Attachment petition to deny

petition to deny

PETITION TO DENY submitted by PanAmSat

petition to deny

1999-06-30

This document pretains to SAT-AMD-19990511-00052 for Amended Filing on a Satellite Space Stations filing.

IBFS_SATAMD1999051100052_400669

                                      Before the
                      FEDERAL COMMUNICATIONS COMMISSION
                                Washington, DC 20554

In the Matter of

COLUMBIA COMMUNICATIONS                             File Nos. SAT—MOD—19990511—00051
CORPORATION                                                   SAT—AMD—19990511—00052

Application For Modification Of
Authorization To Launch And Operate
A C—Band Satellite At 47 Degrees W.L.                                   RECEIVED
Amendment To Application To                                              JUN 2 8 1999
Construct, Launch And Operate
A Ku—band Satellite at 49 Degrees W.L.                              noon,cummmomaecssn


             PETITION TO DENY OR REQUIRE A FINANCIAL SHOWING

        PanAmSat Corporation (‘PanAmSat"), by its attoneys, hereby requests that the
Commission either deny the above—referenced application of Columbia
Communications Corporation (*Columbia®) or require Columbia to demonstrate that it
is financially qualified.
                                         BACKGROUND
        The 47" W.L. orbital location is underutilized, and has been for some time. At
Ku—band, Loral Orion has held an unused authorization for 47° W.L. for more than
fourteen years.1 Indeed, the United States may be at risk of losing its rights to this slot
internationally due to Loral Orion‘s long—term failure to bring a Ku—band satellite into
use at 47° W.L. At C—band, pursuantto special temporary authority, Columbia has
operated a limited, 12—transponder payload on NASA‘s TDRS—6 since 19962 Earlier this
year Columbia was licensed to launch a new, replacement C—band satellite at this orbital
location.? To date, however, it does not appear that Columbia has made meaningful
progress towards this end:A

L Orion Satelite Corp.(now Loral Orion, Inc.) was granted conditional authorityto launch and operate a
Ku—band satelite at 47° WLin 1985 and received final authority in 1991. Orion Stelite Corp, File No.
CS%—83—002P, Mimeo No. 6871 (reeased Sept.6, 1985}; Orion Stelite Co,6 FCC Red 4201 (1991).
2 See Columbia Communications Cory, 11 ECC Red 8639 (Int! Bur. 199)
3 Combia Communications Corporton, DA 99—134 (released January 1, 199.
4 See Columbia Application at 11 (Coluzmbia has not yet executed a construction contractfor ts 47" W.L.
satelite orfinalized the design of that satelite)


                                                   4
        In its application, Columbia asks the Commission to expand in three respects its
existing rights to the 47° W.L. orbital location. First, it asks the Commission to grantit
permanent authority to operate the TDRS—6 satellite at 47" WL. for the remainder of the
satellite‘s useful life. Second, Columbia requests authority to modify its current
authorization to laurich and operate a C—band satellite at 47° W.L. to add operations in
Ku—band. Finally, Columbia asks that the Commission toll the implementation:
milestones for its authorized 47° W.L. satellite until the Commission acts on Columbia‘s
modification request.
        There are a number of threshold issues associated with Columbia‘s Ku—band
modification request. In order to grant Columbia‘s application, the Commission first
would need to revoke Loral Orion‘s authorization to launch and operate a Ku—band
satellite at 47° W.L.5. Second, it would need to permit Columbia to amend its
application to construct, launch and operate a Ku—band satellite at 49° W.L., which
Columbia filed in 1987, in order to locate the satellite at 47° W.L. and revise its technical
characteristics. Third, the Commission would need to determine that Columbia‘s
request to add a Ku—band payload to its 47° W.L. C:—band satellite properly can be
achieved via an amendment to Columbia‘s 49° W.L. application and, thus,is not subject
to competing applications under the policies announced in the Report
Order.® Fourth, the Commission would need to waive the freeze on Atlantic Ocean
Region satellite applications to the extent required to process Columbia‘s application as
amended. Finally, the Commission would need to waive its financial qualification
requirements or require Columbia to make a full financial showing forits proposed
hybrid satellite.®
5 Columbia filed a petition in March of this year asking the CC to revoke Loral Orion‘s authorization.
Columbia Petition to Revoke Authorization, File No. CSS—83—002.—P—(M)(iled Mar. 19,1999).
$ Under the policies announced in RISCO separate system applications that were pending at the ime
the Report was adopted are to be processed outside of processing rounds, while
applications filed afterthe adoption date of the Repart are to be considered in
consolidated FSS processing ounds. Amentmentof e Communications Requlatry Polices Governing
Domestic Fixed Satelite and SeparateInternational Sateite Systems, 11 CC Red 2429 (199%) at J 44.
Columbia hasargued that ts application for Ku—band authority at 47" WL s not subjectto competing
applications because its 49° W.L. application wasfled priort adoption of the ReportOrde.
Columbia Application at .15. The Commission must determine the status thatshould be afforded to
Columbia‘s 4/47" Kband application under DISCO in order to determine whether Columbia‘s
application i subject to competing applications.
7 see Processing of Pending Applications for Space Stations to Provide Itenational Communications
Service, FCC 85—296 (released June 6, 1985
5 See Columbia Application at 11 (filing to submit Ainancial qualifcationsforthe proposed hybrid
satelite.


                                                 4

        In ruling on Columbia‘s application for 47° W.L. and deciding each of the
associated threshold issues, the Commission should take into account the public interest
considerations favoring full utilization of this long—underused orbital location.
PanAmSat wants to make the Commission aware, therefore, that Columbia is not alone
in desiring a Ku—band license for 47" W.L. In fact, PanAmSat is preparing an application
of its own for a Ku—band satellite at this location and plans to file its application in the
near future. If the Commission decides to cancel Loral Orion‘s authorization, and if it
determines that Columbia‘s request for Ku—band authority at 47° W.L. is subject to
competing applications, PanAmSat stands ready to prosecute an application for 47"
W.L. and, if authorized, to place a Ku—band satellite into service promptly at this orbital
location.

                                          ISCUSSION

.      Tirr Commtsston SHout Regune CorumBia To MAKE A FutL FINANCHAL
       SHowinc For Its Prorosep HysriSateturre.

       Columbia never has made a financial showing for its 47° W.   . satellite. At the
time Columbia was issued it C:band license, there were no competing applications in
this portion of the are and, the Commission believed, other frequency bands could
accommodate future entry. For these reasons, and because a grant to Columbia would
enable it to continueserving its TDRS—6 customers, the Commission waived its financial
qualification requirements®
        None of the considerations that led the Commission to waive its financial
qualification requirements with respect to Columbia‘s C—bandauthorization applies to
Columbia‘s Ku—band modification request. As noted above, PanAmSat also desires Ku—
band authority at 47° W.L. More generally, as Columbia noted in its Application, very
few Ku—band orbital locations remain available in the Atlantic Ocean Region, and access
to frequencies outside the traditional Ku—band are not an effective substitute for an
authorization in this "workhorse" band.1° Finally, the Commission‘s alternative
justification for waiving the financial qualification requirement with respect to
Columbia‘s C—band grant — enabling Columbia to continueserving its TDRS—6
customers — is inapplicable to Columbia‘s request to add a Ku—band payload to its
satellite, because Columbia‘s existing TDRS—6 capacity operates solely in C—band.

9 Colurmbia Communications Corporation, DA 99—134 at116.
19 Columbia Application at 15, 16.


                                                    +

       Any decision involving the Ku—band frequencies at 47° W.L. thus presents a
situation in which a grant to an under—financed applicant may precludea fully
capitalized applicant from implementing its plans, and may delay service to the public.
When — as here — these circumstances exist, the Commission‘s policy is to require a
financial showing.®
       Columbia should not be allowed to bypass the Commission‘s financial
qualification requirements under the guise that it is merely requesting a change in an
existing authorization, rather than applying for a new authorization. Columbia‘s
modification request would expand substantially its spectrum rights and make it
impossible for another qualified applicant to locate a Ku—band satellite at 47" W.L. The
only reason Columbia did not have to make a Ku—band financial showing initially,
moreover,is that it chose to bifurcate its C—band and Ku—band requests, applying
originally for a C—band—only satellite and only now coming forward with a Ku—band
proposal. Columbia could just as easily have requested authority to launch and operate
a C/Ku—band hybrid satellite in the first instance, and the fact that Columbia elected not
to do so should not entitle Columbia to evade the Commission‘s financialrequirements.
        For the foregoing reasons, the Commission should require Columbia to
demonstrate its financial ability to meet construction, launch, and first—year operating
costs for its proposed hybrid satellite. TFit cannot do so, its request to add a Ku—band
payload to its authorized C—band satellite should be denied.
IL      Th Commission SouLp Nor Issus A License For CoLumBia‘s TDRS—6
        Orerations.

        Columbia has been operating the TDRS—6 C—band capacity pursuant to a grant of
special temporary authority for nearly three years, and the record indicates that this
satellite has only a few months, or perhaps a year, remaining in its useful life.1? Despite
these facts, Columbia now requests that the Commission issueit a "license" to operate
its TDRS—6 capacity for the satellite‘s remaining lifetime.
        At this late date, it would not serve the public interest for the Commission to
transform Columbia‘s STA into a license. Columbia cites no precedent for licensing a
satellite thatis rapidly approaching its end—of—life, and there is no public interest
justification for doing so. Columbia‘s request, moreover, suffers from a series of
11 E.Columbia Communications Comoration, DA 99—134 at 13.
12 See Columbia Communications Corporation, DA 99—134 at13 (according to Columbia, the TDRS—6
satelite is expected to reach the end of ts useful fe by the year 2000)


                                                 s

procedural deficiencies: most notably,it does not appearto have been placed on public
notice,!3 Columbia has not submitted an application for the TDRS—6 satellite that
complies with Sections 25.114 and 25.140 of the Commission‘s rules, and there is no
suitable license term for a satellite with so little usable life remaining. For all of these
reasons, Columbia‘s request for a TDRS—6 license should be denied.

11L     Coumisia‘s ApPuicaIONRaises Inrerrerence Concerns.

       At best,it will be difficult to coordinate Columbia‘s proposed satellte at 47° W.L.
with PanAmSat‘s operations at 45° W.L., and PanAmSat is concerned that Columbia
will cause interference to PanAmSat. Recognizing that the Commission‘s policies
require that the parties in the first instance attempt to coordinate, PanAmSat is not filing
a technical analysis at this time. PanAmSat did not, however, want to remain silent and
have its silence be misconstrued as a lack of concemn.
                                         CONCLUSION

       In view of the foregoing, the Commission should: (1) require Columbia to make
a financial showing, and deny Columbia‘s request to launch and operate a new Ku—
band payload if Columbia cannot demonstrate that it is financially qualified; and
(2) deny Columbia‘s request for a license to operate the C:—band payload on TDRS—6.

                                      Respectfully submitted,
                                      PANAMSAT CORPORATION

                                      Godles
                                      Joseph A. Godles
                                        Mary J. Dent
                                      GOLDBERG, GODLES, WIENER & WRIGHT
                                      1229 Nineteenth Street, NW
                                      Washington, DC 20036
                                      (202) 425—4900
                                      Attoneys
June 24, 1999


13 see Report No. SAT—00018, "Satelite Policy Branch Information, Applications Accepted for Fing
(May 27,1999


                          OF

      Ihereby certify that a true and correct copy of the foregoing Petition to
Deny or Require a Financial Showing was sent by first—class mail, postage
prepaid, this 28th day of June, 1999, to each of the following:

      Mr. David S. Keir, Esq.
      Leventhal Senter & Lerman, PLLC
      2000 K Street, N.W.
      Suite 600
      Washington, D.C. 20006

                                                an Jamieson
                                             Susan Jamieson



Document Created: 2004-10-13 15:35:31
Document Modified: 2004-10-13 15:35:31

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