even just pages in a binder
• Check licenses now
• Be flexible regarding level of service from vendors
Robert Gurss
8/26/2010
14
Urban Legends
o Broken radios will be replaced
o You don’t have to give back loaners
o Sprint will pay even if you go over budget (only if
change order approved)
o This is your ticket to get new radios
o You can do this on my own without interfering
with my “day job”
Robert Gurss
8/26/2010
15
Non-800 MHz Issues
• 700 MHz Broadband
o
o
o
o
o
D Block Reallocation?
FCC plan for D block auction/Priority Access
ERIC
LTE
PSST and 21 waivers to deploy on current broadband allocation
• Narrowbanding below 512 MHz
o Don’t expect FCC to extend January 1, 2013 deadline
o Waivers will be entertained, but standard unclear
o At minimum, strong showing of why deadline cannot be met
Robert Gurss
8/26/2010
16
QUESTIONS?
Robert Gurss
Fletcher, Heald & Hildreth, PLC
gurss@fhhlaw.com
(703) 812-0468
and
Regulatory Counsel
APCO International
gurssr@apcomail.org
Robert Gurss
8/26/2010
17