Sec. 22.875  Commercial aviation air-ground system application 
          requirements.

    Existing and prospective common carriers may file applications for 
authority to construct and operate a new nationwide air-ground system on 
the channels listed in Sec. 22.857 only during window filing periods 
that may be announced by the FCC in Public Notices. In addition to the 
requirements elsewhere in this part, such applications must contain the 
following exhibits:
    (a) Written agreement. A signed agreement between the applicant and 
at least one airline or airline organization, authorizing the applicant 
to provide air-ground service on its aircraft.
    (b) Financial qualifications. At the time of filing its application 
an applicant must demonstrate that it has either a firm financial 
commitment or available financial resources necessary to construct 50 
ground stations and operate for one year after initiation of nationwide 
air-ground service its proposed air-ground system.
    (1) The demonstration of commitment must include and be sufficient 
to cover the realistic and prudent estimated costs of construction of 50 
ground stations, operation and other initial expenses for one year after 
initiation of nationwide air-ground service. The estimated costs, 
operation costs and other initial expenses must be itemized. The 
estimated costs must include the anticipated costs of construction of 
each ground station.
    (2) The firm financial commitment required above must be obtained 
from a state or federally chartered bank or savings and loan 
association, or the financial affiliate or subsidiary of an equipment 
supplier, and must contain a statement that the lender:
    (i) Has examined the financial condition of the applicant including 
audited financial statements, and has determined that the applicant is 
credit worthy;
    (ii) That the lender is committed to providing a sum certain to the 
particular applicant;
    (iii) That the lender's willingness to enter into the commitment is 
based solely on its relationship with the applicant; and
    (iv) That the commitment is not in any way guaranteed by any entity 
other than the applicant.
    (3) Applicants intending to rely on personal or internal resources 
must submit:
    (i) Audited financial statements certified within one year of the 
date of the application, indicating the availability of sufficient net 
liquid assets to construct and operate the proposed air-ground system 
for one year.

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    (A) The auditors must be certified public accountants.
    (B) Net liquid assets is considered to be the excess of current 
assets (readily converted to cash) over current liabilities. In order to 
demonstrate ready convertibility into cash, the identity, liquidity and 
value of listed assets must be demonstrated. Non-liquid assets can be 
relied on if the marketability of those assets is documented.
    (ii) An audited balance sheet, current within 60 days of filing, 
which clearly shows the continued availability of sufficient net liquid 
assets to construct and operate the proposed air-ground system for one 
year after nationwide service begins.
    (c) Service Plan. A service plan containing:
    (1) A map or other description of the planned geographic coverage 
area, including air space over the continental United States, Alaska, 
Hawaii and other United States territories.
    (2) A schedule for construction of 50 ground stations and provision 
of nationwide service to subscribers within 5 years from the grant of 
the initial authorization.
    (3) A description of how the system will interconnect with the 
landline telephone network and be integrated with other air-ground 
systems, including a statement as to whether the system will be 
interconnected with international air-ground systems.
    (d) Technical Exhibit. A technical description of the proposed 
system demonstrating compliance with all applicable technical 
requirements and describing how the proposed system would operate, if 
authorized. This exhibit must provide the following information:
    (1) The number of ground stations to be used, their locations, and 
the type and quantity of equipment proposed for the system;
    (2) A complete description of the procedures and data protocols to 
be used on the control channel;
    (3) The modulation types to be used and their spectral 
characteristics;
    (4) The effective radiated power and transmitter peak envelope power 
for all transmitters at each ground station location, and the effective 
radiated power of the airborne mobile stations;
    (5) Antenna information as follows:
    (i) For airborne mobile stations, the antenna type(s) to be used;
    (ii) For ground stations, vertical and horizontal radiation 
patterns, antenna heights above ground level, antenna support structure 
heights above ground level, ground elevation above mean sea level and 
any relevant information (e.g. FAA approval) that may be helpful in 
determining whether ground station antennas require marking and 
lighting;
    (6) Analytical data, including calculations, of potential 
interference within and without the spectrum for the air-ground system;
    (7) A statement in compliance with the National Environmental Policy 
Act of 1969. See Secs. 1.1301 through 1.1319 of this chapter.

               Subpart H--Cellular Radiotelephone Service