Federal Register - August 31, 2021
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Fuente: Federal Register
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Federal Register / Vol. 86, No. 166 / Tuesday, August 31, 2021 / Rules and Regulations items and cost estimate averages taken from the ranges identified in the Catalog will be incorporated into the online filing portal for use by applicants when completing the FCC Form 5640, Application Request for Funding Allocation.
72. The Catalog identifies cost categories and a range of estimated costs that providers of advanced communications services would typically incur when removing, replacing, and disposing of covered communications equipment or service.
The Bureau emphasizes the Catalog is not intended to be a definitive or exhaustive list of all reimbursable expenses but rather is an additional tool to help applicants with their application submissions. Inclusion or exclusion in the Catalog of a particular category of costs should not be interpreted as a determination whether the expense will be eligible for reimbursement.
Applicants may reference the line item cost estimates identified in the Catalog when submitting their initial cost estimates. Consistent with the Secure Networks Act, applicants relying on the Catalog when requesting a funding allocation will still be required to provide supporting materials substantiating their cost estimates with documentation such as quotes or invoices before receiving a disbursement of funds for reimbursement. To the extent that certain reimbursable expenses are not explicitly listed in the Catalog or certain cost categories do not fully account for an applicants reimbursable expenses, applicants may request reimbursement by submitting individualized cost estimates, with supporting materials substantiating the costs. The cost estimates identified in the final Catalog do not guarantee the ultimate disbursement of funds for any individual expense. Participants requests for reimbursement will be evaluated based on supporting documentation regardless of whether the initial cost estimates were based on the Catalog or individualized cost estimates.
73. As noted in this document, cost estimates based on the Catalog will be the average of the lowand high-end range of cost estimates identified in the Catalog. If an applicant believes a cost estimate identified in the Catalog does not fully account for its specific circumstances or a cost category is not identified in the Catalog, the applicant may provide an individualized cost estimate. Applicants providing individualized cost estimates will be required to submit additional supporting documentation e.g., vendor
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quotes and certify that the cost estimate is made in good faith. All cost estimates are subject to review by Commission staff, with the assistance of the Reimbursement Program Fund Administrator, to ensure that an expense is eligible for reimbursement under the costs reasonably incurred standard.
74. The Bureau received 13 comments in response to the Catalog PN, including comments addressing the preliminary catalog. Comments addressing the preliminary catalog were generally favorable; however, commenters also proposed changes to the preliminary catalog. Commenters requested clarifications to the units of measurement for particular cost estimates, requested modifications or clarifications to certain cost categories, and requested modifications to certain ranges of cost estimates. Commenters proposed changes to the access layer, distribution layer, and core layer equipment, as well as software and services. Commenters also requested clarification on whether certain costs are reimbursable under the Reimbursement Program. The Bureau addresses these comments in the following. The Bureau also highlights modifications to the Catalog proposed by Widelity based on its own thorough review of the preliminary catalog and additional engagement with communications industry stakeholders.
75. Clarifying Units of Measurement.
USTelecomThe Broadband Association USTelecom asked the Commission to clarify whether wavelength division multiplexing WDM and optical transport network OTN equipment prices are per node and . . . not per route. WDM and OTN equipment is typically priced in the communications industry on a per node basis as opposed to per route, and the Bureau clarifies that the range of cost estimates for WDM and OTN
equipment in the Catalog is priced on a per node basis. USTelecom also asked the Commission to clarify whether the range of prices identified in the preliminary Catalog for the existing co location expense type are permonth or a flat fee for each lease.
Because colocation is typically priced on a per-site, flat-fee basis, as opposed to a per-month basis, the Bureau revises the Catalog to clarify that the range of cost estimates for colocation is priced on a per-site basis to more accurately describe the per-unit cost of these expenses.
76. Requests to Include Additional Cost Categories. CCA asked the Commission to include in the Cost Catalog an entry for preparation of the
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cell site closeout package, which may include photos, red line/as-built drawings, documents, and other relevant information to confirm that the site has been completed to specified standards and requirements. The Bureau agrees. The Bureau finds that cell site closeout costs may be reasonably necessary to remove and replace covered communications equipment or services, and revised the Catalog to include under the Services, Site Work cost category, a subcategory for Closeout PackageMicrowave and general Closeout Package. The range of cost estimates for these new cost categories was developed by Widelity based on confidential interviews with communications industry stakeholders.
77. RWA requested the Bureau add an Attorney fees cost category to the Catalog for legal fees spent on the advocacy surrounding the development of the rules, or legal fees related to the ongoing rulemaking process. The Bureau notes that the preliminary catalog included a Participation in FCC
Rulemaking cost category with a range of cost estimates. The Bureau denies RWAs request because attorneys fees related to the rulemaking proceeding are not reasonably necessary for the removal, replacement, and disposal of covered communications equipment or services. The Bureau modifies the Catalog to remove the Participation in FCC Rulemaking cost category and range of cost estimates identified in the preliminary Catalog. The Bureau clarifies, however, that certain attorneys fees and legal expenses incurred for purposes of participating in the Reimbursement Program, such as preparing application forms, reimbursement forms, extension requests, and waiver requests, may be reimbursable to the extent they are reasonably incurred for the removal, replacement, and disposal of covered communications equipment and services and the allocation request is substantiated with supporting documentation. The Bureau also notes that, for example, attorney fees associated with negotiating and reviewing vendor contracts and legal fees associated with zoning and permitting are included in the Catalog range of cost estimates and potentially eligible for reimbursement.
78. Clarifying Reimbursable Expenses.
CCA asked the Commission to provide additional clarification on allowable reimbursements for internal employee time, including what type of documentation will be required. As CCA noted, the preliminary catalog included a range of cost estimates
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