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Wireless Regulatory Fees Too Low, NAB, SIA Say

Businesses regulated by the Wireless Bureau are being undercharged by $26.6 million for regulatory costs, and the FCC needs to fix the problem before finalizing FY 2015 fees, NAB and the Satellite Industry Association said in an ex parte filing…

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posted Tuesday in FCC docket 15-121. The problem is that auction-funded full-time employees (FTEs) are not counted in apportioning those FTEs, resulting in entities regulated by the International, Media and Wireless bureaus subsidizing costs that should be charged to wireless licensees, NAB and SIA said. "The impact on the fees ultimately paid is substantial." SIA previously argued its case individually, with CTIA objecting as it argued the wireless industry pays more than its fair share (see 1507060063). "The data relied on by CTIA clearly prove that [Wireless Bureau-regulated] entities are being under-assessed for regulatory fees," NAB and SIA said. "Auction revenues fund less than one indirect FTE for each [Wireless Bureau] FTE [though] the actual indirect-to-direct FTE ratio for the commission as a whole is much higher." According to NAB and SIA math, entities regulated by the International Bureau should pay $19.2 million, $2.1 million less than proposed; Media Bureau entities should pay $106.5 million, down $11.6 million; Wireline Bureau entities should pay $118.2 million, $12.9 million less; and Wireless Bureau entities should pay $95.9 million, instead of $69.3 million. “Through regulatory fees and spectrum auction proceeds, the wireless industry accounts for more than 36 perc ent of the FCC’s total 2015 budget, which is more than any other industry segment," CTIA Vice President-Regulatory Affairs Scott Bergmann said in an email Tuesday. "CTIA continues to support the Commission’s efforts to ensure that regulatory fees appropriately reflect the work conducted by agency staff. That’s why we urge the FCC to reject any proposals that target regulatees of the Wireless Telecommunications Bureau for a disproportionate share of regulatory fees.”