C-Band Satellite Lump Sum Election Relocation Deadline Set for September

The FCC has set a September 14, 2020 deadline by which an incumbent earth station licensee must notify the Commission if it wants to accept a “lump sum” amount of money in exchange for reimbursement of reasonable transition costs. Earth station licensees/operators should look carefully at the attached materials to make a decision about which option to choose.

Specifically, the FCC has extended this deadline from August 31, 2020 for incumbent earth station operators to elect to receive a lump-sum reimbursement and provided a Cost Catalog (attached) to identify potential expenses that you may incur. The FCC has provided some guidance and approximation of what relocation will cost, but has not yet set the final lump sum payment amounts.

The lump sum amount varies depending on the class of earth stations and are set on a per unit basis. Reimbursement for actual expenses, however, may come from multiple different costs, but if you choose that option, you must determine which costs are necessary to transition and maintain an equivalent level of service and submit the itemized details for determination that the costs are reasonable. Electing the lump sum is irrevocable and, therefore, if there are other unexpected expenses incurred after this election, the licensee will be responsible for covering those fees. In electing a lump sum payment, a licensee will be required to provide information regarding the earth parameters and certify that the information is correct.

If you have any questions, or would like assistance with this process, please contact Dee Herman at dee@hermanwhiteaker.com or Hilary Rosenthal at hrosenthal@hermanwhiteaker.com.